Investment Risk Statement
Before entering into any investment it is important that you understand the potential risks that are involved. Here we show a clear statement regarding investments. We recommend that you read it carefully before entering into any investment.
The value of investments and the income from them, can fall as well as rise.
Past performance is no guarantee of future returns and you may not get back what you put in.
Holdings in overseas investments will also carry a currency risk. If the value of the local currency fluctuates against sterling, any gains made may be reduced.
Exposure to a single country market increases potential volatility.
Where a fund invests in emerging markets, which tend to be more volatile than mature markets, the value of your investment could move sharply up or down. In some circumstances the underlying investments may become illiquid which may constrain the Investment Manager's ability to realise some or all of the portfolio. Political risks and adverse economic circumstances are more likely to arise putting the value of your investment at risk.
Movements in exchange rates can impact on both the level of income received and the capital value of your investment. If the currency of your country of residence strengthens against the currency in which the underlying investments of a trust are made, the value of your investment will reduce and vice versa.
Where a fund invests in small companies, and / or companies investing in technology or venture and development capital stocks, the potential volatility may increase the risk to the value of your investment. Above average price movements may be expected.
Where a fund invests in a specialist market sector, for example Recovery stock, it is likely to carry higher risks than a more widely invested fund.
Where a fund invests in bonds, the value of a bond will fall in the event of the default or reduced credit rating of the issuer. Generally, the higher the rate of interest the higher the perceived credit risk of the issuer.
Your attention is also drawn to the risks associated with investments which are linked to property funds and those which invest in land as this type of investment may be difficult to encash at times of market influence which affect property and land. The period during which such influences last may be several years in duration.
Accordingly, you should carefully consider whether such investments are suitable for you in the light of your personal circumstances and the financial resources available to you.
The value of the property is generally a matter of the valuer's opinion rather than of fact.