INMA 9.1.3 Policies — PSIAs

An Islamic INMA firm’s policies must include the following:

(a) how to ensure that PSIAs are managed in accordance with their IAHs’ instructions;
(b) how to ensure that the funds of PSIAs are invested in accordance with the firm’s terms of business;
(c) the priority of the investment of the PSIA owners’ funds and those of the IAHs;
(d) how the interests of the IAHs are safeguarded;
(e) the basis for allocating expenses and profits or losses to IAHs;
(f) how provisions and reserves against equity and assets will be applied;
(g) to whom those provisions and reserves would revert in the event of a write-off or recovery;
(h) how liquidity mismatch will be monitored;
(i) how the value of the PSIAs’ assets will be monitored;
(j) how any losses incurred as a result of negligence, misconduct or breach of contract on the part of the firm will be dealt with.
Derived from QFCRA RM/2014-4 (as from 1st January 2015).