Tag: Investment fund
Investment Fund means an entity or arrangement that meets all of the following criteria set out in paragraphs (a) to (f) below:
(a) it is designed to pool assets (which may be financial and non-financial) from an Excluded Entity or a number of investors (at least some of which are not connected);
(b) it invests in accordance with a defined investment policy and/or to reduce transaction costs and research and analytical costs and/or to spread risk collectively;
(c) it is primarily designed to generate investment income and/or gains or protection against a particular or general event or outcome;
(d) investors have a right to return from the assets of the fund, or income earned on those assets, based on the contributions made by those investors;
(e) the fund, or the management of the fund, is subject to the regulatory regime for collective investments in the jurisdiction in which it is established (including appropriate anti-money laundering and investor protection regulation); and
(f) it is managed by fund management professionals on behalf of the investors.
The definition also includes any entity or arrangement that is wholly-owned or almost exclusively owned, directly or indirectly, by one or more Investment Funds or other Excluded Entity and that does not carry on a trade or business but is established and operated exclusively or almost exclusively to hold assets or invest funds for the benefit of such Investment Funds or other Excluded Entity.