Our products and risks

Ashmore Investment Advisors S.A., Sociedad Fiduciaria (AIAC), It is an entity that offers administration and management of funds, execution and execution of investment trust contracts, and advisory services. AIAC provides these services mainly on assets registered in local and international markets, seeking to contribute to the development of Latin American capital markets.

The products offered by Ashmore Investment Advisors S.A, Sociedad Fiduciaria, are adapted to each type of client. Because of the type of AIAC clients, contracts are not standard, they adapt to every need. If necessary, and to receive more information, please contact directly:

asesorcomercial@ashmoregroup.com.co

The prices of the products offered by Ashmore Investment Advisors S.A., Sociedad Fiduciaria are adjusted to the client´s needs, respecting the regulations in force.

Each of the products designed by Ashmore Investment Advisors S.A., Sociedad Fiduciaria, tailor-made to each clients, has mechanisms designed for risk protection. AIAC has an internal control system that allows to prevent, identify, control, mitigate and correct in a timely manner the risks inherent or not that may arise in the execution of its functions

The Fund is exposed to the following risks:

Issuer or credit risk: it is the possibility to incur in losses related to situations affecting the financial situation of the issuers, which the Fund invests with, and which may generate a decrease of the investment value or the payment capacity, total or partial, of the incomes or the investment capital.

Counterparty risk: possibility that the Fund incurs in losses for the non-compliance of an operation by the company it was celebrated with.

Liquidity risk: it is the possibility to incur in losses when situations present at the moment of liquidating financial instruments that, in spite of being in market, cannot be liquidated in order to provide liquidity to the portfolios due to low effectiveness or liquidity of the market.

Market risk: it is the possibility that the Fund incurs in losses on the occasion of interest rates’ movements and/or the assets’ prices they are comprised by, reflected in the assets value and, therefore, the value of the Fund, through assessment at market prices.

Concentration risk:  it is the possibility to incur in losses due to concentration of investments carried out by the Fund in issued, asset-backed, guaranteed securities or originated by the same company, taking into account that conditions of the issuer are subject to change.

Rate of exchange risk: it is the possibility to incur in losses on the occasion of unexpected variations in rates of exchanges from the foreign currency the Fund has invested in.

Operative risk: it is the possibility to incur in losses originated from deficiencies, failures or inadequacies in human resource, processes, technology, and infrastructure or because of legal matters situations that may affect the appointment of investments or the effective recovery of their value.

Legal risk: it is the possibility to incur in losses on the occasion of: a) changes in the legislation affecting the assets in which resources of the Fund are invested in, or modifying conditions of their management or investment; b) loss of the counterparties’ capacity to carry out operations with the Funds and; c) inadequate documentation of celebrated operations.

Asset laundering and terrorism financing risk: it is the possibility of loss or damage the Fund can suffer, due to the possibility of being used, directly or through their operations, as instruments of asset laundering or resource channelling for financing and/or executing terrorist activities, or when intending to conceal assets coming from such activities.