[The Auditors Institute Ltd]

Hello Dawood

Where a fund is lending money to a non-related party, such as an unlisted unit trust, the loan should be properly documented and I would agree that interest should be paid at least once a year.

The loan does not necessarily have to be secured against real property, but if real property is not provided as security, then this should be reflected in the interest rate.

Happy to hear the thoughts of other auditors on this matter.

Best regards

The Auditors Institute