BLACKROCK GLOBAL FUNDS Product Key Facts December 2016
Contents Pages ASEAN Leaders Fund 3 Asia Pacific Equity Income Fund 7 Asian Dragon Fund 12 Asian Growth Leaders Fund 16 Asian Local Bond Fund 20 Asian Tiger Bond Fund 25 China Fund 31 Continental European Flexible Fund 35 Emerging Europe Fund 39 Emerging Markets Bond Fund 43 Emerging Markets Corporate Bond Fund 49 Emerging Markets Equity Income Fund 54 Emerging Markets Fund 59 Emerging Markets Local Currency Bond Fund 63 Euro Bond Fund 69 Euro Corporate Bond Fund 73 Euro Reserve Fund 77 Euro Short Duration Bond Fund 81 Euro-Markets Fund 85 European Equity Income Fund 89 European Fund 94 European Special Situations Fund 98 European Value Fund 102 Fixed Income Global Opportunities Fund 106 Flexible Multi-Asset Fund 112 Global Allocation Fund 116 Global Corporate Bond Fund 121 Global Dynamic Equity Fund 127 Global Enhanced Equity Yield Fund 131 Global Equity Income Fund 136 Global Government Bond Fund 141 Global High Yield Bond Fund 146 Global Inflation Linked Bond Fund 152 Global Multi-Asset Income Fund 157
Global Opportunities Fund 163 Global SmallCap Fund 167 India Fund 171 Japan Flexible Equity Fund 175 Japan Small & MidCap Opportunities Fund 179 Latin American Fund 183 Natural Resources Growth & Income Fund 187 New Energy Fund 192 Pacific Equity Fund 196 Swiss Small & MidCap Opportunities Fund 200 United Kingdom Fund 204 US Basic Value Fund 208 US Dollar Core Bond Fund 212 US Dollar High Yield Bond Fund 217 US Dollar Reserve Fund 223 US Dollar Short Duration Bond Fund 227 US Flexible Equity Fund 231 US Government Mortgage Fund 235 US Growth Fund 239 US Small & MidCap Opportunities Fund 243 World Agriculture Fund 247 World Bond Fund 251 World Energy Fund 256 World Financials Fund 260 World Gold Fund 264 World Healthscience Fund 268 World Mining Fund 272 World Technology Fund 276
PRODUCT KEY FACTS BlackRock Global Funds ASEAN Leaders Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 USD 1.87% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A as at the Non-Distributing Shares: No dividends declared or paid A2 above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A Shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in member countries of the ASEAN 1 economic organisation at the time of investment. The Fund places particular emphasis on leading companies that, in the opinion of the Investment Adviser, have attained or exhibited potential to attain above average market share in the geography they operate, or in one or more products or services within its principal sector, or profitability or sales growth or superior returns. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. 1 ASEAN means The Association of Southeast Asian Nations which was established on 8 August 1967 in Bangkok, Thailand, with the signing of the ASEAN Declaration (Bangkok Declaration). As of the date of the Prospectus of BGF, the members of ASEAN are Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. 3
BlackRock Global Funds ASEAN Leaders Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. As the Fund is an equity fund, it does not anticipate investing more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade*. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Emerging Market Risks Investment in emerging markets (most ASEAN member countries except Singapore) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Geographical Concentration Risks The Fund s investments are concentrated in member countries of ASEAN. This may result in greater volatility than more broad-based investments. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 4
BlackRock Global Funds ASEAN Leaders Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 10% 5% 0% -5% -10% -15% -20% 2011 2012 2013 2014 2015 Fund 1.7 3.8-19.1 Benchmark -4.7 6.2-18.5 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is the MSCI South-East Asia Index Fund launch date: 2012 Share class launch date: 2012 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 5
BlackRock Global Funds ASEAN Leaders Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: Up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. This website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 6
PRODUCT KEY FACTS BlackRock Global Funds Asia Pacific Equity Income Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 GBP 1.87% Class A2 USD 1.87% Class A4(G) EUR Hedged 1.85% Class A5(G) HKD 1.87% Class A5(G) SGD Hedged 1.86% Class A5(G) USD 1.86% Class A6 HKD Hedged 1.86% Class A6 USD 1.86% Class A8 AUD Hedged 1.86% Class A8 ZAR Hedged 1.88% Class C5(G) SGD Hedged 3.12% Class C5(G) USD 3.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 7
BlackRock Global Funds Asia Pacific Equity Income Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A6, A8 Quarterly: A5(G), C5(G) Yearly: A4(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To achieve an above average income without sacrificing long term capital growth by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the Asia Pacific* region excluding Japan. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as India, South Korea and Taiwan). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. * Asia Pacific refers to the region comprising the countries in the Asian continent and surrounding Pacific islands including Australia and New Zealand. 8
BlackRock Global Funds Asia Pacific Equity Income Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 4, 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 4. Emerging Market Risks Investment in emerging markets (including certain Asia Pacific countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 9
BlackRock Global Funds Asia Pacific Equity Income Fund 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Geographical Concentration Risks The Fund s investments are concentrated in Asia Pacific region excluding Japan. This may result in greater volatility than more broad-based investments. 9. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% 0-10% -20% Fund Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 24.3-15.8 26.6 10.2 4.6-10.6 18.1-15.6 22.3 3.4 2.8-9.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI AC Asia Pacific ex Japan Index. Fund launch date: 2009 Share class launch date: 2009 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 10
BlackRock Global Funds Asia Pacific Equity Income Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 11
PRODUCT KEY FACTS BlackRock Global Funds Asian Dragon Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.87% Class A2 CHF Hedged 1.90%* Class A2 EUR 1.87% Class A2 EUR Hedged 1.90%* Class A2 GBP 1.87% Class A2 PLN Hedged 1.86%* Class A2 SGD Hedged 1.88% Class A2 USD 1.87% Class A4 GBP 1.87% Class C2 EUR 3.12% Class C2 USD 3.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares 12
13 BlackRock Global Funds Asian Dragon Fund What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in the stocks of companies based in, or with the majority of their business in, Asia excluding Japan. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as India, South Korea and Taiwan). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Emerging Market Risks Investment in emerging markets (including certain Asian countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses.
BlackRock Global Funds Asian Dragon Fund 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in Asia (excluding Japan). This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 80% 60% 40% 20% 0% -20% -40% -60% 2006 2007* 2008 2009 2010 2011 2012 2013 2014 2015 Fund Benchmark 27.8 40.4-55.8 71.3 17.8-26.8 26.8 10.4 5.7-5.0 31.7 40.8-52.4 72.1 19.6-17.3 22.4 3.1 4.8-9.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI AC Asia ex Japan Index. * The benchmark changed on 9 April 2007 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 14
BlackRock Global Funds Asian Dragon Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 15
PRODUCT KEY FACTS BlackRock Global Funds Asian Growth Leaders Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Fund Manager: BlackRock (Luxembourg) S.A. Investment Adviser: BlackRock Investment Management (UK) Limited (internal delegation, UK) Sub-Adviser: BlackRock Asset Management North Asia Limited (internal delegation, HK) Depositary: The Bank of New York Mellon (International) Limited Ongoing charges over Class A2 AUD Hedged 1.88% a year: Class A2 CHF Hedged 1.89%* Class A2 EUR Hedged 1.90%* Class A2 SGD Hedged 1.87% Class A2 USD 1.87% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A as at Non-Distributing Shares: No dividends declared or paid A2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A Shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 16
BlackRock Global Funds Asian Growth Leaders Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Asia, excluding Japan. The Fund places emphasis on sectors and leading companies that, in the opinion of the Investment Adviser, exhibit growth investment characteristics, such as above-average growth rates in earnings or sales and high or improving returns on capital. Such companies may also have attained or exhibited potential to attain above average market share in the geography they operate, or in one or more products or services within its principal sector. The Fund may invest up to 30% of its total assets in certain eligible China A Shares listed in the People s Republic of China ( PRC ) via the Shanghai-Hong Kong Stock Connect ( Stock Connect ). For the avoidance of doubt, it is expected that the Fund s investments in the PRC via Stock Connect shall be less than 30% of the Fund s total assets. The Fund may also invest in emerging markets (such as India, South Korea and Taiwan). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. As the Fund is an equity fund, it does not anticipate investing more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade*. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Emerging Market Risks Investment in emerging markets (including certain Asian countries excluding Japan) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 17
BlackRock Global Funds Asian Growth Leaders Fund 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in Asia (excluding Japan). This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 9. Risks associated with investments via Stock Connect The relevant rules and regulations on Stock Connect are subject to change which may have potential retrospective effect. The Stock Connect is subject to quota limitations. Where a suspension in the trading through the programme is effected, the Fund s ability to invest in China A Shares or access the PRC market through the programme will be adversely affected. In such event, the Fund s ability to achieve its investment objective could be negatively affected. How has the Fund performed? Historic performance to 31 December 2015 25% 20% 15% 10% 5% 0% -5% -10% 2011 2012 2013 2014 2015 Fund 23.8 9.5 1.0 Benchmark 3.1 4.8-9.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI AC Asia ex Japan Index. Fund launch date: 2012 Share class launch date: 2012 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 18
BlackRock Global Funds Asian Growth Leaders Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: Up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 19
PRODUCT KEY FACTS BlackRock Global Funds Asian Local Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Fund Manager: BlackRock (Luxembourg) S.A. Investment Adviser: BlackRock (Singapore) Limited (internal delegation, Singapore) Sub-Adviser: BlackRock Asset Management North Asia Limited (internal delegation, HK) Depositary: The Bank of New York Mellon (International) Limited Ongoing charges over Class A2 USD 1.31% a year: Class A3 USD 1.32% Class A6 USD 1.31% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared, will be paid in cash or reinvested Monthly: A3, A6 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Class 6) may pay dividends out of gross income while charging all or part of its fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Class 6 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 20
BlackRock Global Funds Asian Local Bond Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of its total assets in local currency-denominated bonds (including non-investment grade* bonds) issued by governments/authorities of, and companies based in, or with the majority of their business in Asia, excluding Japan. The Fund may also invest in distressed securities. It is not anticipated that the Fund will invest more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade*. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Emerging Market Risks Investment in emerging markets (including certain Asian countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 21
BlackRock Global Funds Asian Local Bond Fund Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Liquidity Risks The size and trading volume of securities in the markets relevant to the Fund may be substantially smaller than developed markets. This may lead to investments in such securities becoming less liquid, making it difficult to dispose of them which may reduce the Fund s returns/lead to losses for investors. 9. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 10. Foreign Investments Restrictions Risks Some countries and currencies (such as Renminbi, which is subject to foreign exchange restrictions) prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries or currencies. Such restrictions may delay the investment or repatriation of capital of the Fund. 11. Geographical Concentration Risks The Fund s investments are concentrated in Asia, excluding Japan. This may result in greater volatility than more broad-based investments. 22
BlackRock Global Funds Asian Local Bond Fund 12. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. 13. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Class 6) or payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Class 6) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital or gross income), which may therefore result in a larger reduction in the net asset value per share. How has the Fund performed? Historic performance to 31 December 2015 5% 4% 3% 2% 1% 0% -1% -2% -3% -4% -5% -6% -7% -8% 2011 2012 2013 2014 2015 Fund -7.8 3.5 4.4-3.9-3.2 Benchmark -5.7 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is Markit iboxx ALBI Index. The benchmark changed on 1 April 2016 as the previous benchmark (HSBC Asian Local Bond Index) was discontinued by its index provider. The index methodology of the current benchmark is substantially the same as the previous benchmark. Performance prior to this date uses the previous benchmark. Fund launch date: 2012 Share class launch date: 2012 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 23
BlackRock Global Funds Asian Local Bond Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: Up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.00% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 24
PRODUCT KEY FACTS BlackRock Global Funds Asian Tiger Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Fund Manager: BlackRock (Luxembourg) S.A. Investment Adviser: BlackRock (Singapore) Limited (internal delegation, Singapore) Sub-Adviser: BlackRock Asset Management North Asia Limited (internal delegation, HK) Depositary: The Bank of New York Mellon (International) Limited Ongoing charges over Class A1 USD 1.23% a year: Class A2 EUR Hedged 1.24% Class A2 SGD Hedged 1.23% Class A2 USD 1.23% Class A3 AUD Hedged 1.23% Class A3 EUR Hedged 1.22% Class A3 HKD Hedged 1.24% Class A3 NZD Hedged 1.23% Class A3 SGD Hedged 1.23% Class A3 USD 1.23% Class A6 EUR Hedged 1.26%^ Class A6 GBP Hedged 1.25%^ Class A6 HKD Hedged 1.23% Class A6 SGD Hedged 1.25% Class A6 USD 1.23% Class A8 AUD Hedged 1.23% Class A8 CAD Hedged 1.23%^ Class A8 NZD Hedged 1.24%^ Class A8 ZAR Hedged 1.23% Class C1 USD 2.48% Class C2 USD 2.48% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For any share class marked &, the ongoing charges figure is based on expenses for the 12-month period ended 31 July 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. For any share class marked ^, the ongoing charges figure is based on expenses for the 12-month period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. The figure may vary from year to year. 25
BlackRock Global Funds Asian Tiger Bond Fund Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds (including non-investment grade* bonds), issued by governments/authorities of, and companies based or with the majority of their business in, Asian Tiger countries**. The Fund may also invest in distressed securities. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. It is not anticipated that the Fund will invest more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade*. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. ** Asian Tiger countries means South Korea, the People s Republic of China, Taiwan, Hong Kong, the Philippines, Thailand, Malaysia, Singapore, Vietnam, Cambodia, Laos, Myanmar, Indonesia, Macau, India and Pakistan. 26
BlackRock Global Funds Asian Tiger Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Emerging Market Risks Investment in emerging markets (including certain Asian countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 5. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 6. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. 27
BlackRock Global Funds Asian Tiger Bond Fund 7. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 8. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 9. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 10. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 11. Geographical Concentration Risks The Fund s investments are concentrated in Asia excluding Japan. This may result in greater volatility than more broad-based investments. 12. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 13. Liquidity Risks The size and trading volume of securities in the markets relevant to the Fund may be substantially smaller than developed markets. This may lead to investments in such securities becoming less liquid, making it difficult to dispose of them which may reduce the Fund s returns/lead to losses for investors. 28
BlackRock Global Funds Asian Tiger Bond Fund How has the Fund performed? Historic performance to 31 December 2015 30% 25% 20% 15% 10% 5% 0% -5% -10% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 7.7 2.1-9.4 26.2 13.1 1.9 14.2-3.0 8.2 2.3 Benchmark 7.3 5.4-9.8 28.3 10.6 4.1 14.3-1.4 8.3 2.8 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is JP Morgan Asian Credit Index. Fund launch date: 1996 Share class launch date: 1996 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 29
BlackRock Global Funds Asian Tiger Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.00% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 30
PRODUCT KEY FACTS BlackRock Global Funds China Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.85% Class A2 EUR 1.84%^ Class A2 EUR Hedged 1.84% Class A2 HKD 1.84% Class A2 SGD Hedged 1.84% Class A2 USD 1.84% Class A4 GBP Hedged 1.84% Class C2 SGD Hedged 3.10% Class C2 USD 3.09% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For any share class marked ^, the ongoing charges figure is based on expenses for the 12-month period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 31
