FINASTA BALTIC FUND SEMI-ANNUAL REPORT JANUARY JUNE 2013

Transcription

1 SEMI-ANNUAL REPORT JANUARY JUNE 2013

2 I. GENERAL INFORMATION 1. Finasta Baltic Fund general information: Information is provided in the general part of the explanatory letter. 2. Reporting period covered by this report: Information is provided in the general part of the explanatory letter. 3. Information on the Management Company: Information is provided in the general part of the explanatory letter. 4. Information on the depository: Information is provided in the general part of the explanatory letter. II. NUMBER AND VALUE OF NET ASSETS, INVESTMENT ITEMS OR SHARES 5. Number and of net assets (hereinafter NA) and investment items (shares): At the beginning of the reporting period At the end of the reporting period Year before (30 June, 2012) Two years before (30 June, 2011) Net assets, LTL , , Investment item (share), Lt 83, , Number of investment items (shares) in circulation , , Number and total conversion amount of the distributed and redeemed investment items or shares during the reporting period: Distributed (converting monetary funds into investment items) Redeemed (converting investment items into monetary funds) Number of investment items Value, LTL , , , ,62 2 / 20

3 III. EXPENSE AND TURNOVER INDICES OF COLLECTIVE INVESTMENT UNDERTAKING 7. Deductions from the collective investment undertaking assets: Deductions Management fee Fixed fee Maximum as specified in foundation documents 2 % of the average annual NAV of the Fund Fee ratio Applied during the reporting period 2 % of the average annual NAV of the Fund Performance fee Not applicable Not applicable Not exceeding 0,25% of For the depository the average annual NAV Transactions expenses Other expenses (distribution fee ) Other expenses (change fee) For audit Other expenses (third parties fee) Other expenses (bank services) Other expenses (legal expenses) Not exceeding 1% of the of transactions executed 0,25% of the average annual NAV Not exceeding 1% of the of transactions executed Fee amount calculated over the reporting period, LTL % of the average net assets over the reporting period ,33 0, ,19 0, ,18 0,24 Not applicable Not applicable 2.880,26 0,07 Not applicable Not applicable ,62 0,44 Total amount of remuneration for the audit company and financial entities cannot exceed 0.5% of the average annual NAV of the Fund Not exceeding 1% of the average annual NAV Total amount of remuneration for the audit company and financial entities cannot exceed 0.5% of the average annual NAV of the Fund Not exceeding 1% of the average annual NAV ,81 0, Total amount of expenditure: ,39 8. Intermediary fee: Intermediary name Finasta bank AB Description of services provided Commission fee for intermediation in securities transactions Remuneration for services, LTL 06/30/ ,26 Intermediary s connection with the Management Company The supervisory person of the Management Company and the intermediary supervisory person is one and the same Total *** 8.119,26 *** 9. Information about all existing agreements on sharing of fees and hidden commissions: The Management Company did not conclude any formal or informal agreements on fee sharing during the reporting period. No hidden commission fees were charged to the Fund. 10. An example that illustrates the influence of deductions on the final return of investment that falls on the investor: Information is provided in the annual report. 3 / 20

4 IV. INFORMATION ABOUT PORTFOLIO OF INVESTMENT INSTRUMENTS OF COLLECTIVE INVESTMENT UNDERTAKING 11. Composition of the investment instruments portfolio at the end of the reporting period: Issuer name Cou ntry ISIN Code Quantity, units Total nominal Total acquisition Total market Market, according to which data the market has been established (website) Vote share of the issuer, % Equity securities listed in the Official or corresponding trading list City Service LT LT , , , ,70 0,2804 7,3827 AB Apranga PVA LT LT , , , ,41 0,0665 4,005 Pieno žvaigždės LT LT , , , ,76 0,0828 3,6902 AB "Vilkyškių pieninė" LT LT , , , ,64 0,4059 3,0697 AB Šiaulių bankas LT LT , , , ,22 0,2716 7,5562 Rokiškio sūris AB LT LT , , , ,75 0,1704 4,1092 AB Linas Agro Group LT LT , , , ,05 0,0791 4,0971 AB "Grigiškės" LT LT ,00 0, , , , , , ,53 Equity securities listed in the Supplementary or corresponding trading list Equity securities traded in other regulated markets SAF Tehnika LV LV , , , ,95 0,2033 0,5419 Silvano Fashion Group EE EE , , , ,24 0,1779 8,1991 Liepajas metalurgs LV LV , , , ,46 0,0412 0,2909 Tallink Grupp EE EE , , , ,00 0,0126 3,5591 Grindeks LV LV , , , ,52 0,0931 3,5235 Merko Ehitus EE EE , , ,25 0,0681 3,4944 Nordecon International EE EE , , ,50 0,1258 1,914 Olainfarm LV LV , , , ,42 0,1643 7,1786 Ventspils nafta LV LV , , , ,11 0,0178 1,1573 Trigon Property Development EE EE , , , ,28 2,0546 1,8253 Olympic Entertainment Group EE EE , , , ,56 0,0184 2,2209 Baltika AS EE EE , , , ,30 0,2723 4,0599 Latvijas Gaze LV LV , , , ,09 0,0169 2,8623 Tallinna Kaubamaja EE EE , , , ,16 0,034 3, , ,84 Share of NA, %

