Cazenove UK Absolute Target Class P1 Acc

Fund specific risks

• Charges to Capital - Part, or all of the periodic annual management fee(s) and expenses may be charged to capital which could increase the potential for the capital value of your investment to be eroded. Your capital could also decrease if income withdrawals exceed the growth rate of the fund(s).
• Emerging Markets - Generally less well regulated than the UK. There is an increased chance of political and economic instability with less reliable custody, dealing and settlement arrangements.
  The market(s) can be less liquid. If a fund investing in markets is affected by currency exchange rates, the investment could both increase or decrease. These investments therefore carry more risk.
• Smaller Companies - Smaller companies shares can be more volatile and less liquid than larger company shares, so smaller companies funds can carry more risk.
• High Yield Bonds - High yield bonds carry a greater risk of default than investment grade bonds, and economic conditions and interest rate movements will have a greater effect on their price. Income levels may not be achieved and the income provided may vary.
• Geared Investments - Funds which focus on geared investments such as warrants or options carry a higher degree of risk than other equity investments because of the risk of the underlying investments. It is possible that the fund may suffer sudden and large falls in value so that the short fall on cancellation, or the loss of the realisation on the investment at any time after the investor has bought the contract, could be very high and could even equal the amount invested, in which case you would get nothing back.
• The value of investments, and any income can fall, as well as rise, so you could get back less than you invested. Neither capital nor income is guaranteed.
• Investments should be regarded as long term and are not suitable for money which may be needed in the short term, you should always have a sufficient cash reserve.
• This fund is specifically aimed at sophisticated investors and is particularly high risk, because it concentrates on a region that may be exposed to unusual political or economic risks. You should only invest if you are comfortable with the specific risks pertaining to the fund in question. If you are not familiar with these you should ask us for a copy of the provider's key features or simplified prospectus and brochure.
• Performance charges - This fund makes charges that depend on the fund's performance. For full details please refer to the fund prospectus, which is available from Hargreaves Lansdown.
• The fund invests in derivatives as part of its investment strategy. Investors should be aware that the use of these instruments can, under certain circumstances, increase the volatility and risk profile of the fund beyond that expected of a fund that only invests in equities. The fund may also be exposed to the risk that the company issuing the derivative may not honour their obligations which in turn could lead to losses arising.
• Cazenove is entitled to earn a performance fee of 20% of any outperformance in any given performance period. Each performance period will generally be three calendar months. Any previous underperformance will need to be made during each performance period for the fee to be payable.

Please read this section with the full Key Features document which explains the meaning of each term. Please also download the fund specific Key Features.