Article 321-35 into force from to
- Version into force from to
The responsibility for ensuring that asset management companies comply with their professional obligations stipulated in II of Article L. 621-15 of the Monetary and Financial Code shall lie with senior management and, where appropriate, with the supervisory body.
More specifically, senior management and, where appropriate, the supervisory body, shall periodically assess and review the effectiveness of the policies, systems and procedures that the asset management company has established to comply with its professional obligations and take the appropriate measures to remedy any deficiencies.
The asset management company shall ensure that its senior management:
a) is responsible, with regard to each UCITS and managed by the asset management company, for implementing the general investment policy set forth in the SICAV's prospectus, rules or articles of association, as the case may be;
b) oversees the approval of investment strategies for each managed UCITS;
c) is responsible for ensuring that the asset management company has a permanent and effective compliance function, within the meaning of Article 321-31, even if this function is performed by a third party;
d) ensures and verifies on a periodic basis that the general investment policy, the investment strategies and the risk limits of each managed UCITS are properly and effectively implemented and complied with, even if the risk management function is performed by third parties;
e) approves and reviews on a periodic basis the adequacy of the internal procedures for undertaking investment decisions for each UCITS, so as to ensure that such decisions are consistent with the approved investment strategies;
f) approves and reviews on a periodic basis the risk management policy and arrangements, processes and techniques for implementing that policy, as referred to in Article 321-78, including the risk limit system for each managed UCITS;
g) in application of Article L. 621-8-4 of the Monetary and Financial Code, informs the AMF immediately of any incidents that could lead to a loss or gain for the asset management company, a cost linked to its civil or criminal liability, an administrative sanction or reputational damage and resulting from non-compliance with Articles 321-23 to 321-26, of an amount that exceeds 5% of its regulatory capital. Under the same conditions, they shall also inform the AMF of any event preventing the asset management company from meeting the requirements of its authorisation. They shall provide the AMF with an incident report indicating the nature of the incident, the measures implemented after it happened and the initiatives taken to prevent similar incidents from taking place in the future.
Head of publications: The Executive Director of AMF Communication Directorate. Contact: Communication Directorate – Autorité des marches financiers 17 place de la Bourse – 75082 Paris cedex 02