Paragraph 1: General-purpose investment funds.

I. – The rules governing the composition of assets and the division of risks must be complied with at all times. However : 1° General-purpose investment funds are not required to comply with the limits laid down in articles R. 214-32-29 to R. 214-32-40 when exercising subscription rights relating to financial securities or money market instruments which form part of their assets; 2° Newly authorised general-purpose investment funds may derogate…

I. – A formula-based general-purpose investment fund is a general-purpose investment fund that meets the following two conditions: 1° It is managed passively and its management objective is to reach, at the end of a given period, an amount determined by the mechanical application of a predefined calculation formula referring to financial market indicators or financial instruments and, where applicable, to distribute the remuneration predefined in the regulatory documents; 2°…

I. – A general purpose investment fund may not borrow. It may, however, acquire foreign currency by means of cross-currency loans. II. – By way of derogation from I, a general-purpose investment fund may borrow provided that such borrowings : 1° Are used on a temporary basis and represent a maximum of 10% of its assets ; 2° are used to acquire property necessary for the direct pursuit of its…

The general-purpose investment fund ensures that its overall risk relating to financial contracts does not exceed the total net value of its portfolio. The overall risk is calculated taking into account the current value of the underlying assets, the counterparty risk, future market trends and the time available to liquidate positions. For feeder general-purpose investment funds, this calculation also takes into account the overall risk of the master AIF or…

A general-purpose investment fund governed by this paragraph may invest : 1° Up to all of its assets in : a) Units or shares of French or foreign UCITS ; b) Units or shares of general-purpose investment funds covered by this paragraph or general-purpose professional funds mentioned in article R. 214-190 which do not make use of the exemptions provided for in V of article R. 214-192 and in article…