Regulatory Alerts2021-11-10
Added · Updated
Meaning of Net Asset Value (CIS.S.4.11)
The Namibia Financial Institutions Supervisory Authority issued Standard CIS.S.4.11 to define Net Asset Value (NAV) for collective investment schemes, managers, operators, trustees, and custodians under the Financial Institutions and Markets Act, 2021. The standard mandates that NAV equals the fair value of total assets minus liabilities, with money market instruments maintaining a constant 100-cent NAV per interest and foreign currency valuations calculated via specified exchange rate methods. Managers must regularly publish class or portfolio NAVs, write down assets experiencing significant deterioration or delayed maturity, and report any pricing errors exceeding 0.5 percent to ensure fair investor treatment.
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