CmaBoardReleases
Title: Resolution No. (73) of 2021 Regarding Granting a Collective Investment Scheme License to KAMCO Investment Company for the Incorporation of KAMCO Money Market Fund
Having Perused:
- Law No. (7) of 2010 regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and its Executive Bylaws, and their amendments; and
- Based on the request of KAMCO Investment Company for the incorporation of KAMCO Money Market Fund in the State of Kuwait; and
- Memorandum and Articles of Association of KAMCO Investment Company; and
- Articles of Association, Issuance Prospectus, and Agreements of administrative service providers of KAMCO Money Market Fund; and
- Based on Resolution No. (22) of 2021 regarding amending the final approval of authorizations for the Supervision Sector’s procedures issued on 04/03/2021.
The Following Was Resolved:
Article (1):
KAMCO Investment Company is hereby granted approval to incorporate KAMCO Money Market Fund in a variable capital ranging between a minimum of KWD 1,000,000 (one million Kuwaiti Dinars only) and a maximum of KWD 25,000,000 (five hundred million Kuwaiti Dinars only) in a nominal value of KWD 1 per unit (one Kuwaiti Dinar only). It is not permissible to subscribe in the Fund with less than 5,000 units (five thousand units only). The subscriber may increase his ownership in the fund in no less than 1,000 units (one thousand units) in any subsequent subscription.
Article (2):
A total of 25,000,000 units (twenty-five million units only) shall be offered for subscription, which is KWD 25,000,000 (five hundred million Kuwaiti Dinars only). The Fund manager's participation in the Fund’s units shall not be less than KWD 100,000 (one hundred thousand Kuwaiti Dinars). The Fund Manager shall not dispose of those units nor redeem them during the period of his management of the Fund.
The parties receiving the subscription applications are as follows:
• KAMCO Investment Company.
Article (3):
The objectives of the Collective Investment Scheme are as mentioned in the prospectus.
Article (4):
The Fund’s registration date registered in the Funds Register at the CMA shall be the commencement date of the Fund’s term which extends to 15 calendar years renewable for other similar terms after obtaining the approval of the CMA and the unit holders that represent more than 50% of the Fund’s capital.
Article (5):
The Fund is granted a temporary license for three months from the date of the approval letter of granting the license issued by the CMA for the purpose of completing the CMA’s requirements and the minimum limit of the Fund’s capital. The Fund is not permitted to practice any of its activities based on this temporary license.
Article (6):
In the event of the expiration of the temporary license without completing the requirements stipulated in Article (5) of this Resolution, the temporary license shall be revoked, unless the license term is extended for another similar term upon the request of the licensed person before the end of the original license term.
Article (7):
The assigned fees shall be paid within a month from the date of this Resolution. In case of default, this Resolution shall be considered null and void.
Article (8):
The Fund is licensed, after completing the minimum limit of the capital, for three years from the date of its registration in the Funds Register at the CMA.
Article (9):
The concerned bodies shall execute this Resolution, each within its jurisdiction. This Resolution shall come into force from the date of its issuance, and it shall be published in the Official Gazette.
Anwar Al-Mudhaf
Acting Head of Supervision Sector
Issued on: 24/06/2021