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Dubai Financial Services Authority (DFSA): Contents

Dubai Financial Services Authority (DFSA)
Laws
Rulebook Modules
General Module (GEN) [VER43/02-19]
Sourcebook Modules
Consultation Papers
Policy Statements
DFSA Codes of Practice
Amendments to Legislation
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Notices
Financial Markets Tribunal
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  • GEN 7 Authorisation

    • GEN 7.1 Application

      • GEN 7.1.1

        (1) This chapter applies, subject to (2), to every PersonG who is:
        (a) an Authorised FirmG ;
        (b) an applicant for a LicenceG to be an Authorised FirmG ;
        (c) an Authorised IndividualG ;
        (d) an applicant for Authorised IndividualG status; or
        (e) a Controller of a Person referred to in (a) or (b).
        (2) This chapter does not apply to a PersonG intending to:
        (a) Operate an ExchangeG ;
        (b) Operate a Clearing HouseG ; or
        (c) Operate a Representative OfficeG .
        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

        • GEN 7.1.1 Guidance

          1. This chapter outlines DFSA'sG authorisation requirements for an Authorised FirmG and Authorised IndividualG .
          2. The DFSA'sG requirements for authorisation of:
          a. Authorised Market InstitutionsG are covered by the AMIG module; and
          b. Representative OfficesG are covered by the REP module.
          3. The DFSA'sG requirements for registration of DNFBPsG are found in the AML module.
          4. This chapter should be read in conjunction with the RPP Sourcebook which sets out DFSA'sG general regulatory policy and processes. Some additional processes may be outlined in other chapters of this module.
          5. Chapter 2 of the RPP Sourcebook sets out DFSA'sG approach to the authorisation of undertakings and individuals to conduct Financial ServicesG or Licensed FunctionsG , as the case may be.
          Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM119/2013 (Made 14th July 2013). [VER33/07-13]

    • GEN 7.2 Application for a Licence

      • GEN 7.2.1

        A PersonG , who intends to carry on one or more Financial ServicesG in or from the DIFCG must apply to the DFSAG for a LicenceG , in accordance with the RulesG in this section.

      • GEN 7.2.2

        (1) The DFSAG will only consider an application for a Licence from a PersonG who, subject to (2) and (4), is:
        (a) a Body CorporateG ; or
        (b) a PartnershipG ;
        and who is not an Authorised Market InstitutionG .
        (2) If the application is in respect of either or both of the following Financial ServicesG :
        (a) Effecting Contracts of InsuranceG ;
        (b) Carrying Out Contracts of InsuranceG ,
        the applicant must be a Body CorporateG .
        (3) Deleted
        (4) If the application is in respect of the Financial ServiceG of Managing a Collective Investment FundG or Acting as the Trustee of a FundG , the applicant must be a Body CorporateG .
        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]
        [Amended] DFSA RM229/2018 (Made 6th June 2018). [VER42/08-18]

        • GEN 7.2.2 Guidance

          Section 2.2.8 of the RPP Sourcebook sets out matters which the DFSA takes into consideration when making an assessment under Rule 7.2.2.

          [Added] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • GEN 7.2.3

        A PersonG licensed by the Emirates Securities and Commodities Authority to trade on an U.A.E.G exchange will not be granted a LicenceG by the DFSAG unless that PersonG has the prior approval of the Emirates Securities and Commodities Authority.

      • GEN 7.2.4

        A PersonG applying for a LicenceG must complete and submit the appropriate form or forms in AFN.

        • GEN 7.2.4 Guidance

          A PersonG submitting an application under Rule 7.2.4 is required to:

          a. pay the appropriate application fee as set out in FER; and
          b. include information relating to its Controllers, completed by the relevant Controllers themselves, in the appropriate form in AFN.
          Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • Consideration and assessment of applications

        • GEN 7.2.5

          In order to become authorised to carry on one or more Financial Services, the applicant must demonstrate to the satisfaction of the DFSA that it:

          (a) has adequate resources, including financial resources;
          (b) is fit and proper; and
          (c) has adequate compliance arrangements, including policies and procedures, that will enable it to comply with all the applicable legal requirements, including the Rules.
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • Adequate resources

        • GEN 7.2.6

          In assessing whether an applicant has adequate resources, the DFSAG will consider:

          (a) how the applicant will comply with the applicable provisions of PIB or PIN;
          (b) the provision the applicant makes in respect of any liabilities, including contingent and future liabilities;
          (c) the means by which the applicant and members of its Group manage risk in connection with their business; and
          (d) the rationale for, and basis of, the applicant's business plan.
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

          • GEN 7.2.6 Guidance

            A Credit Rating AgencyG is not subject to any specific capital requirements in PIB. Instead, it is required, pursuant to Rules 4.2.4 and 7.2.6 to have and maintain adequate financial resources to manage its affairs prudently and soundly.

            Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
            [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • Fitness and propriety

        • GEN 7.2.7

          (1) In assessing whether an applicant is fit and proper, the DFSA will consider:
          (a) the fitness and propriety of the members of its Governing BodyG ;
          (b) the suitability of the applicant's Controllers or any other PersonG ;
          (c) the impact a ControllerG might have on the applicant's ability to comply with the applicable requirements;
          (d) the Financial ServicesG concerned;
          (e) the activities of the applicant and any associated risks that those activities pose to the DFSA's objectives described under Article 8(3) of the Regulatory Law 2004;
          (f) whether the applicant's affairs will be conducted and managed in a sound and prudent manner;
          (g) any matter which may harm or may have harmed the integrity or the reputation of the DFSA or DIFC; and
          (h) any other relevant matters.
          (2) The DFSA will, in assessing the matters in (1), consider the cumulative effect of factors which, if taken individually, may be regarded as insufficient to give reasonable cause to doubt the fitness and propriety of an applicant.
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

          • GEN 7.2.7 Guidance

            Section 2.2 of the RPP Sourcebook sets out matters which the DFSA takes into consideration when making an assessment under Rule 7.2.7.

            [Added] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • Compliance arrangements

        • GEN 7.2.8

          In assessing whether an applicant has adequate compliance arrangements, the DFSA will consider whether it has:

          (a) clear and comprehensive policies and procedures relating to compliance with all applicable legal requirements including the Rules;
          (b) adequate means to implement those policies and procedures and monitor that they are operating effectively and as intended.
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

        • GEN 7.2.9

          In assessing an application for a LicenceG , the DFSA may:

          (a) make any enquiries which it considers appropriate, including enquiries independent of the applicant;
          (b) require the applicant to provide additional information;
          (c) require the applicant to have information on how it intends to ensure compliance with a particular Rule;
          (d) require any information provided by the applicant to be verified in any way that the DFSA specifies; and
          (e) take into account any information which it considers relevant.

        • GEN 7.2.10

          (1) In assessing an application for a LicenceG the DFSA may, by means of written notice, indicate the legal form that the applicant may adopt to enable authorisation to be granted.
          (2) Where the DFSA thinks it appropriate it may treat an application made by one legal form or PersonG as having been made by the new legal form or PersonG .

        • GEN 7.2.11

          In assessing an application for a LicenceG authorising the applicant to Operate an Alternative Trading SystemG , the DFSA will have regard to, but is not limited to, considering the following matters:

          (a) whether the establishment of an Alternative Trading SystemG is, or is likely to be, in the interests of the Financial Services and MarketsG industry;
          (b) whether the Alternative Trading SystemG will or is likely to lead to more efficient price discovery of, or deepen liquidity in, an InvestmentG ; and
          (c) whether there is any risk of market fragmentation, loss of liquidity or inefficiency in price discovery as a result of the proposed Alternative Trading SystemG operation.

    • GEN 7.3 Applications for endorsements

      Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
      [Amended] DFSA RM131/2014 (Made 21st August 2014). [VER34/06-14]

      • Carrying on service with or for a Retail Client

        • GEN 7.3.1

          The following requirements must be met by an Authorised FirmG for the grant of an endorsement to carry on a Financial ServiceG with or for a Retail ClientG :

          (a) the applicant must have adequate systems and controls for carrying on Financial ServicesG with or for a Retail ClientG ;
          (b) the applicant must have adequate systems and controls (including policies and procedures) to ensure compliance with the requirements in COBG relevant to Retail ClientsG ;
          (c) the applicant must have adequate systems and controls to ensure that its EmployeesG remain competent and capable to perform the functions which are assigned to them, in particular, functions that involve dealing with Retail ClientsG ; and
          (d) the applicant must have adequate ComplaintG handling policies and procedures.
          Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM131/2014 (Made 21st August 2014). [VER34/06-14]

      • Acting as a Trade Repository

        • GEN 7.3.2

          The requirements in App 5 must be met by an Authorised FirmG for the grant of an endorsement to act as a Trade RepositoryG .

