1.Access to the business of management companies is subject to prior official authorisation to be granted by the home Member State's competent authorities. Authorisation granted under this Directive to a management company shall be valid for all Member States.
2.No management company may engage in activities other than the management of UCITS authorised according to this Directive except the additional management of other collective investment undertakings which are not covered by this Directive and for which the management company is subject to prudential supervision but which cannot be marketed in other Member States under this Directive.
The activity of management of unit trusts/common funds and of investment companies includes, for the purpose of this Directive, the functions mentioned in Annex II which are not exhaustive.
3.By way of derogation from paragraph 2, Member States may authorise management companies to provide, in addition to the management of unit trusts/common funds and of investment companies, the following services:
management of portfolios of investments, including those owned by pension funds, in accordance with mandates given by investors on a discretionary, client-by-client basis, where such portfolios include one or more of the instruments listed in Section B of the Annex to the ISD,
as non-core services:
investment advice concerning one or more of the instruments listed in Section B of the Annex to the ISD,
safekeeping and administration in relation to units of collective investment undertakings.
Management companies may in no case be authorised under this Directive to provide only the services mentioned in this paragraph or to provide non-core services without being authorised for the service referred to in point (a).
4.Articles 2(2), 12, 13 and 19 of ►C1 Directive 2004/39/EC of the European Parliament and of the Council of 21 April 2004 on markets in financial instruments ◄ ( 10 ), shall apply to the provision of the services referred to in paragraph 3 of this Article by management companies.