Regulations for VCCs
Are the different sub funds affected when one of them is in liquidation?
The VCC Act expressly provides for the segregation of the assets and liabilities of sub-funds within an umbrella VCC. The VCC Act further provides that (i) any provision inconsistent with such segregation of assets and liabilities of sub-funds is void to the extent of its inconsistency, and (ii) in documents referring to sub-funds and dealings on behalf of sub-funds, a VCC must disclose the sub-fund’s name, registration number and the fact that the sub-fund has segregated assets and liabilities.