YEREVAN, October 11. /АРКА/. On Friday, the Armenian Parliamentary Committee on Financial and Budgetary Issues approved a legislative package designed to strengthen control over the activities of non-public investment funds.
According to Armen Nurbekyan, the deputy chairman of the Central Bank, currently most of the non-public funds and their managers are outside the control of the Central Bank, as a result of which the Central Bank is unable to control both the funds and their managers.
“A non-public fund can be managed by any person, including an individual, without any permits and licenses, no requirements are imposed on managers,” Nurbekyan noted during the discussion of a number of legislative amendments to the law On Investment Funds.
This legislative initiative is intended to determine the procedure for registration, types and duties of the fund manager, the procedure for dividing the assets, as well as the grounds for liquidation and termination of the fund’s activities.
Amendments also recommend introducing the necessary minimum conditions to protect the interests of investors. In particular, it is proposed to ensure sufficient flexibility in the management of funds and to take into account the peculiarities of different types of funds.
At the same time, the supervisory body will have the opportunity to exercise effective control over non-public funds and their managers, using their tools, thereby reducing existing and possible risks.
“Additional requirements will be imposed on non-public funds and their managers to protect the interests of investors, ensure financial stability and contain various other risks.
“All this, as expected, will contribute to the creation of the necessary prerequisites for the development of the investment funds”, explained the deputy head of the Central Bank.-0-
