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Dubai Financial Services Authority (DFSA): Contents

Dubai Financial Services Authority (DFSA)
Rulebook Modules
Collective Investment Rules (CIR) [VER25/07-19]
Part 4 Core Rules Relating to Establishment and Management of Domestic Funds
Sourcebook Modules
Consultation Papers
Policy Statements
DFSA Codes of Practice
Amendments to Legislation
Media Releases
Financial Markets Tribunal

Whole SectionText only Print Print Manager Link

(1 version)
Jul 11 2010 onwards

CIR 8.3.3 Guidance

Whole Section PDF

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.

1. For the purposes of (a), a Fund Manager'sG procedures should take into account matters such as the market in which the trade is to be executed, the kind and size of the transaction concerned and type of services provided by the executing broker that has been selected. A Fund Manager'sG procedures should be adequate to demonstrate that when the transaction was executed, it was done at the best price available. For this purpose, a Fund ManagerG may require a print out of a computer screen containing information about the price available at the time of the execution to be maintained.
2. For the purposes of (b), a Fund ManagerG should have a policy in place which demonstrates how it achieves timely and fair allocation of trades. For example, where a Fund ManagerG places an order on behalf of a number of FundsG it operates, its policy should state the basis of allocation of trades to each FundG and, where any deviation from that policy occurs, record the reasons for such deviations.
3. For the purposes of (c), a Fund Manager'sG policies and procedures should encompass requirements such as maintenance of sufficient records to demonstrate that any brokerage, commissions or other benefits directly or indirectly derived from any transactions it has undertaken on behalf of the FundG are not unusual, when considered in light of industry practice. However, where there are other requirements relating to disclosure of benefits, a Fund ManagerG should comply with those requirements separately, as maintenance of records for the purposes of this Rule may not be sufficient to discharge those obligations.
4. For the purposes of (d), where a Fund ManagerG seeks to underwrite or participate in an initial public offering, its policies should ensure that it does not do so in a manner that is in any way detrimental to the FundG . The Fund ManagerG will also need to ensure that the best execution obligations under (a) are met.
Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]