PRODUCT KEY FACTS Invesco Global Income Real Estate Securities Fund A sub-fund of Invesco Funds, SICAV

Transcription

1 Invesco Global Income Real Estate Securities Fund 31 October 2016 Morningstar Rating TM * AAAA Important Information 1. The Fund invests in equity, equity related and/or debt securities issued by companies and other entities which derive the predominant part of their revenue from activities related to real estate worldwide including real estate investment trusts (REITs), REIT-like companies and other real estate operating companies worldwide. 2. Investors should note the risk of investing in sectorbased/concentrated fund, risk with international investing, credit risk, interest rate risk, risk of investing in REITs, equities risk, investment risk, and risk relating to those share classes denominated/dealt in a different currency than the base currency of the Fund. 3. Financial derivative instruments may be used for efficient portfolio management purposes or to hedge or reduce the overall risk of investments. The use of derivatives may become ineffective and the Fund may suffer significant losses. 4. For certain share class(es), the Fund may at discretion pay dividend out of the capital or pay dividend out of gross income while charging the fees and expenses out of the capital to increase the distributable income for the payment of dividends (i.e. effectively pay dividend out of capital). Payment of dividends 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. Such distributions may result in an immediate reduction in the net asset value per share. (Note 1) 5. In addition, investors of Monthly Distribution-1 share class (MD-1) should note that (a) MD-1 may continue to distribute in periods in which the Fund has negative returns or is making losses, which further reduces the net asset value of the relevant MD-1; (b) Investors are subject to exchange rate fluctuations subsequent to the determination of the stable distribution rate; (c) The distribution rate will be determined at the discretion of the Fund, dividend payment and dividend rate are not guaranteed; (d) Investments in MD-1 are not an alternative to a savings account or fixed interest paying investment; and (e) For MD-1 that are currency hedged, investors may forego capital gains arising from the interest rate differential associated with currency hedging in favour of income distributions. The uncertainty and changes of relative interest rates may also adversely impact the return of the hedged unit classes. (Note 2) 6. The value of the Fund can be volatile and could go down substantially. 7. Investors should not base their investment decision on this material alone. Objectives and investment strategy The objective of the Fund is to generate income and to a lesser extent to achieve longterm capital appreciation by investing in a diversified portfolio of securities of companies and other entities engaged in the real estate sector worldwide. Key facts Fund manager Paul Curbo, Joe Rodriguez Share class launch date A (USD)-QD Shares 31/10/08 Legal Status Luxembourg SICAV with UCITS status Share class currency USD Fund Size USD mn Initial Charge (up to) 5.00% Annual Management Fee 1.25% Reference Index FTSE EPRA/NAREIT Developed-ND Indexed performance* Invesco Global Income Real Estate Securities Fund (A (USD)-QD 80 10/11 10/12 10/13 10/14 10/15 10/16 Index References IVRS Code Bloomberg code ISIN code Cumulative performance* A (USD)-QD-GI Shares 627 INGIAQU LX LU % YTD 1 year 3 years 5 years A (USD)-Acc Shares 615 INGREAA LX LU A (USD)-QD-GI Shares A (USD)-QD Shares 614 INGREAI LX LU A (USD)-Acc Shares A (USD)-QD Shares Yield % Index Gross Income Yield 3.94 Net Income Yield year characteristics* A (USD)-QD Shares Volatility 7.86 Peer Group Volatility Volatility is measured by the standard deviation of the fund, based on its annual rates of return over the past 3 years in base currency of the fund. Peer Group Volatility refers to the volatility of the offshore and international funds which are categorized under Property - Indirect Global Sector by Morningstar. Calendar year performance* The launch date of A (USD)-QD Gross Income Share classes is 20/08/2014. The calendar year performance of the launch year of the above share class(es) only represent performance from launch date of the relevant share class(es) to the last day of that year, which is not a full year return. Distribution information (Aims to pay dividend on monthly/quarterly/semi-annual/ annual basis. Dividend is not guaranteed; For MD-1 shares and GI shares, dividend may be paid out of capital. (Please refer to Note 1 and/ or Note 2 of the Important Information )) Intended frequency Record date Amount/Share Annualized dividend (%) A (USD)-QD-GI Shares Quarterly 31/08/ % A (USD)-QD Shares Quarterly 31/08/ % Annualized dividend (%) = (Amount/Share X Frequency) Price on record date. Upon dividend distribution, the Fund's net asset value may fall on the ex-dividend date. For Frequency, Monthly = 12; Quarterly = 4; Semi-Annually = 2; Annually =1. All distributions below USD 50 in value (or its equivalent) will be automatically applied in the purchase of further shares of the same class. Positive