Financial Tribune - Securities and Exchange Organization of Iran and the Iraqi Securities Commission signed a memorandum of understanding to create a joint investment fund.

The fund will be based on master-feeder fund model, according to the SEO News Agency.

The MoU was signed in Tehran on Monday in a meeting attended by the SEO board members, chairman of ISC, Alaa Abdulhussein Al-Saeidi, Iraq’s ambassador to Iran, Sa'ad Jawad Qandeel.

A master-feeder structure is a device to pool capital raised from investors into a master fund. Investors put capital into their respective feeder funds, which ultimately invest assets into a centralized master fund. It is the master fund that actually invests in the market.