Regulatory Alerts2018-01-01
Board of Directors Decision No. (58) of 2018
The Financial Regulatory Authority issued Board Decision No. 58 of 2018 to establish the licensing rules, conditions, and procedures for banks and designated non-banking financial entities to conduct mutual fund activities independently or jointly. The regulation mandates strict eligibility criteria, including minimum net equity of 50 million EGP, a three-year operational history, and clean regulatory and criminal records, while outlining specific documentation and approval workflows for foreign and local participants. It further dictates operational requirements such as segregated fund assets, mandatory appointment of independent investment managers and auditors, and rigorous ongoing disclosure obligations to ensure market transparency and investor protection.