BlackRock Global Funds China Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the People s Republic of China (the PRC ). The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the PRC via the Shanghai-Hong Kong Stock Connect. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Emerging Market Risks Investment in emerging markets (including the PRC) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 5. Geographical Concentration Risks The Fund s investments are concentrated in the PRC. This may result in greater volatility than more broad-based investments. 32
BlackRock Global Funds China Fund 6. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 80% 60% 40% 20% 0% -20% -40% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund Benchmark 79.3 7.8-21.1 23.0 4.2 14.6-2.6 69.1 4.5-18.4 23.0 3.7 8.4-8.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI China 10/40 Index. Fund launch date: 2008 Share class launch date: 2008 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 33
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: BlackRock Global Funds China Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 34
PRODUCT KEY FACTS BlackRock Global Funds Continental European Flexible Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.83% Class A2 USD 1.83% Class A2 USD Hedged 1.84%^ Class A4 EUR 1.84% Class A4 GBP 1.83% Class A4 GBP Hedged 1.82% Class C2 EUR 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For any share class marked ^, the ongoing charges figure is based on expenses for the 12-month period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 35
BlackRock Global Funds Continental European Flexible Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Europe excluding the UK. The Fund may invest in securities that exhibit either growth or value investment characteristics. The Fund may also invest in emerging markets (such as Hungary, Poland and Russia). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in Europe excluding the UK. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets (including certain European countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. 36
BlackRock Global Funds Continental European Flexible Fund Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 80% 60% 40% 20% 0% -20% Fund -40% 2006* 2007 2008 2009 2010 2011 2012 2013 23.5 4.1-38.3 47.1 31.4-15.6 29.5 24.2 2014 Benchmark 22.5 6.2-42.2 30.7 9.7-12.5 21.3 22.0 7.4 10.9 During this period the performance of the Fund was achieved under circumstances that no longer apply. The Fund changed its investment policy in 2006. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is FTSE World Europe ex UK Index. * The benchmark changed on 2 October 2006 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1986 Share class launch date: 1986 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 5.1 2015 20.8 37
BlackRock Global Funds Continental European Flexible Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 38
PRODUCT KEY FACTS BlackRock Global Funds Emerging Europe Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 2.15% Class A2 SGD Hedged 2.14% Class A2 USD 2.15% Class A4 EUR 2.15% Class A4 GBP 2.15% Class C2 EUR 3.41% Class C2 USD 3.41% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 39
BlackRock Global Funds Emerging Europe Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, emerging European or Mediterranean* countries. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Emerging Market Risks Investment in emerging markets (including emerging European/Mediterranean countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. * Mediterranean countries refer to countries bordering the Mediterranean Sea, such as Turkey and Egypt. 40
BlackRock Global Funds Emerging Europe Fund 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in emerging European/Mediterranean countries. This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 100% 80% 60% 40% 20% 0% -20% -40% -60% -80% 2006* 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 34.8 20.1-68.1 87.5 29.0-24.5 18.9-4.5-14.3 0.3 Benchmark 26.2 21.0-65.1 84.2 26.2-21.9 25.4-8.5-19.7-5.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Emerging Markets Europe 10/40 Index. * The benchmark changed on 1 October 2006 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1995 Share class launch date: 1995 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 41
BlackRock Global Funds Emerging Europe Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 42
PRODUCT KEY FACTS BlackRock Global Funds Emerging Markets Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Financial Management, Inc. (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A1 EUR 1.48% Class A1 USD 1.48% Class A2 EUR 1.48% Class A2 EUR Hedged 1.48% Class A2 GBP Hedged 1.49% Class A2 USD 1.47% Class A3 EUR 1.48% Class A3 USD 1.47% Class A4 EUR 1.48% Class A6 CAD Hedged 1.48%* Class A6 GBP Hedged 1.48%* Class A6 HKD Hedged 1.47% Class A6 USD 1.48% Class A8 AUD Hedged 1.48% Class A8 NZD Hedged 1.48%* Class A8 ZAR Hedged 1.48% Class C1 USD 2.73% Class C2 USD 2.73% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 43
BlackRock Global Funds Emerging Markets Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Annual: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds (including non-investment grade^) issued by governments/authorities of, and companies based or with the majority of their business in, emerging markets (such as Brazil, South Africa and South Korea). The Fund may also invest in distressed securities. The Fund may invest up to 20% of its assets in debt securities issued by and/or guaranteed by governments in each of Brazil, Turkey, Ukraine and Venezuela, which are currently rated noninvestment grade^. Although the Fund is not an index-tracking fund, the Investment Adviser will take into account the constituent weighting of the JP Morgan Emerging Markets Bond Index Global Diversified Index when making investment decisions. Currently, the government bond markets of Brazil, Turkey and Venezuela each account for a significant weight within this index. Further, the Fund may hold more than 10% in Ukraine government bonds due to compelling economic reasons. Due to market movements, as well as credit/investment rating changes, the exposure may change over time. The above countries are for reference only and may change without prior notice to the investors. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. ^ Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 44
BlackRock Global Funds Emerging Markets Bond Fund The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 5. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 45
BlackRock Global Funds Emerging Markets Bond Fund 6. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). The Fund may have greater exposure (up to 20% per country) of its assets in debt securities issued by and/or guaranteed by non-investment grade countries i.e. Brazil, Turkey, Ukraine and Venezuela, which may result in higher credit/default risk and concentration risk. 7. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 8. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 9. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 46
BlackRock Global Funds Emerging Markets Bond Fund 10. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 11. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 12. Liquidity Risks The size and trading volume of securities in the markets relevant to the Fund may be substantially smaller than developed markets. This may lead to investments in such securities becoming less liquid, making it difficult to dispose of them which may reduce the Fund s returns/lead to losses for investors. How has the Fund performed? Historic performance to 31 December 2015 30% 25% 20% 15% 10% 5% 0% -5% -10% -15% 2006 2007 2008 2009 2010 2011 2012 2013* 2014 2015 Fund 10.4 4.4-11.3 26.0 12.8 5.4 16.3-5.2 5.6-1.6 Benchmark 9.9 6.3-10.9 28.2 12.0 8.5 18.5-5.4 7.4 1.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is JP Morgan Emerging Markets Bond Index Global Diversified Index. * The benchmark changed on 21 March 2013 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 2004 Share class launch date: 2004 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 47
BlackRock Global Funds Emerging Markets Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.25% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 48
PRODUCT KEY FACTS BlackRock Global Funds Emerging Markets Corporate Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Financial Management, Inc. (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR Hedged 1.72% Class A2 USD 1.71% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A as at the Non-Distributing Shares: No dividends will be declared or paid A2 above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 49
BlackRock Global Funds Emerging Markets Corporate Bond Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds (including non-investment grade^) denominated in any currency issued by companies based in, or with the majority of their business, in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may also invest in distressed securities. It is not anticipated that the Fund will invest more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade^. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. ^ Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 50
BlackRock Global Funds Emerging Markets Corporate Bond Fund 3. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Liquidity Risks The size and trading volume of securities in the markets relevant to the Fund may be substantially smaller than developed markets. This may lead to investments in such securities becoming less liquid, making it more difficult to dispose of them which may reduce the Fund s returns/lead to losses for investors. 9. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 10. Foreign Investments Restrictions Risks Some countries and currencies (such as Renminbi, which is subject to foreign exchange restrictions) prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries or currencies. Such restrictions may delay the investment or repatriation of capital of the Fund. 51
How has the Fund performed? Historic performance to 31 December 2015 6% BlackRock Global Funds Emerging Markets Corporate Bond Fund 5% 4% 3% 2% 1% 0% -1% Fund 2011 2012 2013 2014 2.7 2015-0.5 Benchmark 5.0 1.3 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is the JPMorgan Corporate Emerging Markets Bond Index Broad Diversified. Fund launch date: 2013 Share class launch date: 2013 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 52
BlackRock Global Funds Emerging Markets Corporate Bond Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: Up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 53
PRODUCT KEY FACTS BlackRock Global Funds Emerging Markets Equity Income Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 USD 1.88% Class A5(G) USD 1.86% Class A6 CAD Hedged 1.84%* Class A6 EUR Hedged 1.84%* Class A6 GBP Hedged 1.84%* Class A6 HKD Hedged 1.88% Class A6 SGD Hedged 1.84%* Class A6 USD 1.88% Class A8 AUD Hedged 1.84%* Class A8 NZD Hedged 1.84%* The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 54
BlackRock Global Funds Emerging Markets Equity Income Fund Dividend policy: (Class A as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A6, A8 Quarterly: A5(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To achieve an above average income without sacrificing long term capital growth by investing globally at least 70% of its total assets in stocks of companies based in, or with the majority of their business in, emerging markets (such as Brazil, South Africa and South Korea). The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. 55
BlackRock Global Funds Emerging Markets Equity Income Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 56
BlackRock Global Funds Emerging Markets Equity Income Fund 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% -10% -20% 2011 2012 2013 2014 2015 Fund 27.9 0.1-2.9-15.8 Benchmark 18.2-2.6-2.2-14.9 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI Emerging Markets Index. Fund launch date: 2011 Share class launch date: 2011 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 57
BlackRock Global Funds Emerging Markets Equity Income Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 58
PRODUCT KEY FACTS BlackRock Global Funds Emerging Markets Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR 1.87% Class A2 USD 1.87% Class C2 EUR 3.12% Class C2 USD 3.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: Non-Distributing Shares: No dividends will be declared or paid (Class A and C as at A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in the stocks of companies based in, or with the majority of their business in, emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. 59
BlackRock Global Funds Emerging Markets Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 60
BlackRock Global Funds Emerging Markets Fund How has the Fund performed? Historic performance to 31 December 2015 80% 60% 40% 20% 0% -20% -40% -60% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 28.5 39.4-54.0 77.5 16.9-19.1 17.5-2.3-2.1-19.3 Benchmark 32.2 39.4-53.3 78.5 18.9-18.4 18.2-2.6-2.2-14.9 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Emerging Markets Index. Fund launch date: 1993 Share class launch date: 1993 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 61
BlackRock Global Funds Emerging Markets Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 62
PRODUCT KEY FACTS BlackRock Global Funds Emerging Markets Local Currency Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A1 EUR 1.28% Class A1 USD 1.28% Class A2 CHF 1.28% Class A2 CHF Hedged 1.26% Class A2 EUR 1.28% Class A2 EUR Hedged 1.29% Class A2 PLN Hedged 1.28% Class A2 SGD Hedged 1.28% Class A2 USD 1.29% Class A3 AUD Hedged 1.26% Class A3 EUR 1.28% Class A3 HKD 1.28% Class A3 USD 1.28% Class A4 EUR 1.28% Class A4 USD 1.28% Class A6 CAD Hedged 1.28%* Class A6 GBP Hedged 1.28%* Class A6 HKD Hedged 1.28%* Class A6 USD 1.28%* Class A8 AUD Hedged 1.28% Class A8 NZD Hedged 1.28%* Class A8 ZAR Hedged 1.28% Class C1 USD 2.54% Class C2 EUR 2.54% Class C2 USD 2.54% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 63
BlackRock Global Funds Emerging Markets Local Currency Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in local currencydenominated bonds (including non-investment grade^) issued by governments/authorities of, and companies based in, or with the majority of their business in, emerging markets such as Brazil, South Africa and South Korea. The Fund may also invest in distressed securities. The Fund may invest up to 20% of its assets in debt securities issued by and/or guaranteed by governments in each of Brazil, Hungary and Turkey, which are currently rated non-investment grade^. Although this Fund is not an index-tracking fund, the Investment Adviser will take into account the constituent weighting of the JP Morgan GBI-EM Global Diversified Index when making investment decisions. Currently, the government bond markets of Brazil, Hungary and Turkey each account for a significant weight within this index. Due to market movements, as well as credit/investment rating changes, the exposure may change over time. The above countries are for reference only and may change without prior notice to the investors. ^ Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 64
BlackRock Global Funds Emerging Markets Local Currency Bond Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 65
BlackRock Global Funds Emerging Markets Local Currency Bond Fund 5. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). The Fund may have greater exposure (up to 20% per country) of its assets in debt securities issued by and/or guaranteed by non-investment grade countries i.e. Brazil, Hungary and Turkey, which may result in higher credit/default risk and concentration risk. 6. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 9. Foreign Investments Restrictions Risks Some countries and currencies (such as Renminbi, which is subject to foreign exchange restrictions,) prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries or currencies. Such restrictions may delay the investment or repatriation of capital of the Fund. 10. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 11. Liquidity Risks The size and trading volume of securities in the markets relevant to the Fund may be substantially smaller than developed markets. This may lead to investments in such securities becoming less liquid, making it difficult to dispose of them which may reduce the Fund s returns/lead to losses for investors. 66
BlackRock Global Funds Emerging Markets Local Currency Bond Fund 12. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. How has the Fund performed? Historic performance to 31 December 2015 15% 10% 5% 0% -5% -10% Fund -15% 2006 2007 2008 2009 2010 2011 2012 2013* 2014 2015-6.5 10.0 5.2-8.2 7.4-6.6-6.9 Benchmark -3.9 11.7 5.7-5.2 7.5-8.7-5.7-14.9 During this period the performance of the Fund was achieved under circumstances that no longer apply. The Fund changed its investment policy in March 2013. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is JP Morgan GBI-EM Global Diversified Index. * The benchmark changed on 21 March 2013 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1997 Share class launch date: 2007 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 67-14.2
BlackRock Global Funds Emerging Markets Local Currency Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.00% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 68
PRODUCT KEY FACTS BlackRock Global Funds Euro Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A1 EUR 0.98% Class A1 USD 0.98% Class A2 EUR 0.98% Class A2 PLN Hedged 0.97%* Class A2 USD 0.98% Class A2 USD Hedged 0.99% Class A3 EUR 0.98% Class A3 USD 0.98% Class A4 EUR 0.98% Class A4 GBP 0.98% Class C1 EUR 2.24% Class C2 EUR 2.24% Class C2 USD 2.24% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares 69
BlackRock Global Funds Euro Bond Fund What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds denominated in Euro, and at least 80% in investment grade* bonds. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 70
BlackRock Global Funds Euro Bond Fund 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 7. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. How has the Fund performed? Historic performance to 31 December 2015 12% 10% 8% 6% 4% 2% 0% Notes: Fund -2% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013-0.2 0.5 4.2 10.6 3.2 3.1 11.8 2.7-0.1 1.4 6.4 6.9 2.2 3.3 11.2 2.2 Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Barclays Euro-Aggregate 500mm+ Bond Index. Fund launch date: 1994 Share class launch date: 1994 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 11.4 11.1 2015 1.5 1.0 71
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: BlackRock Global Funds Euro Bond Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 72
PRODUCT KEY FACTS BlackRock Global Funds Euro Corporate Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A1 EUR 1.04% Class A2 CHF Hedged 1.03%* Class A2 EUR 1.04% Class A2 GBP Hedged 1.03%* Class A2 USD Hedged 1.03%* Class A3 EUR 1.04% Class C2 EUR 2.30% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1 Monthly: A3 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 73
BlackRock Global Funds Euro Corporate Bond Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in investment grade* corporate bonds denominated in Euro. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 74
BlackRock Global Funds Euro Corporate Bond Fund 7. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 8. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). How has the Fund performed? Historic performance to 31 December 2015 20% 15% 10% 5% 0% 5% Notes: Fund -10% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013-1.7-9.6 18.4 5.7 2.0 13.1 2.2 0.2-3.3 14.9 4.8 2.0 13.0 2.4 Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is BofA Merrill Lynch Euro Corporate Index. Fund launch date: 2006 Share class launch date: 2006 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 7.8 8.3 2015 0.4-0.4 75
BlackRock Global Funds Euro Corporate Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.80% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 76
PRODUCT KEY FACTS BlackRock Global Funds Euro Reserve Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 0.10% # Class C2 EUR 0.11% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. Expenses during the relevant period take into account the Management Company s waiver of management fee, in part or in whole, due to low Euro interest income in the Fund. Investors should note that such waiver may be reduced or removed at any time depending on the movement of Euro interest rates. For any share class marked #, the ongoing charges figure is based on expenses for the 12-months period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for the past 12-month period because the ongoing charge figure has varied by more than 5% from that calculated based on the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). The Fund is classified as a money market fund. 77
BlackRock Global Funds Euro Reserve Fund Objectives and Investment Strategy To maximise current income consistent with preservation of capital and liquidity by investing at least 90% of the Fund s assets in investment grade* bonds denominated in Euro and Euro cash. The Fund will invest only in securities with a residual maturity until the legal redemption date of less than or equal to 397 days and the Fund will maintain a weighted average maturity of no more than 60 days and a weighted average life of no more than 120 days. The remaining 10% may be invested in accordance with the applicable regulatory restrictions and internal guidelines. The Fund (i) may invest in derivatives for hedging purposes only; (ii) may enter into repurchase transactions for efficient portfolio management purposes only; (iii) does not engage in stock lending transactions; and (iv) does not invest in any synthetic asset backed securities (which are securities whose income is derived from financial derivative instruments on a pool of reference assets). What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. The purchase of a share in the Fund is not the same as placing funds on deposit with a bank or deposit-taking company, the Fund has no obligation to redeem shares at the subscription value and it is not subject to the supervision of the Hong Kong Monetary Authority. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. The Fund may not be appropriate for investors who seek long-term capital appreciation. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 6. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 78
BlackRock Global Funds Euro Reserve Fund 7. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). How has the Fund performed? Historic performance to 31 December 2015 1% 0% -1% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 0.1 0.6 0.0 0.0 0.1-0.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. Fund launch date: 2009 Share class launch date: 2009 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 79
BlackRock Global Funds Euro Reserve Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) Redemption Fee Contingent Deferred Sales Charge What you pay Nil, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in this Fund into a non-reserve Fund Nil Nil Nil Ongoing fees payable by the Fund The following costs paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.45% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 80
PRODUCT KEY FACTS BlackRock Global Funds Euro Short Duration Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A1 EUR 0.90% Class A2 CHF Hedged 0.90% Class A2 EUR 0.90% Class A2 USD Hedged 0.90% Class A3 EUR 0.90% Class A4 EUR 0.90% Class A4 GBP Hedged 0.90% Class A4 USD Hedged 0.90% Class C2 EUR 2.16% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1 Monthly: A3 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 81
BlackRock Global Funds Euro Short Duration Bond Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds denominated in Euro with duration of less than five years, and at least 80% in investment grade* bonds. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 82
BlackRock Global Funds Euro Short Duration Bond Fund 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 7. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. How has the Fund performed? Historic performance to 31 December 2015 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 0.9 2.0 5.3 9.4 1.2 1.4 6.0 1.9 2.4 0.7 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Fund launch date: 1999 Share class launch date: 1999 83
BlackRock Global Funds Euro Short Duration Bond Fund Is there any guarantee? This Fund does not have any guarantees. You may not get back the 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 84
PRODUCT KEY FACTS BlackRock Global Funds Euro-Markets Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 CHF Hedged 1.83% Class A2 EUR 1.83% Class A2 GBP Hedged 1.84% Class A2 SGD Hedged 1.85%* Class A2 USD 1.83% Class A2 USD Hedged 1.83% Class A4 EUR 1.83% Class A4 GBP 1.83% Class C2 EUR 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 85
BlackRock Global Funds Euro-Markets Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in the stocks of companies based in, or with the majority of their business in, countries participating in the European Economic and Monetary Union (such as France and Germany) or which may join in the foreseeable future. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in countries participating in the European Economic and Monetary Union. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 86
BlackRock Global Funds Euro-Markets Fund How has the Fund performed? Historic performance to 31 December 2015 Fund 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 17.7 11.4-40.1 31.2 8.6-16.4 29.7 27.0 21.9 7.8-44.9 27.3 2.4-14.9 19.3 23.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI EMU Index. * The benchmark changed on 1 January 2005 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1999 Share class launch date: 1999 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014-4.4 4.3 2015 21.8 9.8 87
BlackRock Global Funds Euro-Markets Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 88
PRODUCT KEY FACTS BlackRock Global Funds European Equity Income Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.82% Class A2 USD Hedged 1.83% Class A4(G) EUR 1.82% Class A5(G) EUR 1.82% Class A5(G) USD Hedged 1.82% Class A6 EUR 1.82% Class A6 GBP Hedged 1.83% Class A6 HKD Hedged 1.83% Class A6 SGD Hedged 1.82% Class A6 USD Hedged 1.82% Class A8 AUD Hedged 1.83% Class A8 CAD Hedged 1.83%^ Class A8 NZD Hedged 1.83%^ The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For any share class marked ^, the ongoing charges figure is based on expenses for the 12-month period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR 89
BlackRock Global Funds European Equity Income Fund Dividend policy: (Class A as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A6, A8 Quarterly: A5(G) Yearly: A4(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To achieve an above average income without sacrificing long term capital growth by investing at least 70% of its total assets in stocks of companies based in or with the majority of their business in, Europe. The Fund may also invest in emerging markets (such as Hungary, Poland and Russia). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. As the Fund is an equity fund, it does not anticipate investing more than 10% of its net asset value in debt securities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. 90
BlackRock Global Funds European Equity Income Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 4, 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 4. Geographical Concentration Risks/Eurozone Crisis Risk The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments and which may adversely affect the value of the Fund s assets. The Fund may have exposure to Eurozone markets. In light of the fiscal conditions of certain European countries, the Fund s investments in Europe may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 91
BlackRock Global Funds European Equity Income Fund 7. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 8. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 9. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% -10% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund -1.4 16.0 26.0 12.1 15.5 Benchmark -8.1 17.3 19.8 6.8 8.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI Europe Index Fund launch date: 2010 Share class launch date: 2010 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 92
BlackRock Global Funds European Equity Income Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by 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. 93
PRODUCT KEY FACTS BlackRock Global Funds European Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.83% Class A2 CAD Hedged 1.83% Class A2 EUR 1.82% Class A2 GBP Hedged 1.82% Class A2 HKD Hedged 1.83% Class A2 NZD Hedged 1.83% Class A2 SGD Hedged 1.82% Class A2 USD 1.82% Class A2 USD Hedged 1.83% Class A4 EUR 1.82% Class A4 GBP 1.82% Class C2 EUR 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: Non-Distributing Shares: No dividends will be declared or paid (Class A and C as at A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in the stocks of companies based in, or with the majority of their business in, Europe. The Fund may also invest in emerging markets (such as Hungary, Poland and Russia). 94
BlackRock Global Funds European Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets (including certain European countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 95
BlackRock Global Funds European Fund How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 20.6 2.9-40.1 38.6 13.0-10.4 20.5 21.8 2.6 11.0 Benchmark 19.6 2.7-43.7 31.6 11.1-8.1 17.3 19.8 6.8 8.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Europe Index. Fund launch date: 1993 Share class launch date: 1993 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 96
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: BlackRock Global Funds European Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 97
PRODUCT KEY FACTS BlackRock Global Funds European Special Situations Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.83% Class A2 CAD Hedged 1.83% Class A2 EUR 1.83% Class A2 GBP Hedged 1.84% Class A2 USD 1.83% Class A2 USD Hedged 1.84% Class C2 EUR 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 98
BlackRock Global Funds European Special Situations Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Europe. The Fund places emphasis on special situations companies that, in the opinion of the Investment Adviser, are companies with potential for improvement that the market has failed to appreciate. Such companies generally take the form of small, mid and large capitalisation companies that are undervalued and exhibit growth investment characteristics, such as above-average growth rates in earnings or sales and high or improving returns on capital. In some cases such companies can also benefit from changes in corporate strategy and business restructuring. In normal market conditions the Fund invests at least 50% of its assets in the stocks of companies based in, or with the majority of their business in, Europe and which form the bottom 30% by market capitalisation of European stock markets. The Fund may also invest in emerging markets (such as Hungary, Poland and Russia). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets (including certain European countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 99
BlackRock Global Funds European Special Situations Fund 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% 2006 2007 2008 2009 2010 2011 2012 2013 2014* 2015 Fund Benchmark 21.7 16.9 5.6 7.8-42.5-40.8 37.5 29.7 26.2 18.0-6.8-6.7 24.1 17.9 20.3 18.2 6.8 6.2 25.8 8.2 During this period the performance of the Fund was achieved under circumstances that no longer apply. On 14 February 2014 the European Small & MidCap Opportunities Fund was absorbed by the European Growth Fund and the surviving fund was renamed as the European Special Situations Fund and its investment policy and benchmark was changed. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Europe Index. * The benchmark changed on 14 February 2014 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 2002 Share class launch date: 2002 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 100
BlackRock Global Funds European Special Situations Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 101
PRODUCT KEY FACTS BlackRock Global Funds European Value Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.83% Class A2 EUR 1.82% Class A2 GBP 1.82% Class A2 HKD Hedged 1.82% Class A2 USD 1.82% Class A2 USD Hedged 1.83% Class A4 EUR 1.82% Class A4 GBP 1.82% Class C2 EUR 3.08% Class C2 GBP 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 102
BlackRock Global Funds European Value Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in the stocks of companies based in, or with the majority of their business in, Europe. The Fund places emphasis on companies that show characteristics of being undervalued. The Fund may also invest in emerging markets (such as Hungary, Poland and Russia). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets (including certain European countries) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 103
BlackRock Global Funds European Value Fund 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Geographical Concentration Risks The Fund s investments are concentrated in Europe. This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 Fund 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 18.7 0.7-44.7 34.5 3.9-4.0 23.2 30.0 22.3-2.4-46.5 33.5 4.1-9.5 16.4 21.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Europe Value Index. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 5.0 5.6 2015 13.1 0.7 104
BlackRock Global Funds European Value Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 105
PRODUCT KEY FACTS BlackRock Global Funds Fixed Income Global Opportunities Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A1 EUR 1.22% Class A1 USD 1.22% Class A2 CHF Hedged 1.22% Class A2 EUR 1.22% Class A2 EUR Hedged 1.22% Class A2 GBP Hedged 1.23% Class A2 JPY Hedged 1.22% Class A2 PLN Hedged 1.22% Class A2 SEK Hedged 1.22% Class A2 SGD Hedged 1.23% Class A2 USD 1.22% Class A3 EUR 1.22% Class A3 USD 1.21% Class A4 EUR Hedged 1.22% Class A4 USD 1.23% Class A5 EUR Hedged 1.22% Class A5 SGD Hedged 1.23% Class A5 USD 1.22% Class A6 HKD Hedged 1.23% Class A6 USD 1.23% Class A8 AUD Hedged 1.23% Class C1 EUR 2.48% Class C1 USD 2.48% Class C2 EUR 2.48% Class C2 USD 2.48% Class C5 USD 2.48% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 106
BlackRock Global Funds Fixed Income Global Opportunities Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Quarterly: A5, C5 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds (including non-investment grade*) denominated in various currencies and issued by governments/authorities and companies worldwide. The Fund may also invest in distressed securities, emerging markets (such as Brazil, South Africa and South Korea) and To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities ( MBS ) bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. The Fund may also invest without limit in asset-backed securities ( ABS ) and MBS, whether rated investment grade or not. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. For the purpose of Hong Kong-specific disclosure requirements, the Fund may use derivatives for hedging and extensively for non-hedging/investment purposes. Derivatives such as government bond futures and interest rate swaps may be used for hedging and mitigating interest rate risk. Foreign exchange forwards and futures may be used to minimize currency exposure. In addition to using derivatives for hedging and risk mitigation, the Fund may use derivatives such as futures, foreign exchange derivatives, swaps and options extensively for non-hedging/investment purposes but it is not limited to a particular strategy regarding the derivatives usage. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 107
BlackRock Global Funds Fixed Income Global Opportunities Fund The Fund uses Absolute Value at Risk to monitor and manage its global exposure. In normal market conditions the expected level of leverage for the Fund is 500% of its net asset value using sum of notional approach or up to 300% of its net asset value using the commitment approach. The actual average level of leverage using sum of notional approach over the past financial year ended 31 August 2015 was 746%. The expected level of leverage may be higher or lower in exceptional circumstances, for example when there are sudden movements in investment prices. The expected level of leverage is indicative and not a regulatory limit. The level of leverage using the sum of notional approach is expressed as a ratio between the aggregate of the notional values of all derivatives entered into by the Fund (including derivatives that are used for investment purposes and/or for hedging purposes) and its net asset value. The level of leverage using the commitment approach is expressed as a ratio between the market value of the equivalent position in the underlying assets of the derivatives (taking into account the possible netting and hedging arrangements) and its net asset value. Certain derivatives used by the Fund may be in respect of asset classes not correlated with the underlying securities positions held by the Fund such as derivatives on currencies, inflation and indices. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 5. Risks associated with investments in ABS and MBS The obligations associated with these securities may be subject to greater credit, liquidity and interest rate risk compared to other fixed income securities such as government issued bonds. ABS and MBS are often exposed to extension risk (where obligations in the underlying assets are not paid on time) and prepayment risks (where obligations on the underlying assets are paid earlier than expected). These risks may have a substantial impact on the timing and size of the cashflows paid by the securities and may negatively impact the returns of the securities. 6. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 108
