China Securities Regulatory Commission, Contents and Formats for Information Disclosure of Securities Investment Funds Guidelines (No.3) - Contents and Format of Interim Reports

Issued: June 15 2004
Effective: July 1 2004
Applicability: Where a fund of which shares of the fund are publicly sold, and record filing procedures are lawfully carried out, within the People's Republic of China in accordance with the Securities Investment Fund Law, the fund managers shall compile and disclose interim reports in accordance with the requirements of the Guidelines (Article 2).

Main contents: The Guidelines specify the minimum requirements for information disclosure in an interim report of a fund (Article 4). It requires the fund manager to disclose in the report at least the main accounting data and financial indicators of the fund for the current reporting period such as the net earnings of the fund for the current period, net earnings per share for the current period, distributable earnings of the fund at the end of the period, distributable earnings per share at the end of the period, net asset value of the fund at the end of the period, net value per share at the end of the period, weighted average return on net value of the fund, growth rate of the net value per share for the current period, and growth rate of the cumulative net value per share (Article 16). The interim report shall also include charts comparing the growth rate of the net value per share with the base rate of return at different stages as well as their fluctuations (Article 17). The fund manager is also required to explain in the interim report the fund's investment strategies and performances in view of the situation of the macroeconomy and the securities market, and make brief forecasts of the macroeconomy, securities market and industry trend (Articles 20 and 21). An interim report shall be signed by at least two-thirds of the independent directors of the fund manager for consent. If an individual director is unable to guarantee or objects to the truthfulness, accuracy or completeness of the contents of the interim report, she shall state her reasons and opinion separately (Article 3). The interim report and the summary thereof of a fund shall be compiled and announced on designated media within 60 days after the end of the first six months in an accounting year of the fund (Article 8).
Related legislation:PRC Securities Investment Fund Law, Oct 28 2003, CLP 2003 No.10 p43 and Administration of Information Disclosure of Securities Investment Funds Procedures, Jun 8 2004, CLP 2004 No.6 p7
Repealed legislation: Part Four: Contents and Format of Interim Reports of the China Securities Regulatory Commission, Administration of Securities Investment Funds Tentative Procedures Implementing Rules (No. 5): Information Disclosure for Securities Investment Funds Guidelines, Mar 12 1999, CLP 1999 No.3 p8