The Saeima has adopted and the President promulgated the following laws: law on investment management company to make the investment management company Act (Republic of Latvia Saeima and the Cabinet of Ministers rapporteur, 1998, no. 3; 2000, no. 13; 2002, 23 no; 2004, nr. 9) follows: 1. Article 1: to supplement paragraph 5, after the words "real estate" with the words "and its usage rights";
to supplement the article with paragraph 22 and 23 by the following: "22) — separate the Special Investment Fund's shares against the units committed investments, as well as transactions with this property, and on the basis of acquired rights;
23) investments in immovable property or a right of use, directly or indirectly, to fund investments in immovable property, the use rights, operations related to real estate project financing for development, including transactions with deferred the deadline, if such investments are not, by their nature, not legal form is not in contradiction with this law and other laws set limits of transactions. "
2. in article 7: replace the third paragraph, the number "6." with level "5." Liu;
to make a fifth by the following: "(5) in determining whether a direct amount of participation acquired in society, take into account such persons (hereinafter referred to as a particular person) for voting rights in the company: 1) voting rights which are entitled to use a third party to which the person concerned has entered into an agreement, obliging you to reconcile the exercise of voting rights and long-term policy for public administration;
2) voting rights which are entitled to use third parties, in accordance with the agreement concluded with the person concerned and provide for the temporary transfer of the voting rights in question;
3) voting rights arising from the shares that a particular person has received as collateral if it can use the voting rights and has expressed its intention to use them;
4) voting rights which are entitled to use a given person an unlimited period;
5) voting rights which are entitled to use the specific control of the person or company in which such a company may be used in accordance with this part 1, 2, 3 and 4;
6) voting rights resulting from the specific person holding shares and votes which it can exercise at its discretion in the absence of specific instructions;
7) voting rights resulting from the third person and the persons concerned the right to shares held;
8) voting rights held by a person as trustee may realize that it is entitled to exercise the voting rights at its discretion in the absence of specific instructions;
9) voting rights resulting from any other indirect way the persons concerned acquired the shares. "
3. Replace the fourth subparagraph of article 8, the word "other" with the word "third".
4. Supplement article 13, second subparagraph, paragraph 6 by the following: "6) follow and comply with other requirements, in accordance with the financial instruments market law is chapter XII of the investment brokerage firms, investors make to the financial instrument for the management of the individual in accordance with the mandate of investors and provide advice on investments in financial instruments."
5. Supplement article 15, second subparagraph, after the words "another company" with the words "licensed in another Member State or Government service provider".
6. in article 16: make the second part of paragraph 2 as follows: "2) fund prospectus, the prospectus and the Fund's short Administration Regulations of the Fund, as well as a custodian contract amendments that need to be done in connection with the public.";
Add to the second sentence of the fifth paragraph after the words "the fund prospectus" with the word "short" in the prospectus of the Fund.
7. Express article 20 second paragraph as follows: "(2) property is the Foundation of the Fund or its bottom funds (if the Fund is established as a foundation with apakšf Onda) joint treasure, and its hand-held, booked and managed separately from the other companies they manage the Fund or sub-Fund (if the Fund is established as a foundation by the Sub-fund), as well as a custodian. Fund (the Fund is established as a foundation by the Sub-fund) thing is the common property of the Sub-fund. Such fund may not be the things that do not fit in any of the funds. "
8. Article 21: make the second paragraph as follows: "(2) the open investment fund is a Fund, whose goal of capital raised from the public collective investment in transferable securities and other liquid financial instruments, while respecting the principle of risk reduction and in the statutory investment restrictions, and that the host company is obliged, if requested by the Fund's investors, not later than one month to make a contribution certificate atpakaļpirkšan. Open investment fund managing company is exempt from the obligation to make a contribution certificate atpakaļpirkšan, if the investment certificates are traded on a regulated market, and the company that manages the Fund shall take the necessary measures to ensure that the market price of the units of the Fund are not significantly different from part value. ";
to supplement the article with the fourth, fifth and sixth the following: "(4) open the Fund can be established as a foundation by the Sub-fund.
