Aberdeen Global V - Aberdeen Asset Management

Appendix A - Calculation of Net Asset Value continued(2) shares or units in undertakings for collectiveinvestment the issue or redemption of which isrestricted and in respect of which a secondarymarket is maintained by dealers who, as principalmarket-makers, offer prices in response to marketconditions may be valued by the Board of Directorsin line with such prices;(3) the value of any cash on hand or on deposit, billsand demand notes and accounts receivable, prepaidexpenses, cash dividends and interest declared oraccrued as aforesaid and not yet received shall bedeemed to be the full amount thereof, unless in anycase the same is unlikely to be paid or received infull, in which case the value thereof shall be arrivedat after making such discount as Aberdeen Global Vmay consider appropriate in such case to reflect thetrue value thereof;(4) the value of securities (including a share or unit in aclosed-ended undertaking for collective investment)and/or financial derivative instruments which arelisted on any official stock exchange or traded onany other organised market at the last availablestock price. Where such securities or other assetsare quoted or dealt in or on more than one stockexchange or other organised markets, the Directorsshall select the principal of such stock exchanges ormarkets for such purposes;(5) in the event that any of the securities held inAberdeen Global V’s portfolio on the relevant dayare not listed on any stock exchange or traded onany organised market or if with respect to securitieslisted on any stock exchange or traded on any otherorganised market, the price as determined pursuantto sub‐paragraph (4) is not, in the opinion of theBoard of Directors, representative of the fair marketvalue of the relevant securities, the value of suchsecurities will be determined prudently and in goodfaith based on the reasonably foreseeable sales priceor any other appropriate valuation principles;(6) the financial derivative instruments which are notlisted on any official stock exchange or traded onany other organised market will be valued in areliable and verifiable manner;(7) swap contracts will be valued according to generallyaccepted valuation rules that can be verified byauditors. Asset based swap contracts will be valuedby reference to the market value of the underlyingassets. Cash flow based swap contracts will bevalued by reference to the net present value of theunderlying future cash flows;(8) in respect of shares or units of an undertaking forcollective investment held by Aberdeen Global V,for which issues and redemptions are restricted anda secondary market trading is effected betweendealers who, as main market makers, offer pricesin response to market conditions, the board ofdirectors may decide to value such shares or units inline with the prices so established;(9) the value of any security or other asset which is dealtprincipally on a market made among professionaldealers and institutional investors shall be determinedby reference to the last available price;(10) any assets or liabilities in currencies other than thecurrency of the classes of shares will be convertedusing the relevant spot rate quoted by a bank orother responsible financial institution;(11) in circumstances where the interests of AberdeenGlobal V or its shareholders so justify (avoidanceof market timing practices, for example), the Boardof Directors may take any appropriate measures,such as applying a fair value pricing methodologyto adjust the value of Aberdeen Global V’s assets,as further described herein. Such fair value pricingmethodology will be determined in accordance withprocedures established by and under the generalsupervision of the Board. When Aberdeen GlobalV uses fair value pricing, it may take into accountany factors it deems appropriate. Aberdeen Global Vmay determine fair value based upon developmentsrelated to a specific security or current valuations ofmarkets. The prices of securities used by AberdeenGlobal V to calculate its Net Asset Value may differfrom quoted or published prices for the samesecurities. Fair value pricing involves subjectivejudgments and it is possible that the fair valuedetermined for a security is materially different thanthe value that could be realized upon the sale ofthat security;(12) if any of the aforesaid valuation principles donot reflect the valuation method commonlyused in specific markets or if any such valuationprinciples do not seem accurate for the purposeof determining the value of the Aberdeen GlobalV’s assets, be it for a class of shares only, the Boardof Directors may fix different valuation principlesin good faith and in accordance with generallyaccepted valuation principles and procedures.30 Aberdeen Global V Prospectus