Explanation on Risk Matters
The following risks may be involved in transactions of any securities, market derivative products, over the counter derivative products and/or foreign market derivative products (hereinafter collectively referred to as "financial products") which our investment advisory business and discretionary investment management business provide.
In addition, the value of financial product may vary according to interest rates, currency prices, market prices, and other indices, which may potentially lead to damaging or lowering the value of the original principal. In margin transaction and derivatives transaction, due to exposure exceeding deposited margins, it is possible for a loss to be incurred, which in some cases result in losses that exceed the original principal.
- (a) Price Fluctuation Risk (Risks caused by or arising out of changes in interest rates, foreign exchange rates, or other market prices and indices in the financial or commodity markets).
- (b) Credit Risk (Risks caused by or arising out of changes in operational/financial conditions of sellers of any financial products, issuers of any securities or others involved in securities or any other financial products).
- (c) Liquidity Risk (Risks that market participants may not be able to trade financial products at appropriate prices or they find it difficult to liquidate their holdings smoothly because the financial markets don't have sufficient volume of transactions).
- (d) Other specific risks may occur arising out of specific investment operations.
Fees, Remunerations and Expenses
Fees and Remunerations
Remunerations pursuant to investment advisory contract or discretionary investment contact ("investment advisory fees") are comprised of two separate charges; basic fee and performance fee, which will be determined, in principle, through individual negotiations between you and our company (we may charge you only basic fee for the relevant services based on an Investment advisory contract).
- Basic Fee：1-5% per annum of the assets under contract. Provided, however, that we might offer you a fixed fee in this range.
- Performance Fee：10-35% of the increased portion of the assets under contract at fair value for the period of any pre-determined fiscal term under the contract. Provided, however, that we will not charge you any performance fee in any fiscal term unless the value of the assets under contract exceeds the highest asset value in the case of a continuing contract.
1. Consumption tax is excluded from the amounts above.
2. You will be required to pay the basic fee on a monthly basis and
the performance fee on a yearly basis.
With respect to the investment advisory fees for the investment in which we advise you to choose any investment funds under our management, we will adjust the rate or amount of such fees, considering the management fees we will receive, as the investment manager of such funds, from such funds (In this case, we can't indicate any rate or maximum amounts, etc. of the investment advisory fees because they may change depending on the funds we advise you to choose.)
We may charge you separate fees, through consultation with you, depending on specific situations, including, without limitation, characteristics of the assets under contract or investment approaches.
You will be responsible for bearing the following expenses that are deducted from your investment assets.
- (a) Attorney's fees, accountant fees and administrative and general expenses in connection with creation of the investment funds, etc and sale of the beneficiary rights.
- (b) Any relevant expenses in connection with investment into securities by the investment funds, etc (commission on purchase or sale of securities, stock loan commission, interest expense on debt outstanding and any other expenses including system cost for investment programs and research expenses).
- (c) Administrative expenses on the investment funds, etc (expenses on accounting, auditing and any other administrative matters, attorney's fees including its research expense, as well as cost for reporting or providing information to existing and prospective investors).
- (d) Investment fees incurred by the investment funds, etc.
You will be responsible for bearing additional custodian fees if you entrust your assets to the care of any trust banks.
Other important matters
Discretionary Investment Contract
A discretionary investment contract with us provides that, with respect to your assets described in the said agreement, you will leave any investment decision to us after you set your investment policy in advance, and authorize us to execute the investment based on such decision on the basis of analysis of the value of securities, etc.
|Name||Asuka Asset Management Co., Ltd.|
|Location||Uchisaiwaicho Daibiru Bldg. 6th Floor 1-3-3, Uchisaiwai-cho, Chiyoda-ku Tokyo, Japan 100-0011|
|Business Activities||Investment Advisory Business, Investment Management Business, The Second Financial Instruments Business
Registration Number: Kanto Local Finance Bureau No. 2076 (October 31, 2008)
A member of Japan Securities Investment Advisers Association