Investment declaration

Investment declaration

The Fund's objective is receiving stable returns considerably exceeding the level of inflation and national currency devaluation through medium-term investment primarily into the shares of Ukrainian companies with growth potential higher than market average.

The Fund adheres to the aggressive strategy of receiving the maximum returns under high level of risk. In order to lower risks and reach the high level of portfolio diversification, not more than 5% of the Fund's net asset value should be invested into securities of one issuer.

The asset allocation is as following:

• from 50% to 90% – shares of the Ukrainian companies
• no less than 10% – bank deposits or cash.

According to the Fund's objective, the asset management company will adequately react on the constantly changing situation on the stock market.

When market dynamics is unfavorable, the assets can be invested into the fixed income securities, «repurchase agreement» transactions, deposits, but shares should amount to not less than 50% of the fund’s portfolio.

The benchmark is the relative stock exchange index.

According to the Fund's objective, the asset management company follows the strategy of the active investment management, taking decisions on buying and selling the securities on the basis of economic, financial and market analysis and investment estimates.

The Fund’s portfolio will be comprised of the shares of the leading domestic companies of metallurgy, energy, machine building and other sectors of economy. Popularity of such shares on the stock market will enable to be more flexible and mange the Fund’s investment portfolio effectively, realizing growth potential in short-term perspective. With time the Fund will expand its industry equity breakdown.

The levels of losses and gains’ step-by-step fixation will be determined for each position.

The assets will be bought primarily for a long-term period, though the asset management company will adequately react on the constantly changing situation on the stock market and make the maximum use of arising investment possibilities due to the Ukrainian stock market imperfection as well as put the arbitrage possibilities into practice. The daily monitoring of the portfolio and active reallocation of Fund's assets from securities with the reduced price growth potential into instruments offering better perspectives will also be performed.

The Fund's high liquidity is guaranteed by legislature and is ensured by the obligation of the asset management company to redeem investment certificates from Fund’s investors anytime based on the net asset value (plus 1% agent's fee) and make settlements with investors in 7 working days.

The payment of dividends and circulation of the investment certificates at the secondary market is not stipulated by legislature.

The Fund's lifetime is unlimited. Investing being a dynamic process, the Fund’s investment strategy could be revised in future. The changes will be considered legitimate only with the approval of the Supervisory Board, elected from the Fund’s participants.

The asset management company highlights that investors solely carry the risk of the investment certificate value decline. Representations of any party about appreciation of investment certificates in the future should be considered as assumptions only. Value of investment certificates may go up or down. Historic performance of investment certificates does not determine future gains.