Pure Fixed Income Opportunities - RD A bond fund This information is valid at 18/11/2024

A flexible approach to bond investment.

“In an environment that has become a bit difficult for traditional bond investors, rigid and passive investment strategies are unsatisfactory. The Sub-fund have addressed the need to broaden the spectrum of potential sources of return and decorrelation within the bond universe, and to actively realign the portfolio with the outlook for market opportunities. Always with full awareness of the risks involved and a strong focus on diversification”.

Investment objective and policy

This sub-fund’s objective is to maximize the return on investments in global bond and money markets.

The investment policy offers the broadest possible access to all available opportunities in fixed-income markets, with no restrictions as to type of financial instrument, maturity, credit rating or currency.

The sub-fund's core strategy is to invest in a diversified portfolio of debt securities. The portfolio’s allocation between the various segments of the money and bond markets (or between the various types of mutual funds that invest in bond and money market instruments) may be significantly modified in accordance with macroeconomic and financial market fundamentals, while also taking quantitative analysis criteria into account. Asset allocations by geographic region, economic sector, credit rating and maturity may therefore change substantially.

More specifically, there are no limits to the allocations of fixed-rate, floating-rate, convertible or inflation-linked bonds, transferable debt securities, or government bonds and notes, including those of the emerging countries.

However, the investment manager may invest no more than 20% of the sub-fund’s assets in contingent convertible bonds, and no more than 70% in contingent convertible bonds and other hybrid financial and non-financial sector bonds. The sub-fund is actively managed and with no reference to a benchmark.

Cash and cash equivalents may potentially account for up to 100% of the sub-fund’s net asset value.

Investor profile

This sub-fund is intended for all investors who are looking for interest rate, credit and currency opportunities in bond and money markets.

Investors much have an investment horizon of more than three years.

Important information for investors:

The chart and returns shown below refer to past performance and do not constitute a reliable indicator for the future. This sub-fund does not offer a capital guarantee. Before investing, you should always read the PRIIPS-KID and the prospectus.

The change in net asset value and returns indicated are net of management fees, performance fees and any other fees and charges which, as indicated in the prospectus, are borne by the sub-fund. They do not include any subscription fees that may be paid to the distributor, nor any annual custody fees that may be deducted by the custodian, nor any taxes for which the investor may be liable. The returns indicated are calculated in EUR and are based on the sub-fund’s share price or Net Asset Value (NAV).

Source: Pure Capital

The Summary Risk Indicator (SRI), in accordance with the Key Information Document (PRIIPS-KID), allows the level of risk of this product to be assessed in relation to others. It indicates the likelihood of losses in the event of market movements or the sub-fund's inability to pay you. This indicator ranks the risk on a scale of 1 to 7. A low score indicates lower risk but potentially lower return. A higher score will lead to higher risk but potentially higher return.

The level of risk indicated is not a guarantee and may change over time. It also assumes that you keep the product for minimum 3 years. The risk may be significantly different if you sell the product at an early stage and you may get a lower return.

Main risks

• Interest rate risk. An increase in interest rates may cause the value of the sub-fund’s bonds to decrease.
• Credit risk. An issuer may be unable to meet its obligations. If an issuer’s solvency position deteriorates, the value of the issuer’s bonds or of derivative instruments that are linked to this issuer may decrease.
• Counterparty risk. The sub-fund may suffer losses if a counterparty defaults and is unable to meet its obligations, particularly if the transaction with the counterparty involves over-the-counter derivatives.
• Exchange rate risk. The risk that the exchange rate of a given currency may vary with respect to that of another currency over the near or medium term.
• The risk of using certain financial techniques. The use of complex products, such as derivative contracts, may amplify changes in the price of the sub-fund’s securities.
• The risk of investing in contingent convertibles (CoCo’s). CoCo’s expose investors to various risks, such as loss absorbency, price fluctuations, trigger risk and conversion risk.
• Liquidity risk. The sub-fund invests in markets which may be adversely affected by a decrease in liquidity. These market conditions may affect the price at which the asset manager buys or sells a given security.
• Discretionary management risk. Since the investment strategy is based on projected changes in the various markets, there is a risk that the sub-fund may not be invested in the best-performing markets at any one time.
• Operational risk. The risk of an error or wrongdoing on the part of a party involved in the management, valuation and/or custody of the sub-funds assets.

