SAR

Suspicious Activity Report. A report in a prescribed format regarding suspicious activity or suspicious transactions made to the AFSA.

Savings Account

An account with a Bank held in the name of a Client through which the Client can place and withdraw Deposits.

SDD

Simplified Due Diligence, as described in AML 8.1.1.

Securities Note

In relation to a Prospectus structured as multiple documents, the document referred to in MAR 1.3.1(a)(iii).

Securities Settlement System

A system operated by a Person which enables Investments held in accounts to be transferred and settled by book entry according to a set of laws and predetermined multilateral rules to provide legal certainty.

Security

1. 1. A Security is:
2. (a) a Share;
3. (b) a Debenture;
4. (c) a Warrant;
5. (d) a Certificate; or
6. (e) a Structured Product.
7. 2. For the purposes of article 6 of the Constitutional Law, a Security shall be treated as if it includes a Unit.

Segregated Client

A Client whose assets or Money is required to be held in compliance with either COB 8.2, COB 8.3 or COB 11.8.

Senior Executive Officer

The individual performing the Controlled Function specified in GEN 2.2.2.

Senior Manager

The individual performing the Designated Function specified in GEN 2.3.2.

Share

A share or stock in the share capital of any Body Corporate or any unincorporated body (excluding a Unit).

Shell Bank

A bank that has no physical presence in the country in which it is incorporated or licensed and which is not affiliated with a regulated financial group that is subject to effective consolidated supervision. In this definition, physical presence in a jurisdiction is a presence involving meaningful decision-making and management and not merely the presence of a local agent or low level staff.

Single Family

An individual or group of individuals that are the lineal descendants (including minors, descendants by adoption (that is, stepchildren, adopted children, foster children, children adopted by legal guardianship), and illegitimate children) of a common ancestor (who is no more than 10 generations removed from the youngest generation of family members) or their spouses (including widows or widowers, whether or not remarried).

Single Family Office

a Body Corporate established in the AIFC that:

• (a) is indirectly or wholly owned by members of a Single Family; and
• (b) does not hold itself out to the public as carrying on Regulated Activities; and
• (c) carries on Regulated Activities on behalf of Family Clients only.

Skilled Person

A Person appointed to make a report required by the AFSA under section 97 of the Framework Regulations.

Smart-Contract

A computer code that represents a contract, and that executes and enforces the terms of such contract on an automated basis, without the need for intermediation by any person.

Solo Prudential Return

A prudential return is referred to as a Solo Prudential Return if it reflects the individual Bank’s accounts, statements and reports.

Solvency Reference Date

The date at which an Insurer’s compliance with the requirements of PINS 5 (Capital adequacy requirements) is assessed. The date at which a Takaful Operator’s compliance with the requirements of TRR 5 is assessed.

Source(s) of Funds

The origin of the customer's funds which relate to a transaction or service and includes how such funds are connected to a customer's source of wealth.

Source(s) of Wealth

How the customer's global wealth or net worth is or was acquired or accumulated.

Structured Product

An instrument comprising rights under a contract where:

• (a) the gain or loss of each party to the contract is ultimately determined by reference to the fluctuations in the value or price of property of any description, an index, interest rate, exchange rate or a combination of any of these as specified for that purpose in the contract (“the underlying factor”) and is not leveraged upon such fluctuations;
• (b) the gain or loss of each party is wholly settled by cash or setoff between the parties;
• (c) each party is not exposed to any contingent liabilities to any other counterparty; and
• (d) there is readily available public information in relation to the underlying factor; but excludes any rights under an instrument:
• (e) where one or more of the parties takes delivery of any property to which the contract relates;
• (f) which is a Debenture; or
• (g) which is a Contract of Insurance.

Subsidiary

In accordance with paragraph 1 of Schedule 1 of the Companies Regulations, a Body Corporate (the first Body Corporate) is a Subsidiary of another Body Corporate (the second Body Corporate) if:

• (a) the second Body Corporate:
• (i) holds a majority of the voting rights in the first Body Corporate; or
• (ii) is a shareholder of the first Body Corporate and has the right to appoint or remove a majority of the board of Directors or managers of the first Body Corporate; or
• (iii) is a shareholder of the first Body Corporate and controls alone, under an agreement with other shareholders, a majority of the voting rights in the first Body Corporate; or
• (b) the first Body Corporate is a subsidiary of another Body Corporate that is itself a subsidiary of the second Body Corporate, which is its Holding Company.

Sub-Fund

A separate pool of Fund Property within an Umbrella Fund.

Supplementary Prospectus

An updated or replacement Prospectus produced in accordance with in section 73 of the Framework Regulations.