No, it cannot. According to the AIFC AMI Rules, a Person must be either RNAM or an Authorised Firm, whose Licence permits it to carry on the Regulated Activities of Dealing in Investments, but not both. A RNAM is permitted to be a remote member of an exchange under certain requirements and conditions, but it is not a licensed participant that can provide services in or from the AIFC.
A RNAM, which is not a trading member of the Authorised Investment Exchange (for example, where RNAM recognition happens prior to AIX membership), shall provide such information to AFSA, and a RNAM which has become a trading member of the Authorised Investment Exchange, shall provide the Authorised Investment Exchange with its annual reports and notifications.
Notifications required by RNAMs and RNAMIs are identified in SCHEDULE 2 and SCHEDULE 3 of the Recognition Rules, which can be found via the following route: www.aifc.kz > Legal Framework > Legal Framework > AIFC Financial Services Framework > Recognition Rules.
AFSA regulates financial services related, amongst other things, to the functioning of capital market infrastructure, including regulated stock exchanges, central securities depositaries and trading platforms. Market Activities include operating: an exchange, a clearing house, a digital asset trading facility, a loan/investment crowdfunding platform, a private financing platform. There is a list of all Market Activities and their definitions that are subject to authorisation by AFSA in the AIFC GEN Rules, Schedules 4 (please go to www.aifc.kz > Legal Framework > Legal Framework > AIFC Financial Services Framework > General Rules).
An Authorised Market Institution is an AIFC Centre Participant which has been licensed by AFSA to carry on one or more Market Activities (such as operating an exchange, a clearing house, a digital asset trading facility, a loan/investment crowdfunding platform, or a private financing platform).
AFSA maintains and publishes a Public Register of current and past grants of authorisations, suspensions and withdrawals of licences of all Authorised Market Institutions on AFSA’ website www.afsa.kz > Public Register > Authorised Firms > Authorised Market Institutions.
An Authorised Market Institution, except for an Authorised Digital Asset Trading Facility, may only admit as a Member a Person who satisfies admission criteria set out in its Membership Rules and who is either:
(a) an Authorised Firm whose Licence permits it to carry on the Regulated Activities
of Dealing in Investments; or
(b) a Recognised Non-AIFC Member.
The offer of securities and the manner in which securities may be offered is subject to conditions for admission of securities to trading and the Official List of Authorised Investment Exchange, prospectus requirements, corporate governance principles, continuing obligations, market abuse are regulated by the AIFC Market Rules. Potential issuers should also refer to the applicable Business Rules of Authorised Market Institution.
Within the definition of a security (as defined in the AIFC Glossary) it includes:
(a) a Share;
(b) a Debenture;
(c) a Warrant;
(d) a Certificate; and
(e) a Structured Product
While a Unit of a Listed Fund is, in general terms, a type of security, it is not a Security for the purposes of the Framework Regulations (as defined in the Glossary) or any other AIFC Financial Services Regulations or Rules to which the Glossary applies. Rules in relation to the Offer of Units in a Listed Fund are set out, inter alia, in the AIFC Collective Investment Scheme Rules.
Fund Managers should also refer to the applicable Business Rules of an AMI.
Borrowers and lenders (in the case of a Loan Crowdfunding Platform) and Issuers and Investors (in the case of an Investment Crowdfunding Platform) will be Clients of an Authorised Crowdfunding Platform.
An Authorised Crowdfunding Platform must classify Clients as being in one of the following categories: a Retail Lender or Retail Investor; or an Accredited Lender or Accredited Investor.
An Authorised Crowdfunding Platform permits a Body Corporate to be the Borrower or Issuer, although a Class Waiver has recently been released that permits Sole Proprietors to be Borrowers.
Yes, it is possible during the "cooling-off period", which is a period of at least 48 hours after the end of the Commitment Period.
