Term

The term of a Liquidity Note refers to the predefined duration during which the Liquidity Note operates under its specified conditions, culminating in its maturity date. This period defines the active phase of the Liquidity Note, during which features such as downside protection, upside boost, and yield distribution are in effect.

Rationale

• Predictability: Establishing a fixed term provides clarity on the investment horizon, enabling investors to make informed decisions based on their financial goals and risk tolerance.

• Risk Management: A defined term allows the project to manage its obligations effectively, ensuring that downside protection and upside boost features are sustainable over the investment period.

• Flexibility: By offering options at maturity, such as redemption or rollover, the term structure accommodates varying investor preferences and market conditions.