Asset Management & Investment Funds: Irish Practice Developments – June 2022

Taxonomy alignment disclosures

The Central Bank of Ireland (CBI) is engaging with Irish Funds in respect of its current guidance on filings relating to taxonomy alignment disclosure. This engagement takes into account the publication of answers provided by the EU Commission to a number of questions in relation to the applicability of the Sustainable Finance Disclosure Regulation and the Taxonomy Regulation discussed here

For more information on this topic please contact any member of A&L Goodbody's Asset Management & Investment Funds team.

Financial Sanctions

The CBI issued a Letter to business and professional representative bodies to assist entities to meet their obligations under the EU financial sanctions. Key points include:

  • Where accounts, funds, or other assets have been frozen this must be reported, without delay, to the CBI, using the CBI sanctions return form, which should be submitted by email to sanctions@centralbank.ie.
  • In circumstances where an entity or an individual is owned or controlled by a sanctioned entity or individual, the sanctions extend to that entity or individual. Therefore, all individuals and entities must assess the ownership/control of its counterparts to determine if the sanctions are applicable. The EU Commission's guidance on ownership and control provides further information on this element of sanctions.
  • If an individual or entity identifies a breach, or suspected breach of sanctions, this must be reported to An Garda Síochána.
  • Derogation applications should be made to the CBI using the CBI's derogation application form. Completed application forms, together with relevant information and documentation, should be submitted by email to: sanctions@centralbank.ie.
  • The CBI again referenced the EU Commission's dedicated webpage, entitled Sanctions adopted following Russia's military aggression against Ukraine. The page is regularly updated and so natural and legal persons are encouraged to regularly visit this page for the latest information. 

The EU adopted a sixth package of sanctions as set out on the CBI's dedicated webpage. Of particular note is Council Regulation 2022/880 which introduces further derogation options from the asset freeze and the prohibition to make funds and economic resources available to designated persons and entities.

CBI CP86 Questionnaire 2022

The CBI issued their CP86 2022 questionnaire. This questionnaire follows on from the thematic review of the implementation of fund management company effectiveness requirements. In its Dear Chair letter issued 20 October 2020, the CBI noted that, in addition to its continued supervisory engagement in 2021, it would conduct a further industry wide review in 2022 on this topic. All fund management companies (including self-managed UCITS and internally managed AIFs) are required to complete the questionnaire by COB on 24 June 2022

Beneficial ownership register of certain financial vehicles levy collection

The CBI issued its levy notification for the beneficial ownership register of certain financial vehicles (CFV) levy collection process, to recover costs incurred in the 2021 period. Invoices will be issuing in July 2022 to all in-scope CFV. The levy for the period 2021 is €811 per CFV.

For more information please contact a member of the Asset Management & Investment Funds team.

Date published: 30 June 2022