Material Amendments to the Articles of Association and Prospectus of Avaron Emerging Europe Smaller Companies Fund
On September 15th, 2025, approved important amendments to the Articles of Association and the Prospectus of Avaron Emerging Europe Smaller Companies Fund, which will take effect on October 20th, 2025.
A new C-share (ISIN EE0000002392) will be introduced for Avaron Emerging Europe Smaller Companies Fund. Considering the size of the initial investment and other key terms (EUR 250,000, management fee 0.95%), this share class is primarily intended for institutional investors. The minimum investment amount of EUR 100 will also be introduced for other share classes.
As an important change in the investment policy, the Fund will be allowed to use a credit line of up to 10% of the Fund’s assets. The purpose of this amendment is to ensure more efficient portfolio management.
For investors, the redemption conditions of shares will become more favourable, providing improved liquidity when trading fund shares. Investors will henceforth be able to receive larger amounts of money from the Fund in a shorter timeframe upon redemption of shares:
- Redemption orders up to EUR 100,000 (incl.) will be executed on any banking day (no notice period applied).
- Orders over EUR 100,000 and up to EUR 500,000 will be executed with 10 banking days’ notice.
- Orders over EUR 500,000 and up to EUR 3 million will be executed with one month’s notice.
- Orders over EUR 3 million will be executed with two months’ notice.
If the fund holds sufficient free, uninvested cash, the Management Company may decide to execute a redemption order with a shorter notice period. In that case, requests will be processed in the order they were submitted to the unit transaction agent.
The terms of share exchange will also be amended. To simplify the processing of transactions, it will no longer be possible to exchange shares between different Avaron funds. For such an exchange, the shares must be redeemed and units of another Avaron fund must be subscribed for separately. Within Avaron Emerging Europe Smaller Companies Fund itself, exchanges between different share classes will continue to be permitted.
The content and wording of the Fund’s documents will be harmonised with the terms and prospectuses of other Avaron funds. In addition, editorial changes and other minor updates will be made to improve readability of the text.
The fund documents entering into force on October, 20th can be accessed here.
Published 16.09.2025
