Circular Letter CVM/SRE 1069/06

CIRCULAR LETTER CVM/SRE No. 1069/2006
Rio de Janeiro, May 16, 2006

To the Manager Responsible for
Participation Investment Funds (FIP) / Mutual Investment Funds in Emerging Companies (FMIEE) / National Cinematic Industry Financing Funds (FUNCINE)

Subject: Submission of occasional and periodic documents by FIP, FMIEE, and FUNCINE

Dear Sir,

We are pleased to announce the implementation of an electronic system for receiving and disseminating information of a periodic or occasional nature presented by the aforementioned funds, such as financial statements, quarterly reports, assembly minutes, regulations, prospectuses, among others.

Consequently, we clarify that such information will henceforth be forwarded through the CVM's internet page (http://www.cvm.gov.br), and it will no longer be accepted that they be delivered in our protocols or sent by mail. To do so, upon entering the CVM page, under "Document Submission," enter your "CPF and Password" and select "FIP, FMIEE or FUNCINE," as appropriate.

Submission of FIP, FICFIP, and FMIEE Information

The quarterly report must be submitted within 20 days counted from the closing of the quarter.

Semi-annually, observing the deadlines set forth in CVM Instructions No. 209 and 391, the administrator must forward:

i. semi-annual analytical balance sheet;
ii. statement of the composition and diversification of the portfolio applications;
iii. financial statements, which also include the opinion of the independent auditor and the report of the administering institution; and
iv. fund charges, list of institutions responsible for custody, and performance calculated for the period, where applicable.

Thus, aiming to provide transparency to the market regarding the periodic information of such funds, we request the electronic submission of the above reports starting from the data of the closing of the fiscal year 2005, to be provided by June 30.

Furthermore, we communicate the need for the electronic availability of updated regulations by June 14.

When there is an alteration of the FMIEE regulation, subject to CVM approval, as provided in Article 5 of CVM Instruction No. 209/94, the administrator must proceed with the electronic submission of the assembly minutes that deliberated such alteration, accompanied by the new regulation, which will automatically generate a process for analysis of the request. After evaluation and sending of a Letter communicating the CVM's decision, the document changes from "pending authorization" to "authorized" or "denied."

Submission of FUNCINE Information

The quarterly report must be submitted within 20 days counted from the closing of the quarter.

During the period of FUNCINE quota distribution, the forwarding of the statement of the composition and diversification of the portfolio applications is monthly, up to 15 days after the closing of said month.

Furthermore, semi-annually, observing the deadlines set forth in CVM Instruction No. 398, the administrator must send:

i. semi-annual analytical balance sheet;
ii. statement of the composition and diversification of the portfolio applications;
iii. financial statements (semi-annual report), which also include the opinion of the independent auditor, the report of the administering institution, which addresses, at minimum, the aspects provided in Article 66 of CVM Instruction 398; and
iv. fund charges, list of legal demands, and performance calculated for the period.

Thus, aiming to provide transparency to the market regarding the periodic information of such funds, we request the electronic submission of the above reports starting from the data of the closing of September 2005, to be provided by June 30.

Furthermore, we communicate the need for the electronic availability of updated regulations by June 14.

In case of doubt, we request contacting: CVM's IT Systems Support and the Records Management – 3, regarding the registration of funds' operation, by phone (21) 35546914 or by email to ger3@cvm.gov.br.

Sincerely,

(Signed Original)

CARLOS ALBERTO REBELLO SOBRINHO
Superintendent of Securities Registration
FMF/