The Central Bank of Ireland (CBI) has identified and is investigating 182 UCITS funds it suspects of being "closet trackers", with the funds regulator already forcing boards to take action on the "transparency" of fund documentation.
Following a review of 2,550 Ireland-domiciled UCITS funds marketed as active products, the CBI found 182 met pan-European regulator ESMA's definition of a closet tracker. The CBI has already made investigations into 62 of the funds so far, with action taken against 57 of them. In a letter written by Patricia Dunne, head of the CBI's securities and markets supervision division, published on Thursday (18 July), the CBI revealed it is forcing implicated firms to amend their prospectus and KIID, which should then be sent to all investors with details of the CBI's finding. Those who need c...
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