The Central Bank of the Philippines (Bangko Sentral ng Pilipinas, BSP) amended its rules so Unit Investment Trust Funds accredited as Personal Equity and Retirement Account (PERA) UITFs are exempt from the non-resident ownership restriction that previously constrained their ability to invest in BSP securities, widening investment options for overseas Filipinos. BSP securities are central-bank-issued debt instruments that non-residents are generally not allowed to own. UITFs had been permitted to invest in them only if non-residents held no more than 10 percent of the fund, but the revised rules remove that cap for BSP-accredited PERA-UITFs. BSP noted that nine of 13 PERA-UITFs currently exceed the 10 percent non-resident ownership threshold, which had barred them from holding BSP securities; the exemption is intended to enable broader portfolio diversification. UITFs are pooled investment vehicles managed by banks and trust companies and regulated by the BSP, and are described as similar to mutual funds overseen by the Securities and Exchange Commission.
Central Bank of the Philippines 2025-10-21
Central Bank of the Philippines exempts PERA-accredited UITFs from 10% non-resident ownership limit on investing in BSP securities
The Central Bank of the Philippines (Bangko Sentral ng Pilipinas, BSP) has amended rules to exempt Unit Investment Trust Funds (UITFs) accredited as Personal Equity and Retirement Account (PERA) from non-resident ownership restrictions, allowing investment in BSP securities. This change enables broader portfolio diversification for overseas Filipinos, as nine of 13 PERA-UITFs currently exceed the previous 10 percent non-resident ownership cap.