5 Issued new equity securities Total of equity securities: , ,3 7 Issuer name Country ISIN Code Non-equity securities listed in the Official or corresponding trading list Quantity, units Total nominal Total acquisition Total market Interest rate Redemption / conversion date Share of NA, % Non-equity securities listed in the Supplementary or corresponding trading list Non-equity securities traded in other regulated markets Issued new non-equity securities Total of non-equity securities: CIU name Country ISIN Code Quantity, units Manager Total acquisition CIU items (shares) following requirements of Article 61 (1) of the Law on Collective Investment Undertakings Items (shares) of other collective investment undertakings Total market Market, according to which data the market has been established (website) CIU type* Percentage NA, % Total CIU items (shares): *CIU 1 CIU, which investment strategy intends to invest up to 100 percent of net assets into non-equity securities; CIU 2 CIU, which investment strategy intends to invest into mixed (balanced) investments; CIU 3 CIU, which investment strategy intends to invest up to 100 percent of net assets into equity securities; CIU 4 CIU, which investment strategy intends to invest up to 100 percent of net assets into money market instruments; CIU 5 other CIU (alternative investment, private capital, real estate, raw materials, etc.). 5 / 20

6 Issuer name Country Instrument name Money market instruments traded in regulated markets Other instruments of money market Total of money market instruments: Quantity, units Currency Total market Interest rate Termination date Share of NA, % Credit institution name Country Currency Deposits in credit institutions Total market Interest rate Termination of the deposit period Share of NA, % Total of deposits in credit institutions: Instrument name Issuer Country Other part of the transaction Derivative financial instruments traded in regulated markets Currency Investment transaction Transaction Total market Market name (website) Termination date Share of NA, % Other derivative financial instruments Total of derivative financial instruments: Bank name Country Total market Interest rate Share of NA, % Money AB SEB Bankas_EUR EUR ,32 0,00 13,5963 AB SEB Bankas_LTL LTL 2.792,46 0,00 0,1253 AB SEB Bankas_LVL LVL 8.489,73 0,00 0,381 Total amount of money: ,51 Name Short description Total Purpose Share of NA, % Other instruments not described in the Law on Collective Investment Undertakings, Article 57 (1) Accounts receivable ,79 6,4568 Accounts payable (3.657,53) (0,1641) ,26 6 / 20

7 12. Allocation of investment assets according to criteria corresponding with the investment strategy: According to investment objects Investment allocation Market Share of assets, % Shares ,77 79,60 Government debt securities - - Corporate debt securities - - Collective investment instrument - - Money market instruments - - Deposits - - Derivative financial instruments - - Money in credit institutions ,18 14,10 Other instruments ,95 93,71 Market at the start of the reporting period Share of assets at the start of the reporting period, % By sector Investment allocation Market Share of assets, % Telecommunications Healthcare ,10-10,70 A choice of consumer goods and ,13 19,03 services Everyday consumer ,84 14,40 goods/services Financial services ,94 9,38 Information technology Industrials ,46-9,26 Utilities ,47 11,48 Energy ,63 4,02 Basic Materials ,20 1,34 CIU Financial derivatives - Government securities ,77-79,60 By currency Investment allocation Market Share of assets, % Lithuanian Litas 9.641,81 0,13 Euro ,95 77,65 Latvian Lats ,19 15, ,95 93,71 Market at the start of the reporting period Market at the start of the reporting period Share of assets at the start of the reporting period, % Share of assets at the start of the reporting period, %

