Further to SAMA's instructions issued via Circular No. (63996/67) dated 27/10/1440H, which included SAMA's non-objection to contracting with persons licensed by the Capital Market Authority (CMA) for the purpose of distributing publicly offered investment funds ("the funds") through the banks' electronic channels.

Accordingly, SAMA would like to confirm that all banks must abide by the aforementioned circular in accordance with the following controls:

1. The contract must be with the person licensed by the (CMA) solely for distributing publicly offered investment funds.
    
2. The distribution of the funds must be exclusively through electronic channels, and the bank should not be a party to the relationship between the customer and the person licensed by the (CMA) while informing the customer about the banks status and that the funds are considered investment products of the licensed person, not banking products.
    
3. The customer should not be able to open an investment account for the person licensed by the (CMA) via the bank's electronic channels, and the role of the bank should be limited to filling out and signing related documents only.
    
4. customers should be able to subscribe to the funds through the bank's electronic channels without the ability to dispose of it, such as selling or cancelling their subscription.
    
5. The subscription process for the funds should not be complete until the licensed person by the (CMA) contacts the customer and informs him of the fund's suitability.

For your information and action accordingly as of this date. SAMA also emphasizes the necessity of maintaining a separation between banking activities and investment activities.