(5) for each sub-fund in the prospectus of the Fund may establish different policies, investment management fees and currency of the Fund.
(6) the requirements set out in this Act and the restrictions that apply to investment funds, investment funds or investment certificates, the Sub-fund is a fund attributable to each sub-fund, the Fund's shares or individual. "
9. in article 22: to supplement the first subparagraph following the words "Reaffirming the fund prospectus" with the words "short of the fund prospectus (open investment funds)";
to complement the second subparagraph following the words ' fund prospectus "with the words" short "of the prospectus of the Fund.
10. Add to article 23, first subparagraph, the following point 1.1: ' 11) abbreviated prospectus of the Fund (two originals) — open investment fund; ".
11. Article 27: adding to eighth with 3.1 paragraph by the following: "31) dividend cost;";
Add to article 8.1 part as follows: "(81) closed investment fund dividend paid amount can not exceed the value of the investment increases."
12. in article 28: Add to the first paragraph after the words "the management agenda" with the words "and investment restrictions";
Supplement third with 3.1 points as follows: "31) Fund investment restrictions;"
adding to the third subparagraph of paragraph 4, the bottom point "a" after the words "fund prospectus" with the words "and reduced the fund prospectus (open investment funds)";
make the third subparagraph of paragraph 5 by the following: "5), the value of the Fund investment certificates in sales and prices, as well as atpakaļpirkšan Fund income calculation principles. If the Fund has different classes of units, gives an indication of the units of each class in the secured rights and procedures for investment certificates of one class are substituted for other classes of units, if this possibility is intended; "
Supplement to the eighth article as follows: "(8) where the company wishes to amend the information, which is provided in accordance with the third paragraph of this article, a company shall make relevant amendments to the Charter, it is not registering above the Commission, but in accordance with the fifth subparagraph of article 3 shall be submitted to the Commission paragraph full text Statute. Such amendments shall enter into force after their approval by the governing bodies of the company. "
13. Article 30 of the expression as follows: "article 30. The value of the Fund and the Fund's share value (1), the value of the Fund (hereinafter referred to as the net value of the Fund's assets) is the value of the Fund's assets and liabilities values difference. The Sub-Fund's value is the value of the assets of the Sub-fund and its associated value.
(2) the portion of the Fund's investment certificates of one fixed right of action according to the value of that part of the Fund. If the Fund has a different class of investment certificates, investment certificates fixed claims for each class separately according to the prospectus of the Fund or the management regulations of the Fund.
(3) the portion of the Fund's value is the value of the fund divided by the issued but not redeemed units. Sub part of the value is the value of the Sub Division issued but not redeemed by the number of units. If the Fund has different classes of units, the units of each class value is calculated, taking into account the contribution of this class licence rights.
(4) the portion of the value of the Fund in an open society sets every day.
(5) the Closed part of the value of the fund company is determined not less frequently than once a month. "
14. Article 31: replace the second paragraph, the word "group" with the word "group";
to supplement the article with the third part as follows: "(3) For one of the companies in the Group considers a company whose financial statements are consolidated in accordance with internationally accepted accounting standards."
