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Conseq Invest plc
Interim Report and Unaudited Condensed Financial Statements
For the six months ended 31 March 2020
(Company Registration Number 329465)
Conseq Invest plc
Table of Contents
Page
General Information 3
Company Background 4
Investment Manager’s Report 6
Schedule of Investments 13
Statement of Comprehensive Income 30
Statement of Financial Position 32
Statement of Changes in Net Assets Attributable to Redeemable Participating Shareholders 34
Notes to the Financial Statements 36
Statement of Significant Portfolio Movements 52
Appendix 1 57
Appendix 2 60
Conseq Invest plc
3
General Information
The Directors: Mr. Richard Siuda (Czech)
Mr. Ondřej Matuška (Czech)
Ms. Veronika Juvova (Czech)
Mr. Jan Martinec (Czech)
Mr. Jim Cleary (Irish) (Independent)
Ms. Andrea Oman (Irish)
All Directors are non-executive
Secretary and KB Associates
Registered Office: 5 George’s Dock
IFSC
Dublin 1
Ireland
Investment Manager: Conseq Funds Investiční Společnost a.s.
Rybná 682/14
Prague 1
110 05
Czech Republic
Administrator, Registrar, BNP Paribas Fund Administration Services (Ireland) Limited
and Transfer Agent: Trinity Point
10-11 Leinster Street South
Dublin 2
Ireland
Depositary: BNP Paribas Securities Services, Dublin Branch
Trinity Point
10-11 Leinster Street South
Dublin 2
Ireland
Independent Auditors: Deloitte Ireland LLP
Chartered Accountants & Statutory Audit Firm
Deloitte & Touche House
29 Earlsfort Terrace
Dublin 2
Ireland
Irish Legal Advisers: Mason, Hayes & Curran
South Bank House
Barrow Street
Dublin 4
Ireland
All undefined capitalised terms shall bear the same definitions as are set out in the Prospectus and supplements
to the Prospectus.
Conseq Invest plc
4
Company Background
Conseq Invest plc (the “Company”) is an open-ended investment company with variable capital structured as an
umbrella fund with segregated liability between sub-funds (“Funds”). The Company was incorporated on 28
June 2000 under the laws of Ireland (registration number 329465). The Company has been authorised pursuant
to the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations
2011 (as amended) (“the UCITS Regulations”) and the Central Bank (Supervision and Enforcement) Act 2013
(Section 48(1)) (Undertakings for Collective Investment in Transferable Securities) Regulations 2019 (the
“Central Bank UCITS Regulations”). There was no change in the nature of the Company’s business during the
financial period.
The date of commencement of operations was 4 September 2000.
The Company is structured as an umbrella fund in that different Funds thereof may be established with the prior
approval of the Central Bank of Ireland (the “Central Bank”). In addition, each Fund may have more than one
Share Class allocated to it. The shares of each class allocated to a Fund will rank pari passu with each other in
all respects except as to all or any of the following: dividend policy; the level of fees and expenses to be
charged; and the Minimum Subscription and Minimum Holding applicable.
The assets of each Fund will be separate from one another and will be invested in accordance with the
investment objectives and policies applicable to each Fund. The specific investment objectives and policies for
each Fund will be formulated by the Directors, and detailed in the Prospectus (or relevant Supplement thereto),
at the time of the creation of that Fund. Any alterations to the investment objectives of any Fund will be subject
to the prior approval of the Shareholders of the relevant Fund.
The objective of the Conseq Invest Bond Fund (the “Bond Fund”) is to achieve capital appreciation measured in
Czech Crowns by investing in a diversified portfolio of fixed-income securities. The Bond Fund will aim to
outperform its benchmark (the “Benchmark”), being the Bloomberg Effas Czech Govt All >1 Yr TR Index. The
Benchmark is calculated and published by Bloomberg and is a Czech Crowns denominated government bond
index which tracks the complete universe of existing Czech Crowns denominated government bonds with
maturities of 1 year and more weighted by their market capitalisation. Investments will be made primarily in
short, medium and long term fixed-income securities listed or traded on Regulated Markets in the Czech
Republic, Poland, Hungary and Slovakia or any OECD country, and denominated in Czech Crowns. The Bond
Fund may also invest, less extensively, in short, medium and long term fixed-income securities listed or traded
on Regulated Markets in the Czech Republic, Poland, Hungary and Slovakia or any other OECD country, but
denominated in other currencies. Securities denominated in other currencies will not exceed 30% of the Net
Asset Value of the Bond Fund.
The objective of the Conseq Invest New Europe Equity Fund (the “New Europe Equity Fund”) is to achieve
long-term capital appreciation measured in Czech Crowns by investing principally in a diversified portfolio of
Converging European Countries equity securities listed or traded on Regulated Markets. The New Europe
Equity Fund will aim to outperform the benchmark composed from four indices being 25% of the PX Index and
40% of the WIG 30 Index, 15% of the BUX Index and 20% of the SETX EUR Index (the “Benchmark”). All
indices are measured in Czech Crown (CZK).
The PX Index is the Prague Stock Exchange Equity Index comprised of the most liquid stocks listed on the
Prague Stock Exchange. The WIG 30 Index is the Warsaw Stock Exchange Equity Index comprised of the most
liquid stocks on the Warsaw Stock Exchange. The BUX Index is the Budapest Stock Exchange Equity Index
comprised of the most liquid stocks listed on the Budapest Stock Exchange. The SETX EUR Index is comprised
of the most liquid stocks on stock exchanges in the region of Southeast Europe.
Conseq Invest plc
5
Company Background (continued)
The investment objective of the Conseq Invest Conservative Bond Fund (the “Conservative Bond Fund”) is to
provide investors with current income and a stable value over the medium term by investing in CZK
denominated negotiable fixed-income securities. The Conservative Bond Fund will aim to outperform the daily
average of six month Prague Interbank Offer Rate (6M PRIBOR) as fixed by Czech National Bank less 0.35 (the
“Benchmark”). The Conservative Bond Fund will seek to achieve its investment objective by investing normally
at least 90% of its net assets in a portfolio of investment grade, transferable, fixed income securities and short
term debt securities traded on Regulated Markets principally in the Czech Republic and other European
countries which will be either fixed or variable rate, including but not limited to: commercial paper, government
obligations, supranational bonds, asset and mortgage-backed securities, certificates of deposit, floating rate notes
and short and medium term obligations. Investment grade securities are securities which have ratings of at least
BBB by Standard & Poor’s or equivalent rating by any recognised rating agency or, if unrated by such rating
organisations, are determined by the Investment Manager to be of comparable credit quality.
The objective of the Conseq Invest New Europe Bond Fund (the “New Europe Bond Fund”) is to maximise total
investment return through a combination of interest income, capital appreciation and currency gains by investing
in a diversified portfolio of fixed and floating rate debt securities denominated in the currencies of the New
Europe Countries. The total investment return will be measured in the base currency of the New Europe Bond
Fund which is Czech Crowns.
The investments of the New Europe Bond Fund will be made primarily in short, medium and long term fixed
and floating rate debt securities and debt obligations of governments, government-related, municipal or
corporate issuers in the New Europe Countries denominated in domestic currencies of the New Europe
Countries or in any major currencies. The New Europe Bond Fund may also invest in fixed or floating rate debt
securities issued by supranational entities or corporate issuers in the European Union denominated in any major
currencies or in currencies of the New Europe Countries. Such securities will primarily be listed or traded on
Regulated Markets. The New Europe Bond Fund may invest in investment grade and non-investment grade debt
securities. The New Europe Bond Fund may invest a maximum of 30% of its net assets in debt securities which
have all been credited with rating worse than BB-minus by Standard & Poor’s or equivalent rating by any
recognised rating agency.
Conseq Invest plc
6
Investment Manager’s Report
Conseq Invest Bond Fund
The Fund closed 2019 with a three months gain of 0.44%, while the Czech government bond benchmark slipped
1.85% during the last quarter of 2019 and fell for the fourth month in a row. The Fund’s performance for last year as a
whole was a 3.7% gain, compared to the benchmark’s performance of 4.07%.
Since September, we expanded the Fund portfolio to include several new CZK-denominated issues of corporate
issuers. Specifically, the first was a six-month issue by the ZDR Investment real estate fund, which specialises in
investing in commercial real estate, discount-type retail real estate, administrative and production buildings, and
logistics parks. Thanks to its very short maturity, the issue is secured by high-quality facilities. The second case was
M&T, an industrial company producing designer door and window handles and door frames. Founded in 1997, the
company started out with purely commercial operations and gradually moved into internal production, to the extent
that it is now a purely manufacturing company. The company’s revenues grew from CZK 53 million in 2010 to CZK
132 million last year, selling 124,000 handles with a 20% profit margin. The post-issue debt ratio should peak at 3.2x
this year, before gradually declining. Upon maturity in five years, it should hover around zero. Big pluses are the
maintenance covenant for debt with a limit of 4.0x and solid capitalisation of the company (50%).
Other investment projects included an interesting issue of the Norwegian IT company Cegal, which focuses on the
petroleum sector. It is a leading provider of essential services for the mining industry. The business model is based on
three segments – cloud services, software development, and expert consultation (geological expertise in connection
with exploration and mining). It currently employs over 400 people and, besides Norway, has operations in the UK,
US, Dubai, and Malaysia. It provides services to the largest operators in the field in 40 countries. In relation to the
Norwegian continental shelf, it controls over 60% of the cloud services market. Its strengths are its solid capitalisation,
revenue growth and stable margins. The unique combination of its hardware, software, industry expertise, and
technical excellence solutions with very high switching costs means that there is an almost 100% contract renewal rate.
In view of pre-agreed contracts (NOK 2.5bn) and the high share of contract renewals, the estimated newly generated
EBITDA should cover over 60% of the debt financing received.
Although we could overall rate previous year 2019 as very successful for all kind of assets, its final days has brought
then invisible factor with severe consequences not only for this and next quarter but it has probably set up ground and
financial conditions for next several years.. The culprit was the massive worldwide spread of the coronavirus epidemic.
Economies literally came to a halt as a result of the safety measures that were taken. Consequently, the impacts on
GDP, employment and the ability of businesses and households to repay debts will be severe and will depend entirely
on the duration of this state of emergency. Even now, however, we can say with conviction that, at least in the next
two quarters, the world economy will plunge and that the recession will be the worst since the Second World War. The
instant impact on valuations of our assets has been rather negative in general, with the extent depending on particular
asset classes, direct market exposure and the need for mark-to-market valuations, as well as valuation frequencies,
statutory limitations and obligations. Nevertheless, our continuing approach is based on a general long-term
perspective and we are assessing recent developments as a valuation anomaly, with its impact on the economy
dependent on its duration, and a buying opportunity rather than a new dismal normal. Financial conditions and
valuations have tightened to a degree last witnessed in 2008. Although we are expecting profound economic declines
during the next several quarters, accompanied by a rise in unemployment, default rates and credit spreads, a rapid
response from policy-makers and committed fiscal resources could help to shepherd in a bottoming-out process for
equities and other asset classes in the foreseeable future.
In reaction the key central banks, led by the Fed and the ECB, came to the rescue by committing to virtually unlimited
purchases of debt securities. This stabilised the investment sentiment at the end of the quarter. Even so, global markets
reported heavy losses for first three months as a whole. The global bond prices were moving furiously, while corporate
bonds rated below investment grade plummeted when liquidity in the market basically evaporated. Commodities were
also hit hard, seeing their global index sink. Oil fell by as much as 65%. A barrel of North Sea Brent Crude was
trading for USD 23 at the end of March.
Conseq Invest plc
7
Investment Manager’s Report (continued)
Conseq Invest Bond Fund (continued)
The Bond fund lost 3.8 % since January (when the month-to-month loss in March was over 4 %). The overall market
panic caused evaporation of liquidity especially in the segment of corporate bonds. But as was written above - we are
assessing recent developments as a valuation anomaly, with its impact on the economy dependent on its duration, and
a buying opportunity rather than a new dismal normal and thus we grasp the situation and we were cautiously adding
positions on distressed levels in fundamentally strong government bonds and corporates with prudent approach and
sound financials. The overall performance since the end of September 2019 was -3.38 %.
Conseq Invest plc
8
Investment Manager’s Report (continued)
Conseq Invest New Europe Equity Fund
The Fund unit value fell by 26.8% in the financial period 1 October 2019 to 31 March 2020, by doing so
underperformed its benchmark that fell 22.94%. First three months of the period were quite relaxed.
Performance of the stock markets was boosted by central banks’ ongoing relaxed monetary policy rhetoric, a short-
term ceasefire on the front line in the trade wars, the relative calming of the situation at the Turkish-Syrian border, and
good earning season in the third quarter of this year. Following Fed governor Jerome Powell’s announcement that the
US monetary authority would soon start expanding its balance sheet by buying assets. Despite the slowing momentum
of global economic growth, the year as a whole was profitable for equities. The relatively optimistic outlook of the
companies for 2020 drove many stock indices to new highs. The US S&P 500 stock index gained a significant 8.5%
and the European DJ STOXX 600 index climbed by 5.8% during October and December.
The lower liquidity of Central European markets and problems specific to the Polish banking system hobbled local
stock market gains in the period between October to December. The Polish market (+0.4% WIG30 index) continued to
be weighed down by the European Court of Justice’s decision on compensation for those holding mortgages
denominated in Swiss francs, the refund of charges linked to the premature termination of consumer loans, and sale of
the Polish bank mBank by its parent, Commerzbank. The telecommunications sector flourished, with most of the
capital expenditure planned here having been invested in recent years and profitability indicators expected to improve
in the future on the back of a slight rise in tariff prices. Consumer sector shares, such as those of LPP or CCC, did not
do so well. The Prague Stock Exchange performed solidly (PX index +7.1%). In response to the problems of the Polish
banking sector, we began to gradually nudge up our interest in the local banks. We believed that, in certain cases, the
reactions were overblown and, consequently, there was a disconnect between the prices of shares and their
fundamental values. On this basis, we increased our shareholdings in Alior Bank and Bank Millennium, as well as in
Erste Bank, Komerční banka and Moneta. For the most part, these purchases were financed by the sale of Romanian
shares, which have done extremely well this. In December, we nudged up the weight of Moneta shares. There were
fundamental reasons for this purchase, coupled with expectations of profit growth after the acquisition of Wüstenrot.
After Cyfrowy Polsat announced its offer to buy-out part of Asseco Poland and a sharp rise in the prices of this stock,
we exploited the situation to sell off our entire position in Asseco Poland shares. At the same time, we took advantage
of PKN Orlen’s offer to purchase all shares in energy company Energa by selling some of the shares in our possession.
The Slovenian index SBITOP was up by almost nine per cent, driven in particular by shares in pharmaceutical
company Krka, which reported sound economic performance for the preceding quarter and a strong outlook projected
for next year.
The Fund’s unit value plunged by 29.52% in the period 1st January 2020 to 31st March 2020. First half of that period
was quite ordinary development on the stock market with low volatility. Second part was really challenging and
especially March was one of the most unforgiving months for stock markets in modern history. The spread of COVID-
19 saw all stock markets slump. In the initial phase, starting in late February, sell-offs verged on the rash and reckless,
with no heed to the basic fundamentals of individual companies. By the end of March, the stock markets stabilised
somewhat, with the focus back on companies’ genuine attributes. In the main, the smallest drops were recorded by the
telecommunications, medical and consumer (staple goods) sectors. At the other end of the scale, the banking,
automotive, leisure, real estate, oil and gas sectors plummeted. Disagreement on production cuts between OPEC and
Russia led to a decline in the price of WTI crude oil from USD 60 per barrel in January to USD 20 in March. At these
levels, all US oil producers are running at a loss, as their average costs range from USD 40 to USD 50 per barrel.
Corporate reports were sidelined as investors tried to estimate, at least to some degree, the impacts that the whole
situation would have. In the next few months, it will be crucial to curb the spread of the disease and to relax the current
measures, which are hitting individual companies and entire economies hard. Central banks’ supporting and stabilising
measures and fiscal government packages are having a positive effect on financial markets. The US S&P 500 index
fell by 20% in March, while the European DJ STOXX 600 index was down by 23%.
