Examples of Physical Commodities in a sentence
A Commodity Interest or Physical Commodity owned, or a financial contract entered into, by the undersigned who is engaged primarily in the business of investing, reinvesting, or trading in Commodity Interests, Physical Commodities or financial contracts in connection with such business may be deemed to be held for Investment Purposes.
A Commodity Interest or Physical Commodity owned, or a Financial Contract entered into, by an Investor who is engaged primarily in the business of investing, reinvesting, or trading in Commodity Interests, Physical Commodities or Financial Contracts in connection with such business may be deemed to be held for investment purposes.
A Commodity Interest or Physical Commodity owned, or a financial contract entered into, by an Investor that is engaged primarily in the business of investing, reinvesting, or trading in Commodity Interests, Physical Commodities or financial contracts in connection with such business may be deemed to be held for Investment Purposes.
Investments in Physical Commodities Section 2.3 of NI 81-102 is being amended to permit conventional mutual funds to invest up to 10% of the fund’s NAV in silver, platinum and palladium (including certificates representing those precious metals).
The Federal Reserve should correct the definition of a Section 4(o) Infrastructure Asset to limit the scope of commodities to which such assets relate to Covered Physical Commodities.
Even if, contrary to the scope of the Proposed Rule, which in all other cases is limited to activities relating to Covered Physical Commodities, the Federal Reserve intended the definition of Section 4(o) Infrastructure Asset to cover infrastructure assets used for any kind of physical commodities, we believe that the scope of the proposed new capital requirements for such assets be tailored to their intended purpose.
The FHC should also carefully circumscribe, via policies and procedures, its business relationships with the Physical Commodities Handling Activities investee to ensure that its contractual covenants and course of dealing, in combination with the FHC’s role as a merchant banking investor, do not cause it to have de facto day-to-day management of the portfolio company.
RWA amounts for Covered Physical Commodities and infrastructure assets are already addressed under the Basel III operational risk rules to cover, among other things, the risk of legal liability.
While the Federal Reserve states that “[t]he proposed tighter limit would better account for the risks that activities involving physical commodities pose to the consolidated organization,”161 it offers no analytical justifications or empirical data to support, and we see no basis or support for, the Federal Reserve’s concern about the hypothetical risk arising from Covered Physical Commodities, much less from physical commodities that are not Covered Physical Commodities.
See Advance Notice of Proposed Rulemaking, Complementary Activities, Merchant Banking Activities, and Other Activities of Financial Holding Companies related to Physical Commodities, 79 Fed.