China Securities Regulatory Commission, Issues Relevant to the Implementation of the «Administration of the Sale of Securities Investment Funds Procedures» Circular

Promulgated: July 15 2004

Main contents: In the case of open-ended funds established or verified prior to the implementation of the Administration of the Sale of Securities Investment Funds Procedures (Sale Procedures) but not yet completed offering, if the proportion of redemption fee included in fund property accounts for less than 25% of the total amount of redemption fee, the fund manager shall, together with the fund custodian and in accordance with Article 29 of the Sale Procedures, amend the related contents in the fund contract (agreement), report the same to the China Securities Regulatory Commission for the record and implement it after announcement (Item Two). The appendix of the Circular specifies the contents and format of application materials for distribution business qualifications for securities investment funds for commercial banks, securities companies, securities investment consulting institutions and companies specialized in fund sale.
Related legislation: Administration of the Sale of Securities Investment Funds Procedures, Jun 25 2004, CLP 2004 No.9 p49 and PRC Securities Investment Fund Law, Oct 28 2003, CLP 2003 No.10 p43