On 29 March 2018, the Central Bank of Ireland (the "Central Bank") published a Consultation Paper ("CP119") proposing a consolidation of and new set of amendments to the Central Bank UCITS Regulations, the statutory instrument that forms the basis for the Irish regulatory framework for UCITS.
The Central Bank UCITS Regulations came into effect on 1 November 2015, replacing the long established UCITS Notices. Subsequently, First Amending Central Bank UCITS Regulations and Second Amending Central Bank UCITS Regulations were issued, each addressing discrete issues. The Central Bank UCITS Regulations (collectively) complement the UCITS Regulations, the main Irish regulations that implement the UCITS Directive. These regulations are supplemented by supporting regulatory guidance and Q&As published by the Central Bank on specific UCITS issues to make up the complete UCITS regulatory framework.
The following are some of the notable amendments proposed:
- Share class hedging - amendments and new provisions to reflect the provisions of ESMA's Opinion on UCITS Share Class Hedging (Regulation 27 and Schedules 7 & 8).
- Performance fees - new obligations relating to UCITS which charge performance fees - previously contained in guidance, with the exception of a restriction on paying a performance fee more frequently than on an annual basis. Existing UCITS that pay performance fees more frequently than annually will have a (as yet unspecified) transition period to adjust their model (Regulation 41 and 75).
- MMFR - amendments to reflect the provisions of the Money Market Fund Regulation.
- CP86 - codifying the CP86 requirements to establish and monitor daily an email address for regulatory correspondence (Regulation 48) and to keep records that are immediately retrievable in or from Ireland (Regulation 129).
- Management company/depositary second set of semi-annual accounts - requiring a full twelve month set of unaudited financials for management companies and depositaries, instead of a second set of half-yearly accounts and requiring that these full year unaudited financials are submitted within one month of the relevant period (previously two months) (Regulation 99 and 118).
- UCITS V depositary requirements - adjustments to depositary obligations and depositary agreement requirements in light of UCITS V, including removal of the obligation to review each UCITS' valuation methodologies (Part 12).
- Temporary suspension notifications - new requirements to (i) give an update to the Central Bank within 21 working days of applying a temporary suspension; and (ii) notify the Central Bank immediately when any temporary suspension is lifted (Regulation 34).
- Consolidation - of the First Amending Central Bank UCITS Regulations and Second Amending Central Bank UCITS Regulations.
Changes are reflected in a draft revised Central Bank UCITS Regulations, appended to CP119. The consultation paper also summarises some of the key amendments and asks respondents to consider the proposed changes.
The closing date for responses to the consultation is 29 June 2018.
Maples will be participating in the consultation, including through the Irish Funds UCITS Regulatory Response Working Group.
If you have any thoughts or feedback on the proposed changes that you would like to be considered in our response, please get in touch.
 Available here
 The European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2011, as amended.
 ESMA34-43-296 Opinion on UCITS Share Class Hedging
 Regulation (EU) 2017/1131 of the European Parliament and of the Council of 14 June 2017 on Money Market Funds
Today the Central Bank has published a Consultation Paper (CP 119) proposing amendments to (and consolidation of) the Central Bank UCITS Regulations.