(1) Subject to paragraph (5), these Regulations apply to undertakings for collective investment in transferable securities (hereafter in these Regulations referred to as UCITS) situated in the State within the meaning of Regulation 9(1). Part X of these Regulations also applies to UCITS situated in another Member State within the meaning of Regulation 9(2), which propose to market units in the State.
(2) For the purposes of these Regulations and subject to paragraph (5) UCITS are undertakings -
(a) the sole object of which is the collective investment in either or both -
(ii) other liquid financial assets referred to in Regulation 45,
of capital raised from the public and which operate on the principle of risk-spreading;
and
(b) the units of which are, at the request of holders repurchased or redeemed, directly or indirectly, out of those undertakings' assets. Action taken by a UCITS to ensure that the stock exchange value of its units does not vary sig