Obtain either FCA authorisation or recognition
For both routes the fund must be either an FCA authorised or recognised collective investment scheme and must take the legal form of an Authorised Unit Trust scheme (an AUT), an Investment Company with Variable Capital (an ICVC), or an Authorised Contractual Scheme (an ACS). Collective investment schemes established in the EEA from 1 January 2021 must be fully authorised under section 272 of FSMA. For EEA domiciled ETFs, fund managers are permitted to enter a new sub-fund (i.e a sub-fund authorized by its home state Regulator after implementation period completion day) for admission to trading for an umbrella fund which has an existing sub-fund in the Temporary Permissions Regime (TPR).
London Stock Exchange currently maintains criteria on fund characteristics to ensure they are favourable to market conditions and maintaining liquidity:
The application for admission to LSEplc can be administered by the fund’s sponsor or directly by the issuer. It is necessary to arrange for the creation of the relevant trading codes (i.e. once it has been determined what funds are to admit) as soon as possible in the admission process
International securities identification numbers (ISINs) are normally allocated by the country of domicile of the issuer. LSEplc is then responsible for allocating a stock exchange daily official list (SEDOL) code, which is a unique instrument identifier. Please email the pricing supplement(s) to this email address and allow 48 hours for these to be assigned.
A tradable instrument display mnemonic (TIDM) is the three- or four-character identifier specific to London Stock Exchange. Issuers may request a specific TIDM, which will be issued provided it is not already in use or reserved. Once reserved, these are held for a period of six months. Requests should be made to the Market Admission and Data Management team, who manage new admissions to London Stock Exchange. Please email the issuer name and the description of each line (multicurrency lines require unique TIDMs), making it clear that it is a TIDM request, here.
In order to admit an ETF to trading the following documentation will be required.
For ETFs admitting on the basis of a FCA listing, the below documents must be submitted to the Exchange 11 business days (by 12.00pm) before the target admission date, unless a sub-fund, whereby these can be submitted 5 business days before the target admission date:
For ETFs admitting on the basis of an EEA listing, the below documents must be submitted to the Exchange 11 business days (by 12.00pm) before the target admission date unless a sub-fund, whereby these can be submitted 5 business days before the target admission date: