Summary highlights on Collective Investment Schemes (CIS)

A Collective Investment Scheme is a portfolio of funds collected that is managed by professional investment Managers on behalf of investors/participants. There are three types of Collective Investment Schemes that can be registered with SECZ namely; Internal Schemes — unit trusts wholly or mainly operated in Zimbabwe in line with the provisions of the Trust Deed External Schemes — unit trusts that are established and managed outside Zimbabwe and Professional Schemes — a Unit Trust with 5-30 participants who are registered as public Accountants, public Auditors or members of the Zimbabwe Stock Exchange or possess such other qualifications or experience as may be prescribed. Each participant in a Professional Scheme invests not less than the prescribed amount. Promoters of the Scheme should be qualified to be Managers of an Internal Scheme. Promotion of the Scheme is restricted to persons who are eligible to become participants in a professional Scheme In order to align the Collective Investment Schemes rules with the current operating environment, Statutory Instrument 108 of 2017 — Collective Investment Schemes (Internal Schemes) (Amendment), Rules, 2017 (No. 4) and Statutory Instrument 107 of 2017 – Collective Investment Schemes (Professional Schemes) (Amendment), Rules, 2017 (No. 1) were gazetted. The Statutory Instruments were published on the 8th September 2017. Statutory Instrument 106 of 2017 — Collective Investment Schemes (Fees) Rules, was also published on the 8th of September 2017. These new fees are now commensurate with the prevailing multicurrency era. The new registration fee for an Internal /External/ Professional Scheme is now USD 500. The promoters/ managers of the respective Schemes now need to pay USD 300 payable at the time of making the application. The licensing fee for the Trustee and Manager of internal Schemes is now USD 2000 payable at the time of making the application while renewal fee is now USD 1000.