Document ID: chunk:federal_register_of_legislation:F2023L01564:reg:9
Version: federal_register_of_legislation:F2023L01564
Segment Type: reg
Provision Reference: reg 9
Character Range: 6018–7141

9  Portfolio risk
 (1) In targeting the portfolio benchmark return, the Corporation must:
 (a) operate with a commercial approach, including by undertaking appropriate due diligence, credit and investment risk assessment processes; and
 (b) seek to develop the Corporation's portfolio so that it will be diversified and have, in aggregate, an acceptable but not excessive level of risk.
 (2) The level of risk deemed acceptable by the Corporation may be higher than the risk tolerance of commercial banks and private sector investors, if this higher risk tolerance supports the objects of the Act and this instrument.
 (3) Subject to subsection (1), the Corporation may consider that higher risks than are acceptable for other investments would be appropriate for:
 (a) investments in emerging technologies and industries; or
 (b) investments that support Australia's strategic interests; or
 (c) investments with long-term payback periods.
 (4) The Corporation must periodically review the Corporation's investment and operational practices for the purposes of managing the risk of the Corporation's portfolio over time.