French Insurance Code
In forceI.-The custodian referred to in article L. 143-2-1 shall be appointed by means of a written contract. This contract shall provide for the transmission to the custodian of the information necessary for the performance of its duties.
The custodian must act honestly, loyally, professionally and independently, in the interests of the scheme's members and beneficiaries. He may not engage in activities concerning the supplementary occupational pension fund or the insurance undertaking which would be likely to place him in a situation of conflict of interest with that fund or undertaking, the members or the beneficiaries, unless he has separated, functionally and hierarchically, the performance of his duties as custodian from his other duties which could prove incompatible and that potential conflicts of interest are identified, managed, monitored and communicated to the members and beneficiaries of the contract and to the board of directors or supervisory board of the supplementary occupational retirement fund or the insurance undertaking.
II.The custodian mentioned in I:
1° Carries out the instructions of the supplementary occupational pension fund or the insurance undertaking, provided that they are not contrary to the legislative or regulatory provisions applicable to this body or to its articles of association;
2° Ensures that in transactions involving the assets of the supplementary occupational pension fund or the insurance undertaking, the counterparty is remitted to it within the customary time limits;
3° Ensures that the income generated by the assets of the supplementary occupational pension fund that it holds is allocated in accordance with the legislative or regulatory provisions applicable to the organisation and its articles of association.
III - The provisions of II of Article L. 214-24-8, of the second paragraph of Article L. 214-24-9 and of Article L. 214-24-10 of the Monetary and Financial Code shall apply to a custodian used by a supplementary occupational pension fund or an insurance undertaking for the management of contracts referred to in Article L. 143-1 of this Code, subject to adaptations specified by regulation.
For the application of the articles mentioned in the first paragraph to supplementary occupational retirement funds, the following definitions shall apply:
1° "Supplementary occupational retirement fund" wherever it is referred to: "FIA";
2° "Supplementary occupational retirement fund" wherever it is referred to: "portfolio management company";
3° "Affiliated to a contract guaranteed by the supplementary professional retirement fund" where it is mentioned: "unit holders or shareholders".
