Home   Browse contents   View updates   Search  
     Quick search
Go
   

Dubai Financial Services Authority (DFSA): Contents

Dubai Financial Services Authority (DFSA)
Laws
Rulebook Modules
Collective Investment Rules (CIR) [VER25/07-19]
Sourcebook Modules
Consultation Papers
Policy Statements
DFSA Codes of Practice
Amendments to Legislation
Media Releases
Notices
Financial Markets Tribunal
Archive

BackText onlyPrint

You need the Flash plugin.

Download Macromedia Flash Player



  • CIR 5 Fund Administrators

    • CIR 5.1 General

      • Application

        • CIR 5.1.1

          (1) Subject to (2), this chapter applies to an Authorised FirmG which is appointed as a Fund AdministratorG to either a Domestic or a Foreign FundG .
          (2) This chapter does not apply to a Fund ManagerG or TrusteeG to the extent that it carries on an activity of Providing Fund AdministrationG within the Financial ServicesG of Managing a FundG or of Acting as the Trustee of a FundG .
          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

      • Compliance with the AML Rules

        • CIR 5.1.2

          The AML module applies to the activities of a Fund AdministratorG in Providing Fund AdministrationG for a Domestic FundG or Foreign FundG as if each reference in AML to a "customer" is a reference to a "UnitholderG " or "prospective UnitholderG " as appropriate to the context.

          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

      • Client Money and Assets

        • CIR 5.1.3

          A Fund AdministratorG , in Providing Fund AdministrationG for a Domestic FundG or Foreign FundG , must not hold or control monies or assets belonging to third parties in connection with such administration except in the following circumstances:

          (a) holding cheques to the order of a Fund'sG bank account, provided such cheques are securely held for a maximum of three business days prior to being deposited into the relevant Fund'sG bank account or returned to the drawer of the cheque; or
          (b) where a mandate over a Fund'sG or other third party's bank account is granted to a Fund AdministratorG and the mandate has been agreed in writing with the bank concerned, and transfers out of the relevant bank account may be made only in circumstances where the mandate restricts instructions to make such payments to being made solely in accordance with the payment of invoiced fees and expenses, made in accordance with the relevant Fund'sG ConstitutionG and ProspectusG and are not remitted to the account of the Fund AdministratorG except by express instructions of the Fund ManagerG .
          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

      • Delegation and Service Level Agreements

        • CIR 5.1.4

          (1) A Fund AdministratorG of a Domestic FundG for which it is Providing Fund AdministrationG must have a Delegation AgreementG that meets the requirements in CIR App1 with the Fund ManagerG or TrusteeG of the FundG .
          (2) Paragraph (1) does not apply to a Fund AdministratorG of a Qualified Investor FundG .
          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]
          [Amended] DFSA RM137/2014 (Made 21st August 2014). [VER17/06-14]

          • CIR 5.1.4 Guidance

            CIR Section 8.12G of this module governs the delegation of activities by a Fund ManagerG or where appointed the TrusteeG .

            Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

        • CIR 5.1.5

          (1) A Fund AdministratorG of a Foreign FundG for which it is Providing Fund AdministrationG must have a service level agreement with the fund manager of that Foreign FundG setting out the functions and service standards that will be applied to the provision of such administration.
          (2) The agreement in (1) must ensure that the Fund AdministratorG cannot in turn delegate the activities and functions delegated to it by the fund manager of the Foreign FundG unless the sub-delegate has been approved by that fund manager.
          (3) The agreement in (1) must also require the Fund AdministratorG to retain any relevant work or records relating to the delegated activities and functions where the contract is terminated either by the fund manager or the Fund AdministratorG .
          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

          • CIR 5.1.5 Guidance

            The DFSAG would expect any agreement required under CIR Rule 5.1.5 to include as a minimum the following provisions:

            a. unambiguous descriptions and definitions of the activities and functions to be provided by the Fund AdministratorG and the duties to be performed by both parties;
            b. an agreed standard in respect of resources and services supported as necessary by performance measures in accordance with the applicable legislation;
            c. the requirement for regular detailed reporting to a specified frequency from the Fund AdministratorG in respect of its duties and activities;
            d. provisions relating to the reporting of relevant events such as technological changes or error reporting and, in particular, any event which undermines the ability of the Fund AdministratorG to fulfil its duties;
            e. the requirement for an annual review (at a minimum) of the performance of the functions by the Fund AdministratorG ; and
            f. provisions relating to records and adequate access by the fund manager, the Fund'sG auditor or any other PersonsG providing control or risk management functions for the FundG , as required by the fund manager or applicable laws to that FundG .
            Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

      • Record Keeping

        • CIR 5.1.6

          A Fund AdministratorG must maintain records which are sufficient to show and explain transactions in relation to each of the specific activities and functions which are being provided to each FundG , in respect of UnitholdersG or potential UnitholdersG of the FundG as appropriate.

          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]

        • CIR 5.1.7

          The records required under CIR Rule 5.1.6 must be:

          (a) capable of demonstrating to the Governing BodyG of the relevant FundG that any accounts prepared comply with the applicable requirements in this module or any other applicable legislation;
          (b) retained by the Fund AdministratorG for at least 6 years from the date to which they relate;
          (c) at all reasonable times, open to inspection by the DFSAG , the Fund'sG AuditorG and any PersonG providing oversight functions for the relevant FundG ; and
          (d) if requested by the DFSAG , capable of reproduction within a reasonable period not exceeding 3 days, in hard copy and in English.
          Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]