UAE Securities Regulator Introduces Private Placement Exemption for UAE Investment Funds Regulation


In August 2012, the UAE Securities and Commodities Authority (“SCA”) introduced a new regulatory framework governing the marketing and sale of foreign funds to investors in the United Arab Emirates (the “UAE”) (the “Regulation”).

To the consternation of foreign (and offshore UAE) managers, the Regulation introduced a blanket prohibition on the marketing and sale of foreign funds to UAE investors without prior SCA approval, together with an additional restriction which limited the marketing and sale of SCA-approved foreign funds to locally registered promoters or, in certain circumstances, UAE domiciled representative offices. As a result, the informally recognised tolerated practice which had previously been relied upon by non-UAE licensed foreign (and offshore UAE) managers officially became non-tolerated practice.

Please see full alert below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Topics:  Investment Funds, Private Funds, Private Placements

Published In: Finance & Banking Updates, International Trade Updates, Securities Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© K&L Gates LLP | Attorney Advertising

Don't miss a thing! Build a custom news brief:

Read fresh new writing on compliance, cybersecurity, Dodd-Frank, whistleblowers, social media, hiring & firing, patent reform, the NLRB, Obamacare, the SEC…

…or whatever matters the most to you. Follow authors, firms, and topics on JD Supra.

Create your news brief now - it's free and easy »