Polen Capital Investment Funds plc

Transcription

1 (an open-ended umbrella investment company with variable capital and segregated liability between Funds incorporated with limited liability in Ireland under the Companies Act 2014 as amended with registration number and established as an Undertakings for Collective Investment in Transferable Securities pursuant to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011 (S.I. No. 352 of 2011) and Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) (Undertakings for Collective Investment in Transferable Securities) Regulations, CONDENSED INTERIM REPORT AND UNAUDITED FINANCIAL STATEMENTS For the financial period ended 30 June 2017

2 Information Only For Swiss Investors The state of the origin of the Funds is Ireland. This document may only be distributed in or from Switzerland to qualified investors within the meaning of Art. 10 Para. 3, 3bis and 3ter CISA, in conjunction with Art. 6 and 6a of CISO and the FINMA Circular. In Switzerland, the Representative is ACOLIN Fund Services AG, Affolternstrasse 56, CH-8050 Zurich, whilst the Paying Agent is Neue Helvetische Bank AG, Seefeldstrasse 215, CH-8008 Zurich. In respect of the shares distributed in Switzerland, the competent Courts shall be those of the state in which the registered office of the Representative in Switzerland is located. The basic documents of the Funds as defined in Art. 15, Para. 1 lit e of CISA in conjunction with Art. 13a CISO as well as the annual and, if applicable, semi-annual reports may be obtained free of charge at the office of the Representative. 1

3 Contents Page Information Only For Swiss Investors 1 Organisation 3 Background to Company 4 5 Statement of Financial Position 6 8 Statement of Comprehensive Income 9 10 Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares Statement of Cash Flows Notes to the Condensed Financial Statements Polen Capital Focus U.S. Growth Fund Schedule of Investments Schedule of Significant Portfolio Changes 36 Polen Capital Focus Global Growth Fund Schedule of Investments Schedule of Significant Portfolio Changes 37 2

4 Organisation Directors Stan Moss (U.S.) * Maurice Murphy (Irish) (resigned on 31 July 2017)** Ross Allen (Irish) (appointed on 31 July 2017)** Bronwyn Wright (Irish) *** Investment Manager and Distributor Polen Capital Management, LLC 1825 NW Corporate Blvd Suite 300 Boca Raton FL USA Company Secretary Tudor Trust Limited 33 Sir John Rogerson s Quay Dublin 2 Ireland Independent Auditor PricewaterhouseCoopers Chartered Accountants Registered Auditors One Spencer Dock North Wall Quay Dublin 1 Ireland Registered Office of the Company Polen Capital Investment Funds plc 4 th Floor, One George's Quay Plaza, George's Quay, Dublin 2 Ireland Depositary RBC Investor Services Bank S.A., Dublin Branch 4 th Floor, One George's Quay Plaza, George's Quay, Dublin 2 Ireland Administrator RBC Investor Services Ireland Limited 4 th Floor, One George's Quay Plaza, George's Quay, Dublin 2 Ireland Legal Advisers Dillon Eustace 33 Sir John Rogerson s Quay Dublin 2 Ireland Sponsoring Broker Dillon Eustace 33 Sir John Rogerson s Quay Dublin 2 Ireland *Chairman and Non-Executive Director **Non-Executive Director ***Independent Non-Executive Director 3

5 Background to Company Polen Capital Investment Funds plc (the Company ) is an open-ended umbrella investment company with variable capital and with limited liability. The Company is structured as an umbrella fund and may comprise several portfolios of assets. The share capital of the Company may be divided into different Sub-Funds (the Funds ) each representing a separate portfolio of assets and further sub-divided, to denote differing characteristics attributable to particular Shares, into Classes. The functional currency of the Funds is U.S. Dollar. At the financial period end there were two Funds which had been launched in the umbrella. Launch Date Polen Capital Focus U.S. Growth Fund 8 March 2013 Polen Capital Focus Global Growth Fund 29 January 2015 Investment Objective and Policy Polen Capital Focus U.S. Growth Fund The investment objective of the Fund is to seek long-term growth of capital. The Fund seeks to achieve its investment objective by investing typically in a focused portfolio of high quality common stocks of large capitalization companies (market capitalisations greater than $4 billion at time of purchase) which are listed or traded on Recognised Exchanges in the United States of America and which, in the view of the Investment Manager, have a sustainable competitive advantage. The Fund may from time to time also purchase the common stock of companies whose shares are listed or traded on Recognised Markets in the United States of America which have a market capitalisation of less than $4 billion at the time of purchase if the Investment Manager is of the opinion that the stock represents a particularly attractive investment opportunity. The Fund will measure its performance against the Russell 1000 Growth Index. The Russell 1000 Growth Index measures the performance of the large-cap growth segment of the U.S. equity universe. It includes those Russell 1000 companies with higher price-to-book ratios and higher forecasted growth values. The Russell 1000 Growth Index is constructed to provide a comprehensive and unbiased barometer for the large-cap growth segment. The index is completely reconstituted annually to ensure new and growing equities are included and that the represented companies continue to reflect growth characteristics. Any change to the index against which the performance of the Fund is measured will be disclosed in the annual or half-yearly report of the Company issued subsequent to such change being effected. Polen Capital Focus Global Growth Fund The investment objective of the Fund is to achieve strong compound earnings growth from investments. The Fund seeks to achieve its investment objective by investing typically in a focused portfolio of high quality common stocks which are listed or traded on worldwide Recognised Exchanges (including those domiciled in emerging markets, which would typically comprise less than 33% of the Net Asset Value of the Fund) and which, in the view of the Investment Manager, have a sustainable competitive advantage. High quality common stocks would generally include stocks of companies that (i) produce above-average return on capital; (ii) have low levels of debt or a net cash position on their respective balance sheets; (iii) generate a significant amount of cash flow from operations (i.e., as defined by IFRS, cash generated from operations less taxation, interest and dividends paid, less investment income received) relative to accounting earnings; (iv) are less cyclical businesses than the average business; and (v) grow revenues and earnings at above-average rates. A sustainable competitive advantage would be a verifiable competitive advantage that typically leads to stable-to-increasing market share or above-average return on capital, including advantages in such areas as intellectual property (e.g., technology or brands), business processes, distribution strength, relationships with customers or business models. The Fund may also gain exposure to such global stocks by investing in American Depositary Receipts which are listed on Recognised Markets located in the United States and equity linked participation notes where such investment represents a more practical, efficient or less costly way of gaining exposure to the relevant security and where deemed appropriate by the Investment Manager in order to achieve the investment objective of the Fund. In relation to equity linked participation notes, the Fund s exposure will be to the issuer (which will be regulated), rather than the referenced securities that the participation notes relate to. Equity linked participation notes are OTC products which are unleveraged and are used to access the Indian market where there are otherwise high barriers to entry. The exposure is primarily to the underlying security but as the participation notes are issued by a broker there will also be an element of counterparty risk. 4