distribution yield does not imply a positive return. Holding (total holdings: 168) Top 10 holdings % HCP 1.9 Cyrusone Nov Simon Property 1.7 Sun Hung Kai Properties 1.6 Land Securities 1.6 Westfield Corp 1.5 Brixmor Property 1.5 DDR 1.4 Apple Hospitality REIT 1.4 Mitsui Fudosan 1.3 Geographical weightings % United States 60.6 Japan 6.4 Australia 6.0 Hong Kong 5.5 United Kingdom 4.5 France 3.1 Canada 2.5 Singapore 2.0 Other 4.5 Cash 4.9 Sector weightings % Diversified 28.2 Retail 23.4 Lodging/Resorts 9.8 Residential 9.3 Office 7.3 Industrial 5.8 Health Care 4.7 Self Storage 2.9 Infrastructure 1.9 Specialty 1.1 Ind/Off/Mixed 0.7 Cash 4.9 Important Information The Fund does not invest directly in real estate. It is authorised under the SFC s Code on Unit Trusts and Mutual Funds and not under the SFC s Code on Real Estate Investment Trusts. SFC authorisation does not imply official approval or recommendation. Investors should note that insofar as the Fund directly invests in REITs, any dividend policy or dividend payout at the Fund level may not be representative of the dividend policy or dividend payout of the relevant underlying REITs which may have an adverse impact on the Fund and/or the interests of investors. The relevant underlying REITs may not necessarily be authorised by the SFC in Hong Kong.Investment involves risks. Past performance is not indicative of future performance. Investors should read the relevant prospectus for details, including the risk factors and product features. This material has not been reviewed by the Securities and Futures Commission and is issued by Invesco Asset Management Asia Limited ( 景順投資管理亞洲有限公司 ) Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is provided for reference purposes only. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Asset allocation data is derived by Morningstar using full holdings data provided by Invesco. Morningstar Licensed Tools and Content powered by Interactive Data Managed Solutions. All data is as of the date of this document and sourced from Invesco unless otherwise stated. Portfolio weightings and allocations are subject to change. *Source: Data as of the date of this document. Performance of the share class(es) and Morningstar rating are sourced from 2016 Morningstar. Index performance is sourced from Invesco. Morningstar rating (if applicable) is given to the share class as shown in the Indexed performance chart. Performance of the share class(es) is calculated based on NAV to NAV, gross income re-invested in share class currency. Invesco Funds Hotline: (852) Invesco Distributors Hotline: (852) Fax: (852) investorservices@invesco.com Website: (AP834)

2 Issuer: Invesco Asset Management Asia Limited 29 April 2016 FOR THE ATTENTION OF HONG KONG INVESTORS Quick Facts Fund Manager/ Management Company: Investment Adviser: Base Currency: Custodian: Dealing Frequency: Financial Year End: This statement provides you with key information about this product. This statement is a part of the Prospectus and should be read in conjunction with the Prospectus. You should not invest in this product based on this statement alone. Invesco Management S.A. Invesco Advisers, Inc., located in the USA. (Internal delegation) US Dollar The Bank of New York Mellon (International) Ltd, Luxembourg Branch Daily The last day of February Ongoing charges Class A accumulation USD 1.71% + over a year: Class A monthly distribution gross income USD 1.71% + Class A quarterly distribution USD 1.71% + Class A quarterly distribution gross income USD 1.71% + Class A monthly distribution-1 USD 1.71%^ Class C accumulation USD 1.16% + ^ As the Share Class has recently been established, the ongoing charges figure is estimated based on the expected annualised total of charges expressed as a percentage of the average net asset value over the same period. This figure may vary from year to year. It excludes portfolio transaction costs. + The ongoing charges figure is calculated based on annualised expenses for the period ending 31 August 2015 divided by the average net assets over the same period. This figure may vary from year to year. It excludes portfolio transaction costs. Dividend Policy: PRODUCT KEY FACTS Invesco Global Income Real Estate Securities Fund A sub-fund of Invesco Funds, SICAV Distribution (Dividends, if any, will be paid to the investors) Gross Income (Dividends, if any, will be paid to investors) # Accumulation (Dividends, if any, will be re-invested into the Fund) Monthly Distribution-1 (Dividends, if any, will be paid to investors monthly. The Fund intends to pay (a) a portion of dividends out of gross income, (b) a portion of dividends out of capital, and (c) with respect to hedged share classes, the interest rate differential between the currency in which the share class is denominated and the base currency of the Fund. The Fund may pay dividends out of capital and may reduce the net asset value per share of this share class immediately after the monthly distribution date) # The Fund may at its discretion pay dividend out of gross income while charging/paying all or part of the Fund s fees and expenses to/out of the capital of the Fund, resulting in an increase in distributable income for the payment of dividends by the Fund and therefore, the Fund may effectively pay dividend out of capital and may reduce the net asset value per share of this share class immediately after the relevant distribution date. 1

