CVM postpones new fund milestone to October – 03/28/2023 – Market

The CVM (Securities and Exchange Commission) approved this Tuesday (28) the extension of the effectiveness of the new regulatory framework for investment funds (Resolution 175), from April 3 to October 2, 2023.

Report published by Sheet this Sunday (26) showed that the market was asking the CVM for an extension of the period for the rule to come into effect for the funds yet to be created, in order to prepare the structures for the new rules.

“The extension responds to requests made to the CVM by market representatives, who reported that the agents, after processing the content of the rule and preparing their initial specifications of systems and processes, realized that a longer schedule would be necessary for the proper implementation of Resolution CVM 175,” the CVM said in a note.

“In spite of the many benefits for the market that the norm provides, the CVM considered it prudent to pay attention to the agents that deal with the operational aspects”, added the autarchy.

“It is important that, within the scope of this postponement, the segment’s participants feel encouraged and determined to adapt to the new rule”, said João Pedro Nascimento, president of the CVM.

The new regulatory framework for investment funds, published by the CVM in December last year, should contribute to the development of the industry in the country.

The set of measures, in the opinion of market experts, increases security and transparency to attract investors to the capital market at a time of high interest rates, in addition to expanding the range of possibilities available to the general public.

Main changes brought about by the new regulatory framework for investment funds

• Limitation of the liability of each shareholder to the amount invested in the fund, ruling out the possibility of additional contributions due to losses;

• Possibility for funds to have different classes of quotas within the same vehicle, with a possible reduction in costs for the investor;

• Greater transparency on the fee charged by managers, administrators and distributors;

• Allocation of up to 100% of funds from investment funds abroad intended for individual retail investors;

• Possibility of funds investing in “environmental assets”, such as carbon credits;

• Permission for funds to invest directly in crypto assets;

• Offers of FIDCs (credit rights funds) aimed at the general public.

  
  

  Source: CVM