​As part of the  Capital Market Authority's (“CMA”) approved Strategic Plan for the period (2015-2019) and as a continuation to CMA’s efforts to develop the capital market as well as to introduce new investment instruments, and in line with the National Transformation Program and Saudi Arabia’s Vision 2030, and based on the Capital Market Law issued by the Royal Decree Number (M/30) Dated 2/6/1424 H, the CMA Board has issued its Resolution which includes publishing the draft Real Estate Investment Traded Funds Instructions on CMA’s website (indicated below) to enable concerned and interested parties to provide their comments and observations.

The CMA would be pleased to receive such comments and observations either at the following email: Laws.Regulations@cma.org.sa, Fax number (+966114906460) or the mail address (P.O. Box 87171 Riyadh 11642, CMA Deputy for Legal Affairs and Enforcement – Laws and Regulations Department) no later than Tuesday 20/11/1437H corresponding to 23/8/2016G. All comments and observations will be taken into consideration for the purpose of issuing the final Instructions.

It is important to mention that these Instructions aim to regulate offering of Real Estate Investment Traded Funds, that has a primary investment objective to invest in construction developed real estates that generate periodic income, and distribute a prescriptive percentage of the fund's net income in cash to the unitholders. When preparing these instruction, international best practices and standards have been taken into consideration in order to achieve the desired goals.

The draft Instructions can be viewed via the following link:

The link