The AAP will assess the QFI’s registration request to ensure that the application complies with the requirements prescribed by the Rules, and then provide the CMA with a written notification of its determination with regard to the QFI registration request to the CMA.

An applicant becomes a QFI from the date of the Authority’s notification to approve the determination of the AAP to accept the applicant.

Yes, the applicant can re-apply and there is no specific time period which must lapse before the applicant can resubmit the application.

Yes, the QFI may delegate the foreign portfolio to process the application for registration and sign the assessment agreement with the AAP, providing a proof of such delegation to the AAP when submitting the application.

Yes, the AAP can rely on a third party to conduct Know Your Client "KYC" process in accordance with Article (14) of the Anti-Money Laundering and Counter-Terrorist Financing Rules and Article (13) of the those rules regarding Investment Funds.

A QFI may commence trading in any listed securities upon satisfying the following:  Holding a client account.  Holding an account with the Depositary Center.  Any conditions as may be imposed by the CMA. The term "client account" is defined in the Glossary of Defined Terms Used in the Regulations and Rules of the CMA as: "an account at a local bank which is in the name of an authorised person and fulfills the conditions required by the Client Money Rules".

The CMA worked in coordination with the relevant authorities to facilitate the establishment of a unified platform [One-Stop -Shop] for the CMA approval requirements and the account opening requirements and the requirements for opening an account with the Depository Centre and bank account, to facilitate the fulfillment of such requirements, and the applicant will only need to provide the required information and documents in this regard to the AAP, provided that the concerned AAP takes the necessary actions in accordance with the procedures issued by the CMA in this regard. Additionally, the CMA published on its website a document that includes all the information and documents required from foreign investors to invest in listed securities.

Yes, every QFI shall open an independent account. After that, the QFI can open several investment portfolios that are linked to the account.

The Committee for the Resolution of Securities Disputes (CRSD) has the jurisdiction over the disputes falling under the provisions of the Capital Market Law, its Implementing Regulations, and the regulations, rules and instructions issued by the CMA and the Exchange, with respect to public and private actions, including any trading disputes that may arise among all parties subject to the Rules. The CRSD’s decision may be appealed before the Appeal Panel that is formed by a Council of Ministers’ resolution. The Appeal Panel shall have the discretion to refuse to review the decisions of the CRSD, to affirm such decisions, to undertake a de novo review of the complaint or suit based on the record developed at the hearing before the Committee and to issue such decision as it deems appropriate in relation to the complaint or the suit. The decisions of the Appeal Panel shall be final. The decisions issued by these committees are published in both Arabic and English on the Committees for the Resolution of Securities Disputes' website, and those decisions can be viewed through the following link: http://www.crsd.org.sa/

If the international broker’s role is limited to sending orders issued by the QFI to the AP, then the international broker is not required to register as a QFI, provided that the international broker must have the authority to send such orders.

A QFI can establish a DPM with an AP in relation to its investments.

The transfer operation is done according to the following: 1. QFI submits– through the AAP- a detailed transfer request of all shares underlying the Swap Agreement, where the ultimate beneficiary of such shares is the QFI, to his account with the Depositary Center, according to the form prepared by the Exchange for this purpose. 2. Submitting the transfer request, referred to in paragraph (1) above, must be done as soon as a request is submitted to open an account with the Depositary Center. 3. The Exchange takes the necessary procedures to execute the transfer operation and close the Swap Agreement account in relation to the QFI. 4. The transfer operation shall be executed after ensuring that there are no obligations (such as: a pledge or a seizure of the shares) or outstanding buy and sell orders, regarding the shares requested to be transferred.

The cost of transferring is 20 SAR for the shares of each listed company (not per share).

Transferring shares from a Swap Agreement account to a QFI account does not affect the market value of the shares.

The shares shall be transferred within 2 business days from the date on which all the requirements were completed.