Public consultation in relation to the National Strategy of Capital Market Development in the Czech Rep. 2019-2023

The Ministry of Finance of the Czech Republic has launched a public consultation on planned legislative measures related to the National Strategy of Capital Market Development in the Czech Republic 2019-2023.

The consultation material addresses a number of issues, of which we would like to draw your attention in particular to the following:

• Introduction of a new legal form of the so-called simple joint-stock company;
• Regulation of crowdfunding platforms offering bonds with regard to investor protection;
• Self-certification of investors (business angels) and related exemption from the restrictions on acceptance of investment offers;
• Introduction of the possibility for joint stock companies and limited partnerships on investment certificates to create sub-funds;
• Maintaining of the time test for income tax exemption when switching between SICAV sub-funds;
• Support for trading of corporate bonds;
• Trust funds as investment funds and the necessity for the investor and the beneficiary to be the same person.

Comments on abovementioned can be sent to the Ministry of Finance of the Czech Republic until September 16, 2019.

We will keep on monitoring further development of the discussion as well as any legislative changes.