Suitable for investing for 3 months or longer
IS Liquidity Fund - Government and Cash is a mutual fund established in July 2009, that invests exclusively in Treasury-guaranteed bills/notes, bonds and deposits with financial institutions. The average maturity of the fund's portfolio is 1 month to 1 year, which results in a relatively limited price fluctuations.
Continuous and even capital growth through investment in financial institution deposits
and bills as well as bills or other short-term securities issued or guaranteed by the
The Fund is suitable for investments of one month or longer. A high proportion of deposits in its portfolio minimises fluctuations.
The Fund aims to invest 50% in deposits with financial institutions, 40% in Treasury-backed bills/notes and government bonds, 5% in bills/notes with financial institutions and 5% in municipal securities.
The proportion of government bonds in the portfolio may be increased to 100% and the proportion of deposits to 80%.
This summary is intended for informative purposes only and should not be interpreted as a recommendation to take, or not to take, any particular investment action. The summary does not represent an offer or an invitation to buy, sell or subscribe to any particular financial instruments.
The taxation of fund units is governed by the Act on Income and Net Worth Tax No. 90/2003 and the Act on Withholding Tax on Capital Gains No. 94/1996. Further taxation can occur. Unit holders not residing in Iceland can apply to the Icelandic tax authorities for an exemption from such taxation. The final taxation of non-resident unit holders depends on the local tax rules in the jurisdiction where they reside for tax purposes.
Investment in derivatives
In accordance with its Investment policy, the Fund is permitted to use derivatives to lock in profits, to minimize risk or to lock in prices in Fixed Income instruments because of forseeable redemptions or to act on market changes. A detailed description of use of derivatives can be found in the Funds Prospectus.
Various financial risks are always associated with investment activities, such as the risk of no yield or the risk of losing the capital invested. It should further be noted that international investing includes risks related to political and economic uncertainties as well as currency risk. Past performance does not indicate nor guarantee future performance of an investment. Each investor's investment objectives and financial situation is different. Before making an investment decision, it is important to seek expert advice and familiarise oneself with the investment market and different investment alternatives. Investors are encouraged to familiarise themselves with each fund´s Prospectus, especially regarding risk.
|Summary of Fund Returns|
|Tariff of Charges for Investment Services|
|Minimum Purchase||ISK 10,000|
|Minimum Purchase at Subscription||ISK 5,000|
|Management Company||Iceland Funds Ltd|
|Fund Managers||Ingólfur S. Kristjánsson|
|Annual Management Fee||0.40%|
|Service Charge||Varies between Distributers|
|Settlement Cycle||1 Business Day (T+1)|
|Cut-off Time||15:00 GMT|