Circular Letter CVM/SIN 03/2018

SECURITIES AND EXCHANGE COMMISSION OF BRAZIL
Rua Sete de Setembro, 111/2-5th and 23-34th Floors – Center – Rio de Janeiro - RJ – CEP: 20050-901 – Brazil Tel.: (21) 3554-8686 - www.cvm.gov.br Circular Letter No. 3/2018/CVM/SIN Rio de Janeiro, March 7, 2018

To the Directors Responsible for the Administration and Management of Investment Funds

Subject: Update of the Asset Registry Base of the Portfolio Composition Statement ("CDA") of investment funds regulated by CVM Instruction No. 555/14

Dear Sirs,

We refer to the monthly submission of the CDA by fund administrators, in accordance with Article 59, II, "b", of the Instruction.

The aforementioned document has a structured format, such that the eligible assets reported in the document are derived from a list periodically updated by the market administrators on which they are traded.

It is also known that the updating of this list had been experiencing interruptions in its regular operation, preventing its complete and timely update. Thus, this Superintendence informs that, after the correction of these problems and the stabilization of the tool's operation, the entire list has been updated, with the inclusion, exclusion, or update of various financial assets, and, more importantly, with its update routine normalized.

Therefore, this Superintendence alerts administrators of funds regulated by CVM Instruction 555/14 that, in the preparation and submission of the CDA, special attention should be given to the new or updated options available for entering information on the fund's assets, in order to reclassify information previously and hitherto reported under "others" or "various" headings.

The technical area expects that, with the correction of the functionality's operation, the fund portfolio information will achieve an even higher degree of detail and precision, benefiting the supervision carried out by the CVM over the industry and, of course, the transparency of this information to the market.

We also alert that it is a critical internal specification of the information reception systems that prevents the reporting, under more general headings, of assets that find specific and more appropriate codification in the asset table.

As it minimizes the need for manual interventions and the definition of customized and temporary parameters for the submission of the document, the correction of the tool also represents a step towards reducing the compliance costs of the fund industry, which is in line with the CVM's strategic action in this regard.

In case of doubts about filling out the CDA with the new asset base, please send an email to sin@cvm.gov.br.

Sincerely,

Digitally signed by
DANIEL WALTER MAEDA BERNARDO
Superintendent of Institutional Investor Relations