Investor Money Regulations

We previously reported that the Central Bank had indicated that, in the interests of establishing an enduring regime for the protection of investors, it would be supportive of a delay of a number of months in the commencement of the Investor Money Regulations (IMR). On 24 February 2016, the Central Bank (Supervision and Enforcement) Act, 2013 (Section 48(1)) Investor Money Regulations for Fund Service Providers (Amendment) Regulations 2016 were made formally, extending the application date from 1 April 2016 to 1 July 2016. The Central Bank has also issued ‘Guidance for Fund Service Providers’ to provide assistance in interpreting the regulations.

UCITS Q&A

On 24 March 2016, the Central Bank published the twelfth edition of its UCITS Q&A. The updated Q&A amends Q1057 to take account of the publication of the Central Bank’s guidance on: ‘Umbrella funds – cash accounts holding subscription, redemption and dividend monies’. New questions 1060 and 1061 have been added to take account of this guidance and a new question 1062 has also been added dealing with the Securities Financing Transactions Regulation.

UCITS forms

The Central Bank has updated section 5 of its UCITS Application Forms: Depositary Agreement, with the new form effective from March 2016.

AIFMD Q&A

On 24 March 2016, the Central Bank published the eighteenth edition of its AIFMD Q&A. The updated Q&A amends Q1100 to take account of the publication of the Central Bank’s guidance on: ‘Umbrella funds – cash accounts holding subscription, redemption and dividend monies’. New questions 1101 and 1102 have been added to take account of this guidance and a new question 1103 has also been added dealing with the Securities Financing Transactions Regulation.

Investment Funds Q4 2015 statistical release

On 4 March 2016, the Central Bank published its Investment Funds, Q4 statistical release. It reported that the net asset value of investment funds resident in Ireland (IFs) increased by 6 percent (€76 billion) over the final quarter of 2015, to €1,431 billion from €1,355 billion in Q3 2015. This was due to a mix of strong net inflows and also a recovery in equity markets from their end Q3 lows. Investor Inflows over Q4 2015 stood at €37 billion with the highest inflows into equity funds of €13 billion. The assets held by IFs increased in value by €49 billion, largely attributed to the recovery in equity prices.

Money Market Funds Q4 2015 statistical release

On 4 March 2016, the Central Bank published its Money Market Funds, Q4 statistical release. It reported that the net asset value of money market funds (MMFs) resident in Ireland at end-December 2015 was €467 billion, an increase of 10 percent since September 2015. This increase was driven by large investor inflows of €37 billion over the quarter.

Consultation on a Capital Requirement Framework for Market Operators

On 12 February 2016, the Central Bank issued a Consultation Paper 101 on a proposed Capital Requirement Framework for Market Operators. The consultation is open until 6 May 2016.