Part III Individuals, partnerships, trusts and collective investment schemes

Chapter III Collective investment schemes and investment trusts

99AF1Authorised unit trusts: treatment of umbrella schemes

1

In this section an “umbrella scheme” means an authorised unit trust—

a

which provides arrangements for separate pooling of the contributions of the participants and the profits or income out of which payments are to be made to them, and

b

under which the participants are entitled to exchange rights in one pool for rights in another,

and any reference to a part of an umbrella scheme is a reference to such of the arrangements as relate to a separate pool.

2

For the purposes of this Act (except subsection (1))—

a

each of the parts of an umbrella scheme shall be regarded as an authorised unit trust, and

b

the scheme as a whole shall not be regarded as an authorised unit trust or as any other form of collective investment scheme.

3

In this Act, in relation to a part of an umbrella scheme, any reference to a unit holder is to a person for the time being having rights in the separate pool to which the part of the umbrella scheme relates.

4

Nothing in subsections (2) or (3) shall prevent—

a

gains accruing to an umbrella scheme being regarded as gains accruing to an authorised unit trust for the purposes of section 100(1) (exemption for authorised unit trusts etc);

b

a transfer of business to an umbrella scheme being regarded as a transfer to an authorised unit trust for the purposes of section 139(4) (exclusion of transfers to authorised unit trusts etc);

F2c

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