BPI Alternative Fund Iberian Equities Long/Short Fund - R EUR ACC

The investment objective of the Sub-Fund is to provide investors with medium to long-term capital appreciation by investing in two strategies: i) The first and main strategy consists of offering access to a portfolio composed of Iberian units whose performance is related with the relative performance of these units and not with the absolute performance of the markets in which they are inserted. This strategy consists of the elaboration of a long portfolio (long positions in shares and shares/indices derivatives) and a short portfolio (short positions obtained through recourse to derivatives). This strategy will have a 'market neutral' bias. ii) The second strategy goal is to take advantage of clear and defined equity market tendencies. It will have a directional logic taking advantage of the midterm market trends. Exposure to equity risk that is not Iberian will be made exclusively through derivatives on indices. The Sub-Fund aims to produce returns by investing in multiple asset classes including shares, bonds with share subscription rights or another type of security that grants a subscription right of shares, Exchange-Traded Funds ('ETFs'), and shortterm assets (namely certificates of deposit, commercial paper, deposits). Up to 10% of the Sub-Fund's net asset value may be invested in other UCITS which have similar investment policies. The Sub-Fund may also use derivatives for the purposes of hedging and efficient portfolio management. The Sub-Fund is authorized to use unfunded total return swaps in which the underlying assets are equities such as those described previously. The purpose of such use of these derivatives is to replicate the economic pay out of a short equity position on single stocks. The maximum proportion of Assets Under Management ('AUM') that can be subject to them is 100%, and the expected proportion of AUM (expressed as the sum of notionals) that will be subject to each of them is 50%. Collateral received by the Sub-Fund may only consist of cash.