Alquity SICAV - VAM Fundamental Emerging Markets Equity Fund - PB GBP ACC Fonds

The investment objective of this sub-fund is to achieve the highest possible return in the reference currency, while taking due account of the principle of risk diversification, the security of the capital invested, and the liquidity of the invested assets. In order to achieve its investment objective, at least two-thirds of this sub-fund's assets are invested in equities and equity-type securities (American depository receipts, global depository receipts, profit-sharing certificates, dividend rights certificates, participation certificates, etc.) of companies which are domiciled in or carry out the bulk of their business activities in emerging countries worldwide. In this context, emerging countries and developing markets are defined as countries which are not classified by the World Bank as high income countries. In addition, high income countries which are included in an emerging market financial index of a leading service provider may also be considered as emerging countries and developing markets if deemed appropriate by the Management Company in the context of this sub-fund's investment universe. This sub-fund may in particular invest up to one-third of its total assets, on a worldwide basis and in any currency, in sight deposits or other callable deposits set out in in Appendix I (Investment Restrictions) and Appendix II (Financial Techniques and Instruments), or in money market instruments also set out in Appendix I and II, or in other liquid instruments. For hedging purposes and in the interest of the efficient management of the portfolio, the aforementioned investments may also be effected by way of derivatives, such as futures and options on equities, equity-type securities and equity indices of companies which are domiciled in or carry out the bulk of their business activities in emerging countries worldwide, provided the limits set out in Appendix I (Investment Restrictions) and Appendix II (Financial Techniques and Instruments), are observed. In addition, this sub-fund may, subject to the policies set out above, invest in structured products (certificates, notes) on equities, equity-type securities, equity baskets and equity indices of companies in emerging countries worldwide that are sufficiently liquid and issued by first-class banks (or by issuers that offer investor protection comparable to that provided by first class banks). These structured products must qualify as securities pursuant to Article 41 of the Law of December 17, 2010. These structured products must be valued regularly and transparently on the basis of independent sources. Structured products must not entail any leverage effect. As well as satisfying the regulations on risk spreading, the equity baskets and equity indices must be sufficiently diversified.