​Important Information

    IMPORTANT: Investment involves risks. Investment value may rise or fall. Past performance information presented is not indicative of future performance. Investors should refer to the Prospectus and the Product Key Facts Statement for further details, including product features and risk factors. Investors should not base on this material alone to make investment decisions.      
Bosera SZSE ChiNext Daily (2x) Leveraged Product (the “Product”) is a sub-fund of Bosera Leveraged and Inverse Series, an umbrella unit trust established under Hong Kong law. Unit of Product (the “Units”) are traded in HKD on the Stock Exchange of Hong Kong Limited (the “SEHK”) like stocks. It is a swap-based product with an investment objective to provide Daily investment results, before fees and expenses, which closely correspond to twice (2x) the Daily performance of the ChiNext Index (“Index”). It is denominated in HKD. Creations and redemptions are in HKD only.

  • The Product is a derivative product and is not suitable for all investors. There is no guarantee of the repayment of principal. Therefore, your investment in the Product may suffer substantial or total losses.

  • The Product will utilise leverage to achieve a Daily return equivalent to twice (2x) the return of the Index. Both gains and losses will be magnified. The risk of loss resulting from an investment in the Product in certain circumstances including a bear market will be substantially more than a fund that does not employ leverage.

  • The Product is not intended for holding longer than one day as the performance of the Product over a period longer than one day will very likely differ in amount and possibly direction from the leveraged performance of the Index over that same period (e.g. the loss may be more than twice the fall in the Index). The effect of compounding becomes more pronounced on the Product’s performance as the Index experiences volatility. With higher Index volatility, the deviation of the Product’s performance from the leveraged performance of the Index will increase, and the performance of the Product will generally be adversely affected. As a result of Daily rebalancing, the Index’s volatility and the effects of compounding of each day’s return over time, it is even possible that the Product will lose money over time while the Index’s performance increases or is flat.

  • The Product may suffer significant losses if the Swap Counterparty fails to perform its obligations under the Swap. The value of the collateral assets may be affected by market events and may diverge substantially from the leveraged performance of the Index, which may cause the Product’s exposure to the Swap Counterparty to be under-collateralised and therefore result in significant losses.

  • The Product seeks to obtain the required exposure through more than one Swap with more than one Swap Counterparty. The Product is therefore exposed to counterparty risk and default risk of the Swap Counterparties and may suffer significant losses if a swap counterparty fails to perform its obligations. Derivative instruments are susceptible to price fluctuations and higher volatility, which may result in large bid and offer spreads with no active secondary market. The Product may suffer losses potentially equal to the full value of the financial derivatives.

  • In some circumstances, a Swap Counterparty can terminate the swap agreements early which may adversely impact the Product’s performance. Such early termination can also impair the Product’s ability to achieve its investment objective and may subject the Product to substantial loss. Also, the Product may face an increase in the cost to enter into a similar swap agreement with additional Swap Counterpart(ies).

  • The Product will bear the swap fees, which are subject to the discussion and consensus between the Manager and the Swap Counterparty based on the actual market circumstances on a case-by-case basis. The current swap fees are a best estimate only and may deviate from the actual market conditions. In extreme market conditions and exceptional circumstances, the Swap Counterparty’s costs of financing the underlying hedge may increase significantly and in return increase the swap fees.

  • There is no assurance that the Product can rebalance its portfolio on a Daily basis to achieve its investment objective. Market disruption, regulatory restrictions or extreme market volatility may adversely affect the Product’s ability to rebalance its portfolio.

  • The rebalancing activities of the Product typically take place near the end of trading of the underlying A-Share market to minimise tracking difference. As a result, the Product may be more exposed to the market conditions during a shorter interval and may be more subject to liquidity risk.

  • The Product is normally rebalanced at or around the close of trading of the underlying A-Share market on each Business Day. As such, return for investors that invest for period less than a full trading day will generally be greater than or less than two times (2x) the leveraged investment exposure to the Index, depending upon the movement of the Index from the end of one trading day until the time of purchase.

