EC Regulatory Guidance (Guidance for Member States on Article 42(1)(d) CPR– Eligible management costs and fees)

This new regulatory guidance is designed to provide consistent approaches and address Member States’ questions about the approaches that managing authorities should apply in relation to Article 42(1)(d) of the Common Provisions Regulation (CPR).

Article 42(1)(d), (2), (5) and (6) of the CPR establish a new approach to eligible management, as further stipulated in the CDR Articles 12, 13 and 14. Hence, content of the new guidance focuses on how to apply the new approach to management costs and fees of bodies implementing financial instruments in accordance with Article 38(4)(b) CPR. Details include information about: costs and fees; introducing a requirement for their performance orientation; and a new calculation method of thresholds. Other related topics are also featured.