Head of the Egyptian Financial Supervisory Authority (EFSA), Sherif Samy, told Daily News Egypt that the authority is considering the allowance of same-day trading, known as T+0, for fund managers, noting that they will study how this may conflict with the capital market law to remove any legislative obstacles.
Samy added that the authority is ready to receive suggestions from various parties on the development of the capital market legislation to serve the market and its activity.
Essam Khalifa, managing director at the Al-Ahly Fund and Portfolio Management Company, said that he is considering to submit a request through the company or through the Egyptian Investment Management Association (EIMA) to allow fund managers to use the T+0 trading mechanism.
He pointed out that this mechanism contributes to achieving good returns upon which most active funds focus on to make quick gains.
In general, Khalifa praised the system of legislation that serves the investment funds in Egypt and its developments in the past period, such as activating new types of funds, including real estate investment trusts (REITs).
Khalifa said that the bylaws and the Capital Market Law neither prevented nor allowed fund managers to deal with T+0 mechanisms, which is why the bylaws may need some more articles to allow fund managers to take advantage of such a mechanism.
