ADVOKS GLOBAL · KENYA
The Capital Markets (Collective Investments Schemes) Regulations, 2023
155. Arrangement of amalgamation
Edition: 2023-12-15 · In force
155. Arrangement of amalgamation
(1)Amalgamation is an arrangement authorised by the Authority whereby—(a)the whole of the assets under management of a collective investment scheme becomes the property of another collective investment scheme, and(b)participants in the collective investment scheme receive participatory interests in the amalgamated scheme, and references in this definition to a collective investment scheme include a sub-fund of such a scheme.(2)Where it is proposed that two or more collective investment schemes should be amalgamated, the proposals will require—(a)the approval of the participants of the scheme or any scheme which would cease to exist; ‘(the discontinuing scheme’); and(b)the approval of the participants of the scheme or a scheme which would not so cease to exist. (‘the continuing scheme’).(3)Subregulation (2) (b) does not apply if the trustee or custodian of the continuing or absorbing scheme is reasonably satisfied that the inclusion of the assets concerned—(a)is not likely to result in any material prejudice to the interests of the participants in the scheme; and(b)is consistent and is regarded by the fund manager as consistent with the objectives of the scheme.