  • The Index constituents are companies listed on the Shenzhen Stock Exchange which is an emerging market. Investments of the Product may involve increased risks and special considerations not typically associated with an investment in more developed markets, such as liquidity risks, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk and the likelihood of a high degree of volatility. The A-Share market in the PRC is highly volatile and may be subject to potential settlement difficulties.  Prices of A-Shares may rise and fall significantly and may fluctuate to a greater degree than more developed markets.  Such volatility may result in suspension of A-Shares or imposition of other measures by the PRC authorities affecting the value of the Product. Securities exchanges in the PRC typically have the right to suspend or limit trading in any security traded on the relevant exchange. The government or the regulators may also implement policies that may affect the financial markets.  All these may have a negative impact on the Product.

  • The Index consists of A-Shares which may only be bought or sold from time to time where the relevant A-Shares may be sold or purchased on the Shenzhen Stock Exchange. Given that the A-Share market is considered volatile and unstable (with the risk of suspension of a particular stock or government intervention), such high market volatility and potential settlement difficulties in the A-Share market may result in significant fluctuations in the prices of the securities traded on the A-Share market and thereby may adversely affect the Product.

  • Any depreciation of RMB could adversely affect the value of investor’s investment in the Product. Although offshore RMB (CNH) and onshore RMB (CNY) are the same currency, they trade at different rates. Any divergence between CNH and CNY may adversely impact investors. The Product may need to use currency other than the base currency as set out in the relevant ISDA Credit Support Annex for collateral and Initial Amount posting purpose. The Product may enter into currency contract to hedge the currency risk but the currency exposure is linked to marked-to-market value of the Swaps. This may bring additional cost and currency risk for the Product.

  • The Product’s investments are concentrated in a specific geographical location (i.e. the PRC).  The value of the Product may be more volatile than that of a fund having a more diverse portfolio of investments.  The value of the Product may be more susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory event affecting the PRC market.

  • Payment of distributions out of capital or effectively out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment and may result in an immediate reduction in the NAV per Unit.

  • The Product is not “actively managed” and the Manager will not adopt any temporary defensive position when the Index moves in an unfavourable direction. In such circumstances, Units of the Product will also decrease in value.

  • The trading price of the Units on the SEHK is driven by market factors such as the demand and supply of the Units. The Units may trade at a substantial premium or discount to the NAV.

  • As investors will pay certain charges (e.g. trading fees and brokerage fees) to buy or sell Units on the SEHK, investors may pay more than the NAV per Unit when buying Units on the SEHK, and may receive less than the NAV per Unit when selling Units on the SEHK.

  • The Product may invest in other collective investment schemes through the Manager’s QFII/RQFII status. The Product’s ability to achieve its investment objective and strategy may be affected by the applicable laws, rules and regulations (including restrictions on investments and repatriation of principal and profits) in the PRC mainland, which are subject to change and such change may have potential retrospective effect. The Swap Counterparties may hedge their Swap exposure by investing in A-Shares through QFII/ RQFII of itself or a third party/affiliate. If a Swap Counterparty for whatever reason is unable to trade through QFII or RQFII (for example, due to revocation, termination or invalidation of approval of the QFII / RQFII), this may hinder the Swap Counterparty’s ability to increase the size of the relevant Swap, which will in turn affect the Product’s ability to achieve its investment objective and strategy.  If this happens in respect of all the Swap Counterparties, the Product may be closed for subscriptions. This may also cause the Units to trade at a premium to their NAV. In the worst case scenario, the Product may be terminated.

  • Although the Manager will use its best endeavours to put in place arrangements so that at least one market maker will maintain a market for the Units and gives not less than three months’ notice prior to termination of the market making arrangement, liquidity in the market for the Units may be adversely affected if there is only one market maker for the Units. There is also no guarantee that any market making activity will be effective.

