A collective investment scheme which invests in futures and options and other derivative instruments and which provides for the protection of capital invested in the scheme over a given period (not greater than seven years) can only be authorised as a non UCITS fund.

Before authorising this scheme, the Financial Regulator must be satisfied that the investment advisors have specific experience in this area. The liability of each fund must be limited to the fund itself or in the case of a sub-fund of an umbrella schema to the net assets of that sub-fund. The Financial Regulator Notice NU 20 specifies further the restrictions in this type of scheme.