Investment involves risk. The prices of securities, futures contracts, options and other derivatives and investments in your portfolio and the net asset value of your portfolio may move down and up, sometimes dramatically. These price movements could mean that losses may be incurred as well as profits made, and there is the possibility that you may suffer significant loss in relation to your investment portfolio if the value of any securities, futures contracts, options or other derivatives or investments in your portfolio/account suffers a significant or complete loss in its value.
Your portfolio may have exposure to derivatives including instruments and contracts the value of which is linked to one or more underlying securities, financial benchmarks or indices. Many of the risks applicable to trading the underlying asset are also applicable to derivatives trading. However, there are a number of other risks associated with derivatives trading. For example, because many derivatives provide significantly more market exposure than the money paid or deposited when the transaction is entered into, a relatively small adverse market movement can result not only in the loss of the entire investment, but may also expose your portfolio to the possibility of a loss exceeding the original amount invested. The investment manager (i.e. SHK Fund Management Limited) may borrow for your portfolio securities which may be recalled by the relevant lender at short notice. In such circumstance, the investment manager may be required to unwind a strategy early, which may result in losses. The investment manager on behalf of your portfolio may short sell securities of an issuer. The possible losses from short selling securities may be unlimited. Equity-linked securities and instruments (collectively, “ELN”) may not be listed and are subject to the terms and conditions imposed by their respective issuers. Investment in ELN can be illiquid as there is no active market in ELN. By seeking exposure to investments in certain listed securities through ELN, your portfolio will take on the credit risk of the issuer of the ELN. An investment in the ELN does not entitle the ELN holder to the beneficial interest in the shares nor to make any claim against the entity issuing the shares. Investment through ELN may lead to a dilution of performance of the entity when compared to a person investing directly in similar assets. For details of the risks associated with the SHK Wealth Infinity Discretionary Portfolio Management Services, please refer to the Discretionary Segregated Managed Account Agreement.
Investments in securities and/or futures contracts and/or options and/or other derivatives and/or investments are not suitable for all types of investor. This document is for information only and it has no regard to the specific investment objectives, investment experience, financial situation or needs of any particular investor.
Before making any decision regarding the SHK Wealth Infinity Discretionary Portfolio Management Services (which refers to the discretionary portfolio investment management services provided by SHK Fund Management Limited pursuant to the Discretionary Segregated Managed Account Agreement with it as discretionary investment manager), you are strongly advised to consider your own financial resources and circumstances and your ability to bear losses, in addition to consulting your own independent financial adviser. If you are in doubt, you should seek professional advice.
SHKFM, Sun Hung Kai Financial Limited and Sun Hung Kai Financial Limited’s affiliates and their respective directors, officers, employees and representatives accept no liability howsoever arising from or in connection with any matter beyond their control and/or the information contained in this document and/or any reliance and/or acting on such information and/or any action, inaction, omission or decision of any third party (including, without limitation, RAYS).
This document is not intended for distribution to the public/is provided upon request and should not be passed to any third party. It relates to the SHK Wealth Infinity Discretionary Portfolio Management Services to be provided by SHK Fund Management Limited. Nothing contained in this document should be construed as constituting any recommendation, offer, solicitation, advice or suggestion to any investor concerning particular securities or futures contracts or options or derivatives or other investments. Prospective managed account clients should carefully read the terms of the agreement governing the SHK Wealth Infinity Discretionary Portfolio Management Services (i.e. the Discretionary Segregated Managed Account Agreement) for further details, in particular the risk factors set out therein. If there is any conflict or inconsistency between this document and the Discretionary Segregated Managed Account Agreement, the Discretionary Segregated Managed Account Agreement shall prevail.
The information contain herein shall not be reproduced, distributed or published in whole or in part or otherwise made available, in Hong Kong or any other place, without the prior express written consent of SHK Fund Management Limited. © 2014 SHK Fund Management Limited. All rights reserved.
Any name, trademark, logo, mark, design or the like appeared in this document is protected by law.
This document is issued by SHK Fund Management Limited and has not been reviewed or approved by the Hong Kong Securities and Futures Commission. SHK Fund Management Limited is licensed for Types 1 (dealing in securities), 4 (advising on securities) and 9 (asset management) regulated activities under the Securities and Futures Ordinance of Hong Kong (with CE Number AAI432).
If there is any conflict or inconsistency between the English and Chinese versions of these Risk Disclosure Statements, Disclaimers and Important Notes, the English version shall prevail.