6 Background to Company (continued) Investment Restrictions & Prohibited Investments Investment of the assets of each Fund must comply with the European Communities (Undertakings for Collective Investments in Transferable Securities) Regulations, 2011, the Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) (Undertakings for Collective Investment in Transferable Securities) Regulations, 2015 (the UCITS Regulations) and the Companies Act 2014 as amended. The Directors may impose further restrictions in respect of any Fund. Each Fund may also hold ancillary liquid assets. Permitted Investments and Investment Restrictions are provided in the Prospectus of the Company. 5

7 Statement of Financial Position As at 30 June 2017 Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund 30 June December June December 2016 Notes USD USD USD USD Assets Financial assets at fair value through profit or loss: Investment in transferable securities 290,040, ,372, , ,129 Investment in financial derivative instruments 9,704 42, Cash and cash equivalents 3 12,367,851 8,248,962 76,750 80,670 Amount receivable on sale of securities 1,677, Amount receivable on subscriptions 337,584 1,605,845 13,813 - Deferred formation expenses 4 17,757 27,973 8,101 9,665 Investment manager reimbursement 7 5,283 5,283 12,343 13,179 Interest and dividends receivable 101, , Other receivables 10,682-7,447 - Total assets 304,568, ,408,241 1,029, ,852 Liabilities Financial liabilities at fair value through profit or loss: Investment in financial derivative instruments Redemptions payable 46, , Directors fees payable Consultancy fees payable 7 16,255 11,664-2,813 Other accrued expenses and liabilities 5 46,535 29,255 6,146 4,932 Investment management fees payable 4 704, ,416 1,659 1,549 Administration fees payable 4 28,162 12,964 16,792 7,953 Audit fees payable 4-2,470-2,468 Depositary fees payable 4 38,751 17,398 15,586 7,644 Transfer agency fees payable 4 9,667 6,103 7,351 4,638 Taxation fees payable 7,504 2, ,497 Total liabilities (excluding amounts attributable to holders of redeemable participating shares) 897,730 1,228,143 48,554 33,645 Net assets attributable to holders of redeemable participating shares 303,670, ,180, , ,207 The accompanying notes form an integral part of these financial statements. 6

8 Statement of Financial Position (continued) As at 30 June 2017 Number of Shares in issue Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus Note U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund 30 June December June December 2016 Shares In Issue U.S. Dollar C Class (Investor) Shares , , Net Asset Value Per U.S. Dollar C Class (Investor) Shares Shares In Issue U.S. Dollar C Class (Retail) Shares 6 1,429, ,320, Net Asset Value Per U.S. Dollar C Class (Retail) Shares Shares In Issue EUR Class (Institutional) Shares*** - 8, Net Asset Value Per EUR Class (Institutional) Shares Shares In Issue EUR Class (Retail) Shares* 240, Net Asset Value Per EUR Class (Retail) Shares Shares In Issue GBP Class (Institutional) Shares 1,232, , , ** - Net Asset Value Per GBP Class (Institutional) Shares Shares In Issue GBP Class (Institutional Unhedged) Shares 7, , Net Asset Value Per GBP Class (Institutional Unhedged) Shares Shares In Issue U.S. Dollar Class (Institutional) Shares 6 10,652, ,031, , , Net Asset Value Per U.S. Dollar Class (Institutional) Shares Shares In Issue U.S. Dollar A Class (Retail) Shares 6 4,393, ,949, Net Asset Value Per U.S. Dollar A Class (Retail) Shares Shares In Issue U.S. Dollar Class (Retail) Shares 6 190, , Net Asset Value Per U.S. Dollar Class (Retail) Shares * Launched on 7 June ** Launched on 29 June *** Redeemed on 21 February The accompanying notes form an integral part of these financial statements. 7

