GUIDELINES ON REPORTING REQUIREMENTS FOR FUND MANAGERS

Transcription

1 GUIDELINES ON REPORTING REQUIREMENTS FOR FUND MANAGERS The requirements of the Guidelines are to be complied with by all fund managers in accordance the Securities Industry Act A. Reporting requirements to Clients 1. Prior to entering into a contract with a client, a fund manager must disclose to his client ALL material information concerning the proposed investment with his client, including the following : a breakdown of fees chargeable to the client; - the nature and amount of any other renumeration received (whether from the client or any other person) in relation to services provided to the client; - the type of investments and the risk in relation to the management of clients' fund; - the method(s) to be used to measure investment performance and the frequency of such measurement. 2. A fund manager must send the following semi-annual reports to every client unless otherwise stated in the client agreement: 2.1. Portfolio valuation report showing the actual portfolio mix and the transactions of the clients' investments ; and 2.2. A report on any securities borrowing and lending activities using the client's securities by specifying the securities (at marked-to-market value as at reporting date), and duration of loan. 3. A fund manager must supply to the Commission, copies of all reports sent to a client, if requested by the Commission. B. Reporting requirements to the Commission 1. A fund manager must submit semi-annual reports in accordance with Form A to the Commission. 2. A report must received by the SC within 14 days of the end of each semi-annual period. The semi-annual periods shall end on the 30th of June and the 31st December. 3. The first semi-annual report must be submitted on the next submission date after six months of the licence being issued. 4. A joint-venture foreign fund management company must, additionally submit Form B semiannually to the Commission. 5. The first semi-annual report submitted to the Commission must be accompanied with the following reports: 5.1. a standard copy of the client agreement for discretionary and/or non-discretionary funds; 5.2. a copy of the internal control procedures; and 5.3. a copy of the code of conduct manual.

2 5.4. any subsequent changes made to these reports must be resubmitted to the Commission highlighting the amendments. 6. A fund manager must submit to the Commission an unaudited semi-annual financial statement together with every semi-annual report.

3 Form A Name of Company: Name and designation of contact person: Semi Annual Report for the period : From to 1. INVESTMENTS Please fill in questions (a) and (b) in your first semi-annual report submitted to the Commission. Any subsequent changes to the information given in (a) and (b), must be disclosed to the Commission in the semi-annual report immediately following such changes. (a) Investment Committee (i) Do you have an Investment Committee in your company? YES / NO (ii) If yes, (A) State the number of times the Committee meet in a month to discuss investment strategies:

4 (B) The members involved in the Committee (specify the name, designation and name of company where the member is not an employee of the fund management company) are as follows: (1) (2) (3) (4) (5) (6) (7) Name Designation Name of Company (b) Briefly describe your fund management process in your company. (Please provide brochure if any which indicates the investment philosophy) 2. FUNDS UNDER MANAGEMENT For the purpose of section 2, please state the amounts in net asset value. (a) Amount of funds managed for the company s own account: RM million or USD million

5 (b) Amount of clients funds under management: (i) Local funds: RM million (ii) Foreign funds: USD million (c) Amount of clients funds invested: (i) in Malaysia: RM million (ii) outside of Malaysia: USD million (d) Percentage of clients investments in: (i) Fixed Income Securities: % (ii) Equities: % (iii) Cash: % (iv) Others: : % : % : % (e) (i) Type and amount of clients funds under management (at net asset value): Type of Funds Number of Amount in RM Amount in USD Index Benchmark Funds / million (for local million (for foreign Performance Used Accounts funds) sourced funds) (semi-annual) (%) Private Pension Funds: Employees Provident Fund

6 Type of Funds Number of Amount in RM Amount in USD Index Benchmark Funds / million (for local million (for Performance Used Accounts funds) foreign sourced (semi-annual) funds) (%) Unit Trust or Mutual Funds: (5) (5) (5) (5) (5) (5) (6) (6) (6) (6) (6) (6) (7) (7) (7) (7) (7) (7) (8) (8) (8) (8) (8) (8) Corporate Funds Individual Funds Funds of Charitable Organisation:

7 Type of Funds Number of Amount in RM Amount in USD Index Benchmark Funds / million (for local million (for Performanc Used Accounts funds) foreign e sourced funds) (semiannual) (%) Other Funds: (A) (B) (C) TOTAL Not Not applicable applicable

8 Form B Name of Company : Circle : 1 st /2 nd Semi-Annual Report SEMI-ANNUAL REPORT ON THE MANAGEMENT OF FUNDS The fund manager must enclose:?? A copy of the client agreement between the client and parent company of the Foreign Fund Management Company (FFMC) (or where the foreign sourced fund is relocating from) on the subcontract of the management of the portfolio to the FFMC.?? A copy of the fund management agreement between the parent company of the FFMC (or where the foreign sourced fund is relocating from) and the FFMC on the subcontract of the management of the fund(s).?? A copy of the bank statement of the transfer of the foreign sourced funds from the FFMC s bank if the funds were transferred in the form of cash. A. Sources & Types of Funds managing outside Malaysia: Date Source Withdrawals (state reasons for withdrawal) Beginning Balance Types of Funds Amount in USD million Ending Balance

9 B. Sources & Types of Funds managing from Malaysia: Date Source Withdrawals (state reasons for withdrawal) Beginning Balance Types of Funds Amount in USD million Ending Balance DECLARATION Circle: 1 st /2 nd Semi-Annual Report I declare that the reports enclosed has been properly prepared, are true and correct, and was approved by the investment committee on (date).. Signature of Company Representative Date: Name: Designation:

10 3. FUNDS MANAGERS REPRESENTATIVES (i) Details of funds by each fund managers representatives: (1) (2) (3) (4) (5) (6) (7) Name Amount of funds under management (at net asset value) RM million or USD million Limits of trading of personal accident allowed RM million or USD million (ii) Describe in detail company policy, specific procedure and monitoring with respect to dealings for personal account by each fund managers representatives in your first semi-annual report submitted to the Commission. Any subsequent changes made to the policy, procedure and process must be disclosed to the Commission in the semi-annual report immediately following such changes.

11 Type of Funds Number of Funds/ Accounts Amount in RM million (for local funds) Amount in USD million (or foreign sourced funds) Index Performance (semi-annual) (%) Benchmark Used Other Funds: (A) (B) (C) TOTAL Not applicable Not applicable (ii) List the external services used for the valuation of the performance of the funds under management, if any: (a) (b) (c) (d) (e) 4. REVENUES List the amount of unaudited semi-annual revenues earned for the services provided including the management of funds. Type of services provided Type of revenues earned Amount in RM million (1) (2) (3) (4) (5)

12 5. DEALING IN SECURITIES (i) (ii) (iii) Number of stockbroking companies you deal with for the semi-annual period, when executing sales or purchases of securities on behalf of your clients: List of local stockbroking companies you deal with for the semi-annual period, according to the most active dealings: (a) (b) (c) (d) (e) List of foreign stockbroking companies you deal with for the semi-annual period, according to the most active dealings: (a)