8 As per geographic zone Investment allocation Market Share of assets, % Market at the start of the reporting period Share of assets at the start of the reporting period, % Lithuania ,98 49,35 Latvia ,85 15,55 Estonia ,12 28, ,95 93,71 By issuer type Investment allocation Market Share of assets, % Government of the Republic of Lithuania Governments of other countries Companies registered in the Republic of Lithuania ,80 35,25 Companies registered not in the Republic of Lithuania ,97 44,36 Collective investment undertakings registered in the Republic of Collective investment undertakings registered not in the Republic of Other ,77 79,60 Market at the start of the reporting period Share of assets at the start of the reporting period, % 13. Transactions of derivative financial instruments that were executed during the reporting period; except the ones provided in Clause 11 of this report: No such transactions were executed during the reporting period. 14. Types of the derivative financial instruments, their risks, quantitative limits and methods that are used to evaluate the collective investment undertaking risk related to transactions of derivative financial instruments are provided in Clause 11 of the Annex. Methods by which the derivative financial instrument can protect the transaction (position) of investment instruments against risk: No transactions with derivative financial instruments were concluded or executed during the reporting period. 15. Total of liabilities resulting from the transactions of derivative financial instruments at the end of the reporting period: At the end of the reporting period no transactions with derivative financial instruments that would result in liabilities were concluded. 16. The risk exposure assumed by a master collective investment undertaking in accordance with the transactions in derivative financial instruments The sum of the direct potential risk extent of the feeder collective investment undertaking and the actual derivative financial instruments risk of the master collective investment undertaking that is proportional to the feeder collective investment undertaking investments to the master undertaking: The collective investment undertaking is a non-master investment undertaking. 8 / 20

9 16.2. The sum of the direct potential risk extent of the feeder collective investment undertaking and the extent of potential maximum risk that was taken by the master collective investment undertaking according to transactions on derivative financial instruments and that was determined in the founding documents of the master collective investment undertaking and that is proportional to the feeder collective investment undertaking investments to the master undertaking: The collective investment undertaking is a non-master investment undertaking. 17. Refer to the factors in the reporting period, which had the greatest impact on the investment portfolio structure and its changes: The investment portfolio of the Fund complies with the Fund investment strategy. The Fund invests in stocks of Baltic countries' stock markets; at the end of the reporting period was mainly invested in companies shares of Lithuania. The Fund was mainly invested in trade, food production and pharmaceutical sectors during the first six months of year Refer to the factors in the reporting period, which had the greatest impact on the investment portfolio structure and its changes: Fund's investment portfolio was mainly influenced by the change in the stock and commodity prices. V. INVESTMENT RETURN AND RISK INDICATORS OF THE COLLECTIVE INVESTMENT UNDERTAKING 19. Comparative index (if selected) and a brief description of it: Information is provided in the annual report. 20. Change in the of investment instruments (shares) of the same period, annual return (gross and net) on the investment instruments portfolio and change in the of the comparative index (if selected) and other indicators over the last ten years of operation of the Fund: Information is provided in the annual report. 21. The average return on investments, the average change in the of investment instruments and the average change in the of the comparative index (if selected) over the last three, five and ten years (the average net return on investments, the average change in the of investment instruments and the comparative index are calculated as the respective geometric averages of annual net investment return, change in the of the investment instrument and the comparative index): Information is provided in the annual report. 22. Other indicators revealing risks related to the investment instruments portfolio: Information is provided in the annual report. VI. FINANCIAL CONDITION OF THE COLLECTIVE INVESTMENT UNDERTAKING 23. Financial statements of the collective investment undertaking are prepared in compliance with the laws and requirements of the legal acts of the Republic of Lithuania: 9 / 20

10 23.1. Statement of Net Assets: No. Assets Note No. A. ASSETS Financial year (30/06/2013) ,20 I. MONEY ,30 II. TERM DEPOSITS - III. MONEY MARKET INSTRUMENTS - III.1. Treasury bills - III.2. Other money market instruments - Last financial year (31/12/2012)* IV. TRANSFERABLE SECURITIES ,77 IV.1. Non-equity securities - IV.1.1. Governments and central banks or nonequity securities guaranteed by them IV.1.2. Other non-equity securities - - IV.2. IV.3. Equity securities Investment instruments and shares of other collective investment undertakings ,77 - V. ACCOUNTS RECEIVABLE V.1. Receivable accounts from sale of investment transactions ,13 V.2. Other receivable accounts ,13 VI. INVESTMENT AND OTHER PROPERTY - VI.1. Investment assets - VI.2. Derivative financial instruments - VI.3. Other assets - B. LIABILITIES I. Financial and investment asset purchase liabilities ,55 II. Liabilities to credit institutions - III. VI. Liabilities from contracts for derivative financial instruments Accounts payable to the Management Company and the depository ,19 V. Other payable accounts and liabilities 5.748,36 C. NET ASSETS ,65 *UAB Finasta Asset Management manages the fund since 01/08/2013, so there is no comparative data / 20

11 23.2. Statement of changes in net assets: No. Articles Note No. Financial year (06/30/2013) Last financial year (06/30/2012)* I. NET ASSETS VALUE AT THE START OF THE REPORTING PERIOD ,84 II. INCREASE OF THE NET ASSET VALUE II.1. Members contributions to the fund ,50 II.2. Amounts received from other funds - II.3. Margins - II.4. Interest income - II.5. Dividends ,95 II.6. Profit on change in of investments and sales ,94 II.7. Profit on change in foreign exchange rate 642,37 II.8. Profit from derivative financial instrument transactions - II.9. Other increases in net asset - TOTAL INCREASE: ,76 III. DECREASE IN NET ASSETS VALUE III.1. Allowances for the fund s members ,45 III.2. Allowances for other funds - III.3. Losses on changes in of investments and sales ,79 III.4. Losses on changes in foreign exchange rate 7.676,31 III.5. Losses from derivative financial instrument transactions III.6. Management costs: ,39 III.6.1. Salary for the Management Company ,95 III.6.2. Salary for depository 1.798,19 III.6.3. Salary for intermediaries ,18 III.6.4. Audit costs 2.880,26 III.6.5. Other expenses 6.909,81 III.7. Other decreases in net asset - III.8. Cost reimbursement (-) - III.9. Distribution of profit - IV. TOTAL DECREASE: ,94 NET ASSETS VALUE AT THE END OF THE REPORTNG PERIOD ,65 *UAB Finasta Asset Management manages the fund since 01/08/2013, so there is no comparative data. 11 / 20

12 24.3. Explanatory Letter: General part: Information about the collective investment undertaking Name Legal form Date of the SC s approval for the formation documents of the collective investment undertaking Operation time Location Finasta Baltic Fund Harmonized Investment Fund 8 December, 2005 Unlimited Vilnius Information about the Management Company Name Finasta Asset Management UAB Company code Registered office (address) Maironio str. 11, Vilnius LT Phone number 1813 Fax number (+370 5) info@finasta.com Website Activity license number VĮK-005 Collective investment undertaking manager, other parties making investment decisions Andrius Barštys, Member of the Board; Andrej Cyba, Director General, Member of the Board; Vitalijus Šostak, Head of Fund Management Department, Member of the Board; Tomas Krakauskas, Deputy Director General, Head of Portfolio Management Department. Information about the depository: Name Swedbankas AB Company code Registered office (address) Konstitucijos av. 20A, Vilnius LT Phone number 1884 Fax number (+370 5) Information about the audit company that performed the audit of annual financial reports Name PricewaterhouseCoopers UAB Company code Registered office (address) J.Jasinskio 16B, Vilnius LT Phone number (370 5) Reporting period 8 January June Accounting policy: Legislation used in the preparation of the financial statements The financial reports were prepared in accordance with the following legal acts: Law on Accounting of the Republic of Lithuania; Law on Financial Statements of Entities of the Republic of Lithuania; Law on Collective Investment Undertaking of the Republic of Lithuania; Business Accounting Standards of the Republic of Lithuania. 12 / 20

