Undertakings for collective investment in transferable securities UCITS

The amended proposal incorporated the majority of the amendments tabled by the European Parliament and contained many changes with respect to the original proposal: - Ucits could currently invest up to 25% of their assets in deposits with credit institutions; furthermore, the scope of the directive was extended to include funds that placed all of their assets in deposits with credit institutions and master-feeder funds; - the entire text of the definition of "transferable securities" included in the directive on investment services was included in the directive; - it was established that derivative instruments were neither transferable securities nor money market instruments; - Ucits were free to choose a depositary established in another Member State if it was approved under the directive on investment services or the second banking directive; - procedures were introduced with a view to organising the supervision of depositaries offering their services to unit trusts and investment companies within the framework of cross-border activities; - in general, the money market instruments should be admitted to official listing on a stock exchange or dealt in on regulated markets, or issued or guaranteed by public institutions or high-level bodies; the instruments issued by an undertaking the securities of which had been admitted to official listing on a stock market or dealt in on other regulated markets, as well as instruments issued by an establishment subject to prudential supervision could also be admitted; - Ucits had the possibility of investing a certain proportion of their assets in deposits with credit institutions (25% of their assets); - the concept of "pure cash funds" was introduced, which were authorised to place all their assets in deposits with credit institutions, subject to diversification of their investments; - the threshold of 10% of the voting rights for the acquisition of shares from a single issuer through a management or investment company was changed to a "presumption" of significant influence; - the concepts of master fund and feeder fund were introduced; it was proposed that the Member States should authorise a Ucits fund (feeder fund) to invest its assets in units issued by one single Ucits (master fund); - the delineation of responsibilities was clarified for cases where the depositary was a credit institution or investment company that was not established in the Member State of the Ucits. �