On 5 December 2012, the Vietnamese Ministry of Finance (MOF) issued Circular No. 212/2012/TT-BTC (Circular 212) on the establishment, organisation and operation of fund management companies (FMCs).
Previously, Decree No. 58/2012/ND-CP of 20 July 2012 (Decree 58) had paved the way for incorporation of 100 percent foreign-owned securities business companies, including FMCs.
Now, Circular 212 provides detailed guidelines on the implementation of the provisions of Decree 58 on FMCs and replaces Decision No. 35/2007/QD-BTC dated 15 May 2007 (as amended on 26 December 2008) (Decision 35). Some salient provisions of Circular 212 are discussed in this legal update.