15. Article 33: Supplement to article 6.1 of the following parts:
"this article (61) fifth and sixth in the point 1, part limitations deals with society stakeholders not attributable to transactions with the public, the interested parties which is in Latvia or other credit institutions established in a Member State.";
to make the seventh subparagraph by the following: "(7) the acquisition of securities which are issued by one of the fifth subparagraph of this article 1. persons referred to in paragraph 1, the Fund's assets may be used only with the mediation of the regulated market. Buy it at the expense of other fund company or its interested parties managed investment fund certificates will be permitted only if such a deal does not apply to sales of investment certificates, not atpakaļpirkšan commissions. ";
to make an eighth part of paragraph 4 by the following: ' 4) to grant loans. That prohibition does not apply to active reverse repurchase transactions are allowed to take, noting that the deal involved financial instrument is suitable for article 66 of this law the restrictions, as well as a closed investment funds investing in real estate and its usage rights. ";
make a tenth as follows: "(10) the company may raise loans to fund enclosed invoice, if these loans are taken out for a period of up to three months and the total was less than 25 percent of the value of the Fund closed. If a closed fund prospectus is provided not less than 50 percent of closed funds to invest in real estate, the company may raise loans to fund enclosed invoice without time limit and their total amount may not exceed the value of the Fund closed more than four times. ";
to make the 14th part of paragraph 2 as follows: "2) open investment fund does not exceed ten million dollars. If the value of the Fund in excess of ten million dollars, the company's shareholders, which is essential for participation in society, can maintain their investments in the Fund, but not to increase it. "
16. Article 34 be expressed as follows: "article 34. The reorganization of the Fund (1) the Division of the funds is not allowed.
(2) one of the existing public funds which differ only in the investment policy, can combine creating a fund with several of the Sub-fund.
(3) the closed investment fund may not be combined with open investment fund.
(4) the pooling of Funds allows the Commission.
(5) in order to allow the Commission to merge the funds, the company shall submit to the Commission: 1) the decision of the Board of Directors of the Fund and its rationale;
2) encountered in the fund prospectus, the prospectus and the Fund's short Administration Regulations of the Fund;
3 amendments to the custody agreement), if necessary;
4) Fund financial statements.
(6) the Commission of the application for the merger Fund for consideration and a decision shall be taken within 30 days after all the fifth part of this article, the document referred to in the receipt. Deciding on the authorisation of the Fund, the Commission will be combined at the same time adopted the decision on the registration of births in the Fund.
(7) the Commission does not allow to combine the funds, where it is found in at least one of the following cases: 1) the documents submitted do not meet the requirements of this law;
2 combine the Fund significantly) affected the legitimate interests of investors.
(8) after the authorization of the public fund prospectuses in the order shall inform the investors of the Fund.
(9) the Commission decision to allow pooling of funds and register the births of the Fund shall enter into force on the month of notification of the decision to the public. "
17. Article 35: make the second part of paragraph 3 as follows: "3) society has taken a decision on the liquidation of the Fund open.";
turn off third.
18. To supplement the law with article 35.1 of the following: ' article 35.1. The open Fund is winding up, on the basis of the decision of the public (1) to remove the open Fund, based on the decision of the company to the public before the commencement of the winding up of the Fund to be subject to authorisation by the Commission.
(2) in order to receive permission to initiate liquidation of the Fund, within 20 days after the date of the decision to open winding-up proceedings, the Fund shall submit to the Commission the decision of the Board of Directors, stating the grounds for the winding up of the Fund.
(3) the Commission shall, within 30 days after the second part of the receipt of the documents referred to in the decision on the authorisation to initiate liquidation of the Fund or the refusal of permission.
(4) the Commission shall not authorize the launch of the Fund liquidation, if such liquidation does not meet the legitimate interests of investors. "
19. To supplement the law with article 38.1 the following: ' article 38.1. Liquidation of the Sub-Fund (1) on the winding-up of the relevant sub-fund in the chapter order of liquidation of the Fund.
