Resolution CMN No. 2907 — Authorizes the Establishment and Operation of Credit Rights Investment Funds and Funds of Credit Rights Investment Fund Quotas

RESOLUTION NO. 2907

Authorizes the establishment and operation of credit rights investment funds and funds of application in quotas of credit rights investment funds.

The CENTRAL BANK OF BRAZIL, in accordance with Article 9 of Law 4.595, of December 31, 1964, makes public that the MONETARY NATIONAL COUNCIL, in a session held on November 29, 2001, based on Article 4, item VI, of the aforementioned law, Law 4.728, of July 14, 1965, Article 23 of Law 6.099, of September 12, 1974, with the wording given by Law 7.132, of October 26, 1983, and Article 3 of Law 6.385, of December 7, 1976, and having in view the provisions of Article 1 of Law 10.198, of February 14, 2001,

RESOLVES:

Article 1. To authorize the establishment and operation, under the terms of the regulation to be issued by the Securities and Exchange Commission (CVM) within a maximum period of fifteen days counted from the date of entry into force of this resolution:

I - credit rights investment funds, intended predominantly for application in credit rights and in securities representing such rights, originating from operations carried out in the financial, commercial, industrial, real estate, mortgage, leasing, and service provision segments, as well as in other investment modalities admitted in the aforementioned regulation;

II - funds of application in quotas of credit rights investment funds, which must have as their objective the application of resources in quotas of credit rights investment funds.

Paragraph 1. The administration of the fund may only be exercised by a multiple bank, by a commercial bank, by the Federal Savings Bank (Caixa Econômica Federal), by an investment bank, by a credit, financing, and investment society, by a securities and brokerage society, or by a securities distribution society.

Paragraph 2. The regulation referred to in this article must provide, at a minimum, the following:

I - possibility of application of resources in the fund only by qualified investors, considering the definition contained in the regulation issued by the Securities and Exchange Commission regarding investment funds intended exclusively for these investors;

II - necessity of classification of the fund or of the credit rights and the securities representing such rights that are part of the respective portfolio by a risk rating agency operating in the Country;

III - diversification requirements for the fund's applications;

IV - rules for the valuation of the fund's portfolio and for the calculation of the value of its quotas;

V - conditions for the issuance and redemption of the fund's quotas and the system for crediting earnings;

VI - minimum value for making applications in the fund;

VII - possibility of agreeing on guarantees regarding the credit rights and the securities representing such rights that are part of the fund's portfolio;

VIII - necessity of maintaining, in a segregated manner, analytical records containing complete information about any and all types of transactions carried out between the administering institution and the fund;

IX - prohibition for the administering institution of:

a) providing surety, guarantee, acceptance, or co-obligating itself under any other form in the transactions practiced by the fund, including when it concerns guarantees provided for transactions carried out in derivatives markets;

b) using assets of its own issuance or co-obligation as guarantees for the transactions practiced by the fund;

c) making resource contributions to the fund, directly or indirectly, under any title, except for the case of acquisition of its quotas;

X - system for the disclosure of information to the co-owners.

Paragraph 3. The rules referred to in the preceding paragraph, item IV, must be established through the use of a methodology for calculating the market value of the credit rights, the securities representing such rights, and the other financial assets and investment modalities that are part of the respective portfolio, according to consistent and verifiable criteria, supported by external and internal information that takes into account aspects related to the debtor, to its guarantors, and to the characteristics of the corresponding operation.

Paragraph 4. The prohibitions referred to in paragraph 2, item IX, cover the own resources of the legal and natural persons controlling the administering institution, of the societies directly or indirectly controlled by them, and of affiliated or other societies under common control, as well as the assets that are part of their respective portfolios and those of their issuance or co-obligation.

Paragraph 5. Excluded from the provisions of the preceding paragraph are securities issued by the National Treasury, securities issued by the Central Bank of Brazil, and securitized credits by the National Treasury, in addition to state public securities, which are part of the fund's portfolio.

Paragraph 6. It is permitted to hire a legal entity to manage the fund's portfolio and/or to administer the credit rights and the securities representing such rights belonging to it, without prejudice to the responsibility of the administering institution and the designated director or managing partner.

Article 2. In credit cession operations carried out between financial institutions and leasing societies and credit rights investment funds:

I - the provisions of Resolution 2.686, of January 26, 2000, must be observed, insofar as applicable;

II - the restrictions provided for in Article 6, main text, items I and II, and paragraph 2, of Resolution 2.836, of May 30, 2001, do not apply;

III - the acquisition of quotas of the fund by the ceding institution, by its controller, by societies directly or indirectly controlled by it, and by affiliated or other societies under common control is prohibited, except when it concerns quotas whose class is subordinate to the others for redemption purposes;

IV - the ceding institution, in the event of co-obligating itself or, in any way, retaining risk regarding the credits involved in the negotiation, remains obliged to provide the Credit Risk Center, in accordance with the provisions of Resolution 2.724, of May 31, 2000, and complementary norms, information regarding these credits;

V - the fund's administering institution must provide the Credit Risk Center, in accordance with the provisions of Resolution 2.724, of 2000, and complementary norms, information regarding credits acquired without co-obligation or any other form of risk retention by the ceding institution.

Sole Paragraph. For the purposes of the provisions of items I, IV, and V, the acquisition by the ceding institution of quotas of the fund whose class is subordinate to the others for redemption purposes must be considered as a form of risk retention.

Article 3. The Central Bank of Brazil is authorized to:

I - verify the correct application of the portfolio valuation rules and the calculation of the value of the quotas used regarding credit rights investment funds and funds of application in quotas of credit rights investment funds that have financial institutions and other institutions authorized to operate by the aforementioned Autarchy as co-owners;

II - establish conditions regarding the credit cession operations referred to in the previous article, as well as regarding the acquisition of quotas of credit rights investment funds and funds of application in quotas of credit rights investment funds by financial institutions and other institutions authorized to operate by the aforementioned Autarchy.

Article 4. This resolution enters into force on the date of its publication.

Brasília, November 29, 2001

Tereza Cristina Grossi Togni
Interim President