3 Minimum Investment/ Minimum Subscription Amount: Share class A C Initial (in any of the dealing currencies listed in the Application Form) USD1,500 EUR1,000 GBP1,000 HKD10,000 JPY120,000 AUD1,500 CAD1,500 NZD2,000 Additional - - What is this product? Invesco Global Income Real Estate Securities Fund USD1,000,000 EUR800,000 GBP600,000 HKD8,000,000 JPY80,000,000 AUD1,000,000 CAD1,000,000 NZD1,200,000 Invesco Global Income Real Estate Securities Fund (the Fund ) is a fund constituted in form of a mutual fund. It is domiciled in Luxembourg and its home regulator is the CSSF, Luxembourg supervisory authority. Objectives and Investment Strategy The objective of the Fund is to generate income and to a lesser extent to achieve long-term capital appreciation by investing in a diversified portfolio of securities of companies and other entities engaged in the real estate sector worldwide. The Fund seeks to achieve its objective through investing at least 70% of the total assets of the Fund (without taking into account ancillary liquid assets) in equity, equity related and/or debt securities issued by companies and other entities which derive the predominant part of their revenues from activities related to real estate worldwide including real estate investment trusts (REITs), REIT-like companies and other real estate operating companies worldwide. Up to 30% of the total assets of the Fund may be invested in cash and cash equivalents, money market instruments, equity and equity related instruments or debt securities issued by companies or other entities (including governments) not meeting the above requirements. Not more than 10% of the total assets of the Fund may be invested in securities issued by or guaranteed by a country whose credit rating is below investment grade. The Fund may use derivatives (including but not limited to futures, forwards, non-deliverable forwards, swaps and complex options structures) extensively for hedging and efficient portfolio management purposes. Such derivatives may also incorporate derivatives on derivatives (i.e. forward dated swaps, swap options). However, financial derivative instruments will not be extensively used for investment purposes (i.e. entering into financial derivative instruments to achieve the investment objectives). What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risks factors. Risk of investing in sector-based/concentrated fund - since the Fund will not normally maintain a wide spread of investments, a more concentrated approach is taken. Investments are chosen for their long term potential and their prices (and therefore the net asset value) may be subject to above average volatility. Thus, this will have an adverse impact on the Fund and/or the interests of investors. Risk of investing in REITs - The Fund does not invest directly in real estate and insofar as it directly invests in REITs, any dividend policy or dividend payout at the Fund level may not be representative of the dividend policy or dividend payout of the relevant underlying REIT which may have an adverse impact on the Fund and/or the interests of investors. The relevant underlying REIT may not necessarily be authorised by the SFC in Hong Kong. Please note that the Fund is authorised under the SFC s Code on Unit Trusts and Mutual Funds and not under the SFC s Code on Real Estate Investment Trusts. SFC authorisation does not imply official approval or recommendation. Equities risk - The value of, and income derived from, equity securities held may fall as well as rise and the Fund may not recoup the original amount invested in such securities. The prices of and the income generated by equity securities may decline in response to certain events, including the activities and results of the issuer, general economic and market conditions, regional or global economic instability and currency and interest rate fluctuations. Thus, this may adversely impact the Fund and/or the interests of investors. 2

4 Invesco Global Income Real Estate Securities Fund Credit risk - Investment in bonds or other fixed income securities are subject to the risk that issuers not make payments on interest and principal of such securities. An issuer suffering from an adverse change in its financial condition could lower the quality of a security leading to greater price volatility on that security. In the event of a bankruptcy or other default of the issuer, the Fund may experience both delays in liquidating the underlying securities and losses including a possible decline in value of the underlying securities during the period when the Fund seeks to enforce its rights thereto. This will have an adverse impact on the Fund and/or the interests of investors. - Securities which were investment grade at the time of acquisition may be downgraded. The risk of any such downgrading will vary over time. The Fund s investment policy does not specifically require the Fund to sell such securities if they