9 Statement of Financial Position (continued) As at 30 June 2017 Total Total 30 June December 2016 Notes USD USD Assets Financial assets at fair value through profit or loss: Investment in transferable securities 290,951, ,119,055 Investment in financial derivative instruments 9,704 42,765 Cash and cash equivalents 3 12,444,601 8,329,632 Amount receivable on sale of securities 1,677,468 - Amount receivable on subscriptions 351,397 1,605,845 Deferred formation expenses 4 25,858 37,638 Investment manager reimbursement 7 17,626 18,462 Interest and dividends receivable 101, ,696 Other receivables 18,129 - Total assets 305,597, ,258,093 Liabilities Financial liabilities at fair value through profit or loss: Investment in financial derivative instruments - 35 Redemptions payable 46, ,879 Directors fees payable Consultancy fees payable 7 16,255 14,477 Other accrued expenses and liabilities 5 52,681 34,187 Investment management fees payable 4 705, ,965 Administration fees payable 4 44,954 20,917 Audit fees payable 4-4,938 Depositary fees payable 4 54,337 25,042 Transfer agency fees payable 4 17,018 10,741 Taxation fees payable 8,296 4,456 Total liabilities (excluding amounts attributable to holders of redeemable participating shares) 946,284 1,261,788 Net assets attributable to holders of redeemable participating shares 304,651, ,996,305 The accompanying notes form an integral part of these financial statements. 8

10 Statement of Comprehensive Income Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund Notes USD USD USD USD 30 June June June June 2016 Income Dividend income 1,172, ,192 5,376 2,952 Bank Interest 22, Net gain/(loss) on financial instruments at fair value through profit or loss 2 39,398,619 (2,533,902) 149,808 (8,866) Other income 8,508 8,615 3,311 2,757 Total income/(loss) 40,602,361 (1,545,095) 158,599 (3,157) Expenses Investment management fees 4 (1,343,008) (895,340) (3,955) (1,794) Administration fees 4 (41,685) (31,929) (24,981) (26,241) Directors fees 4 (7,994) (10,992) (108) (111) Consultancy fees 7 (23,981) (34,245) (2,592) (2,419) Depositary fees 4 (55,770) (41,379) (25,054) (21,545) Transfer agency fees 4 (63,284) (67,617) (7,857) (7,790) Audit fees 4 (6,482) (6,588) (5,448) (5,366) Transaction costs (18,807) (26,801) (7) (38) Expense reimbursement 7-38,503 71,024 70,633 Formation expenses 4 (10,217) (6,935) (1,564) (1,493) Other expenses 5 (74,319) (45,746) (5,657) (7,072) Total expenses (1,645,547) (1,129,069) (6,199) (3,236) Increase/(Decrease) in net assets attributable to holders of redeemable participating shares before taxation 38,956,814 (2,674,164) 152,400 (6,393) Taxation Withholding tax on dividends and interest (357,748) (296,039) (1,295) (738) Increase/(Decrease) in net assets attributable to holders of redeemable participating shares 38,599,066 (2,970,203) 151,105 (7,131) There were no gains and losses other than those reflected above. All results above relate to continuing operations. The accompanying notes form an integral part of these financial statements. 9

11 Statement of Comprehensive Income (continued) Total Total Notes USD USD 30 June June 2016 Income Dividend income 2 1,178, ,144 Bank Interest 22,399 - Net gain on financial instruments at fair value through profit or loss 39,548,427 (2,542,768) Other income 11,819 11,372 Total income/(loss) 40,760,960 (1,548,252) Expenses Investment management fees 4 (1,346,963) (897,134) Administration fees 4 (66,666) (58,170) Directors fees 4 (8,102) (11,103) Consultancy fees 7 (26,573) (36,664) Depositary fees 4 (80,824) (62,924) Transfer agency fees 4 (71,141) (75,407) Audit fees 4 (11,930) (11,954) Transaction costs (18,814) (26,839) Expense reimbursement 7 71, ,136 Formation expenses 4 (11,781) (8,428) Other expenses 5 (79,976) (52,818) Total expenses (1,651,746) (1,132,305) Increase/(Decrease) in net assets attributable to holders of redeemable participating shares before taxation 39,109,214 (2,680,557) Taxation Withholding tax on dividends and interest (359,043) (296,777) Increase/(Decrease) in net assets attributable to holders of redeemable participating shares 38,750,171 (2,977,334) There were no gains and losses other than those reflected above. All results above relate to continuing operations. The accompanying notes form an integral part of these financial statements. 10

12 Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund USD USD USD USD 30 June June June June 2016 Net Assets attributable to holders of redeemable participating shares at beginning of the financial period 239,180, ,320, , ,620 Increase/(decrease) in net assets attributable to holders of redeemable participating shares 38,599,066 (2,970,203) 151,105 (7,131) Capital Transactions Issue of redeemable shares during the financial period U.S. Dollar A Class (Institutional) Share U.S. Dollar C Class (Investor) Shares U.S. Dollar C Class (Retail) Shares 2,585,923 5,392, EUR Class (Institutional) Shares*** , EUR Class (Retail) Shares* 2,688, GBP Class (Institutional) Shares 34,271 6,471,662 13,784** - GBP Class (Institutional Unhedged) Shares 6,998, , U.S. Dollar Class (Institutional) Shares 55,901,823 66,456,493 37,412 - U.S. Dollar A Class (Retail) Shares 10,986,251 29,252, U.S. Dollar Class (Retail) Shares 1,358, Redemption of redeemable shares during the financial period U.S. Dollar A Class (Institutional) Shares (365) U.S. Dollar C Class (Retail) Shares (1,105,661) (893,479) - - EUR Class (Institutional) Shares*** (95,626) GBP Class (Institutional) Shares (5,207,383) (38,595) - - GBP Class (Institutional Unhedged) Shares (1,459,196) (4,795) - - U.S. Dollar Class (Institutional) Shares (27,769,154) (8,732,641) (37,673) - U.S. Dollar A Class (Retail) Shares (18,739,639) (5,607,362) - - U.S. Dollar Class (Retail) Shares (286,197) Net Assets attributable to holders of redeemable participating shares at the end of the financial period 303,670, ,483, , ,484 * Launched on 7 June ** Launched on 29 June *** Redeemed on 21 February The accompanying notes form an integral part of these financial statements. 11

13 Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares (continued) Total Total USD USD 30 June June 2016 Net Assets attributable to holders of redeemable participating shares at beginning of the financial period 239,996, ,758,160 Increase/(decrease) in net assets attributable to holders of redeemable participating shares 38,750,171 (2,977,334) Capital Transactions Issue of redeemable shares during the financial period U.S. Dollar A Class (Institutional) Shares U.S. Dollar C Class (Retail) Shares 2,585,923 5,392,211 EUR Class (Institutional) Shares*** ,268 EUR Class (Retail) Shares* 2,688,627 - GBP Class (Institutional) Shares** 48,055 6,471,662 GBP Class (Institutional Unhedged) Shares 6,998, ,907 U.S. Dollar Class (Institutional) Shares 55,939,235 66,456,493 U.S. Dollar A Class (Retail) Shares 10,986,251 29,252,713 U.S. Dollar Class (Retail) Shares 1,358,699 - Redemption of redeemable shares during the financial period U.S. Dollar A Class (Institutional) Shares - (365) U.S. Dollar C Class (Retail) Shares (1,105,661) (893,479) EUR Class (Institutional) Shares*** (95,626) - GBP Class (Institutional) Shares (5,207,383) (38,595) GBP Class (Institutional Unhedged) Shares (1,459,196) (4,795) U.S. Dollar Class (Institutional) Shares (27,806,827) (8,732,641) U.S. Dollar A Class (Retail) Shares (18,739,639) (5,607,362) U.S. Dollar Class (Retail) Shares (286,197) - Net Assets attributable to holders of redeemable participating shares at the end of the financial period 304,651, ,914,203 * Launched on 7 June ** Launched on 29 June *** Redeemed on 21 February The accompanying notes form an integral part of these financial statements. 12

14 Statement of Cash Flows Cash flows from operating activities Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund USD USD USD USD 30 June June June June 2016 Increase/(Decrease) in net assets attributable to holders of redeemable participating shares from operations 38,599,066 (2,970,203) 151,105 (7,131) Adjustments to reconcile profit/(loss) attributable to holders of redeemable participating shares to cash used in operating activities Interest income (22,295) - (104) - Dividend income (1,172,939) (980,192) (5,376) (2,952) Tax expense (357,748) (296,039) (1,295) (738) Operating profit/((loss) before working capital changes 37,046,084 (4,246,434) 144,330 (10,821) Changes in operating assets and liabilities (Increase) in investments in securities (59,634,734) (87,280,512) (164,593) (8,731) Decrease/(Increase) in amount receivable on subscriptions 1,268, ,885 (13,813) - (Increase) in amount receivable on sale of securities (1,677,468) (1,130,321) - - Decrease in deferred formation expenses 10,216 6,935 1,564 1,494 (Increase) in other receivables (10,682) (32,511) (7,447) (6,043) (Increase)/Decrease in expense reimbursement receivable - (16,688) 836 (13,667) Increase in amount payable on purchase of securities - 4,223, (Decrease) in redemptions payable (474,035) (240,092) - - Increase/(Decrease) in investment management fees payable 79, , (42) Increase in administration fees payable 15,198 2,373 8,839 2,139 Increase in transfer agency fees payable 3, , Increase in directors fees payable - 2, Increase/(Decrease) in consultancy fees payable 4,591 7,768 (2,813) 2,300 Increase/(Decrease) in depositary fees payable 21,353 3,460 7,942 (20) (Decrease) in audit fees payable (2,470) (6,120) (2,468) (4,173) Increase/(Decrease) in taxation fees payable 4,545 5,118 (705) 419 Increase/(Decrease) in other accrued expenses and liabilities 17,280 (1,896) 1,214 (3,860) Cash used in operating activities (23,328,701) (87,372,226) (24,214) (40,091) 13

15 Statement of Cash Flows (continued) Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund USD USD USD USD 30 June June June June 2016 Changes in operating assets and liabilities (continued) Interest received 22, Dividends received 1,176, ,561 5,373 2,952 Taxation 357, ,039 1, Net cash used in operating activities (21,772,803) (86,125,626) (17,443) (36,401) Financing activities Proceeds from issue of redeemable participating shares 80,554, ,410,254 51, Payments on redemption of redeemable participating shares (54,662,856) (15,276,872) (37,673) (365) Net Cash inflow provided by financing activities 25,891,692 93,133,382 13,523 (5) Net increase/(decrease) in cash and cash equivalents 4,118,889 7,007,756 (3,920) (36,406) Cash at Bank at the Beginning of the financial period 8,248,962 3,967,511 80,670 67,551 Cash at Bank at the End of the financial period 12,367,851 10,975,267 76,750 31,145 The accompanying notes form an integral part of these financial statements. 14

