Investment Guarantee Fund

An Investment Guarantee Fund (hereinafter only „the Fund”) is a legal entity established by the Act on Securities and Investment Services, No. 566/2001 Coll., as subsequently amended (hereinafter only “Securities Act”), particularly in its provisions of Art. 80 to 98.

Fund shall collect financial contributions of investment firms, branches of foreign investment firms, entitled asset management companies, and branches of foreign asset management companies, to provide compensation for inaccessible client assets received by such as entities and shall use these funds raised in accordance with Securities Act.

The Fund is a legal person registered in the Commercial Register. Detailed provision on the activities of the Fund and its organisation shall be laid down by the statutes of the Fund in accordance with Securities Act. Competent authority forsupervision of activities of the Fund is the National Bank of Slovakia (hereinafter only „NBS”).

Bodies of the Fund:

The Fund’s bodies comprise:
a) Council of the Fund,
b) Presidium,
c) Supervisory Board of the Fund.

The Council of the Fund is the supreme body of the Fund. It shall for example appoint and dismiss members of the Presidium of the Fund; approve the statutes of the Fund, approve the budget of the Fund; approve the annual financial statements of the Fund; approve the annual report of the Fund for the previous year, to be submitted to the NBS; decide on payment of compensation from the Fund in accordance with the Securities Act and determine the method of payment of compensation; determine the amount of annual contributions by relevant entities and maturity date for payment of extraordinary contributions; approve the general terms and conditions for the payment of compensation for inaccessible client assets held by relevant companies.

The Council of the Fund consists of nine members. Their term of office is four years. Two of the members of the Council of the Fund shall be representatives of the Ministry of Finance of the Slovak Republic (hereinafter only “Ministry”), appointed and dismissed from among the employees of the Ministry by the Minister of Finance. Three of the members shall be representatives of the NBS, appointed and dismissed by the Governor of the NBS. The remaining four members shall be appointed an dismissed by representatives of investment firms.

The Presidium of the Fund is the statutory body of the Fund, The Presidium of the Fund shall act on behalf of the Fund in the extent defined by its statutes. The Presidium of the Fund shall consist of the chairman of the Presidium of the Fund and two other members appointed and dismissed by the Council of the Fund, which are employees of the Fund.

The Supervisory Board of the Fund shall oversee the activities and financial management of the Fund, the Council of the Fund, and whether their activities and financial management are in line with Securities Act, generally applicable legislation, general conditions for the payment of compensation for inaccessible client assets, and the statutes of the Fund.

Supervisory Board of the Fund shall have seven members, their term of office is four years. Three members of the Supervisory Board of the Fund shall be appointed and dismissed by the Council of the Fund on a proposal of investment firms passed by a meeting of representatives of the investment firms. Two member’s of the Fund’s Supervisory Board shall be appointed and dismissed from among the employees of the Ministry by the Minister of Finance. Two members of the Fund’s Supervisory Board shall be representatives of the NBS, appointed and dismissed by the Governor of the NBS.

Tasks associated with professional, organisational, administrative, and technical support of activities and regular operations of the Fund and its bodies shall be performed by the office of the Fund. It shall be made up of employees of the Fund and managed by the chairman of the Presidium. Further details regarding the position and activities of the office of the Fund shall be laid down in the statutes of the Fund.