(2) after the completion of the liquidation of a sub-fund of the company shall carry out the appropriate amendments to the regulations of the Fund management and fund prospectus. "
20. Article 51: make the second paragraph as follows: "(2) the Fund's investment certificates can have different class with a different denomination, the jurisdiction payments or different rights to the distribution of the income of the Fund. Investment certificates secured the rights and obligations of the Fund must cover the entire thing. One of the Fund's investment certificates of one class is fixed equal rights. ";
Supplement to the eighth article as follows: "(8) investment certificates are inseparable. Fund prospectus shall determine the order in which is rounded to the number of units by their division. "
21. Replace the second paragraph of article 52, the word "three" with the word "six".
22. the express 54 eighth article as follows: "(8) open the Fund's investment certificates of the atpakaļpirkšan price is part of the value of investment funds, which total about atpakaļpirkšan commissions in accordance with the Fund's prospectus. If the Fund has different classes of units, atpakaļpirkšan units of price shall be determined for each class of investment certificates separately. "
23. Article 56: make the first paragraph by the following: "(1) the emission units must not be started without a prospectus of the Fund approved by the society. The open society Fund in developing fund short prospectus, indicating the article 57 of this law the information referred to in the fourth subparagraph. ";
to complement the fourth subparagraph following the words ' fund prospectus "with the words" and abbreviated prospectus of the Fund ";
to supplement the article with the eleventh subparagraph by the following: "(11) the abbreviated prospectus of the Fund for the amendment referred to in this article shall amend the prospectus of the Fund."
24. Article 57: make the introductory part of the third paragraph as follows: "(3) the fund prospectus referred to in this order to include at least the following information:";
Supplement third with 10.1 points as follows: "the Fund investment certificates 101) class, the denomination, the jurisdiction payments, rights to the income of the Fund;";
make the third subparagraph of paragraph 11 as follows: ' 11) investment certificate sales, atpakaļpirkšan and take-back arrangements, as well as the order in which the units are rounded to the number of shares after the split units; "
make the third paragraph of point 20 as follows: "20) other companies managed fund name;";
to make the fourth subparagraph by the following: "(4) the Fund's prospectus for information to be provided in short a potentially simple and typical fund investor in an understandable way. Fund short in abridged form in the prospectus included in part three of this article 1, 2, 5, 6, 7, 11, 12, 13, 15 and 24. information referred to in paragraph 1, as well as additional include: 1) after the announcement that investor's request, before it submits an application for the acquisition of units and further — free investor fund prospectus is issued, the Fund's annual and half-yearly report;
2 the name of the institution);
3 indication of the company contact person) (responsible unit) with which to fund investor can contact to obtain additional information on the activities of the Fund. Specifies the persons name and job title or company name of the relevant Department, contact information (phone number or other means of communication of the properties) and the time. "
25. Article 60: make the first paragraph by the following: "(1) the foreign fund investment certificates opened or comparable securities (hereinafter referred to as foreign securities Fund) placing the public circulation in Latvia is only allowed with a credit institution or brokerage firm, which is entitled to provide investment services in Latvia (hereinafter Distributor). The Distributor provides the distribution of the securities of a foreign Fund, and take atpakaļpirkšan and its associated settlement in Latvia. Registered foreign investment fund enclosed certificates or similar securities may be offered to the public and placed on a publicly traded financial instruments market law. ";
Add to the second subparagraph of paragraph 4, after the words "the fund prospectus" with the words "and abbreviated prospectus of the Fund";
turn off the sixth paragraph, first sentence, the words "notarized";
to supplement the article with the seventh, eighth and ninth subparagraph by the following: "(7) where this article documents referred to in the second subparagraph is amended, the Distributor it seven days shall be submitted to the Commission.
(8) the dealer will ensure that investors in Latvia to time pursuant to the prospectus of the Fund or the Fund's management charter arrangements, aware of the change and the activities of the Fund, amendments to the fund prospectus, simplified prospectus of the Fund or the Fund's Management Charter, and at the request of the investors shall be issued free of charge to the fund prospectus, fund prospectus and fund short of the Latvian language in the Statute.
(9) if the foreign Fund wants to stop the distribution of securities in Latvia or is eliminated, the Distributor for the planned action shall inform the Commission and the Fund before the dissolution or liquidation of obligations to ensure against Latvia, according to investors in the fund prospectus and the Fund's Management Charter. "
26. To complement the article 61, second subparagraph, after the words "real estate" with the words "use rights".
27. Express the second subparagraph of article 62, paragraph 5 of section "b" as follows: "(b)) which is a single group with one or more companies whose shares are included in or are traded in the first part of this article in the order, and which is designed to attract funds to finance such a group or a financial instrument, which strengthen the commitments cover is a cash flow account of the relevant issuer credit institution."
