The Commission has received enquiries regarding the application of derogations granted under The Collective Investment Schemes (Class B) Rules 1990 (“Class B Rules 1990”). The Commission proposes that the same approach be taken as that used in respect of derogations of The Licensees (Conduct of Business) Rules, 2009 and the Licensees (Capital Adequacy) Rules, 2010. Therefore, the Commission requests that designated managers and designated custodians/trustees of Class B collective investment schemes assess whether or not they still require derogations granted under the Class B Rules 1990. Should a derogation still be required, then a request, including the rationale, must be made to the Commission to derogate or modify the application of the Class B Rules 2013 by no later than 2 January 2015. This is the same period as set out in the transitional provisions in Rule 10.02(2) of the Class B Rules.
For the avoidance of doubt, the Commission considers that the existing derogations granted under the Class B Rules 1990 will remain in place until the earlier of the following two dates:
1) The date that a derogation is granted pursuant to the Class B Rules 2013; or
2) 2 January 2015.
It is considered that the revised derogation requests could be dealt with at the same time as submitting to the Commission the updated scheme particulars to comply with the schedule to the Class B Rules 2013. Updated scheme particulars and derogation requests pursuant to the Class B Rules 2013 can be submitted by e-mail to [email protected]