Conseq Invest plc
9
Investment Manager’s Report (continued)
Conseq Invest New Europe Equity Fund (continued)
Central European markets suffered a lot more than mature markets in the face of the spreading COVID-19. The many
factors contributing to this included economic reasons, lower liquidity, specific sectoral reasons, political concerns
(especially in Hungary) and, last but not least, the openness of the individual economies and the potential effects of
border restrictions and quarantine. Shares in mining companies (a slump in production due to quarantine, a fall in raw
material prices, higher indebtedness), petroleum – including refining– companies (a drop in demand for petrol) and
cyclical retail companies performed very poorly. One of the steepest downturns was in the banking sector, where it is
very difficult to estimate future losses on outstanding loans. Loan repayment holidays, the cutting of the CNB’s base
interest rates in the Czech Republic, and the recommendations by central banks not to pay dividends this year were
also viewed in a negative light. Smaller losses were recorded by defensive sectors and companies that could actually
profit from the current situation, including Polish IT developers (CD Project, Ten Square Games, and 11 Bit Studios)
and telecommunications or defensive consumer companies (Philip Morris, Stock Spirits, and Dino Polska). The Czech
PX index fell by 29.2% month on month, while the Polish WIG30 index was down 29.7%, the Hungarian BUX index
28.1% and the south-east European markets’ SETXEUR index 22%. Foreign exchange investments were helped by the
sharp depreciation of the Czech crown (EUR/CZK +7.6% month on month). At the end of March, the situation on the
stock markets started to calm down and there were no longer any extreme day-to-day changes of around 10%. In
response, we reduced our defensive positions, which fell less than the market average. These included shares such in
the Polish telecommunications companies Play and Cyfrowy Polsat, as well as shares in the Slovenian pharmaceutical
company Krka. The funds obtained were mostly invested in bank titles, which reported some of the steepest falls for a
plethora of reasons, including the temporary suspension of loan repayments, the lowering of interest rates by central
banks, and the hard-to-estimate effects of the current weak economic situation. We purchased shares in Moneta,
Komerční banka, Bank Pekao and Erste Bank. We also took advantage of the slump in CETV shares, as we did not
register any reports that PPF Group was cancelling its offer to acquire all the shares. Another area we capitalised on
was the downturn in oil-mining stocks. Here, for instance, we purchased shares in the Hungarian MOL. At the end of
March, on account of the specific stock mix Hungarian, Polish and Croatian shares were most underweight in the Fund
(relative to the benchmark), whereas Slovenian, Czech and Austrian shares continued to be overweight.
Conseq Invest plc
10
Investment Manager’s Report (continued)
Conseq Invest Conservative Bond Fund
Since September 2019, we expanded the Fund portfolio to include two CZK-denominated issues of corporate issuers.
Specifically, the first was a six-month issue by the ZDR Investment real estate fund, which specialises in investing in
commercial real estate, discount-type retail real estate, administrative and production buildings, and logistics parks.
Thanks to its very short maturity, the issue is secured by high-quality facilities. The second case was M&T, an
industrial company producing designer door and window handles and door frames. Founded in 1997, the company
started out with purely commercial operations and gradually moved into internal production, to the extent that it is now
a purely manufacturing company. The company’s revenues grew from CZK 53 million in 2010 to CZK 132 million
last year, selling 124,000 handles with a 20% profit margin. The post-issue debt ratio should peak at 3.2x this year,
before gradually declining. Upon maturity in five years, it should hover around zero. Big pluses are the maintenance
covenant for debt with a limit of 4.0x and solid capitalisation of the company (50%).
Last but not least, there were DEK Group commercial papers, again with a maturity of up to one year. DEK is a group
of companies specialising in the supply of materials and services to the construction industry and in the production of
building materials. It has long been a leading supplier of building materials in the Czech Republic. It operates 92
branches in the Czech Republic and 16 in Slovakia. The group’s total turnover in 2018 was almost CZK 20 billion. It
currently has more than 2,400 employees at 117 points of sale. The company’s operating profit has broken through the
CZK 1.1 billion mark. Pluses are the low debt ratio and the short maturity relative to the issuer’s assets, as well as the
high liquidity of stocks and receivables supporting such short-term securities. The fund ended last quarter of 2019
0.48% in the black, reporting an overall gain of 2.37% for 2019 as a whole.
Although we could overall rate previous year 2019 as very successful for all kind of assets, its final days has brought
then invisible factor with severe consequences not only for this and next quarter but it has probably set up ground and
financial conditions for next several years.. The culprit was the massive worldwide spread of the coronavirus epidemic.
Economies literally came to a halt as a result of the safety measures that were taken. Consequently, the impacts on
GDP, employment and the ability of businesses and households to repay debts will be severe and will depend entirely
on the duration of this state of emergency. Even now, however, we can say with conviction that, at least in the next
two quarters, the world economy will plunge and that the recession will be the worst since the Second World War. The
instant impact on valuations of our assets has been rather negative in general, with the extent depending on particular
asset classes, direct market exposure and the need for mark-to-market valuations, as well as valuation frequencies,
statutory limitations and obligations. Nevertheless, our continuing approach is based on a general long-term
perspective and we are assessing recent developments as a valuation anomaly, with its impact on the economy
dependent on its duration, and a buying opportunity rather than a new dismal normal. Financial conditions and
valuations have tightened to a degree last witnessed in 2008. Although we are expecting profound economic declines
during the next several quarters, accompanied by a rise in unemployment, default rates and credit spreads, a rapid
response from policy-makers and committed fiscal resources could help to shepherd in a bottoming-out process for
equities and other asset classes in the foreseeable future.
In reaction the key central banks, led by the Fed and the ECB, came to the rescue by committing to virtually unlimited
purchases of debt securities. This stabilised the investment sentiment at the end of the quarter. Even so, global markets
reported heavy losses for first three months as a whole. The global bond prices were moving furiously, while corporate
bonds rated below investment grade plummeted when liquidity in the market basically evaporated. Commodities were
also hit hard, seeing their global index sink. Oil fell by as much as 65%. A barrel of North Sea Brent Crude was
trading for USD 23 at the end of March.
The Conservative bond fund has lost 1.65 % during first three months of 2020. Our view for future development is
cautiously optimistic. Bond prices of corporate bonds will tend to reprice higher as the situation stabilise and
economies will be gradually opened. But in the environment of once again zero or negative interest rates any
conservative strategy will struggle to provide interesting returns. The overal return since September 2019 was -1.18 %.
We continue to maintain the Fund’s interest-rate sensitivity at approximately half the value of the market index.
Conseq Invest plc
11
Investment Manager’s Report (continued)
Conseq Invest Conservative Bond Fund (continued)
Conseq Invest plc
12
Investment Manager’s Report (continued)
Conseq Invest New Europe Bond Fund
The Fund ended 2019 with a gain of 1.39%, resulting in a final 13.6% over the past twelve months. The main
contributors to this result were Ukrainian government bonds and the strengthening hryvnia, combined with active
trading in the Turkish government and corporate bond segment. In this latter case in particular, the use of stress periods
to increase positions, and then to reduce them after price growth, had a positive effect. The current share of Turkish
assets was slightly over 8% at the end of the year. While, in the case of Turkey, the rebound in economic activity, the
fall in inflation and – for Turkey – the relatively sensible behaviour of the central bank had positive impacts, Ukrainian
assets benefited mainly from the reformist mood and the election of the new president and his party. Active
cooperation with the International Monetary Fund, an economy growing better than expected, and falling inflation,
combined with high real returns, thus attracted keen interest from foreign investors. Despite all the upsides, the
Ukrainian government still has a long way to go and the most fundamental decisions it needs to take lie in the future.
From the perspective of investment actions we have added new corporate position - M&T, an industrial company
producing design door and window handles and door frames. Founded in 1997, the company started out with purely
commercial operations and gradually moved into internal production, to the extent that it is now a purely
manufacturing company. The company’s revenues grew from CZK 53 million in 2010 to CZK 132 million last year,
selling 124,000 handles with a 20% profit margin. The post-issue debt ratio should peak at 3.2x this year, before
gradually declining. Upon maturity in five years, it should hover around zero. Big pluses are the maintenance covenant
for debt with a limit of 4.0x and solid capitalisation of the company (50%).
Stress on the global markets came to a head towards the end of March. In April, the situation gradually started to
stabilise as the main central banks announced new measures. In late March, the American Fed launched a massive
quantitative easing programme several times bigger than that witnessed during the last global financial crisis in 2008-
2009. The Fed decided to buy virtually all debt securities and announced, in mid-April, that it would even start
purchasing speculative (non-investment) grade corporate bonds. The European Central Bank also cast the net a lot
wider for its asset purchase programme. These monumental monetary stimuli from the central banks managed to
steady the situation. Ultimately, the global equity markets actually started to grow very strongly.
Nevertheless, in first quarter of 2020, the Fund made a 6.7% loss (attributable almost solely to March) mainly caused
by the Ukrainian government bonds. Their prices plunged, pushed by strong selling from foreign investors. One rather
positive factor is that the Ukrainian government rushed to be able to accept crucial laws and reforms as soon as
possible as this is a vital prerequisite for obtaining the much needed IMF financial aid.
The overall performance since September 2019 was 5.37 %.
Conseq Funds Investiční Společnost a.s.
May 2020
Conseq Invest plc
Schedule of Investments as at 31 March 2020
13
Bond Fund
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Austria: 0.00% (30 September 2019: 1.70%)
Czech Republic: 57.87% (30 September 2019: 57.51%)
Corporate Bonds
30,000,000 Ceska Zbrojovka AS CZK 3.93% 27/01/2022 29,871,000 0.94%
41,000,000 Cetin Finance BV CZK 1.25% 06/12/2023 38,769,600 1.22%
20,000,000 City Home Inv CZK 5.00% 15/10/2023 18,600,000 0.58%
6,000,000 Czechoslovak Group AS CZK 5.22% 16/12/2021 5,970,000 0.19%
30,000,000 Dekinvest Pod CZK 0.00% 12/12/2020 29,274,000 0.92%
33,000,000 Dekinvest Pod CZK 4.42% 27/06/2023 32,854,800 1.03%
45,000,000 EPH Financing CZ CZK 4.23% 16/07/2022 40,500,000 1.27%
55,000,000 Equa Bank AS CZK 4.40% 26/09/2027 53,350,000 1.67%
27,000,000 Equa Bank AS CZK 4.06% 18/09/2029 25,639,200 0.80%
39,330,002 Ges Real AS CZK 0.00% 31/05/2022 32,671,433 1.02%
4,702,435 Help Financial CZK 7.10% 29/06/2021 4,520,451 0.14%
10,000,000 Material & Tech CZK 5.20% 31/12/2024 9,015,000 0.28%
54,000,000 Moneta Money CZK 3.30% 25/09/2029 55,501,740 1.74%
30,000,000 Moneta Money CZK 3.79% 30/01/2030 31,598,400 0.99%
30,000,000 Moravska Stavebni - Invest AS CZK 0.00% 01/12/2021 26,130,000 0.82%
35,000,000 Moravska Stavebni - Invest AS CZK 5.50% 30/11/2022 32,511,500 1.02%
26,000,000 Net4gas Bond CZK 2.25% 28/01/2021 25,971,400 0.81%
17,500,000 PPF Banka AS CZK 4.05% 31/05/2022 17,298,750 0.54%
21,000,000 Red Thirteen CZK 4.80% 01/09/2022 20,475,000 0.64%
21,000,000 Sazka Group AS CZK 5.20% 23/09/2024 19,530,000 0.61%
500,000 Sazka Group AS EUR 3.88% 15/02/2027 10,783,673 0.34%
36,000,000 Skoda Trans CZK 3.00% 26/06/2020 35,978,400 1.13%
36,000,000 Skofin S.R.O CZK 0.00% 20/11/2020 35,382,458 1.11%
36,000,000 Smvak CZK 2.63% 17/07/2022 33,120,000 1.04%
18,500,000 T-Centrum Cz CZK 6.72% 30/10/2024 16,650,000 0.52%
24,000,000 Teplarna Otro CZK 5.02% 21/12/2023 23,805,600 0.75%
45,000,000 Trigema Real Est CZK 5.17% 15/12/2020 43,875,000 1.38%
20,000,000 Twisto Finco Sro CZK 7.65% 18/05/2023 19,202,000 0.60%
15,000,000 Vsehrdova Two CZK 3.10% 03/10/2022 14,148,000 0.44%
