Azerbaijan, Baku, Dec 22 /Trend N.Ismayilova/
There is an unformed demand for investment fund activity, State Securities Committee (SSC) Chairman Rufat Aslanli said on Tuesday.
"Deposits are growing rapidly in the banking sector in recent years, but the yield of these deposits show a decline," Aslanli said.
Aslanli noted that investment funds will cover audiences with professional skills, and they ready to invest for higher risks with higher returns.
Aslanli noted that, the State Committee expects to receive formal requests to generate funds in the near future.
"Equity investment funds are of the great interest in the world. However, the specificity of the Azerbaijani market is that there are a great demand for debt instruments with a stable income," Aslanli said.
Investment funds are established with medium and long-term strategy, according to Aslanli
"Investment funds have to determine the main directions of its policy in advance. Therefore, the discussion today revolve around such issues as business strategy, focusing the scope and prospects," Aslanli said.
Law On Investment Funds was adopted by the Parliament of Azerbaijan in October 22, 2010. Investment funds may be established in Azerbaijan in the form of joint-stock investment funds and mutual funds. Law distinguishes three types of mutual funds: open, interval and closed depending on the contractual rights to purchase the unit.
Earlier, the activity was regulated by a similar law passed in 1999.