951.311CISOFederal Council OrdinanceJan 1, 2007Original source
L-QIFs in the legal form of a contractual fund or SICAV may:
borrow sums amounting to no more than 50 per cent of the net fund assets;
pledge or cede as collateral no more than 100 per cent of the fund's net assets;
commit to an overall exposure of up to 600 per cent of the fund's net assets.
The investment restrictions shall be set out explicitly in the fund contract or the investment regulations.
The fund contract or the investment regulations must also describe the permitted investment techniques, such as securities lending, repurchase agreements, the use of derivatives, borrowing or transfer of ownership by way of security, short selling and the granting of loans. In particular, they must regulate the type and amount of permitted short sales. If securities lending or repurchase agreements are permitted, the fund contract or the investment regulations and the annual report must contain the information specified in Article 76 paragraphs 4 and 5.
Articles 1–55 CISO-FINMA1in the version of 1 January 20152on securities lending, repurchase agreements, derivative financial instruments and collateral management apply by analogy, with the exception of the obligations to inform FINMA and to obtain FINMA approval.