666

Every registered investment company shall meet all of the following requirements:(a) Its principal office shall be maintained in Puerto Rico;(b) its annual meeting of stockholders shall be held in Puerto Rico;(c) at least two directors shall be residents of Puerto Rico;(d) its chairman of the board, or the president, or a vice-president, and its secretary or assistant secretary, shall be residents of Puerto Rico, and(e) invest at least sixty-seven percent (67%) of its total assets, less cash, in the Puerto Rican securities determined by the Commissioner of Financial Institutions through regulations issued by him/her to that effect within one year as of the date of registration, and at all times thereafter. In the case that it would be impossible for any registered investment company to comply with this requirement because of a proven shortage of such securities, the Commissioner of Financial Institutions, by request of the interested party, could authorize said company, through an administrative resolution, to limit its investment in such securities to not less than fifty percent (50%) of its total assets value, less cash, for the term of one year from the date of approval of said

nistrative resolution, to limit its investment in such securities to not less than fifty percent (50%) of its total assets value, less cash, for the term of one year from the date of approval of said administrative resolution, if it were determined that it is necessary and convenient for the public interest.(f) Within six (6) months as of the date or registration, and at all times henceforth, invest at least twenty percent (20%) of the value of its total assets in any of the following:(1) Stocks, bonds or obligations of a corporation or domestic corporation, or of a foreign corporation or partnership so that not less than eighty percent (80%) of its gross income derived during the last three (3) years constitutes income related to the exploitation of a business in Puerto Rico. Any instrument issued by a corporation registered in the Puerto Rico capital stock index of the Government Development Bank for Puerto Rico is hereby included.(2) Mortgage loans or shares in mortgage loans on residential properties located in Puerto Rico.(3) Anything else that the Commissioner of Financial Institutions may determine after consulting with the Secretary of the Treasury.This subsection shall

residential properties located in Puerto Rico.(3) Anything else that the Commissioner of Financial Institutions may determine after consulting with the Secretary of the Treasury.This subsection shall only apply to those investment companies that invest solely and exclusively in securities taxable under the Puerto Rico Internal Revenue Code of 1994. Those investment companies that comply with this subsection shall not have to comply with subsection (e) of this section. History —Oct. 19, 1954, No. 6, p. 220, § 6; Jan. 20, 1995, No. 18, § 2; Aug. 11, 2000, No. 158, § 1.