Total Fund Services Limited
(ACN 120 380 627)
(Total Fund Services)
Clime High Yield Underdogs Fund
(Fund)
Notice to Members – Termination of Fund
(Notice)
Introduction
This notice is provided by Total Fund Services Limited of Level 12, 37 Bligh Street, Sydney NSW 2000, the responsible entity (Responsible Entity), of the Fund, pursuant to Clause 21.2(b) of the Fund’s Constitution as notice of the Fund’s termination on the date specified in this Notice.
Termination of the Fund
- The Trust Manager considers that the purpose of the Fund can no longer be accomplished and has requested that Total Fund Services terminate the Fund on10June 2011 (Termination Date).
- The Trust Manager considers that the purpose of the Fund can no longer be accomplished as the Fund size (approximately $5 million) is uneconomical to operate.
Accordingly, the Trust Manager has determined that termination of the Fund is in the best interests of all the Fund’s members.
Distribution and Realisation of Assets
Total Fund Services is required to realise the assets of the Fund within 180 days from the Termination Date (if practical) and in any event as soon as possible after that date.
The Trust Manager expects to realise liquid assets and distribute the proceeds to the Fund’s members by 17June 2011.
Additionally,in accordance with Rule 8.7 of the Fund’s Constitution the Trust Manager may transfer Assets held by the Fund to members rather than pay cash. The value of the Assets and any cash proceeds will be equal to the total amount due to a member pursuant to the distribution. Any costs involved in the transfer of Assets must be paid by a member or deducted from the amount due under the distribution to that member.
For clarity, Total Fund Services will pay distributions on a pro-rata basis.
Valuation
Distributions made to members will be based on the valuation method set out in the Fund’s Constitution.
For further details on the valuation and distribution process, please refer to the Fund’s Constitution.
Transfers
Withdrawals and applications for units in the Fund are suspended as the Fund is in the process of being terminated.
Tax
Members are encouraged to seek their own professional tax advice in relation to the tax consequences associated with the termination of the Fund.
Current Details
To ensure that cash proceeds are paid into the current nominated bank account for each member, members who have not previously provided their current bank account details or where the bank account details have changed then members will be required to complete the enclosed change of details form and return it to the below listed address, by no later than Friday 27 May 2011:
Attention: Client Services
Clime Asset Management Pty Limited
PO Box R1297
Royal Exchange NSW 1225
Disclaimer
This Notice does not constitute or contain any general or personal financial product advice. Other than the date of termination, all other information is provided as guidance only and the Responsible Entity cannot warrant that it is accurate, complete and fee from error or omission. Statements included in the Notice may vary and be subject to contingencies outside of the control of the Responsible Entity. Members should refer to the Fund’s Constitution.
Questions
If you have any questions or queries with respect to the information contained in this Notice please contact Client Services on (02) 9252 8522 or John Abernethy on (02) 8917 2107.