Back Custom print Link Text Only Rich Text Print

  • CIU-1.2 CIU-1.2 CIU Establishment and Fees

    • CIU-1.2.1

      Bahrain domiciled CIUs must be constituted by way of instruments/documents in accordance with a legal form or arrangement listed in Paragraph CIU-A.1.5. Any subsequent changes to the documents referred to in the instrument/documents constituting the CIU must be notified to the CIU participants and to the CBB.

      Added: April 2022

    • CIU-1.2.2

      Bahrain domiciled retail CIUs must be authorised by the CBB prior to being offered to investors. Applicants must fill in Form 1 (Retail CIU Application Form) online, available on the CBB website under E-services/online Forms. Each application must be accompanied by a processing fee of BD 100 upon submission of the application. Each Bahrain domiciled CIU is subject to an annual fee of BD 2,000 payable each year before 31 March.

      Amended: July 2023
      Added: April 2022

    • CIU-1.2.3

      All applications for authorisation will be processed within 5 working days following the submission of all required information and documents. The CBB has the right to reject an application, revoke a previous authorisation, or instruct a CIU operator to stop offering/marketing a CIU if the CBB believes it necessary in order to safeguard the interests of potential investors. The third-party certification referred to in Paragraph CIU-1.2.2 should report on the authenticity of the documentation and on compliance with Module CIU and the CBB Rulebook requirements applicable to the CIU operator and the relevant persons of the CIU. Such report may be addressed to the CBB or, alternatively, to the CIU operator’s Board of Directors.

      Added: April 2022

    • CIU-1.2.4

      Bahrain domiciled exempt CIUs may only be offered to investors following a notification 5 days prior to offering the CIU to investors. Applicants must fill in Form 2 (Exempt CIU/PIU Notification Form) online, available on the CBB website under E-services/online Forms.

      Amended: July 2023
      Added: April 2022

    • CIU-1.2.5

      In case a Bahrain domiciled CIU does not deploy funds raised in accordance with the investment objectives within 6 months from the date of its authorisation/notification, the CIU operator must inform the CBB in writing the reasons for non-deployment of funds. The CBB may require the CIU operator to return any monies collected from CIU participants together with any subscription fees charged.

      Added: April 2022

    • CIU-1.2.6

      For the purposes of this Module, the operator of a Bahrain domiciled exempt CIU may enter into arrangements with unregulated third-party sponsors/originators/promoters on whose behalf the CIU is established. Such arrangements may include ability of the third-party to participate in decisions in relation to investment management. In all such circumstances, a CBB licensed CIU operator or placement agent will take responsibility for compliance with the requirements in this Module and the relevant requirements under the rulebook.

      Added: April 2022