The Specialist Fund Segment provides investment managers and their advisers with a global market which can accept a variety of corporate structures within a tailored regulatory environment.
The joining process
What is the process for admission?
Applicants to the Specialist Fund Segment will be required to produce a prospectus approved by their relevant EEA Competent Authority. For example, in the case of applicants whose Home Member State is the UK, this will be the Financial Conduct Authority (FCA). Applicants must then seek admission of securities to the Specialist Fund Segment through the process outlined in London Stock Exchange’s Admission and Disclosure Standards. For further details applicants can also refer to the Guidance for Admission to Trading on the Specialist Fund Segment for details.
What are the initial and annual costs of admission?
Admission and annual fees for securities admitted to the Specialist Fund Segment are calculated in accordance with our equity fee scale. Calculate your admission and annual fees using our fee calculator which can be found here
Can I ‘passport’ my prospectus into the UK for admission to SFS?
Yes. Refer to the Guidance for Admission to Trading on the Specialist Fund Segment for details.
Key attributes of the Specialist Fund Segment include:
Regulated by the UK’s Financial Conduct Authority
Applicants for the Specialist Fund Segment will be required to comply with European harmonised standards both at admission, and on an ongoing basis in terms of standards of disclosure and transparency, as detailed in the various FSAP Directives. In the UK, the Financial Conduct Authority is responsible for approving prospectuses and monitoring issuers’ compliance with ongoing obligations arising from the FSAP Directives.
Acceptance of sophisticated legal structures
The Specialist Fund Segment can accept a variety of sophisticated legal structures including limited partnership interests and non-voting share structures allowing the flexibility to create structures that can comply with home country tax or securities laws whilst also allowing access to permanent capital via admission to an international market.
Flexibility of an EU-regulated market
As an EU-regulated market, securities will normally be acceptable to institutional mandates. Additionally, the Specialist Fund Segment is a regulated market for the purposes of the UCITS Directive.
Some institutional investors seeking to satisfy their mandates may require issuers to apply additional elements of governance and regulation. Where this is the case, applicants and their advisers are able to provide additional tailored disclosures in their prospectuses.
The Specialist Fund Segment is open to UK and non-UK domiciled investment funds wishing to use London as a centre from which to access permanent global capital.
Efficient secondary market
Liquidity in Specialist Fund Segment securities will be facilitated by our world class trading platform. Specialist Fund Segment securities will be traded on dedicated segments of either the SETS or SETSqx services depending on their anticipated trading pattern and size.