According to Circular No. 105/2016/TT-BTC dated June 29, 2016 of the Ministry of Finance guiding offshore indirect investment activities of securities businesses, funds investing in securities, securities investment companies, insurance businesses, only securities businesses licensed to undertake securities dealing are allowed to invest or undertake offshore indirect investment with the total investment, entrustment of offshore indirect investment is not over 30% of the ownership according to the most recent audited financial statements.
With regard to fund management company, it’s only permitted to invest at most 20% of owner’s capital in the most recent audited financial statement or semi-annual financial statement and the financial statement of recent quarter and should not exceed registered dealing rate that are confirmed by the State Bank.
Funds investing in securities, securities investment companies are only permitted for offshore indirect investment into investment equipments as stipulated under the charter of Funds investing in securities, securities investment companies and be in accordance with regulations of the State Bank; the total investment is not over 20% of net asset value in the most recent investment operation report and should not exceed registered dealing rate that are confirmed by the State Bank.
This Circular takes effect on August 15, 2016.