          [Added] DFSA RM131/2014 (Made 21st August 2014). [VER34/06-14]

      • Endorsement to hold Client Assets or Insurance Monies

        • GEN 7.3.3

          An Authorised FirmG applying for an endorsement to hold or control Client AssetsG must satisfy the DFSA that it has in place adequate systems and controls to meet the applicable requirements in COB sections 6.11 to 6.14.

          Derived from DFSA RM166/2016 (Made 10th February 2016). [VER36/04-16]

        • GEN 7.3.4

          An Insurance IntermediaryG or Insurance ManagerG applying for an endorsement to hold Insurance MoniesG must satisfy the DFSAG that it has in place adequate systems and controls to meet the applicable requirements in COB section 7.12.

          Derived from DFSA RM166/2016 (Made 10th February 2016). [VER36/04-16]

      • Endorsement relating to Long-Term Insurance

        • GEN 7.3.5

          An Insurance IntermediaryG applying for an endorsement to conduct activities relating to contracts of Long-Term InsuranceG must satisfy the DFSA that it has adequate skills and knowledge relating to underlying investments of Long-Term InsuranceG .

          Derived from DFSA RM184/2016 (Made 7th December 2016). [VER38/02-17]

    • GEN 7.4 Licensed Functions and Authorised individuals

      • GEN 7.4.1

        (1) Pursuant to Article 43 of the Regulatory LawG 2004, the functions specified in Rules 7.4.2 to 7.4.9 are Licensed FunctionsG .
        (2) A Licensed FunctionG shall not include a function performed by a registered insolvency practitioner (subject to the restrictions defined within Article 88 of the Insolvency Law 2009) if the practitioner is:
        (a) acting as a nominee in relation to a company voluntary arrangement within the meaning of Article 8 of the Insolvency Law 2009;
        (b) appointed as a receiver or administrative receiver within the meaning of Article 14 of the Insolvency Law 2009;
        (c) appointed as a liquidator in relation to a members' voluntary winding up within the meaning of Article 32 of the Insolvency Law 2009;
        (d) appointed as a liquidator in relation to a creditors' voluntary winding up within the meaning of Article 32 of the Insolvency Law 2009; or
        (e) appointed as a liquidator or provisional liquidator in relation to a compulsory winding up within the meanings of Article 58 and 59 of the Insolvency Law 2009.
        (3) A Licensed FunctionG shall not include a function performed by an individual appointed to act as manager of the business of an Authorised FirmG or Authorised Market InstitutionG as directed by the DFSAG under Article 88 of the Regulatory Law 2004.
        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]
        [Amended] DFSA RM131/2014 (Made 21st August 2014). [VER34/06-14]

      • Senior Executive Officer

        • GEN 7.4.2

          The Senior Executive OfficerG function is carried out by an individual who:

          (a) has, either alone or jointly with other Authorised IndividualsG , ultimate responsibility for the day-to-day management, supervision and control of one or more (or all) parts of an Authorised Firm'sG Financial ServicesG carried on in or from the DIFCG ; and
          (b) is a DirectorG , PartnerG or Senior ManagerG of the Authorised FirmG .

      • Licensed Director

      • Licensed Partner

        • GEN 7.4.4

          The Licensed PartnerG function is carried out, in the case of an Authorised FirmG which is a PartnershipG or Limited Liability PartnershipG , by an individual specified in Rule 7.5.5.

          Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

      • Finance Officer

        • GEN 7.4.5

          The Finance OfficerG function is carried out by an individual who is a DirectorG , PartnerG or Senior ManagerG of an Authorised FirmG who has responsibility for the Authorised Firm'sG compliance with the applicable RulesG in PING or PIBG .

      • Compliance Officer

        • GEN 7.4.6

          The Compliance OfficerG function is carried out by an individual who is a DirectorG , PartnerG or Senior ManagerG of an Authorised FirmG who has responsibility for compliance matters in relation to the Authorised Firm'sG Financial ServicesG .

      • Senior Manager

        • GEN 7.4.7

          The Senior ManagerG function is carried out by an individual who is responsible either alone or jointly with other individuals for the management, supervision or control of one or more parts of an Authorised Firm'sG Financial ServicesG who is:

          (a) an EmployeeG of the Authorised FirmG ; and
          (b) not a DirectorG or PartnerG of the Authorised FirmG .

