Read the CySEC Circular C673
Memo #54-2024
CySEC Circular No: C673
Date: 23/12/2024
Subject: Suspension of redemption of UCITS and AIF units on 24 December 2024
Purpose: To inform Regulated Entities that the redemption of UCITS and AIF units is suspended on 24/12/2024.
In Summary:
CySEC has issued the Circular C673 on 20/12/2024 to inform the Alternative Investment Fund Managers (‘AIFMs’), UCITS Management Companies (‘UCITS MC’), Self-Managed UCITS (‘SM UCITS’), Self-Managed Alternative Investment Funds (‘SM AIFs’), Self-Managed Alternative Investment Funds with Limited Number of Persons (‘SM AIFLNP’), Companies with sole purpose the management of AIFLNPs, Small AIFMs and the Cyprus Investment Firms (‘CIFs’), that the redemption of UCITS and AIF units is suspended on 24/12/2024.
CySEC notes that the suspension refers to UCITS and AIFs that hold assets in transferable securities listed in regulated markets and whose net asset value is calculated on a daily basis.
CySEC further informs that it reached this decision after taking into consideration the:
• The provision of article 20(1) of the Open-Ended Undertakings for Collective Investment (UCI) Law (the “UCI Law”).
• The provision of article 43(3) of the Alternative Investment Funds Law (the “AIF Law”).
• The fact that 24/12/2024 is a public holiday (Christmas Eve) in most international stock markets.
• The need to safeguard the interests of unit-holders of UCITS and AIFs and the proper functioning of the market.
CySEC further notes that the obligations under article 20(2) of the UCI Law and article 43 of the AIF Law continue to apply.
Read the CySEC Circular C673
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