Back Custom print Link Text Only Rich Text Print

  • CIU-3.2 CIU-3.2 Registration Requirements

    • Registration Requirement

      • CIU-3.2.1

        Bahrain domiciled exempt CIUs must be registered with the CBB prior to their being offered to investors.

      • CIU-3.2.2

        Bahrain domiciled exempt CIUs are not subject to the CBB's authorisation or on-going supervisory requirements. The registration requirement is to allow the CBB to monitor developments in the financial services sector.

      • CIU-3.2.3

        An application for registration may only be made by one of the following:

        (a) The operator of the CIU; or
        (b) The directors or trustees of the CIU (as appropriate).

      • CIU-3.2.4

        An applicant may appoint a representative — such as the CIU's proposed administrator/custodian, or a law firm or professional consultancy — to prepare and submit the application. However, the applicant retains full responsibility for the accuracy and completeness of the application, and is required to certify the application form accordingly. The CBB also expects to be able to liaise directly with the applicant during the registration process, when seeking clarification of any issues.

      • CIU-3.2.5

        An application for registration under Rule CIU-3.2.1 involving an overseas operator will only be considered if the overseas operator has a suitable track record in operating CIUs.

    • Registration Process

      • CIU-3.2.6

        An application for registration under Rule CIU-3.2.1 must be made using a Form CIU (R) (Application for Registration of a CIU), submitted under a formal cover letter signed by two authorised signatories of the applicant.

      • CIU-3.2.7

        The application must identify an individual who should be capable of being contacted by the CBB by post, telephone, fax and/or e-mail.

      • CIU-3.2.8

        The CBB's review of registration applications is mainly limited to satisfying itself that the exemption conditions specified in Section CIU-3.1 are likely to be complied with. CBB does not review the proposed structure or operations in detail, although it reserves the right to seek appropriate confirmations or additional information from the applicant. The CBB takes a decision on an application for registration made under Rule CIU-3.2.1 within 15 calendar days of the application being received and assessed by the CBB as complete.

    • Granting or refusal of registration

      • CIU-3.2.9

        To be registered, an applicant must demonstrate that it will comply with the exemption conditions specified in Section CIU-3.1. Should the application for registration be accepted, the CBB will notify the applicant in writing of the fact. The registration may be subject to additional conditions being met.

      • CIU-3.2.10

        The CBB may refuse to register a Bahrain domiciled exempt CIU, if in its opinion:

        (a) The exemption requirements in Section CIU-3.1 are unlikely to be met;
        (b) False or misleading information has been provided to the CBB, or information which should have been provided to the CBB has not been so provided; or
        (c) The CBB believes it necessary in order to safeguard the interests of potential investors.

      • CIU-3.2.11

        Where the CBB proposes to refuse an application for registration, it must give the applicant written notice to that effect. Applicants have 30 calendar days from the date of the written notice to appeal the decision, as per the appeal procedures specified in the notice.

    • Fees Payable to CBB

      • CIU-3.2.12

        Each application for registration made under Rule CIU-3.2.1 must be accompanied by a BD 100 processing fee. This fee is non-refundable.

      • CIU-3.2.13

        Each Bahrain domiciled exempt CIU registered by CBB is subject to an annual fee of BD 2,000. In the case of umbrella funds, each sub-fund is also charged BD 2,000 a year.

      • CIU-3.2.14

        Where the fee specified in Rule CIU-3.2.13 is paid, it exempts those Bahrain domiciled exempt CIUs wishing to list on the Bahrain Stock Exchange ('BSE') from having to pay the listing fee normally levied by the BSE.