Argentina’s Comisión Nacional de Valores (CNV) approved two general resolutions to modernize the country’s capital markets by expanding automatic public offering regimes for financial trusts and closed-end investment funds. The regulatory changes, which take effect immediately, consolidate previously fragmented authorization pathways into a single streamlined framework designed to reduce processing times and administrative burden while maintaining investor protections.
- Regulations: General Resolutions N° 1159 and N° 1160
- Scope: Financial trusts (FFs) and closed-end investment funds (FCICs)
- Key Change: Automatic offering now mandatory for qualifying emissions; eliminates low- and medium-impact automatic regimes
- Objective: Reduce bureaucracy, accelerate market access, and optimize regulatory resources
Resolution 1159 eliminates the separate automatic offering regimes for low and medium-impact financial trusts, replacing them with a unified framework. Resolution 1160 standardizes terminology across market instruments by renaming the closed-end investment fund authorization regime as the “Automatic Authorization Regime for Closed-End Investment Fund Shares with Extended Medium Impact.” The consolidation aims to simplify regulatory processes while maintaining consistent standards across different asset classes.
We want the Automatic Public Offering Regime to be the rule for all financial trust and closed-end fund emissions that meet established requirements, moving forward toward a more agile capital market with simpler, more efficient processes and eliminating unnecessary bureaucracy without compromising supervision standards and investor protection.
The resolutions strengthen participant accountability for information accuracy and quality. Market participants whose repeated modifications stem from inconsistencies, inaccuracies, or errors unrelated to market conditions may face disciplinary measures. The CNV retains full regulatory, supervisory, and enforcement authority under the new framework. The modernization initiative builds on Argentina’s broader deregulation efforts, which have previously accelerated market access and reduced processing timelines for capital market issuances without diminishing investor safeguards.
