EDMOND DE ROTHSCHILD COMMOSPHERE (EdR Commosphere)

ESSENTIËLE BELEGGERSINFORMATIE Dit document verschaft u essentiële beleggersinformatie aangaande dit fonds. Het is geen marketingmateriaal. De verstrekte informatie is bij wet voorgeschreven en is bedoeld om u meer inzicht te geven in de aard en de risico's van beleggingen in dit fonds. Wij raden u aan deze informatie te lezen opdat u met kennis van zaken kunt beslissen of u al dan niet in dit fonds wenst te beleggen.

EDMOND DE ROTHSCHILD COMMOSPHERE (EdR Commosphere)

Deelnemingsrecht: A - ISIN: FR0010689349

Gemeenschappelijk beleggingsfonds (GBF) beheerd door EDMOND DE ROTHSCHILD ASSET MANAGEMENT, onderdeel van de Groep Edmond de Rothschild DOELSTELLINGEN EN BELEGGINGSBELEID

Beheerdoelstelling: Het GBF streeft over een aanbevolen beleggingstermijn van meer dan 5 jaar naar een hoger rendement dan dat van de referentie-indicator, 60% MSCI World Energy (netto dividenden herbelegd) + 30% MSCI World Materials (netto dividenden herbelegd) + 10% FTSE Gold Mines Price Index.

Binnen de limiet van eenmaal het netto vermogen kan het GBF financiële contracten aangaan die worden verhandeld op internationale gereglementeerde, georganiseerde of OTC-markten. Daarnaast kan het GBF, met een maximumlimiet van 10%, beleggen in deelnemingsrechten of aandelen van ICBE’s. Het GBF, dat zich richt op Referentie-indicator: 60% MSCI World Energy (NR) + 30% MSCI World beleggingen zonder onderscheid betreffende geografische zone, zal effecten kunnen houden die niet in US dollar luiden en kan dus blootgesteld Materials (NR) + 10% FTSE Gold Mines, nettodividenden herbelegd zijn aan het valutarisico ten hoogte van eenmaal het netto vermogen. Beleggingsbeleid: Afhankelijk van de verwachtingen van de beheerder over de ontwikkeling Het GBF hanteert een actief beheer voor de selectie van de genoteerde van de wisselkoersschommelingen, en om de portefeuille af te dekken, kan effecten (stock-picking) uit een universum van effecten die verband houden het GBF termijncontracten op valuta’s of valutaswaps aangaan. met de grondstoffen en meer bepaald de exploitatie van de natuurlijke AMF-classificatie: Internationale Aandelen hulpbronnen, die minimaal 70% van het netto vermogen zullen vormen. Naargelang de verwachtingen van de beheerder over de ontwikkeling van Aanbevolen beleggingstermijn van meer dan 5 jaar de aandelenmarkten kan het GBF, rechtstreeks en/of ter aanvulling via Frequentie om deelnemingsrechten te kopen of te verkopen: Dagelijks, ICBE’s, worden blootgesteld aan schuld- en geldmarktinstrumenten die op met uitzondering van de Franse feestdagen en/of de sluitingsdagen van de de internationale markten worden verhandeld, voor maximaal 1/3 van het markten in Frankrijk (officiële kalender van EURONEXT PARIS S.A.), de VS nettovermogen. Deze effecten, voornamelijk met een ‘investment grade’ (officiële kalender van de NYSE) en Canada (officiële kalender van de rating (dit wil zeggen dat het risico dat de emittent zijn Toronto Stock Exchange), voor orders die de transferagent elke dag voor betalingsverplichtingen niet nakomt voor deze effecten het minst 12.30 u ontvangt, tegen de intrinsieke waarde van die dag. uitgesproken is) maar zonder duration beperking, worden geselecteerd op basis van hun verwachte rendement. In ondergeschikte mate kan het GBF Bestemming van het resultaat: Kapitalisatie daarnaast beleggen in niet-genoteerde of hoogrentende effecten. Het GBF belegt minimaal 70% en maximaal 110% van het vermogen in internationale aandelen, rechtstreeks en/of ter aanvulling via ICBE’s en/of via het gebruik van financiële contracten.

RISICO - EN OPBRENGSTPROFIEL Lager risico,

Hoger risico,

potentieel lager rendement

1

2

potentieel hoger rendement

3

4

5

6

7

Dit ratingsysteem is gebaseerd op de gemiddelde schommelingen van de intrinsieke waarde gedurende de afgelopen vijf jaar, dus op de opwaartse en neerwaartse variatie-amplitude van de portefeuille. Als de intrinsieke waarde minder dan 5 jaar omvat, is de classificatie het resultaat van andere reglementaire berekeningsmethodes. Historische gegevens zoals gebruikt voor de berekening van de synthetische indicator vormen mogelijk geen betrouwbare indicatie voor het toekomstige risicoprofiel. De huidige categorie is noch een garantie, noch een doel. Categorie 1 betekent niet dat het om een risicoloze belegging gaat.

Belangrijke risico's waarmee geen rekening wordt gehouden in deze indicator: Kredietrisico: risico dat een emittent van obligaties of geldmarktinstrumenten zijn verplichtingen niet nakomt of dat zijn kredietrating neerwaarts wordt herzien. Liquiditeitsrisico: risico van een lage liquiditeit op de onderliggende markten, die hen gevoelig maakt voor aanzienlijke kopen/verkopen. Afgeleide blootstelling: het gebruik van derivaten kan leiden tot een sterkere daling van het nettovermogen dan dat van de markten waarin is belegd. Risico verbonden aan tegenpartijen: dit weerspiegelt het risico dat een tussenpersoon in gebreke blijft en zijn verplichtingen ten opzichte van uw portefeuille niet kan nakomen. Dergelijke risico's kunnen de intrinsieke waarde doen dalen.

Dit fonds is ingedeeld in categorie 7, vanwege zijn blootstelling tot 110% van zijn vermogen aan de aandelenmarkten, die een hoog risico-opbrengstprofiel vertonen.

