Morocco’s capital markets regulator has asked portfolio management firms to sign up to a new code of conduct aimed at improving transparency and protecting investors. The Moroccan Capital Market Authority (AMMC) announced the voluntary programme during a meeting with portfolio management companies in Rabat. Firms have until 2 July to join the new charter of ethics and good practices.
The move comes as portfolio management continues to grow in Morocco. The AMMC says stronger standards are needed to help the sector develop while maintaining investor confidence.
Portfolio management allows clients to hand over the management of their financial investments to professional managers under agreed conditions. The system depends on trust, clear information and managers acting in their clients’ best interests.
The AMMC said the new programme is voluntary and does not create new legal obligations. Instead, it sets out a list of good practices that companies are encouraged to follow.
The initiative builds on a guide for portfolio management that the regulator recently developed with market players. The new charter is meant to turn those recommendations into more concrete commitments.
The announcement comes as Morocco’s capital market continues to expand. According to AMMC figures, the total net assets held by collective investment funds, known as OPCVMs, regularly exceed 600 billion dirhams.
The guide was prepared with the support of the Association of Moroccan Management Companies and Investment Funds (ASFIM) and other industry participants.
For portfolio management firms, signing the charter could help show clients and investors that they follow recognised standards and good practices.
For investors, the regulator says the programme should make it easier to understand how portfolio management works and what responsibilities firms have when managing client money.
The AMMC said the initiative is part of its wider role in protecting savings invested in financial products, overseeing the capital market and strengthening trust in the financial system.
The regulator added that trust is essential for attracting more savings into the market and helping finance Morocco’s economy.
Portfolio management firms have until 2 July to formally join the charter. The deadline will give the regulator a first indication of how many companies are willing to follow the standards it has set out.
The AMMC says the programme is designed to help build a stronger and more transparent portfolio management sector as the market continues to grow.
