XXXXX | Asia Responsible Transition Bond Fund

Important Notes

• The Fund invests primarily in debt securities and money market instruments issued by public or private issuers in Asian countries which are denominated in hard currency. An aggregate maximum of 60% of the Fund’s NAV may be invested in debt securities and money market instruments which are issued by non-corporate issuers and denominated in hard currency.
• The Fund may invest in emerging markets and therefore is subject to emerging markets risk. Emerging markets may involve additional risks due to more uncertainties relating to their social, economic and political factors. Negative factors in the development of emerging markets may affect the value of the underlying securities and lead to a high degree of volatility.
• The Fund may invest up to 40% of the Fund’s net assets in debt securities and money market instruments that are below investment grade, and therefore may be subject to higher liquidity, credit, default and interest rate risks. The Fund may also invest more than 10 % and up to 25% of the Fund’s net assets in securities issued or guaranteed by a single sovereign issuer which is below investment grade and may be exposed to the risks derived from political, social and economic changes of the sovereign. The Fund is also subject to currency, currency hedging and concentration risks.
• The Fund may use financial derivative instruments (“FDIs”) for hedging, efficient portfolio management and/or investment purposes and therefore may be subject to higher counterparty, liquidity, valuation, volatility and over-the-counter transaction risks. The Fund may have a net derivative exposure of up to 50% of its net asset and may result in a significant loss of the Fund.
• In respect of the distributing shares, the Fund aims to pay dividend on a monthly basis. However, the distribution rate is not guaranteed. The Fund may at its discretion pay dividends out of the capital of the Fund. Dividends paid out of capital amount to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Such dividends may result in an immediate decrease in the net asset value of the relevant shares.
• The Fund’s ESG strategy is designed and utilised to help identify issuers that demonstrate the potential to have a positive environmental and social impact; however as with the use of any investment criteria in selecting a portfolio of issuers or securities, there is no guarantee that the criteria used by the Fund will result in the selection of issuers or securities that will outperform other issuers/securities, or help reduce risk in the Fund. Applying ESG-related considerations and goals to investment decisions is often qualitative and subjective by nature. Information used to evaluate the Fund’s application of ESG factors, like third-party data and other factors used to identify issuers in which to invest, may not be readily available, complete, or accurate, which could negatively impact the Fund’s performance or create additional risk in the Fund.
• The application of the exclusionary steps by the Manager may result in the Fund foregoing opportunities to buy certain securities when it might otherwise be advantageous to do so and/or selling securities due to their environmental and social characteristics when it might not be advantageous to do so.
• Investors should not solely rely on this document to make any investment decision. Please refer to the Prospectus and Key Fact Statement for details including the risk factors before making any investment decision.
• Investors should note that the target return is not guaranteed over a market cycle, a 12-month or any period and the Fund’s capital is at risk. Investors should also note that, over the course of a market cycle, there may be significant periods of time during which the performance of the Fund will deviate from the targeted return and the Fund may experience periods of negative return.