COLL 8.5.3 Outsourcing by Independent Entity—All QFC Schemes

(1) The independent entity of a QFC scheme may outsource its functions in relation to the scheme in accordance with this part, and not otherwise.

Note The outsourcing provisions of CTRL do not apply in relation to an outsourcing of functions under this part (see CTRL, rule 8.1.1).
(2) However, the independent entity must not—
(a) outsource to the operator (or, if the QFC scheme is a CIC or CIP, to a member (however described) of the governing body of the CIC or CIP) any of the functions of the independent entity under rule 4.2.3 (Oversight functions of independent entity— all QFC schemes) or rule 4.2.6 (Property safeguarding functions of independent entity— all QFC schemes); or

Note CIC and CIP are defined in r 1.3.7 and r 1.3.8 respectively. Governing body is defined in the glossary.
(b) outsource to a related person for the operator (or, if the QFC scheme is a CIC or CIP, to a related person for a member (however described) of the governing body of the CIC or CIP) any of the functions of the independent entity mentioned in paragraph (a); or

Note Related person is defined in the glossary.
(c) outsource to a person the function of holding documents evidencing title to scheme property unless the person is prohibited under the outsourcing agreement from giving them to a third party without the independent entity's agreement.

Note Document evidencing title is defined in the glossary.
(3) Also, the independent entity must not outsource functions if the outsourcing may adversely impact on the Regulatory Authority's ability to supervise the independent entity's activities in relation to the scheme.
Amended by QFCRA RM/2012-5 (as from 1st July 2013).
Amended by QFCRA RM/2021-1 (as from 1st July 2021)