UCITS passporting in Lithuania

1. EEA UCITS Scheme

In Lithuania Law on Collective Investment Undertakings (“LCIU”) regulates the establishment, management and marketing of UCITS. EEA Management Companies authorised in their home EEA State may start marketing their units or shares in Lithuania only after the HMSA notifies EEA Management Companies that the notification letter about its intention to market units and shares as well as other necessary documents have been communicated to the relevant Lithuanian supervisory authority – the Bank of Lithuania (“BoL”) in the manner established by Regulation (EU) 584 / 2010 and according to procedure established in Marketing of Units and Shares of Harmonised Undertakings for Collective Investment approved by BoL.

Notification

The EEA Management Company intending to market units or shares in Lithuania has to submit to its competent authority the following documents:

  1. The notification letter prepared in accordance with Annex I of Regulation (EU) 584 / 2010;
  2. latest fund rules (or instruments of incorporation of UCITS), prospectus, published annual report and any subsequent half-yearly report (if applicable);
  3. latest KIIDs.

Part B of the notification prepared according to Annex I of the Regulation (EU) 584 / 2010 shall be used to provide additional information about the agents marketing in Lithuania the UCITS established in another Member State, expiration date of applications for acquisition and redemption of UCITS, amounts of purchase, sale and exchange fees directly applicable to the investors of Lithuania.

The KIID has to be prepared in the Lithuanian language, other information and documentation – either in the Lithuanian or English language.

UCITS or its EEA Management Companies can commence marketing of units or shares in Lithuania as of the date when the HMSA notifies the UCITS or its EEA Management Companies that the notification letter and the documents above have been delivered to the BoL.

Marketing of units or shares of UCITS may be performed in Lithuania only by the following entities:

  1. credit institutions entitled to provide investment services in Lithuania;
  2. investment firms entitled to provide investment services in Lithuania;
  3. financial adviser companies licensed in the Lithuania;
  4. asset management companies entitled to provide services in Lithuania.

Requirements for UCITS advertising are set out in the LCIU, Financial Services Advertising Guidelines approved by BoL and Law on Advertising of the Republic of Lithuania.

If there would be any changes (i.e. updates, amendments) to notification documents specified above, the BoL must be notified by e-mail. In the event of change in the information regarding the arrangements made for marketing of units or shares of the respective undertaking, UCITS or its EEA Management Company has to give a written notice thereof to the BoL prior to implementing such changes.

2. Fees

Currently, there is no state fee for processing a marketing notification of an EEA Management Company.

The state fee for the establishment of a collective investment undertaking in Lithuania could vary from EUR 223 to EUR 790 depending on the form of the undertaking.