Question 1

When establishing a local investment fund, how much are the founders required to subscribe?

Options :

A : At least 1 million dirhams

B : At least 5 million dirhams

C : At least 10 million dirhams

D : At least 20 million dirhams

Answer: C

Question 2

The compliance regulation guide, submitted by an applicant for a license from the Authority, must set out procedures and mechanisms which will ensure that the compliance officer:

Options :

A : is able to suspend operations in an emergency

B : can appoint a deputy during an unplanned absence

C : has access to sufficient resources

D : can report confidentially to the regulator

Answer: C

Question 3

Why would the Authority board resolve temporarily to halt trading in the shares of any company?

Options :

A : A written complaint is made relating to a market activity

B : A threat to the proper and regular working of that market arises

C : It transpires that the spouse of a board member is a director of that entity

D : It does not have the technical equipment necessary to conduct its activity electronically

Answer: B

Question 4

A brokerage firm’s records include client agreements, selling orders and accounts. Under the Professional Code of Conduct, which of these does the DFM have the right to access and review?

Options :

A : Client agreements and selling orders only

B : Selling orders and accounts only

C : Accounts and client agreements only

D : Client agreements, selling orders and accounts

Answer: D

Question 5

Following a public subscription, what must a Special Purpose Acquisition Company do with the proceeds?

Options :

A : Deposit not less than 90% of the public subscription proceeds within one business day of receipt

B : Deposit not less than 90% of the public subscription proceeds within two business days of receipt

C : Deposit not less than 100% of the public subscription proceeds within one business day of receipt

D : Deposit not less than 100% of the public subscription proceeds within two business days of receipt

Answer: C