Section A. Information on the Asset Management
Investment Certificates Issue
of the Open-End Diversified Unit
Investment Fund “KINTO-Treasury”
of the Private Joint Stock Company “Ê²NTO”
1. Name of Asset Management Company:
1.1. Full name: Private Joint Stock Company “KINTO”;
1.2. Short name – PJSC “Ê²NÒÎ” (hereinafter – the “Company”).
2. Registration Code (ªÄÐÏÎÓ) – 16461855.
3. Location - 2 Lysenko St/Yaroslaviv Val., Kyiv, Ukraine.
4. Tel – (044) 246-73-50, 390-57-60
5. Fax – (044) 235-58-75.
6. Date of the state registration and the authority: registered by Executive Committee of Pechersk District Administration in Kyiv on 23 March, 1992;
7. Information on the managers:
1.1. Full name – Open-end Diversified Unit Investment Fund “KINTO-Trasury” (“The Fund”);
1.2. Short name - ODUIF “KINTO-Trasury”.
2. Date and the Number of the Certificate on receiving registration code (ªÄÐ²Ñ²) – April 27, 2012, ¹00036.
3. Registration code (ªÄÐ²Ñ²) – 21100036
4. The time limit for placement of the Fund’s investment certificates, set up for reaching activities norms – no later then 6 (six) months from the date of registration of issue of the Funds’ investment certificates.
5. The date of the beginning of making settlements with the Fund’s participants – no later than three working days after selling the Fund’s assets, provided other is not stipulated by current legislature.
6. On the date of making a decision on approval of the Fund’ Prospectus the Supervisory Board has not been elected.
These Regulations for the Open-end Diversified Unit Investment Fund “KINTO-Treasury” of the Private Joint Stock Company “KINTO” (“Regulations”) are based on the following Ukrainian laws: “On Securities and Stock Exchange”, “On the National Depositary System and Electronic Transactions With Securities in Ukraine”, “On Collective Investment Institutions (unit and corporate investment funds)” and Rulings of the National Securities and Stock Market Commission (“Commission”). These Regulations aim to regulate creation and functioning of the Open-end Diversified Unit Investment Fund “KINTO-Treasury” of the Private Joint Stock Company “KINTO” (“the Fund”).
1. Information on the unit investment Fund and Fund’s investment certificates
1.1. Name of the Fund:
1.1.1. Full name of the Fund – Open-end Diversified Unit Investment Fund “KINTO-Treasury”
1.1.2. Short name: ODUIF “KINTO-Treasury”.
Full name and short name of the Fund are equivalent.
1.2. Form of issuance of the Fund’s investment certificates – registered.
1.4. Form of the Fund’s investment certificates – non-documentary.
2. Information on the asset management company
2.1.1. Full name – Private Joint Stock Company “KINTO”
2.1.2. Short name – PJSC “KINTO” (“the Company”).
2.2. Registration Code (ªÄÐÏÎÓ) – 16461855.
2.3. Location - 2/1 Lysenka/Yaroslaviv Val St, Kyiv, Ukraine.
3. Procedure for Establishing, Responsibilities, Activities and Composition of the Fund’s Supervisory Board
3.1. The Fund’s Supervisory Board (“Supervisory Board”) is composed of 3 (three) members elected from the Fund’s participants (“Participants). The Supervisory Board’s objective is to supervise the Fund’s investment declaration implementation, safekeeping of the Fund’s assets, Fund’s audit and Fund’s assets valuation.
3.2. Any Fund’s Participant could be elected as a member of the Supervisory Board in case he (she) owns not less than 10 000 (ten thousand) investment certificates of the Fund.
3.3. Among those, who meet the criteria mentioned in paragraph 3.2 of these Regulations, the priority-driven rights to become members of the Supervisory Board have those Participants, who own the largest number of the Fund’s investment certificates.
3.4. The Supervisory Board is elected annually.
3.5. The Company on the date of January 20 decides on the Participants, who, according to the paragraph 3.2. of these Regulations have the right to enter the Fund’s Supervisory Board, and no later than within 10 (ten) working days from the mentioned date sends to these Participants by the recommended letter a proposal to become member of the Fund’s Supervisory Board.
