Recital 3

(3)Having regard to the investment objectives and redemption policies of a UCITS, the threshold for activating a redemption gate should be determined at the level of the UCITS. In line with the guidance of the International Organization of Securities Commissions for liquidity risk management of open-ended funds ² , the determination of the activation threshold of redemption gates should consider the aggregate net or gross redemption orders at the level of the UCITS for a given dealing date or over a specified period and the activation threshold should be expressed as a percentage of the net asset value of the UCITS. Where the activation threshold is exceeded, a UCITS should be able to decide to activate redemption gates or to still execute redemption orders, having regard to its liquidity, the market conditions and the best interests of investors.