CMA Blocks Withdrawals From Fund Manager to Protect it From Collapse

The Capital Markets Authority (CMA) has blocked investors from withdrawing their money from Amana Capital to protect it from collapse.

In a statement, the regulator said that it has given a no-objection to a 28-day moratorium to enable the fund manager to work with its trustee to improve its liquidity position to meet redemption obligations to unitholders with investments in the fund

“The authority has been engaging the board and management of ACL, the trustee, and the custodian as they put together solutions to the liquidity challenges,” CMA said in the statement.

“An extraordinary general meeting of the unitholders of the fund has been convened during the moratorium period as required under the Trust Deed and Rules of the Amana Unit Trusts,” read the statement.

More to follow