3.6. The answers on proposal to enter the Supervisory Board are accepted by the Company within 10 (ten) working days from the dispatch date of this proposal, mentioned in paragraph 3.5. of these Regulations.
3.7. The Company within five working days (starting from the expiry date of the accepting answers on proposals to enter the Supervisory Board) sends by the recommended letter to those, from whom in the term set up in paragraph 3.6. of the regulations the answers were received:
- notification that the Participant has become a member of the Supervisory Board;
- notification that according to the paragraph 3.1. and 3.3. of these Regulations the Participant has not become a member of the Supervisory Board.
3.8. The Company no later than 10 (ten) working days before the Board’s meeting to be held sends invitations to the members of the Supervisory Board.
3.9. On the first Fund Supervisory Board meeting’s the required point of the agenda is election of the Fund Supervisory Board’s Head and a Secretary. An article on elections of the Head of the Supervisory Board is required to be the first point on the Board meeting’s agenda.
3.10. All Supervisory Board’s members present at the meeting elect the Head of the Fund’s Supervisory Board though a majority. The Head of the Supervisory Board could be re-elected anytime.
3.11. The Head of the Supervisory Board organizes the Board’s work, calls meetings of the Supervisory Board, presides over Board’s meetings and keeps minutes. If the Head of the Supervisory Board could not participate at the Board’s meeting, another Supervisory Board’s member acts on behalf of the Head according to the decision taken by the members of the Board.
3.12. Meeting of the Fund’s Supervisory Board could also be called on the request of a member of the Supervisory Board, an auditor (auditing company), Fund’s custodian or the Company itself. An initiator, who called the Fund Supervisory Board’s meeting, is required to inform members of the Board by a written letter specifying date, time, location and agenda of the Board’s meeting in not less than 10 (ten) working days.
3.13. The Fund Supervisory Board is authorized to take decisions on the agenda issues only if two thirds of Board’s members are present at the meeting.
3.14. Fund Supervisory Board’s authorities include:
- Elections of the Head and Secretary of the Supervisory Board;
- Ratification of amendments to regulations and Investment declaration, approved by the authorized Company’s body;
- Approval of decision on discontinuing agreements with the custodian, depository and auditor (auditing company).
3.15. Each Fund Supervisory Board’s member has one vote during the Board’s meeting.
3.16. The Fund Supervisory Board’s decisions are taken by majority of voices of the Fund’s Supervisory Board present at the meeting.
3.17. Minutes of the Fund Supervisory Board’s meeting should be finalized in no more than 5 (five) working days after the meeting was held. Minutes should include the following information about the meeting:
- Location and date;
- List of attendees;
- Issues to be voted on, vote results and decisions taken. The Head and a Secretary of the Board sign the Fund Supervisory Board’s Minutes.
3.18. Any member of the Fund Supervisory Board has the right to participate at the Supervisory Board directly or through a representative, whose authorities should be confirmed in accordance with the current legislative norms.
3.19. If, as a result of alienation of the Supervisory Board’s member’s Fund’s investment certificates, the number of his/her investment certificates has become less than the number mentioned in the paragraph 3.2 of these Regulations, such a member of the Fund Supervisory Board loses his/her membership. At the same time, the number of Board’s members is less than required in the item 3.1 of these Regulations, so the Fund Supervisory Board’s meeting could not be held until the minimum required number of members of the Supervisory Board is reached. The Company’s Supervisory Board temporarily acts as the Fund’s Supervisory Board until the Fund’s Supervisory Board is formed.
4. The Procedure of the Net Asset Value and Investment Certificates Placement (Redemption) Price Determination
4.1. The Fund's net asset value is determined according to the procedure stipulated by the "Regulations on determination of collective investment institutions net asset value" (unit and corporate investment funds) (“Regulations”), approved by the decision of the Securities and Stock Market Commission on the 2 July 2002 No 201 (“Regulations”). In case the changes are made to these Regulations or in case the regulative acts on changes in the procedure of net assets value determination are approved, the net value of the Fund's assets is determined according to the requirements of legislature in force and corresponding regulative documents.
