• CIPR Part 4.4 CIPR Part 4.4 Initial disclosure document

    • CIPR 4.4.1 Initial disclosure documents — general

      (1) An authorised firm must draw up an initial disclosure document and must give a copy of it to every retail customer or business customer, in a durable medium, before providing any service to that customer.
      (2) An initial disclosure document must be a stand-alone document, in type of a reasonable size, and no more than 3 A4 pages long.
      (3) An initial disclosure document must be entitled either initial disclosure document or terms of business. No other title may be used.
      (4) The copy of an authorised firm's initial disclosure document that is given to a customer must be dated, and must be signed by an employee of the firm. The firm may ask a customer to sign a copy, but only as evidence of the customer's having received a copy of the document.
      (5) An authorised firm must ensure that the initial disclosure document that the firm gives a customer contains, in plain English, the information that the firm reasonably considers will be, or is likely to be, appropriate for the customer, taking into account:
      (a) the activities that the firm may conduct with or for the customer; and
      (b) whether the customer is a retail customer or a business customer.
      (6) The information in an initial disclosure document must begin with the information required by rule 4.4.2, and must continue with the sector-specific information required in the particular case.
      (7) An authorised firm must periodically review its initial disclosure document to ensure that all of the information in it is accurate and current.
      (8) If an authorised firm makes a material change to its initial disclosure document that will be relevant to, or will affect, existing customers, it must give a copy of the revised document to all of its existing customers without delay.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 4.4.2 Initial disclosure documents — content

      (1) An authorised firm's initial disclosure document must begin with the following information in the following order:
      (a) the legal name and business address of the firm, and its trading name if it is different to the legal name;
      (b) the date on which the document came into effect;
      (c) either of the following statements about the firm's authorisation:
      (i) "Authorised by the Qatar Financial Centre Regulatory Authority";
      (ii) "Authorised by the QFC Regulatory Authority";

      Note Either of these statements is also required in the firm's business documents — see GENE, rule 3.1.2.
      (d) information (in plain English) about the regulated activities that the firm is authorised to undertake;
      (e) a statement as to whether or not the firm's regulated activities are conducted in accordance with Shari'a;
      (f) a description (see subrule (2)) of the services that the firm offers;
      (g) information about:
      (i) the firm's internal complaint-handling procedures, including information about how a complaint can be made to the firm; and
      (ii) the customer dispute resolution scheme.
      (2) The description of the firm's services must include details of the nature and scope of the services offered by the firm. The initial disclosure document must also state whether there are any restrictions on the nature and scope of those services (whether as a result of regulatory provisions or the policy of the firm) and if so, must give details of the restrictions.
      (3) Any other information that is required by a provision of these rules to be in the firm's initial disclosure document must follow the information required by subrule (1).
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).

    • CIPR 4.4.3 Amendment of initial disclosure documents

      If an authorised firm's initial disclosure document allows the firm to change the terms of the document without its customers' agreement, the firm must not conduct business with or for a customer on the basis of a changed document unless the firm has given the customer notice, in a durable medium, of the change:

      (a) at least 10 business days before the change is to take effect; or
      (b) if it is impractical to give notice of the change within the period mentioned in paragraph (a) — as early as is practicable.
      Derived from QFCRA RM/2019-2 (as from 1st January 2020).