1- Introduction of short-term funds: The CMB has announced a draft amendment to the Communiqué on Principles regarding Investment Funds (Serial: VII, No: 10) on 27 December 2010. In the draft, it is anticipated that a new fund entitled “short-term bonds and bills fund” may be introduced. If such fund is introduced, it is expected that at least 51% of the fund portfolio shall be invested in public or private debt instruments. The average term period for the funds is planned to be between 45 and 90 days. As per the relevant CMB announcement, the new fund is planned to be introduced to differentiate the investment possibilities.

2- Draft amendment for funds supermarket: As announced by the CMB on 27 December 2010, according to the proposed amendment by the CMB in the Communiqué regarding the Principles of Portfolio Management Activities and the Institutions that Conduct such Activities (Serial V. No: 59), the portfolio management companies (the “PMC”) will be able to intermediate for purchase of investment funds’ participation certificates. The legislative background for
the distribution of investment funds shares will be in line with European Union legislation. As an important note, the draft also sets the legislative background for the establishment of a funds supermarket.