CIR 4.1 CIR 4.1 Excluded Transactions and Offers
Pursuant to Article 50(2) of the Law, the activities specified in Rules CIR 4.1.2, CIR 4.1.3, CIR 4.1.4 and CIR 4.1.5 are hereby prescribed as not constituting an
Offerfor the purposes of the Law and the Rules.
CIR 4.1.2 CIR 4.1.2
Persondoes not make an Offerof a Unitby offering to sell or transfer a Unitthat is owned by that Personif the offer to sell or transfer:(a) is capable of acceptance only by the Personto whom that offer is made; and(b) is not made by way of a financial promotion as defined in Article 19(3) of the Law.
CIR 4.1.2 Guidance
Personwho makes personal offers of the kind referred to in CIR Rule 4.1.2 does not attract the Prospectusdisclosure obligations in CIR Part 7 of the CIR module, if that Personfrequently sells Unitsheld by him, he would be likely to be ' Dealing in Investments as Principal'. As a result, such a Personwould need to be licensed. Similarly, a Personwho obtains Unitsfor the purposes of secondary sales would be likely to be regarded as making those sales "by way of business" and would thus trigger the need to be licensed.
CIR 4.1.3(1) A
Persondoes not make an Offerof a Unitif that Personis an Authorised Firmand it undertakes a Transactionin relation to a Unitof a Fundif the Transactionis:(a) an Execution-Only Transactionundertaken for or on behalf of a Client;(b) a trade executed for or on behalf of a Clientin accordance with a Discretionary Portfolio Management Agreemententered into with that Client; or(c) effected with the Fund Managerof a Fundfor the purposes of redeeming a Unitof that Fundfor or on behalf of a Client.
Persondoes not make an Offerof a Unitif that Personis an Authorised Firmand the Offeris made only to, or directed only at, a Market Counterparty.
Persondoes not make an Offerof a Unitif:(a) the Unitis of a Passported Fund;(b) the DIFCis a Host Jurisdictionin relation to the Passported Fund;(c) the Personmaking the Offeris the Fund Managerof the Fund, its Agentor another Licensed Person; and(d) the Offeris made in accordance with the offer requirements in the Home Jurisdictionof the Fund, including relevant Fund Protocolrules or regulations.Derived from RM235/2019 (Made 20th February 2019). [VER24/02-19]