16 Statement of Cash Flows (continued) Cash flows from operating activities Total Total USD USD 30 June June 2016 Increase/(Decrease) in net assets attributable to holders of redeemable participating shares from operations 38,750,171 (2,977,334) Adjustments to reconcile profit/(loss) attributable to holders of redeemable participating shares to cash used in operating activities Interest income (22,399) - Dividend income (1,178,315) (983,144) Tax expense (359,043) (296,777) Operating profit/(loss) before working capital changes 37,190,414 (4,257,255) Changes in operating assets and liabilities (Increase) in investments in securities (59,799,327) (87,289,243) Decrease in amount receivable on subscriptions 1,254, ,885 (Increase) in amount receivable on sale of securities (1,677,468) (1,130,321) Decrease in deferred formation expenses 11,780 8,429 (Increase) in other receivables (18,129) (38,554) Decrease/(Increase) in expense reimbursement receivable 836 (30,355) Increase in amount payable on purchase of securities - 4,223,863 (Decrease) in redemptions payable (474,035) (240,092) Increase in investment management fees payable 79, ,076 Increase in administration fees payable 24,037 4,512 Increase in transfer agency fees payable 6,277 1,631 Increase in directors fees payable 77 2,111 Increase in consultancy fees payable 1,778 10,068 Increase in depositary fees payable 29,295 3,440 (Decrease) in audit fees payable (4,938) (10,293) Increase in taxation fees payable 3,840 5,537 Increase/(Decrease) in other accrued expenses and liabilities 18,494 (5,756) Cash used in operating activities (23,352,915) (87,412,317) 15

17 Statement of Cash Flows (continued) Total Total USD USD 30 June June 2016 Changes in operating assets and liabilities (continued) Interest received 22,135 - Dividends received 1,181, ,513 Taxation 359, ,777 Net cash used in operating activities (21,790,246) (86,162,027) Financing activities Proceeds from issue of redeemable participating shares 80,605, ,410,614 Payments on redemption of redeemable participating shares (54,700,529) (15,277,237) Net Cash inflow provided by financing activities 25,905,215 93,133,377 Net increase in cash and cash equivalents 4,114,969 6,971,350 Cash at Bank at the Beginning of the financial period 8,329,632 4,035,062 Cash at Bank at the End of the financial period 12,444,601 11,006,412 The accompanying notes form an integral part of these financial statements. 16

18 Notes to the Financial Statements 1. Significant Accounting Policies a) Basis of Preparation The condensed financial statements have been prepared in accordance with IAS 34, Interim Financial Reporting and Irish Company law. The same accounting policies and methods of computation are followed in the preparation of these condensed interim financial statements as were followed in the preparation of the audited annual financial statements prepared for the financial year ended 31 December These condensed interim financial statements should be read in conjunction with the financial statements of the Company for the financial year ended 31 December The condensed financial statements have been prepared under the historical cost convention as modified by the revaluation of financial assets and financial liabilities at fair value through profit or loss. The preparation of condensed financial statements requires the Directors to make judgments, estimates and assumptions that affect the application of policies and the reported amounts of assets, liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgments about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. The accounting policies have been applied consistently by the Company. b) New Accounting Pronouncements amendments and interpretations issued but not effective and not yet adopted i) Standards and amendments to existing standards effective 1 January 2017 There are no standards, interpretations or amendments to existing standards that are effective for the first time for the financial year beginning 1 January 2017 that have had a material impact on the Funds. (ii) New standards, amendments and interpretations effective after 1 January 2017 and have not been early adopted A number of new standards, amendments to standards and interpretations in issue are not yet effective, and have not been applied in preparing these financial statements. The following standard that is mandatory for future accounting periods, but where early adoption is permitted now, has not been duly adopted. - IFRS 9 (effective 1 January 2018) - Financial Instruments It is not expected to have a material effect on the financial statements of the Fund. c) Foreign Currency The functional currency of the Funds is U.S. Dollar (USD). Assets and liabilities denominated in currencies other than the functional currency of the Funds are translated at the rate of exchange ruling at the financial period end date. Transactions in foreign currencies are translated into U.S. Dollars at the exchange rate ruling at the date of the transaction. Gains and losses on foreign exchange transactions are recognised in the Statement of Comprehensive Income in determining the result for the financial period. Foreign exchange gains and losses on financial assets and financial liabilities at fair value through profit or loss are recognised together with other changes in fair value. The following exchange rates were used to convert assets and liabilities to the functional currency of the Funds at financial period end: As at As at 30 June December 2016 Pound Sterling Swiss Franc Euro Australian Dollar Danish Krone Hong Kong Dollar

