IMPORTANT: Investment involves risk, including the loss of principal. Investors should refer to the Prospectus and Key Facts Statement of the Premia Dow Jones Emerging ASEAN Titans 100 ETF (“ETF”) for details, including the risk factors. Investors should not base investment decisions on this marketing material alone. Investors should note:
The ETF aims to provide investment results that, before fees and expenses, closely correspond to the performance of Dow Jones Emerging ASEAN Titans 100 Index (“Index”). There can be no assurance that the ETF will achieve its investment objective.
Emerging markets risk The Sub-Fund invests in emerging markets which may involve increased risks and special considerations not typically associated with investment in more developed markets, such as liquidity risks, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk, currency devaluation, inflation and the likelihood of a high degree of volatility.
Risk associated with small-capitalisation/mid-capitalisation companies The stock of small-capitalisation/mid-capitalisation companies may have lower liquidity and their prices are more volatile to adverse economic developments than those of larger capitalisation companies in general.
Southeast Asian markets suspension of trading risk Some Southeast Asian stock exchanges may have the right to suspend or limit trading in any security traded on the relevant exchange. The government or the regulators may also implement policies that may affect the financial markets.
Foreign investments restrictions risks Some Southeast Asian countries prohibit or restrict foreign investment, or the repatriation of income, capital or the proceeds from sale of Securities. The Sub-Fund may incur higher costs investing in these countries. These restrictions may limit the Sub-Fund’s ability to invest in these countries, delay the investment or repatriation of capital and impact its ability to track the performance of the Index.
Distributions out of or effectively out of capital risk The Manager may at its discretion make distributions out of capital and/or out of gross income while all or part of the fees and expenses of the Sub-Fund are charged to/paid out of the capital of the Sub-Fund, resulting in an increase in distributable income for the payment of distributions by the Sub-Fund and therefore, the Sub-Fund may effectively pay distributions out of the capital. Any distributions involving payment of distributions out of or effectively out of the Sub-Fund’s capital may result in an immediate reduction of the Net Asset Value per Unit.
Other currency distributions risk All Units will receive distributions in the base currency (USD) only. If the relevant Unitholder has no USD account, the Unitholder may have to bear the fees and charges associated with the conversion of such distribution from USD to HKD or any other currency, or bank or financial institution fees and charges associated with the handling of the distribution payment.
Trading hours differences risk As the stock exchanges on which the Index constituents are listed may be open when Units in the Sub-Fund are not priced, the value of the Securities in the Sub-Fund’s portfolio may change on days when investors is unable to purchase or sell the Sub-Fund’s Units. The market price of underlying Securities listed on the above stock exchanges established outside Hong Kong may not be available during part or all of the SEHK trading sessions due to trading hour differences which may result in the trading price of the Sub-Fund deviating away from the Net Asset Value.