discretionary participation feature

A contractual right to receive, as a supplement to guaranteed benefits, additional benefits:

1. that are likely to be a significant portion of the total contractual benefits;
2. whose amount or timing is contractually at the discretion of the issuer; and
3. that are contractually based on:
   1. the performance of a specified pool of contracts or a specified type of contract;
   2. realised and/or unrealised investment returns on a specified pool of assets held by the issuer; or
   3. the profit or loss of the company, fund or other entity that issues the contract.

(According to International Accounting Standards IFRS 4)