35,000,000 ZDR Investments CZK 0.00% 19/06/2020 34,594,000 1.09%
Government security
18,000,000 City of Prague Czech Republic CZK 4.25% 11/05/2021 18,468,000 0.58%
175,000,000 Czech Republic Government Bond CZK 2.86% 18/04/2023 176,200,500 5.52%
130,000,000 Czech Republic Government Bond CZK 0.45% 25/10/2023 126,921,600 3.98%
105,000,000 Czech Republic Government Bond CZK 1.00% 26/06/2026 102,831,750 3.22%
68,000,000 Czech Republic Government Bond CZK 0.25% 10/02/2027 63,183,560 1.98%
130,000,000 Czech Republic Government Bond CZK 2.50% 25/08/2028 140,448,100 4.40%
218,000,000 Czech Republic Government Bond CZK 2.75% 23/07/2029 241,140,700 7.56%
105,000,000 Czech Republic Government Bond CZK 0.95% 15/05/2030 99,003,450 3.10%
58,000,000 Czech Republic Government Bond CZK 2.00% 13/10/2033 60,436,000 1.90%
Total Czech Republic
1,846,225,065 57.87%
Denmark: 1.80% (30 September 2019: 0.85%)
Corporate Bonds
1,500,000 Bidco NR Two EUR 7.00% 11/09/2023 31,848,431 1.00%
1,100,000 SSG Bidco EUR 6.00% 21/10/2024 25,615,728 0.80%
Total Denmark
57,464,159 1.80%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
14
Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Estonia: 0.41% (30 September 2019: 0.41%)
Corporate Bonds
550,000 Nortal AS EUR 4.75% 28/05/2024 12,958,544 0.41%
Total Estonia
12,958,544 0.41%
France: 2.00% (30 September 2019: 2.20%)
Corporate Bonds
45,000,000 BPCE SA CZK 2.33% 04/02/2023 43,335,000 1.36%
750,000 Societe Generale SA EUR 3.75% 11/01/2021 20,574,087 0.64%
Total France
63,909,087 2.00%
Germany: 3.60% (30 September 2019: 3.15%)
Corporate Bonds
800,000 Ferratum Cap Ger EUR 5.50% 25/05/2022 14,903,696 0.46%
1,500,000 Gamigo EUR 7.75% 11/10/2022 36,985,275 1.16%
1,450,000 Mutares EUR 6.00% 14/02/2024 32,773,063 1.03%
1,300,000 Tempton EUR 6.00% 09/10/2023 30,273,133 0.95%
Total Germany
114,935,167 3.60%
Hungary: 0.84% (30 September 2019: 1.48%)
Corporate Bonds
1,000,000 OTP Bank EUR 2.88% 15/07/2029 26,754,326 0.84%
Total Hungary
26,754,326 0.84%
Italy: 1.20% (30 September 2019: 1.01%)
Corporate Bonds
1,400,000 Saxa Gres SPA EUR 7.00% 10/07/2023 38,355,100 1.20%
Total Italy
38,355,100 1.20%
Japan: 0.00% (30 September 2019: 0.22%)
Luxembourg: 4.02% (30 September 2019: 4.03%)
Corporate Bonds
23,000,000 Ecm Real Estate CZK 0.00% 30/03/2051 23,000 0.00%
58,000,000 European Investment Bank CZK 2.55% 05/06/2034 56,840,000 1.78%
34,000,000 Societe Generale CZK 2.02% 04/01/2021 34,101,999 1.07%
1,500,000 Societe Generale EUR 6.42% 11/01/2021 37,346,909 1.17%
Total Luxembourg
128,311,908 4.02%
Malta: 0.82% (30 September 2019: 0.85%)
Corporate Bonds
13,000,000 Gaming Innov SEK 9.31% 28/06/2022 26,208,905 0.82%
Total Malta
26,208,905 0.82%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
15
Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Netherlands: 6.08% (30 September 2019: 5.16%)
Corporate Bonds
1,000,000 Azerion Hldgs EUR 8.50% 17/03/2023 23,013,060 0.72%
38,000,000 LeasePlan Corp NV CZK 2.99% 19/11/2020 37,931,600 1.19%
25,000,000 LeasePlan Corp NV CZK 2.42% 17/10/2024 24,737,500 0.78%
30,669 New World Resources NV EUR 0.00% 07/10/2020 - 0.00%
72,000,000 PPF Finance Holding CZK 4.50% 18/12/2027 69,840,000 2.19%
1,700,000 Sand Hill Petro EUR 9.00% 13/04/2022 30,273,132 0.95%
8,354,000 Satpo Group BV CZK 7.00% 24/02/2022 8,061,610 0.25%
Contingent Value Rights
35,771 New World Resources NV EUR 0.00% 07/10/2020 - 0.00%
Total Netherlands
193,856,902 6.08%
Norway: 6.06% (30 September 2019: 5.12%)
Corporate Bonds
13,000,000 Chip Bidco AS NOK 7.21% 13/12/2024 24,109,919 0.76%
6,000,000 Crayon Group NOK 5.26% 21/11/2022 11,983,628 0.38%
13,000,000 Dnb Bank ASA NOK 4.55% 31/12/2059 27,819,137 0.87%
850,000 Fiven AS EUR 7.75% 05/04/2022 20,958,322 0.66%
14,970 Global Rig Co USD 9.00% 03/06/2021 373,832 0.01%
9,000,000 Holmetjern Inv NOK 8.77% 16/02/2022 17,119,469 0.54%
300,000 Infront ASA EUR 5.75% 15/05/2023 6,873,097 0.21%
15,000,000 Kistefos AS NOK 6.73% 10/05/2023 28,532,448 0.89%
6,000,000 Mime Petroleum NOK 8.51% 18/02/2025 14,194,607 0.44%
1,200,000 Okea AS USD 7.87% 28/06/2023 16,479,098 0.52%
1,000,000 Okea AS USD 8.75% 11/12/2024 24,871,453 0.78%
Total Norway
193,315,010 6.06%
Poland: 4.84% (30 September 2019: 6.81%)
Corporate Bonds
15,000,000 Aaw X SP CZK 5.48% 29/03/2023 14,850,000 0.47%
5,000,000 Bank Pol Kasa Opieki PLN 3.34% 16/10/2028 28,196,312 0.88%
5,000,000 Cyfrowy Polsat PLN 3.54% 24/04/2026 28,553,989 0.90%
4,000,000 Dom Development SA PLN 3.29% 09/10/2023 23,420,282 0.73%
6,000,000 Ghelamco Invest PLN 6.29% 28/02/2022 34,986,150 1.10%
4,550,000 Robyg S.A. PLN 4.64% 05/07/2023 24,195,327 0.76%
Total Poland
154,202,060 4.84%
Slovakia: 1.21% (30 September 2019: 1.06%)
Corporate Bonds
1,000,000 Gevorkyan SRO EUR 4.70% 15/03/2024 26,574,605 0.83%
475,000 Sazka Group Fin EUR 4.00% 12/12/2022 11,972,271 0.38%
Total Slovakia
38,546,876 1.21%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
16
Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Sweden: 1.99% (30 September 2019: 0.49%)
Corporate Bonds
15,000,000 AE4 2017 SE SEK 6.42% 08/11/2024 30,241,044 0.95%
800,000 Bewi Group AB EUR 3.01% 22/11/2023 18,191,276 0.57%
900,000 Quant AB EUR 6.00% 15/02/2023 15,040,679 0.47%
Total Sweden
63,472,999 1.99%
Turkey: 1.63% (30 September 2019: 2.72%)
Corporate Bonds
2,450,000 Ronesans Gayrime USD 7.25% 26/04/2023 51,893,778 1.63%
Total Turkey
51,893,778 1.63%
United Kingdom: 3.16% (30 September 2019: 3.21%)
Corporate Bonds
1,250,000 Centralnic GR EUR 7.00% 03/07/2023 26,426,321 0.83%
20,000,000 International Personal Finance SEK 8.97% 15/06/2022 35,281,218 1.10%
40,000,000 Lloyds Bank Plc Bond CZK 2.68% 01/12/2021 39,192,000 1.23%
Total United Kingdom
100,899,539 3.16%
Forward Foreign Exchange Contracts: 0.00% (30 September 2019: 0.04%)
Total Financial Assets at fair value through profit or loss
3,111,309,425 97.53%
Interest Rate Swaps: (0.58%) (30 September 2019: (0.20%)) Nominal Fair % of Net
Description
Maturity Counterparty Holding Value CZK Assets
Interest Rate Swap
13/04/2027 Ceska Sporitelna, a.s. 3,400,000 (6,588,399) (0.21%)
Interest Rate Swap
10/02/2030 Ceska Sporitelna, a.s. 150,000,000 (11,858,787) (0.37%)
Total Interest Rate Swaps (18,447,186) (0.58%)
Conseq Invest plc
Schedule of Investments as at 31 March 2020
17
Bond Fund (continued)
Forward Foreign Exchange Contracts: (1.79%) (30 September 2019: (0.04%)) Fair % of Net
Purchases Currency Sales Currency Maturity Value CZK Assets
6,374,875 CZK 250,000 EUR 02/04/2020 (474,683) (0.01%)
24,871,570 CZK 950,000 EUR 02/04/2020 (1,156,796) (0.04%)
517,405,262 CZK 20,280,000 EUR 02/04/2020 (38,230,940) (1.20%)
21,941,105 CZK 950,000 USD 03/04/2020 (1,779,799) (0.05%)
109,645,920 CZK 45,900,000 SEK 14/04/2020 (6,053,868) (0.19%)
75,311,710 CZK 3,320,000 USD 14/04/2020 (7,587,211) (0.24%)
587,829,350 CZK 21,500,000 EUR 04/05/2020 (1,933,344) (0.06%)
Total Forward Foreign Exchange Contracts
(57,216,641) (1.79%)
(Counterparty: BNP Paribas Securities Services)
Total Financial Liabilities at fair value through profit or loss
(75,663,827) (2.37%)
Total Net Financial Assets at fair value through profit or loss
3,035,645,598 95.16%
Net Other Assets: 4.84% (30 September 2019: 2.22%) Cash
125,653,886 3.94%
Net Other Current Assets
28,874,335 0.90%
Total Value of Fund
3,190,173,819 100.00%
Total assets comprised as follows:
% of Total Assets
(a) Transferable securities admitted to an official stock exchange listing
94.79%
(b) Other assets
5.21%
100.00%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
18
New Europe Equity Fund
Fair % of Net
Holding Investment
Currency Value CZK Assets
Austria: 13.21% (30 September 2019: 7.80%)
Common Stock
Banks
200,500 Addiko Bank AG
EUR 43,449,616 1.51%
134,000 Erste Group Bank AG
CZK 62,310,000 2.16%
221,000 Erste Group Bank AG
EUR 103,140,562 3.58%
100,000 Raiffeisen Bank International EUR 36,519,534 1.27%
Insurance
34,000 Vienna Insurance Group AG
CZK 15,640,000 0.54%
115,000 Vienna Insurance Group AG
EUR 54,820,397 1.90%
Pharmaceuticals
25,700 Marinomed Biotech AG
EUR 64,776,285 2.25%
Total Austria
380,656,394 13.21%
Bermuda: 2.14% (30 September 2019: 3.39%)
Common Stock
Media
780,000 Central European Media Enterprises Ltd
CZK 61,698,000 2.14%
Total Bermuda
61,698,000 2.14%
Croatia: 2.69% (30 September 2019: 2.95%)
Common Stock
Hotels And Restaurants
900,000 Valamar Riviera DD
HRK 77,609,966 2.69%
Total Croatia
77,609,966 2.69%
Czech Republic: 17.43% (30 September 2019: 14.36%)
Common Stock
Banks
320,000 Komercni Bank AS
CZK 151,168,000 5.24%
2,200,000 Moneta Money Bank AS
CZK 114,180,000 3.96%
Electric
345,000 CEZ AS
CZK 140,622,000 4.88%
Food
11,700 Fillamentum AS
CZK 10,062,000 0.35%
225,870 Kofola CS AS
CZK 46,303,350 1.61%
Real Estate
120,000 Primoco
CZK 28,800,000 1.00%
Textiles and Clothing
31,000 Prabos Plus AS
CZK 11,160,000 0.39%
Total Czech Republic
502,295,350 17.43%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
19
New Europe Equity Fund (continued)
Fair % of Net
Holding Investment
Currency Value CZK Assets
Hungary: 10.21% (30 September 2019: 7.50%)
Common Stock
Banks
20,000 OTP Bank PLC
HUF 14,476,575 0.50%
Oil & Gas
920,000 MOL Hungarian Oil & Gas PLC
HUF 134,582,017 4.67%
Pharmaceuticals
260,000 Richter Gedeon Nyrt
HUF 122,534,408 4.25%
Telecommunications
550,000 Magyar Telekom Telecommunica HUF 15,268,381 0.53%
Transportation And Transportation Materials
140,000 Waberers International ZRT
HUF 7,443,360 0.26%
Total Hungary
294,304,741 10.21%
Luxembourg: 0.49% (30 September 2019: 0.72%)
Common Stock
Telecommunications
80,000 Play Communications SA
PLN 14,061,787 0.49%
Total Luxembourg
14,061,787 0.49%
Netherlands: 0.86% (30 September 2019: 0.68%)
Common Stock
Media
150,000 Digi Communications NV
RON 24,918,793 0.86%
Total Netherlands
24,918,793 0.86%
Poland: 20.95% (30 September 2019: 29.46%)
Common Stock
Banks
1,500,000 Bank Millennium SA
PLN 29,052,932 1.01%
360,000 Bank Pekao SA
PLN 121,362,266 4.21%
240,000 PKO Bank Polski SA
PLN 32,634,504 1.13%
45,000 Santander Bank Polska SA
PLN 46,933,740 1.63%
Diversified Finanancial Services
940,000 Alior Bank SA
PLN 72,611,290 2.52%
650,000 Getback SA
PLN 820,552 0.03%
35,000 Kruk SA
PLN 13,675,858 0.47%
Electric
1,100,000 PGE SA
PLN 25,147,347 0.87%
2,500,000 Tauron Polska Energia SA
PLN 16,771,711 0.58%
Food
100,000 Eurocash SA
PLN 10,189,265 0.35%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
20
New Europe Equity Fund (continued)
Fair % of Net
Holding Investment
Currency Value CZK Assets
Poland: 20.95% (30 September 2019: 29.46%) (continued)
Common stock (continued)
Insurance
680,000 Powszechny Zaklad Ubezpieczen SA
PLN 127,945,914 4.44%
Media
400,000 Agora SA
PLN 17,072,279 0.59%
150,000 Cyfrowy Polsat SA
PLN 21,478,611 0.75%
Mining
20,000 KGHM Polska Miedz SA
PLN 7,189,594 0.25%
Retail/distribution
185,000 CCC SA
PLN 33,340,839 1.16%
Telecommunications
400,000 Orange Polska SA
PLN 14,270,983 0.49%
Textiles and Clothing
1,224,000 VRG SA
PLN 13,538,558 0.47%
Total Poland
604,036,243 20.95%
Republic of Moldova: 2.55% (30 September 2019: 2.30%)
Common Stock
Food
713,512 Purcari Wineries PLC
RON 73,425,351 2.55%
Total Republic of Moldova
73,425,351 2.55%
Romania: 5.20% (30 September 2019: 7.63%)
Closed-ended Fund
4,500,000 SC Fondul Proprietatea SA1
RON 28,193,105 0.98%
Common Stock
Banks
650,000 BRD-Group Societe General
RON 42,971,452 1.49%
Electric
25,000 Electrica SA GDR
USD 5,305,770 0.18%
Oil & Gas
16,000,000 OMV Petrom SA
RON 26,262,537 0.91%
Pharmaceuticals
300,000 Med Life SA
RON 47,286,174 1.64%
Total Romania
150,019,038 5.20%
1 AIF
Conseq Invest plc
Schedule of Investments as at 31 March 2020
21
New Europe Equity Fund (continued)
Fair % of Net
Holding Investment
Currency Value CZK Assets
Slovak Republic: 13.44% (30 September 2019: 14.21%)
Common Stock
Banks
96,989 Nova Ljubljanska Banka DD
EUR 100,440,616 3.48%
170,000 Nova Ljubljanska B-GDR
EUR 34,837,389 1.21%
Food
45,500 Luka Koper
EUR 20,193,960 0.70%
Oil & Gas
11,484 Petrol DD Ljubljana
EUR 89,981,722 3.12%
Pharmaceuticals
80,000 Krka DD Novo mesto
EUR 142,023,456 4.93%
Total Slovak Republic
387,477,143 13.44%
Sweden: 0.53% (30 September 2019: 0.00%)
Common Stock
Textiles and Clothing
300,000 Karo Invest AS
CZK 15,300,000 0.53%
Total Sweden
15,300,000 0.53%
Ukraine: 2.06% (30 September 2019: 1.99%)
Common Stock
Agriculture
300,000 Kernel Holding SA
PLN 59,512,523 2.06%
Total Ukraine
59,512,523 2.06%
United Kingdom: 5.84% (30 September 2019: 6.85%)
Common Stock
Beverages
800,000 Stock Spirits Group PLC
CZK 40,960,000 1.42%
Office Equipment & Material
1,020,000 Avast PLC
CZK 127,500,000 4.42%
Total United Kingdom
168,460,000 5.84%
Total Financial Assets at fair value through profit or loss 2,813,775,329 97.60%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
22
New Europe Equity Fund (continued)
Forward Foreign Exchange Contracts: (0.72%) (30 September 2019: (0.01%))
Fair % of Net
Purchases Currency Sales Currency Maturity Value CZK Assets
284,521,860 CZK 53,850,000 RON 03/04/2020 (20,760,552) (0.72%)
Total Forward Foreign Exchange Contracts (20,760,552) (0.72%)
(Counterparty: BNP Paribas Securities Services)
Total Financial Liabilities at fair value through profit or loss (20,760,552) (0.72%)
Total Net Financial Assets at fair value through profit or loss
2,793,014,777 96.88%
Net Other Assets: 3.12% (30 September 2019: 0.17%) Cash
81,636,988 2.83%
Net Other Current Assets
8,351,379 0.29%
Total Value of Fund 2,883,003,144 100.00%
Total assets comprised as follows:
% of Total Assets
(a) Transferable securities admitted to an official stock exchange listing
