182 / 521
In addition, the funds may obtain assets over the counter. In this
case, the said asset shall have a valuation grade equivalent to the invest-
ment level, and shall be transacted at a fair value, and shall be con-
verted to cash at a fair market price.
The open position amount caused by derivatives cannot exceed the
total fund value. In the calculation of the fund’s open position, the
reverse positions taken in the transactions of the warrants, certificates
and derivatives that are relevant to the same asset shall be clarified.
Funds shall not be involved in short sales or credit security trans-
actions.
Conclusion
With the new law of mutual funds, the operation and adaptation
units need to work on funds’ by-laws and structural amendments close-
ly and comprehensively. It is crucial to apply the amendments set forth
in this article as soon as possible by the founders, for the development
and settlement of the system brought by the Communiqué. Currently,
as only 18 PMC has submitted their adaptation applications
5
, beyond
a shadow of a doubt, to restructure the mutual funds, a busy agenda
awaits the CMB Institutional Investors Chamber, till the last day of the
adaptation period that is 01.07.2015. With our following article, to pre-
sent the new system of the Communiqué, we will touch on the opera-
tional proceedings that are to be adhered to by the mutual funds during
their daily proceedings.
166
NEWSLETTER 2014
5
Turkish Institutional Investment Managers’ Association Review October-December 2014.