(1) For the purpose of Regulation 70 of the UCITS Regulations and the calculation of issuer concentration limits of a UCITS, a responsible person shall:
(a) include any net exposure to a counterparty generated through a securities lending or repurchase agreement, where net exposure means the amount receivable by a UCITS less any collateral provided by the UCITS;
(b) include exposures created through the reinvestment of collateral; and
(c) establish whether the exposure of the UCITS is to an OTC counterparty, a broker, a central counterparty or a clearing house.
(2) The position exposure of a UCITS, if any, to the underlying assets of an FDI, including an FDI that is embedded in transferable securities, moneymarket instruments or investment funds, when combined with positions resulting from direct investments:
(a) shall be calculated in accordance with paragraph (3); and
(b) shall not exceed the investment limits set out in Regulations 70 and 73 of the UCITS Regulations.
(3) For th