MANILA, Philippines — The Bangko Sentral ng Pilipinas on Tuesday announced it will tighten qualification requirements for professionals selling participation in unit investment trust funds, or UITFs, by requiring them to be “certified.”
In a statement, the BSP said all personnel involved in the sales and marketing of UITF have be certified through a “three-pronged” certification program administered by a reputable financial services industry organization.
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UITFs are open-ended pooled trust funds denominated in pesos, or any acceptable currency, that are operated and administrated by a trust entity and made available by participation.
The certification process is composed of a qualifying examination, a requirement for continuing education, and a requirement for registration to monitor and manage the certified UITF marketing personnel, the BSP explained.
Certified UITF agents are also required to undergo trainings, seminars and conferences annually to maintain an active status.
“The UITF Certification Program is expected to further advance the quality of UITF Marketing Personnel and their sales and marketing practices,” the BSP said.
“It will likewise ensure that the marketing personnel can provide sufficient information on UITF to clients, as well as promote delivery of safe and effective products and services,” it added.
UITFs are highly regulated and financial institutions offering these are closely supervised by the BSP to ensure investor protection.
To facilitate an orderly transition of existing UITF marketing personnel, the BSP said the new rule includes a transitory provision which allows existing UITF agents to undergo the certification program until 2021. — Ian Nicolas Cigaral