1. A redemption in kind shall correspond to the transfer of assets held by the UCITS to redeeming investors instead of cash to meet redemption orders. The transfer of assets to investors may be direct, or indirect via intermediaries.
2. The delivery, during the course of regular dealing activities of an exchange-traded UCITS, in whole or in part of underlying securities held by, or on behalf of, the exchange-traded UCITS to an authorised participant or market-maker to satisfy redemption orders shall not be considered an activation of the redemption in kind referred to in point 8 of Annex IIA to Directive 2009/65/EC.