Common use of Investment Restrictions and Exceptions to Restrictions Clause in Contracts

Investment Restrictions and Exceptions to Restrictions. 6.4.1 The Trust Property shall be subject to such exposure limits as are provided in the Regulations, this Deed, and Offering Document of the Fund and shall also be subject to any exemptions that may be specifically given to the Fund by the SECP. If and so long as the value of the holding in a particular company or sector shall exceed the limit imposed by the Regulations, the Management Company shall not purchase any further Investments in such company or sector. In the event Exposure limits are exceeded due to corporate actions including taking up rights or bonus issue and owing to appreciation or depreciation in value of any Investment, disposal of any Investment or Redemption of Units, the excess exposure shall be regularized in such manner and within such time as specified in the Regulations and prescribed by SECP 6.4.2 The Management Company, on behalf of the Fund, shall not enter into transactions with any broker that exceeds the limit provided in the Regulations and or circulars and Notifications issued by the Commission from time to time. Transactions relating to money market instruments and debt securities do not fall under the ambit of clause 6.4.2. 6.4.3 The Management Company on behalf of the Scheme shall not: a) Purchase or sell - • Bearer securities; • Securities on margin; • Real estate, commodities or commodity contracts; • Securities which result in assumption of unlimited liability (actual or contingent); • Any investment other than Authorized Investments as defined herein; b) Participate in a joint account with others in any transaction; c) Take direct exposure to equities d) Take exposure in spread transactions, etc.; e) Affect a short sale in a security whether listed or unlisted; f) Purchase any security in a forward contract. g) Take Exposure in any other Collective Investment Scheme. h) Make any investment which will vest with the Management Company or its group the management or control of the affairs of the investee company. i) Take exposure in TFC/Sukuks j) Invest in securities of the Management Company 6.4.4 The Management Company shall comply with the exposure limits provided in the Regulations. 6.4.5 Rating of any security in the portfolio shall not be lower than A. 6.4.6 In case of redemptions requests are pending for more than the period as stipulated in the Regulations, the Management Company shall not make any investment or rollover of any investment without consent of the Trustee. 6.4.7 The Management Company shall not net off any investment of the Fund against the investment of the Unit Holder(s) in the Fund. 6.4.8 The Asset Management Company on behalf of the Fund shall not at any time rollover the investments, if in the opinion of trustee ,the Fund would not be able to issue payment instrument for the redemption money to the unit holder within time period stipulated in the Regulations.