BlackRock Global Funds Fixed Income Global Opportunities Fund 7. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 8. Derivatives Risks Risks associated with derivatives include counterparty/credit risk, liquidity risk, valuation risk, volatility risk and market risk. The leverage effect of derivatives can result in a loss significantly greater than the amount invested and extensive exposure to derivatives may lead to a significant loss by the Fund. The Fund may have commitment leverage of more than 100% of its net asset value. This may magnify the potential impact of any negative change in the value of underlying assets on the Fund and may also increase the volatility of the Fund s price and may lead to significant losses. Certain derivatives such as derivatives on currencies, inflation and indices may be uncorrelated with the underlying securities held by the Fund. In this regard the Fund may suffer significant losses notwithstanding that there may be no loss in respect of the underlying securities positions (predominantly fixed income securities) held by the Fund. 9. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 10. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 11. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 109
BlackRock Global Funds Fixed Income Global Opportunities Fund 12. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 13. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debts. In addition, there may be limited legal recourses available against the sovereign Issuer In case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). How has the Fund performed? Historic performance to 31 December 2015 Fund 20% 15% 10% 5% 0% -5% -10% -15% -20% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015-15.4 19.2 On 14 February 2014 the World Income Fund was absorbed by the Fund, and the Fund clarified its investment objective and policy. This did not have any material impact on how the portfolio is managed or the overall risk profile of the Fund. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. Fund launch date: 2007 Share class launch date: 2007 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 6.8 2.6 10.6 2.7 3.5-0.9 110
BlackRock Global Funds Fixed Income Global Opportunities Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.00% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 111
PRODUCT KEY FACTS BlackRock Global Funds Flexible Multi- Asset Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.85% Class A2 USD Hedged 1.85% Class C2 EUR 3.11% Class C2 USD Hedged 3.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: EUR Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by following an asset allocation policy that invests in stocks, bonds (including non-investment grade*), collective investment schemes, cash and money market instruments worldwide. The Fund may invest up to 80% of its assets in equities; up to 80% in fixed income; up to 20% in cash and cash equivalents; and up to 20% in alternative investments (including hedge funds, property, commodities). The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 112
BlackRock Global Funds Flexible Multi-Asset Fund The Fund adopts a flexible approach to asset allocation, driven by proprietary macroeconomic research on equity, bond, currency markets and alternative investments. We compare current valuations to our own analysis of the economic cycle to determine whether our estimated returns are more or less optimistic than the consensus. In order to generate returns in a risk-controlled manner, we monitor factors outside our basic cycle-valuation framework, including investor sentiment and positioning. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. The performance of the Fund is partially dependent on the success of the asset allocation strategy employed by the Fund. There is no assurance that the strategy employed by the Fund will be successful and therefore the investment objectives of the Fund may not be achieved. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 6. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 113
BlackRock Global Funds Flexible Multi-Asset Fund 7. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% -10% -20% Fund -30% 2006 2007 2008 2009 2010 2011 2012 2013 1.9 2.9-26.4 23.9 11.1-5.8 9.5 7.9 Benchmark 4.2 1.4-14.1 13.4 11.5 2.1 9.1 10.2 13.8 6.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in EUR, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Composite (MSCIW/CWGBI). The composite benchmark is made up of 50% MSCI World Index/50% Citigroup World Government Bond EUR Hedged Index. Fund launch date: 1999 Share class launch date: 1999 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 10.3 2015 1.3 114
BlackRock Global Funds Flexible Multi-Asset Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 115
PRODUCT KEY FACTS BlackRock Global Funds Global Allocation Fund December 2016 BlackRock Asset Management North Asia Limited This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.78% Class A2 CHF Hedged 1.78% Class A2 EUR 1.78% Class A2 EUR Hedged 1.78% Class A2 GBP Hedged 1.78% Class A2 HKD Hedged 1.78% Class A2 HUF 1.78% Class A2 PLN Hedged 1.78% Class A2 SGD Hedged 1.78% Class A2 USD 1.78% Class A4 EUR 1.78% Class A4 EUR Hedged 1.78% Class A4 USD 1.78% Class C2 EUR 3.04% Class C2 EUR Hedged 3.04% Class C2 USD 3.04% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 116
BlackRock Global Funds Global Allocation Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks, bonds (including non-investment* grade) and short term securities issued by companies and governments/ authorities worldwide. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund will generally invest in securities that show characteristics of being undervalued. The Fund may invest up to 100% of its assets in equities; and up to 100% in fixed income and money market instruments. The Fund may also invest in distressed securities and emerging markets (such as Brazil, South Africa and South Korea). The Fund adopts a fully managed investment policy, varying from time to time the combination of United States and foreign equity securities, debt and money market securities, both with respect to types of securities and markets, in response to changing market conditions and economic trends. In deciding between equity and debt investments, the Fund looks at a number of factors, such as the relative opportunity for capital appreciation, capital recovery risk, dividend yields and the level of interest rates paid on debt securities of different maturities. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. The performance of the Fund is partially dependent on the success of the asset allocation strategy employed by the Fund. There is no assurance that the strategy employed by the Fund will be successful and therefore the investment objectives of the Fund may not be achieved. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 117
BlackRock Global Funds Global Allocation Fund 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 9. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 10. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 11. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 118
BlackRock Global Funds Global Allocation Fund How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% -10% -20% -30% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 14.3 15.2-22.9 22.2 8.5-4.3 8.0 14.0 1.6-2.3 Benchmark 13.8 10.3-21.9 19.2 11.1 0.8 10.8 13.7 4.2-0.8 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Composite (Global Allocation) Index. The composite benchmark is made up of 36% S&P 500/24% FTSE World ex-us/24% 5 Year US Treasury Note/16% Citigroup Non-USD World Government Bond. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 119
BlackRock Global Funds Global Allocation Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 120
PRODUCT KEY FACTS BlackRock Global Funds Global Corporate Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A2 EUR Hedged 1.11% Class A2 SEK Hedged 1.08% Class A2 SGD Hedged 1.08%* Class A2 USD 1.11% Class A3 AUD Hedged 1.11% Class A3 CAD Hedged 1.11% Class A3 GBP Hedged 1.11% Class A3 NZD Hedged 1.11% Class A4 EUR Hedged 1.11% Class A5 USD 1.09% Class A6 HKD Hedged 1.11% Class A6 SGD Hedged 1.12%* Class A6 USD 1.11% Class A8 AUD Hedged 1.11% Class A8 NZD Hedged 1.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 121
BlackRock Global Funds Global Corporate Bond Fund Dividend policy: (Class A as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A3, A6, A8 Quarterly: A5 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in investment grade* corporate bonds issued by companies worldwide. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 122
BlackRock Global Funds Global Corporate Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 123
BlackRock Global Funds Global Corporate Bond Fund 8. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 9. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 124
How has the Fund performed? Historic performance to 31 December 2015 20% 15% 10% 5% 0% -5% -10% -15% -20% BlackRock Global Funds Global Corporate Bond Fund 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund -15.6 14.5 6.6 2.4 12.7 0.3 7.3-1.6 Benchmark -5.1 16.6 7.2 4.8 10.4 0.1 7.6-0.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is Barclays Global Aggregate Corporate Bond USD Hedged Index. Fund launch date: 2007 Share class launch date: 2007 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 125
BlackRock Global Funds Global Corporate Bond Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.90% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by 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. 126
PRODUCT KEY FACTS BlackRock Global Funds Global Dynamic Equity Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR 1.84% Class A2 EUR Hedged 1.84% Class A2 USD 1.84% Class A4 EUR 1.84% Class C2 EUR 3.10% Class C2 EUR Hedged 3.10% Class C2 USD 3.10% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide. The Fund will generally invest in stocks that show characteristics of being undervalued. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in other emerging markets (such as Brazil, South Africa and South Korea). 127
BlackRock Global Funds Global Dynamic Equity Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 128
BlackRock Global Funds Global Dynamic Equity Fund 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 7. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% -40% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 18.9-35.6 28.4 10.7-7.9 11.4 25.3 3.9-2.2 Benchmark 9.6-39.8 32.0 13.5-4.1 16.7 26.3 6.4-0.8 On 20 June 2008 the Global Fundamental Value Fund was absorbed by the Global Dynamic Equity Fund. This did not have any material impact on how the portfolio is managed or the overall risk profile of the Fund. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is Composite (S&P/FTWxUS) Index. The composite benchmark is made up of 60% S&P 500, 40% FTSE World (ex-us) Index. Fund launch date: 2006 Share class launch date: 2006 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 129
BlackRock Global Funds Global Dynamic Equity Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 130
PRODUCT KEY FACTS BlackRock Global Funds Global Enhanced Equity Yield Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR Hedged 1.83% Class A2 SGD Hedged 1.83% Class A2 USD 1.83% Class A5(G) EUR Hedged 1.83% Class A5(G) USD 1.83% Class A6 GBP Hedged 1.83% Class A6 HKD Hedged 1.83% Class A6 USD 1.84% Class A8 AUD Hedged 1.84% Class A8 CAD Hedged 1.84% Class A8 NZD Hedged 1.84% Class C2 USD 3.08% Class C5(G) USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 131
BlackRock Global Funds Global Enhanced Equity Yield Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A6, A8 Quarterly: A5(G), C5(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To generate a high level of income by investing at least 70% of the Fund s assets in stocks of companies worldwide. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. 132
BlackRock Global Funds Global Enhanced Equity Yield Fund Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 133
How has the Fund performed? Historic performance to 31 December 2015 30% 20% 10% 0% -10% -20% -30% -40% -50% BlackRock Global Funds Global Enhanced Equity Yield Fund 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 6.2-36.6 27.8 6.9-4.0 6.4 12.1 6.3-4.6 During this period the performance of the Fund was achieved under circumstances that no longer apply. The Fund changed its investment policy in 2012. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. Fund launch date: 2006 Share class launch date: 2006 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 134
BlackRock Global Funds Global Enhanced Equity Yield Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 135
PRODUCT KEY FACTS BlackRock Global Funds Global Equity Income Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 CHF Hedged 1.83% Class A2 EUR 1.82% Class A2 EUR Hedged 1.82% Class A2 PLN Hedged 1.82% Class A2 SGD Hedged 1.82% Class A2 USD 1.82% Class A4(G) EUR 1.82% Class A5(G) EUR Hedged 1.83% Class A5(G) GBP 1.82% Class A5(G) SGD Hedged 1.82% Class A5(G) USD 1.82% Class A6 HKD Hedged 1.82% Class A6 SGD Hedged 1.82% Class A6 USD 1.82% Class A8 AUD Hedged 1.82% Class A8 ZAR Hedged 1.83% Class C2 USD 3.08% Class C5(G) USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 136
BlackRock Global Funds Global Equity Income Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Quarterly: A5(G), C5(G) Monthly: A6, A8 Yearly: A4(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To achieve an above average income without sacrificing long term capital growth by investing globally at least 70% of its total assets in stocks of companies based in, or with the majority of their business in, developed markets (such as Japan, United Kingdom and the United States). The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). From 1 August 2016, the Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 137
BlackRock Global Funds Global Equity Income Fund 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 4, 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 138
BlackRock Global Funds Global Equity Income Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 7.7 7.8 18.4 2.0 0.5 Benchmark -7.4 16.1 22.8 4.2-2.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI ACWI. Fund launch date: 2010 Share class launch date: 2010 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 139
BlackRock Global Funds Global Equity Income Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by 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. 140
PRODUCT KEY FACTS BlackRock Global Funds Global Government Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A1 EUR Hedged 0.97% Class A1 USD 0.97% Class A2 EUR Hedged 0.98% Class A2 USD 0.98% Class A3 EUR Hedged 0.97% Class A3 GBP Hedged 0.97%* Class A3 HKD Hedged 0.97%* Class A3 USD 0.97% Class C1 EUR Hedged 2.23% Class C1 USD 2.23% Class C2 EUR Hedged 2.23% Class C2 USD 2.24% Class C3 USD 2.23% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 141
BlackRock Global Funds Global Government Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, C3 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in investment grade* bonds issued by governments/authorities worldwide. The Fund may also invest in To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 142
BlackRock Global Funds Global Government Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 143
How has the Fund performed? Historic performance to 31 December 2015 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% BlackRock Global Funds Global Government Bond Fund 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 2.2 4.5 2.9 3.6 4.1 3.1 6.2 1.1 7.8 0.1 Benchmark 3.1 5.7 9.2 1.0 3.4 5.5 4.5 0.2 On 8 June 2007 the Global Bond Fund (Euro) was absorbed by the Global Bond Fund (US Dollar) and the surviving fund was renamed as the Global Government Bond Fund. This did not have any material impact on how the portfolio is managed or the overall risk profile of the Fund. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Citigroup World Government Bond USD Hedged Index. Fund launch date: 1987 Share class launch date: 1987 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 8.4 1.3 144
BlackRock Global Funds Global Government Bond Fund 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) Class A Shares: up to 5% of the price of shares Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Sales Charge Class A Shares: Nil Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 145
PRODUCT KEY FACTS BlackRock Global Funds Global High Yield Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock (Singapore) Limited (internal delegation, Singapore) The Bank of New York Mellon (International) Limited Class A1 EUR Hedged 1.47% Class A1 USD 1.47% Class A2 EUR Hedged 1.47% Class A2 GBP Hedged 1.47% Class A2 PLN Hedged 1.46% Class A2 SEK Hedged 1.46% Class A2 USD 1.47% Class A3 EUR Hedged 1.47% Class A3 USD 1.47% Class A5 EUR 1.47% Class A6 HKD Hedged 1.47% Class A6 USD 1.47% Class A8 AUD Hedged 1.47% Class A8 ZAR Hedged 1.47% Class C1 EUR Hedged 2.73% Class C1 USD 2.72% Class C2 EUR Hedged 2.72% Class C2 USD 2.73% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 146
BlackRock Global Funds Global High Yield Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Quarterly: A5 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in high yield bonds (including non-investment grade*) worldwide. The Fund may also invest in distressed securities and To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 147
BlackRock Global Funds Global High Yield Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 148
BlackRock Global Funds Global High Yield Bond Fund 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 9. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 10. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 149
How has the Fund performed? Historic performance to 31 December 2015 Fund 70% 60% 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% Benchmark BlackRock Global Funds Global High Yield Bond Fund 2006 2007 2008 2009 2010 2011 2012 2013-31.6 50.4 15.5 2.5 16.4 7.4-26.6 60.9 15.3 3.2 18.9 7.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is BofA Merrill Lynch Global High Yield Constrained USD Hedged Index. Fund launch date: 2003 Share class launch date: 2007 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 1.6 2.5 2015-4.7-2.0 150
BlackRock Global Funds Global High Yield Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.25% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by 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. 151
PRODUCT KEY FACTS BlackRock Global Funds Global Inflation Linked Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A2 EUR Hedged 0.97% Class A2 USD 0.97% Class A3 USD 0.97% Class C2 USD 2.23% Class C3 USD 2.22% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A3, C3 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 152