KOSTEN

De betaalde kosten en vergoedingen worden aangewend om de beheerkosten van de ICBE, met inbegrip van de marketing- en distributiekosten van de deelnemingsrechten te dekken, deze kosten kunnen de potentiële groei van de belegging verminderen. Eenmalige kosten die voor of na uw belegging worden aangerekend Instapvergoeding Uitstapvergoeding

4,50% 0,00%

Kosten die in de loop van één jaar aan het fonds worden onttrokken* Lopende kosten Deelnemingsrecht A

2,65 %

Kosten die onder bepaalde specifieke voorwaarden aan het fonds worden onttrokken Prestatievergoeding Methode: 15 van de meerprestatie tegenover de 60% MSCI World Energy (NR) + 30% MSCI World Materials (NR) + 10% FTSE Gold Mines

Dit is het maximale bedrag dat van uw geld zou kunnen worden afgehouden voordat het belegd wordt of voordat de opbrengsten van uw belegging worden uitbetaald. De belegger kan de feitelijke instap- en uitstapvergoedingen van zijn financiële adviseur of distributeur vernemen. In bepaalde gevallen bestaat de mogelijkheid dat de belegger minder betaalt. *Het vermelde cijfer is gebaseerd op de kosten berekend einde December 2013 Dit cijfer kan van een boekjaar tot een ander variëren. Het sluit de prestatievergoedingen en de transactiekosten uit, behalve de instap- en uitstapvergoedingen die de ICBE betaalt bij het kopen of verkopen van deelnemingsrechten en/of aandelen van een andere ICB.

0,00 %

Nadere informatie over de kosten is te vinden in de rubriek ‘Kosten en vergoedingen' in het prospectus, met inbegrip van de informatie over de prestatievergoedingen en hun berekeningswijze, en is ook beschikbaar op de website www.edram.fr. RESULTATEN UIT HET VERLEDEN

Jaarlijks rendement uit het verleden Edmond de Rothschild Commosphere Deelnemingsrecht A in US-Dollars (in %)

50 40 30 20 10 0 -10 -20 -30 -40 -50

41,9

Oprichting van het deelnemingsrecht: December 2008 In het verleden behaalde resultaten vormen geen aanwijzing voor toekomstige resultaten. Ze zijn niet constant in de tijd. De vermelde resultaten houden geen rekening met kosten en vergoedingen voor de uitgifte en terugkoop van deelnemingsrechten, maar omvatten wel de makelaarskosten en de eventuele geïnde prestatievergoedingen.

37,6 20,8

16,7 4,1

3,0

-7,5

-5,2

-4,7

-22,6

2009

2010

Deelnemingsrecht

2011

2012

De resultaten worden berekend met herbelegde nettocoupons in US-Dollars. De resultaten van de referentie-indicator houden rekening met de gedeeltelijk uitgekeerde inkomsten.

2013

Referentie-indicator

PRAKTISCHE INFORMATIE

Bewaarnemer: Belastingen:

De Compagnie Financière Edmond de Rothschild Banque De Franse belastingwetgeving kan een invloed hebben op de persoonlijke belastingsituatie van de belegger.

Vertegenwoordiger en betaalkantoor in Zwitserland:

Banque Privée Edmond de Rothschild S.A., Genève - 18, Rue de Hesse, 1204 Genève / CP 5478 –1211 Genève 11 – Zwitserland. Het prospectus, de essentiële beleggersinformatie, het reglement, alsook de jaar- en halfjaarverslagen, zijn kosteloos beschikbaar bij de vertegenwoordiger in Zwitserland op het adres hierboven.

Het prospectus van de ICBE en de laatste jaar- en halfjaarverslagen (in het Frans en het Engels) worden gratis verstuurd op eenvoudige schriftelijke aanvraag aan het adres hieronder. De prijs van de deelnemingsrechten en de informatie met betrekking tot de andere categorieën van deelnemingsrechten zijn beschikbaar op de website www.edram.fr EDMOND DE ROTHSCHILD ASSET MANAGEMENT 47, rue du Faubourg Saint-Honoré - 75401 PARIS CEDEX 08 - Frankrijk Duitsland/Oostenrijk 00 49 6 92 44 33 02 00 [email protected]

Latijns-Amerika 00 56 2 598 99 00 [email protected]

Telefoon: 00 33 1 40 17 25 25 E-mail: [email protected] Azië 00 852 39 26 52 88 [email protected]

Benelux 00 32 2 274 05 50 [email protected]

Spanje 00 34 9 17 89 32 20 [email protected]

EDMOND DE ROTHSCHILD ASSET MANAGEMENT kan enkel aansprakelijk worden gesteld op grond van een in dit document opgenomen verklaring die misleidend, incorrect of niet in overeenstemming met de desbetreffende delen van het prospectus van de ICBE is. Aan dit fonds is in Frankrijk vergunning verleend en het staat onder toezicht van de Autorité des Marchés Financiers (AMF). EDMOND DE ROTHSCHILD ASSET MANAGEMENT (332 652 536 R.C.S. PARIS.) is in Frankrijk erkend onder nummer GP-04000015 en wordt gereglementeerd door de AMF. Deze essentiële beleggersinformatie is correct op datum van 03.02.2014. Het fonds en zijn deelnemingsrechten zijn niet geregistreerd in de Verenigde Staten krachtens de Securities Act of 1933 of een andere reglementering van de Verenigde Staten. Zij mogen niet worden voorgesteld aan of verkocht ten gunste of voor rekening van een "U.S. Person" zoals gedefinieerd door "Regulation S".



Deelnemingsrecht: B - ISIN: FR0010701359





Hoger risico,


1

2


3

4

5

6

7




KOSTEN


4,50% 0,00%

Kosten die in de loop van één jaar aan het fonds worden onttrokken* Lopende kosten Deelnemingsrecht B

2,65 %



0,00 %


Jaarlijks rendement uit het verleden Edmond de Rothschild Commosphere Deelnemingsrecht B in Euro (in %)

40


38,1 33,4 28,9

30

24,8

20 10

1,4

0 -10

-4,4

-20

-0,4 -6,7

-8,8

-20,0

-30

De resultaten worden berekend met herbelegde nettocoupons in euro. De resultaten van de referentie-indicator houden rekening met de gedeeltelijk uitgekeerde inkomsten.

