Holding Restrictions – Investment Funds – Sweden
Restrictions on customers
No general restrictions on customer residency for holdings of investment funds held through CBL. However, certain funds may impose specific restrictions on investor domicile or category. Customers must refer to and abide by the restrictions (if any) contained in the fund prospectus before entering into transactions.
Restrictions on settlement
There are no general restrictions on settlement for Swedish investment funds through CBL. However, certain funds may impose specific settlement/transfer restrictions. Customers must refer to and abide by the restrictions (if any) contained in the fund prospectus before entering into transactions.
Restrictions on nominee rights
Under Swedish law, a nominee can exercise financial rights such as subscriptions, redemptions, and depending on each Investment Fund’s rules, the right to receive dividend entitlements. For the avoidance of doubt, as the fund unit holder in a mutual fund has no voting right attached to their fund units, nor has the nominee. However, for closed-ended funds structured as limited partnership companies the voting rights may be provided under certain condition, depending on the content of the agreement.
The information contained in the Holding Restrictions is based on the legal opinion obtained by CBL that was issued on 26 October 2018. CBL believes the information to be correct as of that date but disclaims any responsibility as to the accuracy and completeness of the information after that date. In the case of discrepancy between the information provided by CBL and the local laws and regulations, the latter shall prevail. The Holding Restrictions do not constitute legal advice and customers should seek advice from independent professional counsel.
Customers are responsible for ensuring compliance with the holding restrictions and agree to indemnify and hold harmless, CBL, for any loss, expense, liability, damage or claims, whether direct or indirect, against or incurred by CBL arising out of or resulting from such non-compliance.