BlackRock Global Funds Global Inflation Linked Bond Fund Objectives and Investment Strategy To maximise real return by investing at least 70% of the Fund s assets in investment grade* inflation-linked bonds worldwide. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea) and To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 3. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 153
BlackRock Global Funds Global Inflation Linked Bond Fund 4. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 9. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 154
How has the Fund performed? Historic performance to 31 December 2015 Fund 12% 10% 8% 6% 4% 2% 0% -2% -4% -6% Benchmark BlackRock Global Funds Global Inflation Linked Bond Fund 2006 2007 2008 2009 2010 2011 2012 2013 4.8 10.1 5.6-5.6 5.4 11.1 5.6-5.5 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is Barclays World Government Inflation-Linked Bond Index. Fund launch date: 2009 Share class launch date: 2009 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 8.2 9.0 2015-1.7-1.1 155
BlackRock Global Funds Global Inflation Linked Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 156
PRODUCT KEY FACTS BlackRock Global Funds Global Multi- Asset Income Fund December 2016 BlackRock Asset Management North Asia Limited This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock (Singapore) Limited (internal delegation, Singapore) The Bank of New York Mellon (International) Limited Class A2 CHF Hedged 1.74%* Class A2 EUR 1.73% Class A2 EUR Hedged 1.74% Class A2 USD 1.73% Class A3(G) Class A4(G) EUR CHF Hedged 1.74%^ 1.74%* Class A4(G) EUR Hedged 1.74% Class A4(G) USD 1.77%* Class A5(G) AUD Hedged 1.74% Class A5(G) SGD Hedged 1.74% Class A5(G) USD 1.76%* Class A6 EUR Hedged 1.76% Class A6 HKD Hedged 1.73% Class A6 SGD Hedged 1.74% Class A6 USD 1.74% Class A8 AUD Hedged 1.74% Class A8 CAD Hedged 1.73% Class A8 GBP Hedged 1.74% Class A8 NZD Hedged 1.73% Class C2 USD 2.99% Class C6 USD 2.99% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For any share class marked ^, the ongoing charges figure is based on expenses for the 12-month period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because such share class had, by the end of this period, been launched for more than a year but this was not the case as at 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. 157
BlackRock Global Funds Global Multi-Asset Income Fund Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A3(G), A6, C6, A8 Quarterly: A5(G) Yearly: A4(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this Product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To seek an above average income without sacrificing long term capital growth by following a flexible asset allocation policy that invests in stocks, bonds (including non-investment grade*), collective investment schemes, cash, and money market securities worldwide. The Fund may invest up to 80% in equities; up to 80% in fixed income; up to 20% in alternatives (including other collective investment schemes); up to 20% in cash and cash equivalents; and up to 15% in commodities. The Fund may invest in emerging markets (such as Brazil, South Africa and South Korea). The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. It is not anticipated that the Fund will invest more than 10% of its net asset value in debt securities issued and/or guaranteed by any single sovereign currently rated non-investment grade*. The Fund uses fundamental analysis within a flexible asset allocation approach. Economic/earnings cycles and valuations are the main drivers behind asset class returns over the medium-term, although other factors, including investor sentiment, influence investment decisions particularly over short periods. The Fund compares income opportunities and expected returns across asset classes in order to target a consistent level of income and to balance this with the potential for capital appreciation over the long-term. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 158
BlackRock Global Funds Global Multi-Asset Income Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. The performance of the Fund is partially dependent on the success of the asset allocation strategy employed by the Fund. There is no assurance that the strategy employed by the Fund will be successful and therefore the investment objectives of the Fund may not be achieved. 2. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 3, 4, 5, 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends from Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 3. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund. However, the Fund may continue to hold it to avoid a distressed sale. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 159
BlackRock Global Funds Global Multi-Asset Income Fund 5. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 6. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 7. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 8. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 9. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 10. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 160
How has the Fund performed? Historic performance to 31 December 2015 Fund 6% 6 5% 5 4% 4 3% 3 2% 2 1% 1 0% 0-1% -2% -3% BlackRock Global Funds Global Multi-Asset Income Fund 2011 2012 2013 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. Fund launch date: 2012 Share class launch date: 2012 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 5.7 2014 4.1 2015-2.4 161
BlackRock Global Funds Global Multi-Asset Income Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by 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. 162
PRODUCT KEY FACTS BlackRock Global Funds Global Opportunities Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA); BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.83% Class A2 SGD Hedged 1.83% Class A2 USD 1.83% Class A4 GBP 1.83% Class A4 USD 1.84% Class C2 USD 3.09% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: Non-Distributing Shares: No dividends will be declared or paid (Class A and C as at A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in other emerging markets (such as Brazil, South Africa and South Korea). 163
BlackRock Global Funds Global Opportunities Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Advisers may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 3. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 6. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 164
How has the Fund performed? Historic performance to 31 December 2015 Fund 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% Benchmark BlackRock Global Funds Global Opportunities Fund 2006 2007 2008 2009 2010* 2011 2012 2013 11.9 17.1-39.2 40.9 8.6-12.7 12.0 29.5 23.6 9.0-45.0 41.5 12.7-7.4 16.1 22.8 2014-3.4 4.2 2015 During this period the performance of the Fund was achieved under circumstances that no longer apply. The fund changed its investment policy in 2009. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Advisers view as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI ACWI. * The benchmark changed on 1 January 2010 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1996 Share class launch date: 1996 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. -1.4-2.4 165
BlackRock Global Funds Global Opportunities Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 166
PRODUCT KEY FACTS BlackRock Global Funds Global SmallCap Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.85% Class A2 EUR 1.85% Class A2 USD 1.85% Class C2 EUR 3.11% Class C2 USD 3.11% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 167
BlackRock Global Funds Global SmallCap Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies which form the bottom 20% by market capitalisation of primarily developed stock markets globally. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in other emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 168
169 BlackRock Global Funds Global SmallCap Fund 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. How has the Fund performed? Historic performance to 31 December 2015 Fund 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 17.8 17.0-39.4 36.6 16.5-10.6 14.2 36.1 15.8-0.6-42.9 41.7 24.3-10.5 15.6 30.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI ACWI Small Cap Index. * The benchmark changed on 14 February 2014 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1994 Share class launch date: 1994 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014* 0.7 1.8 2015-6.7-1.0
BlackRock Global Funds Global SmallCap Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 170
PRODUCT KEY FACTS BlackRock Global Funds India Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.98% Class A2 USD 1.98% Class A4 GBP 1.99% Class C2 EUR 3.24% Class C2 USD 3.24% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 171
BlackRock Global Funds India Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, India. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Emerging Market Risks Investment in emerging markets (including India) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. India has recently enacted changes to the Indian tax regime which may negatively impact the Fund. 4. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 5. Geographical Concentration Risks The Fund s investments are concentrated in India. This may result in greater volatility than more broad-based investments. 172
BlackRock Global Funds India Fund 6. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 Fund 100% 80% 60% 40% 20% 0% -20% -40% -60% -80% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013* 67.6-63.4 86.2 21.8-37.1 23.4-6.5 80.4-63.7 95.1 19.8-37.3 25.0-4.7 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is MSCI India Index. * The benchmark changed on 21 March 2013 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 2005 Share class launch date: 2006 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 39.0 23.9 2015-1.0-6.1 173
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: BlackRock Global Funds India Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 174
PRODUCT KEY FACTS BlackRock Global Funds Japan Flexible Equity Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.84% Class A2 EUR Hedged 1.83% Class A2 JPY 1.84% Class A2 USD 1.84% Class A2 USD Hedged 1.84% Class A4 GBP 1.83% Class C2 EUR 3.09% Class C2 JPY 3.09% Class C2 USD 3.09% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: JPY Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 175
BlackRock Global Funds Japan Flexible Equity Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Japan. The Fund will generally invest in securities that exhibit either growth or value investment characteristics. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in Japan. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 176
How has the Fund performed? Historic performance to 31 December 2015 80% BlackRock Global Funds Japan Flexible Equity Fund 60% 40% 20% 0% -20% -40% -60% 2006 2007 2008 2009 2010 2011 2012 2013 Fund 3.3-12.8-44.6 7.1 0.8-23.4 22.5 61.0 5.4 7.6 Benchmark 7.3-10.2-42.6 9.1 0.6-18.7 21.6 54.6 9.5 9.9 During this period the performance of the Fund was achieved under circumstances that no longer apply. On 14 February 2014 the Japan Fund was absorbed by the Japan Value Fund and the surviving fund was renamed as the Japan Flexible Equity Fund and its investment policy changed. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in JPY, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Japan Index. Fund launch date: 2005 Share class launch date: 2005 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 2015 177
BlackRock Global Funds Japan Flexible Equity Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 178
PRODUCT KEY FACTS BlackRock Global Funds Japan Small & MidCap Opportunities Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Japan Co. Ltd (internal delegation, Japan) The Bank of New York Mellon (International) Limited Class A2 EUR 1.83% Class A2 EUR Hedged 1.85% Class A2 JPY 1.83% Class A2 USD 1.83% Class A2 USD Hedged 1.84% Class A4 GBP 1.83% Class C2 JPY 3.09% Class C2 USD 3.09% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: JPY Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Minimum investment: Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 179
BlackRock Global Funds Japan Small & MidCap Opportunities Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Japan and which form the bottom 30% by market capitalisation of Japanese stock markets. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in Japan. This may result in greater volatility than more broad-based investments. 4. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 180
How has the Fund performed? Historic performance to 31 December 2015 Fund 60% 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% Benchmark BlackRock Global Funds Japan Small & MidCap Opportunities Fund 2006 2007 2008* 2009 2010 2011 2012 2013-19.4-26.7-39.9 11.9 3.7-16.0 20.7 58.6-10.9-14.9-37.0 7.8 3.4-10.3 18.1 54.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in JPY, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is S&P Japan Mid Small Cap Index. * The benchmark changed on 1 October 2008 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1987 Share class launch date: 1987 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 10.3 14.7 2015 8.8 13.4 181
BlackRock Global Funds Japan Small & MidCap Opportunities Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 182
PRODUCT KEY FACTS BlackRock Global Funds Latin American Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 2.10% Class A2 CHF Hedged 2.08% Class A2 EUR 2.09% Class A2 GBP 2.10% Class A2 HKD Hedged 2.10% Class A2 PLN Hedged 2.09% Class A2 SGD Hedged 2.09% Class A2 USD 2.09% Class A4 EUR 2.09% Class A4 GBP 2.09% Class C2 EUR 3.35% Class C2 USD 3.35% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 183
BlackRock Global Funds Latin American Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Latin America*. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Emerging Market Risks Investment in emerging markets (including Latin America) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 4. Geographical Concentration Risks The Fund s investments are concentrated in Latin America. This may result in greater volatility than more broad-based investments. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. * Latin America refers to Mexico, Central America, South America and the islands of the Caribbean, including Puerto Rico. 184
BlackRock Global Funds Latin American Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 140% 120% 100% 80% 60% 40% 20% 0% -20% -40% -60% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 45.5 41.0-55.1 120.7 17.1-23.7 5.6-13.7-9.4-30.7 Benchmark 43.2 50.4-51.4 103.8 14.7-19.4 8.7-13.4-12.3-31.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI Emerging Markets Latin America Index. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 185
BlackRock Global Funds Latin American Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 186
PRODUCT KEY FACTS BlackRock Global Funds Natural Resources Growth & Income Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 USD 1.79% @ Class A3(G) USD 1.82%* Class A4(G) USD 1.89% # Class A5(G) EUR 1.76% @ Class A5(G) USD 1.76% @ The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. Expenses during the relevant period take into account the Management Company partially subsidizing the administration fee payable by the Fund. Investors should note that such subsidy may be reduced or removed at any time at the Management Company s discretion. For any share class marked @, the ongoing charges figure is based on expenses for the 12-months period ended 31 July 2016. The ongoing charges figure of such share class is calculated based on the expenses for this 12-month period because the ongoing charge figure has varied by more than 5% from that published in the KFS dated June 2016. For any share class marked #, the ongoing charges figure is based on expenses for the 12-months period ended 31 May 2016. The ongoing charges figure of such share class is calculated based on the expenses for the past 12-month period because the ongoing charge figure has varied by more than 5% from that calculated based on the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 187
BlackRock Global Funds Natural Resources Growth & Income Fund Dividend policy: (Class A as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Monthly: A3(G) Quarterly: A5(G) Yearly: A4(G) Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. All distributing share classes in this Fund pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To achieve capital growth and an above average income by investing at least 70% of its total assets in stocks of companies which have the majority of their business in the natural resources sector, such as companies engaged in mining, energy and agriculture. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. 188
BlackRock Global Funds Natural Resources Growth & Income Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. Risks Associated with Fees Paid Out of Capital Any distributions involving payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 3, 4 and 5) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of gross income), which may therefore result in a larger reduction in the net asset value per share. 4. Limited Market Sectors Risks The Fund s investments are concentrated in the natural resources sector, which may include investments in commodities-linked exchange traded funds. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 7. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. 189
BlackRock Global Funds Natural Resources Growth & Income Fund Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 8. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 9. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 10% 5% 0% -5% -10% -15% -20% -25% 2011 2012 2013 2014 2015 Fund 3.2 3.1 6.6 1.0-8.5-24.9-24.5 Benchmark -10.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is S&P Global Natural Resources Index. Fund launch date: 2011 Share class launch date: 2011 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 190
BlackRock Global Funds Natural Resources Growth & Income Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1. 50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 191
PRODUCT KEY FACTS BlackRock Global Funds New Energy Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 2.08% Class A2 USD 2.08% Class A4 EUR 2.08% Class A4 GBP 2.08% Class C2 EUR 3.34% Class C2 USD 3.34% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies engaged in alternative energy and energy technologies worldwide. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). 192
BlackRock Global Funds New Energy Fund Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the alternative energy and energy technologies sectors. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 193
