Directors compliance statement

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Directors' Compliance Statement - The Companies Act 2014

Impact on UCITS funds and Section 110s

The Companies Act 2014 (“the Act”) was enacted in December 2014 and has introduced the requirement for a number of assertions to be made with regard to compliance as part of the directors’ report for affected companies.

Will your Fund or Section 110 need to prepare a Directors' Compliance Statement?

Question: Are you a UCITS PLC or Section 110 PLC?

Answer: Yes - a Directors’ Compliance Statement is required.

Question: A Section 110 with a turnover* of more than €25 million and gross assets of more than €12.5 million in its financial years commencing on or after 1 June 2015?

Answer: Yes - a Directors’ Compliance Statement is required.

Adapt: Section 110s that currently do not reach these thresholds need to be on alert, if these thresholds are breached this could trigger the requirement for a DCS.

Note: The DCS refers to compliance by a single-entity. Even if one entity has included a DCS in the directors’ report then other entities within the group (if applicable) will need to include their own DCS.

*Turnover is defined in the Act as the amounts of revenue derived from the provision of goods and services falling within the company’s ordinary activities, after deduction of a) trade discounts, b) value-added tax, c) and any other tax based on the amounts so derived, and in the case of a company whose ordinary activities include the making or holding of investments includes the gross revenue derived from such activities.

Directors' Compliance Statement - Companies Act 2014: Impact on UCITS funds and Section 110s
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