The Capital Markets Authority (CMA) has taken steps to address unmet contractual obligations by Genghis Capital Limited, signaling its commitment to investor protection. This follows a move by CMA to engage Genghis Capital on its outstanding debt owed to a stakeholder.
In a statement issued on Monday, CMA emphasized its proactive stance, stating that it is “engaging Genghis Capital Limited to get a roadmap on how the firm intends to address the outstanding debt owed to its stakeholder.”
Reassuring investors, the authority clarified that clients’ assets remain safeguarded in segregated accounts distinct from Genghis Capital’s funds. “CMA would like to clarify that clients’ assets are held in segregated accounts separate from the funds of Genghis Capital Limited,” the statement noted.
CMA also highlighted the regulatory framework governing the Genghis Unit Trust Scheme, underscoring its adherence to the Capital Markets (Collective Investment Schemes) Regulations 2023. These regulations mandate a clear distinction between the fund manager, custodian, and trustee roles, ensuring transparency and accountability in operations.
The authority further elaborated that funds under the Genghis Money Market Fund and Mali Money Market Fund are under the stewardship of an authorized custodian and an independent trustee. “Client assets managed under the Genghis Money Market Fund and Mali Money Market Fund are held by a duly authorized custodian and oversighted by an independent trustee,” CMA affirmed.
