The Islamic Financial Services Board has published an exposure draft revising its guiding principles on the governance of Islamic collective investment schemes, updating the existing IFSB-6 standard. The proposal expands the standard’s scope to strengthen governance and oversight of Islamic collective investment schemes and to provide more detailed regulatory and supervisory guidance on issues specific to those products. The revised framework adds coverage for risk management, liquidity management, valuation, outsourcing, Islamic windows and technology governance. It also strengthens governance expectations for board and senior management oversight, investment eligibility screening methodologies and Sharīʻah governance. The Board said the revised standard is intended to complement existing international standards for collective investment schemes by addressing areas that require additional guidance for Islamic collective investment schemes. Comments on the exposure draft are invited until 4 September 2026. The Board will also hold a public hearing webinar on 18 August 2026 to present the draft and take questions from stakeholders.
Islamic Financial Services Board2026-07-21
Islamic Financial Services Board consults on revised governance principles for Islamic collective investment schemes
The Islamic Financial Services Board has issued a consultation on revised guiding principles for the governance of Islamic collective investment schemes, updating IFSB-6. The draft expands the framework to cover areas including risk, liquidity, valuation, outsourcing, Islamic windows and technology governance, while tightening expectations for oversight, screening methodologies and Sharīʻah governance. Comments are due by 4 September 2026.