95.77%
(b) Closed-ended Fund
0.97%
(c) Other assets
3.26%
100.00%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
23
Conservative Bond Fund
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Austria: 3.56% (30 September 2019: 2.44%)
Corporate Bonds
13,000,000 Erste Group Bank AG CZK 5.19% 29/04/2023 13,119,600 0.81%
45,000,000 Hypo Noe Gruppe CZK 2.52% 16/09/2020 44,806,500 2.75%
Total Austria 57,926,100 3.56%
Belgium: 0.94% (30 September 2019: 0.82%)
Corporate Bonds
380,000 VGP NV EUR 3.90% 21/09/2023 10,881,857 0.67%
165,000 VGP NV EUR 3.25% 06/07/2024 4,385,895 0.27%
Total Belgium 15,267,752 0.94%
Czech Republic: 57.22% (30 September 2019: 61.76%)
Corporate Bonds
1,400,000 Ceska Exp Banka Bond EUR 0.18% 02/07/2021 38,190,173 2.35%
21,000,000 Ceska Zbrojovka AS CZK 3.93% 27/01/2022 20,909,700 1.28%
250,000 Ceske Drahy EUR 1.50% 23/05/2026 6,830,221 0.42%
600,000 CEZ AS EUR 0.88% 21/11/2022 16,237,686 1.00%
25,000,000 Dekinvest Pod CZK 0.00% 12/12/2020 24,395,000 1.50%
18,000,000 Dekinvest Pod CZK 4.42% 27/06/2023 17,920,800 1.10%
30,000,000 EPH Financing CZ CZK 4.23% 16/07/2022 27,000,000 1.66%
7,000,000 Equa Bank As CZK 4.40% 26/09/2027 6,790,000 0.42%
18,000,000 Finep Holding SE CZK 3.75% 19/06/2020 17,730,000 1.09%
20,490,001 GES Real AS CZK 0.00% 31/05/2022 17,021,044 1.05%
3,000,000 Help Financial CZK 7.10% 29/06/2021 2,883,900 0.18%
10,000,000 Material & Tech CZK 5.20% 31/12/2024 9,015,001 0.55%
24,000,000 Moneta Money Bank AS CZK 3.30% 25/09/2029 24,667,440 1.52%
15,000,000 Moneta Money Bank AS CZK 3.79% 30/01/2030 15,799,200 0.97%
10,000,000 Moravska Stav In CZK 5.50% 30/11/2022 9,289,000 0.57%
20,000,000 Moravska Stavebni - Invest AS CZK 0.00% 01/12/2021 17,420,000 1.07%
16,000,000 Net4gas Bond CZK 2.25% 28/01/2021 15,982,400 0.98%
12,000,000 Red Thirteen CZK 4.80% 01/09/2022 11,700,000 0.72%
18,000,000 Severom Vodovody AS CZK 2.63% 17/07/2022 16,560,000 1.02%
27,000,000 Skoda Transportation CZK 3.00% 26/06/2020 26,983,800 1.66%
51,000,000 Skofin S.R.O CZK 0.00% 20/11/2020 50,125,149 3.08%
8,000,000 T-Centrum CZ CZK 6.72% 30/10/2024 7,200,000 0.44%
36,000,000 Trigema Real EST CZK 5.17% 15/12/2020 35,100,000 2.16%
20,000,000 Twisto Finco SRO CZK 7.65% 18/05/2023 19,202,000 1.18%
35,000,000 ZDR Investments CZK 0.00% 19/06/2020 34,594,000 2.13%
Government security
30,000,000 Czech Republic Government Bond CZK 3.75% 12/09/2020 30,369,600 1.87%
50,000,000 Czech Republic Government Bond CZK 1.92% 09/12/2020 49,918,500 3.07%
215,000,000 Czech Republic Government Bond CZK 2.86% 18/04/2023 216,474,900 13.31%
70,000,000 Czech Republic Government Bond CZK 0.45% 25/10/2023 68,342,400 4.20%
27,000,000 Czech Republic Government Bond CZK 1.00% 26/06/2026 26,442,450 1.63%
5,000,000 Czech Republic Government Bond CZK 0.25% 10/02/2027 4,645,850 0.29%
35,000,000 Czech Republic Government Bond CZK 2.13% 19/11/2027 34,052,200 2.09%
10,000,000 Czech Republic Government Bond CZK 2.50% 25/08/2028 10,803,700 0.66%
Total Czech Republic 930,596,114 57.22%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
24
Conservative Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
France: 6.20% (30 September 2019: 4.66%)
Corporate Bonds
1,350,000 BNP PARIBAS EUR 0.28% 07/06/2024 34,277,213 2.11%
18,000,000 BNP PARIBAS CZK 2.87% 08/10/2024 18,450,000 1.13%
30,000,000 BPCE SA CZK 2.33% 04/02/2023 28,890,000 1.78%
700,000 Societe Generale SA EUR 3.75% 11/01/2021 19,202,481 1.18%
Total France 100,819,694 6.20%
Germany 1.06% (30 September 2019: 1.02%)
Corporate Bonds
700,000 Gamigo EUR 7.75% 11/10/2022 17,259,795 1.06%
Total Germany 17,259,795 1.06%
Japan: 0.98% (30 September 2019: 0.43%)
Corporate Bonds
600,000 Nomura International Fund EUR 1.75% 30/06/2022 15,996,049 0.98%
Total Japan 15,996,049 0.98%
Luxembourg: 4.78% (30 September 2019: 4.55%)
Corporate Bonds
10,000,000 European Investment Bank CZK 2.44% 25/04/2029 9,800,000 0.60%
26,000,000 European Investment Bank CZK 2.55% 05/06/2034 25,480,000 1.57%
20,000,000 SG Issuer CZK 2.02% 04/01/2021 20,060,000 1.23%
900,000 SG Issuer EUR 6.42% 11/01/2021 22,408,145 1.38%
Total Luxembourg 77,748,145 4.78%
Netherlands: 7.16% (30 September 2019: 6.79%)
Corporate Bonds
735,000 Atrium European EUR 3.63% 17/10/2022 20,539,358 1.26%
37,000,000 LeasePlan Corp NV CZK 2.99% 19/11/2020 36,933,400 2.27%
10,000,000 LeasePlan Corp NV CZK 2.42% 17/10/2024 9,895,000 0.61%
38,000,000 PPF Finance Holding CZK 4.50% 18/12/2027 36,860,000 2.26%
700,000 Sand Hill Petro EUR 9.00% 13/04/2022 12,465,407 0.76%
Total Netherlands 116,693,165 7.16%
Norway: 0.68% (30 September 2019: 1.09%)
Corporate Bonds
800,000 Okea AS USD 7.87% 28/06/2023 10,986,065 0.68%
Total Norway 10,986,065 0.68%
Poland: 0.55% (30 September 2019: 2.15%)
Corporate Bonds
9,000,000 AAW X SP CZK 5.48% 29/03/2023 8,910,000 0.55%
Total Poland 8,910,000 0.55%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
25
Conservative Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
United Kingdom: 1.57% (30 September 2019: 1.44%)
Corporate Bonds
26,000,000 Lloyds Bank Plc Bond CZK 2.68% 01/12/2021 25,474,800 1.57%
Total United Kingdom 25,474,800 1.57%
United States: 0.92% (30 September 2019: 0.80%)
Corporate Bonds
550,000 Citigroup Inc EUR 0.42% 24/05/2021 14,862,999 0.92%
Total United States 14,862,999 0.92%
Forward Foreign Exchange Contracts: 0.00% (30 September 2019: 0.03%)
Buy-Sell back Transactions: 6.15% (30 September 2019: 7.78%) Nominal Fair % of Net
Description Maturity Counterparty
Holding Value CZK Assets
CNB Bill 31/07/2020 Ceska Sporitelna, a.s.
100,000,000 100,000,000 6.15%
Total Buy-Sell back Transactions 100,000,000 6.15%
Total Financial Assets at fair value through profit or loss 1,492,540,678 91.77%
Interest Rate Swaps: (0.46%) (30 September 2019: (0.21%)) Nominal Fair % of Net
Description
Maturity Counterparty Holding Value CZK Assets
Interest Rate Swap 13/04/2027 Ceska Sporitelna, a.s. 1,800,000 (3,487,976) (0.22%)
Interest Rate Swap 10/02/2030 Ceska Sporitelna, a.s. 50,000,000 (3,952,929) (0.24%)
Total Interest Rate Swaps
(7,440,905) (0.46%)
Forward Foreign Exchange Contracts: (1.20%) (30 September 2019: (0.01%)) Fair % of Net
Purchases Currency Sales Currency Maturity Value CZK Assets
225,025,366 CZK 8,820,000 EUR 02/04/2020 (16,627,065) (1.02%)
5,099,900 CZK 200,000 EUR 02/04/2020 (379,747) (0.02%)
17,240,030 CZK 760,000 USD 14/04/2020 (1,736,832) (0.11%)
246,614,918 CZK 9,020,000 EUR 04/05/2020 (811,105) (0.05%)
Total Forward Foreign Exchange Contracts (19,554,749) (1.20%)
(Counterparty: BNP Paribas Securities Services)
Total Financial Liabilities at fair value through profit or loss (26,995,654) (1.66%)
Total Net Financial Assets at fair value through profit or loss 1,465,545,024 90.11%
Net Other Assets: 9.89% (30 September 2019: 4.46%) Cash
159,953,073 9.83%
Net Other Current Assets
895,330 0.06%
Total Value of Fund
1,626,393,427 100.00%
Total assets comprised as follows:
% of Total Assets
(a) Transferable securities admitted to an official stock exchange listing
83.35%
(b) Buy-sell back instruments
5.99%
(c) Other assets
10.66%
100.00%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
26
New Europe Bond Fund
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Czech Republic: 2.28% (30 September 2019: 0.00%)
Corporate Bonds
10,000,000 Material & Tech CZK 5.20% 31/12/2024 9,015,000 0.72%
900,000 Sazka Group AS EUR 3.88% 15/02/2027 19,410,612 1.56%
Total Czech Republic 28,425,612 2.28%
Denmark: 1.19% (30 September 2019: 0.00%)
Corporate Bonds
700,000 Bidco NR Two EUR 7.00% 11/09/2023 14,862,601 1.19%
Total Denmark 14,862,601 1.19%
Germany: 1.27% (30 September 2019: 0.00%)
Corporate Bonds
700,000 Mutares EUR 6.00% 14/02/2024 15,821,479 1.27%
Total Germany 15,821,479 1.27%
Hungary: 0.00% (30 September 2019: 3.08%)
Italy: 0.44% (30 September 2019: 0.00%)
Corporate Bonds
200,000 Saxa Gres SPA EUR 7.00% 10/07/2023 5,479,300 0.44%
Total Italy 5,479,300 0.44%
Luxembourg: 0.00% (30 September 2019: 0.01%)
Corporate Bonds
10,000,000 ECM Real Estate Investments AG CZK 0.00% 30/03/2051 10,000 0.00%
Total Luxembourg 10,000 0.00%
Netherlands: 1.88% (30 September 2019: 1.34%)
Corporate Bonds
400,000 Azerion Holdings EUR 8.50% 17/03/2023 9,205,224 0.74%
44,714 New World Resources NV EUR 0.00% 07/10/2020 - 0.00%
800,000 Sand Hill Petro EUR 9.00% 13/04/2022 14,246,180 1.14%
Contingent Value Right
38,336 New World Resources NV EUR 0.00% 07/10/2020 - 0.00%
Total Netherlands 23,451,404 1.88%
Norway: 1.99% (30 September 2019: 0.00%)
Corporate Bonds
1,000,000 Okea AS USD 8.75% 11/12/2024 24,871,453 1.99%
Total Norway 24,871,453 1.99%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
27
New Europe Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Poland: 37.54% (30 September 2019: 38.58%)
Corporate Bonds
3,000,000 Bank Pol Kasa Opieki PLN 3.34% 16/10/2028 16,917,787 1.36%
3,300,000 Cyfrowy Polsat SA PLN 3.54% 24/04/2026 18,845,632 1.51%
2,900,000 Ghelamco Invest PLN 6.29% 28/02/2022 16,909,973 1.36%
4,500,000 PKO Bank Hipoteczny SA PLN 2.40% 18/05/2022 27,046,819 2.17%
Government Security
2,200,000 Poland Government Bond PLN 1.79% 25/01/2024 13,139,704 1.05%
19,200,000 Poland Government Bond PLN 1.79% 25/01/2026 112,290,393 9.00%
7,250,000 Poland Government Bond PLN 1.79% 25/05/2028 41,613,786 3.34%
10,000,000 Poland Government Bond PLN 1.79% 25/05/2025 58,757,496 4.71%
3,200,000 Poland Government Bond PLN 2.50% 25/07/2026 20,455,957 1.64%
7,700,000 Poland Government Bond PLN 2.50% 25/07/2027 49,166,602 3.94%
10,270,000 Poland Government Bond PLN 3.25% 25/07/2025 67,867,186 5.44%
1,360,000 Poland Government Bond PLN 5.75% 23/09/2022 9,125,691 0.73%
2,000,000 Poland Government Bond PLN 5.75% 25/04/2029 16,026,302 1.29%
Total Poland 468,163,328 37.54%
Romania: 0.00% (30 September 2018: 2.84%)
Slovakia: 1.64% (30 September 2019: 0.00%)
Corporate Bonds
770,000 Gevorkyan S.R.O EUR 4.70% 15/03/2024 20,462,446 1.64%
Total Slovakia 20,462,446 1.64%
Sweden: 1.09% (30 September 2019: 0.00%)
Corporate Bonds
600,000 Bewi Group AB EUR 3.01% 22/11/2023 13,643,457 1.09%
Total Sweden 13,643,457 1.09%
Turkey: 5.98% (30 September 2019: 24.21%)
Corporate Bonds
3,000,000 Migros Ticaret A TRY 13.73% 24/02/2021 11,309,204 0.91%
1,500,000 Yasar Holdings AS USD 8.88% 06/05/2020 36,072,371 2.89%
Government Security
3,321,696 Turkey Government Bond TRY 2.70% 14/01/2026 12,149,779 0.97%
2,446,872 Turkey Government Bond TRY 3.00% 06/01/2021 9,284,551 0.75%
1,521,596 Turkey Government Bond TRY 3.00% 21/07/2021 5,763,396 0.46%
Total Turkey 74,579,301 5.98%
Conseq Invest plc
Schedule of Investments as at 31 March 2020
28
New Europe Bond Fund (continued)
Fair % of Net
Holding Investment Currency Coupon Maturity Value CZK Assets
Ukraine: 23.26% (30 September 2019: 21.32%)
Government Security
50,000,000 Ukraine Government Bond UAH 9.79% 26/05/2027 28,043,882 2.25%
55,000,000 Ukraine Government Bond UAH 9.99% 22/05/2024 49,773,348 3.99%
105,000,000 Ukraine Government Bond UAH 15.84% 26/02/2025 76,685,080 6.15%
40,000,000 Ukraine Government Bond UAH 16.75% 02/06/2021 34,525,115 2.77%
500,000 Ukraine Government Bond EUR 6.75% 20/06/2026 12,096,240 0.97%
1,500,000 Ukraine Government Bond USD 8.99% 01/02/2024 34,473,898 2.76%
2,250,000 Ukraine Government Bond USD 9.75% 01/11/2028 54,541,132 4.37%
Total Ukraine 290,138,695 23.26%
United States: 1.44% (30 September 2019: 1.22%)
Corporate Bonds
3,000,000 JP Morgan Chase + Co PLN 2.74% 16/06/2027 17,972,782 1.44%
Total United States 17,972,782 1.44%
Forward Foreign Exchange Contracts: 0.00% (30 September 2019: 0.03%)
Buy-Sell back Transactions: 8.02% (30 September 2019:
3.44%) Nominal
Fair % of Net
Description Maturity Counterparty Holding
Value CZK Assets
CNB Bill 31/07/2020 Ceska Sporitelna a.s. 100,000,000
100,000,000 8.02%
Total Buy-Sell back Transactions
100,000,000 8.02%
Total Financial Assets at fair value through profit or loss
1,097,881,858 88.02%
Interest Rate Swaps: (0.79%) (30 September 2019: 0.00%) Nominal Fair % of Net
Description Maturity Counterparty Holding Value CZK Assets
Interest Rate Swap 10/02/2030 Ceska Sporitelna, a.s. 20,000,000 (9,902,869) (0.79%)
Total Interest Rate Swaps
(9,902,869) (0.79%)
Conseq Invest plc
Schedule of Investments as at 31 March 2020
29
New Europe Bond Fund (continued)
Forward Foreign Exchange Contracts: (1.64%) (30 September 2019: (0.01%)) Fair % of Net
Purchases Currency Sales Currency Maturity Value CZK Assets
41,885,679 CZK 1,650,000 EUR 02/04/2020 (3,321,394) (0.27%)
118,712,926 CZK 5,140,000 USD 03/04/2020 (9,629,649) (0.77%)
49,240,244 CZK 1,930,000 EUR 02/04/2020 (3,638,349) (0.29%)
19,657,823 CZK 770,000 EUR 06/04/2020 (1,440,827) (0.11%)
16,064,685 CZK 630,000 EUR 02/04/2020 (1,196,202) (0.10%)
4,868,560 CZK 190,000 EUR 02/04/2020 (337,106) (0.03%)
9,817,725 CZK 375,000 EUR 02/04/2020 (456,630) (0.04%)
130,962,911 CZK 4,790,000 EUR 04/05/2020 (430,731) (0.03%)
Total Forward Foreign Exchange Contracts
(20,450,888) (1.64%)
(Counterparty: BNP Paribas Securities Services)
Total Financial Liabilities at fair value through profit or loss
(30,353,757) (2.43%)
Total Net Financial Assets at fair value through profit or loss
1,067,528,101 85.59%
Net Other Assets: 14.41% (30 September 2019: 3.93%) Cash
162,803,979 13.05%
Net Other Current Assets
16,887,775 1.36%
Total Value of Fund
1,247,219,855 100.00%
Total assets comprised as follows:
% of Total Assets
(a) Transferable securities admitted to an official stock exchange listing
77.90%
(b) Buy-sell back instruments
7.81%
(c) Other assets
14.29%
100.00%
Conseq Invest plc
The accompanying notes form an integral part of the financial statements.
