Approval of the feeder fund

(1) The investment of a feeder fund in a master fund requires the prior approval of the Federal Institute. The investment of a domestic UCITS as a feeder fund in a master fund may be approved only insofar as the master fund is a UCITS. The investment of an Other Investment Fund as a feeder fund in a master fund may be approved only insofar as the master fund is likewise an Other Investment Fund.
(2) Special AIF may not be master funds or feeder funds of a master-feeder structure where retail investment funds are master funds or feeder funds of the same master-feeder structure.
(3) The capital management company managing the feeder fund must attach the following particulars and documents to the application for approval: 1. the investment conditions or the articles of association of the feeder fund and the master fund, 2. the sales prospectus and either the key information document under Regulation (EU) No 1286/2014 or the key investor information of the feeder fund and the master fund under sections 164, 166, or under Article 78 of Directive 2009/65/EC, 3. the master-feeder agreement or the corresponding internal rules of conduct for business activities under section 175(1), second sentence, or Article 60(1), third subparagraph, of Directive 2009/65/EC, 4. the depositary agreement within the meaning of section 175(2), where different depositaries have been engaged for the master fund and the feeder fund, 5. the auditor agreement, where different auditors have been appointed for the master fund and the feeder fund, and 6. where applicable, the information for investors under section 180(1). For an EU UCITS that has issued units to at least one UCITS feeder fund, is not itself a feeder fund, and does not hold units of a feeder fund (EU master UCITS), the capital management company managing the feeder fund must additionally attach a confirmation from the competent authority of the master fund's home State that it is an EU UCITS, is not itself a feeder fund, and does not hold units in another feeder fund. Documents in a foreign language must be submitted with a German translation.
(4) The intended change of investment to another master fund requires the prior approval of the Federal Institute under subsection (1). The following particulars and documents must be attached to the application for approval: 1. the application for approval of the amendment to the investment conditions, naming the master fund, 2. the amendments made to the sales prospectus and either to the key information document under Regulation (EU) No 1286/2014 or to the key investor information, and 3. the documents under subsection (3).
(5) By way of derogation from section 163(2), first sentence, the Federal Institute must grant the approval under subsection (1) or subsection (4) within a period of 15 working days, where all the documents named in subsection (3) or subsection (4) are complete, and the feeder fund, its depositary and its auditor, and the master fund, satisfy the requirements of this Division. Where the requirements for approval are not satisfied, the Federal Institute must inform the applicant of this within the period under the first sentence, stating the reasons, and must request missing or amended particulars or documents. Upon receipt of the requested particulars or documents, the period named in the first sentence begins to run afresh. Approval is deemed to have been granted where no decision has been made on the application for approval within the period under the first sentence and no notice under the second sentence has been given. On application by the capital management company, the Federal Institute must confirm the approval under the fourth sentence.
(6) Where it is intended that an EU UCITS investing at least 85 percent of its assets in a master fund (EU feeder UCITS) invest in a domestic UCITS as master fund, the Federal Institute must, on application by the EU UCITS management company or the capital management company managing the feeder fund, issue a certificate confirming that this master fund is a domestic UCITS, that the domestic UCITS is not itself also a feeder fund, and that it does not hold units in a feeder fund. The certificate serves for submission to the competent authorities of the home State of an EU feeder UCITS, and as evidence that the master fund is a domestic UCITS, that it is not itself also a feeder fund, and that it does not hold units in a feeder fund. As evidence that no units in a feeder fund are held, the depositary must issue a corresponding confirmation, which, at the time the application is made, may be no older than two weeks.