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Application provision

1.1 Unless otherwise stated, this Part applies to every firm except:

  1. (1) an incoming EEA firm;
  2. (2) an incoming Treaty firm; and
  3. (3) an insurer that is not a UK Solvency II firm.

5.1

12/10/2016

A firm must treat an asset management company and an alternative investment fund manager that is a member of a financial conglomerate of which that firm is a member:

  1. (1) as included in the overall financial sector for the purposes of:
    1. (1) 3.3 to 4.3;
    2. (2) Annex 2 (Capital adequacy calculations for financial conglomerates) and Annex 3 (Prudential rules for third country financial conglomerates); and
    3. (3) any other provision of the PRA Rulebook relating to the supervision of financial conglomerates.

[Note: first paragraph of Art 30 and paragraph 1 of Art 30a of the Financial Groups Directive]

  1. (2) In the case of a financial conglomerate for which the PRA is the coordinator,firm must allocate an asset management company and an alternative investment fund manager:
    1. (a) to the investment services sector where a decision to that effect has been made by the undertaking in the financial conglomerate that is the group member referred to in Article 4(2) of the Financial Groups Directive;
    2. (b) to the insurance sector where a decision to that effect has been made by the undertaking in the financial conglomerate that is the group member referred to in Article 4(2) of the Financial Conglomerates Directive; or
    3. (c) to the smallest financial sector.
  2. (3) The decision in (2):
    1. (a) will apply to all asset management companies and all alternative investment fund managers that are members of the financial conglomerate from time to time;
    2. (b) cannot be changed; and
    3. (c) must be notified to the PRA without delay.
  3. (4) This rule applies even if a UCITS management company is an IFPRU investment firm or if an asset management company or alternative investment fund manager is an investment firm.

[Note: second paragraph of Art 30 and Art 30a(2) of the Financial Groups Directive]