Clifford Chance

CSSF circular 24-856 on the protection of investors

2 April 2024

CSSF Circular 24/856 on the protection of investors in case of NAV calculation errors, non-compliance with investment rules and other errors at the level of a UCI.

The CSSF published on 29 March 2024 its Circular 24/856 (the "Circular") concerning NAV calculation errors, non-compliance with investment rules and other errors (the "Errors"). The Circular (49 pages, only in French for the moment) is a crucial piece of regulation for supervised UCIs that will replace Circular 02/77. The Circular incorporates the CSSF regulatory practice built up over more than 20 years. Like Circular 02/77, the Circular deals with NAV calculation errors and non-compliance with investment rules but also addresses more specifically other types of errors (i.e., swing pricing errors, wrong payment of fees and costs, non-compliance with cut-off rules, and investment allocation errors – together the "Other Errors").

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