Amendments to the Manual of Regulations for Banks (MORB) and Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) relative to the implementation of Personal Equity and Retirement Account (PERA) Act of 2008 and its IRR (PERA Rules)

Beruexo SeNrnaL NG PILIPINAs OFFICE OF THE GOVERNOR ctRcutAR No. s7s Series of 2O1i- Subiect: Amendments to the Manual of Regulations for Banks (MoRB) and Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) retative to the implementation of Personal Equity and Retirement Account (PERA) Act of 200g and its lmplementing Rules and Regulations (pERA Rules! The Monetary Board in its Resolution No. 509 dated 27 March 2015 approved the amendments to Subsections X}O].L/49O1e.1, X405.1,/44OSe.L and X405.5 /qqOSe.S of the Manual of Regulations for Banks (MORB) and Manual of Regulations for Non-Bank Financial lnstitutions (MORNBFI), respectively, relative to the implementation of pERA Act of 200g and PERA Rules. Section 1. Subsection X90i..1 is hereby amended, as follows: "x901.1 Annual fees on banks. For purposes of computing the annual fees chargeable against banks, the term "Total Assessable Assetsi' shall be the amount referred to as the total assets under Section 28 of R. A. No. 7653 (end-of-month total assets per balance sheet, after deducting cash on hand and amounts due from banks, including the BSp and banks abroad), plus Trust Department accounts and personal equity and retirement accounts (PERA) administered by the bank. xxx" Section 2. Subsection 4901e.1 is hereby amended, as follows: "4901Q.1Annualfees on quasi-banks. QBs shall contribute to the BSp an annual fee to help defray the cost of maintaining the appropriate department of the sES. For purposes of computing the annual fees chargeable against eBs, the term Total Assessable Assets shall be the amount referred to as the total assets under section 2g of R.A. No. 7653 (end-of-quarter total assets per: balance sheet, after deducting cash on hand and amounts due from banks, including the BSP and banks abroad) plus trust Department accounts and personal equity and retirement accounts (PERA) administ.ered by the quasi-bank. XXX,,

section 3. subsectionx4os.i,/4405e.1 is hereby amended, as follows: "Subsection X40S.1/4405e.1 Basic security deposit. A bank/institution authorized to engage in trust and other fiduciary business shall deposit with the BSp eligible government securities as security for the faithful performance of its trust and other fiduciary duties equivalent to at least one percent (I%') of the book value of the total volume of trust, other fiduciary and investment management assets: Provided, That at no time shall such deposit be less than P500,000. Scripless securities under the Registry of Scripless Securities (RoSS) System of the Bureau of Treasury (BTr) may be used as basic security deposit for trust and other fiduciary duties using the Guidelines enumerated in Append rx 3a/e-21of this Manual. The security for the fai-thful performance of PERA Administrator shall be separately accounted for and cal-culated as prescribed under Section xg6o/4960e and Appendix 34a/e_2Ia of this Manual_. " Section 4. Subsection X405.5/4405e.5 is hereby amended, as follows: 'x405.51M05Q.5 Reserves against peso-denominated Common Trust Funds and Trust and Other Fiduciary Accounts - Others "a. Reserves against peso-denominated CTFs. In addition to the basic security deposit, a bank/institution authorized to engage in trust and other fiduciary business shall maintain reserves on: XXX b. Reserves against TOFA - Others. In addition to the basic security deposit, banks/institution authorized to engage in trust and other fiduciary business shall maintain reserves on TOFA-Others, except accounts held under (1) Administratorship; (2) Bond lssues/Other Obligations Under Deed of Trust or Mortgage; (3) Custodianship and Safekeeping; (4) Depository and Reorganization; (5) Employee Benefit plans Under TrusU (6) Escrow; (7) Personal Trust (testamentary or living trust); (8) Executorship; (9) Guardianship; (10) Life Insurance Trust; (11) Pre-need Plans (institutional/individual); and (\2) Personal Equity and Retirement Account (PERA). XXX,, Section 5. Effectivity. This Circular shall take effect fifteen (15) days following its publication in the Official Gazette or in any newspaper of general circulation in the philippines. FOR THE MONETARY BOARD: TET Xlvay zots