30
Statement of Comprehensive Income
For the six months ended 31 March 2020
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2020
Notes CZK CZK CZK CZK CZK
Income
Bond interest income 68,662,592 - 21,971,925 39,118,225 129,752,742
Dividend income - 3,683,219 - - 3,683,219
Interest and other income 284,951 35,070 123,371 125,740 569,132
Interest income from Buy-Sell back
operations 2,079,623 72,722 4,287,316 1,144,639 7,584,300
Net losses on financial assets and
financial liabilities at fair value through
profit or loss (211,317,283) (919,339,615) (50,530,859) (110,931,232) (1,292,118,989)
Total Investment Loss (140,290,117) (915,548,604) (24,148,247) (70,542,628) (1,150,529,596)
Expenses
Transaction costs - 2,909,252 - - 2,909,252
Investment manager fees 5 15,083,697 15,266,100 5,002,544 6,991,401 42,343,742
Depositary fees 5 1,274,348 2,132,811 787,876 672,406 4,867,441
Administrator & Transfer Agent fees 5 1,672,624 1,465,108 849,104 647,089 4,633,925
Performance fees 5 1,495,527 12,418,515 768,042 1,818,598 16,500,682
Legal fees 103,422 133,362 64,846 52,980 354,610
Directors' fees 5 263,541 257,544 145,429 103,214 769,728
Audit fees 150,754 167,231 74,913 69,437 462,335
Other expenses 12 538,358 529,665 315,325 239,579 1,622,927
Total Operating Expenses 20,582,271 35,279,588 8,008,079 10,594,704 74,464,642
Operating Loss for the financial
period (160,872,388) (950,828,192) (32,156,326) (81,137,332) (1,224,994,238)
Finance Costs
Dividend expense 3 (66,912) (3,693,943) (30,018) (211,214) (4,002,087)
Interest expense (8,364) (25,310) - (254) (33,928)
Interest expense on interest rate swap (102,981) - (53,695) - (156,676)
Total Finance Costs (178,257) (3,719,253) (83,713) (211,468) (4,192,691)
Less: withholding tax (349,563) (167,603) - (333,997) (851,163)
Decrease in Net Assets Attributable to
Redeemable Participating Shareholders at Bid
Market Prices (161,400,208) (954,715,048) (32,240,039) (81,682,797) (1,230,038,092)
Movement in Bid/Mid Adjustment
From bid prices to mid market prices 45,507,925 (9,273,090) 10,330,629 8,761,423 55,326,887
Decrease in Net Assets Attributable to
Redeemable Participating Shareholders at
Mid Market Prices (115,892,283) (963,988,138) (21,909,410) (72,921,374) (1,174,711,205)
There were no recognised gains or losses arising in the financial period other than as dealt with above.
In arriving at the results for the financial period, all amounts above relate to continuing operations.
Conseq Invest plc
The accompanying notes form an integral part of the financial statements.
31
Statement of Comprehensive Income
For the six months ended 31 March 2019
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2019
Notes CZK CZK CZK CZK CZK
Income
Bond interest income 61,006,773 - 21,271,315 45,078,532 127,356,620
Dividend income - 4,079,216 - - 4,079,216
Interest and other income 280,179 72,579 146,375 206,796 705,929
Interest income from Buy-Sell back
operations 1,197,405 - 2,451,712 - 3,649,117
Net gains on financial assets and
financial liabilities at fair value through
profit or loss 33,770,305 84,226,973 11,633 111,160,388 229,169,299
Total Investment Income 96,254,662 88,378,768 23,881,035 156,445,716 364,960,181
Expenses
Transaction costs 205,635 2,038,763 112,409 44,410 2,401,217
Investment manager fees 5 14,954,371 14,587,080 4,911,508 6,494,412 40,947,371
Depositary fees 5 1,274,684 1,880,112 760,915 734,329 4,650,040
Administrator & Transfer Agent fees 5 1,477,747 1,422,857 859,629 635,538 4,395,771
Performance fees 5 1,251,645 5,072,908 1,364,821 - 7,689,374
Legal fees 682,114 634,513 368,917 252,672 1,938,216
Directors' fees 5 103,319 204,693 368,913 89,979 766,904
Audit fees 136,032 112,491 64,462 34,344 347,329
Other expenses 12 596,008 516,096 445,388 295,886 1,853,378
Total Operating Expenses 20,681,555 26,469,513 9,256,962 8,581,570 64,989,600
Operating Profit for the financial
period 75,573,107 61,909,255 14,624,073 147,864,146 299,970,581
Finance Costs
Dividend expense 3 (52,691) - (44,700) (2,812,573) (2,909,964)
Interest expense (2,459) (17,797) - (81,433) (101,689)
Total Finance Costs (55,150) (17,797) (44,700) (2,894,006) (3,011,653)
Add/(less): withholding tax 345,646 2,722,406 103,500 - 3,171,552
Increase in Net Assets Attributable to
Redeemable Participating Shareholders at Bid
Market Prices 75,863,603 64,613,864 14,682,873 144,970,140 300,130,480
Movement in Bid/Mid Adjustment
From bid prices to mid market prices 4,109,757 (5,520,428) 1,009,133 (1,310,478) (1,712,016)
Increase in Net Assets Attributable to
Redeemable Participating Shareholders at
Mid Market Prices 79,973,360 59,093,436 15,692,006 143,659,662 298,418,464
There were no recognised gains or losses arising in the financial period other than as dealt with above.
In arriving at the results for the financial period, all amounts above relate to continuing operations.
Conseq Invest plc
The accompanying notes form an integral part of the financial statements.
32
Statement of Financial Position
As at 31 March 2020
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2020
Notes CZK CZK CZK CZK CZK
Current Assets
Financial assets at fair value through
profit or loss 14 3,111,309,425 2,813,775,329 1,492,540,678 1,097,881,858 8,515,507,290
Cash and cash equivalents 7 125,653,886 81,636,988 159,953,073 162,803,979 530,047,926
Due from shareholders 3,918,420 13,170,773 929,318 865,115 18,883,626
Bond interest receivable 39,903,113 - 16,616,212 19,062,427 75,581,752
Interest receivable from Buy-Sell back
operations - - 66,111 66,111 132,222
Spot contracts 1,580,250 - 634,019 352,065 2,566,334
Total Assets 3,282,365,094 2,908,583,090 1,670,739,411 1,281,031,555 9,142,719,150
Current Liabilities
Financial liabilities at fair value through
profit or loss 14 75,663,827 20,760,552 26,995,654 30,353,757 153,773,790
Due to shareholders 11,886,737 607,964 15,302,714 1,411,999 29,209,414
Investment manager fees payable 5 2,475,319 2,149,132 804,099 1,123,406 6,551,956
Performance fees payable 5 32,271 2,506 3,117 2,453 40,347
Administrator & Transfer Agent fees
payable 5 731,683 725,945 427,413 312,949 2,197,990
Depositary fees payable 5 725,101 704,458 439,300 340,789 2,209,648
Audit fees payable 162,080 158,391 89,438 63,478 473,387
Directors' fees payable 5 149,783 117,109 69,679 48,806 385,377
Other expenses payable 13 364,474 353,889 214,570 154,063 1,086,996
Liabilities (excluding net assets
attributable to Redeemable
Participating Shareholders) 92,191,275 25,579,946 44,345,984 33,811,700 195,928,905
Net Assets Attributable to
Redeemable Participating
Shareholders at Bid
Market Prices 3,190,173,819 2,883,003,144 1,626,393,427 1,247,219,855 8,946,790,245
Bid/Mid Adjustment
From bid prices to mid market prices 62,026,553 4,853,579 16,340,368 13,127,410 96,347,910
Net Assets Attributable to
Redeemable Participating
Shareholders at Mid Market Prices 3,252,200,372 2,887,856,723 1,642,733,795 1,260,347,265 9,043,138,155
Conseq Invest plc
The accompanying notes form an integral part of the financial statements
33
Statement of Financial Position
As at 30 September 2019
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2019
Notes CZK CZK CZK CZK CZK
Current Assets
Financial assets at fair value through
profit or loss 14 3,499,620,623 3,613,926,614 1,724,173,094 1,395,454,963 10,233,175,294
Cash and cash equivalents 7 94,211,284 28,672,093 68,720,408 40,419,915 232,023,700
Sales awaiting settlement - 8,668,434 - - 8,668,434
Due from shareholders 1,635,713 1,677,474 422,627 556,054 4,291,868
Dividend receivable - 2,905,755 - - 2,905,755
Bond interest receivable 34,843,103 - 17,314,733 21,986,524 74,144,360
Interest receivable from Buy-Sell back
operations - - 106,167 37,917 144,084
Total Assets 3,630,310,723 3,655,850,370 1,810,737,029 1,458,455,373 10,555,353,495
Current Liabilities
Financial liabilities at fair value through
profit or loss 14 8,626,674 195,333 4,027,123 115,145 12,964,275
Due to shareholders 4,078,630 852,768 1,282,902 1,932,040 8,146,340
Purchase awaiting settlement 33,560,800 26,265,091 - - 59,825,891
Investment manager fees payable 5 2,463,962 2,555,651 743,435 1,139,073 6,902,121
Performance fees payable 5 9,499,362 4,440,147 3,106,867 2,017,287 19,063,663
Administrator & Transfer Agent fees
payable 5 497,552 508,666 265,255 215,617 1,487,090
Depositary fees payable 5 493,116 492,411 279,153 233,405 1,498,085
Audit fees payable 333,599 317,667 176,840 124,941 953,047
Directors' fees payable 5 160,048 132,277 83,625 52,748 428,698
Dividend payable - - 35,625 - 35,625
Spot contracts - - 28,951 - 28,951
Other expenses payable 13 299,150 265,343 191,557 114,399 870,449
Liabilities (excluding net assets
attributable to Redeemable
Participating Shareholders) 60,012,893 36,025,354 10,221,333 5,944,655 112,204,235
Net Assets Attributable to
Redeemable Participating
Shareholders at Bid
Market Prices 3,570,297,830 3,619,825,016 1,800,515,696 1,452,510,718 10,443,149,260
Bid/Mid Adjustment
From bid prices to mid market prices 16,518,628 14,126,669 6,009,739 4,365,987 41,021,023
Net Assets Attributable to
Redeemable Participating
Shareholders at Mid Market Prices 3,586,816,458 3,633,951,685 1,806,525,435 1,456,876,705 10,484,170,283
Conseq Invest plc
The accompanying notes form an integral part of the financial statements
34
Statement of Changes in Net Assets Attributable to Redeemable
Participating Shareholders
For the six months ended 31 March 2020
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2020
CZK CZK CZK CZK CZK
Net Assets Attributable to Redeemable
Participating Shareholders as at start of
financial period at Bid Market Prices 3,570,297,830 3,619,825,016 1,800,515,696 1,452,510,718 10,443,149,260
Shares Issued 395,100,796 489,619,531 431,928,748 239,766,156 1,556,415,231
Shares Redeemed (613,824,599) (271,726,355) (573,810,978) (363,374,222) (1,822,736,154)
Decrease in Net Assets Attributable to
Redeemable Participating Shareholders at Bid
Market Prices (161,400,208) (954,715,048) (32,240,039) (81,682,797) (1,230,038,092)
Net Assets Attributable to Redeemable
Participating Shareholders as at end of
financial period at Bid Market Prices 3,190,173,819 2,883,003,144 1,626,393,427 1,247,219,855 8,946,790,245
Conseq Invest plc
The accompanying notes form an integral part of the financial statements.
35
Statement of Changes in Net Assets Attributable to Redeemable
Participating Shareholders
For the six months ended 31 March 2019
Total
Bond New Europe Conservative New Europe 31 March
Fund Equity Fund Bond Fund Bond Fund 2019
CZK CZK CZK CZK CZK
Net Assets Attributable to Redeemable
Participating Shareholders as at start of
financial period at Bid Market Prices 3,650,956,504 3,371,898,523 2,091,724,241 1,271,722,286 10,386,301,554
Shares Issued 226,806,873 202,518,438 105,249,891 63,497,353 598,072,555
Shares Redeemed (354,810,106) (141,809,869) (298,530,224) (157,508,592) (952,658,791)
Increase in Net Assets Attributable to
Redeemable Participating Shareholders at Bid
Market Prices 75,863,603 64,613,864 14,682,873 144,970,140 300,130,480
Net Assets Attributable to Redeemable
Participating Shareholders as at end of
financial period at Bid Market Prices 3,598,816,874 3,497,220,956 1,913,126,781 1,322,681,187 10,331,845,798
Conseq Invest plc
Notes to the Financial Statements
31 March 2020
36
1. Significant Accounting Policies
Basis of Accounting and Presentation of Financial Statements
The interim report and condensed unaudited financial statements of Conseq Invest plc (the
"Company") have been prepared on a going concern basis and in accordance with FRS 104 Interim
Financial Reporting (“FRS 104”) issued by the Financial Reporting Council, and in accordance
with Irish statute comprising the European Communities (Undertakings for Collective Investment in
Transferable Securities) (“UCITS”) Regulations 2011 (as amended) (the “UCITS Regulations”) and
the Central Bank (Supervision and Enforcement) Act 2013 (Section 48(1)) (UCITS) Regulations
2019 (the “Central Bank UCITS Regulations”).
The comparative financial period of the statement of financial position is 30 September 2019. The
comparative financial period of the statement of comprehensive income and statement of changes in
net assets attributable to holders of redeemable participating shares is the six month financial period
ended 31 March 2019.
The interim report and condensed unaudited financial statements do not contain all of the
information and disclosures required in the full annual financial statements and should be read in
conjunction with the audited financial statements for the financial year ended 30 September 2019
which have been prepared in accordance with FRS 102 The Financial Reporting Standard
applicable in the UK and Ireland (“FRS 102”), and Irish statute comprising the Companies Act
2014, the UCITS Regulations and the Central Bank UCITS Regulations.
The preparation of financial statements in conformity with FRS 104 and FRS 102 requires the use of
certain critical accounting estimates. It also requires management to exercise its judgements in the
process of applying the Company’s accounting policies. Actual results could differ from those
estimates and the difference could be material.
The Company has availed of the exemption available to entities not required to present a cash flow
statement in their annual financial statements under FRS 104 not to prepare a cash flow statement.
The accounting policies applied in these interim financial statements are the same as those applied
in the last annual financial statements.
There are currently 4 active sub-funds of the Company at the reporting date: Conseq Invest Bond
Fund ("Bond Fund"), Conseq Invest New Europe Equity Fund ("New Europe Equity Fund"),
Conseq Invest Conservative Bond Fund ("Conservative Bond Fund") and Conseq Invest New
Europe Bond Fund ("New Europe Bond Fund"), collectively referred to as the “Funds”.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
37
2. Significant judgements and estimates
The judgements, estimates and assumptions applied in preparing the interim financial statements are
consistent with those described in the last annual financial statements.
3. Dividends Paid/Payable
The intention of the Bond Fund is to declare at least semi-annually a dividend that will be
determined with the objective of distributing the majority of net revenue, if any, attributable to the
Class D Shares. The formula for calculating the dividends is set out in the Bond Fund’s Supplement
to the Prospectus. In respect of this Fund, a dividend amounting to CZK 66,912 (31 March 2019:
CZK 52,691) was declared during the financial period ended 31 March 2020 attributable to the
Class D Shareholders.
