Download August 2016 FUND NAME ESTIMATED PRICE ESTIMATED

August 2016
FUND NAME
FINANCE FUND
ESTIMATED
PRICE
ESTIMATED
MONTH
% CHANGE
ESTIMATED YEAR TO
DATE
% CHANGE
INCEPTION
DATE
10.61
-15.12%
-17.69%
2 Mar '06
USD
ADMINISTRATOR
Montrose Asset Management
Limited
Tel +44 1481 703193
[email protected]
MONTHLY COMMENT
August was a notably subdued month across financial markets, particularly in the
US. Good UK economic data reduced fears of a Brexit led recession. In the US economic
data was weak suggesting that short term interest rates are unlikely to rise as early as
expected.
CUSTODIAN
Royal Bank of Canada
(Channel Islands) Limited
Tel: +44 1481 744000
Equity markets generally moved sideways during the month with the exception of a strong
recovery in the European banking sector. In the US the S&P 500 index fell marginally by
0.1% leaving the year to date performance at +6.2%. In the UK the FTSE 100 index rose
by 0.7% bringing the full year performance to +8.6%. Despite a recovery in the European
markets of 1.1%, the region remains down by 7.5% for the year to date.
In bond markets UK gilts were strong after the Bank of England extended its quantitative
easing and asset purchase programmes.
Corporate bond markets improved on the
increase in oil prices.
Currency markets were volatile following comments from Central banks. The surprisingly
strong UK economic data supported Sterling, which rose against the US Dollar. The US
Dollar was boosted against the Euro by the Federal Reserve Board’s comments during the
middle of the month. Commodity markets were volatile.
The US Dollar class of the Finance Fund fell by an estimated -15.12% for the month.
Following analysis of information and pricing received from the underlying funds, it
was resolved to make a number of provisions. These provisions reduced the estimated
values of those underlying funds where flows of information were irregular and or where
pricing updates were not readily available from either the fund manager, administrator or
liquidator.
As previously advised the Capricorn Finance Fund was suspended on 2 October 2008 and
a managed wind down of the Fund is in place. An initial payment of 2.81% of the Fund’s
suspension value was paid to all investors on 25 February 2009.A second payment was
made to all shareholders on 12 June 2013 amounting to approximately 2.5% of the Fund’s
estimated Net Asset Value.
A third payment was made on 22 January 2014to all
shareholders amounting to approximately 8.79% of the Fund’s estimated Net Asset Value.
A fourth distribution of approximately 4.44% of the Net Asset Value of the Fund was made
on 28th November 2014. A fifth distribution of approximately 0.92% of the Net Asset Value
of the Fund (using the Net Asset Value as at the October 2008 suspension date) was made
in September 2015.
We are continuing to review secondary market options for the Capricorn Fund and maintain
an active dialogue with potential buyers, who have reviewed the assets of the Fund.
Please contact us if you require any additional information on the Funds.
IMPORTANT NOTIFICATION This document is confidential and contains copyright material. This communication is issued by Montrose Asset Management Limited, which is licensed by
the Guernsey Financial Services Commission. This communication is strictly confidential and is intended only for the use of the addressee(s). Any review, retransmission, dissemination or
other use of, or taking of any action in reliance upon, this information by persons or entities other than the intended recipient is prohibited. Past performance is not indicative of future results.
The price of this Fund(s) or any investment and any income from it can go down as well as up and may be adversely affected by changes in rates of exchange. An investor may not get
back the amount invested and future returns and capital are not guaranteed. Performance may be adversely affected by uncertainties or unpredictable risks, such as changes in government
policy, taxation, currency repatriation restrictions and other legal, financial or regulatory developments. This summary is not a complete list of the risks and the complete disclosures
contained in the relevant Offering Memorandum should be reviewed carefully and professional advice sought to determine inter alia suitability. The Fund(s) as detailed in this document is
defined in the UK as an Unregulated Collective Investment Scheme and the promotion and distribution of this Fund(s) either within the UK or from the UK is severely restricted by statute.
This communication is only directed at persons having professional experience of participating in unregulated collective investment schemes. The Fund(s) to which the communication
relates are available only to such persons. Persons who do not have professional experience in participating in unregulated collective investment schemes should not rely or act on this
communication. This document is for illustrative purposes only and does not form part of any Offering Memorandum. This is not an investment recommendation or offer to buy or sell the
Fund(s) or to engage in any transaction in any jurisdiction and should not be relied on for the purpose of making an investment. The document should not be used or construed as investment
advice or an offer or a solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or not authorised. This document has been compiled in good faith
and from sources believed to be reliable but no representation or warranty (including liability towards third parties), expre ss or implied, is made as to accuracy, reliability or completeness
of information contained in this document. All information contained or referred to herein and attached hereto is qualified in its entirety by this notification.