-40 2009

2010

Deelnemingsrecht

2011

2012

2013















Deelnemingsrecht: E - ISIN: FR0010701383





Hoger risico,


1

2


3

4

5

6

7




KOSTEN


4,50% 0,00%

Kosten die in de loop van één jaar aan het fonds worden onttrokken* Lopende kosten Deelnemingsrecht E

3,05 %



0,00 %


Jaarlijks rendement uit het verleden Edmond de Rothschild Commosphere Deelnemingsrecht E in Euro (in %)

40

37,6


33,4 28,2

30

24,8

20 10

1,4

0 -10

-4,4

-0,4 -7,1

-9,2

-20 -20,3

-30


-40 2009

2010

Deelnemingsrecht

2011

2012

2013















Deelnemingsrecht: I - ISIN: FR0010701417





Hoger risico,


1

2


3

4

5

6

7




KOSTEN


4,50% 0,00%

Kosten die in de loop van één jaar aan het fonds worden onttrokken* Lopende kosten Deelnemingsrecht I

1,65 %



0,00 %


Jaarlijks rendement uit het verleden Edmond de Rothschild Commosphere Deelnemingsrecht I in Euro (in %)

40


39,1 33,4

30,1

30

24,8

20 10

1,4

0 -10

-4,4

-20

-0,4 -5,8

-7,9

-19,2


-30 -40 2009

2010

Deelnemingsrecht

2011

2012

2013















Deelnemingsrecht: R - ISIN: FR0010849695





Hoger risico,


1

2


3

4

5

6

7




KOSTEN


4,50% 0,00%

Kosten die in de loop van één jaar aan het fonds worden onttrokken* Lopende kosten Deelnemingsrecht R

1,80 %

Kosten die onder bepaalde specifieke voorwaarden aan het fonds worden onttrokken Prestatievergoeding

Geen



Jaarlijks rendement uit het verleden Edmond de Rothschild Commosphere Deelnemingsrecht R in Euro (in %)

Oprichting van het deelnemingsrecht: Februari 2010 In het verleden behaalde resultaten vormen geen aanwijzing voor toekomstige resultaten. Ze zijn niet constant in de tijd. De vermelde resultaten houden geen rekening met kosten en vergoedingen voor de uitgifte en terugkoop van deelnemingsrechten, maar omvatten wel de makelaarskosten en de eventuele geïnde prestatievergoedingen.

20 15 10 5

1,4

0 -0,4

-5

-4,4

-10

-5,9

-7,9


-15 -20

-19,3

2009

2010

Deelnemingsrecht

2011

2012

2013













EDMOND DE ROTHSCHILD COMMOSPHERE

UCITS compliant with European standards

PROSPECTUS I. GENERAL CHARACTERISTICS Name: EDMOND DE ROTHSCHILD COMMOSPHERE Legal form and Member State in which the UCITS was established: French Mutual Fund Date created and expected term: This UCITS was approved by the AUTORITE DES MARCHES FINANCIERS (French Financial Markets Authority) on 05 December 2008. The Fund was created on 31 December 2008 for a term of 99 years. Summary of the management offer: The Mutual Fund has 5 unit classes. The Fund does not have any sub-funds. Type of Units

Currency

Minimum initial subscription*

Target investors

Accumulation

US dollar

1 Unit

All subscribers

Accumulation

Euro

1 Unit

All subscribers

ISIN Code

Allocation of income

A units

FR0010689349

B units

FR0010701359

E units

FR0010701383

Accumulation

Euro

1 Unit

All investors specifically intended to be marketed by Distributors selected for this purpose by the Management Company

I units

FR0010701417

Accumulation

Euro

500,000 Euros.

Legal entities

R units

FR0010849695

Accumulation

Euro

500,000 Euros.

Legal entities

* The minimum initial subscription amount does not apply to the subscription that could be made by the Management Company, the Depositary or entities from the same group.

Address from where the latest annual and interim report and statements may be obtained: To obtain the latest annual report and interim statement, unitholders can simply write to the Management Company EDMOND DE ROTHSCHILD ASSET MANAGEMENT, 47 rue du Faubourg Saint Honoré – -75008 PARIS. Website: www.edram.fr.

II. PROVIDERS Management Company: EDMOND DE ROTHSCHILD ASSET MANAGEMENT A public limited company (Société Anonyme) with a Supervisory Board, approved as an asset management company by the AMF on 15 April 2004 under number GP 04000015. Registered Office: 47 rue du Faubourg Saint-Honoré - 75008 Paris Custodian: LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE 1

Prospectus - 03.02.2014


A limited company (Société Anonyme) with a Board of Directors and a Supervisory Board, approved by the Banque de France - CECEI (French Credit Institutions and Investment Firms Committee) as a credit institution on 28 September 1970. Registered office: 47 rue du Faubourg Saint-Honoré – 75008 Paris LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE is responsible for the custody of the Mutual Fund’s units via the sub-custodian, and for ensuring that the decisions taken by the Management Company are lawful. Delegated centraliser: As delegated, LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE is responsible for the functions relating to liability accounting: on the one hand, centralising subscription and redemption orders; on the other, handling account administration for the Fund’s issues. Institution delegated with the task of maintaining the issuing account: LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE A limited company (Société Anonyme) with a Board of Directors and a Supervisory Board, approved by the Banque de France - CECEI (French Credit Institutions and Investment Firms Committee) as a credit institution on 28 September 1970. Registered office: 47 rue du Faubourg Saint-Honoré – 75008 Paris Sub-custodian: CACEIS BANK FRANCE. Société Anonyme (Public Limited Company) Credit institution approved by CECEI (French Credit Institutions and Investment Firms Committee) Registered Office: 1–3, place Valhubert – 75013 Paris, France Postal address: 1–3, place Valhubert – 75206 Paris Cedex 13, France Acting on behalf of the Depositary, the Sub-custodian is responsible for the safekeeping of the Fund’s units, for their liquidation, and for the delivery-versus-payment (DVP) of orders sent and received by the Depositary. It also provides financial administration for the Fund’s units (such as securities transactions and the collection of income) and the safekeeping of pure registered units. Independent Auditor: KPMG Audit Registered Office: 1 Cours Valmy 92923 Paris La Défense Cedex Authorised signatory: Gérard Gaultry. Promoter: EDMOND DE ROTHSCHILD ASSET MANAGEMENT Société Anonyme (Public Limited Company) approved by the AMF as an asset management company on 15 April 2004, under number GP 04000015. Registered Office: 47 rue du Faubourg Saint-Honoré - 75008 Paris Telephone: 00 33 1 40 17 25 25 e-mail: [email protected] Fax: 00 33 1 40 17 24 42 Site internet : www.edram.fr Edmond de Rothschild Asset Management oversees promotion of the Fund and may delegate the actual marketing activities to a third party of its choice. The Management Company is not aware of the identity of all Fund unit promoters, which are permitted to act without any official agreement. Regardless of which company is ultimately appointed promoter, Edmond de Rothschild Asset Management’s sales personnel are available to provide information or answer any questions that unitholders might have about the Fund. These personnel may be contacted at the company’s registered offices or through its Marketing department. Delegation of the Fund’s administration: EDMOND DE ROTHSCHILD INVESTORS ASSISTANCE Economic interest grouping (Groupement d’Intérêt Economique - GIE) Registered office: 47 rue du Faubourg Saint-Honoré – 75008 Paris Edmond de Rothschild Asset Management is a member of EDMOND DE ROTHSCHILD INVESTORS ASSISTANCE GIE, to which it delegates the UCITS’ administrative management in compliance with the