The intention of the New Europe Equity Fund is to declare at least annually a dividend that will be
determined with the objective of distributing the majority of net revenue, if any, attributable to the
Class D Shares. The formula for calculating the dividends is set out in the New Europe Equity
Fund’s Supplement to the Prospectus. In respect of this Fund, a dividend amounting to CZK
3,693,943 (31 March 2019: CZK Nil) was declared during the financial period ended 31 March
2020 attributable to the Class D Shareholders.
The Conservative Bond Fund intends to declare at least quarterly a dividend that will be determined
with the objective of distributing the majority of net revenue, if any, attributable to the Class D
Shares. The formula for calculating the dividend payable on the Class D Shares of the Conservative
Bond Fund is set out in the Conservative Bond Fund’s Supplement to the Prospectus. Dividends
totalling CZK 30,018 (31 March 2019: CZK 44,700) were declared during the financial period
ended 31 March 2020 in respect of the Conservative Bond Fund’s Class D Shares.
The intention of the New Europe Bond Fund is to declare at least semi-annually a dividend that will
be determined with the objective of distributing the majority of net revenue, if any, attributable to
the Class D Shares. The formula for calculating the dividends is set out in the New Europe Bond
Fund’s Supplement to the Prospectus. Dividends totalling CZK 211,214 (31 March 2019: CZK
2,812,573) were declared during the financial period ended 31 March 2020 in respect of the New
Europe Bond Fund’s Class D Shares.
4. Exchange rates
The financial statements are prepared in CZK. Exchange rates used in the preparation of the
financial statements as at 31 March 2020 were as follows:
31 March 2020 Exchange rate to CZK EUR 27.3965 RON 5.6698
HUF 0.0760 GBP 30.9598
PLN 6.0113 USD 24.9682
TRY 3.7887 RSD 0.2332
SEK 2.5201 NOK 2.3777
HRK 3.5931 UAH 0.9039
Exchange rates used in the preparation of the financial statements as at 30 September 2019 were as
follows:
30 September 2019 Exchange rate to CZK EUR 25.8158 RON 5.4432
HUF 12.9751 GBP 29.1809
PLN 5.9065 USD 23.6798
TRY 4.1938 RSD 4.5500
SEK 2.4084 NOK 2.6062
HRK 3.4836 UAH 1.0178
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
38
5. Fees and Expenses
Investment Manager Fee
The Investment Manager is entitled to charge a fee equal to a percentage of the NAV of each Fund
payable monthly in arrears. The Investment Manager will be responsible for the fees and expenses
of the investment advisers, and is entitled to be paid its reasonable out-of-pocket expenses (apart
from the fees and expenses of investment advisers). Total investment manager fees charged during
the financial period and accrued at the reporting date are disclosed in the statement of
comprehensive income and the statement of financial position respectively.
The Investment Manager’s fee charged to the Bond Fund is 1.00% per annum on Class A Shares,
0.70% per annum on Class B Shares, and 0.70% per annum on Class D Shares. The New Europe
Equity Fund is charged 1.15% per annum on Class A Shares, 0.75% per annum on Class B Shares,
0.75% per annum on Class D Shares and 0.60% per annum on Class I Shares. The fee charged to the
Conservative Bond Fund will not exceed the maximum fee of 0.65% per annum of Class A Shares
and 0.65% per annum of Class D Shares. Currently the fee charged on both Classes of shares is
0.50% per annum. The Investment Manager’s fee charged to the New Europe Bond Fund is 1.00%
per annum on Class A Shares and 0.70% per annum on Class D Shares.
Performance Fee
The Investment Manager is also entitled to receive a performance fee. For each Share Class, the
performance fee will be calculated by taking the Net Gain per Share of the relevant Share Class for
the applicable Performance Period, and multiplying the resultant figure by 8% (the “Performance
Fee”).
Any Performance Fee accrued in respect of Shares redeemed during a Performance Period will be
realised and become payable at the point of redemption. The Performance Fee will be accrued daily
and payable annually at the end of the relevant Performance Period. The Performance Fee shall be
calculated independently by the Administrator and verified by the Depositary.
For the avoidance of doubt, a Performance Fee is only payable on the increase over the High Water
Mark. This means that a Performance Fee shall accrue only in the event that the Ending NAV per
Share for the applicable Performance Period exceeds the previous High Water Mark.
Total performance fees charged during the period and accrued at the reporting date are disclosed in
the statement of comprehensive income and the statement of financial position respectively.
Depositary Fees
The Depositary is entitled to charge a tier structured fee per annum as set out in the below table
based on the NAV of each Fund subject to a minimum of EUR17,500 per Fund per annum.
The Depositary is also entitled to charge transaction fees and is entitled to be reimbursed for all sub-
custodians’ fees, both of which are at normal commercial rates, and for all expenses incurred by it or
by its sub-custodians on behalf of each Fund.
The table set out below details the tier structured fee for the Company:
Up to EUR150 million 0.020%
Above EUR150 million 0.015%
Total depositary fees charged during the period and accrued at the reporting date are disclosed in the
statement of comprehensive income and the statement of financial position respectively.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
39
5. Fees and Expenses (continued)
Administration and Transfer Agent Fees
The Administrator is entitled to charge a tier structured fee per annum as set out in the below table
of the NAV of each Fund subject to a minimum of EUR22,500 per Fund per annum.
The Administrator is also entitled to transactional fees and to reports compilation fees (at normal
commercial rates). The fee accrues daily and is paid monthly in arrears out of the assets of the
Company based on the NAV of each Fund as at the last Dealing Day of each month. The
Administrator is also entitled to be reimbursed any expenses incurred by it on behalf of each Fund.
The table set out below details the tier structured fee for the Company:
Up to EUR150 million 0.07%
From EUR150 million to EUR300 million 0.06%
Over EUR300 million 0.04%
Total administration and transfer agent fees charged during the period and accrued at the reporting
date are disclosed in the statement of comprehensive income and the statement of financial position
respectively.
Directors’ Fees and Expenses
The Directors shall be entitled to a fee and remuneration for their services at a rate to be determined
from time to time by the Directors provided that such fee will not exceed the sum of EUR20,000 per
annum per Director without the approval of the Board of Directors of the Company. The Directors
may also be paid, inter alia, for travelling, hotel and other expenses properly incurred by them in
attending meetings of the Directors or in connection with the business of the Company.
Total directors' fees charged during the financial period and accrued at the reporting date are
disclosed in the statement of comprehensive income and the statement of financial position
respectively.
6. Soft Commission Arrangements
The Investment Manager returned to the Funds listed below incentive fees relating to bond
placements held during the financial period. The table below details the bonds from which the fees
were earned and the amounts received.
Date ISIN Description
Bond
Fund
CZK
Conservative
Bond Fund
CZK
11 October 2019 CZ0003704900
EQUA BANK AS
4.06% 18/09/2029 175,500 -
12 December 2019 CZ0003520181
T-CENTRUM CZ
6.72% 30/10/2024 518,000 224,000
30 December 2019 CZ0003523813
ZDR INVESTMENTS
0% 19/06/2020 17,066 17,066
There were no soft commission arrangements in place during the financial period ended 31 March
2019.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
40
7. Cash and Cash Equivalents
Cash and cash equivalents held with the Depositary and Ceska Sporitelna, a.s., as at:
31 March 2020
Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund Total
CZK CZK CZK CZK CZK
Cash
BNP Paribas Securities
Services, Dublin
Branch 45,337,796 65,473,053 135,041,208 137,292,114 383,144,171
Cash collateral
Ceska Sporitelna, a.s. 80,316,090 16,163,935 24,911,865 25,511,865 146,903,755
125,653,886 81,636,988 159,953,073 162,803,979 530,047,926
30 September 2019
Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund Total
CZK CZK CZK CZK CZK
Cash
BNP Paribas Securities
Services, Dublin
Branch 86,411,284 28,672,093 66,120,408 40,419,915 221,623,700
Cash collateral
Ceska Sporitelna, a.s. 7,800,000 - 2,600,000 - 10,400,000
94,211,284 28,672,093 68,720,408 40,419,915 232,023,700
8. Transactions involving Connected Persons
Chapter 10 of the Central Bank UCITS Regulations headed ‘Transactions involving Connected
Persons’ states in Regulation 43 that a responsible person shall ensure that any transaction between
a UCITS and the management company or depositary to a UCITS; and the delegates or sub-
delegates of such a management company or depositary (excluding any non-group company sub-
custodians appointed by a depositary); and any associated or group company of such a management
company, depositary, delegate or sub-delegate (“connected persons”) is conducted at arm’s length
and is in the best interests of the shareholders of the UCITS.
The Board of Directors of the Company is satisfied that there are arrangements (evidenced by
written procedures) in place, to ensure that the obligations set out in Regulation 43 of the Central
Bank Regulations are applied to all transactions with connected persons; and the Board of Directors
is satisfied that transactions with connected persons entered into during the financial period
complied with the obligations set out in Regulation 43.
9. Related Parties
The Directors and the Investment Manager are related parties under FRS 102 “Related Party
Disclosures”. Mr. Jan Martinec, Mr. Richard Siuda and Mr. Ondřej Matuška, who are Directors of
the Company at the reporting date, are also Directors of the Investment Manager. Ms. Veronika
Juvova, a consultant of the Investment Manager and also a Director of the Company, provides legal
and compliance services to the Investment Manager.
Investment manager fees and performance fees charged during the financial period and accrued at
the reporting date are disclosed in the statement of comprehensive income and the statement of
financial position respectively.
Directors’ fees charged during the financial period and accrued at the reporting date are disclosed in
the statement of comprehensive income and the statement of financial position respectively.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
41
9. Related Parties (continued)
The Board of Directors appointed the Investment Manager as a Competent Person, pursuant to the
Investment Management Agreement between the Company and the Investment Manager dated
1 May 2018. The Portfolio Administration department of the Investment Manager responsible for
action as the Competent Person is independent from the Portfolio Management department
responsible for acting as the Investment Manager. Securities priced by the Competent Person at the reporting date are disclosed in note 14.
KB Associates is also deemed a related party. Ms. Andrea Oman is an employee and a shareholder
of KB Associates and is also a Director of the Company. KB Associates provides consultancy,
MLRO and company secretarial services to the Company. KB Associates fees charged during the
financial period and accrued at the reporting date are disclosed as consultancy fees in note 12 and
note 13 respectively.
Directors’ and Secretary’s interests
The table below provides details of shares held by related parties as at:
31 March 2020
Name Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund
Irena Siudova 49.8945 751.9829 - -
Richard Siuda - - 710.3585 575.3369
Ondřej Matuška - 180.2645 - -
The table below provides details of shares held by related parties as at 30 September 2019:
30 September 2019
Name Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund
Irena Siudova 49.8945 751.9829 - -
Richard Siuda - - 710.3585 575.3369
Ondřej Matuška - 180.2645 - -
Jan Vedral1 - - - 29,613.3516
1Jan Vedral is a 49% shareholder of both the Investment Manager and Conseq Investment Management, a.s., (the
“Distributor/Promoter”). Jan Vedral can therefore be identified as ultimate beneficiary holder of both the Investment Manager
and Distributor/Promoter.
10. Efficient Portfolio Management
The Company may, on behalf of each Fund and subject to the conditions and within the limits laid
down by the Central Bank, employ techniques and instruments relating to transferable securities for
efficient portfolio management purposes. Transactions for the purposes of efficient portfolio
management may be undertaken with a view to achieving a reduction in risk, a reduction in costs or
an increase in capital or income returns to a Fund and may not be speculative in nature. These
techniques and instruments may include investments in financial derivative instruments (“FDI”)
such as futures (which may be used to manage interest rate risk), options (which may be used to
achieve cost efficiencies, for example where the acquisition of the option is more cost effective than
purchasing of the underlying asset), swaps and forward currency contracts and foreign exchange
options (which may be used to manage currency risk). Such techniques and instruments are set out
in Appendix II of the Prospectus. New techniques and instruments may be developed which may be
suitable for use by the Company and the Company (subject as aforesaid) may employ such
techniques and instruments. A Fund may enter into stock lending, repurchase and/or reverse
repurchase and sell/buy-back agreements for the purposes of efficient portfolio management in
accordance with the provisions of Appendix II of the Prospectus.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
42
10. Efficient Portfolio Management (continued)
During the financial period ended 31 March 2020 and the financial year ended 30 September 2019
forward foreign exchange contracts, interest rate swaps, buy-sell back transactions, and contingent
value rights were entered into for the purpose of EPM. Details of all open transactions at the
reporting date are disclosed in the schedule of investments and note 14.
It is not the intention to leverage the Funds as a result of investment in FDI. In any case, global
exposure and leverage as a result of their investment in FDI, as measured using the commitment
approach, shall not exceed 100% of the NAV of the respective Fund on a permanent basis. The
commitment approach is a standard methodology used to calculate the gross notional exposure and
global exposure (net leverage/gearing) arising from the derivatives held by each Fund.
Gains and losses arising from the use of efficient portfolio management techniques and instruments
are included in the statement of comprehensive income in the financial period in which they arise
within net gains/(losses) on financial assets and financial liabilities at fair value through profit or
loss.
11. Share Capital
Authorised Share Capital
On incorporation the authorised Share Capital of the Company was CZK 1,500,000 divided into
1,500,000 Subscriber Shares of a par value of CZK 1 each and 500,000,000,000 shares of no par
value initially designated as unclassified shares. The unclassified shares are available for issue as
shares of classes within the Funds.
There are seven Subscriber Shares currently in issue which are held by the Investment Manager and
nominees of the Investment Manager. These Subscriber Shares may be repurchased by the Company
at any time. The repurchase price will be CZK 1 per Subscriber Share.
The Company has designated four Share Classes in the Company: Class A Shares, Class B Shares,
Class D Shares and Class I Shares. None of the share classes were hedged at the reporting date
(2019: Nil).
