4 September 2018
Re: Thematic Review of UCITS Performance Fees (the “review”)
Dear Sir/Madam,
The Central Bank of Ireland (the “Central Bank”) recently carried out a thematic review of the payment of performance fees by UCITS.
The purpose of the review was to establish whether the procedures used to calculate and pay performance fees in UCITS, ensure that investors’ interests are protected at all times. The review investigated the methodologies and parameters selected and applied in the calculation of UCITS performance fees to examine if they are in line with UCITS Performance Fees Guidance (the “Guidance”) issued by the Central Bank. This review was carried out in parallel to a Consultation on amendments to the Central Bank UCITS Regulations (CP 119 [CP119 proposes to incorporate existing Central Bank performance fee guidance into the Central Bank UCITS Regulations. ]), which proposes to introduce requirements in relation to performance fees.
The review identified appro
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