Disclaimer
www.carrhaecap.com (this “website”) has been prepared by Carrhae Capital LLP (“Carrhae Capital”) solely for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to purchase any interest in the proposed fund (the "Fund") or any investment vehicles managed or sponsored by Carrhae Capital or its affiliates. [This website is not intended for distribution to, or use by any person or entity in any jurisdiction or country where such distribution or use would be contrary to local law or regulation. In particular this website is not intended for distribution in the United States or for the account of U.S. Persons (as defined in Regulation S under the United States Securities Act of 1933, as amended (the "Securities Act")) except to persons who are "qualified purchasers" (as defined in the United States Investment Company Act of 1940, as amended (the "Company Act")) and "accredited investors" (as defined in Rule 501(a) under the Securities Act). The Fund is not, and will not be, registered under the Securities Act or the securities laws of any of the states of the United States and interests therein may not be offered, sold or delivered directly or indirectly into the United States, or to or for the account or benefit of any U.S. person, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of such securities laws. The securities will be subject to restrictions on transferability and resale. The Fund will not be registered under the Company Act.
Any such offer or solicitation shall be made only pursuant to the confidential private placement memorandum for the Fund (the "PPM"), which qualifies in its entirety the information set forth herein and contains a description of the risks of investing. This document is also qualified by reference to the governing documents and the subscription agreement relating to the Fund (collectively, the "Agreements"). The PPM and Agreements relating to the Fund should be reviewed carefully prior to an investment in the Fund. An investment in the Fund is speculative and involves a high degree of risk.
In connection with your consideration of an investment in the Fund, you should be aware of the following risks:
•The Fund may be leveraged and its portfolio may lack diversification, thereby increasing the risk of loss. The Fund may invest in instruments that are highly illiquid and extremely difficult to value, which may limit an investor's ability to withdraw/redeem or transfer its investment or delay receipt of withdrawal/redemption proceeds. An investment in the Fund is speculative, involves a high degree of risk and its performance may be volatile. An investor may lose some or all of its investment. Carrhae Capital has total investment authority over the Fund, which could result in a lack of diversification and, consequently, higher risk. There is no secondary market for the investors' interests in the Fund. There are restrictions on withdrawal/redemption and transfer of interests in the Fund. The Fund's Asset-Based Charges, fees and expenses are substantial and could negatively impact performance.
•Investments in the Fund are not subject to the same regulatory requirements or governmental oversight as mutual funds. The Fund may purchase instruments that are traded on exchanges located outside the United States that are "principal markets" and is subject to the risk that the counterparty will not perform with respect to contracts. Furthermore, since there is generally less government supervision and regulation of non-U.S. exchanges, the Fund is also subject to the risk of the failure of the exchanges and there may be a higher risk of financial irregularities and/or lack of appropriate risk monitoring and controls.
•Investors in the Fund generally will have limited rights with respect to their investment interest, including limited voting rights and limited participation in the management of the Fund. The Fund may involve a complex tax and legal structure.
•An investment in the Fund is only suitable for sophisticated investors for which such an investment does not constitute a complete investment program and which fully understand and are willing to assume the risks involved in the Fund.
•Hypothetical targeted performance is no guarantee of future performance. Carrhae Capital's return targets are hypothetical and are neither guarantees nor predictions or projections of future performance.
•The MSCI EM Index is a market-capitalisation weighted index of the largest companies in Emerging Markets, and the most widely used index to benchmark active equity managers in EM. We present it as a reference point for our own Long and Long/Short strategies. There may be little if any overlap between our portfolios and index constituents, and by extension nor should there be expected to be meaningful correlation
The information contained herein is not intended to provide and should not be relied upon for accounting, legal or tax advice or investment recommendations. No representation, warranty or undertaking, express or implied, is given as to the accuracy or completeness of the information or opinions contained in this document by any of Carrhae Capital, its members, employees or affiliates and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions, and nothing contained herein shall be relied upon as a promise or representation whether as to past or future performance. Opinions expressed herein may not be shared by all employees of Carrhae Capital and are subject to change without notice. Material terms of the Fund also are or may be subject to change and neither Carrhae Capital nor its affiliates has any obligation to update this document or to notify the recipient of any changes. A prospective investor will be provided with a copy of the Fund's PPM and Agreements and an opportunity to review such documents. You should consult your tax, legal, accounting or other advisors about the issues discussed herein.
In addition, prospective investors should rely only on the PPM and the Agreements in making a decision to invest, although certain descriptions contained herein may be more detailed than those contained in the PPM. Certain information contained in this document constitutes "forward-looking statements," which can be identified by the use of forward-looking terminology such as "may", "will", "should", expect", "anticipate", "target", "project", "estimate", "intend ", "continue" or "believe" or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events or results or the actual performance of the Fund may differ materially from those reflected or contemplated in such forward looking statements.
Subscriptions may only be made on the terms of the PPM and the Agreements, subject to completion and acceptance by Carrhae Capital of a subscription agreement.
Carrhae Capital is Authorised and Regulated in the UK by the Financial Conduct Authority. The information and opinions contained in this document are for background purposes only, do not purport to be full or complete and do not constitute investment advice. Carrhae is not hereby arranging or agreeing to arrange any transaction in any investment whatsoever or otherwise undertaking any activity requiring authorisation under the Financial Services and Markets Act 2000.
This material is communicated in accordance with Article 14 (Investment Professionals), Article 21 (Certified high net worth individuals) and Article 22 (High net worth companies) of the Financial Services and Markets Act 2000 (Promotion of Collective Investment Schemes) (Exemptions) Order 2001, or pursuant to the permitted exemptions made available by the FCA in section 4.12 of its Conduct of Business Sourcebook. This document is exempt from the prohibition in Section 21 of the Act on the communication by persons not authorised under the Act of invitations or inducements to engage in investment activity on the ground that it is being issued only to such types of person. The value of investments may fall as well as rise and you may not get back your original investment. Past performance should not be viewed as a guide to future performance. Changes in rates of exchange may be one of the causes of the value of investment to be affected.
Carrhae Capital LLP is registered as an investment adviser with the United States Securities and Exchange Commission (the “SEC”) under the Investment Advisers Act of 1940, as amended (the “Advisers Act”). Registration as an investment adviser with the SEC does not imply a certain level of skill or training.
Under Rule 2.2B of the Financial Conduct Authority's (“FCA”) Conduct of Business Sourcebook, Carrhae Capital LLP (“Carrhae” or the "Firm"), to the extent it is investing on behalf of investors in shares traded on a EEA regulated market or comparable markets, is required to develop and publicly disclose an engagement policy meeting the requirements in COBS 2.2B.6R and publicly disclose on an annual basis how its engagement policy has been implemented in a way that meets the requirements of COBS 2.2B.7R or, publicly disclose a clear and reasoned explanation of why it has chosen not to comply with these requirements.
Carrhae seeks investment opportunities in all global markets, although a particular focus of the Funds includes issuers operating in, or substantially exposed to, emerging markets in Asia, Latin America, Eastern Europe, the Middle East and Africa. Exposure to listed companies is achieved through investment in (non-voting) derivatives positions.
While the Firm generally supports the objectives that underlie SRD II, the investment strategy, and the nature of the financial instruments used to execute the strategy do not embrace engagement with investee companies, and the Firm does not consider that its clients expect such engagement.
Carrhae Capital LLP is authorised and regulated by the Financial Conduct Authority in the United Kingdom.
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