BlackRock Global Funds New Energy Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 60% 40% 20% 0% -20% -40% Fund -60% 2006 2007 2008 2009 2010 2011 2012 2013 31.6 56.5-54.1 21.0-12.8-21.5 3.8 26.6 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Fund launch date: 2001 Share class launch date: 2001 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014-3.1 2015-2.8 194
BlackRock Global Funds New Energy Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 195
PRODUCT KEY FACTS BlackRock Global Funds Pacific Equity Fund December 2016 BlackRock Asset Management North Asia Limited This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Asset Management North Asia Limited (internal delegation, HK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.86% Class A2 GBP 1.86% Class A2 USD 1.86% Class C2 EUR 3.12% Class C2 USD 3.12% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: Non-Distributing Shares: No dividends will be declared or paid (Class A and C as at A2, C2 the above date) Minimum investment: Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the Asia Pacific* region. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as India, South Korea and Taiwan). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. * Asia Pacific refers to the region comprising the countries in the Asian continent and surrounding Pacific islands including Australia and New Zealand. 196
BlackRock Global Funds Pacific Equity Fund The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund's portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Emerging Market Risks Investment in emerging markets (including certain countries in the Asia Pacific region) may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 6. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 197
BlackRock Global Funds Pacific Equity Fund 7. Geographical Concentration Risks The Fund s investments are concentrated in the Asia Pacific region. This may result in greater volatility than more broad-based investments. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% -40% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 14.3 13.0-38.8 32.0 14.6-21.5 22.0 21.3-1.2-2.4 Benchmark 13.4 6.3-39.1 37.6 17.0-15.1 16.8 12.0 0.0-2.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI AC Asia Pacific Index. Fund launch date: 1994 Share class launch date: 1994 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 198
BlackRock Global Funds Pacific Equity Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 199
PRODUCT KEY FACTS BlackRock Global Funds Swiss Small & MidCap Opportunities Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 CHF 1.83% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: CHF Dividend policy: (Class A as at Non-Distributing Shares: No dividends will be declared or paid A2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 200
BlackRock Global Funds Swiss Small & MidCap Opportunities Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, Switzerland and which are not members of the Swiss Market Index at the time of purchase. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in Switzerland. This may result in greater volatility than more broad-based investments. 4. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 201
How has the Fund performed? Historic performance to 31 December 2015 40% BlackRock Global Funds Swiss Small & MidCap Opportunities Fund 30% 20% 10% 0% -10% -20% -30% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 37.0 24.7-21.9 18.0 33.9 13.6 14.9 Benchmark 29.7 20.1-19.1 13.9 27.7 11.4 11.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in CHF, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is SPI Extra Index. Fund launch date: 2008 Share class launch date: 2008 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 202
BlackRock Global Funds Swiss Small & MidCap Opportunities Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) What you pay Class A Shares: up to 5% of the price of shares Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Redemption Fee Contingent Deferred Sales Charge ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 203
PRODUCT KEY FACTS BlackRock Global Funds United Kingdom Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.82% Class A2 GBP 1.82% Class A2 USD 1.82% Class A4 GBP 1.82% Class C2 EUR 3.06%* Class C2 GBP 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: GBP Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 204
BlackRock Global Funds United Kingdom Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies incorporated or listed in the UK. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in the UK. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 205
BlackRock Global Funds United Kingdom Fund How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 15.9 0.5-28.5 29.8 18.7-6.7 9.8 19.0-0.4 10.5 Benchmark 16.8 5.3-29.9 30.1 14.5-3.5 12.3 20.8 1.2 1.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in GBP, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is FTSE All-Share Index. Fund launch date: 1985 Share class launch date: 1985 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 206
BlackRock Global Funds United Kingdom Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 207
PRODUCT KEY FACTS BlackRock Global Funds US Basic Value Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR 1.82% Class A2 EUR Hedged 1.82% Class A2 GBP 1.82% Class A2 SGD Hedged 1.84% Class A2 USD 1.82% Class A4 EUR 1.82% Class A4 GBP 1.82% Class A4 USD 1.82% Class C2 EUR Hedged 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 208
BlackRock Global Funds US Basic Value Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the US. The Fund will generally invest in securities that show characteristics of being undervalued. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 209
BlackRock Global Funds US Basic Value Fund How has the Fund performed? Historic performance to 31 December 2015 Fund 40% 30% 20% 10% 0% -10% -20% -30% -40% 2006 2007 2008 2009 2010 2011 2012 2013 21.2-1.1-37.9 31.7 9.5-3.5 9.8 37.6 2014 Benchmark 22.2-0.2-36.9 19.7 15.5 0.4 17.5 32.5 13.5-3.8 On 9 October 2009 the US Focused Value Fund was absorbed by the US Basic Value Fund. This did not have any material impact on how the portfolio is managed or the overall risk profile of the Fund. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Russell 1000 Value Index. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 9.3 2015-8.4 210
BlackRock Global Funds US Basic Value Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 211
PRODUCT KEY FACTS BlackRock Global Funds US Dollar Core Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA); BlackRock Investment Management (UK) Limited (internal delegation, UK); BlackRock (Singapore) Limited (internal delegation, Singapore) The Bank of New York Mellon (International) Limited Class A1 USD 1.10% Class A2 USD 1.10% Class A3 USD 1.09% Class A6 GBP Hedged 1.09%* Class A6 HKD Hedged 1.09%* Class C1 USD 2.36% Class C2 USD 2.36% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 212
BlackRock Global Funds US Dollar Core Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Class 6) may pay dividends out of gross income while charging all or part of its fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Class 6 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds denominated in US dollars (at least 80% being investment grade* bonds). The Fund may also invest in To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or noninvestment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 213
BlackRock Global Funds US Dollar Core Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Advisers may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 7. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 8. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debt, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 9. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. 214
BlackRock Global Funds US Dollar Core Bond Fund 10. Turnover risk The Fund may have large exposure to US Treasury bonds. The Investment Advisers support the liquidity of the Fund by ensuring that it invests in on the run Treasury bonds which are those that have recently been issued and are hence most liquid, and rotating such bonds to offer greater liquidity for a lower cost of trading. However, this policy may result in additional transaction costs which will be borne by the Fund and may adversely affect the Fund s net asset value and the interest of the relevant Shareholders. 11. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Class 6) or payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Class 6) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital or gross income), which may therefore result in a larger reduction in the net asset value per share. How has the Fund performed? Historic performance to 31 December 2015 10% 8% 6% 4% 2% 0% -2% -4% -6% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 2.9 4.6-5.8 9.1 7.8 6.2 7.3-1.4 6.1-0.6 Benchmark 4.3 7.0 5.2 5.9 6.5 7.8 4.2-2.0 6.0 0.6 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Advisers view as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Barclays US Aggregate Index. Fund launch date: 1989 Share class launch date: 1989 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 215
BlackRock Global Funds US Dollar Core Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.85% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 216
PRODUCT KEY FACTS BlackRock Global Funds US Dollar High Yield Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A1 USD 1.47% Class A2 AUD Hedged 1.46% Class A2 CHF Hedged 1.47% Class A2 EUR Hedged 1.47% Class A2 SGD Hedged 1.47% Class A2 USD 1.46% Class A3 AUD Hedged 1.46% Class A3 CAD Hedged 1.46% Class A3 EUR Hedged 1.46% Class A3 GBP Hedged 1.46% Class A3 NZD Hedged 1.46% Class A3 SGD Hedged 1.46% Class A3 USD 1.46% Class A4 GBP Hedged 1.45% Class A6 HKD Hedged 1.46% Class A6 SGD Hedged 1.51%* Class A6 USD 1.46% Class A8 AUD Hedged 1.47% Class A8 ZAR H edged 1.47% Class C1 USD 2.72% Class C2 USD 2.72% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 217
BlackRock Global Funds US Dollar High Yield Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6, A8 Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Classes 6 and 8) may pay dividends out of gross income while charging all or part of their fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Classes 6 and 8 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in high yield bonds (including non-investment grade*) denominated in US dollars. The Fund may also invest in distressed securities and To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Debt securities which are unrated or rated at the time of purchase BB+ or lower (Standard & Poor s rating) or equivalent rating by at least one recognised rating agency such as Moody s or Fitch. 218
BlackRock Global Funds US Dollar High Yield Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Non-Investment Grade Risks Investment in non-investment grade bonds, including sovereign debts, may subject the Fund to higher credit/default risks. If the issuer of the bond defaults, or if the non-investment grade bonds fall in value, investors may suffer significant losses. Non-investment grade bonds tend to be more volatile, and the market for these bonds is generally less liquid, than investment grade bonds. Adverse events or market conditions may have a larger negative impact on the prices of non-investment grade bonds. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 219
BlackRock Global Funds US Dollar High Yield Bond Fund 8. Distressed Securities Risks Investment in securities issued by a company that is in financial difficulty or in default involves significant risk. There is no guarantee that any exchange offer or reorganisation will be successfully completed. 9. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more 5broad-based investments. 10. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. 11. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Classes 6 and 8), payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Classes 6 and 8) or payment of implied interest rate differentials arising from share class currency hedging as dividends (Class 8) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital, gross income or interest rate differentials arising from share class currency hedging gains (if any)), which may therefore result in a larger reduction in the net asset value per share. Payment of Dividends From Implied Interest Rate Differentials For Distributing (R) Shares (Class 8), any dividends payable may include interest rate differentials arising from share class currency hedging gains/losses which may increase/ decrease dividends paid. Shareholders of such Distributing (R) Shares will forego capital gains as any currency hedging gains are distributed rather than added to capital. Conversely, currency hedging losses may decrease the dividends paid, and in extreme cases may deduct from capital. 220
How has the Fund performed? Historic performance to 31 December 2015 Fund 60% 50% 40% 30% 20% 10% 0% -10% -20% -30% Benchmark BlackRock Global Funds US Dollar High Yield Bond Fund 2006* 2007 2008 2009 2010 2011 2012 2013 7.7 1.0-27.6 46.4 15.9 2.7 15.0 7.0 11.6 2.3-27.2 58.8 14.9 5.0 15.8 7.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Barclays US High Yield 2% Constrained Index. * The benchmark changed on 1 October 2006 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1993 Share class launch date: 1993 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 1.6 2.5 2015-5.0-4.4 221
BlackRock Global Funds US Dollar High Yield Bond Fund 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 Subscription Fee (Initial Charge) Class C Shares: Nil Switching Fee (Conversion Charge) Redemption Fee Contingent Deferred Sales Charge What you pay Class A Shares: up to 5% of the price of shares Class C Shares: Nil Nil^, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Nil^ Class A Shares: Nil Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.25% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. The website has not been reviewed by the 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. 222
PRODUCT KEY FACTS BlackRock Global Funds US Dollar Reserve Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 GBP Hedged 0.55%* Class A2 USD 0.55%* Class C2 USD 0.55%* For share classes marked*, the ongoing charges figure is the Investment Adviser s best estimate of the ongoing charges. Previously, the Management Company had partially waived the management fee due to low USD interest income in the Fund. As USD interest rates have since increase, the ongoing charges figure has been estimated based on removing the management fee waiver. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). The Fund is classified as a money market fund. 223
BlackRock Global Funds US Dollar Reserve Fund Objectives and Investment Strategy To maximise current income consistent with preservation of capital and liquidity by investing at least 90% of the Fund s assets in investment grade* bonds denominated in US dollars and US dollar cash. The Fund will invest only in securities with a residual maturity until the legal redemption date of less than or equal to 397 days and the Fund will maintain a weighted average maturity of no more than 60 days and a weighted average life of no more than 120 days. The remaining 10% may be invested in accordance with the applicable regulatory restrictions and internal guidelines. The Fund (i) may invest in derivatives for hedging purposes only; (ii) may enter into repurchase transactions for efficient portfolio management purposes only; (iii) does not engage in stock lending transactions; and (iv) does not invest in any synthetic asset backed securities (which are securities whose income is derived from financial derivative instruments on a pool of reference assets). What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. The purchase of a share in the Fund is not the same as placing funds on deposit with a bank or deposit-taking company, the Fund has no obligation to redeem shares at the subscription value and it is not subject to the supervision of the Hong Kong Monetary Authority. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. The Fund may not be appropriate for investors who seek long-term capital appreciation. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 4. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 5. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 6. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 224
BlackRock Global Funds US Dollar Reserve Fund 7. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. How has the Fund performed? Historic performance to 31 December 2015 5% 4% 3% 2% 1% 0% -1% -2% -3% -4% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 4.2 4.1-3.8 0.9 0.0 0.0 0.0 0.0 0.0 0.0 During this period the performance of the Fund was achieved under circumstances that no longer apply. The Fund changed its investment policy in 2009. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Fund launch date: 1993 Share class launch date: 1993 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 225
BlackRock Global Funds US Dollar Reserve Fund 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 Subscription Fee (Initial Charge) Switching Fee (Conversion Charge) Redemption Fee Contingent Deferred Sales Charge What you pay Nil, except a delayed Initial Charge of up to 5% of the price of Class A Shares may be payable upon switching newly acquired Shares in this Fund into a non-reserve Fund Nil Nil Nil Ongoing fees payable by the Fund The following costs paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.45% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Nil * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 226
PRODUCT KEY FACTS BlackRock Global Funds US Dollar Short Duration Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A1 USD 0.89% Class A2 EUR Hedged 0.90% Class A2 USD 0.90% Class A3 EUR 0.89% Class A3 SGD Hedged 0.90% Class A3 USD 0.89% Class C1 USD 2.15% Class C2 USD 2.15% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 227
BlackRock Global Funds US Dollar Short Duration Bond Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in bonds denominated in US dollars and with duration of less than five years, and at least 80% in investment grade* bonds. The Fund may also invest in ( To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 4. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 228
BlackRock Global Funds US Dollar Short Duration Bond Fund 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 7. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 8. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. How has the Fund performed? Historic performance to 31 December 2015 15% 10% 5% 0% -5% -10% Fund -15% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 4.2 2.4-12.2 13.3 4.9 1.9 4.4 0.8 1.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Fund launch date: 2002 Share class launch date: 2002 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 0.3 229
BlackRock Global Funds US Dollar Short Duration Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 230
PRODUCT KEY FACTS BlackRock Global Funds US Flexible Equity Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR 1.82% Class A2 EUR Hedged 1.82% Class A2 USD 1.82% Class A4 EUR 1.82% Class A4 EUR Hedged 1.83% Class A4 GBP 1.82% Class C2 EUR 3.08% Class C2 EUR Hedged 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 231
