Management, advisory board

(1) The management of the closed-ended investment limited partnership consists of at least two persons. The requirement under the first sentence is also satisfied where the manager of the closed-ended investment limited partnership is a legal person whose own management is in turn exercised by two persons. The management is obliged to
1. act, in the exercise of its activity, exclusively in the interest of the partners and of market integrity,
2. exercise its activity with the requisite skill, care, and diligence in the best interest of the assets managed by it and of market integrity, and
3. endeavour to avoid conflicts of interest, and, where these cannot be avoided, ensure that unavoidable conflicts are resolved with due regard to the interests of the partners. The management must act independently of the depositary in performing its tasks.
(2) The members of the management must be reliable and have the professional suitability required for managing the closed-ended investment limited partnership, including with regard to the nature of the closed-ended investment limited partnership's object of undertaking. The appointment and departure of members of the management must be notified to the Federal Institute without delay.
(3) The internally managed closed-ended retail investment limited partnership must form an advisory board that supervises the management in implementing the investment conditions. Section 18(2), fourth sentence, and (3), second and fourth sentence, applies correspondingly. The character and expertise of the members of the advisory board must offer assurance that the interests of investors are safeguarded. The appointment and departure of members of the advisory board must be notified to the Federal Institute without delay.
(4) Members of the management or the advisory board of the closed-ended investment limited partnership may neither sell assets to the investment limited partnership nor acquire assets from it. This does not cover the acquisition and disposal of limited partnership interests by members of the management.
(5) The Federal Institute may require the removal of the management or of members of the management, and may prohibit them from exercising their activity, where
1. facts exist showing that the management or members of the management are not reliable, or do not have the professional suitability required for management under subsection (3), or
2. the management or members of the management persistently infringe the provisions of this Act or of the Anti-Money Laundering Act.