2



terms defined in the partnership’s charter and articles of association. The consortium aims to be at the exclusive service of those of its members engaged in portfolio management on behalf of third parties as a principal or ancillary duty. It aims to pool technical and administrative support resources in order to support the development of its members’ activities internationally and, more generally, to meet their common needs for the deployment of their domestic activities. Delegation of the Fund’s accounting: CACEIS FUND ADMINISTRATION A limited company (société anonyme) with a share capital of €5,800,000. Registered Office: 1-3 place Valhubert 75013 Paris Postal address: 1-3 place Valhubert 75206 Paris Cedex 13 The Management Company, EDMOND DE ROTHSCHILD ASSET MANAGEMENT, delegates to CACEIS FUND ADMINISTRATION the accounting management of the UCITS. CACEIS FUND ADMINISTRATION’s specific objective is the valuation and the accounting and administrative management of financial portfolios. As such, it focuses on processing financial information for portfolios, calculation of net asset values, bookkeeping for the portfolios, production of accounting and financial statements and information and production of various regulatory and special reports. Institutions authorised to receive subscription and redemption orders in France: LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE 47 rue du Faubourg Saint-Honoré – 75401 Paris Cedex 08 CACEIS BANK LUXEMBOURG 5 Allée Scheffer L-2520 Luxembourg

III. OPERATING AND MANAGEMENT PROCEDURES 3.1 GENERAL CHARACTERISTICS: Unit characteristics: ISIN Code: A units: FR0010689349 B units: FR0010701359 E units: FR0010701383 I units: FR0010701417 R units: FR0010849695 Rights: The Fund is a co-ownership of financial instruments and deposits whose units are issued and redeemed at the request of unitholders at their net asset value, plus or minus charges and fees, as appropriate. Unitholders have co-ownership rights to the Fund’s assets in proportion to the number of units they hold. Entry on a register: The units will be listed on EUROCLEAR FRANCE and will be treated as registered securities prior to listing, and as unitholder securities once listed. The rights of holders of registered units will be represented by an entry in a register held by the Custodian and the rights of holders of bearer units will be represented by an entry in the account held by the Central Custodian (Euroclear France) by way of sub-affiliation in the name of the Sub-custodian. Voting rights: No voting rights are attached to the Fund’s units. Decisions concerning the Fund are taken by the Management Company. Type of units: Bearer A, B, E, I and R units are expressed in whole numbers and in thousandths of units. Year-end:

3



The last Stock Exchange trading day of December. Taxation: Since mutual funds have a co-ownership structure, they are automatically exempt from corporation tax and are deemed to be transparent. Any gains or losses realised when redeeming units of the Fund (or when the Fund is dissolved) therefore constitute capital gains or losses and are taxed as capital gains or losses on transferable securities applicable to each unitholder depending on their individual situation (country of residence, natural person or legal entity, place of subscription, etc.). Such capital gains may be subject to withholding tax if the unitholder is not a resident of France for tax purposes. Furthermore, unrealised capital gains may be subject to taxation in certain cases. Lastly, unitholders are advised that the Fund only contains accumulation units. Prior to subscribing to the Fund, unitholders unsure of their tax situation are advised to contact a tax adviser for further information about the specific tax treatment that will be applicable to them. Specific tax regime: None 3.2 SPECIAL PROVISIONS: Classification: International equities Investment objective: The Fund’s investment objective is to outperform, over a recommended investment period of more than 5 years, the benchmark index composed of the MSCI World Energy Index (60%, net dividends reinvested), the MSCI World Materials Index (30%, net dividends reinvested), and the FTSE Gold Mines Price Index (10%, net dividends not reinvested), through the careful selection of stocks linked to energy (oil, coal, alternative energies, etc.), primary materials (mines and metals, chemicals, etc.), gold and commodities, and more generally stocks linked to the exploration, extraction, transformation and/or marketing of natural resources. Benchmark index: The benchmark index is composed of the MSCI World Energy Index (60%, net dividends reinvested), the MSCI World Materials Index (30%, net dividends reinvested), and the FTSE Gold Mines Price Index (10%, net dividends not reinvested). The Morgan Stanley Capital International World Materials Index, expressed with net dividends reinvested, measures the performance of global equity markets belonging to the commodities sector. The Morgan Stanley Capital International World Energy Index, expressed with net dividends reinvested, measures the performance of international equity markets belonging to the energy sector. The FTSE Gold Mines Index, expressed with net dividends not reinvested, consists of international gold securities and measures the performance of companies whose main activity is linked to operating gold mines. The indexes are expressed in US dollars for units denominated in US dollars, and in Euros for units denominated in Euros. Investment strategy: The Fund implements an active stock-picking management strategy, selecting stocks listed on commodities markets, and more generally those involving the exploitation of natural resources, which will represent a minimum of 70% of the net assets. These equities will be selected in accordance with the following strategy: The selection of the investment scope is based on the use of fundamental filters that allow us to identify securities that will be considered eligible and which will be subject to further analyses. The Fund invests in stocks without geographical restriction. The Fund may invest up to 100% of its net assets in emerging markets. The Fund will invest in securities of companies whose stock market capitalisation will be equivalent to at least USD 100 million at the time of purchase. External analyses are used to assist Managers in conducting their own research on the securities included in the investment scope. The chosen securities are then subject to fundamental and then qualitative analysis. The manager will

