A common fund is a form of
collective investment scheme
An investment fund is a way of investment, investing money alongside other investors in order to benefit from the inherent advantages of working as part of a group such as reducing the risks of the investment by a significant percentage. These ad ...
based upon contractual law rather than being enacted through a
trust,
corporation
A corporation or body corporate is an individual or a group of people, such as an association or company, that has been authorized by the State (polity), state to act as a single entity (a legal entity recognized by private and public law as ...
or
insurance policy
In insurance, the insurance policy is a contract (generally a standard form contract) between the insurer and the policyholder, which determines the claim (legal), claims which the insurer is law, legally required to pay. In exchange for an initial ...
.
The model for this type of arrangement is the
Fonds commun de placement Fonds commun de placement translates to "investment funds" or "mutual funds", and are open-ended collective investment funds. The legal structure is neither a trust or a company and are more like an open ended partnership. They are similar to common ...
common in
France
France, officially the French Republic, is a country located primarily in Western Europe. Overseas France, Its overseas regions and territories include French Guiana in South America, Saint Pierre and Miquelon in the Atlantic Ocean#North Atlan ...
and
Luxembourg
Luxembourg, officially the Grand Duchy of Luxembourg, is a landlocked country in Western Europe. It is bordered by Belgium to the west and north, Germany to the east, and France on the south. Its capital and most populous city, Luxembour ...
. The
common contractual fund
A common contractual fund (CCF) is a collective investment scheme structure in Ireland introduced by the European Communities UCITS Regulations, 2003.
The CCF is an unincorporated body established by a management company under which the parti ...
in
Ireland
Ireland (, ; ; Ulster Scots dialect, Ulster-Scots: ) is an island in the North Atlantic Ocean, in Northwestern Europe. Geopolitically, the island is divided between the Republic of Ireland (officially Names of the Irish state, named Irelan ...
is another prominent example.
See also
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Collective investment scheme
An investment fund is a way of investment, investing money alongside other investors in order to benefit from the inherent advantages of working as part of a group such as reducing the risks of the investment by a significant percentage. These ad ...
*
Fonds commun de placement Fonds commun de placement translates to "investment funds" or "mutual funds", and are open-ended collective investment funds. The legal structure is neither a trust or a company and are more like an open ended partnership. They are similar to common ...
*
Common contractual fund
A common contractual fund (CCF) is a collective investment scheme structure in Ireland introduced by the European Communities UCITS Regulations, 2003.
The CCF is an unincorporated body established by a management company under which the parti ...
References
External links
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Investment funds
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