46. (1) Subject to subsection (2), the purchase by an ICAV of its own shares shall be on such terms and in such manner as may be provided by its instrument of incorporation and in accordance with Bank regulations and conditions imposed under section 27.

(2) An ICAV shall not purchase its own shares unless they are fully paid, but nothing in this subsection shall prevent a purchase being made in accordance with section 47(2).

(3) But an ICAV is not required to create any reserve account.

(4) If an ICAV fails to comply with subsection (2) the ICAV and any officer of it who is in default commits a category 3 offence.