Transfer of portfolios to an institution whose home state is another member or contracting state

(1) Every contract by which the portfolio of pension relationships of a retirement provision scheme operated by a pension fund or a Pensionsfonds is to be transferred, wholly or in part, to an institution whose home state is another member or contracting state requires the approval of the competent authority in the institution's home state. The application for approval is made by the institution.
(2) The pension fund or the Pensionsfonds must ensure that the prospective and current beneficiaries who remain with the pension fund or the Pensionsfonds are not made to bear the costs of the transfer.
(3) The transfer requires the consent of 1. a majority of a) three-quarters each of the affected prospective beneficiaries and of the affected current beneficiaries of the retirement provision scheme, or b) three-quarters of the members of the representative body of the prospective and current beneficiaries, where a representative body is provided for under the articles of association of the pension fund or the Pensionsfonds, and 2. the sponsoring undertaking of the pension fund or the Pensionsfonds, insofar as its interests are affected. The pension fund or the Pensionsfonds must make information on the terms of the transfer available in good time to the affected prospective beneficiaries and the affected current beneficiaries, or to the members of the representative body named in the first sentence, point 1, letter b, before the institution submits the application under subsection (1), second sentence.
(4) Where the supervisory authority has received the application under subsection (1), second sentence, from the competent authority in the institution's home state, it examines whether 1. the long-term interests of the prospective and current beneficiaries who remain with the pension fund or the Pensionsfonds are adequately protected; 2. the individual claims of the prospective and current beneficiaries of the portfolio to be transferred, and of the remaining portfolio of the pension fund or the Pensionsfonds, are, after the transfer, at least as high as before; 3. the assets to be transferred are sufficient and adequate to cover the liabilities, the technical provisions, and the other obligations and claims in accordance with the domestic provisions. The examination under the first sentence is also carried out with a view to whether the interests of the prospective and current beneficiaries are preserved. The supervisory authority must notify the competent authority in the institution's home state, within eight weeks, whether, on the basis of the examination under the first sentence, it agrees to the transfer or not.
(5) Where the transfer results in cross-border activity of the institution, the supervisory authority informs the competent authority in the institution's home state of the provisions named in section 243(2), first sentence, points 1 and 2. It must transmit the information within four weeks of being informed by the competent authority of the approval under subsection (1), first sentence. Section 243(2) does not apply.