Circular Letter CVM/SIN No. 01/2008

CIRCULAR LETTER/CVM/SIN/No. 001/2008.
Rio de Janeiro, April 2, 2008.
To the Director Responsible for the administration of investment funds, regulated by CVM Instruction No. 409, of August 18, 2004.
Subject: Adaptation of fund regulations that establish the charging of performance fees based on the change implemented by CVM Instruction No. 465.

Dear Sir,

Article 3 of CVM Instruction No. 465/08, which amended the Accounting Plan of Investment Funds COFI, approved by CVM Instruction No. 438/06, established that the evaluation of variable income assets must be made using the last daily closing quotation of the market in which the asset presents the highest liquidity, provided it has been traded at least once in the last 90 days, replacing the calculation that uses the average value of quotations.

Furthermore, Article 5 of Instruction No. 465 provided that such change in the evaluation criterion must be implemented on May 2, 2008.

Consequently, it is necessary that the regulations of funds that establish the charging of performance fees be adjusted so that the reference parameter provided for in the regulation for such charging is calculated according to the same asset evaluation criteria for the variable income assets that make up the fund's portfolio.

We clarify that such regulation amendment falls under the situation described in Article 45 of CVM Instruction No. 409/04, as it arises from the need to comply with legal or regulatory norms, and may therefore be exempt from the approval of the unit holders' assembly.

However, communication to the unit holders regarding the aforementioned amendment is required, by correspondence, within a period of up to 30 days, counted from the date it was implemented, as provided in the sole paragraph of said Article 45.

Sincerely,

(Signed Original)
Carlos Alberto Rebello Sobrinho
Superintendent of Institutional Investor Relations