What is an Authorised Corporate Director?
A corporate body and an authorised person given powers and duties under the Financial Conduct Authority (“FCA”) regulations to operate an Open Ended Investment Company (“OEIC”).
What is an OEIC?
Essentially an OEIC is a pooled investment fund of variable size in corporate form. It owns investment assets, for example stocks and shares, gilts, bonds and certain other financial instruments. The size of an OEIC varies reflecting the market value of its underlying investments. It will also fluctuate as investors buy and sell shares as the OEIC has more or less property to invest. It is in this sense that it is open-ended.
The ACD Role
The responsibilities of an OEIC’s ACD are set out in the Open-Ended Investment Companies (Investment Companies with Variable Capital) Regulation 1996 and the FCA’s Collective Investment Scheme Handbook. These include dealing with the day to day operation of the company. The ACD’s responsibilities include managing the company’s investments, buying and selling own shares on demand, and ensuring accurate pricing of shares at net asset value.
An ACD must be authorised by the FCA.
How Can Gallium Help?
Gallium is authorised and regulated by the FCA to establish, operate and wind-up regulated collective investment schemes such as OEICs. In particular, Gallium is assisting a number of clients with the creation of new Property Alternative Investment Funds (“PAIFs”) and Fund of Alternative Investment Funds (“FAIFs”).
Gallium will provide a full suite of services and act as the Authorised Corporate Director for OEICs.
If you are interested in the ACD service then please contact us to obtain further information and to arrange a meeting to discuss your requirements in more detail.