Common use of Derivative Financial Instruments Clause in Contracts

Derivative Financial Instruments. For the UCITS, the management company can use derivatives for hedging, efficient portfolio management, to achieve additional returns and as part of the investment strategy. This can increase the risk of loss for the UCITS at least temporarily. The risk associated with derivatives financial instruments cannot exceed 100% of the net fund assets. The overall risk cannot exceed 200% of the net fund assets. The overall risk for borrowing permitted in accordance with UCITS (paragraph 7.4.2) cannot exceed 210% of the net fund assets. The management company applies the commitment approach as a risk management procedure. The following basic forms of derivatives or combinations of these derivatives or combinations of other assets that can be acquired for the UCITS, can be employed in the UCITS by the management company:

Derivative Financial Instruments. For the UCITS, the management company can use derivatives for hedging, efficient portfolio management, to achieve additional returns re- turns and as part of the investment strategy. This can increase the risk of loss for the UCITS at least temporarily. The risk associated with derivatives financial instruments cannot exceed ex- ceed 100% of the net fund assets. The overall risk cannot exceed 200% of the net fund assets. The overall risk for borrowing permitted in accordance with UCITS (paragraph 7.4.2) cannot exceed 210% of the net fund assets. The management company applies the commitment approach as a risk management procedure. The following basic forms of derivatives or combinations of these derivatives or combinations of other assets that can be acquired for the UCITS, can be employed in the UCITS by the management company: