富邦基金 | Fubon Fund Management

Investment involves risks. Investment value may rise or fall. Past performance information presented is not indicative of future performance. Investors should refer to the Explanatory Memorandum and the Product Key Facts Statement for further details, including product features and risk factors. Investors should not base on this material alone to make investment decisions.

• Fubon FTSE Taiwan Daily (2x) Leveraged Product and Fubon FTSE Taiwan Daily (-1x) Inverse Product (hereafter each referred to as “Product” and collectively as “Products”) are sub-funds of Fubon Leveraged & Inverse Series, an umbrella unit trust established under Hong Kong law. Units of the Products (the “Units”) are traded in HKD on The Stock Exchange of Hong Kong Limited (the “SEHK”) like stocks. The Products use a futures-based investment strategy, which invests directly in spot month SGX FTSE Taiwan Index Futures traded on the Singapore Exchange (“SGX”), so as to give the Products twice (2x) / one time inverse (-1x) of the Daily performance of the FTSE Taiwan RIC Capped Index (the “Underlying Index”) respectively. The Products are denominated in HKD. Creations and redemptions are in HKD only. The Products only target sophisticated trading-oriented investors who understand the potential consequences of seeking daily leveraged/inverse results and the associated risk and constantly monitor the performance of their holdings on a daily basis.
• The Products are derivative products and are not suitable for all investors. There is no guarantee of the repayment of principal. Therefore your investment in the Products may suffer substantial or total losses.
• The Products are not intended for holding longer than one day as the performance of the Product over a period longer than one day will very likely differ in amount and possibly direction from the leveraged/inverse performance of the Underlying Index over that same period. The effect of compounding becomes more pronounced on the Product’s performance as the Underlying Index experiences volatility.
• The Product does not seek to achieve its stated investment objective over a period of time greater than one day.
• Investing in the leveraged product is subject to the general market risk of equity investment, its value will be fluctuated because of multiple factors. Investing in the inverse products is different from taking a short position. Because of rebalancing, the return profile of the inverse products is not the same as that of a short position. Risk investment outcome of the Inverse Product is the opposite of conventional investment funds. If the value of the Underlying Index increases for extended periods, the Inverse Product will likely lose most or all of its value.
• As a result of daily rebalancing, the Underlying Index’s volatility and the effects of compounding of each day’s return over time, it is even possible that the Products will lose money over time while the Underlying Index’s performance falls/decreases or is flat.
• The Underlying Index is a new Index. The Products may be riskier than other exchange traded funds tracking more established indices with longer operating history.
• The Product’s investments are concentrated in a specific geographical location (i.e. Taiwan). The value of the Product may be more volatile than that of a fund having a more diverse portfolio of investments. The value of the Product may be more susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory event affecting the Taiwan market.
• The Underlying Index constituents are companies listed on the Taiwan Stock Exchange which is an emerging market. Investments of the Product may involve increased risks and special considerations not typically associated with an investment in more developed markets, such as liquidity risks, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk and the likelihood of a high degree of volatility.
• The trading price of the Units on the SEHK is driven by market factors such as the demand and supply of the Units. Units may trade at a substantial premium or discount to the NAV.
• Prices of the Products may be more volatile than conventional ETFs because of the use of leverage and the daily rebalancing activities and the leverage effect.
• The Products involve investment risk, leverage and inverse performance risk, long term holding risk, inverse product vs. short selling risk, unconventional return pattern risk, risk related to rebalancing activities, liquidity risk, intraday investment risk, portfolio turnover risk, futures contracts risks, trading time differences risk, difference in price limit risk, volatility risk, Taiwan market risks, concertation risk, currency risk, passive investments risks, trading risks, tracking error and correlation risks, termination risk, reliance on market maker risks.
• This product is designed to be used for short term trading or hedging purposes, and it is not intended for long term investment.
  

Please note that the above listed investment risks are not exhaustive and investors should read the Prospectus and Product Key Facts Statement in detail before making any investment decision. Investor should not make any investment decision solely based on the information on this presentation alone. Please read the relevant offering documents for details including the risk factors before making any investment decisions. If necessary, you should seek independent professional advice.