13 The Fund s assets are denominated in litas, so investments could be made in different foreign currencies. The Management Company plans to use derivative financial instruments to avoid losses due to adverse effects of exchange rate fluctuations. The Fund financial year is the calendar year. The Fund s financial statements are prepared within four months of the end of the financial year. The Management Company keeps accounts and all amounts in these financial statements provides in the national currency of Republic of Lithuania litas. Since 2 February 2002, the litas has been pegged to the euro at a rate of litas to 1 euro. The exchange rate of litas with respect to other currencies is set daily by the Bank of Lithuania. Financial goals and their description The fund will invest in the Baltic and Nordic countries, Poland, the UK quoted shares to a maximum of asset appreciation for the benefit of entering into medium and higher level of risk. Investment policy Investment trends: the main direction of the Fund's investments - the Baltic countries (Lithuania, Latvia and Estonia) in developing their own business companies in equities (stocks). Investment specialization: The Fund will limit its operations in the Baltic and Nordic countries in a geographical zone, investing only in the Republic of Lithuania and in the countries which are referred in paragraph 27 of this Prospectus. There is no Fund specialization in industry or investment style. Investment objects: the exchange-traded shares of companies in Lithuania, Latvia and Estonia investing at least 50 per cent of the Fund's net assets. The remainder of the Fund's net assets may be invested in companies conducting a significant part of its operations in the Baltic countries, the shares which are listed on other markets referred to in paragraph 27 of this Prospectus, as well as other investment instruments referred to in paragraph 3.2 of the Rules of the Fund. The Fund's assets may be invested in other collective investment entities that invest in the Baltic States, units. Shares of the Fund invested in units of other collective investment undertaking may not exceed 20 percent of the Fund's net assets. For the purpose of maintaining the liquidity of the investment of the Fund's assets may be invested in government and corporate debt securities. Shares of the Fund are invested in corporate debt securities may not exceed 25 per cent of the Fund's net assets. Share in the Fund assets may be held in cash or invested in money market instruments in order to reduce the Fund's risk of market fluctuations or while waiting for a favorable opportunity to acquire the shares. Benchmark: To evaluate the performance of the fund is provided the benchmark index - the OMX Baltic Benchmark Cap GI index calculated by Nasdaq OMX Baltic Stock Exchange. The equity return index consists of the shares of companies which have a highest liquidity and market capitalization from all industrial and service sectors of the three Baltic states (Lithuania, Latvia and Estonia). Index is not a complex. For more information on the benchmark index on the following website and other sources. Bloomberg Index Ticker: OMXBBGI The Fund's assets are invested in highly liquid securities. The probability that a significant change in the Fund's net asset changes only when there is large market fluctuations. The Fund will focus on long-term investments. The Fund's portfolio management approach is based on an identification the exciting sector of the economy and corporate. Fund managers to actively evaluate and implement new investment ideas. Managing the assets of the Fund Management Company may charge a short-term (up to 3 months) loans, which can be up to 10 percent of the Fund's net asset. Loans can be taken if it is necessary to maintain liquidity. This does not mean prohibition to borrow a foreign currency for the purchase of transferable securities or money market instruments, if the repayment of the loan to the lender passed at least the amount of the other currency. 13 / 20

14 The Fund's portfolio composition of comply common law rules and restrictions. Description of a typical investor: Fund is designed for investors with limited experience in securities. The recommended investment holding period - more than three years. The investors of the fund are individuals willing to accept medium-high risk. Financial risk management policy The risk of investment and its management methods. Specific risk: Specific risk - the securities in the Fund's investment portfolio, the risk of price change due to factors related to the issuer of the securities. To reduce this risk, the Fund's investment portfolio will be diversified, as well as investing in equity securities of companies which operating in various industrines. Market liquidity risk: The Fund may suffer losses if the need arises to quickly sell the securities acquired because of the conditional of the Republic of Lithuania and some other small size of the capital market. Liquidity risk will be minimized by investing in the Fund, as far as possible in liquid securities, but does not compromise the potential long-term investment performance of the Fund. Investments in highly liquid securities consist of up to 50 percent of the total fund. Market fluctuations risk: Market fluctuations risk - this is the main risks affecting the economic performance of this type of enterprise, and which make a direct effect of the Fund's investment portfolio changes of the. Stock market potential ebb and flow. In order to protect themselves from market fluctuations, the Fund will seek to invest in longer-term and invest in securities with a good future prospects. Nevertheless, there is a possibility of negative macroeconomic developments, which should affect the entire stock market. Activities of the fund risk: There is a risk that, at the sudden requests to redeem Fund units increase, the Fund will be unable to pay the members of the Fund for redemption. To reduce this risk, the Fund will be invested in as much as possible in liquid securities. Currency fluctuations: There is a risk that the of investments will reduce the unfavorable exchange rate changes. Exchange rate fluctuations on the Fund's net asset will be minimal as the majority of the Fund's assets will be invested in countries where the euro is circulating, or where the local currency is pegged to the euro. The Fund has not established any upper or lower limits for investment in specific currencies denominated securities. Inflation risk: Actual Fund's assets may be diminished due to inflation, in addition to inflation directly affects changes in interest rates, which in turn affect the Fund's investment portfolio. Historically, investments in equity securities provide sufficient protection against inflation. Interest rate risk: Change in interest rates can directly affect the Fund's portfolio of securities. Since the majority of the Fund's investment portfolio will consist of shares the direct impact on the Fund's investment returns of this risk to will be minimal. The Fund will not forecast and manage the risk of interest rate. The counterparty and settlement risk: There is a risk to incur losses because a counterparty's failure to meet its financial obligations. This risk will be minimized through transactions only with financial institutions which have a reliable, excellent reputation. The majority of the Fund transactions will be conducted in accordance with the payment principle. The Fund's investment portfolio will be diversified in order to reduce a significant impact on the overall position of the investment portfolio, there is no guarantee that the Fund's portfolio will increase. Possible use of derivatives 14 / 20

