FUND 3.5 of the FCA Handbook describes how the rules in this section apply where a full-scope UK AIFM invests in securitisation positions on behalf of AIFs. It indicates which AIFMs and AIFs fall within scope, signposts the due-diligence and ongoing monitoring provisions that interact with the UK securitisation framework, and highlights how related transitional provisions operate for certain securitisations. Core sections include:
Application
sets out which full-scope UK AIFMs and AIFs fall within the scope of the investment in securitisation positions provisions in FUND 3.5.
Corrective action
outlines the high-level expectations for AIFMs where AIFs gain exposure to securitisation positions, including signposts to applicable due-diligence and corrective-action provisions and to relevant transitional arrangements for certain securitisations.
Describes the obligation on the AIFM to prepare and make an annual report available for each in-scope AIF within a specified period and to identified recipients, including investors and the FCA where relevant.
