The value of investments can fall as well as rise and investors might not get back the sum originally invested.
Investment in Funds
The investment policy of a strategy may allow the strategy to invest directly and indirectly in units of collective investment schemes, principally ETF’s. Investors should consider the investment policy and asset composition of the underlying funds when assessing their portfolio exposure.
Where investments are made in assets that are denominated in multiple currencies, changes in exchange rates may affect the value of the investments.
No capital guarantee
Positive returns are not guaranteed, and no form of capital protection applies.
The strategies may invest in instruments where the value would be significantly affected if the issuer refuses to pay, is unable to pay, or is perceived to be unable to pay its obligations under the instruments.
Interest rate risk
Changes in interest rates are likely to affect the value of instruments held by the strategies. In general, as interest rates rise, the price of a fixed-rate bond will fall, and vice versa.
Investment in derivatives
The investment policy of a strategy may allow it to invest materially in derivatives.
The value of a strategy may exhibit significant volatility. The strategy may also invest in instruments that are sensitive to changes in volatility of financial instruments.
Inflation is likely to reduce the real value of capital and income over time.