Versions

 

7.

Article 17 is replaced as follows:

"General prohibitions

(1) A person shall not:
(a) operate or act as trustee of a Foreign Fund from the DIFC; or
(b) operate or act as trustee of a Domestic Fund from outside the DIFC.
(2) A person shall not, establish or otherwise operate a Domestic Fund or act as the Trustee of an Investment Trust in the DIFC unless that person is:
(a) a body corporate; and
(b) an Authorised Firm whose Licence authorises it to operate a Fund or act as Trustee of a Fund, as the case may be, of that specific type or class.
(3) For the purposes of this Law, a person "operates" a Fund if he:
(a) is responsible for the management of the property held for or within a Fund under the Fund's Constitution whether or not, he delegates any activity which is prescribed in rules made for the purposes of Article 41(2) of the Regulatory Law 2004 as a Financial Service in respect of such property; and
(b) establishes, operates or winds up the Fund.
(4) For the purpose of Article 17(3), a person is not operating a Fund merely because:
(a) he is acting as an agent or employee of an Operator;
(b) he is appointed under a written agreement by an Operator to provide investment management and other Financial Services for the Fund;
(c) he is winding up or taking steps to wind up or dissolve the Fund or remedy a defect that led to the Fund being deregistered; or
(d) he is acting as a trustee of a Fund."