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Published on the same date

An announcement of the issuance of the Board of the CMA resolution to adopt the Rules for Qualified Foreign Financial Institutions Investment in Listed Shares and related forms, and the Frequently Asked Questions document in relation to the Rules

​An announcement of the issuance of the Board of the CMA resolution to adopt the Rules for Qualified Foreign Financial Institutions Investment in Listed Shares and related forms, and the Frequently Asked Questions document in relation to the Rules
04/05/2015

Based on the Council of Ministers’ Resolution No. (388) dated 24/9/1435H (corresponding to 21/7/2014G) that permitted the Capital Market Authority (CMA) to allow foreign financial institutions to trade shares listed on the Saudi Stock Exchange in accordance with the time the CMA deems appropriate and pursuant to regulations it issues;

CMA published the draft Rules for Qualified Foreign Financial Institutions investment in Listed Shares Rules for (90) days on its website on 25/10/1435H (corresponding to 21/8/2014G) to enable concerned and interested parties to provide their comments and observations. The CMA has reviewed comments and observations received in this regard, coordinated with concerned governmental parties, and received the Saudi Stock Exchange (Tadawul)'s confirmation of its readiness, based on which the CMA Board has adopted on 27/6/1436H (corresponding to 16/4/2015G) a timeline to implement the Council of Ministers' Resolution referred to above.

Based on the Capital Market Law issued by Royal Decree Number (M/30) Dated 2/6/1424H, the CMA Board of Commissioners has issued its resolution Number 1-42-2015 Dated 15/7/1436H corresponding to 4/5/2015G including the following:

a) Adopting the Rules for Qualified Foreign Financial Institutions Investment in Listed Shares (the "QFIs Rules").

b) Adopting the following forms:

  1. Qualified Foreign Investor Application for Registration Form.
  2. Qualified Foreign Investor Client Application for Approval Form.
  3. The Minimum Requirements that must be included in the QFI Assessment Agreement Form as per Article 12 of the QFIs Rules.
  4. The Assessing Authorised Person's Acceptance Determination Template (to Register a QFI or to Approve a QFI Client).
  5. The Assessing Authorised Person's Rejection Determination Template (to Register QFI or to Approve QFI Client).

The CMA Board of Commissioners has also issued its resolution Number 3-42-2015 Dated 15/7/1436H corresponding to 4/5/2015G adopting the Frequently Asked Questions document in relation to the Rules  and publishing it on the CMA's and the Saudi Stock Exchange's (Tadawul) websites.
The QFIs Rules can be viewed on CMA’s website on the following link:

http://www.cma.org.sa/en/Market/Regulations
 
The forms referred to above and the Frequently Asked Questions document in relation to the QFIs Rules can be viewed on CMA’s

website on the following link:

http://www.cma.org.sa/en/Market/QFI/