Settlement Risk. In particular in the case of investments in unlisted securities, there is a risk that settlement by a transfer system will not be carried out as expected due to delayed payment or delivery, or delivery not in accordance with the agreement. This is the sub-fund's risk that a transaction will not be fulfilled as expected if a counterparty does not pay or deliver, or that losses due to operational errors may occur in the course of the settlement of a transaction.
Appears in 2 contracts
Sources: Unit Trust Agreement, Unit Trust Agreement