Regulatory Alerts2023-09-12
Circulaire No. 11/CREPMF-2022 on the Fees of Collective Investment Undertakings
The Regional Council for Public Savings and Financial Markets (CREPMF) issued Circular No. 11/CREPMF-2022 to regulate the fees, commissions, and remuneration structures that Management Companies for Collective Investment Undertakings (CIUs) may charge on the UMOA financial market. The Circular mandates transparent disclosure of all cost components—including management, transaction, legal, and performance fees—within the prospectus and establishes precise calculation bases, maximum rates, and allocation rules for each charge. Furthermore, it requires CIUs to apply fair treatment to investors, ensure performance fees do not incentivize excessive risk-taking beyond the 30% management fee cap, and verify that all fee calculations are auditable and disclosed in the Key Information Document.