Category

Foreign Investment Fund

Investment Policy

The Fund has a policy to invest in or hold units of foreign collective investment schemes, including Collective Investment Schemes (CIS) and/or foreign Exchange-Traded Funds (ETFs) with investment policies focused on equity securities (the “Underlying Funds”). The Fund will maintain an average net exposure to equities of not less than 80% of its Net Asset Value (NAV) during an accounting period.
The Fund will invest in at least two underlying funds, with aggregate investments in such underlying funds averaging not less than 80% of the Fund’s NAV during an accounting period. The underlying funds invest in equities of:

Digital Assets Companies; and/or
Companies engaged in, connected with, or benefiting from the digital asset ecosystem; and/or
Companies utilizing blockchain technology to improve operational efficiency and reduce costs or otherwise derive benefits from blockchain-related activities.

The Fund will invest in any single underlying fund at an average allocation of not more than 79% of the Fund’s NAV during an accounting period.
The Fund will invest overseas, resulting in an average net foreign exposure of not less than 80% of its NAV during an accounting period, or such percentage as may be prescribed by the Office of the Securities and Exchange Commission (SEC). Allocation among foreign mutual funds and/or foreign ETFs will be determined at the discretion of the Fund Manager, who may adjust investment weightings based on prevailing market conditions and investment outlooks.
Exposure to Digital Assets
The Fund may obtain indirect exposure to digital assets, including crypto assets, through investments in foreign mutual funds and/or foreign ETFs that are legally authorized or approved to invest in, purchase, sell, or exchange such assets in their respective jurisdictions.
The Fund’s aggregate crypto asset exposure shall not exceed 5% of the Fund’s NAV.
The underlying foreign funds and/or ETFs may invest in cryptocurrencies and other crypto assets, including but not limited to:

Bitcoin (BTC);
Ether (ETH); and/or
Other eligible crypto assets.

Any fees and expenses associated with investments in crypto assets shall be borne indirectly through the fees charged by the underlying foreign mutual funds and/or foreign ETFs in which the Fund invests.
Investment of Remaining Assets
The remaining portion of the Fund’s assets may be invested in Thailand and/or overseas in:

Deposit-like instruments and deposits;
Fixed-income securities;
Equity securities;
Hybrid securities;
Warrants;
Securities and/or other assets; and
Other investments or income-generating arrangements as specified in the Fund prospectus and permitted by the SEC or other relevant regulatory authorities.

Foreign Exchange Risk Hedging
The Fund may invest in derivatives for the purpose of hedging foreign exchange risk at the discretion of the Fund Manager.
In determining the extent of foreign exchange hedging, the Fund Manager will consider prevailing market conditions and various economic, political, monetary, and fiscal factors in assessing expected currency movements.
For example:

If the U.S. Dollar (USD) is expected to depreciate, the Fund Manager may maintain a relatively high degree of currency hedging.
If the USD is expected to appreciate, the Fund Manager may reduce the hedging ratio or elect not to hedge at all.

However, if the Fund Manager determines that hedging may not be in the best interests of unitholders or may diminish potential benefits, the Fund may remain partially or fully unhedged. Investors should note that hedging transactions involve costs, which may adversely affect the Fund’s overall returns.
Derivatives for Efficient Portfolio Management
The Fund may also utilize derivatives for:

Efficient Portfolio Management (EPM); and/or
Hedging purposes,

where the underlying reference asset is a foreign exchange rate.
Such transactions may be undertaken to enhance returns, reduce Fund expenses, or for other purposes permitted under applicable SEC regulations.
The derivative contracts entered into by the Fund will primarily reference foreign exchange rates. Adverse events affecting the contracts or a counterparty’s failure to fulfill contractual obligations may result in lower-than-expected returns or investment losses. Accordingly, the Management Company will continuously monitor relevant risk factors and assess counterparties’ creditworthiness before and after entering into such transactions. The Fund will primarily transact with counterparties holding Investment Grade credit ratings.
Investments in Affiliated Funds
The Fund may invest up to 20% of its NAV in mutual funds managed by the same Management Company, provided that such investments comply with the Fund’s investment policy and SEC regulations.
Such investments must not result in circular investments (circle investment). An underlying fund may further invest in another fund managed by the same asset management company for no more than one additional layer.
Voting rights relating to investments in affiliated funds shall be exercised in accordance with SEC regulations. The investing fund may not vote on behalf of the underlying fund. However, if the underlying fund is unable to obtain the required resolution due to such voting restrictions, the Management Company may seek approval from the SEC, provided that a majority of the remaining unitholders of the underlying fund have approved the matter.
Other Permitted Investments
The Fund may also invest in or hold:

Structured Notes;
Non-Investment Grade debt securities;
Unrated debt securities; and
Unlisted Securities.

In addition, the Fund may engage in:

Reverse Repurchase Agreements (Reverse Repo);
Securities Lending Transactions;
Other securities lending arrangements; and/or
Other assets, securities, or income-generating investments as specified in the Fund prospectus and permitted by applicable SEC regulations.

Such investments and transactions may be undertaken to enhance portfolio management flexibility and investment opportunities, subject to the Fund’s risk management framework and applicable regulatory requirements.

Dividend Policy

None

Benchmark

Registration date

21 June 2024

Fund Manager Name

Pornphen Chuleeprasert
Viriya Phokaisawan