Aberdeen Global Funds - Aberdeen Asset Management

USE OF FINANCIAL DERIVATIVE INSTRUMENTSThe Board of Directors has decided, from the Effective Date, to allow greater flexibility in the use of financialderivative instruments in the FDI Sub-Funds in accordance with Luxembourg law. This will be reflected in theobjective, policy and risk profile of the FDI Sub-Funds.Risk monitoring is performed by the Management Company on behalf the Fund. The Management Companyemploys a risk-management process which enables it to monitor and measure at any time the risk of thepositions and their contribution to the overall risk profile of each FDI Sub-Funds. If applicable, a process foraccurate and independent assessment of the value of any OTC derivative instrument is employed. In order tomeasure market risk exposure of the FDI Sub-Funds that qualify under the Luxembourg regulations as"sophisticated", a value at risk (VaR) approach is applied. The standard risk settings used to determine theVaR of the different sophisticated FDI Sub-Funds are with a 99% confidence level and an analysis timehorizon of one month (21 days).Notwithstanding the Fund’s adoption of the investment restrictions under the 2002 Law, for so long as theFund and the FDI Sub-Funds remain authorised under the Securities and Futures Ordinance (Cap 571, Lawsof Hong Kong) (the “SFO”) and unless otherwise approved by the SFC, we will take all reasonable steps tooperate the Fund and the FDI Sub-Funds having regard to the general investment principles under theEuropean Directive of 20 December 1985 (85/611/EEC) except that the FDI Sub-Funds may use currencyforward contracts for investment purposes as permitted under the 2002 Law.The Fund will provide Hong Kong Shareholders with prior written notification of not less than one month (orsuch other period as the SFC may require) and update the offering documents should the Fund intend tochange the investment objectives, policy and/or restrictions applicable to its sub-funds in future.CLARIFICATION(i) Reference to “Smaller Company” in Appendix A to the enclosed notice means:The Investment Manager considers that the market capitalisation of a smaller company, in the BaseCurrency of the relevant fund, as at the date of investment, is as follows:Aberdeen Global – Asian Smaller Companies Fund – under US$1 billionAberdeen Global – Emerging Markets Smaller Companies Fund – under US$2.5 billionAberdeen Global – Japanese Smaller Companies Fund – under Yen 250 billionIn the case of Aberdeen Global – Worldwide Smaller Companies Fund, the Investment Manager considersthat a smaller company is any constituent of the MSCI Small Cap Index Series (or any successor index, ifrevised).(ii) Referring to the section headed “Changes to Appendix B - Dilution Adjustment and Calculation ofSwitching Price”, page 7 of the enclosed notice, the Board of Director seeks to clarify that the term “dilutionadjustment” will replace the term “dilution levy” throughout the Appendix B of the Hong Kong SummaryProspectus.CHANGE IN ADMINISTRATORDue to an internal restructuring, the Administrator of the Fund - BNP Paribas Fund Services Luxembourgmerged with the Custodian of the Fund - BNP Paribas Securities Services Luxembourg on 30th April, 2008.As a result of the merger, BNP Paribas Securities Services Luxembourg will act as Administrator andCustodian of the Fund.As we understand from BNP Paribas Fund Services that:(1) the decision was mainly taken based on the synergies BNP Paribas will be able to achieve inhaving all the services related to funds provided in Luxembourg by one single legal entity, i.e. BNPParibas Securities Services Luxembourg;2