          • GEN 7.4.7 Guidance

            In respect of a FundG , the DFSAG would expect the Fund ManagerG to appoint at least one individual other than the Senior Executive OfficerG to carry out Senior ManagerG functions in relation to the FundG such as managing operational risk and other internal controls.

      • Money Laundering Reporting Officer

        • GEN 7.4.8

          The Money Laundering Reporting OfficerG function is carried out by an individual who is a DirectorG , PartnerG or Senior ManagerG of an Authorised FirmG and who has responsibility for the implementation of an Authorised Firm'sG anti money laundering policies, procedures, systems and controls and day to day oversight of its compliance with the RulesG in AMLG and any relevant anti money laundering legislation applicable in the DIFCG .

          Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
          [Amended] DFSA RM119/2013 (Made 14th July 2013). [VER33/07-13]

      • Responsible Officer

        • GEN 7.4.9

          The Responsible OfficerG function is carried out by an individual who:

          (a) has significant responsibility for the management of one or more aspects of an Authorised Firm'sG affairs;
          (b) exercises a significant influence on the firm as a result of (a); and
          (c) is not an EmployeeG of the Authorised FirmG .

          • GEN 7.4.9 Guidance

            1. The Licensed FunctionG of Responsible OfficerG applies to an individual employed by a ControllerG or other GroupG company who is not an EmployeeG of the Authorised FirmG , but who has significant responsibility for, or for exercising a significant influence on, the management of one or more aspects of the Authorised Firm'sG business.
            2. Examples of a Responsible OfficerG might include an individual responsible for the overall strategic direction of an Authorised FirmG or a regional manager to whom a Senior Executive OfficerG reports and from whom he takes direction.

        • GEN 7.4.10

          An Authorised IndividualG may perform one or more Licensed FunctionsG for one or more Authorised FirmsG .

          • GEN 7.4.10 Guidance

            1. In considering whether to grant an individual Authorised IndividualG status with respect to more than one Authorised FirmG , the DFSAG will consider each Licensed FunctionG to be carried out and the allocation of responsibility for that individual among the Authorised FirmsG .
            2. In the above situation the DFSAG will need to be satisfied that the individual will be able to carry out his role effectively, is fit and proper to do so, and that there are no conflicts of interest or that any actual or potential conflicts of interest are appropriately managed.

    • GEN 7.5 Mandatory appointments

      • GEN 7.5.1

        (1) An Authorised FirmG must, subject to (2), make the following appointments and ensure that they are held by one or more Authorised IndividualsG at all times:
        (a) Senior Executive OfficerG ;
        (b) Finance OfficerG ;
        (c) Compliance OfficerG ; and
        (d) Money Laundering Reporting OfficerG .
        (2) An Authorised FirmG which is a Credit Rating AgencyG :
        (a) need not make the appointment referred to in (1)(b) and (d); and
        (b) must ensure that the appointments referred to in 1(a) and (c) are held by separate Authorised IndividualsG at all times.
        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM96/2012 (Made 24th July 2012) [VER30/07-12]

