FR – The AMF publishes a new update on the introduction of Swing Pricing mechanisms or Anti Dilution Levies
On 24 November 2022, the AMF (Autorité des Marchés Financiers), following October’s update of its DOC-2017-05 policy on Gates, published another update relative to the introduction of Swing Pricing or Anti Dilution Levies mechanisms.
These modifications provide for new requirements if the regulatory documentation of a collective investment undertaking (UCI) does not include a mechanism to cap redemption requests (Gates) and/or a mechanism to offset or reduce the costs of portfolio reorganisation borne by all holders during subscriptions and redemptions (Swing Pricing or Anti Dilution Levies).
These new obligations are applicable immediately for new UCIs and must be complied with by 31 December 2023 at the latest for existing UCIs, if these new or existing UCIs do not include such mechanisms in their regulatory documentation.