Will change the requirements for the structure of diversified CII assets
The NSC is willing to weaken one of the key restrictions that apply to domestic diversified ISI. Thus, the CII wants to allow up to 30% of the fund’s assets to be invested in securities that are not admitted to trading on the stock exchange. Now there is a 20% limit. At this step, the Commission is ready to go because of the lack of supply of shares on stock exchanges.
Non-state pension funds are allowed to buy shares on the OTC market that are not admitted to trading on the stock exchange, but they are not allowed to invest more than 10% of the total value of pension assets in them.
At the meeting of the National Securities and Stock Market Commission of February 27, 2018, amendments were approved to the regulatory and legal acts regulating the composition and structure of the assets of the CII, including non-state pension funds. The amendments are made in connection with the adoption of the Law on Simplification of Business Conducting and Attracting Investments by Securities Issuers (No. 2210-VIII).
A source: National Securities and Stock Market Commission.