​Management of Mutual Fund​

12. Classification of investment units  

(1) Classification of investment units shall not affect the existing rights of the unitholders.

(2) The mutual management company may allow the unitholders to switch their investment units from one class to another. The procedure for the switching of classes must be clearly described in the scheme.

(3) Seeking a resolution of unitholders in the case of a mutual fund of which investment units are classified:

1) Requesting a resolution on a matter that affects unitholders in all classes:

(A) A matter that equally affects unitholders in all classes requires a resolution with majority or special resolution of all investment units outstanding (example of such issues include operational issues such as a change of a mutual fund management company, or a fund supervisor);

​​​(B) A matter that affects unitholders in all classes with different degree of effects/an issue that affects the interests of unitholders requires a resolution with majority or special resolution of units in that class.

2) Requesting a resolution on a matter that affects unitholders in a particular class requires a resolution with majority or special resolution of units in that class.

(4) In the case that a unit class is without any unitholders, the mutual fund management company may maintain the class.  If the investment units in that class are subsequently on offer, the calculation of the offering price shall be based on the NAVs of the mutual fund.