The Commission approved the request of  the investment intermediary “Euro Garant”  to limit its  scope of activity. According to the decision the investment intermediary can not execute transactions with securities for its own account, as well can not underwrite issues of securities.

Following te request of Privatization Agency the Commission revoked its decision for registration of “Gips AD, Koshava, as a public company.

The FSC approved the publishing of the following tender offer :
– Company, object of the offer: Han Asparuh AD,Ihtiman
– Authorized investment intermediary: Dilingova Finansova CompanyAD

The Commission approved prospectus for secondary public offering of bonds issued by “United Bulgarian Bank” AD, Sofia. The bonds issue has the following characteristics :

Issuer : “United Bulgarian Bank” AD, Sofia
Type of securities: ordinary, dematerialized, fully transferable, interest – bearing,  mortgage bonds
Size of the issue: 40 000 bonds
Nominal value:  BGN 1000  per bond
Annual interest rate : 6.625 %
Term to maturity : 60 months
Payments : every 6 months

The Commission has issued to “UBB Balanced Fund” AD a license to operate as an investment company. The investment policy of the company is based on  the principle of risk distribution.

The Commission has issued a license for operation to  special investment purpose company “BenchMark Fund Imoti”. The company will invest in property. FSC approved the company’s  prospectus for public offering of 150 000 ordinary, dematerialized, fully transferable shares with nominal value of BGN 1 each.

With a decision of the Deputy Chairman of FSC, Head of Insurance Supervision Division, new members of the Guarantee Fund have been approved.  Mr. Borislav Mihailov is appointed a Chairman of the management board of the fund. Members of the board are  Mr. Dancho Jikov, Mrs. Diana Maneva, Mr.  Nikolay Sotirov and Mr. Todor Genchev.

On October 6, 2004 the European Commission published its Regular Report on Bulgaria’s Progress toward Accession.    The development of the non-banking financial sector is analyzed in three chapters related to the activity of FSC –  freedom to provide services, free movement of capital and economic and monetary union.
In regard to the freedom to provide services the European Commission confirms the progress made in this area  in  2003, as it is compared to the previous report. The general recommendation is that the development and the implementation of the European legislation in the area of the insurance and the collective investment schemes should continue.

European Commission considers the establishment of FSC a positive step. Also positive step is the establishment and functioning of the Consultative Board for Financial Stability which main objective is to facilitate the cooperation between Bulgarian National Bank and FSC, and to promote the development of the financial sector.

The Deputy Chairman of FSC, Head of  Social Insurance Supervision Division  Bisser Petkov determined the minimum return rate of 7.04% on annual basis  for  the management of the assets of universal pension funds for the preceding 24-months period (01/10/2002 – 30/09/2004). The minimum return rate for the management of the assets of occupational pension funds for the same period is 6.86% on annual basis.

The Commission with the support of the Ministry of Education and Science organizes a seminar “Non-banking financial sector – perspectives and recent developments” which is to be held on October 7, 2004 in city of Smolyan. The seminar will be attended by more then 40 directors of high economic schools.