When insolvency proceedings were opened against A-TEC Industries AG, claims were made for around €300 million of bond debt issued by the company. The insolvency court appointed three trustees to represent the bondholders and their collective interests against the company. This restraint of bondholders' rights caused uproar among the mainly international institutional investor base.
The Financial Market Authority (FMA) recently published a new circular concerning key information documents for packaged retail and insurance-based investment products. The FMA had already published a revised version of its circular on sound remuneration policies and practices on January 19 2018.
The Regulation on Securities Lending and Repurchase Transactions issued by the Financial Market Authority recently entered into force. This regulation contains specific limitations under the Investment Fund Act for management companies entering into securities lending or repurchase transactions on behalf of Austrian undertakings for collective investment in transferable securities.