4



select securities with the best performance potential. Based on the manager's anticipations of changes on the equities markets, the Fund may invest directly and/or secondarily through UCITS funds in debt securities and money market instruments traded on international markets, subject to a limit of 30% of net assets. These securities, which are rated at least “investment grade” (i.e. those for which the issuer default risk is lowest), but with no maximum duration, are selected according to their expected yield. On an ancillary basis, the Fund may also invest in unrated or "high-yield" rated securities. Between 70% and 110% of the Fund’s assets will be exposed to international equities, directly and/or on an ancillary basis via UCITS, and/or via the use of financial contracts. Subject to a limit of 100% of the net assets, the Fund may invest in financial contracts traded on international regulated, organised or over-the-counter markets. As its objective is to invest in securities without geographical restriction, the Fund may hold securities denominated in currencies other than the US dollar, and therefore up to 100% of its net assets may be exposed to currency risk. Depending on the Manager’s expectations regarding downward currency movements, and in order to hedge the currency risk, the Fund may use forward currency contracts or currency swaps. . Instruments used: o Equities: Between 70% and 110% of the portfolio is invested in and/or exposed to equities from the commodities sector, with no limitations as regards geographical area. It will be invested in securities of companies whose stock market capitalisation will be equivalent to at least USD 100 million at the time of purchase. The selected securities may or may not have voting rights. o Debt securities and money market instruments: Up to 30% of the net assets of the Fund may be invested in and/or exposed to debt securities and money market instruments of public or equivalent issuers or private issuers, at fixed and/or floating rates, without restriction as to geographical area or maturity. These instruments will be issued in the “investment grade” category (i.e. those for which the issuer default risk is lowest) as defined by independent rating agencies. On an ancillary basis, the Fund may also invest in unrated or "high-yield" rated securities. For cash management purposes, the Fund’s assets may comprise debt securities or bonds. Such instruments, with a residual duration of generally less than three months and without restriction in terms of allocation between sovereign and corporate debt, shall be issued by sovereign states, assimilated institutions, or even by entities with a short-term rating of A2 or higher as awarded by Standard & Poor’s, or any other equivalent rating awarded by another independent agency. It may also invest in Exchange Traded Commodities (ETC). o Shares or units in UCITS or investment funds: The FCP may hold up to 10% of its assets in units or shares in French or European coordinated UCITS, regardless of their classification, including listed index UCITS (ETF). Index listed UCITS to increase exposure to equity markets or diversify exposure to other asset classes (for example: funds invested in securities of companies operating in the commodity or real estate sectors); Coordinated French or European UCITS, of any classification, for exposure to other asset classes by taking advantage of the expertise of specialised management teams. Within this same 10% limit, the Fund may also invest in the equities or units of uncoordinated UCITS which meet the criteria for statutory eligibility regulations. This 10% limit also includes positions in Exchange Traded Commodities (ETC). These UCITS and investment funds may be managed by companies in the Edmond de Rothschild Group.

5



o Derivatives: Subject to a limit of 100% of the assets, the Fund may invest in financial contracts traded on regulated, organised or over-the-counter international markets in order to conclude: equity option contracts to reduce equity volatility and to increase the Fund’s exposure; futures contracts in order to manage exposure to equities, and financial contracts on commodity futures indices; forward currency contracts or currency swaps in order to hedge exposure to specific currencies in the case of equities outside the US dollar zone. The use of financial contracts will not result in an overall increase of the Fund’s exposure to equity risk in excess of 110%. In order to limit the total counterparty risk of instruments traded over-the-counter, the management company may receive cash guarantees that will be deposited with the custodian and will not be reinvested. o Securities with embedded derivatives: The UCITS may invest in financial instruments containing embedded derivatives, in order to expose it to international equity or interest rate markets. In particular, the UCITS may buy EMTN (Euro Medium Term Note) units or indexed bonds, warrants or certificates. The use of instruments with embedded derivatives will not result in an overall increase of the Fund’s exposure to equity risk in excess of 100%. o Deposits: None. o Cash borrowings: The Fund is not intended to be a cash borrower. However, a debtor position may exist at certain points due to transactions related to Fund flows (ongoing investments and divestments, subscription/redemption transactions, etc.) subject to a limit of 10% of the net assets. o Temporary purchases and sales of securities: In the interest of effective portfolio management and without diverting from its investment objectives, the Fund may enter into repurchase agreements in accordance with article R214-18 of the Code Monétaire et Financier covering eligible financial securities or money market instruments, subject to a limit of 10% of its net assets. The guarantees received under these repurchase agreements will be subject to a discount depending on the type of securities. The guarantees may be bonds, money-market instruments, equities, etc. Further information on the fees applicable to temporary purchases and sales of securities is provided in the ‘Charges and fees’ section. Risk profile: Your money shall be invested primarily in financial instruments selected by the Management Company. These instruments will be subject to market trends and fluctuations. The risk factors described below are not exhaustive. It is the responsibility of each investor to analyse the risk associated with such an investment and to form their own opinion independently of the Edmond de Rothschild Group by obtaining as much specialist advice on such matters as is necessary in order to ensure this investment is appropriate for their financial and legal position and investment horizon. Capital risk: The UCITS does not guarantee or protect the capital invested, so investors may not recover the full amount of their initial capital invested even if they retain the units for the recommended investment period. Discretionary management risk: The discretionary management style is based on anticipations of trends on the different markets (equities, bonds, money market, commodities, currency). However, the UCITS may not be invested in the best-performing markets at all times. The Fund’s performance may therefore be lower than the investment objective, and a drop in its net asset value may lead to negative performance. Credit risk: 6



