Subsection 2: Funds open to non-professional investors.

During the pre-liquidation period, the fund : 1° May no longer arrange for new subscriptions of units other than those of its unitholders on the date of its entry into the pre-liquidation period in order to reinvest in units, shares, redeemable bonds, convertible bonds or profit-sharing securities, as well as in current account advances in companies which are not admitted to trading on a financial instruments market within the meaning…

When a fund management company enters into forward purchase or sale transactions involving securities which are not admitted to trading on a financial instruments market within the meaning of I of article L. 214-28, the agreements relating to these transactions are entered into within the limits and under the conditions specified in the fund rules.

The management company may not, on behalf of a fund, carry out any transactions other than forward or spot purchases or sales of its assets which are not traded on a regulated market within the meaning of article R. 214-32-18, within the limits set by this section, nor may it sell or buy equity or debt securities held for more than twelve months to an affiliated undertaking in respect of…

I. – If the fund rules provide for capital to be called up in stages, it shall be paid up by the unitholders at the request of the management company before the end of the lock-up period provided for in VII of article L. 214-28. The fund rules define the terms and conditions under which interest is charged on amounts not paid by the due date set by the management…

The management company reports to unitholders on the appointment of its corporate officers and employees to the positions of manager, director, member of the management board or member of the supervisory board of the companies in which the fund holds investments.

For the purposes of 1° of I of article L. 214-31, a company is deemed to carry out its activities mainly in establishments located in the regions or geographical area chosen by a local investment fund when, at the close of their financial year preceding the fund’s first investment in that company: 1° Either these establishments meet two of the following three conditions: a) Their combined sales represent at least…

For the companies mentioned in 3° of I of article L. 214-31, the condition of exclusive ownership is met when securities giving access to the capital of companies whose purpose is not to hold financial investments and which meet the eligibility conditions set out in the first paragraph and in 1° and 2° of I represent 90% of their assets.

The entities mentioned in 2° of II of article L. 214-28 in which local investment funds may invest are those which limit the liability of their investors to the amount of their contributions.

The Autorité des marchés financiers shall refuse to approve the creation of a local investment fund if, over a period of three years, each of the innovation mutual funds and local investment funds set up by the management company concerned has subscriptions totalling less than 5 million euros and if all the private equity funds referred to in articles L. 214-27 et seq. 214-27 et seq. and the professional investment…