UCITS

From Article 1(2) of Council Directive (85/611/EEC) of 20 December 1985 on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS)

For the purposes of this Directive, and subject to Article 2, UCITS shall be undertakings:

• the sole object of which is the collective investment in transferable securities and/or in other liquid financial assets referred to in Article 19(1) of capital raised from the public and which operates on the principle of risk-spreading and
• the units of which are, at the request of holders, re-purchased or redeemed, directly or indirectly, out of those undertakings' assets. Action taken by a UCITS to ensure that the stock exchange value of its units does not significantly vary from their net asset value shall be regarded as equivalent to such re-purchase or redemption.

See Also

• UCITS fair value
• UCITS liquid financial assets
• UCITS daily valuation
• UCITS