Update For All Regulated Mutual Funds - Calculation Of Asset Values

Funds registered under the Mutual Funds Law (as amended) (the “Mutual Funds Law”) are obliged to have appropriate and consistent procedures for the purposes of proper valuations of their assets. The Cayman Islands Monetary Authority (“CIMA”) has published rules for the calculation of net asset values (the “Rule”) to ensure that the valuation of the assets of a fund is fair, complete, neutral and free from material error and verifiable. The rules are largely a reiteration of best practice and, in most cases, we do not expect mutual funds will need to make significant changes to their existing procedures or documentation.

NAV Calculation Policy

Mutual funds within the scope of the Rule must establish, implement and maintain written pricing and valuation practices, policies and procedures to calculate a fund's net asset value (“NAV”) in accordance with the Rules (the “NAV Calculation Policy”). The NAV Calculation Policy must include price sources, procedures for