CIR 10.5.4

A Fund may invest in Units of another Fund, except where otherwise provided in the Rules in this module, only where the Fund Manager has taken reasonable care to determine, before investing in that other Fund, it:

(a) is the subject of an independent annual audit conducted in accordance with IFRS or US GAAP;
(b) has mechanisms in place to enable Unitholders to redeem their Units within a reasonable time if it is an Open-ended Fund;
(c) is prohibited from having more than 20% of its value in the Units of other Funds; and
(d) has a proper and disclosed basis for asset valuation and the pricing of Units in that Fund.
Derived from RM72/2010 (Made 11th July 2010). [VER13/07-10]
[Amended] DFSA RM218/2018 (Made 22nd February 2018) [VER23/12-18]