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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)
Dec 18 2018 onwards

CIR 8.6A.1 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. The DFSAG expects Fund ManagersG to take into account the Final ReportG : "Open-ended Fund liquidity and risk management—Good Practices and Issues for Consideration" issued by OICU-IOSCO in February 2018, (which can be found at http://www.iosco.org/library/pubdocs/pdf/IOSCOPD591.pdf). The DFSAG believes that the measures identified in that report would, if adopted by the Fund ManagersG as appropriate to the nature, scale and complexity of their FundsG , would enable such managers to meet their overarching obligations in CIR Rule 8.6A.1.
2. In the DFSA's view, there are certain specialist classes of FundsG which generally do not lend themselves to be Open-endedG , such as Private Equity FundsG (because of the long-term nature of their investments), and Fund of FundsG or Feeder FundsG (unless the Funds in which they invest themselves are Open-endedG ). Conversely, there are FundsG which may lend themselves better to being structured as Open-ended FundsG offering redemptions, such as FundsG investing in transferable securities (e.g. UCITS style Funds), or ETFs—due to the liquidity of the underlying classes of their assets, provided they meet the liquidity risk management controls referred to in CIR Rule 8.6A.1. However, it is a matter for the Fund ManagerG to objectively assess the liquidity profile of the FundG and associated risks.
Derived from DFSA RM218/2018 (Made 22nd February 2018) [VER23/12-18]