ESMA_QA_1241

Status: ✅ Answer Published

Link to ESMA Q&A tool: https://www.esma.europa.eu/publications-data/questions-answers/1241


Regulatory Context

Regulation : PILOT

Level 1 Regulation: Regulation (EU) 2022/858 - DLT Pilot Regime Regulation (DLTR)

Level 2 Regulation: No information available

Level 3 Regulation: No information available

Topic: DLT market infrastructure

Subject Matter: UCITS eligible under DLTPR


Question

Submission Date: 02 June 2023

Does Article 3(1), point (c), of the DLTPR require that a UCITS fund should be an ETF in order to be eligible?


ESMA Answer

Answer Date: 27-06-2023

[ESMA70-460-189 - Heading 7 - Question 4] Answer provided by the European Commission in accordance with Article 16b(5) of the ESMA Regulation. Under MIFID, units in UCITS funds fall under the category of financial instruments referred to in Section C point (3) of Annex I to that Directive, so_x0002_called units in collective investment undertakings. Under Article 3(1), point (c), DLTPR, that category of financial instruments is eligible to be admitted to trading on a DLT market infrastructure, or be recorded on a DLT market infrastructure provided that those units in collective investment undertakings are covered by Article 25(4), point (a)(iv), MIFID and that the market value of the assets under management of that fund is less than EUR 500 million. There are no requirements in Article 3(1), point (c), DLTPR that would require that a UCITS fund also needs to be an exchange-traded fund within the meaning of Article 4(1), point (46) MIFID in order to be eligible for the pilot regime. Disclaimer in relation to the answers provided by the European Commission in accordance with Article 16b(5) of the ESMA Regulation: these answers clarify provisions already contained in the applicable legislation. They do not extend in any way the rights and obligations deriving from such legislation nor do they introduce any additional requirements for the concerned operators and competent authorities. The answers are merely intended to assist natural or legal persons, including competent authorities and Union institutions and bodies in clarifying the application or implementation of the relevant legal provisions. Only the Court of Justice of the European Union is competent to authoritatively interpret Union law. The views expressed in the internal Commission Decision cannot prejudge the position that the European Commission might take before the Union and national courts.


This document was automatically extracted from the ESMA EMIR Q&A database.