Investment Restrictions and Exceptions to Restrictions. 6.4.1 The Trust Property shall be subject to such exposure limits as are provided in the Regulations, this Deed, and Offering Document of the Fund and shall also be subject to any exemptions that may be specifically given to the Fund by the SECP. If and so long as the value of the holding in a particular company or sector shall exceed the limit imposed by the Regulations, the Management Company shall not purchase any further Investments in such company or sector. In the event Exposure limits are exceeded due to corporate actions including taking up rights or bonus issue and owing to appreciation or depreciation in value of any Investment, disposal of any Investment or Redemption of Units, the excess exposure shall be regularized in such manner and within such time as specified in the Regulations and prescribed by SECP 6.4.2 The Management Company, on behalf of the Fund, shall not enter into transactions with any broker that exceeds the limit provided in the Regulations and or circulars and Notifications issued by the Commission from time to time. Transactions relating to money market instruments and debt securities do not fall under the ambit of clause 6.4.2. 6.4.3 The Management Company on behalf of the Scheme shall not: a) Purchase or sell - •  Bearer securities; •  Securities on margin; •  Real estate, commodities or commodity contracts; •  Securities which result in assumption of unlimited liability (actual or contingent); •  Any investment other than Authorized Investments as defined herein; b) Participate in a joint account with others in any transaction; c) Take direct exposure to equities d) Take exposure in spread transactions, etc.; e) Affect a short sale in a security whether listed or unlisted; f) Purchase any security in a forward contract. g) Take Exposure in any other Collective Investment Scheme. h) Make any investment which will vest with the Management Company or its group the management or control of the affairs of the investee company. i) Take exposure in TFC/SukuksSukuks other than Shariah Compliant Government Securities. j) Invest in securities of the Management Company 6.4.4 The Management Company shall comply with the exposure limits provided in the Regulations. 6.4.5 Rating of any security in the portfolio shall not be lower than A.AA-. (Double A minus) 6.4.6 Placement of funds shall not be allowed if any Bank and/or DFI have credit rating of lower than “A A-” (Single A minus1). 6.4.7 Time to maturity of any asset of the Fund shall not exceed six months for all investment other than Government Securities which may be up to three yesrs1. 6.4.8 Weighted average time to maturity of the Net Assets of the Fund shall not exceed 90 days. 6.4.9 In case of redemptions requests are pending for more than the period as stipulated in the Regulations, the Management Company shall not make any investment or rollover of any investment without consent of the Trustee. 6.4.7 6.4.10 The Management Company shall not net off any investment of the Fund against the investment of the Unit Holder(s) in the Fund. 6.4.8 6.4.11 The Asset Management Company on behalf of the Fund shall not at any time rollover the investments, if in the opinion of trustee ,trustee, the Fund would not be able to issue payment instrument for the redemption money to the unit holder within time period stipulated in the Regulations. 6.4.12 The Management Company shall maintain cash and near cash instrument as per applicable Regulations, Circulars, Directives as amended from time to time

Investment Restrictions and Exceptions to Restrictions. 6.4.1 The Trust Property shall be subject to such exposure limits as are provided in the Regulations, this Deed, and Offering Document of the Fund and shall also be subject to any exemptions that may be specifically given to the Fund by the SECP. If and so long as the value of the holding in a particular company or sector shall exceed the limit imposed by the Regulations, the Management Company shall not purchase any further Investments in such company or sector. In the event Exposure limits are exceeded due to corporate actions including taking up rights or bonus issue and owing to appreciation or depreciation in value of any Investment, disposal of any Investment or Redemption of Units, the excess exposure shall be regularized in such manner and within such time as specified in the Regulations and prescribed by SECP 6.4.2 The Management Company, on behalf of the Fund, shall not enter into transactions with any broker that exceeds the limit provided in the Regulations and or circulars and Notifications issued by the Commission from time to time. Transactions relating to money market instruments and debt securities do not fall under the ambit of clause 6.4.2. 6.4.3 The Management Company on behalf of the Scheme shall not: a) Purchase or sell - •  Bearer securities; •  Securities on margin; • Real estate, commodities or commodity contracts; •  Securities which result in assumption of unlimited liability (actual or contingent); •  Any investment other than Authorized Investments as defined herein; b) Participate in a joint account with others in any transaction; c) Take direct exposure to equities d) Take exposure in spread transactions, etc.; e) Affect a short sale in a security whether listed or unlisted; f) Purchase any security in a forward contract. g) Take Exposure in any other Collective Investment Scheme. h) Make any investment which will vest with the Management Company or its group the management or control of the affairs of the investee company. i) Take exposure in TFC/Sukuks j) Invest in securities of the Management Company 6.4.4 The Management Company shall comply with the exposure limits provided in the Regulations. 6.4.5 Rating of any security in the portfolio shall not be lower than A. 6.4.6 In case of redemptions requests are pending for more than the period as stipulated in the Regulations, the Management Company shall not make any investment or rollover of any investment without consent of the Trustee. 6.4.7 The Management Company shall not net off any investment of the Fund against the investment of the Unit Holder(s) in the Fund. 6.4.8 The Asset Management Company on behalf of the Fund shall not at any time rollover the investments, if in the opinion of trustee ,the Fund would not be able to issue payment instrument for the redemption money to the unit holder within time period stipulated in the Regulations.