15 for risk management results in non-standard situations in the market, the Fund may use derivative financial instruments for currency and credit risks. Rules for investment item evaluation The initial of the Fund s item is 100 (one hundred) litas. The Fund s NA is being calculated every day according to the NAV calculating methodology confirmed by the Securities Commission of the Republic of Lithuania and according to calculation requirements of the Management Company s net assets of managed funds that were confirmed by the Board of the Management Company. The Fund s item is assessed by dividing the Fund s NAV by the number of all the Fund s items in circulation. The total of all items of the Fund is always equal to the NAV of the Fund. The Fund s item is calculated leaving four decimal places and is rounded according to mathematical rounding rules. The currency that is used for calculation of the Fund s NAV and item is litas. The Fund s NAV and item during the running day are announced by the of the subsequent business day on the internet Cash and cash equivalents The cash is considered to be the money in the Fund s accounts. Short-term deposits (up to 3 months) are admitted as cash equivalents. Term deposits are accounted for nominal, accumulating the interest following the linear method until the end of the term. Cash and cash equivalents that are nominated in a foreign currency are evaluated by the national currency of the Republic of Lithuania according to the official exchange rate provided by the Bank of Lithuania on the day of assessment. Post-balance events After the end of the reporting period, there were no important post-balance events Comments on Explanatory Letter: Note 1. Net assets, investment items and Information is provided in the report s Clause 5. Note 2. Number and of the distributed and redeemed investment items Information is provided in the report s Clause 6. Note 3. Investment portfolio structure Information is provided in the report s Clause 11. Note 4. Allocation of investment assets according to criteria corresponding with the investment strategy Information is provided in the report s Clause / 20

16 Note 5. Change in of investments Statement of Net Asset articles At the end of the previous reporting period Acquired Sold (redeemed) Change Value increase* Value decrease* At the end of the reporting period Term deposits Money market instruments Debt securities Governments and central banks or debt securities guaranteed by them Other debt securities Equity securities , , , , , ,37 Investment items and shares of the collective investment undertakings Derivative financial instruments Real estate objects Other investments , , , , , ,37 *The net of investment increase or decrease is provided here; the net is calculated from the investment profit from sales and investment increase amount by contracting investment losses from sales and investment decrease amount. Note 6. Investment sale results The undertaking did not carry out financial instrument transactions during the first six months of year 2013 that are not recorded at their fair in accounting records. Note 7. Derivative financial instruments Information is provided in the report s Clauses 13, 14 and 15. Note 8. Remuneration costs for intermediaries Information is provided in the report s Clause 8. Note 9. Participants calculated and (or) paid dividends and other payments that do not change the number of items after being paid Information is provided in the report s Clause 26. Note 10. Borrowed and lent funds Information is provided in the report s Clause / 20

