CVM Instruction No. 580 of September 15, 2016

SECURITIES AND EXCHANGE COMMISSION – CVM
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CVM INSTRUCTION NO. 580, OF SEPTEMBER 15, 2016 Amends provisions of CVM Instruction No. 472, of October 31, 2008.

THE PRESIDENT OF THE SECURITIES AND EXCHANGE COMMISSION – CVM makes public that the Collegiate Body, in a meeting held on September 6, 2016, based on the provisions of Arts. 8, I, and 19, § 5, of Law No. 6,385, of December 7, 1976, and Art. 4 of Law No. 8,668, of June 25, 1993, APPROVED the following Instruction:

Art. 1. Arts. 26, 31-A, 34, and 35 of CVM Instruction No. 472, of October 31, 2008, shall enter into force with the following wording:

“Art. 26. ...
...
IV – not be an administrator, manager, or specialized consultant of other real estate investment funds; ...” (New text)

“Art. 31-A. ...
§ 1. It is prohibited for the administrator, manager, and specialized consultant to exercise the function of market maker for the fund's shares.
§ 2. The hiring of related parties to the administrator, manager, and specialized consultant of the fund to exercise the function of market maker must be submitted for prior approval by the general meeting of unitholders in accordance with Art. 34.” (New text)

“Art. 34. Acts that characterize a conflict of interest between the fund and the administrator, manager, or specialized consultant require prior, specific, and informed approval by the general meeting of unitholders. § 1. ... I – the acquisition, lease, rental, or exploitation of surface rights, by the fund, of real estate owned by the administrator, manager, specialized consultant, or persons linked to them; II – the sale, lease, rental, or exploitation of surface rights of real estate forming part of the fund’s assets having as counterparty the administrator, manager, specialized consultant, or persons linked to them; III – the acquisition, by the fund, of real estate owned by debtors of the administrator, manager, or specialized consultant once the debtor's default is characterized; ... V – the acquisition, by the fund, of securities issued by the administrator, manager, specialized consultant, or persons linked to them, even for the purposes mentioned in the sole paragraph of Art. 46 of this Instruction. § 2. ... I – the controlling company or controlled company of the administrator, manager, specialized consultant, their administrators, and shareholders, as the case may be; II – the company whose administrators, in whole or in part, are the same as those of the administrator, manager, or specialized consultant, except for positions held in collegiate bodies provided for in the statutes or internal regulations of the administrator, manager, or consultant, provided that their holders do not exercise executive functions, after prior consultation with the CVM; and ... § 3. The acquisition, by the fund, of real estate owned by the entrepreneur does not constitute a conflict situation, provided that it is not a person linked to the administrator, manager, or specialized consultant.” (New text)

“Art. 35. ...
...
IX – subject to the exception of approval in a general meeting in accordance with Art. 34, carry out fund operations when a conflict of interest situation is characterized between the fund and the administrator, manager, or specialized consultant, between the fund and the unitholders mentioned in § 3 of this Art. 35, between the fund and the representative of unitholders, or between the fund and the entrepreneur; ...” (New text)

Art. 2. This Instruction enters into force on the date of its publication.
Original signed by
LEONARDO P. GOMES PEREIRA
President