19 Notes to the Financial Statements (continued) 2. Net (Loss)/Gain on Financial Assets and Liabilities at Fair Value Through Profit or Loss Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund Financial period ended Financial period ended Financial period ended Financial period ended 30 June June June June 2016 USD USD USD USD Net currency gains/(losses) 43,048 12, (26) Net realised gains/(losses) on sale of investments 6,404, ,720 - (2,804) Net realised gains/(losses) on forward foreign exchange contracts 30,443 (536,921) - - Net change in unrealised (losses) on forward foreign exchange contracts (33,026) (18,327) - - Net change in unrealised gains/(losses) on investments 32,953,156 (2,218,088) 149,787 (6,036) Net gains/(losses) on financial assets at fair value through profit or loss 39,398,619 (2,533,902) 149,808 (8,866) Total Total Financial period ended Financial period ended 30 June June 2016 USD USD Net currency gains 43,069 12,688 Net realised gains on sale of investments 6,404, ,916 Net realised gains/(losses) on forward foreign exchange contracts 30,443 (536,921) Net change in unrealised (losses) on forward foreign exchange contracts (33,026) (18,327) Net change in unrealised gains/(losses) on investments 33,102,943 (2,224,124) Net gains/(losses) on financial assets at fair value through profit or loss 39,548,427 (2,542,768) 3. Cash and Cash Equivalents Polen Capital Focus Polen Capital Focus Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Global Growth Fund Global Growth Fund As at As at As at As at 30 June December June December 2016 USD USD USD USD RBC Investor Services Bank S.A., Dublin Branch 12,367,851 8,248,962 76,750 80,670 Total Total As at As at 30 June December 2016 USD USD RBC Investor Services Bank S.A., Dublin Branch 12,444,601 8,329,632 12,444,601 8,329,632 12,367,851 8,248,962 76,750 80,670 18

20 Notes to the Financial Statements (continued) 4. Fees Investment Management Fee Pursuant to the Investment Management Agreement, the Investment Manager shall be entitled to a maximum annual investment management and distribution fee equal to a percentage of the Net Asset Value of the relevant Class as outlined in the table below. Such fee shall be calculated and accrued at each Valuation Point and payable quarterly in arrears. Sub-Fund Share class Annual percentage Polen Capital Focus U.S. Growth Fund CHF Class (Institutional) 0.75% CHF Class (Retail) 1.50% EUR Class (Institutional) 0.75% EUR Class (Retail) 1.50% GBP Class (Institutional) 0.75% GBP Class (Retail) 1.50% A Class (Retail) 1.50% C Class (Retail) 1.75% USD Class (Institutional) 0.75% USD Class (Retail) 1.50% GBP Class (Institutional Unhedged) 0.75% Sub-Fund Share class Annual percentage Polen Capital Focus Global Growth Fund CHF Class (Institutional) 0.85% CHF Class (Investor) 1.60% EUR Class (Institutional) 0.85% EUR Class (Investor) 1.60% GBP Class (Institutional) 0.85% GBP Class (Investor) 1.60% USD A Class (Investor) 1.60% USD C Class (Investor) 1.85% USD Class (Institutional) 0.85% USD Class (Investor) 1.60% GBP Class (Institutional Unhedged) 0.85% In addition, the Investment Manager shall be entitled to be reimbursed for reasonable out of pocket expenses incurred by it and any VAT on fees and expenses payable to or by it. During the financial period Investment Management fees amounted to USD 1,346,963 (30 June 2016: USD 897,134) and Investment Management fees payable at 30 June 2017 amounted to USD 705,671 (31 December 2016: USD 625,965). Administration and Transfer Agency Fees The Administrator, in relation to the provision of its services shall be entitled to a fee payable out of the assets of the Funds accruing at each Valuation Point and payable monthly in arrears at the end of each calendar month at a rate of up to 0.06% of the Net Asset Value of the Funds per annum subject to a minimum annual fee of USD 19,125. The Fund shall also be subject to a Net Asset Value calculation fee of USD 29,120 per annum. The Funds shall also be subject to transaction charges, which shall not exceed normal commercial rates. The Administrator shall also be entitled to reimbursement of all reasonable out-ofpocket expenses incurred for the benefit of the Funds out of the assets of the Funds. From 26 January 2017 the minimum annual fee for the Net Asset Value calculation fee for Polen Capital Focus U.S. Growth Fund was amended to USD 18,000. The Administrator shall also be entitled to receive an aggregate annual fee which will not exceed USD 8,000 for the preparation of the annual and semi-annual financial statements relating to the Company. The Administration and Transfer Agency fees charged during the financial period amounted to USD 66,666 (30 June 2016: USD 58,170) and USD 71,141 (30 June 2016: USD 75,407) respectively. The Administration and Transfer Agency fees payable at 30 June 2017 amounted to USD 44,954 (31 December 2016: USD 20,917) and USD 17,018 (31 December 2016: USD 10,741) respectively. 19