28. Supplement article 64 to the fifth subparagraph by the following: "(5) If the Fund (Fund) funds for investing in one company in the Group managed funds (apakšfondo), the prospectus shall indicate these funds (funds) and the planned total investment ceilings."
29. Add to article 65 of the first paragraph of point 2, the words "or other fund prospectus or fund management rules that business partner".
30. Article 66: supplement the first sentence of the first subparagraph following the words "investment fund" with the words "except in the second and the fourth part of the investments of the Fund referred to in";
Add to article 1.1 part as follows: "(11) without prejudice to article 67 of this law, investment restrictions, laid down in the first paragraph, the limit set for one of the issuer's investment in transferable securities may be increased to 20 percent of the Fund's assets, if in accordance with the fund prospectus or fund management regulations of the Fund's investment policy is a set of equity or debt securities of the index replication, approved by the Commission , subject to the following requirements: 1) the composition of the index is sufficiently diversified (diversified);
2) index reflects the market adequate standard to which it relates;
3) index is published, respectively, in accordance with the statutory procedure. ";
Add to article 1.2 of the part as follows: "(12) this article 1.1 restrictions set out in part one of the issuer's investment in transferable securities may be increased by up to 35 percent of the Fund's assets, if justified by the specific market conditions, especially in regulated markets, which largely dominated by certain transferable securities or money market instruments. This in part increased restrictions may be applied to only one of the transferable securities of the issuer. ";
replace the third subparagraph in paragraph 1, the words "the fund prospectus" with the words "the administration of the Fund Charter";
to make a fifth by the following: "(5) If the value of the Fund's contribution to the fourth paragraph of this article in the debt securities of one issuer that exceed 5 percent of the Fund's assets, the Fund's investments, the total value of which exceeds five per cent may not exceed 80 per cent of the assets of the Fund."
to make the seventh and eighth by the following: "(7) the total risks arising from transactions in financial derivatives, the Fund may not exceed the net value of the portfolio. The calculation of the total risk, take into account the derivative financial instrument the value of the underlying transaction, the risk of the other party, future changes in the market and the period it takes to close the position. The Commission has the right to impose stricter limits of transactions in financial derivatives in the Fund's overall risk arising around or set additional requirements for derivative financial instruments to manage the risk, if the risk is significant, but the company has not received permission from the Commission risk value of use internal risk models that calculate.
(8) the exposure amount transactions in financial derivatives, which are not traded on a regulated market, if one counterparty shall not exceed: 1) 10 per cent of the Fund assets if the counterparty is a credit institution by the other party, comply with this law, article 63, first paragraph;
2) five percent of the Fund's assets in other cases. ';
replace the second sentence of paragraph 11, the word "group" with the word "group".
31. in article 67: turn off the first part of paragraph 2, the words and the number "and 25 percent of the emissions of one";
make the second paragraph as follows: "(2) not all public administration existing investment funds together, not each individual investments of the Fund, directly or indirectly, shall not exceed 10 per cent of any such indicator: 1 the share capital of the issuer);
2) exercise of voting rights of the issuer of one overall. ";
to supplement the article with the third part as follows: "(3) a closed fund investment may be performed without the application of this article certain investment restrictions, if the fund prospectus contains certain other restrictions."
32. Article 68: put the name of the article, first and second subparagraph by the following: ' article 68. Investments in immovable property or use rights (1) the closed Fund may invest only in real estate or the right to use it in and have to be registered in Latvia or in another Member State of the Organisation for economic cooperation and development in a Member State, as well as other country specially specified in the prospectus.
