ADVOKS GLOBAL · KENYA
The Capital Markets (Collective Investments Schemes) Regulations, 2023
86. Cancellation of participatory interests
Edition: 2023-12-15 · In force
86. Cancellation of participatory interests
(1)Where a fund manager wishes participatory interests to be cancelled, it may at any time instruct the trustee to cancel them and any instructions given by the fund manager shall state, in relation to each type of participatory interest to be cancelled, the number to be cancelled, expressed either as a number of participatory interests or as an amount in value, or as a combination of the two.(2)Where, at any moment of instruction, the fund manager has any outstanding obligation to issue participatory interests, it may not instruct the trustee to cancel any participatory interests if or to the extent that in so doing would prevent it immediately from fulfilling any such obligation which had been assumed before the valuation point.(3)A trustee must cancel participatory interests on receipt of instructions given by the fund manager, and the trustee may not cancel participatory interests in any other way.(4)On the cancellation of participatory interests and on delivery to the trustee of such evidence of title to those participatory interests as he or she may reasonably require, the trustee shall instruct the custodian to pay the cancellation price of the participatory interests to the person who was the owner of those participatory interests within three days.