Republic Act No. 11954

Section 3. Definition of Terms. - The following terms as used in this Act and the implementing rules and regulations shall be understood as follows:

  1. Advisory Board refers to the body established under this Act which shall provide guidance, counsel and advice to the Board of Directors of the Maharlika Investment Corporation, and all other functions as provided for in this Act;

  2. Board of Directors (Board) refers to the government body of the Maharlika Investment Corporation;

  3. Divestment refers to the transfer of title or disposal of interest in property by voluntarily, completely, and actually depriving or dispossessing oneself of his right or title to it in favor of a person or persons other than his spouse or any relative within the fourth civil degree of consanguinity or affinity;

  4. Founding Government Financial Institutions (Founding GFIs)refer to the Land Bank of the Philippines (LBP) and Development Bank of the Philippines (DBP);

  5. Independent Director refers to a person who is independent of management and the controlling shareholder, and is free from any business or other relationship which could, or could reasonably be perceived to, materially interfere with his exercise of independent judgment in carrying out his responsibilities as a director;

  6. Maharlika Investment Corporation (MIC) refers to the State investment body, a government-owned and -controlled corporation (GOCC) created under this Act, which shall be responsible for the overall governance and management of the MIF;

  7. Maharlika Investment Fund (MIF or Fund) refers to the fund created under this Act;

  8. Regular Director refers to a director appointed by the President of the Philippines who shall serve in the Board full-time, and shall not hold any other public office during his tenure, unless otherwise provided under this Act; and

  9. Santiago Principles refers to the twenty-four (24) Generally Accepted Principles and Practice (GAPP) voluntarily endorsed by the International Forum of Sovereign Wealth Funds (IFSWF) members. The GAPP for Sovereign Wealth Funds (SWFs) are designed as guidelines that assign best practices for the operations of the SWFs. They are the rules followed by SWF that promote stability in the global financial system, set proper controls on investment risks, and implement sound governance structure.