SCHEDULES

SCHEDULE 27DISTRIBUTING FUNDS

PART IIMODIFICATIONS OF CONDITIONS FOR CERTIFICATION IN CERTAIN CASES

Exclusion of investments in distributing offshore funds

9(1)The references in paragraphs 7 and 8(1) above to the primary fund’s share of—

(a)an interest forming part of the assets of the qualifying fund, or

(b)the excess income (as defined in paragraph 8 above) of the qualifying fund,

shall be construed as references to the fraction specified in sub-paragraph (2) below of that interest or excess income.

(2)In relation to any account period of the primary fund, the fraction referred to in sub-paragraph (1) above is—

Formula - C divide by D

where—

  • C is the average value of the primary fund’s holding of interests in the qualifying fund during that period; and

  • D is the average value of all the interests in the qualifying fund held by any persons during that period.