Investors should not base investment decisions on this website alone. Please refer to the Prospectus for details including product features and the risk factors. Investment involves risks. Past performance is not indicative of future performance. There is no guarantee of the repayment of the principal. Investors should note:
- Global X FTSE China Policy Bank Bond ETF (the “Fund”) seeks to provide investment results that, before the deduction of fees and expenses, closely correspond to the performance of the FTSE Chinese Policy Bank Bond Index (the “Index”).
- Investing in the PRC inter-bank bond market via the Foreign Access Regime and/or the Bond Connect is subject to regulatory risks and various risks such as volatility risk, liquidity risk, settlement and counterparty risk as well as other risk factors typically applicable to fixed income securities. The relevant rules and regulations of the Foreign Access Regime and the Bond Connect are subject to change which may have potential retrospective effect. If a counterparty defaults in delivering securities, the trade may be cancelled which may adversely affect the value of the Fund.
- The base currency of the Fund is RMB but the Units are traded in HKD. RMB is currently not freely convertible and is subject to exchange controls and restrictions. Non-RMB based investors are exposed to foreign exchange risk.
- The Index is subject to concentration risk as a result of tracking the performance of a single geographical region, namely the PRC and is concentrated in bonds of a few issuers (being the PRC policy bank bond issuers).
- The Fund invests in emerging markets which may involve increased risks and special considerations not typically associated with an investment in more developed markets, such as liquidity risk, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk and the likelihood of a high degree of volatility.
- Payments of distributions out of capital and/or effectively out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Any such distributions involving payment of dividends out of capital or effectively out of the capital of the Fund may result in an immediate reduction in the Net Asset Value per Unit of the Fund and will reduce the capital available for future investment.
- The trading price of the Fund unit (the “Unit”) on the Stock Exchange of Hong Kong is driven by market factors such as demand and supply of the Unit. Therefore, the Units may trade at a substantial premium or discount to the Fund’s net asset value.