Derivative use, techniques and instruments Sample Clauses
The 'Derivative use, techniques and instruments' clause defines the conditions under which a party, typically an investment manager or fund, may utilize financial derivatives and related instruments as part of its investment strategy. This clause outlines the permissible types of derivatives—such as futures, options, swaps, and forwards—and may specify the purposes for which they can be used, such as hedging risk, enhancing returns, or managing portfolio exposure. By clearly setting boundaries and requirements for derivative transactions, the clause ensures regulatory compliance and risk management, helping to prevent misuse and clarify the scope of allowable investment activities.
Derivative use, techniques and instruments. The overall risk associated with derivatives cannot exceed the overall net value of the Fund's assets. As part of the investment strategy within the limits stipulated in Art. 53 UCITSG, the management company may make investments in derivatives, as long as the overall risk of the underlying instruments does not exceed the investment limits of Art. 54 of the UCITSG. When calculating this risk, the market value of the underlying instruments, the default risk, future market fluctuations and the liquidation risk of the positions must be taken into consideration. Provided the protection of investors and public interest are not opposed, investments of the UCITS in index-based derivatives are excluded from the upper limit stated in Article 54 of the UCITSG. With the approval of the FMA, the UCITS can use techniques and instruments that involve securities and financial market instruments for the efficient management of the portfolio in compliance with the conditions of UCITSG.
Derivative use, techniques and instruments. The overall risk associated with derivatives cannot exceed the overall net value of the Fund's assets. As part of the investment strategy, the man- agement company can invest in derivatives within the restrictions stipu- lated in Article 53 UCITSG. In calculating the risk, the market value of the underlying assets, the default risk, future market fluctuation and the period required to liquidate the positions are considered. As part of their invest- ment policy and within the restrictions of Article 53 UCITSG, the Fund can invest in derivatives, provided the overall risk of the underlying assets does not exceed the investment limit of Article 54
Derivative use, techniques and instruments. The overall risk associated with derivatives cannot exceed the overall net value of the Fund's assets. As part of the investment strategy, the management company can invest in derivatives within the restrictions stipulated in Article 53 UCITSG. In calculating the risk, the market value of the underlying assets, the default risk, future market fluctua- tion and the period required to liquidate the positions are considered. As part of their investment policy and within the restrictions of Article 53 UCITSG, the Fund can invest in derivatives, provided the overall risk of the underlying assets does not exceed the investment limit of Article 54 UCITSG. Provided the protection of investors and public interest is not op- posed, investments of the UCITS in index-based derivatives are not excluded from the upper limit stated in Article 54 UCITSG. If a derivative is embedded in securities or a financial market instru- ment, with regard to compliance with the regulations of Article 54 UCITSG, it must be taken into consideration. With the approval of the FMA, the management company can use techniques and instruments that involve securities and financial mar- ket instruments for the efficient management of the portfolio in com- pliance with the conditions of UCITSG. Borrowing is permitted within the restrictions stipulated in UCITSG and the relevant regulation. Lending and repurchase agreements are not permitted.
Derivative use, techniques and instruments. The overall risk associated with derivatives cannot exceed the overall net value of the Fund's assets. As part of the investment strategy, the management company can invest in derivatives within the restrictions stipulated in Article 53 UCITSG. In calculating the risk, the market value of the underlying assets, the default risk, future market fluctua- tion and the period required to liquidate the positions are considered. As part of their investment policy and within the restrictions of Article 53 UCITSG, the Fund can invest in derivatives, provided the overall risk of the underlying assets does not exceed the investment limit of Article 54 UCITSG. Provided the protection of investors and public interest is not op- posed, investments of the UCITS in index-based derivatives are not excluded from the upper limit stated in Article 54 UCITSG. If a derivative is embedded in securities or a financial market instru- ment, with regard to compliance with the regulations of Article 54 UCITSG, it must be taken into consideration. With the approval of the FMA, the management company can use techniques and instruments that involve securities and financial mar- ket instruments for the efficient management of the portfolio in com- pliance with the conditions of UCITSG. Borrowing is permitted within the restrictions stipulated in UCITSG and the relevant regulation. Lending and repurchase agreements are not permitted.
A. The following investment limits must be observed for the UCITS:
1) The Fund may invest at the most 5% of its assets in securities or financial market instruments from the same issuer and at the most 20% of its assets in deposits of the same issuer.
2) The default risk from transactions of the UCITS with OTC deriv- atives with a credit institution as a counterparty, whose head- quarters are in an EEA Member State or a third country whose supervisory provisions are equivalent to those of EEA law, can- not exceed 10% of the assets of the UCITS. for other counter parties the maximum default risk is 5% of the assets.
3) Provided the overall value of the securities and financial market instruments of the issuer in which the UCITS invests 5% of its assets does not exceed 40% of its assets, then the issuer limit named in paragraph 1 is raised from 5% to 10%. The limit of 40% shall not apply for deposits or transactions with OTC derivatives with overseen financial institutions. When claiming the increase, securities and financial market instruments are excluded in ...