American Small & Mid Caps
Below you can find more information about the "Value Square Fund American Small & Mid Caps" sub-fund.
Comments
Before deciding to invest in the sub-fund, one should read the prospectus and the key information document (PRIIPS KID). The documents are available in Dutch. You will find these documents further on this page. This is a publicity announcement.
Target
The objective of the sub-fund is to pursue the highest possible return in relative terms compared to the benchmark index while limiting risks. At least 65% of this sub-fund's assets are invested in equities of small to medium-cap companies based in North America. The equities are selected on the basis of fundamental analysis and a bottom-up approach, whereby equities are screened according to criteria determined by the manager.
At least 90% of the income received after deduction of expenses, fees and commissions shall be distributed annually to the holders of distribution units of the sub-fund so that they may benefit from the Definitively Taxed Income system in accordance with Art. 202 and Art. 203 of the Income Tax Code (ITC). In any case, the Annual General Meeting of Shareholders, when deciding on the dividend attributable to distribution share certificate holders, must always adhere to the required minimum distribution percentage as stipulated in Article 203 §2 of the Income Tax Code (ITC).
Sub-fund shareholders do not enjoy any protection or capital guarantee.
Strategy
The objective of the sub-fund is to pursue the highest possible return in relative terms, compared to the benchmark index, while limiting risks. At least 65% of this sub-fund's assets are invested in North America in shares of companies with small to medium market capitalization (a market capitalization of at least USD 300 million and a maximum of USD 18 billion). The selection of shares is based on fundamental analysis and a bottom-up approach, whereby shares are screened on the basis of internally determined criteria.
In circumstances where the manager considers the downside risks to be higher than the potential return, the portion invested in equities may be reduced in favor of investments in cash and money market instruments. The sub-fund may invest up to 50% in cash and/or money market instruments. The sub-fund will always invest at least 50% in equities.
Active portfolio management
The sub-fund's portfolio is actively managed by the portfolio manager, meaning that he makes discretionary investment choices at the portfolio level within the limits of the investment objective and policy.
The reference index of the sub-fund is the Russell 2000. The manager of this index is FTSE Russell, a subsidiary of the London Stock Exchange and is included in the register referred to in article 36 of Regulation 2016/1011. This index serves purely as a tool for the investor to compare the Fund's performance with that of the index and thus to make an informed assessment of the Fund's performance. The management mode is not aligned with this index.
If this index is substantively changed or no longer offered, the Board of Directors may decide not to offer any further reference index or to substitute an alternative reference index. In the latter case, the Board of Directors also decides which reference index.
Features
General
- Compartment of: Value Square Fund
- Legal form: self-managed bevek
- Domicile: Belgium
Costs and taxes
Cost
- Entry fee: Maximum 1%, for the benefit of your distributor
- Exit fee: none
- Management fee: C class: 1.50%, PL class: 1.20%, PX class: 0.90%
- Ongoing charges (sum of "Management fees and other administrative or operating costs" and "Transaction costs"): C CAP class: 1.93%, C DIS class: 1.92%, PL DIS class: 1.60%, PL CAP class: 1.60%, PX CAP class: 1.60%
- Performance fee: none
- Anti-dilution levy: In exceptional circumstances, an additional cost (anti dilution levy) may be charged on all entries or all exits of a sub-fund to protect investors against liquidity risk. This charge may vary from 0% to a maximum of 5%. More information can be found in the prospectus of the Sicav.
Taxes
- The following taxes are imposed on an average non-professional investor physical person resident in Belgium
- Stock market tax: Capitalization classes: 0% on entry; 1.32% on exit (max. €4000). Distribution classes: None.
- Withholding tax: Capitalization classes: None. Distribution classes: 30% on dividends
Minimum investment
- C class: 1 partial certificate (in USD)
- PL class: 1,000,000 USD
- PX class: 2,500,000 USD
Risks
Description of risks deemed significant and relevant, as estimated by the compartment:
- Market risk: the sub-fund invests primarily in listed equities whose prices may (significantly) decline, due to deteriorating macroeconomic conditions, specific business conditions, or due to general market psychology.
- Liquidity risk: the fund's investment strategy focuses on stocks of issuers with small to medium market capitalization (small and mid caps). Small and mid caps typically have lower liquidity than shares of issuers with larger market capitalization
- Concentration risk: this risk is rated as medium-high by the sub-fund due to its focus on North American markets.
- Return risk: the sub-fund is actively managed and is not linked to an index. As a result, the sub-fund's return may differ significantly from the general market return.
- Risk dependent on external factors: the benefit to holders of distribution units of this sub-fund is highly dependent on the preservation of the current tax system of Definitively Taxed Income and may diminish or even disappear altogether in the event of changes in tax legislation.
Investor rights
For more information on investor rights, you can always visit our"Legal Information" webpage or open this link. The information in the document is available in Dutch, French and English.