Investment funds

A mutual investment fund is one form of collective investment (investment pooling). Client funds are transferred to the trust management of a management company, which in turn invests them in securities (e.g., bonds, ETFs) or other assets. The purpose of investing in mutual funds is to generate income from the growth in the value of such assets. The fund's assets are common property of the unit holders, and the size of each holder's share is proportional to the number of investment units they own.

An investment unit is a registered security certifying the holder's right to a share in the fund's assets. The unit exists in dematerialized form, namely as an electronic record in the register of unit holders. Confirmation that the client has become the owner of a unit is provided by an extract from the register, which specifies the number of units acquired.

The main advantage of mutual funds is that clients of a mutual investment fund do not need to have specialized knowledge or large capital to benefit from professional asset management and earn on the stock market.

A professional manager invests the mutual fund's assets not in a single security but in several — creating a so-called investment portfolio in accordance with the fund's investment strategy, which determines its potential returns. This approach reduces the risk of investment losses and increases the likelihood of generating income (diversification of investments).

A unit holder is the owner of an investment unit.

By investing in mutual investment funds, a client becomes the owner of investment units and gains the potential to earn from the growth in their value.

The value of a fund's unit directly depends on the market value of the assets (securities, real estate, etc.) in which the manager invests the fund's assets.

Income from units is the difference between the purchase price of the unit and its selling price. Thus, income is realized at the moment of unit redemption, i.e., its sale back to Halyk Finance. Income may also include dividends, which may be paid based on the decision of the management company's Board of Directors.

Interval funds are funds whose units can be purchased and redeemed only during specific periods defined by the fund's trust management rules.

A bank guarantees a fixed income, which is typically small relative to the deposit amount. A mutual fund unit holder has the potential to earn profits from the growth in the value of their units, which is not limited to a fixed amount.

A bank usually accepts deposits for a fixed term. Unit holders of the mutual investment fund «Halyk-Currency» can redeem their units quarterly — on January 15, April 15, July 15, and October 15 — and if the unit value has increased at the time of redemption, the investor will receive accumulated income minus any applicable commission.

Banks offer the highest rates for large deposits, while unit holders of the fund are treated equally regardless of the investment amount.

The management company has the right to decide on dividend payments and their frequency.

In addition to income from dividend payments, an investor may also earn additional profits from selling units — in the form of capital gains on the units held over the ownership period.

Under the Law on Investment and Venture Funds, the management company is not permitted to guarantee investment returns. Investors should be aware that the past performance of mutual investment funds does not determine future returns and is not guaranteed by the state. Mutual funds are suitable for individuals or legal entities willing to accept the risks associated with investing, including the risk of losses.

The current unit value is updated daily on the management company's website, in the section Mutual Investment Fund Halyk-Currency.

Halyk Finance provides unit holders with monthly reports no later than the 15th day of the month following the reporting period. These reports include the composition and value of the fund's net assets, as well as the calculated unit value in accordance with the Mutual Investment Fund Rules. The reports are available for review by unit holders on the management company's website (Reports).

The recommended investment term for the mutual investment fund is 1 year or more.

This is the percentage by which the calculated value of an investment unit is reduced when submitting a redemption request for investment units.
The discount size is set by the Rules of the mutual investment fund «Halyk-Currency» and amounts to 1% of the total value of units redeemed within less than 6 months of ownership. The discount must be taken into account when calculating returns on investments held for less than 6 months.

The management company buys and sells securities based on the fund's strategy, current market conditions, and specific valuations of companies' securities, while complying with all restrictions set by legislation and the fund's management rules.

Each unit certifies an equal share of ownership in the assets and equal rights.

Units are property just like a car or real estate, so they must be divided according to a court decision, an agreement between the parties, or a marriage contract.

To purchase units, you need an open brokerage account or a holder's account with the Central Securities Depository (a holder's account with the Central Securities Depository can be opened independently), as well as submit an application to the Company's manager to purchase units.

After completing the specified actions, upon initial acquisition, the unit holder transfers funds in the amount of at least USD 5,000 (for subsequent acquisitions, the amount is unlimited) to the details of the selected fund.

Details of the mutual investment fund «Halyk-Currency».

Additionally, units of funds managed by Halyk Finance can be bought or sold on the KASE exchange without any minimum investment restrictions.

Units of the fund managed by Halyk Finance can be sold to the Management Company once per quarter — January 15, April 15, July 15, and October 15. If the above redemption dates fall on weekends or public holidays in the Republic of Kazakhstan, redemption is carried out on the next business day.

To sell units, the unit holder must contact the Halyk Finance Sales Department at least 15 calendar days before the redemption date to submit an application for the redemption of investment units.

Payment of dividends to fund holders is a right, not an obligation, of the Management Company. If the Management Company's Board decides not to pay dividends to unit holders, the Management Company is required to post a Notice of Non-Payment of Dividends on its corporate website at least 10 calendar days before the dividend payment date specified in the fund's Rules.

Yes, the general rules on inheritance and gifting apply to units as securities.