BDO Japan Equity Index Feeder Fund

 

Fund Structure

The Fund is a Japanese Yen-denominated equity unit investment trust fund (UITF) structured as a feeder fund.
 

Investment Objective

The objective of the Fund is to achieve long term capital growth by investing in a single collective investment scheme, called the Target Fund, which is invested in a portfolio of Japanese equity securities that tracks the JPX-Nikkei Index 400. The Target Fund is the NEXT Funds JPX-Nikkei Index 400 Exchange Traded Fund.
 

Investment Policy

As a feeder fund, the Fund shall invest at least 90% of its assets in a single collective investment scheme called the Target Fund. The remaining portion of the assets (maximum of 10%) will be invested and reinvested by the Trustee, with full discretionary powers, in deposits in the Trustee’s bank or in other banks. The Fund may invest in bank deposits beyond the 10% limit during the transitory period while the Fund switches target fund.
 

The Fund’s investment in the Target Fund should not comprise more than 10% of the Target Fund’s Net Asset Value. The Target Fund must also comply with the 15% single exposure limit and must neither be structured nor similarly structured as a feeder fund or fund-of-funds.
 

Client Suitability

The Fund is suitable for individual and corporate investors who have aggressive risk appetite and who seek potentially higher returns through Japanese stock market investments but are also aware of the possibility of capital losses that such investments may entail. In order to minimize risks and maximize earning potential, participants/trustors are recommended to stay invested for more than three (3) years. The Fund is not suitable for short-term investing.
 

Participation in the Fund shall be open to Filipino citizens, Philippine residents and domestic corporations with capacity to contract and who are not considered US Persons under the US securities and tax laws.
 

Prospective participants should also consult their own tax advisors as to the specific Philippine tax consequences of acquiring, holding and redeeming of any units of the Fund, as well as the consequences arising under the laws of any other taxing jurisdiction.

 

Fund Facts

Bloomberg Ticker BDOJEIF PM
Fund Type

Equity Fund

Inception Date

September 8, 2017

Benchmark

JPX-Nikkei Index 400

Initial NAVpU

JPY 100.00

Minimum Investment

JPY 200,000.00

Minimum Additional

JPY 200,000.00

Minimum Holding Period

None

Early Redemption Fee

Not Applicable

Management Fee

0.50% p.a.

NAVpU Availability

Every trading day at 4:00 p.m.

Dealing Period: Admission and Redemption Orders 

Admission and Redemption orders are subject to a one (1) day advanced notice requirement ("Order Date" or T - 1).

 

Cut-off time for Admission and Redemption orders is up to 2:30 p.m. of any banking day. Orders placed after the cut-off time will be processed on the next banking day. 

Valuation Date 

Admission and Redemption shall be based on the NAVPU computed on Valuation Date (T + 0)

Settlement Period (Funding): Admissions

On Admission Order Date or one (1) day prior the Valuation Date (T - 1) 

Settlement Period: Redemptions

Five (5) banking days from Redemption Valuation Date (T + 5).

This is six (6) banking days after the Redemption Order Date.

External Auditor

Punongbayan & Araullo

 

General Information on the Target Fund

For more information on the Target Fund, please read its Prospectus and Fund Fact Sheet available at www.nomura-am.co.jp/english/nextfunds/.

Target Fund NEXT Funds JPX-Nikkei Index 400 Exchange Traded Fund
ISIN JP3047670009
Fund Structure The Target Fund is an Open-ended Investment Trust domiciled in Japan and invested in Japanese stocks. It is also an exchange traded fund (ETF) listed at the Tokyo Stock Exchange tracking the JPX-Nikkei Index 400 which is composed of 400 stocks selected in the pioneer criteria based on profitability and management perspectives.
Investment Objective The Target Fund aims at investment performance linked to the JPX-Nikkei Index 400 which means that NAV volatility is to correspond with that of the Benchmark Index. 
Investment Policy

The Target Fund will invest in a portfolio of equity securities that as far as possible and practicable consist of the component securities of the Benchmark Index, in similar proportions to their weightings in the Benchmark Index.

 

The Target Fund aims to replicate the composition of the Benchmark Index; however it may not always be possible or practicable to hold every security in their exact weighting as in the Benchmark Index.

 

There is no restriction on the investment ratio in stocks. The investments ratio in assets denominated in foreign currencies shall be less than or equal to 20% of the total net asset value of the trust assets in the Target Fund.

 
Management Company Nomura Asset Management Co., Ltd.
Trustee Nomura Trust and Banking Co., Ltd.
Domicile Japan
Inception Date January 24, 2014
Total Expense Ratio  0.216% (as of June 30, 2017)
Base Currency JPY