The main risk is that of default by the issuer, involving either the non-payment of interest and/or the non-repayment of capital. Credit risk is also linked to the downgrading of an issuer. Unitholders are reminded that the Fund’s net asset value is likely to drop if a total loss is recorded on a transaction following default by a counterparty. The inclusion of private corporate debt in the portfolio, whether directly or through UCITS, exposes the Mutual Fund to the effects of changes in credit quality. Credit risk linked to investment in speculative securities: The Mutual Fund may invest in issues from countries or companies rated as non ’investment grade’ at purchase (rated below BBB- by Standards & Poor’s or any other equivalent rating by another independent agency) or considered equivalent by the Management Company. These issues are so-called speculative securities for which the risk of the issuer defaulting is higher. This UCITS must therefore be considered as partly speculative, and is particularly intended for investors who are conscious of the risks inherent in investing in such securities. Accordingly, the use of ’High Yield’ securities (speculative securities for which the risk of the issuer defaulting is greater) may entail the risk of a greater decline in net asset value. Interest rate risk: The exposure to interest-rate products (debt securities and money market instruments) makes the Mutual Fund sensitive to the fluctuations in interest rates. Interest rate risk might result in a fall in the value of the securities and therefore of Fund’s net asset value in the event of a change in the yield curve. Risks associated with investing in emerging markets: The Mutual Fund may be exposed to emerging markets. In addition to the risks associated with each issuing company, these markets may be exposed to external risks. Investors are also reminded that operating conditions and supervision on these markets may differ from the standards prevailing on major international equities markets. As a result, holding these securities may increase the portfolio’s risk level. A drop in the market may thus be more marked and rapid than in developed countries, and the net asset value may drop further and more quickly and finally, companies held in the portfolio may have states as shareholders. Currency risk: The capital may be exposed to currency risk when the securities or investments it is composed of are denominated in a currency other than that of the Fund. Currency risk corresponds to the risk of a drop in the exchange rate for the listing currency of financial instruments in the portfolio against the benchmark currency of the UCITS, the US dollar, which may result in a drop in the net asset value. Equity risk: The value of a share may vary as a result of factors related to the issuing entity but also as a result of external, political or economic factors. Fluctuations in the equity and convertible bond markets, whose performance is in part correlated with that of the underlying equities, may lead to substantial variations in net assets which could have a negative impact on the performance of the Fund’s net asset value. Risks associated with small and mid caps: Securities of small and mid-cap companies may be significantly less liquid and more volatile than those of large caps. As a result, the net asset value can fluctuate rapidly and significantly. Risks associated with financial contract exposure and counterparty risk: The use of financial contracts could incur the risk of a sharper, more rapid fall in net asset value than in markets in which the Fund invests. Counterparty risk results from the Fund’s use of financial contracts traded on over-the-counter markets and/or temporary purchases and sales of securities. Such transactions potentially expose the Mutual Fund to a risk of default by one of its counterparties and, as applicable, to a decline in its net asset value. Sector risk: The Fund carries a sector risk due to the fact that it invests in securities in one activity sector: the energy, commodities and natural resources sector. Should this market fall, there will also be a fall in the net asset value. Risk linked to derivative products: The Fund is exposed to risks associated with derivative products directly or through the UCIs or UCITS in 7



which it invests. The risks inherent to using futures, options and swaps contracts include, but are not limited to, the following: l upward and downward movements in the price of options, warrants and swap and futures contracts, as a result of changes in the price of the underlying assets; difference in variations between the price of derivative instruments and their underlying asset value; the occasional reduction in liquidity of these instruments on the secondary market. The use of over-the-counter derivatives contracts exposes the UCITS to a potential counterparty risk. If a derivative counterparty defaults, the UCITS may run the risk of financial loss. Therefore, the use of derivative products may result in specific risks for the UCITS to which it would not have been exposed if such strategies had not been adopted. Risk linked to the currency of units denominated in currencies other than that of the Fund: Unitholders investing in currencies other than the Fund’s reference currency (US Dollar) are exposed to currency risk. The value of the UCITS’ assets may fall if exchange rates vary, which may cause the Net Asset Value of the Fund to fall. Guarantee or capital protection: None Eligible subscribers and typical investor profile: A and B units are intended for all subscribers wishing to invest in US dollars and in Euros, respectively. E units, denominated in Euros, are specifically intended to be marketed by distributors selected for this purpose by the Management Company. I and R units, denominated in Euros, are intended for legal entities. The Fund is intended more specifically for investors wishing to maximise their savings in the natural resources sector. Subscribers living in the United States territory are not authorised to invest in this UCITS. The units of this UCITS are not and will not be registered in the United States under the US Securities Act of 1933 as amended (‘Securities Act 1933’) or under any other law of the United States. These units may not be offered, sold or transferred to the United States (including its territories and possessions) or benefit, directly or indirectly, any US Person (as defined by Regulation S of the Securities Act of 1933). The appropriate amount to invest in this Fund depends on your personal situation. To determine their level of investment, investors are encouraged to seek professional advice in order to diversify their investments and determine the proportion of their financial portfolio or assets to be invested in this Fund relative more specifically to the recommended investment period and exposure to the aforementioned risks and their personal assets, their requirements and their own objectives. In all cases, unitholders must diversify their portfolio sufficiently to avoid being exposed solely to the risks of this Fund. Minimum recommended investment period: more than 5 years. Procedures for determining and allocating income: Distributable income

A, B, E, I and R units

Allocation of net income

Accumulation

Allocation of net realised gains or losses

Accumulation

Distribution frequency: Accumulation units: N/A Unit characteristics: The Fund has 5 unit classes: A, B, E, I and R units