BlackRock Global Funds US Flexible Equity Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the US. The Fund may invest in securities that exhibit either growth or value investment characteristics. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 232
BlackRock Global Funds US Flexible Equity Fund How has the Fund performed? Historic performance to 31 December 2015 Fund 40% 30% 20% 10% 0% -10% -20% -30% -40% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 12.7 5.9-39.7 23.4 7.4-0.1 10.2 32.8 15.5 5.8-37.6 28.4 16.1 1.5 16.4 33.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Russell 1000 Index. Fund launch date: 2002 Share class launch date: 2002 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 12.0 13.2 2015-1.4 0.9 233
BlackRock Global Funds US Flexible Equity Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 234
PRODUCT KEY FACTS BlackRock Global Funds US Government Mortgage Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Financial Management, Inc. (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A1 USD 1.01% Class A2 USD 1.01% Class A3 USD 1.01% Class C1 USD 2.26% Class C2 USD 2.26% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 235
BlackRock Global Funds US Government Mortgage Fund Objectives and Investment Strategy To achieve a high level of income by investing at least 80% of the Fund s assets in US dollar denominated bonds and mortgage-backed securities issued or guaranteed by the US Government, its agencies or instrumentalities. All securities in which the Fund invests in are US dollar denominated securities. The Fund may also invest To Be Announced securities ( TBAs ). TBAs are in mortgage-backed securities ( MBS ) bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade* or non-investment grade. The Fund may also invest without limit in asset-backed securities ( ABS ) and MBS, whether rated investment grade or not. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Risks associated with investments in ABS and MBS The obligations associated with these securities may be subject to greater credit, liquidity and interest rate risk compared to other fixed income securities such as government issued bonds. ABS and MBS are often exposed to extension risk (where obligations in the underlying assets are not paid on time) and prepayment risks (where obligations on the underlying assets are paid earlier than expected). These risks may have a substantial impact on the timing and size of the cashflows paid by the securities and may negatively impact the returns of the securities. 3. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 4. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 5. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of or delay in repayment. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 236
BlackRock Global Funds US Government Mortgage Fund 6. Capital Growth Risks Risks Associated with Income-generating Investment Strategy The Fund pursues an investment strategy in order to generate income which may reduce the potential for capital growth and future income of the Fund. 7. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 8. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 9. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 10. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. How has the Fund performed? Historic performance to 31 December 2015 10% 8% 6% 4% 2% 0% -2% -4% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 3.6 5.9 1.8 6.6 6.1 5.6 3.5-2.1 5.6 0.4 Benchmark 5.2 7.0 8.5 5.8 5.5 6.4 2.6-1.5 6.1 1.6 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Citigroup Mortgage Index. Fund launch date: 1985 Share class launch date: 1985 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 237
BlackRock Global Funds US Government Mortgage Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. 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. 238
PRODUCT KEY FACTS BlackRock Global Funds US Growth Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA) The Bank of New York Mellon (International) Limited Class A2 EUR 1.82% Class A2 EUR Hedged 1.83% Class A2 USD 1.82% Class A4 EUR 1.82% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 239
BlackRock Global Funds US Growth Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the US. The Fund places emphasis on companies that exhibit growth investment characteristics, such as above-average growth rates in earnings or sales and high or improving returns on capital. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 240
BlackRock Global Funds US Growth Fund How has the Fund performed? Historic performance to 31 December 2015 Fund 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% Benchmark 2006* 2007 2008 2009 2010 2011 2012 2013 6.1 8.3-43.4 31.7 16.4-9.3 10.3 33.4 8.4 11.8-38.4 37.2 16.7 2.6 15.3 33.5 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Russell 1000 Growth Index. * The benchmark changed on 1 April 2006 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1999 Share class launch date: 1999 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 2014 9.2 13.1 2015 4.5 5.7 241
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: BlackRock Global Funds US Growth Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 242
PRODUCT KEY FACTS BlackRock Global Funds US Small & MidCap Opportunities Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA); BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.83% Class A2 EUR 1.83% Class A2 USD 1.83% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 243
BlackRock Global Funds US Small & MidCap Opportunities Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies based in, or with the majority of their business in, the US and which form the bottom 30% by market capitalisation of US stock markets. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Geographical Concentration Risks The Fund s investments are concentrated in the US. This may result in greater volatility than more broad-based investments. 4. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 6. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 244
How has the Fund performed? Historic performance to 31 December 2015 Fund 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% BlackRock Global Funds US Small & MidCap Opportunities Fund 2006 2007 2008* 2009 2010 2011 2012 2013 11.2 13.0-38.3 40.8 21.9-10.5 6.5 39.9 2014 Benchmark 13.4 2.6-39.7 37.3 26.7-1.7 16.9 37.1 10.3-2.4 On 2 October 2009 the US SmallCap Value Fund was absorbed by the US Small & MidCap Opportunities Fund. This did not have any material impact on how the portfolio is managed or the overall risk profile of the Fund. Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Advisers view as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is S&P US Mid Small Cap Index. * The benchmark changed on 1 October 2008 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1987 Share class launch date: 1987 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 11.8 2015-2.6 245
BlackRock Global Funds US Small & MidCap Opportunities Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 246
PRODUCT KEY FACTS BlackRock Global Funds World Agriculture Fund December 2016 BlackRock Asset Management North Asia Limited This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR Hedged 2.09% Class A2 HKD 2.08% Class A2 PLN Hedged 2.08% Class A2 SGD Hedged 2.08% Class A2 USD 2.08% Class A4 EUR Hedged 2.09% Class A4 GBP Hedged 2.08% Class C2 USD 3.34% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 247
BlackRock Global Funds World Agriculture Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide which are engaged in agriculture. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the agriculture sector, which may include investments in commodities-linked exchange traded funds. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 248
BlackRock Global Funds World Agriculture Fund How has the Fund performed? Historic performance to 31 December 2015 15% 10% 5% 0% -5% -10% Fund -15% Benchmark 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015-14.1 11.0 8.5-10.2 13.2 6.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. Where no past performance is shown there was insufficient data available in that year to provide performance. The benchmark of the Fund is DAX Global Agribusiness Index. Fund launch date: 2010 Share class launch date: 2010 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 3.0 1.6-14.0-12.7 249
BlackRock Global Funds World Agriculture Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 250
PRODUCT KEY FACTS BlackRock Global Funds World Bond Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Sub-Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) BlackRock Financial Management, Inc. (internal delegation, USA) BlackRock (Singapore) Limited (internal delegation, Singapore) BlackRock Investment Management (Australia) Limited (internal delegation, Aust) The Bank of New York Mellon (International) Limited Class A1 USD 1.06% Class A2 EUR Hedged 1.06% Class A2 GBP Hedged 1.05% Class A2 USD 1.06% Class A3 USD 1.06% Class A6 GBP Hedged 1.06%* Class A6 HKD Hedged 1.06%* Class C1 USD 2.31% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD 251
BlackRock Global Funds World Bond Fund Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Daily: A1, C1 Monthly: A3, A6 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. Certain share classes (Class 6) may pay dividends out of gross income while charging all or part of its fees and expenses to capital (i.e. payment of fees and expenses out of capital). This will result in an increase in distributable income available for payment as dividends, and therefore, these share classes may effectively pay dividends out of capital. Class 6 may also pay dividends out of capital (including net realised and net unrealised capital gains) of the relevant share class at the Directors discretion. The Directors may amend the above dividend policy subject to the SFC s prior approval and by giving one month s prior notice to investors. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in investment grade* bonds worldwide. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea) and To Be Announced securities ( TBAs ). TBAs are mortgage-backed securities bought from a mortgage pool for a fixed price at a future date, where the exact security is not known but the main characteristics are specified, and can be either investment grade or non-investment grade. Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as debt and other securities consistent with the Fund s objective, subject to the restriction that no more than 10% of the Fund s assets will be invested in equities. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund s portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. * Meaning, at the time of purchase BBB (Standard & Poor s) or equivalent or better by at least one recognised rating agency such as Moody s or Fitch. 252
BlackRock Global Funds World Bond Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Credit Risks The Fund may be exposed to the credit/default risk of bonds that it invests in. In the event of bankruptcy or default of an issuer, the Fund may experience losses and incur costs. The actual or perceived downgrading of a rated debt security could decrease its value and liquidity, and may have an adverse impact on the Fund, however, the Fund may continue to hold it to avoid a distressed sale. 3. Interest Rate Risks An increase in interest rates may adversely affect the value of the bonds held by the Fund. 4. Sovereign Debt Risks Investment in bonds issued or guaranteed by governments or authorities may involve political, economic, default, or other risks, which may in turn have an adverse impact on the Fund. Due to these factors, the sovereign issuers may not be able or willing to repay the principal and/or interest when due. Holders of defaulting sovereign debt may be requested to participate in the restructuring of such debt. In addition, there may be limited legal recourses available against the sovereign issuer in case of failure of or delay in repayment. The Fund may have exposure to Eurozone sovereign debts. In light of the fiscal conditions of certain European countries, the Fund may be subject to a number of increased risks arising from a potential crisis in the Eurozone (such as volatility, liquidity, price and currency risks). The performance of the Fund could deteriorate should there be any adverse events in the Eurozone (e.g. downgrade of sovereign credit ratings, default of one or more European countries, or even break-up of the Eurozone). 5. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Adviser may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 6. Delayed Delivery Transactions Risks TBAs may involve counterparty default risk and a risk that the agreed (fixed) price is higher than the prevailing market price at the settlement date. These may have an adverse impact on the value of the Fund. 7. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 253
BlackRock Global Funds World Bond Fund 8. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 9. Capital Growth Risks Risks Associated with Fees and/or Dividends Paid Out of Capital Any distributions involving payment of dividends out of capital (Class 6) or payment of dividends out of gross income (i.e. payment of fees and expenses out of capital) (Class 6) amounts to a return or withdrawal of part of an investor s original investment or from any capital gains attributable to that original investment. Whilst all dividends paid result in an immediate reduction of the net asset value per share, these share classes may pay larger dividends (i.e. by paying dividends out of capital or gross income), which may therefore result in a larger reduction in the net asset value per share. How has the Fund performed? Historic performance to 31 December 2015 10% 8% 6% 4% 2% 0% -2% -4% -6% 2006 2007 2008* 2009 2010 2011 2012 2013 2014 2015 Fund 5.4 2.4 4.5 5.5 4.3 3.6 6.8 0.3 7.2-0.2 Benchmark 6.7 5.3 5.6 5.1 4.6 5.4 5.7-0.1 7.6 1.0 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Barclays Global Aggregate USD Hedged Index. * The benchmark changed on 1 January 2008 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1985 Share class launch date: 1985 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 254
BlackRock Global Funds World Bond Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 0.85% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The updated list of currently available shares is available from the Hong Kong Representative. The composition of the latest dividends (i.e. relative amounts paid from (i) net distributable income and (ii) capital) for the last 12 months are available from the Hong Kong Representative upon request and on www.blackrock.com/hk. This website has not been reviewed by the 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. 255
PRODUCT KEY FACTS BlackRock Global Funds World Energy Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 2.08% Class A2 CHF Hedged 2.08% Class A2 EUR 2.07% Class A2 EUR Hedged 2.07% Class A2 HKD Hedged 2.08% Class A2 SGD Hedged 2.08% Class A2 USD 2.08% Class A4 EUR 2.08% Class A4 GBP 2.07% Class C2 EUR 3.33% Class C2 EUR Hedged 3.34% Class C2 USD 3.33% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 256
BlackRock Global Funds World Energy Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in exploration, development, production and distribution of energy. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the energy sector, which may include investments in commodities-linked exchange traded funds. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 257
BlackRock Global Funds World Energy Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 50% 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 8.1 40.2-46.4 36.3 16.8-13.5-7.7 16.9-15.4-29.9 Benchmark 15.8 31.5-40.3 33.0 12.5-0.9 1.8 18.1-11.9-23.5 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI World Energy 10/40 Net Total Return Index. The benchmark of the Fund was changed on 30 September 2015 as the current benchmark reflects the regulatory concentration limits to which the Fund is managed and is therefore considered to be more representative of the Fund s investment portfolio. The current benchmark has been applied to the performance history of the Fund back to inception. Fund launch date: 2001 Share class launch date: 2001 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 258
BlackRock Global Funds World Energy Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 259
PRODUCT KEY FACTS BlackRock Global Funds World Financials Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.84% Class A2 USD 1.84% Class C2 EUR 3.10% Class C2 USD 3.10% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in financial services. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in other emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. 260
BlackRock Global Funds World Financials Fund What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the financial services sector. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 261
BlackRock Global Funds World Financials Fund How has the Fund performed? Historic performance to 31 December 2015 40% 30% 20% 10% 0% -10% -20% -30% -40% -50% -60% 2006 2007 2008 2009 2010 2011 2012 2013 2014* 2015 Fund 6.3-6.9-53.6 32.1 3.0-22.0 32.1 27.9 0.8-7.6 Benchmark 23.7-8.3-54.0 31.1 4.6-18.5 29.4 27.3 4.2-5.6 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI ACWI Financials Index. * The benchmark changed on 14 February 2014 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 2000 Share class launch date: 2000 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 262
BlackRock Global Funds World Financials Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 263
PRODUCT KEY FACTS BlackRock Global Funds World Gold Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 2.10% Class A2 CHF Hedged 2.07% Class A2 EUR 2.07% Class A2 EUR Hedged 2.07% Class A2 HKD Hedged 2.07% Class A2 PLN Hedged 2.07%* Class A2 SGD Hedged 2.07% Class A2 USD 2.07% Class A4 EUR 2.07% Class A4 USD 2.07% Class C2 EUR Hedged 3.33% Class C2 USD 3.33% Class C2 EUR 3.33% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. For shares which are newly launched (marked *) the ongoing charges figure represents the Investment Adviser s best estimate of the ongoing charges based on the information available in respect of other active share classes with a similar fee structure. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares 264
265 BlackRock Global Funds World Gold Fund What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in gold-mining. The Fund may also invest in stocks of companies with the majority of their business in other precious metal or mineral and base metal or mineral mining. The Fund does not invest in physical gold or metal. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the gold and precious metals sector, which may include investments in commodities-linked exchange traded funds. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets.
