The Securities & Futures Commission has posted a set of frequently asked questions providing investors with a basic understanding of the EU's new UCITS III regulations and to increase awareness of the implications for their existing or potential investments.

Securities & Futures Commission authorised funds which are domiciled in EU member states, including Luxembourg, Ireland and the UK, will generally be affected by the EU's new UCITS III regulations.

Existing EU funds set up under the UCITS I framework are required by the laws of their home countries to convert into UCITS III funds by February 2007. Being a premier financial centre, funds authorised in Hong Kong continue to exhibit strong international flavour.

The FAQs aim to address some basic queries regarding UCITS III and to provide investors with some general information about what they need to do and where they can obtain more information concerning the UCITS III conversion.

These FAQs can be found on the commission's investor portal the Electronic Investor Resources Centre.