Mutual Funds, REITs and NBFC

Bawaney & Partners is the pioneering law firm in the mutual funds and asset management and investment banking services, including open end and closed end schemes, REITs, private equity funds, pension funds, etc. The Firm was responsible for establishing the first private sector mutual fund in Pakistan under the asset management companies' framework, commencing from the time of AMC Rules, 1995. The Firm has acted as a regular counsel for almost all AMCs operating in Pakistan and constituted their closed end funds and open end schemes. In fact, during the first ten years of introduction of unit trusts in the private sector, the Firm had constituted almost 90% of the close end funds and open end schemes in the country.

The Firm continues to act as the legal advisor to CDC as the Trustee of most of the schemes, along-with advising another trusteeship company on such matters. Furthermore, the Firm has acted as a regular counsel to MUFAP, including alteration of its Memorandum and Articles of Association to bring them in consonance with the provisions of the Companies Ordinance, 1984 (now Companies Act, 2017) and Trade Organization Ordinance and Act. The Firm was also the first to conclude voluntary conversation of two investment companies operating as closed-end mutual funds into open-end schemes prior to enactment of regulation for compulsory conversion by law. To date, the majority of the asset management companies, investment finance companies, pension fund managers and trustees are clients of Bawaney and Partners.


Selected Transactions
  • Formation of the first mutual fund in Pakistan under the Asset Management Company rules.
  • Formation of the first mutual fund in Pakistan under the NBFC Regulations and structure.
  • Formation of the first Real Estate Investment Trust in Pakistan, which at the time was the only REIT scheme launched in South Asia.
  • Merger of AMCs through Schemes of Arrangement sanctioned by the High Court, prior to introduction of Part-VIIIA in the Companies Ordinance, 1984 (now Companies Act, 2017).
  • Formation of first four Voluntary Pension Funds constituted by AMCs with full legal support and advisory services to VPS Schemes.
  • First conversion of closed end mutual funds into open end schemes in Pakistan before the requirement of compulsory conversion under Regulation 65 of NBFC Regulations providing complete services, including Schemes of Arrangement for Conversions and other documentation.
  • Acted as legal counsel on bidding and acquisition of ICP Mutual Funds Lot "A" (comprising 1st, 3rd, 4th, 8th, 11th, 12th, 15th, 19th, 20th, 21st, 23rd, and 25th ICP Mutual Funds) by an AMC and its subsequent amalgamation into one Fund¬† and conversion into Open End Scheme.
  • Amalgamation of an NBFC engaged in Investment Advisory Services with and into an AMC under Section 282L of the Ordinance providing complete services
  • Drafting and finalization of the first portfolio management services agreement in Pakistan, enabling asset management companies to manage investment portfolios on discretionary and non-discretionary basis for companies and high net-worth individuals