40. Licensing of fund managers

Terms defined in s 2

• Authority

  Authority

  Defined · s 2

  “Authority” means the Labuan Financial Services Authority established under section 3 of the Labuan Financial Services Authority Act 1996;

  Open s 2
• bank licensee

  bank licensee

  Defined · s 2

  “bank licensee” means a Labuan bank or a Labuan investment bank licensed under Part VI;

  Open s 2
• fund

  fund

  Defined · s 2

  “mutual fund” or “fund” means a Labuan company, a corporation incorporated under the laws of any recognized country or jurisdiction, a partnership, a protected cell company, a foundation, or a unit trust which— (a) collects and pools funds for the purpose of collective investment with the aim of spreading investment risk; and (b) issues interests in a mutual fund which entitles the holder to redeem his investments that is agreed upon by the parties and receive an amount computed by reference to the value of a proportionate interest in the whole or part of the net assets of the aforesaid types of entities, as the case may be, and includes an umbrella fund whose interests in a mutual fund or units are split into a number of different class funds or sub-funds and whose participants are entitled to exchange rights in one part for rights in another;

  Open s 2
• fund manager

  fund manager

  Defined · s 2

  “fund manager” means a person who, for valuable consideration, provides management services alone or with investment advice or administrative services in respect of securities for the purposes of investment, including dealing in securities or such other activity as may be specified by the Authority;

  Open s 2
• Labuan

  Labuan

  Defined · s 2

  “Labuan” means the Federal Territory of Labuan;

  Open s 2
• Labuan company

  Labuan company

  Defined · s 2

  “Labuan company” has the meaning assigned to it in the Labuan Companies Act 1990;

  Open s 2
• licence

  licence

  Defined · s 2

  “licence” means a licence granted or renewed under this Act;

  Open s 2
• person

  person

  Defined · s 2

  “person” includes a corporation, partnership, a body of persons, corporate or unincorporated and a corporation sole;

  Open s 2
• private fund

  private fund

  Defined · s 2

  “private fund” means a mutual fund— (a) whose securities are owned or held by— (i) not more than fifty investors where the first time investment of each of such investors is not less than two hundred and fifty thousand ringgit or such other sum as may be prescribed by the Authority or the equivalent in any foreign currency; or (ii) any number of investors where the first-time investment of each of such investors is not less than five hundred thousand ringgit or such other sum as may be prescribed by the Authority or the equivalent in any foreign currency; or (b) which is designated as a private fund under regulations made under this Act;

  Open s 2
• public fund

  public fund

  Defined · s 2

  “public fund” means a mutual fund other than a private fund;

  Open s 2
• recognized country or jurisdiction

  recognized country or jurisdiction

  Defined · s 2

  “recognized country or jurisdiction” means a country or jurisdiction as may be specified by the Authority;

  Open s 2
• securities

  securities

  Defined · s 2

  “securities” means any investments commonly known or capable of being described as securities, and includes— (a) shares, debentures, funds, units, interests in a limited partnership or limited liability partnership or unit trust or foundation or protected cell company or corporation; (b) debentures, bonds or notes of or issued by any body (incorporated or unincorporated), government, local government or public authority; *NOTE—The Exchange Control Act 1953 has since been repealed by the Financial Services Act 2013 which comes into operation on 30 June 2013—see sections 271 and 272…

  Open s 2