  • The Product may be subject to tracking error risk, which is the risk that its Daily performance may not precisely track 2x of the Daily performance of the Index.  This tracking error may result from the investment strategy used, costs related to the use of Swaps, liquidity of the market and fees and expenses, and the correlation between the performance of the Product and the two times (2x) Daily performance of the Index may be reduced.  The Manager will monitor and seek to manage such risk in minimising tracking error. There can be no assurance of exact or identical replication of the leveraged performance of the Index at any time.

  • Prices of the Product may be more volatile than conventional ETFs because of the daily rebalancing activities and the leverage effect.

  • The Product may be terminated early under certain circumstances, for example, where there is no market maker, the Index is no longer available for benchmarking or if the size of the Product falls below USD10 million. Investors may not be able to recover their investments and suffer a loss when the Product is terminated.

Please note that the above listed investment risks are not exhaustive and investors should read the Prospectus in detail before making any investment decision.


Bosera SZSE ChiNext Daily (2x) Leveraged Product

KEY INFORMATION
Fund Manager
Bosera Asset Management (International) Co., Limited
Trustee
Cititrust Limited
Listing Date
12 May 2022
Base Currency
Hong Kong dollars (HKD)
Management Fee
1.48%
Benchmark Index
ChiNext Index (HKD)(CNH)
Index Provider
Shenzhen Securities Information Co., Ltd
Benchmark Level Type
Price Return
Total Return Index
ChiNext Index
Price Return Index
ChiNext Index
Outstanding Units
5,300,000.00
Financial Year End
31 December
Participating Dealers7
Citigroup Global Markets Asia Limited
China International Capital Corporation Hong Kong Securities Limited
Mirae Asset Securities (HK) Limited
Haitong International Securities Company Limited
Goldman Sachs (Asia) Securities Limited
Market Makers (HKD Counter) 8
Link to latest list of market makers
INTRA-DAY ESTIMATED NAV1,2,3 & MARKET PRICE4
DateTimeHKD
Intra-day Estimated NAV Per Unit12/08/202204:00 pm10.2347
Intra-day Market Priced12/08/202204:08 pm10.2300
d=at least 15 minutes delay Hong Kong Time: 05:20 pm
FUND OBJECTIVE
The investment objective of the Product is to provide investment results that, before fees and expenses, closely correspond to twice (2x) the Daily performance of the Index. The Product does not seek to achieve its stated investment objective over a period of time greater than one day.
TRADING INFORMATION
Exchange ListingHong Kong Stock Exchange – Main Board
Commencement of Dealing12 May 2022
Stock Code7234
Trading Board Lot Size100 Units
Trading CurrencyHong Kong dollars (HKD)
SEDOL CodeBM9GWC8
ISIN CodeHK0000828696
Bloomberg Ticker7234 HK
MARKET INFORMATION5
DateLastChange%Change
Official NAV per Unit in HKD11/08/2022HKD 10.49910.54365.46
Closing Price for HKD Traded Unit11/08/2022HKD 10.34000.39003.92
For more information, please contact your bank, investment adviser or call us directly.
Tel: (852) 2537 6658
Suite 4109, Jardine House, One Connaught Place, Central, Hong Kong

