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By means of General Resolution No. 1096/2025 dated December 24, 2025 (the “Resolution”), the Argentine Securities Commission (Comisión Nacional de Valores, the “CNV”) amended the regulatory framework applicable to funds offered to the public as Classic Money Market Mutual Funds (the “Money Market Funds”). These instruments are widely used by payment service providers that offer payment accounts (“PSPCPs”) to allow users to invest their available deposits.
The Resolution introduces significant changes to the investment limits applicable to Money Market Funds. In particular, it increases from 35% to 50% of the fund’s net assets the individual limits applicable to investments in non-early-withdrawable time deposits and early-withdrawable time deposits, and raises from 35% to 50% the maximum aggregate limit for assets valued on an accrual basis. In addition, the Resolution establishes a limit of 35% of the fund’s net assets for investments in accrual-valued assets other than non-early-withdrawable time deposits.
Pursuant to the Resolution, Money Market Funds must comply with the following portfolio composition limits:
- Up to 50% of its net assets may be invested in non-early-withdrawable time deposits, valued on an accrual basis;
- Up to 50% of its net assets may be invested in early-withdrawable time deposits during the early withdrawal period, valued at realization and/or market value;
- A maximum aggregate limit of 70% of its net assets applies to investments of both types of time deposits;
- Up to 35% of its net assets may be invested in accrual-valued assets other than non-early-withdrawable time deposits;
- A maximum aggregate limit of 50% of net assets for all accrual-valued assets;
- Interest accrued on demand deposit accounts shall be computed as other accrual-valued assets for purposes of the 35% limit referred to in item 4. Once such interest is capitalized and credited to the account, it shall be treated as an asset valued at realization and/or market value and, therefore, shall not be subject to liquidity margin requirements; and
- Up to 20% of its net assets may be invested in debt securities with a final maturity of less than one (1) year.
These changes have a direct impact on the operation of Money Market Funds used by PSPCPs to allow users to earn returns on their available deposits. The Resolution aims to provide greater flexibility in asset allocation, reduce operational rigidities, and promote more efficient liquidity management.