(i) A management company shall hold its expenditure requirement as specified in Regulation 17(6) of the UCITS Regulations in the form of eligible assets as defined in paragraph 4 of Schedule 9,
(ii) For the purpose of clause (i) a reference to a depositary in paragraph 4 of Schedule 9 means a UCITS management company.
(b) For the purpose of subparagraph (a) the expenditure requirement is calculated as one quarter of a management company’s total expenditure taken from the most recent annual accounts.
(c) For the purpose of subparagraph (b) total expenditure includes all expenditure incurred by a management company less the following items which may be deducted:
(i) profit shares;
(ii) bonuses;
(iii) net losses arising in the translation of foreign currency balances;
(iv) shared commissions and fees payable which are directly related to commission;
(v) fees, brokerages and other charges which are paid to clearing houses, exchanges and brokers;
(vi) fees to tied agents;
(vii) i
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