should fall below investment grade. Investments in below investment grade securities carry a higher risk of default and therefore may adversely impact the Fund and/or the interests of investors. Interest rate risk - The bonds or fixed income securities that the Fund invests in may fall in value if the interest rates change. Longer term debt securities are usually more sensitive to interest rate changes. Risk with international investing - Since the Fund invests on an international basis, the value of the assets of the Fund may be affected by uncertainties of the underlying countries such as political, economic or other developments in the law or regulations of the countries in which the Fund may invest. Besides, as the Fund invests in securities denominated in different currencies other than the base currency of the Fund; changes in foreign currency exchange rates will affect the value of shares held in the Fund. Thus, this may adversely impact the Fund and/or the interests of investors. Investment risk - There can be no assurance that the Fund will achieve its investment objective. There is no guarantee of the repayment of principal. The instruments invested by the Fund may fall in value. Risk relating to those Share Classes denominated/dealt in a different currency than the base currency - For those classes of Shares denominated/dealt in a different currency than the base currency, due to fluctuations in currency markets, returns to investors, when converted back into the currency in which the investor subscribes and redeems, may be different to the return calculated by reference to the base currency. This means the returns may go down and adversely impact the investors. Therefore, the value of those investments (when converted to the base currency of that Fund) may fluctuate due to changes in exchange rates. The price of shares/units and the income from them can go down as well as up and investors may not realise their initial investment. Risks associated with payment of dividends out of capital - - In respect of Monthly Distribution-1 share class, investors should note that, the Fund may at its discretion pay dividend out of the capital of this share class. Payment of dividends 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 distributions involving payment of dividends out of the share class s capital may result in an immediate reduction of the net asset value per share in respect of such share class after the monthly distribution date. Such policy may be amended upon prior approval from the SFC and 1 month s prior notice to affected shareholders. - The amount of distributions paid may not be correlated to past income or expected returns of the Monthly Distribution- 1 share class. The distribution paid can thus be higher or lower than the income and return earned by the Fund during the distribution period. Monthly Distribution-1 share class may continue to distribute in periods in which the Fund has negative returns or is making losses, which further reduces the net asset value of the relevant Monthly Distribution-1 share class. In extreme circumstances, investors may not be able to get back their original investment amount. - It is not the intention of the Fund to take exchange rate fluctuations between the currency in which the share class is denominated and the base currency of the Fund (where different) into consideration subsequent to the determination of the stable distribution rate. - The distribution rate will be determined at the discretion of the Fund and there is no guarantee that a distribution payment will be made and if a distribution payment is made, the dividend rate is not guaranteed. - Investments in the Monthly Distribution-1 share class do not constitute as an alternative to a savings account or fixed-interest paying investment. - For Monthly Distribution-1 share class that are currency hedged, the Fund may take into account the return driven by the interest rate differential arising from the currency hedging of such share class in determining the distribution to be paid. This will mean that, where the interest rate differential between the currency in which the hedged Monthly Distribution-1 share class is denominated and the base currency of the Fund is positive, investors may forego capital gains in favour of income distributions. Conversely, in times where the interest rate differential between the currency in which the hedged Monthly Distribution-1 share class is denominated and the base currency of the Fund 3

