المادة 107: Restriction on Secondary Market Activity

Article 107: Restriction on Secondary Market Activity

a. Subsequent transfers of securities issued by a foreign fund offered in accordance to the provisions of Article (101) of these Regulations to any person in the Kingdom may only be made:

1) to existing securities holders,

2) to investors under the categories of institutional and qualified clients,

3) where the maximum amount payable for such securities is not more than (200) thousand Saudi Riyals, or an equivalent amount.

b. In the case of closed-ended foreign funds, transfer of ownership of the securities issued by the fund must not, in all cases, result in exceeding the ownership of subscribers in the kingdom, in exchange for cash from retail clients, up to (50%) of the total value of the fund’s securities. Merge of the investment funds