UCITS Q&A: treatment of breaches of UCITS global exposure limit

17 August 2022 _ Regulatory & compliance

UCITS Q&A: treatment of breaches of UCITS global exposure limit
On 17 August 2021 the CSSF published an update of its UCITS Q&A in order to add a new section for Treatment of breaches of the UCITS global exposure limit.
 
In particular the following clarifications have been issued in relation to passive and active breaches of VaR limits:
  • When a breach can be considered as passive, 
  • Which actions the managers have to take in case of passive breaches,
  • Confirmation that passive breaches do not need to be reported to the CSSF
  • Which information the UCITS must communicate to the CSSF upon occurrence of an active breach of VaR limits.
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