Decision on the Manner of Calculating the Return of a Voluntary Pension Fund

"RS Official Gazette", no. 26/2006
Pursuant to Article 48, paragraph 7 of the Law on Voluntary Pension Funds and Pension Schemes (ìRS Official Gazetteî, no. 85/2005), the Governor of the National Bank of Serbia hereby issues the following D E C I S I O N ON THE MANNER OF CALCULATING THE RETURN OF A VOLUNTARY PENSION FUND

1. This decision prescribes the manner of calculating the return of a
   voluntary pension fund (hereinafter: fund), including the principles of value rounding.
2. Fundís return shall be expressed as fundís rate of return.
3. Fundís rate of return for the past twelve months shall be calculated
   according to the following formula:
    −1 
    
   
    = B
   A Ra , where
   Ra ñ fundís rate of return for the past twelve months, A ñ value of the investment unit of the fundís assets (hereinafter:
   investment unit) on the last day of the period of twelve months for which fundís return is calculated, B ñ value of the investment unit on the first day of the period of twelve months for which fundís return is calculated.
4. Fundís rate of return for the period of five years shall be calculated
   according to the following formula:
   1
   1/ 5
   5  − 
    
   
   
   = C
   A
   R , where
   R5 ñ fundís rate of return for the period of five years, A ñ value of the investment unit on the last day of the period of five years for which fundís return is calculated, C ñ value of the investment unit on the first day of the period of five years for which fundís return is calculated.
5. Fundís rate of return since the beginning of its operations shall be
   calculated according to the following formula:
   1
   1/
    − 
    
   
    = n n D
   A R , where

2
Rn ñ fundís rate of return since the beginning of its operations, A ñ value of the investment unit on the last day of the period for which fundís return is calculated, D ñ initial value of the investment unit, n ñ quotient of the number of days for which fundís rate of return is calculated and the number 365,25 (as the number of days in a year).
6. Fundís rate of return shall be expressed as a percentage, rounded to
five decimal places, except in fundís advertising and on its Internet pages ñ when it shall be rounded to two decimal places.
7. The fund management company shall be required to calculate fundís
rate of return separately for each fund it manages.
8. The fund management company that manages several funds cannot
publish the average return of such funds.
9. This decision shall enter into force on the day following the day of its
publication in the ìRS Official Gazetteî, and shall be applied as of April 1, 2006. Dec. no. 32 G o v e r n o r March 24, 2006 of the National Bank of Serbia B e l g r a d e Radovan Jelaöić, sign.