Regulatory Alerts2023-01-01
Capital Markets Authority (Investor Compensation Fund) Regulations 2023
The Capital Markets Authority of Uganda established the Investor Compensation Fund to reimburse investors who incur financial losses when licensed brokers or dealers breach contractual obligations. The Fund operates through a dedicated account financed by mandatory contributions, general fund allocations, regulatory fines, and investment returns, while requiring quarterly status reports and ten-year financial records. Investors must submit documented claims within six months of a broker's refusal and six years of the default, triggering a sixty-day Authority investigation, Board approval, direct Fund disbursement upon broker non-payment, and a thirty-day right to appeal to the Capital Markets Tribunal.
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