The Commission Delegated Regulation, supplementing the latest Undertakings for the Collective Investment in Transferable Securities Directive (UCITS V) with regard to obligations of depositaries has been published in the OJEU. It sets out:

  • the minimum requirements for the contract between the management company or the investment company and the depositary;
  • depositary obligations, including oversight, due diligence, segregation and insolvency protection;
  • when and how financial instruments held in custody are considered to be lost; and
  • independence requirements for those holding the safekeeping function.

It comes into force on 12 April. (Source: UCITS V supplement on depositary obligations published in OJEU)