BlackRock Global Funds World Gold Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 60% 40% 20% 0% -20% -40% -60% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 27.5 33.7-34.4 48.5 36.0-17.9-8.2-48.1-5.2-21.9 Benchmark 12.6 21.1-19.9 29.6 29.0-15.9-15.4-53.2-15.2-21.4 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is FTSE Gold Mines Index. Fund launch date: 1994 Share class launch date: 1994 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 266
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: BlackRock Global Funds World Gold Fund Fee What you pay Subscription Fee Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 267
PRODUCT KEY FACTS BlackRock Global Funds World Healthscience Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Advisers: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management, LLC (internal delegation, USA); BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 1.83% Class A2 EUR 1.82% Class A2 HKD Hedged 1.83% Class A2 SGD Hedged 1.83% Class A2 USD 1.82% Class C2 EUR 3.08% Class C2 USD 3.08% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at the above date) Non-Distributing Shares: No dividends will be declared or paid A2, C2 Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: All declared dividends result in an immediate decrease in the Funds, net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 268
BlackRock Global Funds World Healthscience Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in healthcare, pharmaceuticals, medical technology and supplies and the development of biotechnology. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai- Hong Kong Stock Connect. The Fund may also invest in other emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. The Fund may employ currency management and hedging techniques which may include hedging the currency exposure on the Fund's portfolio and/or using more active currency management techniques such as currency overlays. Any active management techniques implemented by the Fund through the currency derivatives such as forward exchange contracts, currency futures and options may not be correlated with the primary underlying securities held by the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the healthcare, pharmaceuticals and other healthscience sectors. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. The Investment Advisers may utilise techniques and instruments (e.g. currency overlays) in relation to currencies other than the base currency with the aim of generating positive returns. Any active currency management techniques implemented by the Fund may not be correlated with the underlying securities held by the Fund. As a result, the Fund may suffer significant losses even if there is no loss to the value of the underlying securities held by the Fund. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 269
BlackRock Global Funds World Healthscience Fund 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 50% 40% 30% 20% 10% 0% -10% -20% -30% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 0.6 19.8-24.3 23.5 1.6 5.5 16.9 43.1 24.4 4.6 Benchmark 10.5 3.9-21.5 18.9 2.4 9.5 17.5 36.3 18.1 6.6 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Advisers view as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI World Health Care Index. Fund launch date: 2001 Share class launch date: 2001 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 270
BlackRock Global Funds World Healthscience Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 271
PRODUCT KEY FACTS BlackRock Global Funds World Mining Fund December 2016 BlackRock Asset Management North Asia Limited Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 AUD Hedged 2.09% Class A2 CHF Hedged 2.08% Class A2 EUR 2.08% Class A2 EUR Hedged 2.08% Class A2 HKD Hedged 2.08% Class A2 PLN Hedged 2.08% Class A2 SGD Hedged 2.08% Class A2 USD 2.08% Class A4 EUR 2.08% Class A4 GBP 2.08% Class C2 EUR 3.34% Class C2 EUR Hedged 3.34% Class C2 USD 3.34% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Yearly: A4 Minimum investment: All declared dividends result in an immediate decrease in the Fund s net asset values per share on ex-date, whether paid in cash or reinvested. US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). 272
BlackRock Global Funds World Mining Fund Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in the production of base metals and industrial minerals such as iron ore and coal. The Fund may also invest in stocks of companies with the majority of their business in gold or other precious metal or mineral mining. The Fund does not invest in physical gold or metal. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the mining sector, which may include investments in commodities-linked exchange traded funds. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 273
BlackRock Global Funds World Mining Fund 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. How has the Fund performed? Historic performance to 31 December 2015 120% 100% 80% 60% 40% 20% 0% -20% -40% -60% -80% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Fund 43.6 59.6-64.1 103.9 29.2-28.7-3.1-24.0-23.1-41.4 Benchmark 39.8 56.2-59.1 109.7 32.4-27.9 0.3-25.1-16.8-41.1 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is Euromoney Global Mining Constrained Weights Net Total Return Index. The benchmark of the Fund was changed on 30 September 2015 as the current benchmark reflects the regulatory concentration limits to which the Fund is managed and is therefore considered to be more representative of the Fund s investment portfolio. The current benchmark has been applied to the performance history of the Fund back to inception. Fund launch date: 1997 Share class launch date: 1997 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 274
BlackRock Global Funds World Mining Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.75% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 275
PRODUCT KEY FACTS BlackRock Global Funds World Technology Fund December 2016 BlackRock Asset Management North Asia Limited This statement provides you with key information about this product This statement is a part of the offering document You should not invest in this product based on this statement alone Quick facts Fund Manager: Investment Adviser: Depositary: Ongoing charges over a year: BlackRock (Luxembourg) S.A. BlackRock Investment Management (UK) Limited (internal delegation, UK) The Bank of New York Mellon (International) Limited Class A2 EUR 1.83% Class A2 GBP 1.83% Class A2 USD 1.83% Class C2 USD 3.09% The ongoing charges figure is based on expenses for the 12-month period ended 29 February 2016. The figure may vary from year to year. Dealing frequency: Daily Financial year end: 31 August Base currency: USD Dividend policy: (Class A and C as at Non-Distributing Shares: No dividends will be declared or paid A2, C2 the above date) Distributing Shares: Dividends, if declared will be paid in cash or reinvested Not Available Minimum investment: US$5,000 initial, US$1,000 additional for Class A and C shares What is this product? This is a sub-fund of BlackRock Global Funds ( BGF ), an open-ended investment company incorporated in Luxembourg. Its home regulator is the Commission de Surveillance du Secteur Financier (CSSF). Objectives and Investment Strategy To maximise total return by investing at least 70% of the Fund s assets in stocks of companies worldwide with the majority of their business in the technology sector. The Fund may invest up to 10% of its total assets in certain eligible China A Shares listed in the People s Republic of China via the Shanghai-Hong Kong Stock Connect. 276
BlackRock Global Funds World Technology Fund The Fund may also invest in emerging markets (such as Brazil, South Africa and South Korea). Subject to applicable regulatory restrictions and internal guidelines, the remaining 30% may be invested in financial instruments of companies or issuers of any size in any sector of the economy globally such as equity securities consistent with the Fund s objective and cash. The Fund may use derivatives for hedging and for efficient portfolio management. However, derivatives will not be extensively or primarily used for investment purposes. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risks The Fund is an investment fund. The Fund s investment portfolio may fall in value due to any of the risk factors below and therefore your investment in the Fund may suffer losses. 2. Equity Risk The values of equities fluctuate daily and a Fund investing in equities could incur significant losses. 3. Limited Market Sectors Risks The Fund s investments are concentrated in the technology sector. This may subject the Fund to greater volatility and more rapid cyclical changes than more broad-based investments. 4. Currency Risks The Fund may invest in assets denominated in a currency other than the base currency of the Fund. Changes in exchange rates between such currency and the base currency may adversely affect the value of the Fund s assets. 5. Derivatives Risks In an adverse situation, if the use of derivatives for hedging and efficient portfolio management becomes ineffective, the Fund may suffer significant losses. 6. Emerging Market Risks Investment in emerging markets may be subject to a higher than average volatility than more developed markets due to greater political, tax, economic, social, and foreign exchange risks. The size and trading volume of securities markets in emerging markets may be substantially smaller than developed markets. This may subject the Fund to higher liquidity and volatility risks. Custody and registration of assets in emerging markets may be less reliable than in developed markets, which may subject the Fund to higher settlement risk. The Fund may be subject to higher regulatory risks due to low level of regulation, enforcement of regulations and monitoring of investors activities in emerging markets. 7. Foreign Investments Restrictions Risks Some countries prohibit or restrict investment, or the repatriation of income, capital or the proceeds from sale of securities. The Fund may incur higher costs investing in these countries. Such restrictions may delay the investment or repatriation of capital of the Fund. 8. Small Cap Companies Risks Investment in small cap companies may have higher than average volatility and liquidity risks. 277
BlackRock Global Funds World Technology Fund How has the Fund performed? Historic performance to 31 December 2015 60% 40% 20% 0% -20% -40% -60% 2006 2007 2008 2009 2010* 2011 2012 2013 2014 2015 Fund 2.5 1.2-44.3 59.6 15.0-12.2 11.0 28.3 8.1 4.0 Benchmark 9.3 15.1-43.9 52.4 11.4-4.4 15.3 26.5 15.2 3.2 Notes: Past performance information is not indicative of future performance. You may not get back the full amount invested. The computation of the performance is based on the calendar year end, NAV-To-NAV, with dividend reinvested expressed as a % change. These figures show by how much the share class increased or decreased in value during the calendar year shown. Performance data has been calculated in USD, including ongoing charges and taxes and excluding subscription and redemption fees, if applicable. The past performance information reflects the performance of the A2 base currency share class which the Investment Adviser views as the most appropriate representative share class. Please refer to the website www.blackrock.com/hk for performance information regarding other share classes. This website has not been reviewed by the SFC. The benchmark of the Fund is MSCI AC World Information Technology Index. * The benchmark changed on 1 January 2010 as the current benchmark is considered more representative of the Fund s investment strategy. Fund launch date: 1995 Share class launch date: 1995 Is there any guarantee? This Fund does not have any guarantees. You may not get back the full amount of money you invest. 278
BlackRock Global Funds World Technology Fund 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 Class A Shares: up to 5% of the price of shares (Initial Charge) Class C Shares: Nil Switching Fee Nil^, except a delayed Initial Charge of up to 5% of the price of Class A (Conversion Charge) Shares may be payable upon switching newly acquired Shares in a Reserve Fund into this Fund Redemption Fee Nil^ Contingent Deferred Class A Shares: Nil Sales Charge Class C Shares: 1% of the lower of the original investment amount or redemption proceeds if the Shares are held for less than one year ^ A 2% charge on redemptions/conversions may be levied where excessive trading by a shareholder is suspected. Ongoing fees payable by the Fund The following expenses paid by the Fund affect you because they reduce the return on your investments: Fee What you pay (Annual rate) Management Fee 1.50% of the net asset value of the relevant share class* Depositary Fees Safekeeping fees: 0.0024% to 0.45% of the value of the securities Transactional fees: US$5.5 to US$124 per transaction Performance Fee Nil Administration Fee Up to 0.25% of the net asset value of the relevant share class* Distribution Fee Class A Shares: Nil Class C Shares: 1.25% of the net asset value of the relevant share class * May be increased to a combined 2.25% maximum upon giving three months prior notice to shareholders Other fees You may have to pay other fees and charges when dealing in the shares of the Fund. Additional Information You generally buy and redeem shares at the Fund s next-determined price as long as the Hong Kong Representative receives your request in good order before the 6:00p.m. cut-off (HK time). Please check whether your distributor has an internal cut-off time which is earlier than this. The net asset value of the Fund is calculated daily. Prices of shares are published each business day in the Hong Kong Economic Times, on Bloomberg, on Reuters page BLRKIA and on www.blackrock.com/hk, and monthly in The Standard. The website has not been reviewed by the SFC. The updated list of currently available shares is available from the Hong Kong Representative. 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. 279
FOR MORE INFORMATION General enquiries: +852 3903-2800 Fund enquiries: +852 3903-2688 www.blackrock.com/hk