        • GEN 7.5.1 Guidance

          1. This GuidanceG addresses a range of circumstances:
          a. one individual performing more than one function in a single firm, as contemplated in Rule 7.5.1;
          b. more than one individual performing one function in a single firm, not addressed by that RuleG ;
          c. one individual performing a single function in more than one firm, also not addressed by that RuleG .
          2. The DFSAG will only authorise an individual to perform more than one Licensed FunctionG or combine Licensed FunctionsG with other functions where it is satisfied that the individual is fit and proper to perform each Licensed FunctionG or combination of Licensed FunctionsG .
          3. In the above situation the DFSAG will need to be satisfied that the individual will be able to carry out his role effectively, is fit and proper to do so, and that there are no conflicts of interest or that any actual or potential conflicts of interest are appropriately managed.
          4. Notwithstanding this RuleG , an Authorised FirmG would generally be expected to separate the roles of Compliance OfficerG and Senior Executive OfficerG . In addition, the roles of Compliance OfficerG , Finance OfficerG and Money Laundering Reporting OfficerG would not be expected to be combined with any other functions unless appropriate monitoring and control arrangements independent of the individual concerned will be implemented by the Authorised FirmG . This may be possible in the case of a BranchG , where monitoring and controlling of the individual (carrying out more than one role in the BranchG ) is conducted from the firm's home state by an appropriate individual for each of the relevant Licenced FunctionsG . However, it is recognised that, on a case by case basis, there may be exceptional circumstances in which this may not always be practical or possible.
          5. In what it considers to be exceptional circumstances, the DFSAG may register more than one individual to perform the Licensed FunctionG of Compliance OfficerG in respect of different internal business divisions within a large Authorised FirmG . In this regard the DFSAG may consider, amongst other things, the nature, scale and complexity of the activities of the firm, the clarity of demarcation between areas of responsibility, the potential for gaps in responsibility, and processes of communication with the DFSAG .
          6. The DFSAG may also register an individual as the Compliance OfficerG for more than one Authorised FirmG . The DFSAG will only do this where it is satisfied that the individual is able to carry out his functions effectively in each firm taking into consideration factors such as the amount and nature of business conducted by the firms. Each Authorised FirmG has a duty under GEN 5 to monitor its compliance arrangements to ensure, as far as reasonably practicable, that it complies with all legislation applicable in the DIFCG .

      • GEN 7.5.2

        The Authorised IndividualsG referred to in Rule 7.5.1(1)(a), (c) and (d) must be resident in the U.A.E.G

        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM184/2016 (Made 7th December 2016). [VER38/02-17]

        • GEN 7.5.2 Guidance

          1. In appropriate circumstances, the DFSAG may waive the requirement for a Compliance OfficerG or MLROG to be resident in the UAEG . In determining whether to grant a waiver, the DFSAG will consider a range of factors on a case by case basis focused on whether the firm can demonstrate that it has appropriate compliance arrangements (see GEN section 5.3). These factors may include, but are not limited to: the nature, scale and complexity of the activities of the firm; the ability of a remote officer to carry out his functions in differing time zones and a differing working week; the size, resourcing and capabilities of a remote compliance function; the ability of a remote officer to liaise and communicate readily with the DFSAG ; and the competency and capability of a remote officer and whether the remote officer is able effectively to undertake or supervise regular compliance monitoring and keep up to date with applicable RulesG .
          2. The DFSAG will also take into account factors such as the relevant regulatory experience of the proposed Authorised IndividualG and whether the applicant firm has previously been subject to financial services regulation.

      • GEN 7.5.3

        In the case of a Trust Service ProviderG , the Authorised IndividualsG referred to in Rule 7.5.1 (c) and (d) must not act also as trustees on behalf of the Trust Service ProviderG .

      • GEN 7.5.4

        An Authorised FirmG which is a Body CorporateG (other than a Limited Liability PartnershipG ) whose head office and registered office are located in the DIFCG , must register with the DFSAG all of its DirectorsG as Licensed DirectorsG .

      • GEN 7.5.5

        (1) In the case of an Authorised FirmG which is a partnership established under either the DIFC General Partnership Law or Limited Liability Partnership Law, the Licensed PartnerG function must be carried out by:
        (a) each individual Partner who must be registered as a Licensed PartnerG ; and
        (b) in the case of a PartnerG which is a Body CorporateG , by an individual nominated by that Body CorporateG and registered as a Licensed PartnerG to act on its behalf.
        (2) In the case of an Authorised FirmG which is a partnership established under the DIFC Limited Partnership Law, the Licensed PartnerG function must be carried out by:
        (a) each individual General Partner who must be registered as a Licensed PartnerG ; and
        (b) in the case of a General Partner which is a Body CorporateG , by an individual nominated by that Body CorporateG and registered as a Licensed PartnerG to act on its behalf.
        Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
        [Amended] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

        • GEN 7.5.5 Guidance

          An Authorised FirmG that is a BranchG is not required to register its Directors as Licensed Directors under Rule 7.5.4 or its Partners as a Licensed PartnerG under Rule 7.5.5.

          [Added] DFSA RM105/2012 (Made 23rd December 2012). [VER32/12-12]

    • GEN 7.6 Application for Authorised Individual status

      • GEN 7.6.1

        In submitting applications for Authorised IndividualG status, both the individual and Authorised FirmG must complete and submit the appropriate form in AFN.

