What is a common consequence of participating in UITF transactions after the cut-off time?

When participating in UITF transactions, cut-off times are crucial because they determine when a transaction will be processed relative to the net asset value per unit (NAVPU) of the fund. If an investment is made after the cut-off time, it does not get processed until the next business day. This means that the investor will have their investment valued at the next day’s NAVPU rather than the current day’s NAVPU, leading to a delay in the execution of the transaction.

This mechanism is important for both fund managers and investors as it ensures that all transactions are processed fairly and at a consistent value, which aligns with the fund's governance policies. This rule protects the integrity of the fund's pricing structure and ensures equal treatment of all investors. Therefore, the correct understanding of how transactions are managed post cut-off time is crucial for any investor looking to navigate UITF investment effectively.