(2) The resources of the Fund for real estate are recorded in the land to the company with a claim that the property is purchased for a specific fund, it should not be disposed of or encumbered without the consent of the custodian of the Fund and the real property is not included in the public maksātn of public property could. ";
to complement the fourth paragraph after the words "real estate" with the words "or use rights".
33. Make 75 the first part of the article as follows: "(1) the annual report of the Fund as a whole consists of the financial statements, the investment management company report, the investment management company and the custodian of the responsibility of the Board's report."
34. Supplement article 75.1 second subparagraph following the words "management report" with the words "and the statement of management responsibility".
35. Add to article 75.2 sixth subparagraph following the words "audit opinion" with the words "for a short annual report".
36. the supplement to Chapter VII, article 75.3 as follows: "article 75.3. Sub reports referred to in this chapter fund statements for funds with sub-funds shall be prepared for each sub-fund individually. "
37. Add to article 76 of the third subparagraph of the introductory paragraph after the words "shall submit to the Commission an application" with the words "which shall be accompanied by a description of the planned activities of the public in the Member State concerned".
38. Article 77 of the Present sixth as follows: "(6) the Member State licensed company which in accordance with the procedure laid down in this article is launched to provide government services in the publicly traded it managed to open investment fund certificates, you may disregard this law, the procedure laid down in article 60, if it fulfils the following requirements: 1) allows investors to Latvia would be informed about the changes in time and public funds;
2) provides to make settlement of the sale of the Fund and atpakaļpirkšan;
3) at the request of the investors shall be issued free of charge to the fund prospectus, fund prospectus and fund the abbreviated regulatory statute Latvian language. "
39. Express article 82 the first part as follows: "(1) if there is a violation of the laws and regulations of the Fund Administration, fund prospectus or a custodian, the provisions of the Treaty, the Commission has the right to obtain information from credit institutions and investment brokerage firms for the company or Fund (Fund) cash flow and current account balances and given written orders to banks for up to 15 days to limit the public's right to dispose of the company or Fund (Fund) accounts."
40. Add to article 87 of the first subparagraph of paragraph 9, after the words "the fund prospectus" with the words "abridged prospectus of the Fund".
41. the transitional provisions be supplemented by the following paragraph 25: ' 25. This law, article 13, paragraph 6, second subparagraph, shall enter into force on 1 November 2007.
42. Make informative reference to European Union directives as follows: "Informative reference to European Union directives, the law includes provisions resulting from: 1) of the Council of 20 December 1985 of Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS);
2) Council of 22 March 1988, Directive 88/220/EEC, as regards the investment policies of certain UCITS, Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS);
3) of the European Parliament and of the Council of 29 June 1995 directive 95/26/EC amending Directives 77/780/EEC and 89/646/EEC in the field of credit institutions, directives 73/239/EEC and 92/49/EEC in the field of non-life insurance, directives 79/267/EEC and 92/96/EEC in the field of life assurance, Directive 93/22/EEC in the field of investment firms and Directive 85/611/EEC relating to undertakings for collective investment in transferable securities (UCITS) to strengthen the Advisory supervision;
4) of the European Parliament and of the Council of 7 November 2000 Directive 2000/64/EC, amending Council directives 85/611/EEC, 92/49/EEC, 92/96/EEC and 93/22/EEC as regards exchange of information with third countries;
5) of the European Parliament and of the Council of 21 January 2002, Directive 2001/107/EC amending Council Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS) to the provisions provided for management companies and simplified prospectuses;
6) the European Parliament and of the Council of 21 January 2002, Directive 2001/108/EC amending Council Directive 85/611/EEC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS);
7) the European Parliament and of the Council of 15 December 2004, Directive 2004/109/EC on the harmonisation of transparency requirements in relation to information about issuers whose securities are admitted to trading on a regulated market and amending Directive 2001/34/EC. ' The law adopted by the Parliament in the March 8, 2007. State v. President Vaira Vīķe-Freiberga in Riga in 2007 on March 27.