Trade Allocation Policy Clause Samples
A Trade Allocation Policy clause defines how trades or investment opportunities are distributed among multiple clients or accounts managed by an investment manager or firm. Typically, this clause outlines the criteria and procedures for allocating trades fairly and equitably, such as pro-rata distribution or rotation methods, and may address how partial fills or limited opportunities are handled. Its core function is to ensure transparency and fairness in the allocation process, thereby preventing favoritism and managing potential conflicts of interest among clients.
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Trade Allocation Policy. The Manager’s trading policies are governed by the principle of fair allocation of investment opportunities. This allocation policy applies to all Bridging funds which are internally managed. Investments will be allocated on a basis believed to be fair and equitable; no fund will receive preferential treatment over any other. The portfolio management team will take steps to ensure that no fund will be systematically disadvantaged by the aggregation, placement, or allocation of investments. In order to ensure fairness in the allocation of investment opportunities among the funds managed and sub-advised by the Manager, the Manager will allocate investment opportunities in compliance with securities regulations and with consideration to the prime determinants of market exposure, cash availability and industry sector exposure and with regard to the suitability of such investments to each fund. In determining the suitability of each investment opportunity to a fund, consideration will be given to a number of factors, the most important being the fund’s investment objectives and strategies, existing portfolio composition and cash levels. Where an investment opportunity is suitable for two or more funds the Manager will allocate the opportunity equitably in order to ensure that funds have equal access to the same quality and quantity of investment opportunities, and in determining such allocations will consider a variety of factors and principles, including, but not limited to, the following: • Legal and regulatory restrictions. • The need within a particular fund for liquidity. • Other investment opportunities that may be available to a fund. • The duration of investments in a fund portfolio. • Each fund’s own investment restrictions. • Where allocation of an investment opportunity would be insufficient to make up a meaningful portion of an individual fund’s portfolio. • Transactions are allocated promptly • Cash availability The allocation for each participation must be documented by the compliance department. Taking into consideration the prime determinants described below and/or specific fund objectives and restrictions, certain investments will not be allocated across all funds. If any deviation from the investment trade allocation policy is noted, the credit committee is notified in writing. Any corrective action to be taken or follow-up explanations will be noted in writing. Prime Determinants: (i) Portfolio duration; (ii) Investment suitability; (iii) Inv...
Trade Allocation Policy. The Manager’s trading policies are governed by the principle of fair allocation of investment opportunities. This allocation policy applies to all investment funds which are internally managed by the Manager. Investments will be allocated on a basis believed to be fair and equitable; no fund will receive preferential treatment over any other. The portfolio management team will take steps to ensure that no fund will be systematically disadvantaged by the aggregation, placement, or allocation of investments.
Trade Allocation Policy. The Manager may not aggregate sales and purchase orders of securities placed with respect to the Account with similar orders being made simultaneously for other accounts managed by the Manager. It is the policy of the Manager that investments may not be allocated to one client account over another based on any of the following considerations:
(a) to favor one client account at the expense of another,
(b) to generate higher fees paid by one client account over another or to produce greater performance compensation to the Manager,
(c) to develop or enhance a relationship with a client or prospective client,
(d) to compensate a client for past services or benefits rendered to the Manager or to induce future services or benefits to be rendered to the Manager, or
(e) to manage or equalize investment performance among different client accounts.
Trade Allocation Policy. 18.3.1 The Manager may not aggregate sales and purchase orders of securities placed for the Company with similar orders being made simultaneously for other accounts managed by the Manager. The Manager shall not allocate investments to one client account over another based on any of the following considerations:
(a) to favor one client account at the expense of another,
(b) to generate higher fees paid by one client account over another or to produce greater performance compensation to the Manager,
(c) to develop or enhance a relationship with a client or prospective client,
(d) to compensate a client for past services or benefits rendered to the Manager or to induce future services or benefits to be rendered to the Manager, or
(e) to manage or equalize investment performance among different client accounts.
Trade Allocation Policy. The Advisor’s trading policies are governed by the principle of fair allocation of investment opportunities. This allocation policy applies to all Bridging funds which are internally managed. Investments will be allocated on a basis believed to be fair and equitable; no fund will receive preferential treatment over any other. The portfolio management team will take steps to ensure that no fund will be systematically disadvantaged by the aggregation, placement, or allocation of investments.