Directive on Maintenance of Minimum Number of Unit Holders for Unit Trust Funds

SECURITIES AND EXCHANGE COMMISSION OF SRI LANKA

By Hand

07th November 2013

Ref: SEC/LEG/13/11/10

To - All Managing Companies and Trustees of Unit Trust Funds

Directive issued under Section 13 (c) of the Securities and Exchange Commission of Sri Lanka Act No. 36 of 1987 (as amended)

The Securities and Exchange Commission of Sri Lanka (SEC) at its 325th Commission meeting held on 25th October 2013 decided to specify the maintenance of a minimum number of unit holders for a unit trust fund.

Therefore the Managing Companies of Unit Trusts are hereby directed to;

Maintain a minimum number of five (5) unit holders for each Unit Trust at all times.

This directive shall be effective from the date hereof.

Unit Trust Managing Companies that have launched Unit Trust Funds prior to the date of this directive shall be provided a period of six (6) months from the date hereof to comply with the minimum threshold specified herein.

The Commission reserves the right to revisit the restrictions imposed by this directive as and when deemed necessary by the Commission.

(Signature)

Dhammika Perera

Officer-in-Charge/ Deputy Director General /hw

---

Level 28 & 29, East Tower
World Trade Center
Echelon Square, Colombo 01, Sri Lanka.

Telephone
} +94 011 2439144-8
+94 011 2331013-5

Fax
} +94 011 2439149

Website
} www.sec.gov.lk www.cmet.sec.gov.lk www.cmic.sec.gov.lk