Common use of Concentration Rules Clause in Contracts

Concentration Rules. The Sub-Fund may use derivative financial instruments to achieve the investment objective of appropriate total returns as well as sustainable capital appreciation, and to limit losses in declining (unfavourable) markets. Furthermore, the Sub-Fund may invest up to 25% of its assets in convertible debentures and notes as well as warrant-linked bonds, and up to 10% in shares and other equity securities and instruments as well as warrants. At least 80% of the foreign currency risk is hedged against the reference currency of the relevant unit class. The Sub-Fund may invest up to 10% of its assets in units of collective investment undertakings and other undertakings comparable to a UCITS. Subject to the UCITS’ investment restrictions and the UCITS law, the Sub-Fund is not restricted as to the percentage of assets which may be invested in any particular industry, instrument, market or strategy. In attempting to maximize the returns, the Sub-Fund may concentrate holdings in certain industries, instruments, markets or strategies, which in the Asset Manager’s sole judgement, provide the best profit opportunities and are consistent with the Sub-Fund’s investment objective and permitted investments.