Germany: Updated UCITS marketing guidance requires use of German language

Germany: Updated UCITS marketing guidance

The German language must be used in the marketing of units of “Undertakings for the Collective Investment in Transferable Securities” (UCITS) in certain instances.

1000

Related content

Germany’s Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) in November 2020 updated a guidance notice regarding the marketing of units of EU UCITS and requiring that certain information in five situations must be provided in German. Previously, this information could be provided in German or in any language commonly used in international finance.

The five situations are:

  • Suspension of the redemption of the units or shares of an EU UCITS
  • Termination of an EU UCITS’ management or the winding-up of an EU UCITS
  • Amendments to the fund rules which are inconsistent with existing investment principles, affect material investor rights or relate to remuneration or the reimbursement of expenses that may be taken out of the EU UCITS’ assets, including the reasons for the amendments and the rights of investors; the information must be communicated in an easily understandable form and manner and must indicate where and how further information may be obtained
  • The merger of EU UCITS in the form of information on the proposed merger which must be drawn up in accordance with Article 43 of Directive 2009/65/EC
  • The conversion of an EU UCITS into a feeder fund or any change to a master fund in the form of information which must be drawn up in accordance with Article 64 of Directive 2009/65/EC

Read a December 2020 report prepared by the KPMG member firm in Luxembourg

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal