PRIV S2.5 Investment Objectives and Policy etc

(1) Sufficient information to enable a unitholder to ascertain the following:
(a) the scheme's investment objectives (including its financial objectives) and, in particular—
(i) the types of investments in which it (and, if applicable, each subscheme) may invest; and
(ii) the scheme's investment strategies, including its approach to borrowing and gearing;
(b) the scheme's policy for achieving its investment objectives, including—
(i) the general nature of the portfolio and any intended specialisation; and
(ii) any policy for the spreading of risk in the scheme property; and
(iii) the policy in relation to the exercise of borrowing powers;
(c) a description of any restrictions in the assets in which investments may be made;
(d) the extent (if any) to which the investment policy does not envisage the scheme property remaining fully invested at all times;
(e) the scheme's policy for managing any risks posed by borrowings of the scheme.

Note Rule 5.2.3 (1) (General information requirements for prospectus) requires the prospectus to contain information in relation to—
(a) the merits and risks of participating in the scheme; and
(b) the extent and characteristics of the risks accepted by participating in the scheme.
(2) Details of any borrowing restrictions applying to the scheme.
(3) For investments in immovables, the following information:
(a) the jurisdictions where immovables in which the scheme may invest are located;
(b) the scheme's policy in relation to insurance of immovables forming part of the scheme property;
(c) the scheme's policy in relation to granting options over immovables in the scheme property and the purchase of options on immovables.
(4) If intended, a statement that the scheme property may consist of units in a scheme (the second scheme) that is managed by or operated by the operator or a person in the same group as the operator, and a statement about—
(a) the basis of the maximum amount of the charges in relation to transactions in the second scheme; and
(b) the extent to which the charges will be reimbursed to the scheme.
(5) If intended, a statement that stock lending arrangements or repo agreements may be entered into for the scheme, the procedures that must be applied in relation to them and the collateral that must be required.
Derived from QFCRA RM/2010-06 (as from 1st January 2011)