The Ukrainian Association of Investment Business (UAIB)
The Ukrainian Association of Investment Business (UAIB) is a representative organization for all asset management companies registered in Ukraine. This also means it unites and represents all investment funds founded as collective investment institutions (CII) as well as the assets of non-state pension funds being managed by those AMC in Ukraine.
UAIB is a non-state non-profit and self-regulated organization founded on the principles of equality of rights, free will expression and community of its members' interests.
Established in April 1995, UAIB is one of the oldest and most influential professional organizations of the stock market in Ukraine.
In October 1997, the Securities and Stock Market State (National) Commission (SSMS(N)C) granted to UAIB the status of a self-regulatory organization. In June 2002, UAIB got the status of a securities market SRO that unites asset management companies.
Presently, it is the only self-regulatory non-state organization in Ukraine which is exercising the functions of pre-licencing preparation of market participants (asset managing companies) that intend to obtain a license for carrying out professional activity from the SSMS(N)C.
The purpose of the foundation and activities of the UAIB shall be:
- Maintaining high professional level of the activities of securities market participants.
- Representation of the members of the self-regulatory organization and protection of their professional interests.
- Professional training and further training for the specialists of the companies - members of the self-regulatory organization.
- Keeping its members informed of the securities legislation and changes made thereto.
- Developing and overseeing compliance with the norms and rules of conduct, regulation, rules of exercising securities transactions, requirements to the professional qualifications of the specialists - self-regulatory organization members and other documents stipulated by the current legislation.
- Implementing efficient mechanisms for resolution of disputes among the members of the self-regulatory organization and their clients.
- Developing and introducing measures for protection of the clients of the members (participants) of the self-regulatory organization and other investors, as well as for observance of ethical norms and rules of conduct by the members of the self-regulatory organization in their relations with clients.
- Improving the normative and regulatory framework of the securities market.
- Assisting with organization of financial monitoring by asset-managing companies in the area of preventing and counteracting legalization of criminal proceeds and financing of terrorism.
In the process of carrying out its functions, which are exercised on the basis of statutory documents, rules and regulations, the UAIB shall be entitled:
- To inspect activities of its members in line with the procedure agreed upon with the SSMSC;
- To oversee legislative compliance of its members, as well as their compliance with the rules and requirements adopted by the self-regulatory organization;
- Upon agreement with its members - to represent their interests in the SSMSC and other government bodies;
- To collect, summarize and process statistical information;
- Jointly with the SSMSC - to participate in the activities on certification of professional securities market participants-members of the self-regulatory organization, and to oversee compliance by the members of the self-regulatory organization with the current legislative requirements as regards the number of certified specialists needed to carry out professional activity in the securities market;
- Jointly with the Commission - to check activities of its members as regards compliance by the members of the self-regulatory organization with the current legislation on financial monitoring;
- To develop and introduce, in line with the legislation and present By-law, rules, standards and requirements to the procedure of carrying out transactions in the stock market. The rules, standards and requirements shall be subject to coordination with the Commission and, in the instances envisaged by the legislation, with the Antimonopoly Committee of Ukraine;
- To introduce procedures for dispute resolution relating to professional activities in the securities market;
- To apply sanctions to its members for non-observance of rules, standards and requirements to carrying out transactions in the securities market established by the UAIB.
As for today, UAIB unites more than 300 professional market participants - AMC. Membership in the Association is contract-based, and the founders of Association do not have an advantage over other members of the Association. The procedure for admission of new members to the Association, as well as for termination of the membership in the Association are set forth in the UAIB internal documents.
Members of the Association are entitled to:
- obtain information about the activities of the Association and its bodies;
- participate in the General Meeting of the Association's members;
- vote on all issues brought for review of the General Meeting;
- participate in the election of the Association's bodies and be elected to these bodies;
- participate in drafting of the documents that set forth main directions of the Association's activities, submit proposals and recommendations to the Board of the Association;
- use the Association's logo; and
- use methodologies and material and technical means of the Association, as well as services, consultations and recommendations provided by the Association or its bodies.
Members of the Association have the following obligations:
- to comply with the requirements of the effective legislation and the Charter, as well as other regulations of the Association;
- to participate in the activities of the Association;
- to fulfill the decisions of the Association;
- to promote reaching the goals and tasks of the Association by their activities;
- to observe the rules and requirements of the Code of Disciplinary Measures, other internal documents of the Association;
- to observe commercial competition rules;
- to promote investor rights' protection;
- to take measures to eliminate shortcomings and mistakes in the work, as required by the bodies of the Association;
- to inform the bodies of the Association about the facts that may potentially influence the Association's activities, or about instances of non-compliance with the Charter;
- to inform, according to the procedure established by the Association, about their activities and results;
- to raise professional level and competence of their employees and oversee observance of the key requirements and objectives of the Association by them; and
- to pay membership fees in timely manner.
