The need to adapt the regulations regarding the subscription in kind for FCIs denominated in foreign currency was detailed in order to avoid their use for operations that distort the nature of the instrument.
The National Securities Commission (CNV) forbade the Subscription of Mutual Investment Funds (FCI) with marketable securities denominated in Dollars. The new regulations target investors who, unable to sell in Species “D”, dollarized through those FCIsubscribing shares through AL30 and GD30 bonds who then withdrew them in dollars.
“The subscription of shares with negotiable securities will not be admitted in the Mutual funds denominated in foreign currency”determined the NVC by means of the General Resolution 960. This implies that those natural or legal persons who could not sell in type D and ended up buying bonds in pesos to later subscribe to a common fund in dollars that served them to redeem the shares in dollars, will no longer be able to use said mechanism, they will not be able to dollarize directly.
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The reasons for the implementation of the new regulations
As detailed in the text of the new standard, “with a view to guaranteeing its proper functioning and for the purposes of prevent its use for operations that distort the nature of the instrumentit is necessary adjust the regulations relating to the subscription in kind for the FCI denominated in foreign currency; The subscription and integration of shares through the delivery of negotiable securities is not allowed”.
However, it is important to clarify that for the investors who could sell in Species “D”measure Nothing changes. Therefore, said legal or physical persons will continue to be able to buy MEP dollars.
Source: Ambito
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