Company: PAX
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001628280-25-025640
Chunk: 165

Company: Patria Investments Ltd
Filing Date: 2025-05-15
Form: 20-F
Item: Item 4
Chunk 165
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 at any time (whether before or after that date) been held out as arrangements under which the assets would do so.

Licensing requirements

As defined in section 55A of the Act 2000 (Application for permission), any person to perform the managing investment regulated activity by way of business needs to seek FCA authorization under Part 4A of the Act 2000 (Permission to carry on regulated activities).

Part 4A of FSMA sets out the Threshold Conditions which must be met at authorization of the activity and on an ongoing basis.

An investment manager, asset manager or portfolio manager could have just one client, such as a fund, or they could offer a separate account service for professional and/or retail investors. The investment manager’s agreement (IMA) should list the services that correspond to their business plan and permissions that relate to the client(s).

Typical permissions required:

• advising on investments;

• arranging (bringing about) deals in investments;

• agreeing to carry on regulated activities;

• dealing in investments as an agent;

• making arrangements with a view to transactions in investments;

• managing investments; and

• controlling (but not holding) client money.

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  Table of Contents  

United Kingdom Anti-Money Laundering Legislation

The company is required to comply with the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (as amended by the money laundering and terrorist financing (amendment) regulations 2019) (“ MLR”) and is supervised by the FCA.

The MLR require companies to assess their money laundering risk and to establish and maintain systems and controls to guard against the business being used for money laundering. It explicitly requires a company:

• to take appropriate steps to identify and assess the risks of money laundering and terrorist financing to which a business is subject and document that assessment;

• to carry out Customer Due Diligence (“ CDD”) when it establishes a business relationship or undertakes an occasional transaction;

• to take a risk-based approach to CDD. There are three levels of CDD: Standard CDD, Simplified Customer Due Diligence’ (“ SDD”) and Enhanced Customer Due Diligence (“ EDD”);

• to apply EDD measures in higher-risk situations; and

• to conduct ongoing monitoring of business relationships, including the scrutiny of transactions undertaken throughout the course of the relationship and keeping CDD information up to date; to adopt effective written procedures for identification of clients and