Certainly, the fund will be open, i.e. allow the purchase of its documents periodically through bank branches announced for this purpose, allowing new investors or document holders to increase its funds, with the possibility of donations as well.
All parties invest their funds and the return is directed to serve the charitable and social purposes specified in the fund's prospectus, the difference is that the founders must put the capital, which is 2% of the fund's funds, and not less than EGP 5 million. That is, the minimum amount (EGP 5 mn) is sufficient to reach the issuance of documents up to EGP 250.000.000 The founders are also the ones who choose the Board of Directors of the Fund and form the General Assembly of the Fund annually to approve the auditor's report and financial statements and to elect the Board of Directors. Subscription to investment documents is considered an acceptance by the subscriber (document holder) of the Fund's Articles of Association and what is stated in the prospectus, especially the restriction of the distribution of profits and returns resulting from the Fund's investments until its expiry to spending on social or charitable purposes, through associations or civil institutions publicized, government agencies or bodies supervised or affiliated with them related to charitable activities, and the approval of the subscriber to form and join the group of document holders.
By virtue of the legislation regulating the capital market and the activity of investment funds, there are periodic financial statements and an Auditor's Report that must be made available to document holders. The Fund's Board of Directors also issues an annual report on its activities and there are meetings of the document holders group ... The report and the document holders' meeting can be periodically specified in the Articles of Association or Prospectus (it may be annual or shorter periods, for example, every quarter) and the Fund will have a website containing everything related to its charitable and social activities and its financial statements.
The group is concerned with protecting the common interests of its members and following up the Fund's commitment to implement the prospectus regarding the aspects of investing the Fund's funds, as well as the aspects of spending its profits and returns, and in particular considering the proposals of the Board of Directors on the following topics: · Amending the Fund's investment policy taking into account the charitable nature of the Fund. · Approval of the change of investment manager. · Amending the rules for distributing the Fund's profits in the charitable or social fields and the entities benefiting from them, taking into account the nature of the Fund.
The Fund's role is to support NGOs, institutions and government bodies to serve persons with disabilities and does not provide direct services to individuals, and this is to ensure the transparency of service delivery.
Capital market legislation defines a charitable investment fund as an investment fund whose distribution of profits and returns resulting from its investments is limited to spending on social or charitable purposes, through associations or civil institutions or government agencies or their affiliates related to charitable activities. As for those who invest in the fund, i.e. finance the fund through the purchase of its documents, they are all those who are interested in the social and charitable purposes that the fund sponsors and finances in light of its prospectus. These philanthropists can be individuals, companies or other entities. The regulation of charitable investment funds requires that they be managed by an investment manager licensed by the Financial Regulatory Authority and that the document holders of these funds meet within a document holder group that follows up on the results of the fund's work.
This fund operates according to the capital market legislation, not a government fund, and its financing comes voluntarily from those interested in the issues and supporting of persons with disabilities. The Fund's Statute provides for the financing of various areas related to the provision of care, the rehabilitation of training and education of persons with disabilities and the provision of prosthetic devices in various parts of the Country and of different age groups. All this is according to the resources available to the Fund from investing its funds - to ensure sustainability - and according to annual priorities decided by the Board of Directors, which includes members from different disciplines, most of whom are independent.
The Fund operates in accordance with the legislation regulating the capital market, which is supervised and adhered to by the Financial Regulatory Authority, including that the management of the Fund's investment portfolio must be entrusted to a management company, which is a company licensed to practice fund management activity from the Authority. This is under a contract between the Fund's Board of Directors and the management company. The management company works to make investment decisions, follow up and diversify investments in order to achieve appropriate returns under acceptable risks, with care and care at work. All this is done by adhering to the investment policy prescribed for the Fund in terms of investment instruments, concentration ratios, liquidity required to be maintained, etc. The Board of Directors of the Fund shall have the right, in the event that it deems that it has acted outside the specified rules, to terminate the contract with the investment manager and contract with another company to manage investment funds.