Share Transactions for the financial period ended 31 March 2020
Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund
Shares Shares Shares Shares
Shares in Issue at start of financial period
Class A 7,412,037 3,985,502 13,373,371 8,308,346
Class B 8,518,346 9,551,830 - -
Class D 77,357 3,555,825 68,933 2,579,048
Class I - 500 - -
Shares Issued
Class A 926,312 323,752 3,196,165 1,550,847
Class B 834,046 1,928,323 - -
Class D 773 186,668 5,796 3,297
Shares Redeemed
Class A (956,073) (197,352) (4,264,031) (1,208,521)
Class B (1,765,509) (598,702) - -
Class D (24,227) (2,450,548) (9,834) (2,546,050)
Shares in Issue at end of financial period
Class A 7,382,276 4,111,902 12,305,505 8,650,672
Class B 7,586,883 10,881,451 - -
Class D 53,903 1,291,945 64,895 36,295
Class I - 500 - -
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
43
11. Share Capital (continued)
Net Asset Value Per Redeemable Participating Share as at 31 March 2020
Bond Fund
New Europe
Equity Fund
Conservative Bond
Fund
New Europe Bond
Fund Class A CZK 206.6765 CZK 180.1741 CZK 131.7052 CZK 143.9304
Class B CZK 218.8202 CZK 194.3034 - -
Class D CZK 79.1802 CZK 21.4764 CZK 87.7516 CZK 58.5615
Class I - EUR 6.9600 - -
Share Transactions for the financial period ended 31 March 2019
Bond Fund
New Europe
Equity Fund
Conservative
Bond Fund
New Europe
Bond Fund
Shares Shares Shares Shares
Shares in Issue at start of financial period
Class A 7,004,929 3,783,495 15,907,442 9,242,277
Class B 10,028,136 8,976,081 - -
Class D 86,978 3,020,989 58,047 2,452,113
Class I - 500 - -
Shares Issued
Class A 789,075 376,767 795,953 453,563
Class B 269,496 390,778 - -
Class D 609 268,972 354 43,735
Class I - - - -
Shares Redeemed
Class A (697,418) (163,142) (2,260,534) (1,168,838)
Class B (929,323) (385,370) - -
Class D (13,315) (70,318) - (7,661)
Class I - - - -
Shares in Issue at end of financial period
Class A 7,096,586 3,997,120 14,442,861 8,527,002
Class B 9,368,309 8,981,489 - -
Class D 74,272 3,219,643 58,401 2,488,187
Class I - 500 - -
Net Asset Value Per Redeemable Participating Share as at 30 September 2019
Bond Fund
New Europe
Equity Fund
Conservative Bond
Fund
New Europe Bond
Fund Class A CZK 217.1585 CZK 245.7368 CZK 134.1698 CZK 153.2991
Class B CZK 229.3911 CZK 264.5234 - -
Class D CZK 86.3254 CZK 31.9554 CZK 90.1244 CZK 69.3468
Class I - EUR 10.0480 - -
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
44
12. Other Expenses
For the six months ended 31 March 2020
Bond New Europe Conservative New Europe
Fund Equity Fund Bond Fund Bond Fund Total
CZK CZK CZK CZK CZK
Director insurance fees 48,315 47,218 26,661 18,923 141,117
Directors' expenses 17,924 17,028 10,285 6,936 52,173
FATCA investor services fees 8,126 7,942 4,484 3,180 23,732
Financial regulator fees 20,804 20,376 11,971 8,842 61,993
Financial reporting fees 27,052 23,356 14,224 12,351 76,983
Paying agent fees 53,734 51,795 45,155 45,215 195,899
Translation fees 6,459 6,447 3,599 2,544 19,049
Oekb fees 4,391 4,291 2,424 1,722 12,828
EU Savings Directive (EUSD)
fees 25,443 22,671 12,239 10,706 71,059
PWC Austria fees for Austrian
tax calculation 18,887 18,459 10,423 7,398 55,167
Consultancy fees 307,223 310,082 173,860 121,762 912,927
538,358 529,665 315,325 239,579 1,622,927
For the six months ended 31 March 2019
. Bond New Europe Conservative New Europe
Fund Equity Fund Bond Fund Bond Fund Total
CZK CZK CZK CZK CZK
Director insurance fees 50,022 46,530 27,054 18,529 142,135
FATCA investor services fees 6,610 6,182 3,535 2,473 18,800
Financial regulator fees 13,068 12,250 7,717 5,696 38,731
Financial reporting fees 19,553 23,800 19,388 19,484 82,225
Directors’ expenses 11,044 10,112 5,945 4,144 31,245
Paying agent fees 52,451 52,226 44,460 45,794 194,931
Translation fees 4,770 4,371 2,637 1,714 13,492
Consultancy fees 438,490 360,625 334,652 198,052 1,331,819
596,008 516,096 445,388 295,886 1,853,378
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
45
13. Other Expenses Payable
As at 31 March 2020
. Bond New Europe Conservative New Europe
Fund Equity Fund Bond Fund Bond Fund Total
CZK CZK CZK CZK CZK
FATCA investor services fees (10,902) (12,021) (5,896) (4,806) (33,625)
Financial reporting fees (9,651) (9,651) (9,651) (9,651) (38,604)
Financial regulator fees (40,766) (39,624) (25,735) (15,720) (121,845)
Legal fees (52,797) (50,518) (30,132) (20,432) (153,879)
Director insurance fees (56,612) (55,578) (30,840) (22,247) (165,277)
Paying agent fees (15,386) (13,790) (11,043) (9,661) (49,880)
Directors' expenses (8,800) (8,420) (5,022) (3,406) (25,648)
Consultancy fees (128,562) (120,907) (72,945) (49,492) (371,906)
EU Savings Directive (EUSD)
fees (9,581) (12,763) (6,381) (6,383) (35,108)
Translation fees (1,492) (1,347) (837) (571) (4,247)
PWC Austria fees for Austrian
tax calculation (29,925) (29,270) (16,088) (11,694) (86,977)
(364,474) (353,889) (214,570) (154,063) (1,086,996)
As at 30 September 2019
. Bond New Europe Conservative New Europe
Fund Equity Fund Bond Fund Bond Fund Total
CZK CZK CZK CZK CZK
Interest Payable - - (26,338) - (26,338)
FATCA investor services fees (2,776) (4,080) (1,412) (1,625) (9,893)
Financial reporting fees (6,527) (6,527) (6,527) (6,527) (26,108)
Financial regulator fees (21,484) (20,780) (15,094) (8,169) (65,527)
Legal fees (84,072) (51,316) (43,689) (20,168) (199,245)
Director insurance fees (8,297) (8,360) (4,179) (3,324) (24,160)
Paying agent fees (11,495) (10,801) (8,966) (8,648) (39,910)
Directors' expenses (2,189) (2,206) (1,103) (878) (6,376)
Consultancy fees (149,516) (146,485) (76,765) (58,189) (430,955)
EU Savings Directive (EUSD)
fees (6,477) (8,637) (4,318) (4,318) (23,750)
Translation fees (1,500) (1,465) (763) (589) (4,317)
PWC Austria fees for Austrian
tax calculation (4,817) (4,686) (2,403) (1,964) (13,870)
(299,150) (265,343) (191,557) (114,399) (870,449)
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
46
14. Fair value of Financial Instruments
The Funds are required to classify fair value measurements using a fair value hierarchy that reflects
the significance of the inputs used in making the measurements. The fair value hierarchy has the
following levels:
• Quoted prices (unadjusted) in active markets for identical assets or liabilities (Level 1).
• Inputs other than quoted prices included within Level 1 that are observable for the asset or
liability, either directly (as prices) or indirectly (derived from prices) (Level 2).
• Inputs for the asset or liability that are not based on observable market data (that is, unobservable
inputs) (Level 3).
The level in the fair value hierarchy within which the fair value measurement is categorised in its
entirety is determined on the basis of the lowest level input that is significant to the fair value
measurement in its entirety. For this purpose, the significance of an input is assessed against the fair
value measurement in its entirety. If a fair value measurement uses observable inputs that require
significant adjustment based on unobservable inputs, that measurement is a Level 3 measurement.
Assessing the significance of a particular input to the fair value measurement in its entirety requires
judgement, considering factors specific to the asset or liability.
The following table analyses within the fair value hierarchy the Funds’ financial assets and financial
liabilities measured at fair value:
As at 31 March 2020
Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 1,010,165,660 -
Corporate Bonds - 1,753,746,381 328,929,3841
Municipal Bonds - 18,468,000 -
Total - 2,782,380,041 328,929,384
Financial liabilities at fair value through
Profit or Loss
Derivatives - (75,663,827) -
Total - (75,663,827) -
1Includes the corporate bond New World Resources NV and the contingent value right on New World Resources NV which
both had a nil market value at the reporting date.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
47
14. Fair value of Financial Instruments (continued)
The following table analyses within the fair value hierarchy the Funds’ financial assets and financial
liabilities measured at fair value (continued):
As at 31 March 2020
New Europe Equity Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Equities 2,802,892,777 10,062,000 820,552
Total 2,802,892,777 10,062,000 820,552
Financial liabilities at fair value through
Profit or Loss
Derivatives - (20,760,552) -
Total - (20,760,552) -
Conservative Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 441,049,600 -
Corporate Bonds - 762,205,085 189,285,993
Buy-Sell back operations - - 100,000,000
Total - 1,203,254,685 289,285,993
Financial liabilities at fair value through
Profit or Loss
Derivatives - (26,995,654) -
Total - (26,995,654) -
New Europe Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 705,779,539 -
Corporate Bonds - 265,104,537 26,997,7821
Buy-Sell back operations -
100,000,000
Total - 970,884,076 126,997,782
Financial liabilities at fair value through
Profit or Loss
Derivatives - (30,353,757) -
Total - (30,353,757) -
1Includes the corporate bond New World Resources NV and the contingent value right on New World Resources NV which
both had a nil market value at the reporting date.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
48
14. Fair value of Financial Instruments (continued)
The following table analyses within the fair value hierarchy the Funds’ financial assets and financial
liabilities measured at fair value:
As at 30 September 2019
Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 1,219,613,845 -
Corporate Bonds - 1,985,384,048 274,771,5161
Municipal Bonds - 18,534,600 -
Derivatives - 1,316,614 -
Total - 3,224,849,107 274,771,516
Financial liabilities at fair value through
Profit or Loss
Derivatives - (8,626,674) -
Total - (8,626,674) -
New Europe Equity Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Equities 3,603,347,227 10,003,500 575,887
Total 3,603,347,227 10,003,500 575,887
Financial liabilities at fair value through
Profit or Loss
Derivatives - (195,333) -
Total - (195,333) -
1Includes the corporate bond New World Resources NV and the contingent value right on New World Resources NV which
both had a nil market value at the reporting date.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
49
14. Fair value of Financial Instruments (continued)
The following table analyses within the fair value hierarchy the Funds’ financial assets and financial
liabilities measured at fair value (continued):
As at 30 September 2019
Conservative Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 668,464,150 -
Corporate Bonds - 738,088,853 177,056,999
Buy-Sell back operations - - 140,000,000
Derivatives - 563,092 -
Total - 1,407,116,095 317,056,999
Financial liabilities at fair value through
Profit or Loss
Derivatives - (4,027,123) -
Total - (4,027,123) -
New Europe Bond Fund
Level 1 Level 2 Level 3
Financial assets at fair value through Profit
or Loss CZK CZK CZK
Government Bonds - 1,162,198,560 -
Corporate Bonds - 164,921,823 17,914,4141
Buy-Sell back operations - - 50,000,000
Derivatives - 420,166 -
Total - 1,327,540,549 67,914,4141
Financial liabilities at fair value through
Profit or Loss
Derivatives - (115,145) -
Total - (115,145) -
1Includes the corporate bond New World Resources NV and the contingent value right on New
World Resources NV which both had a nil market value at the reporting date.
Transfers between levels from a financial reporting perspective occur at the start of the financial
period.
There were no transfers between Level 1 and Level 2 investments during the financial period ended
31 March 2020 or the financial period ended 31 March 2019.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
50
14. Fair value of Financial Instruments (continued)
The changes in investments measured at fair value for which Level 3 inputs have been used to
determine fair value during the financial period ended 31 March 2020 are as follows:
Level 3 Reconciliation
For the financial period ended 31 March 2020:
New Europe Conservative New Europe
Description Bond Fund Equity Fund Bond Fund Bond Fund
CZK CZK CZK CZK
Opening Balance 274,771,516 575,887 317,056,999 67,914,414
Purchases 91,707,255 - 84,055,365 60,000,000
Sales (25,491,066) - (108,408,146) -
(Losses)/gains recognised in
profit and loss (12,058,321) 244,665 (3,418,225) (916,632)
Closing Balance 328,929,384 820,552 289,285,993 126,997,782
For the financial period ended 31 March 2019
New Europe Conservative New Europe
Description Bond Fund Equity Fund Bond Fund Bond Fund
CZK CZK CZK CZK
Opening Balance 381,848,583 1,369,432 520,815,972 17,887,865
Purchases 113,495,829 - 52,171,351 -
Sales (160,000,000) - (215,246,000) -
Gains/(losses) recognised in
profit and loss 2,637,513 (1,088,608) 2,557,140 22,859
Closing Balance 337,981,925 280,824 360,298,463 17,910,724
Level 3 securities include (i) securities priced by Conseq Investment Management, a.s. (the
“Competent Person”) and (ii) receivables and payables from repo operations (sell/buy, buy/sell,
reverse repo, repo).
With regards to (i) the Competent Person has been appointed by the Board and is a related party to
the Company, being the parent company to Conseq Investicni spolecnost, a.s. the Investment
Manager. The Competent Person acts on an arms-length basis. All valuations provided for these
assets are fully transparent and attestable and the basis for valuation is set out in the Company’s
Competent Person Manual and Valuation Policy. As such, the Board has determined that due to no
other price sources being available it is appropriate to classify these assets as Level 3 securities for
the purposes of these financial statements. The Competent Person is providing pricing in case there
is not a trustworthy and relevant price provider. Whenever there is a third party pricing provider that
provides relevant pricing the Competent Person pricing is replaced by such vendor. The proportion
of assets priced by Competent Person is monitored on at least a monthly basis and reported to the
Board on a quarterly basis.
In case of (ii) receivables and payables from repo operations are valued based on the interest rate
spread between the offsetting positions agreed at each deal’s inception.
A 5% decrease/rise in price would reduce/increase the fair value of these positions by CZK
16,446,469, CZK 41,028, CZK 14,464,300 and CZK 6,349,889, to the Bond Fund, New Europe
Equity Fund, Conservative Bond Fund and New Europe Bond Fund, respectively (30 September
2019: CZK 13,738,576, CZK 28,794, CZK 15,852,850, and CZK 3,395,721 to the Bond Fund, New
Europe Equity Fund, Conservative Bond Fund and New Europe Bond Fund, respectively).
All other assets and liabilities held by the Funds at the reporting date are carried at amortised cost;
their carrying values are a reasonable approximation of fair value. Cash and cash equivalents have
been classified at Level 1, due to the liquid nature of the asset. All other assets and liabilities held,
outside of those discussed above, have been classified at Level 2.
Conseq Invest plc
Notes to the Financial Statements (continued)
31 March 2020
51
15. Forward Foreign Exchange Contracts
All details of the open forward foreign exchange contracts as at 31 March 2020 have been
incorporated into the Funds’ schedule of investments.
16. Cross Liability Statement
The Company has adopted segregated liability between Funds, and therefore, the assets of each
Fund are not exposed to the liabilities of the other Funds within the Company.
17. Changes to the Prospectus
There were no changes to the Prospectus during the financial period.
18. Significant Events during the financial period
Since January 2020, the development of the novel coronavirus (COVID-19) into a pandemic has had
a significant impact on the world economy. Despite coordinated and extraordinary actions by
governments and global central banks to contain the virus and support the financial system, the
situation has resulted in dislocations across markets. The nature and extent of the impact of this
event is difficult to predict but it may adversely affect the returns on the Funds and their
investments. The Directors and the Investment Manager are actively monitoring the situation.
There were no other material events during the financial period ended 31 March 2020.
19. Events after the reporting date
There were no material events after the reporting date.
20. Financial Statements
These financial statements were approved by the Directors on 26 May 2020.
Conseq Invest plc
52
Statement of Significant Portfolio Movements for the financial period ended 31 March 2020
The Central Bank UCITS Regulations requires all material changes that have occurred in the disposition of
the assets of the UCITS to be documented in the interim report. A material change is defined as aggregate
purchases of a security exceeding 1 per cent of the total value of purchases for the financial period or
aggregate disposals greater than 1 per cent of the total value of sales for the financial period.
