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Arab Finance: The Egyptian Exchange (EGX) has approved new regulations governing index-tracking investment funds, in a step aimed at enhancing transparency and improving the management efficiency of investment tools as investor interest in the segment continues to grow, as per a statement.
Under the new rules, the investment manager of an index fund must be a member company of the EGX and hold the required licenses from the Financial Regulatory Authority (FRA).
The EGX also established a timeline for launching new funds, requiring subscription procedures and unit issuance to be completed within six months of receiving initial approval. Approvals that do not meet the deadline will be automatically revoked.
The move comes as index funds gain traction in the Egyptian market, particularly following the launch of several funds tracking major stock indices, which have attracted increasing interest from retail investors.
It is noteworthy that market data points to continued expansion in the investment fund industry. The total net asset value of investment funds in Egypt increased by 30% during the first quarter of 2026 to reach EGP 411 billion.
