Prospectus - April 2013 - Pictet Funds Hong Kong

Pursuant to the Hong Kong Representative Agreement, the Hong Kong Representative is authorised to receiverequests from Hong Kong residents for subscription for shares in the Fund and to receive requests fromshareholders in Hong Kong for the conversion or redemption of their shares. The Hong Kong Representativehas, however, no authority to agree, on behalf of the Fund, that requests will be accepted.Hong Kong investors may contact the compliance officer at the Hong Kong Representative if they have anycomplaints or enquiries in respect of the Fund and its compartments. Depending on the subject matter of thecomplaints or enquiries, these will be dealt with either by the Hong Kong Representative directly, or referredto the Management Company / relevant parties for further handling. The Hong Kong Representative willrevert and address the investor’s complaints and enquiries as soon as practicable.Fees and ExpensesShareholders’ consent will be required and an extraordinary general meeting will be convened if there is anyincrease beyond the maximum level of the fees payable to the Management Company, Managers, theCustodian Bank or the Transfer Agent as prescribed in this document.Investors should refer to Appendix A of this Information for Hong Kong Investors for fees payable by theshareholders, and to Annexes of the Prospectus and Appendix B of this document for details of fees andexpenses payable by the Fund for each class of shares within each compartment. Investors should also refer tothe section headed “Fund Expenses” in the Prospectus.Expenses arising out of any advertising or promotional activities in connection with the Fund will not be paidout of the Fund for so long as the Fund and the compartments are authorised in Hong Kong.Publication of PricesThe relevant NAV per share may be obtained at the office of the Hong Kong Representative and shall bepublished daily in both the South China Morning Post and the Hong Kong Economic Times. The NAV pershare will not, however, be current at the time of publication as the compartments operate on a forwardpricing basis.SuspensionThe calculation of the NAV, and the issue, redemption and conversion of the shares of one or morecompartments may be suspended in the situations set out in the section headed “Suspension of Calculation ofthe Net Asset Value, Subscriptions, Redemptions and Conversions” in the Prospectus.Any temporary suspension of dealing in shares of any compartments shall be notified to the SFC immediatelyand, where possible, all reasonable steps will be taken to bring any period of temporary suspension to an endas soon as possible. Notice will also be published in the South China Morning Post and the Hong KongEconomic Times and/or distributed to the Authorised Distributors , who in turn will inform the shareholders ofthe relevant compartments as soon as possible and at least once a month during the period of such suspension.Lending on securitiesShould the Fund engage in securities lending transactions, all incremental income accruing from securities willbe shared between the relevant Fund’s compartment and the lender/custodian.Securities lending transactions of the Fund will be carried out on arm’s length basis. Securities lendingtransactions of the Fund are organised through Pictet & Cie, Geneva acting as the securities lending agent.Pictet & Cie, Geneva is the final shareholder of the Management Company. The income from the stocklendingis allocated 30% to Pictet & Cie, Geneva and 70% to the relevant Fund compartment. Details of suchtransactions are set out in the annual report of the Fund.The Fund will seek to appoint a recognised clearing institution or a first class financial institution ascounterparties, as defined by the CSSF circular 08/356.Repurchase and reverse repurchase agreements / Purchase / sale of securities under repurchaseagreementsThe Fund shall not engage in repurchase transactions beyond the limit of the aggregate value of the assets inthe relevant Fund compartment.Should the Fund engage in repurchase and reverse repurchase agreements or purchase / sale of securitiesunder repurchase agreements, all incremental income generated from such transactions will be accrued to theFund.The Fund will seek to appoint counterparties by way of a quality control process operated by the Pictet GenevaCorrespondent Banking Network Management department. Factors that will be considered in this processinclude:• Solvency of the counterparty;• Reputation of the counterparty on the market based on reliable information;15