A selection of shares is one where various shares are used as the underlying value, and the selection in question remains fixed throughout the lifetime of the product (except for 'corporate events').
With regard to the rules set out in Articles 34 and following of the Royal Decree of 4 March 2005, a selection of shares or a customized index is sufficiently diversified where at least 16 shares are included and the spread rules set out in the aforementioned Royal Decree are complied with.
The spread rules apply per selection of shares or per customized index. Where there are several underlying customized indexes, each individual customized index must comply with the spread rules.
The spread rules do not apply where the underlying value of the structured product consists of UCIs. In that case, the spread rules apply at the level of the UCI.