Regulations Governing Switching in Securities Transactions Authorized Under Circular 365

August 9, 1974 CBP MEMORANDUM TO : Authorized Agent Banks No. 89-74 REGULATIONS GOVERNING SWITCHING IN SECURITIES TRANSACTIONS AUTHORIZED UNDER CIRCULAR 365 The following regulations governing switching of foreign cash investments in CB-approved securities listed in the local stock exchanges, authorized under Central Bank Circular 365 as implemented by Memorandum to Authorized Agent Banks and Authorized Security Dealers dated March 26, 1973, are hereby promulgated: 1. Non-resident investors in CB-approved Philippine securities may engage in single or multiple stock switch transactions of their foreign cash investments which are duly registered under the provisions of Circular 365. Switch transactions may be done either thru the same authorized security dealer thru whom the investment was registered or thru other authorized security dealers. 2. The fifteen-day time limit prescribed in paragraph 4-b-2-ii of Central Bank Memorandum to All Authorized Agent Banks, Stock Brokers and Dealers and Stock Transfer Agents and Registrars dated December 26, 1969 shall not apply to the switch transactions contemplated in this Memorandum. dctai 3. Pending the re-investment of the proceeds of sale of the registered investment, said peso proceeds shall, at the option of the foreign investor be lodged with the selling broker or in a "suspense account" (not a deposit account) with any authorized agent bank. 4. Authorized security dealers effecting any transaction relative to a registered investment shall accomplish the prescribed form for every purchase or every sale, as the case may be, for submission to the Foreign Exchange Department of the Central Bank not later than two (2) days after each transaction. 5. Provisions of existing regulations or authorizations inconsistent herewith are hereby repealed or modified accordingly. This Memorandum shall take effect immediately. (SGD.) G. S. LICAROS Governor