MENA Asset Management Survey 2012 - National Bank of Abu Dhabi

Dubai International Financial Centre / Qatar Financial Centre
Exchange Traded Funds
Questions Dubai International Financial Centre
(DIFC)
for funds in your jurisdiction the DFSA and CIR Rules. Risk
management process is not the
responsibility of any designated individual.
Collectively the responsibility of the board of
the management company.
What is the level of supervision Custodian has to be licensed as category 3
required over a custodian in your firm. Custodian has a duty of care to the
jurisdiction?
unit holders and is liable for any failure to
meet the requisite standard of care. Refer
to DFSA Rulebook.
Fund Exemption
Can fund be exempt from regulation? Not completely but an exempt fund regime
exists with a lighter touch regulatory regime.
Marketing
Marketing restrictions Refer to the DFSA's CIR Module. There
are two types of funds that can be
marketed, namely: Domestic and Foreign
Funds. Foreign Funds can be marketed in
or from the DIFC if it meets any one of a
four tiered criteria including designated
fund, other Foreign Fund criteria, suitability
recommendation based offer of units, or
meets the offer of units that satisfy the
DFSA Exempt Fund criteria
Set Up/Establishment Fees
Qatar Financial Centre (QFC)
arrangements will be one of the key criteria
considered before approving a fund in the
QFC. Such arrangements need to be
sufficient according to the size nature and
scale of the Firm/fund’s business.
Providing custody requires authorisation
and the RA’s usual risk-based approach
(dependant on the size, nature and scale
of the business) will be taken into account
in this respect.
No, however, funds licenced under the
Private Placement Schemes rulebook are
subject to reduced regulatory
requirements.
Marketing is a regulated activity and must
be carried out by an authorised Firm.
Subject to regulatory approval and
adherence to relevant rule requirements, it
is possible to market overseas and/or QFC
registered funds within and from the QFC.
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