Securities Act
ZambiaAct of Parliament
This Act has been repealed.It was replaced by Securities (No. 41 of 2016). Read this one for the law as it stood, not as it is now.
The Securities Act is an Act of the Parliament of Zambia. It contains 111 sections. Read its sections below, or ask Levy any question about the Securities Act and get an answer grounded in the Act with citations.
Sections of the Securities Act
- S. 1Name of the scheme.
- S. 2Names of the sub-funds (if any).
- S. 3The names and registered addresses of the following parties (where applicable)-
- S. 4Minimum investment (if any).
- S. 5A description of the different types of units or shares, including their currency of
- S. 6Form of certification.
- S. 7Frequency of valuation and dealing, including dealing days.
- S. 8Dealing: daily/weekly/other.
- S. 9Valuation of assets: daily/weekly/other.
- S. 10Pricing: forward/historic/other.
- S. 11Investment plans to be offered in Zambia.
- S. 12(a) Fee structure-
- S. 13The management company (Section B of Part 1 of the Schedule)-
- S. 14In the case of a self-managed scheme, the resumes of the directors of the scheme and
- S. 15The trustee/custodian (Section A of Part 1 of the Schedule)-
- S. 16The investment adviser (if any)-
- S. 17For the trustee/custodian, management company and investment adviser-
- S. 18D ealers to be licensed
- S. 19A person who is not the holder of an investment adviser's licence and who- Investment advisers to
- S. 20R epresentatives to be licensed
- S. 21A pplications for licences
- S. 22R efusal of licence or renewal
- S. 23T erms and conditions of licences
- S. 24R evocation or suspension of licences
- S. 25The offering document shall be accompanied by the scheme's most recent audited annual Accompaniment to
- S. 26A ppeals
- S. 27(1) If performance data or estimated yield is quoted in an offering document, advertisement or Inclusion performance
- S. 28(1) The constitutive documents of a scheme shall contain the information listed in Appendix III. Constitutive
- S. 29(1) The constitutive documents may be altered by the management company and Constitutive
- S. 30(1) All proposed alterations or additions to the offering constitutive documents shall be submitted Alterations to
- S. 31D eposits by dealers and investment advisers
- S. 32If an initial offer is made, no investment of subscription money can be made until the conclusion Initial offers
- S. 33(1) Offer and redemption prices shall be calculated on the basis of the scheme's net assets Valuation and pricing
- S. 34The value of investments not listed or quoted on a recognised market shall be determined on a Valuation of unquoted
- S. 35(1) There shall be at least one regular dealing day per month. Dealing
- S. 36The maximum interval between the receipt of a properly documented request for redemption of Redemptions to be
- S. 37Where a scheme deals at a known price and where, based on information available, the price Changes to dealing
- S. 38A permanent change in the method of dealing may only be made after one month's notice to Notice of change in
- S. 39A temporary change may only be made- Temporary changes
- S. 40Suspension of dealings may be provided for only in exceptional circumstances, having regard Suspension and
- S. 41(1) The management company or the Zambia representative shall immediately notify the Commission to be
- S. 42Where redemption requests on any one dealing day exceed ten per cent of the total number of Deferral of
- S. 43No person shall be allowed to enter on behalf of the scheme into underwriting or Underwriting contracts
- S. 44If cash forming part of the scheme's assets is deposited with the trustee/custodian, the Interest on deposits
- S. 45(1) All transactions carried out by or on behalf of the scheme shall be at arm's length. Transaction to be at
- S. 46(1) No single connected dealer shall account for fifty per cent or more of the scheme's Diversity of dealers
- S. 47I nvestment advisory contracts
- S. 48(1) A person shall not create or cause to be created, or do anything with the False trading and
- S. 49U se of deceptive statements, etc. as inducements
- S. 50F raudulent transactions
- S. 51(1) The scheme's latest available offer and redemption prices or net asset value shall be Reports on prices and
- S. 52Subsequent to the authorisation of the scheme, all financial reports produced by or for the Reporting to
- S. 53The management company shall supply to the Commission, upon request, all information Commission may
- S. 54The management company shall notify the Commission as soon as possible of any change to Changes to data in
- S. 55The level/basis of calculation of all costs and charges payable from the scheme's property shall Statement as to costs
