Business · Markets · 9 hrs ago

Saudi regulator proposes wider disclosures for investment funds

Saudi regulator proposes wider disclosures for investment funds

Saudi Arabia’s Capital Market Authority has proposed wider disclosure rules for investment funds and real estate investment funds.

The draft changes would be open for 30 days of public comment.

They would require fund managers to give more detail about returns, asset quality and risks, helping investors assess more than a fund’s stated returns.

Annual reports would explain conflicts of interest and how they were handled, including related parties and steps taken to protect investors.

For listed real estate and closed-end funds, the proposed threshold for disclosing certain asset deals would fall from 10% to 5% of a fund’s net assets.

Real estate funds would also report property-level income, sector mix and lease lengths, giving investors more insight into the sources and durability of rental income.

The proposal also removes separate disclosure requirements triggered solely by a 10% rise or fall in net assets or total profits, while other rules on significant developments would remain.

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