(a) require authorisation as UCITS or are authorised as UCITS under Directive 2009/65/EC or are AIFs under Directive 2011/61/EU; (b) invest in short-term assets; and (c) have distinct or cumulative objectives offering returns in line with money market rates or preserving the value of the investment.
Regulation (EU) 2017/1131 of the European Parliament and of the Council of 14 June 2017 on money market funds (Text with EEA relevance. )
Modified by
- Commission Delegated Regulation (EU) 2018/990of 10 April 2018amending and supplementing Regulation (EU) 2017/1131 of the European Parliament and of the Council with regard to simple, transparent and standardised (STS) securitisations and asset-backed commercial papers (ABCPs), requirements for assets received as part of reverse repurchase agreements and credit quality assessment methodologies(Text with EEA relevance), 32018R0990, July 13, 2018
- Regulation (EU) 2023/2869 of the European Parliament and of the Councilof 13 December 2023amending certain Regulations as regards the establishment and functioning of the European single access point(Text with EEA relevance), 32023R2869, December 20, 2023
(1) "short-term assets" means financial assets with a residual maturity not exceeding 2 years; (2) "money market instruments" means money market instruments as defined in Article 2(1)(o) of Directive 2009/65/EC, and instruments as referred to in Article 3 of Commission Directive 2007/16/EC Commission Directive 2007/16/EC of 19 March 2007 implementing Council Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS) as regards the clarification of certain definitions (OJ L 79, 20.3.2007, p. 11 ).(3) "transferable securities" means transferable securities as defined in Article 2(1)(n) of Directive 2009/65/EC, and instruments as referred to in Article 2(1) of Directive 2007/16/EC; (4) "repurchase agreement" means any agreement in which one party transfers securities or any rights related to that title to a counterparty, subject to a commitment to repurchase them at a specified price on a future date specified or to be specified; (5) "reverse repurchase agreement" means any agreement in which one party receives securities, or any rights related to a title or security from a counterparty subject to a commitment to sell them back at a specified price on a future date specified or to be specified; (6) "securities lending" and "securities borrowing" mean any transaction in which an institution or its counterparty transfers securities subject to a commitment that the borrower will return equivalent securities at some future date or when requested to do so by the transferor, that transaction being known as "securities lending" for the institution transferring the securities and being known as "securities borrowing" for the institution to which they are transferred; (7) "securitisation" means securitisation as defined in Article 4(1)(61) of Regulation (EU) No 575/2013; (8) "mark-to-market" means the valuation of positions at readily available close out prices that are sourced independently, including exchange prices, screen prices, or quotes from several independent reputable brokers; (9) "mark-to-model" means any valuation which is benchmarked, extrapolated or otherwise calculated from one or more market input; (10) "amortised cost method" means a valuation method which takes the acquisition cost of an asset and adjusts that value for amortisation of premiums or discounts until maturity; (11) "public debt constant net asset value MMF" or "public debt CNAV MMF" means an MMF: (a) that seeks to maintain an unchanging net asset value (NAV) per unit or share; (b) where the income in the fund is accrued daily and can either be paid out to the investor or used to purchase more units or shares in the fund; (c) where assets are generally valued according to the amortised cost method and where the NAV is rounded to the nearest percentage point or its equivalent in currency terms; and (d) that invests at least 99,5 % of its assets in instruments referred to in Article 17(7), reverse repurchase agreements secured with government debt referred to in Article 17(7) and in cash;
(12) "low volatility net asset value MMF" or "LVNAV MMF" means an MMF that complies with the specific requirements laid down in Articles 29, 30 and 32 and in Article 33(2)(b); (13) "variable net asset value MMF" or "VNAV MMF" means an MMF that complies with the specific requirements laid down in Articles 29 and 30 and in Article 33(1); (14) "short-term MMF" means an MMF that invests in eligible money market instruments referred to in Article 10(1) and is subject to the portfolio rules set out in Article 24; (15) "standard MMF" means an MMF that invests in eligible money market instruments referred to in Article 10(1) and (2) and is subject to the portfolio rules set out in Article 25; (16) "credit institution" means credit institution as defined in point (1) of Article 4(1) of Regulation (EU) No 575/2013; (17) "competent authority of the MMF" means: (a) for UCITS, the competent authority of the UCITS home Member State designated in accordance with Article 97 of Directive 2009/65/EC; (b) for EU AIFs, the competent authority of the home Member State of the AIF as defined in Article 4(1)(p) of Directive 2011/61/EU; (c) for non-EU AIFs, any of the following: (i) the competent authority of the Member State where the non-EU AIF is marketed in the Union without a passport; (ii) the competent authority of the EU AIFM managing the non-EU AIF, where the non-EU AIF is marketed in the Union with a passport or is not marketed in the Union; (iii) the competent authority of the Member State of reference if the non-EU AIF is not managed by an EU AIFM and is marketed in the Union with a passport;
(18) "legal maturity" means the date when the principal of a security is to be repaid in full and which is not subject to any optionality; (19) "weighted average maturity" or "WAM" means the average length of time to legal maturity or, if shorter, to the next interest rate reset to a money market rate, of all of the underlying assets in the MMF reflecting the relative holdings in each asset; (20) "weighted average life" or "WAL" means the average length of time to legal maturity of all of the underlying assets in the MMF reflecting the relative holdings in each asset; (21) "residual maturity" means the length of time remaining until the legal maturity of a security; (22) "short sale" means any sale by an MMF of an instrument which the MMF does not own at the time of entering into the agreement to sell, including such sale where, at the time of entering into the agreement to sell, the MMF has borrowed or agreed to borrow the instrument for delivery at settlement, not including: (a) a sale by either party under a repurchase agreement where one party has agreed to sell to the other a security at a specified price with a commitment from the other party to sell the security back at a later date at another specified price; or (b) an entry into a futures contract or other derivative contract where it is agreed to sell securities at a specified price at a future date;
(23) "manager of an MMF" means, in the case of an MMF that is a UCITS, the UCITS management company, or the UCITS investment company in the case of a self-managed UCITS, and, in the case of an MMF that is an AIF, an AIFM or an internally-managed AIF.
(a) a VNAV MMF; (b) a public debt CNAV MMF; (c) a LVNAV MMF.
(a) the fund rules or instruments of incorporation of the MMF, including an indication of which type of MMF it is from those set out in Article 3(1); (b) identification of the manager of the MMF; (c) identification of the depositary; (d) a description of, or any information on, the MMF available to investors; (e) a description of, or any information on, the arrangements and procedures needed to comply with the requirements referred to in Chapters II to VII; (f) any other information or document requested by the competent authority of the MMF to verify compliance with the requirements of this Regulation.
(a) the written agreement with the depositary; (b) information on delegation arrangements regarding portfolio and risk management and administration with regard to the AIF; (c) information about the investment strategies, the risk profile and other characteristics of MMFs that are AIFs that the AIFM manages or intends to manage.
(a) the AIFM does not comply with this Regulation; (b) the AIFM does not comply with Directive 2011/61/EU; (c) the AIFM is not authorised by its competent authority to manage MMFs; (d) the AIFM has not provided the documentation referred to in paragraph 2.
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