MORNBFI Vol. 1 - Planters Development Bank

APP. Q-3209.12.31withdraw their participations if they are notin conformity with the amendments made:Provided, further, That amendments to theplan shall be submitted to the appropriatedepartment of the SES within ten (10)business days from approval of theamendments by the board of directors.A copy of the plan shall be available atthe principal office of the trustee duringregular office hours for inspection by anyperson having an interest in a trust whosefunds are invested in the plan or by hisauthorized representative. Upon request, acopy of the plan shall be furnished suchperson. (Subsec. 4410Q.2)4. Management of CTFs. The trusteeshall have the exclusive management andcontrol of each CTF administered by it, andthe sole right at any time to sell, convert,reinvest, exchange, transfer or otherwisechange or dispose of the assets comprisingthe fund.The trustee shall designate clearly in itsrecords the trust accounts owningparticipation in the CTF and the extent ofthe interests of such account. The trusteeshall not negotiate nor assign the trustor’sbeneficial interest in the CTF without priorwritten consent of the trustor or beneficiary.No trust account holding a participation ina CTF shall have or be deemed to have anyownership or interest in any particular assetor investment in the CTF but shall have onlyits proportionate beneficial interest in thefund as a whole. (Subsec. 4410Q.3)5. Trustee as participant in CTFs. Atrustee administering a CTF shall not haveany interest in such fund other than in itscapacity as trustee of the CTF nor grant anyloan on the security of a participation in suchfund: Provided, however, That a trusteewhich administers funds representingemployee benefit plans under trust orinvestment management may invest fundsin the CTF: Provided, further, That in thecase of employee benefit plans under trustbelonging to employees of entities otherthan that of the trustee, the trustee mayinvest such funds in its own CTF only on atemporary basis in accordance with Subsec.4409Q.5. (Subsec. 4410Q.4)6. Exposure limit of CTF to a singleperson or entity. No investment for a CTFshall be made in stocks, bonds, bankdeposits or other obligations of any one (1)person, firm or corporation, if as a result ofsuch investment the total amount investedin stocks, bonds, bank deposits or otherobligations issued or guaranteed by suchperson, firm or corporation shall aggregateto an amount in excess of fifteen percent(15%) of the market value of the CTF:Provided, That this limitation shall not applyto investments in government securities orother evidences of indebtedness of theRepublic of the Philippines and of the BSP,and any other evidences of indebtedness orobligations the servicing and repayment ofwhich are fully guaranteed by the Republicof the Philippines. (Subsec. 4410Q.5)7. Operating and accountingmethodology. By its inherent nature, a CTFshall be operated and accounted for inaccordance with the following:a. The trustee shall have exclusivemanagement and control of each CTFadministered by it and the sole right at anytime to sell, convert, reinvest, exchange,transfer or otherwise change or dispose ofthe assets comprising the fund;b. The total assets and accountabilitiesof each fund shall be accounted for as asingle account referred to as pooled fundaccounting;c. Contributions to each fund byclients shall always be throughparticipations in the fund;d. All such participations shall bepooled and invested as one (1) account(referred to as collective investments); andQ RegulationsAppendix Q-32 - Page 2Manual of Regulations for Non-Bank Financial Institutions