Law on changes in investor qualification and testing system adopted
The State Duma has approved the law in the second and third readings. The law provides for a comprehensive reform of the qualification system for it to take into account an investor’s knowledge and experience in the first place. As to technical criteria, such as the property qualification, they will become of secondary importance over time.
For an individual to receive the qualified investor status, it will be sufficient to pass a special exam and obtain a qualification certificate without having to comply with any other criteria. The list of such certificates will be determined by the Bank of Russia.
The list of universities authorised to qualify investors based on an academic degree or title in the related area will be expanded. An investor’s income will become an independent criterion. The regulator will stipulate the requirements for its amount and sources taking into account the changes in the labour market.
Furthermore, the law allows an individual to become a qualified investor provided that several criteria are met: for example, an academic degree or title combined with professional experience, transactions experience, or property or income requirements.
Transactions allowed to qualified investors will no longer be limited to a particular financial instrument or a list of them.
Without passing the test, non-qualified investors will only have access to investment units of closed-end unit investment funds, the requirements for which will be set by the Bank of Russia.
The amendments will become effective six months after the official publication of the law.