4.2. When calculating the Fund’s net asset value, the Fund’s assets are valued by the following way:
- Before receiving the written notification from the Commission that it recognizes the Fund as such that meets the minimum asset requirements set up for unit investment funds by current legislature – at the end of the last working day of the calendar month, n the date starting from which the limitations set up by legislature are applied to the composition and structure of Fund assets, on the date of taking decision on the change of the Company (if taken), and submitting to the Commission of the report on the results of investment certificates placement;
- After receiving the written notification from the Commission that it
recognizes the Fund as such that meets the minimum assets requirements
4.3. Before the Commission recognizes the Fund as such that meets the minimum asset requirements, the placement of the Funds investment certificates is performed at the price calculated from the securities’ nominal value.
4.4. After the Commission recognizes the Fund as such that meets the minimum asset requirements, the placement and redemption of the Funds investment certificates is performed by the Company at their calculated value, set up on the day of submitting by the investor application on purchasing the Fund’s securities.
4.5. The calculated value of the investment certificate is determined as the ratio of the Fund’s total net asset value to the number of the Fund’s investment certificates outstanding on the date of calculation.
4.6. The price of the investment certificate is increased with the amount of the agent’s fee (“Agent”). The amount of the Agent’ fee is determined in the Prospectus.
4.7. The value of the Fund's investment certificates redeemed from the participant is determined on the basis of the calculated value of the Fund's investment certificates on the day when the participant submits application for redemption of the Fund' investment certificates.
4.8. The value of the Fund's investment certificates at which payment to participants is made while the Fund’s liquidation is determined on the basis of net asset value per one Fund’s certificate outstanding on the day of publishing the order of the Commission on termination of the circulation of securities.
5. The Procedure of Determination of Company's Management Fee and Covering the Expenses Incurred by the Fund
5.1. Company’s management fee is determined depending on the net asset value of the Fund.
5.2. The Company’s management fee is accrued and is paid out monthly by cash.
5.3. Determination of the net asset value for calculation of the Company’s management fee is made on the basis of information on average monthly net asset value of the Fund as of the end of the last working day of the corresponding month.
5.4. By the results of financial year finalization of the Company’s annual fee is made on the basis of the average annual net asset value calculation taking into account average monthly net asset value estimates.
5.5. The Company’s annual management fee may not exceed 5 (five) percent of average Fund's net asset value.
5.6. Annual management fee is 1.5% of the Fund’s average Net Asset Value (NAV)
5.7. Other fees and expenses paid from the Fund's assets:
- Fee to the Fund's custodian;
- Fee to the Fund's depository;
- Fee to the Fund's auditor;
- Fee to securities traders;
- Operating expenses incurred in connection to the functioning of the Fund, including:
- Registration services (state duties and other similar services);
- Payment for bank servicing;
- Notary services;
- Payment for publications of the required information on the Fund's activities;
- Informational services (payment for acquiring information regarding the issuers in the securities of which the Fund has allocated or plans to allocate its assets; payment for other information required for collective investment);
- Advertising services associated with circulation of the Fund's securities;
- Expenses for servicing the Fund's participants and circulation of securities, including expenses on the interest payments for loans, received by the Company to purchase securities (taking into consideration limitations set up by the current Ukrainian legislature).
5.8. Expenses specified in item 5.7 of the Regulations (except Company’s management fee, taxes and other obligatory payments, stipulated by the law) may not exceed 5 (five) percent of annual average Fund's net asset value calculated in accordance to the Commission regulations.
5.9. Any other expenditures and expenses exceeding the amount specified by legislation is paid by the Company at its own account.
6. Procedure and Terms of the Investment Certificates Redemption by the Company
6.1. The Fund’s securities are redeemed on the basis of the received by the Company applications for redemption which should comply in form with the legislative acts of the Commission (“Application for redemption”)
6.2. Application is submitted by the Participant to the trader - an agent on the placement and redemption of the Fund investment certificates (“the Agent”) – list of which could be found at the Fund’s prospectus. The Agent acts on behalf, on account and in the interests of the Company.
