Professional or institutional investor regulations

On this website, “professional” or “institutional” investors are those who qualify as a “Professional Client” as defined under Dubai Financial Services Authority regulations in Dubai.

In summary a person who can be classified as a professional client under Dubai Financial Services Authority regulations will generally need to meet one or more of the following requirements:

(1) An entity that is one of the following:

(a) a credit institution or any other firm regulated by a financial services regulator a management company of a regulated pension fund;
(b) a collective investment fund established under regulatory rules of a financial services regulator;
(c) a body corporate whose shares are listed or admitted to trading on any exchange of an IOSCO member country;
(d) any other institutional investor whose main activity is to invest in financial instruments, including an entity dedicated to the securitisation of assets or other financial transactions;
(e) a trustee of a trust which has, or had during the previous 12 months, assets of at least $10 million; or
(f) a holder of a licence under the Single-Family Office Regulations of the DIFC with respect to its activities carried on exclusively for the purposes of, and only in so far as it is, carrying out its duties as a Single-Family Office (as defined in the Single-Family Office Regulations).

(2) a large undertaking that meets two of the following tests: (i) a balance sheet total of $ 20,000,000; (ii) an annual net turnover of $ 40,000,000; (iii) own funds of $ 2,000,000

(3) any of the following:

(a) a supranational organisation whose members are either countries, central banks or national monetary authorities;
(b) a properly constituted government, government agency, central bank or other national monetary authority of any country or jurisdiction;
(c) a public authority or state investment body;

Please note that the above summary is provided for information purposes only. If you are uncertain as to whether you can both be classified as a professional client under Dubai Financial Services Authority regulations, you should seek independent advice.