CITM3080 - Investment by CDFI: Investments exceeding 20% of qualifying investment
SI2003/96 Schedule 1(5)
An investment by a Community Development Finance Institution (CDFI) is not a ‘relevant investment’ for the purposes of SI2003/96 Regulation 8 (see CITM3030) if:
as a consequence of that investment,
and for so long as,
the amount of the investment in that enterprise exceeds 20%
of the amount of the CDFI’s investment fund (see
CITM3010) at the anniversary of the
accreditation date that immediately precedes the investment
date.
For investments made during the first year following accreditation the 20% limit operates by reference to the amount of the investment fund at the time the investment by the CDFI is made.
