Regulatory Alerts2022-01-01
Regulation on Compensation of UCITS Fund Investors and/or the UCITS Fund – Unofficial Consolidated Text (Narodne novine, No. 16/19 and 150/22)
The Croatian Financial Services Agency (HANFA) issued this Regulation to establish a comprehensive compensation framework for UCITS fund investors and the funds themselves following incorrect share price calculations, unauthorized breaches of investment limits, or management omissions. It requires management companies to prepare and submit detailed compensation plans within 60 days, notify affected investors within 10 days, and bear all associated costs while applying material error thresholds of 1% for general funds, 0.3% for money market funds, and 0.7% for bond funds. The Regulation further streamlines the process by introducing a simplified procedure for claims under €6,500 total and €330 per investor, reducing documentation burdens while ensuring full cost recovery for fund losses caused by investment limit exceedances.