Details

• Name: PCFS – Pure Fixed Income Opportunities - RD
• Classification: Flexible bond management - Global
• ISIN code: LU1453404979
• Bloomberg ticker: PUREFRD LX Equity
• Type: Undertaking for collective investment in transferable securities (UCITS)
• Legal form: A sub-fund of the “PCFS” Luxembourg SICAV fund
• Inception date: 08/10/2020
• NAV on inception: €100
• Currency: EUR
• Benchmark index: None
• Share type: Distribution
• Term: Indefinite
• Minimum recommended investment horizon: 3 years
• Investor type: Retail investors, individuals and corporate entities
• Management company: Pure Capital S.A. – A Luxembourg-based management company
• Auditor: PwC Luxembourg
• NAV publication: Website, Bloomberg, Morningstar and Beama.be

Fees

• Management fee and other administrative or operating expenses (including Management fee : max. 0.60%) : 1.15%
• Transaction fee: 0.11%
• Performance fee: 10% with a high water mark
  
• Subscription fee: Max. 3%, at the distributor’s discretion
  
• Redemption fee: 0%

Subscriptions/Redemptions

• Minimum investment requirement: €100
• Cut-off: 10:00 am (CET)
• NAV valuation frequency: Daily
• Settlement date: Max. (D+3)
• Transfer agent / Depositary: CACEIS Bank Luxembourg Branch
• Swing pricing applicable: No

Fixed Rate. unchanging rate calculated on the value of the financial instrument, which does not change over the life of the product.

Floating Rate. rate calculated on the value of the financial instrument, which can change periodically (as opposed to a fixed rate) over the life of the product.

Convertible Bonds. fixed-income corporate debt security that yields interest payments, but can be converted into a predetermined number of common stock or equity shares.

Contingent Convertible Bonds. fixed-income corporate debt security that yields interest payments, but can be converted into a predetermined number of common stock or equity shares. The specificity of Contingent convertible Bonds is that they have a spaecific strike price that, once breached, can convert the bond into equity or stock.

Swing pricing. Anti-dilution technique that allows the Fund to apportion the costs linked to portfolio adjustments caused by subscription/redemption requests on the shareholders whose orders caused the necessity to rebalance the portfolio. It is a liquidity risk tool designed so that remaining shareholders don’t bear all the costs (including dilution) caused by first movers.

High Water Mark. A greater of the Net Asset Value per share as at the launch date and the highest Net Asset Value per share in effect immediately after the launch date or in effect immediately after the end of any subsequent performance period in respect of which a performance fee was payable.

This is an advertising communication. Please refer to the prospectus and the Key Information Documents (PRIIPS-KID), for the UCITS before making any final investment decision.

These are available free of charge on request from Pure Capital S.A. (tel: +352 26 39 86) or on its website www.purecapital.eu. The PRIIPS-KID is available in French, Dutch and English. The prospectus, the half-yearly report and the annual report are available in English.

The information presented above does not constitute investment advice and is intended for promotional purposes. It is neither a binding contractual document nor a disclosure document required by law, and is not sufficient for making an investment decision.

Past performance is not a reliable indicator of future results. Performance may vary over time. Investments are subject to market fluctuations and the investor may get back less than is invested. Exposures, allocations and investments may vary in the future in response to different market conditions at Pure Capital's discretion. There can be no guarantee that the investment objectives will be achieved.

The management and custodian fees, as well as any other costs which, in accordance with the prospectus, are charged to the sub-fund, are included in the calculation of the net asset value and, consequently, the performance.

An annual custody fee may be charged by the account holder. They vary from one institution to another. To find out about them, it is necessary to ask it.

The tax treatment of this product depends on the investor's situation. For example, in Belgium, the tax treatment may be the following:

• Withholding tax: Over 10% of this sub-fund’s portfolio is invested in debt securities. The income on these securities is subject to a 30% withholding tax.
• Transactions tax: No tax is charged when purchasing the sub-fund. A 1.32% tax is charged when selling accumulation shares only. This tax is capped at €4,000.

Investors can find out about their rights at https://www.purecapital.eu/legal.html. A summary is available in English and French.

Any complaints or claims can be addressed in writing to the company's head office: Pure Capital S.A., 2 rue d'Arlon, L-8399 Windhof, Grand Duchy of Luxembourg, for the attention of Mr Thierry Léonard, Managing Partner. If the handling of these complaints by the internal service does not satisfy the investor, they may, for Belgium, be submitted to Ombudsfin, Financial Services Ombudsman, North Gate II, Boulevard du Roi Albert II, n° 8 bte. 2, 1000 Brussels, e-mail: ombudsman@ombudsfin.be in writing or via the online complaint form https://www.ombudsfin.be/en/introduce-a-complaint.

Pure Capital S.A. may decide to cease the marketing of its collective investment schemes in accordance with Article 93a of Directive 2009/65/EC and Article 32a of Directive 2011/61/EU.