6.3. Application is irrevocable.
6.4. Applications are accepted daily (form 1 p.m to 5 p.m.) starting from the day when the Commission recognizes the Fund as such that meets the minimum assets requirements specified by the law for unit investment funds.
6.5. When submitting Application on redemption, Participant signs an agreement on securities redemption.
6.7. Settlements with Participant are made:
- through bank transfer to Participant’s bank account;
- cash from the Agent’s cash desk at Participant’s request;
In case the Participant within the term specified in p.6.6. of the regulations does not apply for receiving monetary funds, such funds are transferred to the deposit at the private notary for its further transfer to the participant. This is done at the Participant expense in keeping with current legislature.
6.8. Settlement with the Participant is made during 7 (seven) working days from the day when the mentioned above agreement was concluded.
6.7. The Fund’s certificates redemption price is one and the same for all participants.
6.9. The redemption price is decreased by the amount equaling the Agent’s commission specified in the Prospectus. In case the Participant takes cash from the Agent cash desk, the Agent’s fee increases by the amount of the Agent’s bank commission, but no more than 1% (one percent).7. Investment targets are determined in the Fund's Investment Declaration, which is a constituent part to the Regulations (See: Investment Declaration, Attachment 1 to the Regulations).
to the Regulations
of the Open-End Diversified Unit
Investment Fund “KINTO-Treasury”
of the Private Joint Stock Company “Ê²NTO”
of the Closed-End Non-Diversified Unit
Investment Fund “Index UX”
of the Private Joint Stock Company “Ê²NTO”
1. Full name of the fund - Open-end Diversified Unit Investment Fund “KINTO-Trasury”
2. The Fund was founded according to the decision of the Board of the Private Joint Stock Company “Ê²NTO” (Minutes as of March 6, 2012).
3. The objective of the Fund's activity is raising funds from investors and increasing the value of capital through collective investment activities.
4. The Fund’s assets comprise
b) fixed income securities (including corporate and bank bonds, state bonds, etc)
c) bank metals
5) The target proportion of each group of asset classes stated in pp. a) b) c in p.4 of the Investment Declaration (“Declaration”) in total asset value is 30 (thirty) percent.
6. The Company performs asset rebalancing according to p.5 of the Declaration:
Scheduled - once a year (in the 1st quarter of each year).
Unscheduled - in case of 10 (ten) percentage points deviation from the target proportions of any asset class in the Fund’s total asset value stated in p.5 of the Declaration.
7. The Fund’ assets structure must comply with the requirements set up by current legislature for diversified investment fund asset structure.
8. During the asset management process, the Company adheres to all requirements stipulated by the current legislature on the structure of assets of the diversified unit investment fund.
9. The requirements to the Fund’ asset structure are applied in 6 (six) months from the day of registration of the Fund’s Regulations.
1. The investment certificates are placed by open (public) placement.
2. Total value of the Fund’s investment certificate - UAH 500,000,000 (five hundred million)
3. Nominal value of the Fund’s investment certificate - UAH 100 (one hundred)
4. Number of the Fund’s investment certificates – 5,000,000 (five million)
5. Form of the Fund’s investment certificates – non-documentary.
6. Form of issuance of the Fund’s investment certificates - nominal
7. The beginning of placement of investment certificates is on the eleventh calendar day after publishing the registered in the Commission Prospectus, (provided the Fund’s investment certificates are awarded the international identification number on this date) in case this day is the day-off or a holiday – on the first day afterwards.
8. Procedure for defining selling price of investment certificates.
Investment certificates are placed at the price set up as the amount of the Agent’ fee and:
–nominal value of the Fund’s investment certificate – until the day of receiving from the commission the written notification on the recognition of the Fund as such, which corresponds the requirements towards minimal asset value for ICI;
– calculated value of the investment certificate, determined on the day of submission by Investor application for purchasing investment certificates (“Application for purchasing”) - from the day of receiving from the Commission the written notification on the recognition of the Find as such, which corresponds the requirements towards minimal asset value for ICI.
9. The Agent fee which increases the price of the Fund's investment certificates concludes 1 % (one percent)
10. The procedure of investment certificates placement and payment.
10.1. The placement of the Fund’s investment certificates is done by the agent. The information on the Agent is in this Prospectus.