- S. 56Commission to sales agents in respect of dealing in units or shares of the scheme shall not be Sales agents
- S. 57In respect of any increase of the management fee up to the maximum level permitted under the Notice of increase of
- S. 58(1) Advertisements and other invitations to the public in Zambia to invest in a scheme, including Commission to
- S. 59(1) If a scheme is described as having been authorised by the Commission it shall be stated Statements as to
- S. 60Advertisements and other invitations to the public in Zambia shall not refer to any scheme Mention of
- S. 61W inding-up orders
- S. 62R eceiving orders
- S. 63O rders of the Court
- S. 64C ompensation fund
- S. 65C ompensation Fund Committee
- S. 66C onstitution of fund
- S. 67P urpose of fund
- S. 68D isbursements from the fund
- S. 69M anagement of the fund
- S. 70(1) Notwithstanding clause sixty-nine, a scheme may invest all of its assets in a single collective Feeder funds
- S. 71No increase in the overall total of initial charges, management company's annual fee or any Limitation on overall
- S. 72(1) A real estate scheme shall not, at any time after the commencement of these Rules, be Restriction on real
- S. 73A scheme may not lend, assume, guarantee, endorse or otherwise become directly or Limitations on making
- S. 74A scheme may not acquire any asset which involves the assumption of any liability which is Unlimited liability
- S. 75A scheme may not invest in any security of any class in any company or body if any director or Limitations on
- S. 76The portfolio of a scheme may not include any security where a call is to be made for any sum Limitations on
- S. 77A scheme may not borrow. Borrowing prohibition
- S. 78(1) The provisions of this Part shall not, unless the contrary is provided, apply to an umbrella Applicability of
- S. 79If the investment limits in this Part are breached, the management company shall take as a Breach of investment
- S. 80If the name of the scheme indicates a particular objective, geographic region or market, the Name of scheme
- S. 81A scheme shall be required to appoint a representative in Zambia if its management company When representative
- S. 82If a representative is appointed, the scheme has to maintain the representative throughout the Maintenance of
- S. 83(1) The representative is not required to take responsibility for the acts and omissions of the Functions of a
- S. 84The distribution function of the representative amounts to dealing in securities, and therefore Criteria for
- S. 85The representative shall be properly appointed to represent the scheme and the management Representative to be
- S. 86The representative shall provide the Commission with a written undertaking that it will perform Written undertaking
- S. 87Should the representative retire or be dismissed, it shall be replaced as soon as possible, by Retirement and
- S. 88(1) Details of all contracts between the representative, the scheme and or the management Zambia representative
- S. 89(1) The zambia covering document of a scheme shall contain the information required in Zambia covering
- S. 90Where investment plans are offered, the provisions of clause thirty-one shall be complied with. Investment plans
- S. 91A scheme shall in all cases comply with the requirements of clauses forty-nine to sixty-two, Continuing obligations
- S. 92Nothing in the constitutive documents may exclude the jurisdiction of the courts of Zambia to Jurisdiction not
- S. 93In addition to the documents specified in rule five, an application for authorisation of a real Application to
- S. 94In addition to the requirements of clause twenty-four, the offering documents for a real estate Offering document
- S. 95The valuation of real estate assets shall be determined quarterly by an independent Valuation of real
- S. 96The maximum interval between the receipt of a properly documented request for redemption of Redemption
- S. 97Deferment of payment beyond one calendar month shall be subject to the approval of the Deferment of
- S. 98If payment is deferred and the properties being sold realise less than the price upon which the Apportionment of
- S. 99Advertisements shall include a warning statement that- Warning statements
- S. 100A real estate scheme may invest up to a maximum of eighty per cent of its net asset value in Restriction on
- S. IPRELIMINARY
- S. IISECURITIES AND EXCHANGE COMMISSION
- S. IIIADDITIONAL REQUIREMENTS FOR NON-ZAMBIA BASED SCHEMES SECTION A-APPOINTMENT OF A ZAMBIA REPRESENTATIVE
- S. IVLICENSING OF DEALERS, INVESTMENT ADVISERS AND REPRESENTATIVES
- S. IXCOMPENSATION FUND
- S. VREGISTRATION OF SECURITIES
- S. VICONDUCT OF SECURITIES BUSINESS
- S. VIIIMPROPER TRADING PRACTICES
- S. VIIIPOWERS OF INTERVENTION
- S. XCOLLECTIVE INVESTMENT SCHEMES
- S. XIMISCELLANEOUS