Knowledge Base

← Collective Investment / Third-Party Asset Management

Questions

Who is responsible for disclosing the identity of the prime broker to investors?

The depositary
The fund administrator
The management company
The regulator

Which service is NOT typically provided by a prime broker?

Position financing through margin lending
Trade execution on financial instruments as counterparty
Direct management of investment portfolios
Securities lending enabling short positions

Which directive imposes specific rules on the delegation of fund administration functions?

UCITS Directive
AIFM Directive
Delegated Regulation 231/2013
Code monétaire et financier

The fund administrator can be the management company itself under French law.

True
False

Primary function of a fund administrator

Click to see answer

Categorize items by dragging them to the appropriate zones

Items to categorize:

Position financing through margin lending
Calculation of net asset value
Management of the unit-holder register
Categories:

Prime broker (PB)

Fund administrator (FA)

A prime broker can simultaneously act as the depositary of an alternative investment fund without any functional separation.

True
False

According to Article L. 214-24, VII of the Code monétaire et financier, what type of entity can be a prime broker?

An alternative investment fund
A portfolio management company
A regulated credit institution or investment firm
A depositary