21 Notes to the Financial Statements (continued) 4. Fees (continued) Depositary s Fee Safekeeping fees are based on the Net Asset Value of the Funds and vary, from 0.004% to 1.50%, depending on the country in which the security is traded and held, exclusive of transaction charges and out-of-pocket expenses, subject to a minimum annual fee of USD 35,000 per annum. The Funds shall also bear the cost of all relevant sub-custodian transaction charges incurred by the Depositary, or any sub-custodian, which shall not exceed normal commercial rates. The Depositary shall also be entitled to reimbursement of reasonable out-of-pocket expenses incurred by the Depositary, or any sub-custodian, for the benefit of the Funds. The Depositary shall also be entitled to a fee payable out of the assets of the Funds accruing at each Valuation Point and payable monthly in arrears at the end of each calendar month at an annual rate of up to 0.025% of the Net Asset Value of the Funds, subject to a minimum annual fee per Funds, exclusive of out-of-pocket expenses, of USD 14,000. Depositary fees charged during the financial period amounted to USD 80,824 (30 June 2016: USD 62,924) of which USD 54,337 was payable at 30 June 2017 (31 December 2016: USD 25,042). Directors Fees The Articles of Association authorise the Directors to charge a fee for their services at a rate determined by the Directors. Each Director shall receive a fee for their services up to a maximum of 20,000 per annum. Stan Moss and Maurice Murphy have waived their entitlement to receive directors fees. Any increase above the maximum permitted fee will be notified in advance to Shareholders. Each Director may be entitled to special remuneration if called upon to perform any special or extra services to the Company. All Directors will be entitled to reimbursement by the Company of expenses properly incurred in connection with the business of the Company or the discharge of their duties. During the financial period Directors fees amounted to USD 8,102 (30 June 2016: USD 11,103) and Directors fees payable at 30 June 2017 amounted to USD 228 (31 December 2016: USD 151). Audit Fees Audit fees in relation to statutory audit services during the financial period amounted to USD11,930 (30 June 2016: USD 11,954) (exclusive of VAT) and USD nil was payable at 30 June 2017 (31 December 2016: USD 4,938). PricewaterhouseCoopers received fees in relation to taxation services during the financial period which amounted to USD nil (30 June 2016: USD nil) and USD 8,296 was payable at 30 June 2017 (31 December 2016: USD 4,456). PricewaterhouseCoopers did not receive any other fees for non-audit services (30 June 2016: Nil). Formation Expenses All fees and expenses relating to the establishment and organisation of the Company including the fees of the Company s professional advisers and the fees and expenses incurred in listing the Polen Capital Focus U.S. Growth Fund and Polen Capital Focus Global Growth Fund on the Irish Stock Exchange and registering the Shares for sale in various markets will be borne by the Company. Such fees and expenses may be amortised over the first five Accounting Years of the Company or such other year as the Directors may determine and in such manner as the Directors in their absolute discretion deem fair and shall be subject to such adjustment following the establishment of new Funds as the Directors may determine. Formation expenses amortised during the financial period were USD 11,781 (30 June 2016: USD 8,428). At the financial period end an amount of USD 25,858 (31 December 2016: USD 37,638) in relation to formation costs was accrued in the financial statements and will be amortised in line with the description above. 20

22 Notes to the Financial Statements (continued) 5. Other Accrued Expenses and Liabilities and Other Expenses Other Accrued Expenses and Liabilities Below is the breakdown for other accrued expenses and liabilities as at 30 June Polen Focus US Growth Fund 30 June 2017 Polen Focus US Growth Fund 31 December 2016 Polen Capital Focus Global Growth Fund 30 June 2017 Polen Capital Focus Global Growth Fund 31 December 2016 Description Listing fees payable Legal fees payable 26,260 16,779 1,458 1,225 Registration fees payable 5,538 3,100 1,269 1,167 Regulatory fees payable 7,607 2,912 1, Secretarial fees payable Insurance fees payable 7,130 6,464 2,056 2,002 Total other accrued expenses and liabilities 46,535 29,255 6,146 4,932 Other Expenses Below is the breakdown for other expenses during the financial period ended 30 June Polen Focus US Growth Fund 30 June 2017 Polen Focus US Growth Fund 30 June 2016 Polen Capital Focus Global Growth Fund 30 June 2017 Polen Capital Focus Global Growth Fund 30 June 2016 Description Listing fees 2,424 2,085 1,290 1,199 Registration fees 23,210 10, Insurance fees 665 1, Secretarial fees 6,049 9,413 2,653 2,364 Regulatory Fees 6,694 8, Other operating expenses 1, Professional Fees 7,504 6, Legal fees 26,069 6, Out-of-Pocket Expenses Bank interest expense Total other expenses 74,319 45,746 5,657 7,072 21

23 Notes to the Financial Statements (continued) 6. Share Capital The authorised share capital of the Company is 300,000 redeemable non-participating shares of no par value and 500,000,000,000 participating shares of no par value. Non-participating shares do not entitle the holders thereof to any dividend and on a winding up entitle the holders thereof to receive the consideration paid therefore but do not otherwise entitle them to participate in the assets of the Company. The Directors have the power to allot shares in the capital of the Company on such terms and in such manner as they may think fit. Shares may be issued on any Dealing Day. Shares issued in a Fund or Class will be in registered form and denominated in the Base Currency specified in the relevant Supplement for the relevant Fund or a currency attributable to the particular Class. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was USD 10 in respect of the U.S. Dollar Class (Institutional) shares. This Class launched on 8 March Minimum initial subscription was USD 250,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was USD 10 in respect of the U.S. Dollar C Class (Retail) shares. This Class launched on 10 March Minimum initial subscription was USD 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was USD 10 in respect of the U.S. Dollar A Class (Retail) shares. This Class launched on 10 March Minimum initial subscription was USD 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus Global Growth Fund was USD 10 in respect of the U.S. Dollar Class (Institutional) shares. This Class launched on 29 January Minimum initial subscription was USD 250,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was USD 10 in respect of the U.S. Dollar Class (Retail) shares. This Class launched on 13 March Minimum initial subscription was USD 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus Global Growth Fund was USD 10 in respect of the U.S. Dollar A Class (Investor) shares. This Class launched on 12 January 2016 and redeemed on 7 March Minimum initial subscription was USD 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was GBP 10 in respect of the GBP Class (Institutional) shares. This Class launched on 8 March Minimum initial subscription was GBP 250,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was EUR 10 in respect of the EUR Class (Institutional) shares. This Class launched on 1 April 2016 and redeemed on 21 February Minimum initial subscription was EUR 250,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was GBP 10 in respect of the GBP Class (Institutional Unhedged) shares. This Class launched on 13 April Minimum initial subscription was GBP 250,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus Global Growth Fund was USD 10 in respect of the USD C Class (Investor) shares. This Class launched on 25 November Minimum initial subscription was USD 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus U.S. Growth Fund was EUR 10 in respect of the EUR Class (Retail) shares. This Class launched on 7 June Minimum initial subscription was EUR 1,000. The initial price per share during the Initial Offer Year for The Polen Capital Focus Global Growth Fund was GBP 10 in respect of the GBP Class (Institutional) shares. This Class launched on 29 June Minimum initial subscription was GBP 250,