10.2. A person who is willing to purchase Fund’s investment certificates (“Investor”) should submit an Application on the investment certificates purchase (“Application on purchase”) directly or through the representative, who acts on behalf of the Investor according to the appropriately formalized power of attorney, to the Agent and on the address mentioned above.
10.3. . Applications on purchase are accepted each working day from 1100am to 1700pm.
10.4. The investor can be refused in accepting his application for purchasing if:
– the form of the Application does not correspond to the requirements set up by current legislature;
– on the day of submitting Application for purchasing the Agent has placed the whole amount of the investment certificates stipulated by the corresponding legislature;
– The Application for purchasing is submitted with violation of terms set up in p.10.3 of this section
10.5. Right after the Application for purchase is accepted, the Company signs an Agreement with the Investor on the Fund’s Investment Certificates Purchase. If the Investor is married at the time when the Agreement is concluded, the Investor’s spouse should give his (her) consent on signing the mentioned Agreement. Such consent should be presented in the written form:
– Simple written form (Investor’s spouse should be physically present during the Agreement singing process);
– Notarized written form (presence of the Investor’s spouse is not required during the process of signing the Agreement).
10.6. The Investor pays for the investment certificates by bank transfer of funds in the amount stated in the Agreement on purchase of investment certificates to the Fund’s current account.
10.7. The Investor pays for the investment certificates
- in cash – on the day of signing the purchase agreement;
- by bank transfer – no later than the following working day from signing the purchase agreement.
10.8 In case, the funds for investment certificates are accounted on the fund’s current account later than the date stated in p.10.7 of this Section, these funds shall be transferred back to its owner no later than 3 (three) days from the day of its receipt.
10.9. The Company fulfills all actions required for writing off the Fund’s investment certificates for the benefit of Investor no later than seven working days from the day of making payment.
11. The minimum amount of the Fund’s certificates which the Investor can purchase based on one Application for purchase is 10 (ten).
12. The investor can buy investment certificates at the following address:
– Kyiv, 2/1 Lysenka/Yaroslaviv Val St
– Mykolaiv, 1a Dekabrisiv St;
13. Rights of Fund’s investment certificates Owners:
- To redeem investment certificates;
- Become a member of the Fund’s Supervisory Board according to the Fund’s Regulations;
- Other rights stipulated by current legislature;
14. Notification on the Fund’s investment certificates issue is done by publishing the registered Prospectus in the official printed edition or public data base of the National Securities and Stock market Commission or placing at the Company’s website within the terms stipulated by current legislature.
15. The funds attracted from the Fund’s investment certificates may not be used to cover the Company’s losses.
16. If the Commission recognizes the issue of the Fund’s investment certificates invalid, the Company takes the responsibility to return collected money to investors in the time frame specified by the law. Refusal from the issue of investment certificates is not accepted.
The placement of the investment certificates is done for the first time.
- Name – Private Joint Stock Company «Ukrainian National Securities Depository»;
- Code (ªÄÐÏÎÓ) – 35917889;
- Location – 04107, Kyiv, Tropinin St, house. 7-G;
- validity of licenses for professional activity in the stock market – depository activity, namely depository activities of securities – from 27/05/09 until 27/05/19.
- Name – “BTA Bank”;
- Code (ªÄÐÏÎÓ) – 14359845;
- Location – 75, Zhilyanskaya Str., Kyiv;
- Series, number and date of issue of the License on securities
issuance and circulation – AB ¹376969 as of 23.10.09
Section H. Information on the
Section I. Information on the securities
traders who place and redeem Fund’s investment certificates.1.
Name - "KINTO", Ltd";
- Underwriting– form 10.09.10 until 10.09.15;
- Brokerage – from 10.09.10 until 10.09.15;
2. Name – Limited Liability Company «Fundstore Plus»;
© Kinto, Investment & Securities in Ukraine
25-B Sagaydachnogo str, 3rd floor,
Kyiv, Ukraine 04070
Tel.: +380 (44) 462-5377, 462-5140