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Dubai Financial Services Authority (DFSA): Contents

Dubai Financial Services Authority (DFSA)
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Islamic Finance Rules (IFR) [VER13/12-18]
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IFR 6.5.1

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The definitive version of DFSA handbook text is the PDF version as that is the text of the instrument as made and published by the DFSA.

To view past versions of this module in PDF format, please visit the Archive.

A Fund ManagerG of an Islamic FundG which is a Public FundG must state in the Fund'sG ProspectusG :

(a) that all the operations in relation to the FundG will be conducted in accordance with Shari'a;
(b) if the Fund has a Shari'a Supervisory BoardG appointed to it, the names of the members of the Shari'a Supervisory BoardG and their qualifications and experience and, whether or not the Fund Manager'sG Shari'a Supervisory BoardG is appointed to the FundG pursuant to IFR Rule 6.2.1(2);
(c) if the FundG does not have a Shari'a Supervisory BoardG appointed to it pursuant to IFR Rule 6.2.1(3), what widely acceptable screening methodologies are used by the FundG to ensure Shari'a compliance with respect to investments made for the FundG , and the board that has approved them;
(d) if applicable, the manner and frequency of Shari'a reviews;
(e) how earnings prohibited by Shari'a will be disposed of;
(f) whether Zakah is the responsibility of the FundG or the responsibility of the UnitholdersG ;
(g) the additional disclosure, if applicable, prescribed under IFR section A1.1 of App 1; and
(h) in place of the disclaimer required under CIR App 7 for conventional FundsG , a prominent disclaimer in bold, on the front page of the ProspectusG , as follows:

"The DFSAG does not accept responsibility for the content of the information included in the ProspectusG , including the accuracy or completeness of such information. The liability for the content of the ProspectusG lies with the IssuerG of the ProspectusG and other PersonsG , such as ExpertsG , whose opinions are included in the ProspectusG with their consent. The DFSAG has also not assessed the suitability of the SecuritiesG to which the ProspectusG relates to any particular investor or type of investor and has not determined whether they are Shari'a compliant. If you do not understand the contents of this ProspectusG or are unsure whether the SecuritiesG to which the ProspectusG relates are suitable for your individual investment objectives and circumstances, you should consult an authorised financial advisor."
(i) If the Islamic FundG is not a Listed FundG , in addition to the disclaimer specified in (h), an additional statement that:

"The SecuritiesG to which this ProspectusG relates may be illiquid and/or subject to restrictions on their resale. Prospective purchasers of such SecuritiesG should conduct their own due diligence."
Derived from DFSA RM69/2010 (Made 1st March 2010). [VER1/03-10]
[Amended] DFSA RM72/2010 (Made 11th July 2010). [VER2/07-10]
[Amended] DFSA RM106/2012 (Made 23rd December 2012). [VER6/12-12]
[Amended] DFSA RM220/2018 (Made 22nd February 2018). [VER13/12-18]