24 Notes to the Financial Statements (continued) 6. Share Capital (continued) Shares will have no par value and will first be issued on the first Dealing Day after expiry of the initial offer year specified in the relevant Supplement at the Initial Price as specified in the relevant Supplement. Thereafter, Shares shall be issued at the Net Asset Value per Share. Redemption of Shares Shareholders may redeem their Shares on and with effect from any Dealing Day at the Net Asset Value per Share for that Class calculated on or with respect to the relevant Dealing Day in accordance with the procedures described below (save during any financial period when the calculation of Net Asset Value is suspended). The minimum value of Shares which a Shareholder may redeem in any one redemption transaction is the Minimum Transaction Size as specified in the relevant Supplement. If the redemption of only part of a Shareholder s shareholding would leave the Shareholder holding less than the Minimum Holding for the relevant Fund, the Company or its delegate may, if it thinks fit, redeem the whole of that Shareholder's holding. Minimum Initial Subscription, Minimum Holding and Minimum Transaction Size Each investor must satisfy the Minimum Initial Subscription requirements applicable to the relevant Class as outlined above and must retain Shares having a Net Asset Value of the Minimum Holding applicable to the relevant Class as outlined above. A Shareholder may make subsequent subscriptions, conversions and redemptions, each subject to a Minimum Transaction Size applicable to the relevant Class as outlined above. Anti Dilution Levy/Duties and Charges The Company reserves the right to impose an anti dilution levy representing a provision for market spreads (the differences between the prices at which assets are valued and/or bought or sold), duties and charges and other dealing costs relating to the acquisition or disposal of assets and to preserve the value of the underlying assets of a Fund, in the event of receipt for processing of net subscriptions and/or net redemptions, including subscriptions and redemptions which would be effected as a result of requests for conversion from one Fund into another Fund. Unless otherwise disclosed in the relevant Supplement, any such provision may be added to the price at which Shares will be issued in the case of net subscription requests exceeding 3% of the Net Asset Value of the Fund and deducted from the price at which Shares will be redeemed in the case of net redemption requests exceeding 3% of the Net Asset Value of a Fund, including the price of Shares issued or redeemed as a result of requests for conversion. The application of any provision will be subject to the overall direction and discretion of the Company. Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 1,320, ,299, Shares issued during the financial period U.S. Dollar C Class (Retail) Shares 188, , Shares redeemed during the financial period U.S. Dollar C Class (Retail) Shares (79, ) (75, ) Redeemable participating shares in issue at the end of the financial period 1,429, ,659,

25 Notes to the Financial Statements (continued) 6. Share Capital (continued) Anti Dilution Levy/Duties and Charges (continued) Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 8, Shares issued during the financial period EUR Class (Institutional) Shares* - 29, Shares redeemed during the financial period EUR Class (Institutional) Shares* (8, ) - Redeemable participating shares in issue at the end of the financial period - 29, * Redeemed on 21 February 2017 Polen Capital Focus U.S. Growth Fund Financial period ended 30 June 2017 Redeemable participating shares in issue at beginning of the financial period - Shares issued during the financial period EUR Class (Retail) Shares* 240, Shares redeemed during the financial period EUR Class (Retail) Shares* - Redeemable participating shares in issue at the end of the financial period 240, * Launched on 7 June Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 867, Shares issued during the financial period GBP Class (Institutional) Shares* 457, , Shares redeemed during the financial period GBP Class (Institutional) Shares* (91, ) (2, ) Redeemable participating shares in issue at the end of the financial period] 1,232, , *Launched on 8 March

26 Notes to the Financial Statements (continued) 6. Share Capital (continued) Anti Dilution Levy/Duties and Charges (continued) Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 398, Shares issued during the financial period GBP Class (Institutional Unhedged) Shares* 2, , Shares redeemed during the financial period GBP Class (Institutional Unhedged) Shares* (393, ) ( ) Redeemable participating shares in issue at the end of the financial period 7, , *Launched on 13 April 2016 Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 9,031, ,084, Shares issued during the financial period U.S. Dollar Class (Institutional) Shares 3,263, ,491, Shares redeemed during the financial period U.S. Dollar Class (Institutional) Shares (1,642, ) (574, ) Redeemable participating shares in issue at the end of the financial period 10,652, ,002, Polen Capital Focus Polen Capital Focus U.S. Growth Fund U.S. Growth Fund Financial period ended Financial period ended 30 June June 2016 Redeemable participating shares in issue at beginning of the financial period 4,949, ,188, Shares issued during the financial period U.S. Dollar A Class (Retail) Shares 785, ,345, Shares redeemed during the financial period U.S. Dollar A Class (Retail) Shares (1,341, ) (449, ) Redeemable participating shares in issue at the end of the financial period 4,393, ,084,