CMA LAW: Circular No. (04) of 2020 Regarding Holding Unit Holders Assemblies of Investment Funds

Chairman of the Board of Directors 
Greetings,

The CMA draws the attention of the existing funds’ managers and the liquidators of the funds under liquidation whose year has ended and their annual assemblies have not yet been held, that despite the suspension of all legal and regulatory periods - not related to trading activity on the Stock Exchange - during the holiday period determined according to the decision of the Honorable Cabinet on 11/03/2020 and the subsequent decisions of the extension and until the end of the holiday period, except that it is permitted for whoever is willing and ready to hold the Unit Holders Assembly via the electronic system at the record keeping authority or the liquidator (in the event that the record keeping authority is dispensed), and give an opinion and vote by unit holders in the topics presented at the meeting through this system, with the participation of the concerned parties in attendance and without prejudice to the provisions governing the unit holders' assemblies stipulated in Article (2-35) of Module Thirteen (Collective Investment Schemes) of the Executive Bylaws of Law No. (7) for the year 2010 regarding the establishment of the Capital Markets Authority and regulating securities activities and their amendments.

This comes due to the exceptional circumstances that Kuwait is going through, the strict health requirements, the precautionary measures required, and the desire to keep the latest up-to-date developments and benefit from modern technology and means of communication applied in the global markets and in a manner that preserves the rights of unit holders, the Authority calls these funds to hold the Unit Holders Assembly by attending in person if possible in accordance with the health measures and requirements or by the electronic systems, and to comply with the dates and procedures of the invitation to convene.

Note that the Authority receives your notifications of electronic assemblies, including official minutes and their attachments via e-mail: ifd@cma.gov.kw or official letters when the Authority resumes its operations.

Investment Funds that will not be able to hold their assemblies during the specified dates, whether by attendance or through the electronic system, must submit written reasons and justifications to the Authority no later than a week after the end of the specified period, via e-mail: ifd@cma.gov.kw or official letters when the Authority resumes its operations.

Prof. Ahmad A. Al-Melhem
Issued on: 05/05/2020

Copy of the Official Document

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