Article 108: Application to the Authority for the Merging of Investment Funds

Article 108: Application to the Authority for the Merging of Investment Funds

a. After obtaining the approval of the unitholders of all the related funds offered in accordance with Articles (33) or Article (82) of these Regulations by way of fund special resolutions, the fund manager may apply to the Authority for approval to merge a number of investments fund it manages.

b. The merger shall be through combining one fund or more into an existing fund.

c. The funds that are planned to be merged must have the same type and have the same class, and share similar investment objectives and policies.

d. The unitholders must be notified about the merger details, which must be disclosed on the fund manager’s website (21) days before executing the merger. as well as announcing of such on any other website available to the public according to the controls set out by the Authority for public funds.

e. The merger details must be incorporated in the fund’s report prepared by the fund manager pursuant to Article (78) or Article (95) of these Regulations, according to the offering type.

f. The unitholders of an open-ended fund have the right to redeem their units before the merger closure, without imposing any redemption fees if any.

g. The fund manager shall pay the merger costs from its own recourses.