New investment trust fund rules require greater transparency

The Monetary Board (MB) of the Bangko Sentral ng Pilipinas (BSP) recently amended its regulations over unit investment trust funds (UITF) in line with the thrust of regulatory reforms that promote a more efficient and transparent financial market environment, the central bank said.

In a statement over the weekend, the central bank said the MB has approved the new rules on the creation of a multi-class UITF, a type of fund with more than one class of units, “which can be differentiated based on the level of trustee fees and expenses, minimum participation, minimum holding period, and target participants.”