Art. 80

(Art. 57 CISA)

1. The fund management company and the SICAV may invest up to 5 per cent of the fund's assets in OTC transactions with the same counterparty.
2. Where the counterparty is a bank as defined in Article 70 paragraph 1e , this limit is raised to 10 per cent of the fund's assets.
3. The derivative financial instruments and claims against counterparties arising from OTC transactions are subject to the regulations on risk diversification as defined in Articles 73 and 78-84. This does not apply to derivatives on indices which comply with the conditions defined in Article 82 paragraph 1 letter b.
4. Where the claims arising from OTC transactions are hedged using collateral in the form of liquid assets such claims are not included in the calculation of counterparty risk. FINMA regulates the details of the collateral requirements. In doing so, it shall take account of international standards.¹