Conseq Invest plc
53
Statement of Significant Portfolio Movements for the financial period ended 31 March 2020
Bond Fund
Largest Purchases
%
Nominal Description Coupon Maturity Value CZK
997,000,000 CNB Bill 0.00% 31/07/2020 1,000,113,750
110,000,000 Czech Republic Government Bond 0.45% 25/10/2023 106,629,089
60,000,000 AH Claim 3.70% 31/12/2024 54,600,000
1,450,000 Mutares 6.00% 14/02/2024 36,518,250
36,000,000 Skofin SRO 0.00% 20/11/2020 35,382,458
15,000,000 AE4 6.42% 08/11/2024 35,365,429
35,000,000 ZDR Investment 0.00% 19/06/2020 34,132,455
34,000,000 SG Issuer 2.02% 04/01/2021 34,000,000
13,000,000 Chip Bidco AS 7.21% 13/12/2024 32,742,398
30,000,000 Moneta Money 3.79% 30/01/2030 30,000,000
30,000,000 Dekinvest Pod 0.00% 12/12/2020 29,074,800
1,100,000 SSG Bidco 6.00% 21/10/2024 28,200,632
1,000,000 Azerion Holdings 8.50% 17/03/2023 25,341,500
1,000,000 Okea AS 8.75% 11/12/2024 23,003,457
9,000,000 Holmetjern Investments 8.77% 16/02/2022 22,760,565
800,000 Bewi Group AB 3.01% 22/11/2023 20,474,400
18,500,000 T-Centrum CZ 6.72% 30/10/2024 18,500,000
17,500,000 PPF Banka AS 4.05% 31/05/2022 17,500,000
6,000,000 Crayon Group* 5.26% 21/11/2022 15,253,114
6,000,000 MIME Petroleum* 8.51% 18/02/2025 14,803,045
Largest Sales
%
Nominal Description Coupon Maturity Value CZK
997,000,000 CNB Bill 0.00% 31/07/2020 1,000,598,861
145,000,000 Czech Republic Government Bond 2.86% 18/04/2023 152,692,364
110,000,000 Czech Republic Government Bond 0.45% 25/10/2023 106,587,288
84,000,000 Skofin SRO 0.00% 20/12/2019 84,000,000
57,000,000 MND 4.74% 13/11/2022 57,631,958
54,000,000 MCI Capital SA 5.86% 08/04/2021 55,393,644
60,000,000 AH Claim 3.70% 31/12/2024 54,652,333
44,000,000 Hypo Noe Gruppe 2.34% 16/09/2020 44,027,720
42,500,000 SG Issuer 2.82% 27/12/2019 42,500,000
35,000,000 Dekinvest Pod 0.00% 12/12/2019 35,000,000
8,150,000 Turkey Government Bond 7.10% 08/03/2023 29,310,905
1,000,000 OTP Bank 2.88% 15/07/2029 26,765,713
900,000 Infront ASA 5.75% 15/05/2023 23,721,112
800,000 Okea AS 7.87% 28/06/2023 19,370,628
18,000,000 Finep Barran* 3.75% 19/06/2020 18,180,000
700,000 Ferratum Cap Ger* 5.50% 25/05/2022 18,146,913
600,000 Vienna Insurance Group* 3.75% 13/04/2047 17,310,146
2,800,000 Dom Development* 3.54% 15/11/2021 16,855,089
500,000 SG Issuer* 3.75% 11/01/2021 13,791,198
2,000,000 Dom Development* 3.39% 15/12/2022 12,221,601
*Total value of acquisition/disposal is less than 1 per cent of the total value of purchases/sales for the
financial period; however the Central Bank UCITS Regulations require a minimum of 20 purchases and sales
to be disclosed.
Conseq Invest plc
54
Statement of Significant Portfolio Movements for the financial period ended 31 March 2020
New Europe Equity Fund
Largest Purchases
Nominal Description Value CZK
1,550,000 Moneta Money Bank AS 97,367,230
150,001 Komercni Bank AS 95,235,250
150,000 Erste Group Bank AG 90,914,678
85,000,000 CNB Bill 85,000,000
480,000 Alior Bank SA 73,867,457
25,700 Marinomed Biotech AG 61,365,882
300,000 Mol Hungarian Oil and Gas Plc 53,915,024
1,000,000 Central European Media Enterprises Ltd 53,079,100
130,000 Raiffeisen Bank International 52,610,629
80,000 CCC SA 44,708,364
80,000 Bank Pekao SA 32,548,848
59,000 Vienna Insurance Group AG 29,433,217
55,000 CES AS 28,413,599
450,000 Stock Spirits Group Plc 27,807,066
70,000 Nova Ljubljanska B-GDR 19,661,966
550,000 Magyar Telekom Telecommunication 18,629,689
50,000 Addiko Bank AG 18,438,158
80,000 Powszechny Zaklad Ubezpiecze 18,341,034
84,298 Med Life SA 16,245,676
374,000 Karo Investment AS 14,960,000
50,000 Kernel Holding SA 12,818,053
11,700 Fillamentum 10,062,000
Largest Sales
Nominal Description Value CZK
986,398 Avast PLC 134,906,890
1,370,000 Central European Media Enterprises Ltd 134,406,669
53,000 KRKA DD Novo mesto 96,046,728
85,000,000 CNB Bill 85,072,722
4,500 Philip Morris CR AS 56,341,020
90,000 KGHM Polska Miedz SA 45,142,238
85,000 Asseco Poland SA 33,702,225
160,000 Societatea National De Gaze 32,055,302
700,000 Energa SA 29,891,418
350,000 BRD-Group Societe General 27,590,923
12,000,000 OMV Petrom SA 27,126,455
120,000 Play Communication SA 21,446,621
3,000,000 SC Fondul Proprietatea SA 19,191,193
30,000 Raiffeisen Bank International 16,490,732
120,000 Eurocash SA 15,777,270
10,000 Nova Ljubljanska Banka DD 15,750,433
400,000 Orange Polska SA 14,759,482
100,000 Cyfrowy Polska SA 13,662,083
20,000 Bank Pekao SA 12,115,123
170,000 Agora SA 11,245,160
60,000 Alior Bank SA 10,791,243
Conseq Invest plc
55
Statement of Significant Portfolio Movements for the financial period ended 31 March 2020
Conservative Bond fund
Largest Purchases
%
Nominal Description Coupon Maturity Value CZK
5,458,000,000 CNB Bill 0.00% 31/07/2020 5,480,451,306
200,000,000 Czech Republic Government Bond 0.00% 10/02/2020 199,180,000
51,000,000 Skofin SRO* 1.50% 20/11/2020 50,125,149
50,000,000 AH Claim* 3.70% 31/12/2024 45,500,000
35,000,000 ZDR Investment* 0.00% 19/06/2020 34,132,455
30,000,000 Czech Republic Government Bond* 3.75% 12/09/2020 30,287,100
25,000,000 Dekinvest Pod* 0.00% 12/12/2020 24,229,000
20,000,000 SG Issuer* 2.02% 04/01/2021 20,000,000
18,000,000 BNP PARIBAS* 2.87% 08/10/2024 18,450,000
15,000,000 Moneta Money* 3.79% 30/01/2030 15,000,000
15,000,000 Hypo Noe Gruppe* 2.34% 16/09/2020 15,000,000
10,000,000 Material & Tech* 5.20% 31/12/2024 10,000,000
8,000,000 T-Centrum CZ* 6.72% 30/10/2024 8,000,000
300,000 Nomura International Fund* 1.75% 30/06/2022 7,693,910
200,000 Ceska Exp Banka* 0.18% 02/07/2021 5,127,108
Largest Sales
%
Nominal Description Coupon Maturity Value CZK
5,458,000,000 CNB Bill 0.00% 31/07/2020 5,483,520,889
250,000,000 Czech Republic Government Bond 1.50% 29/10/2019 250,000,000
200,000,000 Czech Republic Government Bond 0.00% 10/02/2020 200,000,000
48,000,000 Skofin SRO* 0.00% 20/12/2029 48,000,000
50,000,000 AH Claim* 3.70% 31/12/2024 45,543,611
30,000,000 MCI Capital SA* 5.86% 08/04/2021 30,774,247
20,000,000 SG Issuer* 2.82% 27/12/2019 20,000,000
15,000,000 MND* 4.74% 13/11/2022 15,081,290
13,000,000 Equa Bank AS* 4.40% 26/09/2027 13,233,856
12,000,000 Cetelem CR AS Bond* 2.52% 08/10/2019 12,000,000
7,000,000 Help Financial* 7.10% 29/06/2021 7,174,290
* Total value of acquisition/disposal is less than 1 per cent of the total value of purchases/sales for the
financial period; however the Central Bank UCITS Regulations require a minimum of 20 purchases and sales
to be disclosed; however due to trading volumes, the above discloses all purchases and sales during the
period.
Conseq Invest plc
56
Statement of Significant Portfolio Movements for the financial period ended 31 March 2020
New Europe Bond Fund
Largest Purchases
%
Nominal Description Coupon Maturity Value CZK
1,846,000,000 CNB Bill 0.00% 31/07/2020 1,850,019,583
55,000,000 Ukraine Government Bond 9.99% 22/05/2024 51,303,586
50,000,000 Ukraine Government Bond 9.79% 26/05/2027 46,245,310
1,000,000 Okea AS 8.75% 11/12/2024 23,003,457
900,000 Sazka Group AS 3.88% 15/02/2027 22,312,750
770,000 Gevorkyan SRO* 4.70% 15/03/2024 19,616,625
700,000 Bidco NR Two* 7.00% 11/09/2023 17,673,579
700,000 Mutares* 6.00% 14/02/2024 17,629,500
600,000 Bewi Group AB* 3.01% 22/11/2023 15,359,020
400,000 Azerion Holdings * 8.50% 17/03/2023 10,136,600
10,000,000 Material & Tech* 5.20% 31/12/2024 10,000,000
200,000 Saxa Gres SPA* 7.00% 10/07/2023 5,112,200
Largest Sales
%
Nominal Description Coupon Maturity Value CZK
1,846,000,000 CNB Bill 0.00% 31/07/2020 1,851,164,222
21,000,000 Turkey Government Bond 9.40% 08/07/2020 81,820,403
22,250,000 Turkey Government Bond 8.00% 12/03/2025 76,453,440
10,160,000 Poland Government Bond 4.00% 25/10/2023 69,054,190
17,750,000 Turkey Government Bond 9.50% 12/01/2022 65,438,337
50,000,000 Ukraine Government Bond 5.70% 20/01/2021 48,363,585
5,000,000 Poland Government Bond 3.25% 25/07/2025 33,388,753
9,000,000 Turkey Government Bond 7.10% 08/03/2023 32,367,870
250,000,000 Hungary Government Bond 6.00% 24/11/2023 24,470,623
4,000,000 Romania Government Bond 5.80% 26/07/2027 24,405,942
250,000,000 Hungary Government Bond* 3.00% 27/10/2027 21,861,739
3,000,000 Romania Government Bond* 4.75% 24/02/2025 17,380,417
475,000 IS Bankasi* 6.13% 25/04/2024 11,371,002
2,500,000 Ronesans Holdings* 18.16% 19/02/2020 9,520,940
* Total value of acquisition/disposal is less than 1 per cent of the total value of purchases/sales for the
financial period; however the Central Bank UCITS Regulations require a minimum of 20 purchases and sales
to be disclosed; however due to trading volumes, the above discloses all purchases and sales during the
period.
Conseq Invest plc
57
Appendix 1
Securities Financing Transaction Regulations (SFTR)
A Securities Financing Transaction (SFT) is defined as per Article 3(11) of the SFTR as:
· a repurchase transaction;
· securities or commodities lending and securities or commodities borrowing;
· a buy-sell back transaction or sell-buy back transaction; or
· a margin lending transaction.
During the financial period ended 31 March 2020 the Funds held the following types of SFTs:
· Buy-Sell Back Transactions.
As at 31 March 2020 only Conservative Bond Fund and New Europe Bond Fund held such SFTs.
Global Data:
Conservative Bond Fund
(CZK)
New Europe Bond Fund
(CZK)
Type of Asset
Absolute
Amount
Proportion
of AUM
(%) Absolute Amount
Proportion of
AUM (%)
Reverse Repo / Buy-Sell Back 100,066,111 6.15% 100,066,111 8.02%
The amount of securities on loan as a proportion of total lendable assets (excluding cash and cash
equivalents) as at 31 March 2020 was:
Conservative Bond Fund (CZK) 6.75%
New Europe Bond Fund (CZK) 9.09%
Concentration Data:
The collateral issuers across all Buy-Sell Back Transactions are as follows:
Conservative Bond Fund
(CZK)
New Europe Bond Fund
(CZK)
Collateral
Issuers
Volume of the collateral
securities
Collateral
Issuers
Volume of the collateral
securities
1. Czech National Bank
100 pieces
100,000,000 CZK
in nominal value
Czech National
Bank
100 pieces
100,000,000 CZK
in nominal value
The collateral issuers across all Buy-Sell Back Transactions are as follows:
Conservative Bond Fund
(CZK)
New Europe Bond Fund
(CZK)
Counterparty
Gross volume of
outstanding
trades Counterparty
Gross volume of outstanding
trades
1. Ceska Sporitelna, a.s. 100,066,111 Ceska Sporitelna, a.s. 100,066,111
Conseq Invest plc
58
Appendix 1 (continued)
Securities Financing Transaction Regulations (SFTR) (continued)
Aggregate Transaction Data:
Conservative Bond Fund (CZK)
Type of collateral Quality Currency
Maturity tenor
(collateral)
Maturity tenor
(SFTs)
Country of
counterparty
establishment (not
collateral)
Settlement and
clearing
Buy-Sell back Transaction
UniCredit Bank Czech Republic and
Slovakia, a.s.
Czech Central Bank T-Bill AA by S&P CZK 4 months 14 days Czech Republic Bilateral
The share of collateral that is reused is 0%.
New Europe Bond Fund (CZK)
Type of collateral Quality Currency
Maturity tenor
(collateral)
Maturity tenor
(SFTs)
Country of
counterparty
establishment (not
collateral)
Settlement and
clearing
Buy-Sell back Transaction
UniCredit Bank Czech Republic and
Slovakia, a.s.
Czech Central Bank T-Bill AA by S&P CZK 4 months 14 days Czech Republic Bilateral
The share of collateral that is reused is 0%.
Conseq Invest plc
59
Appendix 1 (continued)
Securities Financing Transaction Regulations (SFTR) (continued)
Safekeeping:
Conservative Bond Fund
(CZK)
New Europe Bond Fund
(CZK)
Custodian Collateral assets safe-kept Collateral assets safe-kept
Raiffeisenbank International AG (subcustody for BNP)
Czech National Bank T-Bill
(CZ0001005755) CZK 99,732,468
Czech National Bank T-Bill
(CZ0001005755) CZK 99,732,468
The proportion of collateral held in pooled accounts is 100%.
Return/Costs:
Bond Fund
CZK
New Europe Equity Fund
CZK
Conservative Bond Fund
(CZK)
New Europe Bond Fund
(CZK)
Absolute
Returns
% overall
returns
Absolute
Returns
% overall
returns
Absolute
Returns
% overall
returns
Absolute
Returns
%
overall
returns
Collective investment undertaking:
Buy-Sell back Transaction 2,079,623 100.00% 72,722 100.00% 4,287,316 100.00% 1,144,639 100.00%
Manager of the collective investment
undertaking:
Buy-Sell back Transaction CZK Nil 0.00% CZK Nil 0.00% CZK Nil 0.00% CZK Nil 0.00%
Third parties:
Buy-Sell back Transaction CZK Nil 0.00% CZK Nil 0.00% CZK Nil 0.00% CZK Nil 0.00%
Conseq Invest plc
60
Appendix 2
Reconciliation of Published Net Asset Values
As per the Prospectus, the financial instruments held by the Funds are valued at mid-market prices. However,
under FRS 102 the financial instruments are usually valued at bid prices, hence the adjustment in the
financial statements. Therefore, the published net asset value per share differs from the net asset value per
share per the financial statements.
As at 31 March 2020
Bond Fund
CZK
New Europe
Equity Fund
CZK
Conservative
Bond Fund
CZK
New Europe
Bond Fund
CZK
Class A
Net asset value per share per
financial statements at bid
market prices 206.6765 180.1741 131.7052 143.9304
Adjustment from bid prices to
mid market prices 4.1287 0.2981 1.3209 1.5111
Published net asset value per
share 210.8052 180.4722 133.0261 145.4415
Class B
Bond Fund
CZK
New Europe
Equity Fund
CZK
Conservative
Bond Fund
CZK
New Europe
Bond Fund
CZK
Net asset value per share per
financial statements at bid
market prices 218.8202 194.3034 - -
Adjustment from bid prices to
mid market prices 4.1287 0.2981 - -
Published net asset value per
share 222.9489 194.6015 - -
Class D
Bond Fund
CZK
New Europe
Equity Fund
CZK
Conservative
Bond Fund
CZK
New Europe
Bond Fund
CZK
Net asset value per share per
financial statements at bid
market prices 79.1802 21.4764 87.7516 58.5615
Adjustment from bid prices to
mid market prices 4.1287 0.2981 1.3209 1.5111
Published net asset value per
share 83.3089 21.7745 89.0725 60.0726
Class I
Bond Fund
CZK
New Europe
Equity Fund
CZK
Conservative
Bond Fund
CZK
New Europe
Bond Fund
CZK
Net asset value per share per
financial statements at bid
market prices - 6.9600 - -
Adjustment from bid prices to
mid market prices - 0.0109 - -
Published net asset value per
share - 6.9709 - -