1)Investment in the E Fund Investment Fund Series – E Fund (HK) Greater China US Dollar Bond Fund (the “Sub-Fund”) is subject to normal market fluctuations and other risks inherent in the Sub-Fund’s assets. Accordingly, there is a risk that you may not recoup the original amount invested in the Sub-Fund or may lose a substantial part or all of your investment.
2)The Sub-Fund invests primarily in a portfolio of USD denominated offshore debt securities issued or traded in the Hong Kong and/or Singapore and/or other debt securities markets which provide long term capital appreciation for investors and may be subject to a) Investment risk, b) Risks associated with investment in Greater China, c) Emerging markets risk, d) Foreign exchange risk, e) RMB currency risk and RMB denominated classes risk, f) Hedged RMB denominated classes risk, g) Risks relating to debt securities (including Credit risk, Downgrading risk , Credit rating risk, Interest rates risk, Valuation risk, Volatility and Liquidity risk and Sovereign debt risk), h) “Dim sum” bond risk, i) Urban investment bond risk, j) Hedging/derivative risk, and k) Risks relating to distribution out of capital.
3)The Sub-Fund may invest in derivatives for hedging purposes and in adverse situations its use of financial derivative instruments may become ineffective and/or cause the Sub-Fund to suffer significant loss.
4)The Manager intends to make dividend distribution on a monthly basis in respect of the distribution class(es), subject to the Manager’s discretion. Distributions of the Sub-Fund may be paid out of capital or effectively out of capital. Investors should note that payment of distributions out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment and such distributions will result in an immediate reduction of the net asset value of the relevant units. Dividend rate is not indicative of fund performance. A positive dividend yield does not imply a positive return. Past dividend rate is not indicative of future dividend rate. The distribution amount and net asset value of the hedged unit class may be adversely affected by differences in the interest rates of the class currency of the hedged unit class and the Sub-Fund’s base currency, resulting in an increase in the amount of distribution that is paid out of capital and hence a greater erosion of capital than other non-hedged unit classes.
5)You should not invest in the Sub-Fund unless the intermediary who sells it to you has explained to you that the Sub-Fund is suitable for you having regard to your financial situation, investment experience and objectives.
6)Investors should not invest in the Sub-Fund based on this document alone. Before making any investment decision, the investor should read the Sub-Fund’s offering documents carefully including the risk factors.
