May 18, 1992
TO: BOARD OF GOVERNORS NO. 35-92
INTERNATIONAL MEMBERS NO. 11-92
RE: LICENSING REQUIREMENTS FOR INVESTMENT
TRUST MANAGERS IN JAPAN
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Japanese counsel has informed the Institute that, effective
April 24, the Ministry of Finance has relaxed the requirements
imposed on foreign investment trust managers seeking licenses to
manage Japanese investments trusts. (See Institute Memorandum to
Board of Governors No. 26-92 and International Members No. 10-92,
dated April 24, 1992.)
Although a translation of the Ministry’s release is still
not available, we believe that the capitalization requirement has
been reduced from 500 million to 300 million yen, and that an
investment trust manager will no longer be required to employ at
least thirty Japanese. The prohibition on joint venturing with a
Japanese securities firm to establish an investment trust
management firm also appears to have been eliminated.
We will keep you informed of developments.
Angela C. Goelzer
Assistant Counsel - International