a dozen CFR – Financing that’s secure indirectly from the stock
Within the a translation had written at the they stated: The Panel keeps much time stored, on the * * * goal urban area, your unique aim of that loan shouldn’t be computed up on a thin studies of one’s tech issues significantly less than hence a great financing is created * * *
(a) A concern could have been presented to the new Board about if or not a loan by a financial so you’re able to a mutual investment money was safeguarded * * * ultimately by the margin stock inside the meaning of 221.(3)(a), and so the mortgage would be addressed as subject to this part.
(b) Briefly, the details are listed below. Finance X, an unbarred-prevent financial support company, registered toward financing agreement with Financial Y, which was (but still is actually) caretaker of your own ties and therefore were this new collection of Funds X. Brand new arrangement has another conditions, which happen to be topic into question till the Board:
(1) Fund X agrees having an resource visibility (because laid out in the agreements) out of 400 percent of all the its borrowings, like the recommended borrowing from the bank, at that time when it requires off one a portion of the mortgage.
(2) Money X agrees to keep an house visibility with a minimum of three hundred % of its borrowings all of the time.
(3) Finance X agrees never to amend its child custody contract which have Financial Y, or perhaps to alternative some other caretaker as opposed to Bank Y’s concur.