8



The A unit is denominated in US Dollars and expressed in units or thousandths of a unit. The B unit is denominated in Euros and expressed in units or thousandths of a unit. The E unit is denominated in Euro and expressed in units or thousandths of a unit. The I unit is denominated in Euro and expressed in units or thousandths of a unit. The R unit is denominated in Euro and expressed in units or thousandths of a unit. Subscription and redemption procedures: Date and frequency of the net asset value calculation: Daily, with the exception of French public holidays and/or days on which the French markets (according to the official EURONEXT PARIS S.A. calendar) and the American (according to the NYSE official calendar) and the Canadian markets (according to the Toronto Stock Exchange official calendar) are closed. Initial NAV: A units: 100 USD B units: 100 € E units: 100 € I units: 100 € R units: 100 € Minimum initial subscription: A units: 1 unit. B units: 1 unit. E units: 1 unit. I units: 500,000 €. R units: 500,000 €. Minimum subsequent subscription amount: A units: one-thousandth of a unit. B units: one-thousandth of a unit. E units: one-thousandth of a unit. I units: one-thousandth of a unit. R units: one-thousandth of a unit. Subscription and redemption procedures: Requests for subscriptions and redemptions are centralised every day before 12.30pm based on the net asset value of the day and calculated the next trading day. A, B, E, I and R units are executed in amounts, units or thousandths of units. For tax purposes, conversions from one unit class to another are treated as a redemption followed by a new subscription. Consequently, the tax system applicable to each subscriber depends on the taxation provisions applicable to the subscriber’s individual situation and/or the fund’s investment jurisdiction. In case of uncertainty, subscribers should contact their advisor to obtain information about the tax regime applicable to them. The unitholders’ attention is drawn to the fact that orders sent to institutions responsible for receiving subscription and redemption orders must take into account the deadline for centralising orders that is applied to the Centraliser, La Compagnie FINANCIÈRE Edmond de Rothschild Banque. Consequently, the other institutions named can apply their own deadline, earlier than that above, in order to take into account transmission times to LA Compagnie FINANCIÈRE Edmond de Rothschild Banque. Place and method of publication of net asset value: EDMOND DE ROTHSCHILD ASSET MANAGEMENT 47 rue du Faubourg Saint-Honoré – 75401 PARIS CEDEX 08 Charges and fees: Subscription and redemption fees: Subscription and redemption fees increase the subscription price paid by the investor, or reduce the redemption price. The fees charged by the Fund serve to offset the charges it incurs in investing and divesting investors’ monies. Fees which are not paid to the Fund are paid to the Management Company, the promoter, etc.

9



Fees payable by the investor on subscriptions and redemptions

Basis

Rate Scale A, B, E, I and R units A units: 4.5 % maximum B units: 4.5 % maximum

Subscription fee not paid to the Fund

Net Asset Value x Number of units

E units: 4.5 % maximum I units: 4.5 % maximum R units: 4.5 % maximum A units: None B units: None

Subscription fee paid to the Fund


E units: None I units: None R units: None A units: None B units: None

Redemption fee not paid to the Fund


E units: None I units: None R units: None A units: None B units: None

Redemption fee paid to the Fund


E units: None I units: None R units: None

These charges cover all the costs invoiced directly to the UCITS, except transaction charges. Transaction costs include intermediary fees (brokerage, local taxes etc.) as well as transaction fees, if any, that may be charged by the custodian and the management company, in particular. The following fees may be charged on top of management and administration fees: Performance fees Transaction fees invoiced to the UCITS, A portion of the income from temporary purchases or sales of securities For more details about the fees charged to the UCITS, please refer to the Key Investor Information Document for the corresponding units.

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Fees charged to the UCITS

Basis

Rate scale A units: Maximum 2.00% incl. taxes**

Management fees. Management fees include the investment management fees and the management fees external to the Management Company: Custodian, Appraiser, Statutory Auditor)

B units: Maximum 2.00% incl. taxes** Fund’s net assets

E units: Maximum 2.40% incl. taxes** I units: Maximum 1.00% incl. taxes** R units: Maximum 1.15% incl. taxes**

Maximum indirect fees (costs resulting from the Mutual Fund’s investment in other UCIs)

Net assets of the underlying Mutual Fund or UCI

Indirect subscription fees

Net Asset Value X Number of subscribed or redeemed underlying UCITS or Investment Fund units

Indirect redemption fees

Transaction fees paid to service providers: Custodian: between 0% and 50% Management company: between 50% and 100%

Payable on each transaction

None None

None Variable depending on instruments, and more particularly, in % incl. taxes: - Equities, ETF and ETC: Maximum 0.50% - UCITS France: 0% - Foreign UCITS: 0.50% - Securities trades 0% - Foreign coupons: 5% (a minimum of €0 to €200 depending on the instrument's stock exchange) A units: 15% per year of the outperformance compared with the benchmark index 60% MSCI World Energy (NR) + 30% MSCI World Materials (NR) + 10% FTSE Gold Mines dividends partially reinvested. B units: 15% per year of the outperformance compared with the benchmark index 60% MSCI World Energy (NR) + 30% MSCI World Materials (NR) + 10% FTSE Gold Mines dividends partially reinvested.

Performance fee

(1)

Fund’s net assets

E units: 15% per year of the outperformance compared with the benchmark index 60% MSCI World Energy (NR) + 30% MSCI World Materials (NR) + 10% FTSE Gold Mines dividends partially reinvested. I units: 15% per year of the outperformance compared with the benchmark index 60% MSCI World Energy (NR) + 30% MSCI World Materials (NR) + 10% FTSE Gold Mines dividends partially reinvested. R units: None

*taxes = all taxes included. For this activity, the Management Company has not opted for VAT. (1) Performance fee Outperformance fees are payable to the Management Company in accordance with the following procedure: - Benchmark index: 60% of MSCI World Energy, net dividends reinvested, 30% of MSCI World Materials, net dividends reinvested, 10% of FTSE Gold Mines Price

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Index, net dividends not reinvested (expressed in Euros for units denominated in Euros, in US dollars for units denominated in US dollars and in pounds sterling for units denominated in pounds sterling), net dividends reinvested. - The outperformance fee is calculated by comparing the fund's performance with that of the benchmark. - When the fund outperforms its benchmark, a provision of 15% net of tax shall be applied to the outperformance. - The reference periods shall end with the last net asset value for the month of December. - A provision for performance fees will be made each time the net asset value is calculated. - This outperformance fee is payable annually after calculating the last net asset value of the reference period. No performance fee will be charged if the Fund underperforms the benchmark over the calculation period. In the event of underperformance, the performance fee provision will be reduced by reversing the provision. The reversal cannot be more than the provision. When units are redeemed, the Management Company receives the proportion of the outperformance fee corresponding to the units redeemed.

