The Namibia Financial Institutions Supervisory Authority has published industry comments and its responses on Standard CIS.S.4.2, which covers transfers, mergers and reorganizations of participatory interests in collective investment schemes. The responses show several substantive revisions to the draft, including clearer distinctions between merger, transfer and reorganization, deletion of the clause on transferring management or operational responsibilities because that is already covered by General Standard 10.28, and clarification that written investor approval is required before a transaction is submitted for NAMFISA approval. Accepted changes include revising the definition of transfer, confirming that merger may involve combining portfolios or schemes into a new portfolio or scheme, narrowing reorganization by excluding broader overlap with deed amendments and changes already addressed elsewhere, replacing inconsistent terminology such as designated with new, deleting the word trust where only deed is defined, and extending the objection provision in Clause 3(4) from transfers to all transactions. NAMFISA also amended the drafting to replace valuation report with valuation of the transaction and to specify that the manager must notify it of investor objections within 14 business days of receipt of the notice. At the same time, it declined to set a fixed advance submission period, minimum disclosure templates, prescribed contents for illiquid asset plans, or detailed standards for unfair prejudice, maintaining that these depend on the nature and complexity of each transaction and on the manager's fiduciary obligations under the Financial Institutions and Markets Act.
Namibia Financial Institutions Supervisory Authority2026-03-30
Namibia Financial Institutions Supervisory Authority revises CIS transfer and merger standard after industry feedback
The Namibia Financial Institutions Supervisory Authority published industry comments and responses on its draft standard for CIS transfers, mergers and reorganizations, indicating several accepted revisions. These include clearer transaction definitions, removal of an overlapping business transfer clause, and confirmation that investor approval must be obtained before seeking NAMFISA approval. It kept a principles-based approach on timing, disclosure and prejudice assessments rather than adding fixed procedural thresholds.