Vietnam: Supervisory banks shall verify the reports on the net asset value of the investment company

According to Article 33 of Circular No. 227/2012/TT-BTC of the Ministry of Finance of Vietnam, the responsibilities of the supervisory bank for the investment supervision of the asset management company include:

- Cooperate with the asset management company in periodically reviewing the internal rules and methods for determining the net asset value of the investment company; supervising the determination of the net asset value; inspecting and ensuring that the net asset value per share of the investment company is accurate and conformable with law and the charter of the investment company.

- Supervise the investments and transactions of assets of the investment company, ensure that the types of invested assets and the structure of the investment portfolio are conformable with the regulations on investment and loan limits as prescribed by law and the charter of the investment company; supervise the asset transactions between the investment company and asset management company and relevant persons, ensuring the conformity with law and the charter of the investment company. When discovering violations, the supervisory bank must notify them to the State Securities Commission and asset management company within 24 hours from discovery, and request the asset management company to rectify them or alleviate consequences before a certain deadline;

- Supervise the progress, and inspect the result of the amalgamation, merger, dissolution, and liquidation of the investment company;

- Supervise to ensure the legality, only make payments from the assets of the investment company for proper expenditures in accordance with law and the charter of the investment company;

- Supervise other activities of the asset management company in accordance with Article 98 of the Law on Securities of Vietnam, relevant regulations in this Circular, the documents guiding the Law on Securities, and the charter of the investment company;

- Verify the reports on the net asset value, investments, and investment portfolio of the investment company.

View more details at Circular No. 227/2012/TT-BTC of the Ministry of Finance of Vietnam, effective from July 01, 2013.

Le Vy

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