Ordinance of the Swiss Financial Market Supervisory Authority on Collective Investment Schemes

Only col­lat­er­al that meets the fol­low­ing re­quire­ments may be ac­cep­ted:

a.

It is highly li­quid and is traded at a trans­par­ent price on an ex­change or oth­er reg­u­lated mar­ket open to the pub­lic. It can be dis­posed of at short no­tice at a price close to the valu­ation un­der­taken pri­or to sale.

b.

It is val­ued at least on each trad­ing day. Where price volat­il­ity is high, suit­able con­ser­vat­ive se­cur­ity mar­gins must be ap­plied.

c.

It is not is­sued by the coun­ter­party or by a com­pany that be­longs to or is de­pend­ent on the coun­ter­party’s group.

d.

The cred­it qual­ity of the is­suer is high.