5 Invesco Global Income Real Estate Securities Fund is negative, then the value of distributions payable may be reduced as a result. Investors should be aware of the uncertainty of relative interest rates, which are subject to change, and that this will have an impact on the return of the hedged Monthly Distribution-1 share class. The net asset value of the Monthly Distribution-1 hedged share class may fluctuate and may significantly differ from other share class due to the fluctuation of the interest rate differential between the currency in which the hedged Monthly Distribution-1 share class is denominated and the base currency of the Fund, and investors in such share class may therefore be adversely affected. Risks associated with payment of fees and expenses out of capital - In respect of Monthly Distribution and Quarterly Distribution Gross Income share classes, investors should note that, the Fund manager may at its discretion pay dividend out of gross income while charging/paying all or part of the share class s fees and expenses out of the capital of the share class, resulting in an increase in distributable income for the payment of dividends by the share class and therefore, the share class may effectively pay dividend out of capital. Payment of dividends 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 distributions involving payment of dividends effectively out of the share class s capital may result in an immediate reduction of the net asset value per share in respect of such share class after the respective distribution date. Such policy may be amended upon prior approval from the SFC and 1 month s prior notice to affected shareholders. Risk of investing in financial derivative instruments - Investments of the Fund may be composed of financial derivative instruments used for efficient portfolio management or to attempt to hedge or reduce the overall risk of its investments. Should the Investment Adviser s expectations in employing techniques and financial derivative instruments for efficient portfolio management and hedging purposes be incorrect or ineffective, the Fund may suffer a substantial loss having an adverse effect on the net asset value of the Shares. Since financial derivative instruments may be geared instruments, their use may result in greater fluctuations of the net asset value of the Fund. How has the fund performed? % Share Class The Manager views Class A quarterly distribution - USD (the Share Class ), being the focus share class of the Fund available to the public of Hong Kong, as the most appropriate representative unit class. Fund launch date: 31 October Share Class launch date: 31 October The base currency of the Fund is USD. Past performance of the Share Class is calculated in USD. Performance is calculated after deduction of ongoing charges and is inclusive of gross income reinvested. Any entry/exit charges shown are excluded from the calculation. Past performance is not a guide to future performance. Investors may not get back the full amount invested. The computation basis of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested. These figures show by how much the Share Class increased or decreased in value during the calendar year being shown. Where no past performance is shown there was insufficient data available in that year to provide performance. Is there any guarantee? This Fund does not have any guarantees. You may not get back full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Fee What you pay Subscription fee/ Initial charge Switching fee Redemption fee Class A, C: Not exceeding 5.00% of the gross investment amount. Up to 1.00% of the value of the shares being switched. 4

6 Ongoing fees payable by the Fund Invesco Global Income Real Estate Securities Fund The following expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Management fee* Class A: 1.25% Class C: 0.80% Annual rate (as a % of the Fund s value) Custodian fee/ Custodian charge Performance fee Administration fee Distribution fee Up to % Service agents fee Class A: Up to 0.40% Class C: Up to 0.30% *The fees can be increased subject to the prior approval of the SFC and by giving not less than three months prior notice to the investors. Other fees You may have to pay other fees when dealing in the shares of the Fund. Additional Information The Compositions of the dividends (i.e. the relative amounts paid out of (i) net distributable income and (ii) capital) for the last 12 months ( Dividend Composition Information ) are available from the Hong Kong Sub-Distributor and Representative, Invesco Asset Management Asia Limited, on request and at This website has not been reviewed by the Securities and Futures Commission (SFC). You generally buy and redeem shares at the Fund s next-determined NAV after the Hong Kong Sub-Distributor and Representative, Invesco Asset Management Asia Limited, receives your request in good order on or before 5:00 pm, Hong Kong time, being the Fund s dealing cut-off time. Before placing your subscription or redemption orders, please check with your distributor for the distributor s internal cut-off time (which may be earlier than the fund s dealing cutoff time). The NAV of this Fund is calculated each Business Day as defined in the Prospectus and the price of shares published each Hong Kong business day (i.e. a day on which banks in Hong Kong are open for normal banking business) at This website has not been reviewed by the Securities and Futures Commission (SFC). Investors may obtain the past performance information of other share classes offered to Hong Kong investors at This website has not been reviewed by the Securities and Futures Commission (SFC). Investors may obtain other information of this product at This website has not been reviewed by the Securities and Futures Commission (SFC). Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness. 5