      • GEN 7.6.2

        When an individual and an Authorised FirmG apply to the DFSAG for that individual to be an Authorised IndividualG , the individual must satisfy the DFSAG that he is a fit and proper person to carry out the role.

      • Consideration and assessment of applications

        • GEN 7.6.3

          An individual will only be authorised to carry on one or more Licensed FunctionsG if the DFSAG is satisfied that the individual is fit and proper to be an Authorised IndividualG . In making this assessment, the DFSAG will consider:

          (a) the individual's integrity;
          (b) the individual's competence and capability;
          (c) the individual's financial soundness;
          (d) the individual's proposed role within the Authorised FirmG ; and
          (e) any other relevant matters.

        • GEN 7.6.4

          In Rule 7.6.3, an individual may not be considered as fit and proper where:

          (a) he is bankrupt;
          (b) he has been convicted of a serious criminal offence; or
          (c) he is incapable, through mental or physical incapacity, of managing his affairs.

        • GEN 7.6.5

          In assessing an application for Authorised IndividualG status, the DFSAG may:

          (a) make any enquiries which it considers appropriate, including enquiries independent of the applicant;
          (b) require the individual or Authorised FirmG to provide additional information;
          (c) require any information provided by the individual or Authorised FirmG to be verified in any way specified by the DFSAG ; and
          (d) take into account any information which it considers appropriate.

        • GEN 7.6.6

          An Authorised FirmG must not permit an individual to perform a Licensed FunctionG on its behalf, except as permitted by section 11.6, unless that individual is an Authorised IndividualG who has been assessed by the Authorised FirmG as competent to perform that Licensed FunctionG in accordance with Rule 7.6.7.

        • GEN 7.6.7

          In assessing the competence of an individual, an Authorised FirmG must:

          (a) obtain details of the knowledge and skills of the individual in relation to the knowledge and skills required for the role;
          (b) take reasonable steps to verify the relevance, accuracy and authenticity of any information acquired;
          (c) determine whether the individual holds any relevant qualifications with respect to the Licensed FunctionG or Licensed FunctionsG performed, or proposed to be to performed, within the Authorised FirmG ;
          (d) determine the individual's relevant experience; and
          (e) determine the individual's knowledge of the Authorised Firm'sG relevant systems and procedures with respect to the type of business that is to be, or is being, conducted by the individual on behalf of the Authorised FirmG .

        • GEN 7.6.8

          An Authorised FirmG must be satisfied that an Authorised IndividualG :

          (a) continues to be competent in his proposed role;
          (b) has kept abreast of relevant market, product, technology, legislative and regulatory developments; and
          (c) is able to apply his knowledge.

        • GEN 7.6.9

          The Authorised FirmG is responsible for the conduct of its Authorised IndividualsG and for ensuring that they remain fit and proper to carry out their role.

        • GEN 7.6.10

          Before lodging an application with the DFSAG , an Authorised FirmG must make reasonable enquiries as to an individual's fitness and propriety to carry out a Licensed FunctionG .

        • GEN 7.6.11

          An Authorised FirmG must not lodge an application if it has reasonable grounds to believe that the individual is not fit and proper to carry out the Licensed FunctionG .

      • Systems and controls

        • GEN 7.6.12

          An Authorised FirmG must have appropriate arrangements in place to ensure that an individual assessed as being competent under Rule 7.6.6 maintains his competence.

        • GEN 7.6.13

          An Authorised FirmG must ensure, in the case of individuals seeking to perform the Licensed FunctionsG of Senior Executive OfficerG , Money Laundering Reporting OfficerG or Compliance OfficerG , that such individuals are able to demonstrate sufficient knowledge of relevant anti money laundering requirements.

          • GEN 7.6.13 Guidance

            In considering whether individuals have sufficient knowledge of relevant anti money laundering requirements, the DFSAG may be satisfied where the individual can demonstrate receipt of appropriate training specifically relevant to such requirements.

            Derived from Notice of Amendments to Legislation April 2011 [VER27/02-11]
            [Amended] DFSA RM119/2013 (Made 14th July 2013). [VER33/07-13]

        • GEN 7.6.14

          An Authorised FirmG must establish and maintain systems and controls which will enable it to comply with Rules 7.6.6 to 7.6.9.

        • GEN 7.6.15

          (1) An Authorised FirmG must keep records of the assessment process undertaken for each individual under this chapter.
          (2) These records must be kept for a minimum of six years from the date of the assessment.