BNY Mellon has been selected to service the UK’s first Tax Transparent Fund. Mariano Giralt from BNY Mellon’s EMEA Tax Team underlines BNY Mellon’s view on this new structure to provide investors with new investment avenues and opportunities.
BNY Mellon’s Mariano Giralt introduces the new UK Tax Transparent fund structure and discusses the potential benefits to investors.
BlackRock recently appointed BNY Mellon to service the UK’s first TTF.
The UK TTF allows investors to maintain their tax position and access double taxation treaty benefits as if they had invested in the fund’s underlying assets directly.
At the same time, the TTF offers investors the ability achieve the administrative, governance and scale benefits of investing via a pooled vehicle.
BNY Mellon and BlackRock have partnered together to write a white paper outlining the benefits of UK Tax Transparent Funds.
The pooling of assets in a fund which is transparent for tax purposes means that income and gains from investments made by the fund accrue to each investor in proportion to their holding in the fund, without changing their character, source and timing.