Paragraph 127: Meaning of “permitted property”
3668.This paragraph is based on regulation 3 of PPB(T)R.
3669.It extends the categories of permitted property, for the purposes of paragraphs 122 and 123 (the first and second selection conditions), beyond those listed in section 520. The added categories are all stocks and shares listed or dealt with in open markets after the beginning of the period mentioned in those paragraphs. (The Alternative Investment Market succeeded the Unlisted Securities Market.)
3670.Sub-paragraph (2) puts a cap on stocks and shares listed on those markets which are not a recognised stock exchange, where the investment in the company exceeds 10% of:
the issued share capital of the company; or
the total amount of premiums paid under the policy or contract.
3671.The reference to “the total amount of premiums paid” in sub-paragraph (2)(b) is to be construed in accordance with the definitions in section 545.