1. IOPV calculations and delayed market data as shown on the website of Bosera Asset Management (International) Co., Limited (http://www.bosera.com.hk) (the “data”) are provided by ICE Data Indices, see ICE Terms of Use, and are updated during HKEx trading hours. Powered by Factset.
2. IOPV is indicative and for reference purposes only. The Fund is not sponsored, endorsed, sold or marketed by ICE Data Indices, LLC, its affiliates (“ICE Data”) and ICE Data or its respective third party suppliers make no express or implied warranties, and hereby expressly disclaim all warranties of merchantability or fitness for a particular purpose with respect to the iNAV, IOPV, fund or any fund data included therein. In no event shall ICE Data have any liability for any special, punitive, direct, indirect, or consequential damages (including lost profits), even if notified of the possibility of such damages. You acknowledge that the data is provided for information only and should not be relied upon for any purpose.
3. HKEx information services limited, its holding companies and/or any subsidiaries of such holding companies endeavor to ensure the accuracy and reliability of the information provided but do not guarantee its accuracy or reliability and accept no liability (whether in tort or contract or otherwise) for any loss or damage arising from any inaccuracies or omissions.
4. The Intra-day Market Price is provided on a 15-minute delayed basis by ICE Data Indices.
5. Change is calculated on NAV to NAV basis in HKD and assumes dividend will not be reinvested. Change of the official NAV per Unit in RMB and change of the NAV per Unit in HKD indicate the change of the NAV per Unit since previous business day where both the SEHK and underlying A-shares market are opened for normal trading (the "Dealing Day"). Please refer to the Prospectus for more information on determination of NAV
6. Index returns are provided for illustrative purpose only and are not indicative of future performance. Management fees, transaction costs or other expenses are not reflected in index returns.
7. Additional participating dealer(s) will be appointed from time to time.
8. Please refer to HKEx website for the most updated information. Additional Market Maker(s) will be appointed from time to time.

Index Provider Disclaimer:
 The Index is compiled, maintained and operated by Shenzhen Securities Information Company Limited (‘SSICL’), delegated and authorized by Shenzhen Stock Exchange. The index department of SSICL periodically reviews constituents’ representativeness and determines whether to change any constituent according to the review.  The Index is an asset owned by Shenzhen Stock Exchange.  The Shenzhen Stock Exchange and the SSICL are independent of the Manager and the Investment Adviser.
Bosera SZSE ChiNext Daily (2x) Leveraged Product is not in any way endorsed, sold, sponsored or promoted by the Shenzhen Stock Exchange, SSICL or the SEHK. The Shenzhen Stock Exchange, SSICL or the SEHK makes no warranty or representation whatsoever, expressly or impliedly, as to the results of the use of the ChiNext Index. The ChiNext Index is calculated by or on behalf of SSICL, which will adopt all necessary measures to ensure the accuracy of the ChiNext Index. However, the Shenzhen Stock Exchange, the SSICL and the SEHK shall not be liable (whether in negligence or otherwise) to any person for any error in the ChiNext Index and shall not be under any obligation to advise any person or any error therein. The ChiNext Index is owned by the Shenzhen Stock Exchange.
 The above is a brief summary of the basic information, selection criteria, selection methodology and maintenance of the ChiNext Index as at the date of this Prospectus. Such information is subject to revision from time to time by the Shenzhen Stock Exchange and the SSICL. Before making investment decisions, investors should refer to the website of the Shenzhen Stock Exchange (www.szse.cn) and the Index Department of SSICL (www.cnindex.com.cn) for the latest version of such information.

Disclaimer:
This website is owned and managed by Bosera Asset Management (International) Co., Limited (“BOSERA”). BOSERA reserves the right to change, modify, add or delete, any content and the terms & conditions of use of this website without notice. Users are advised to periodically review the contents of this website to be familiar with any modifications.
The performance figures contained on this website are for informational purposes only. Past performance is not indicative of future performance. Investment involves risks and the Product's NAV per unit may rise as well as fall. Persons interested in investing in the Product should read the relevant fund offering documents (including the full text of the risk factors stated therein) in detail before making any investment decision.
This website is prepared by BOSERA and has not been reviewed by the Securities and Futures Commission.


Investment involves risk. Past performance is not indicative of future performance. Investments are subject to risk and there is no guarantee that these investment objectives will be achieved. Please refer to the relevant offering documents for details, including the risk factors.This website is issued by Bosera Asset Management (International) Co., Limited and has not been reviewed by the Securities and Futures Commission of Hong Kong.