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  • Additional Matters to be Included in the Policy and Procedures Manual

    • IFR 5.2.4 IFR 5.2.4

      Where an Authorised Firm Manages a PSIA, its Islamic Financial Business policy and procedures manual must address the following additional matters:

      (a) the basis upon which a PSIA will be deemed restricted or unrestricted;
      (b) the basis for allocation of profit or loss to the PSIA;
      (c) the basis for allocation of expenses to the PSIA;
      (d) the manner in which an Authorised Firm's own funds, funds of restricted PSIAs and funds from unrestricted PSIAs are to be controlled;
      (e) the manner in which the funds of each type of investment account holder will be managed;
      (f) the manner in which it will determine priority for investment of own funds and those of holders of unrestricted PSIAs;
      (g) how provisions and reserves against equity and assets are to be applied; and
      (h) the manner in which losses incurred as a result of the misconduct or negligence for which the Authorised Firm is responsible will be dealt with.
      Derived from DFSA RM69/2010 (Made 1st March 2010). [VER1/03-10]
      [Amended] DFSA RM106/2012 (Made 23rd December 2012). [VER6/12-12]

      • IFR 5.2.4 Guidance

        For the purposes of IFR Rule 5.2.4, the policy and procedures manual should include procedures to ensure that the Authorised Firm manages the accounts of Profit Sharing Investment Account holders in accordance with their instructions.

        Derived from DFSA RM69/2010 (Made 1st March 2010). [VER1/03-10]
        [Amended] DFSA RM106/2012 (Made 23rd December 2012). [VER6/12-12]