17 Note 11. Third-party commitments to guarantee yield size of the income undertaking. During the reporting period and at the end of it, there were no third party s liabilities to guarantee the yield size of the undertaking. Note 12. The volumes of transactions with related parties during the reporting and previous periods. No transactions were drawn with the related persons during the reporting period. Note 13. Significant accounting estimates, or if these were not made, effect of a change, or correction of the presented comparative information due to changes in accounting policies or because of errors Finasta Asset Management manage the fund since January 8, The fund guided Finasta Asset Management's accounting policy since January 8, Note 14. Short summary on significant after-balance events that, if not disclosed, could have a material impact on the ability of the users of the company s financial statements to make decisions Significant events did not occur after the reporting period closed. Note 15. Significant changes in assets or liabilities after the date for calculations of net assets, if not included in the net asset. Here were no significant changes in assets and liabilities after the period closed. Note 16. Other significant information on the financial condition, factors and circumstances of the collective investment undertaking that have an impact on its assets or liabilities Finasta Asset Management manage the fund since January 8, 2013, so the report is not presented the comparative data. With the previous information about the Fund is available on page The full text of the audit s conclusion: Information provided in the annual report. 17 / 20

18 25. Information about income from investment activities of the collective investment undertaking and expenses incurred over the reporting period: I. Income from investment activities 1. Interest income 2. Realised profit from investments in: , Equity securities , Government non-equity securities Companies non-equity securities Financial instruments Derivative financial instruments Other items of collective investment undertakings Other (dividends, coupon, currency) ,01 3. Unrealised profit (loss) from: , Equity securities , Government non-equity securities Companies non-equity securities Financial instruments Derivative financial instruments Other items of collective investment undertakings Other - Total amount of income ,16 II. Expenses 1. Operating expenses: , Payments for management , Depository fees 1.798, Intermediary fees , Auditor s fee 2.880, Other charges and expenses 6.909,81 2. Other expenses - Total costs ,39 III. Net income ,77 IV. Payouts (dividends) to holders of investment items - V. Re-invested income , Other important information about the financial state of the collective investment undertaking, factors and circumstances that influenced the assets and liabilities of the collective investment undertaking: There is no other important information about the financial state. 18 / 20

19 VII. INFORMATION ABOUT PAYMENT OF DIVIDENDS 27. Information about the dividends reckoned or/and paid: The Fund did not pay or calculate payable dividends during the reporting period. VIII. INFORMATION ABOUT THE BORROWED ASSETS NECESSARY FOR THE COLLECTIVE INVESTMENT UNDERTAKING 28. The borrowed assets for the collective investment undertaking usage at the end of the reporting period: No assets were borrowed for the Fund s usage during the reporting period or at the end of it. IX. OTHER INFORMATION 29. Explanations, comments, illustrating graphical material and other important information about the activities of the collective investment undertaking, so that the investor could properly evaluate changes and results of the undertaking: Pic. 1. The change of the investment item from the beginning of the Fund s activities. X. PERSONS ACCOUNTABLE 30. Names, surnames (names of legal entities), addresses, title and number of the permission for certain activities of consultants (finance dealer s companies, auditors, etc.) who provided services during the preparation of the report: Consultant s services were not used during the preparation of the reports. 31. Names, surnames, positions, workplaces (in case the persons who prepared the report are not employees of the company) of the persons who prepared the report: The reports were prepared by the employees of the Management Company. 32. The Management Company s administrative head, chief accountant, the persons and consultants who prepared the report confirmation that the information presented in this report is true and that there are no concealed facts that may substantially influence the indices of the provided s: 19 / 20

20 I, Andrej Cyba, Director General at Finasta Asset Management UAB, hereby confirm that the information presented in this report is true and that there are no concealed facts that may substantially influence the indices of the provided s. (signature) I, Audronė Minkevičienė, Chief Accountant at Finasta Asset Management UAB, hereby confirm that the information presented in this report is true and that there are no concealed facts that may substantially influence the indices of the provided s. (signature) 33. Persons who are accountable for the information provided in the report: Members of the Company s management organs, employees and head of administration accountable for the report: Name and surname Andrej Cyba Audronė Minkevičienė Position Director General Chief Accountant Phone number Fax number Andrej.Cyba@finasta.com Audrone.Minkeviciene@finasta.com In case the report is prepared by consultants or using their help, provide their names, surnames, phones and faxes numbers, addresses (if the consultant is a legal entity, provide its name, phones and faxes numbers, addresses and name(s) and surname(s) of the consultant s representative(s)); mark the specific places prepared by the consultants or the parts that were prepared with their help, and define the accountability limits of the consultants During the report preparation no consulting services were used. 20 / 20