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Marketing of units in the Republic of Bulgaria by UCITS established in another Member State

Directive 2009/65/EC of the European Parliament and of the Council of 13 July 2009 on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities (UCITS) provides and regulates the notification procedure in respect of competent authorities of UCITS which intend to offer their units in a Member State which is not their home Member State. The provisions of the directive regarding units marketed by UCITS established in another Member State on the territory of the Republic of Bulgaria are incorporated in the Bulgarian legislation, namely in articles 128-135 of the Collective Investment Schemes and Other Undertakings for Collective Investments Act (CISOUCIA).
If any UCITS established in another Member State intends to market its units in the Republic of Bulgaria, first, it has to send a notification letter to its home Member State competent authority. The notification letter includes information on the measures taken by it, in order to market its shares on the territory of the Republic of Bulgaria including, where applicable, measures on marketing the respective share classes. The following documentation is required to be attached to the notification letter:
1. Articles of incorporation of the respective UCITS, its prospectus and the last annual report and half-year report composed either in Bulgarian, or in English;
2. Key investor information document in Bulgarian language, translated in accordance with Art. 131, par. 2 of CISOUCIA .
After the competent authority of the UCITS home Member State has forwarded to the Bulgarian Financial Supervision Commission (FSC) all documents mentioned above, accompanied by an attestation verifying the UCITS compliance with the requirements of Directive 2009/65/EC, the UCITS has the right to market its units on the territory of the Republic of Bulgaria, without being obliged to pay any fee to FSC.
The notification letter and the attestation are to be composed in English. A message about completed notification procedure is to be sent to the respective UCITS by the competent authorities of its home Member State.
UCITS marketing its units in the Republic of Bulgaria are required to  take all necessary measures to ensure redemption of units, payments to unitholders and provision of information, in accordance with the Bulgarian legislation. The respective UCITS is obliged to provide investors in the Republic of Bulgaria with the whole information and documentation, which the investors of its home Member State have access to, composed either in Bulgarian, or in English. The Key investor information document shall be submitted to the investors in Bulgarian language.
The same requirements have to be fulfilled in case of further change or information update. In case of posterior alteration in the information included in the notification letter, the respective UCITS should notify in writing FSC before having altered it.
The respective UCITS is obliged to publish in an appropriate manner information about the emission value and the redemption price of its units traded on the territory of the Republic of Bulgaria, whereat the frequency of the publication should be set in the legal framework of its home Member State. UCITS shall notify FSC about the frequency and the manner in which it publishes the information required.
Legal requirements
1)     Marketing communications are not verified by FSC.
2)     Passporting rules – art. 128-135 of CISOUCIA;
3)     Denotification of arrangements made for marketing – the denotification is submitted in the form of a notification for a change in the initial notification and in accordance to Art. 131, para 3 of CISOUCIA. There are no additional rules set.
4)     Any other rules governing the marketing of UCITS:
Language requirements - according to Art. 131, para 2 of CISOUCIA the KIID has to be translated into Bulgarian in any case and any other information may be presented in Bulgarian or in English by the choice of the UCITS, respectively the management company. Additionally, Art. 80 of Ordinance No 44 requires that all the information the UCITS publicly discloses to the investors in Bulgaria is to be  translated into Bulgarian at the request of an investor.
At this point there are  no provisions about initial or subsequent registration fees for passporting of UCITS established in another Member State, nor annual supervision fees for marketing of UCITS established in another Member State in Bulgaria.
Ordinance No 44 of 20.10.2011 on the requirements to the activity of collective investment schemes, their management companies, national investment funds and managers of alternative investment funds is available in English at the following  link:
https://www.fsc.bg/en/markets/capital-market/legal-framework/ordinances/