Regulatory Alerts2017-04-12
Supplementary Guidance on Authorisation for Investment Management Activities
The ADGM Regulator has issued this supplementary guidance to establish the minimum criteria and risk-based assessment framework for authorising entities seeking Financial Services Permission to conduct Investment Management Activities. It classifies applicants into Retail, Restricted, and Start-up managers based on clientele, assets under management, and track record while mandating specific standards for capital, competency of resident key individuals, compliance, risk management, and independent custody. The guidance further specifies professional indemnity insurance thresholds, allows flexible capital structures and outsourced support functions, and grants the Regulator discretion to waive or modify requirements based on individual risk profiles.