Any retroceded management fees of the underlying UCITS and Investment Fund earned by the Fund will be paid to the Fund. Retroceded fees, if any, received by the Mutual Fund will be taken into account when determining the management fee rate of underlying funds. In the exceptional case that a sub-custodian applies an activity fee not described in the provisions mentioned above for a specific transaction, a description of the transaction and the transaction fees charged will be specified in the management report of the UCITS. Procedure for selecting intermediaries: The manager selects intermediaries, which must be included in the list of intermediaries used by the management company as part of the Edmond de Rothschild Group’s procedures. This list is compiled on the basis of objective criteria, which take specific note of the quality of services delivered and the conditions relating to the fees applied. Calculation and allocation of the proceeds resulting from temporary purchases and sales of securities and any equivalent transaction under foreign law: Repurchase agreements are conducted via the intermediary of La Compagnie Financière Edmond de Rothschild Banque according to the market conditions prevailing at the time of the transaction. The operating fees and charges reward the financial intermediary setting up the transaction. Income generated by the transaction benefit the Fund as a whole.

IV. COMMERCIAL INFORMATION Information for investors Unit subscription and redemption orders are centralised by: LA COMPAGNIE FINANCIÈRE EDMOND DE ROTHSCHILD BANQUE (delegated centraliser) A limited company (Société Anonyme) with a Board of Directors and a Supervisory Board, approved by the Banque de France - CECEI (French Credit Institutions and Investment Firms Committee) as a credit institution on 28 September 1970. Registered office: 47 rue du Faubourg Saint-Honoré – 75008 Paris Telephone: 33 (0) 1 40 17 25 25 Any requests for information about the fund may be sent to the promoter. Information relating to the consideration of the criteria concerning compliance with social, environmental and governance quality objectives in the management of this UCITS will appear on the website: www.edram.fr and is included in the UCITS annual report for the current financial year.

V. INVESTMENT RULES In accordance with the provisions of the Code Monétaire et Financier on the prospectus circulation date, the Fund is governed by the legal investment rules applicable to UCITS pursuant to the directive 2009/65/EC.

VI. TOTAL RISK

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Method used to calculate total risk: the Mutual Fund uses the accrual method to calculate its total risk ratio associated with financial contracts.

VII. ASSET VALUATION RULES Asset valuation rules: The net asset value per unit is calculated in accordance with the valuation rules specified below. The procedures are set out in detail in the notes to the annual financial statements. The valuation calculation is based on closing prices. securities traded on French or foreign regulated markets are valued at their market price. The valuation at the reference market price is calculated in accordance with the procedures determined by the Management Company and described in the notes to the annual financial statements. transferable and other debt securities that are not traded in significant volumes are valued using an actuarial method. The rate used is that applied to issues of equivalent securities plus or minus any differential representing the specific characteristics of the issuer of the security. However, transferable debt securities with a residual maturity of three months or less or without a particular sensitivity may be valued using the straight-line method. The procedures governing the application of these rules are decided by the Management Company and set out in detail in the notes to the annual financial statements. for transferable securities and other items on the balance sheet whose prices have not been quoted on the valuation date, the management company will adjust their valuation to reflect variations that current events would probably generate. The Statutory Auditor is notified of this decision. futures and options traded on French or foreign regulated markets are valued at their market value based on the procedures determined by the management company and described in the notes to the annual financial statements; transactions involving futures, options or swaps concluded on over-the-counter markets approved by the regulations applicable to UCITS are valued at their market value or at a value estimated in accordance with the procedures determined by the management company and described in the notes to the annual financial statements; shares in SICAVs and units in mutual funds are valued either on the basis of the last known net asset value or on the basis of the last known market price quoted on the valuation date. Accounting method The Fund complies with the accounting rules set forth in the current regulations and, in particular, with the chart of accounts applicable to UCITS. The Fund has chosen the US Dollar as its base accounting currency. Interest is accounted for on a daily basis. All transactions are recorded exclusive of charges.

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Edmond de Rothschild Commosphere MUTUAL FUND MANAGEMENT REGULATIONS TITLE I ASSETS AND UNITS Article 1 - Co-ownership units: Co-owners’ rights are represented by units, with each unit corresponding to the same fraction of the Fund’s assets (or, where applicable, of the Sub-fund). Each unitholder has a co-ownership right to the Fund’s assets proportional to the number of units they hold. The term of the Fund is 99 years starting from its creation date, except in the event of early dissolution or extension as set forth in the present regulations. The characteristics of the various unit classes and their eligibility requirements are specified in the Fund's prospectus. Option to reverse split or split units. The Fund has 5 unit classes: of A, B, E, I and R accumulation units. The Management Company’s governing body may decide to split A, B, E, I and R units into thousandths, referred to as fractions of units. The provisions of the regulations governing the issue and redemption of units shall apply to fractions of units, whose value shall always be proportionate to that of the units they represent. Unless otherwise provided, all other provisions of the regulations relating to units shall apply to fractions of units without any need to make a specific provision to that end. The board of the Management Company may also decide, at its own discretion, to divide the units by issuing new units, which shall be allocated to unitholders in exchange for their existing units. Article 2 - Minimum assets: Units may not be redeemed if the assets of the Fund fall below €300,000. If the assets remain below this amount for a period of 30 days, the management company shall make the necessary provisions to liquidate the UCITS concerned or to carry out one of the operations mentioned in Article 411-16 of the AMF General Regulations (transfer of the UCITS). Article 3 - Issue and redemption of units: Units are issued at any time at the request of the unitholders, based on their net asset value plus, if relevant, subscription fees. Redemptions and subscriptions shall be carried out under the terms and arrangements set out in the prospectus. The Mutual Fund’s units may be admitted for trading in line with current regulations. Subscriptions must be fully paid up on the date the net asset value is calculated. They can be paid in cash and/or by the contribution of transferable securities. The Management Company is entitled to refuse any securities offered and, for that purpose, must announce its decision within seven days of the date on which the securities were tendered. If they are accepted, the securities contributed in kind shall be valued according to the rules laid down in Article 4 and the subscription shall be based on the first net asset value following the acceptance of the securities concerned. Redemptions shall be carried out in cash only, except when the Fund is to be liquidated and the unitholders involved have agreed to accept redemption in the form of securities. The redemption price shall be paid by the issuer/custodian within five days of the unit valuation date. However, if in exceptional circumstances the redemption requires the prior sale of assets held in the Fund, this deadline may be extended to a maximum of 30 days.

14

Regulations - 03.02.2014


With the exception of succession or an inter vivos gift, the sale or transfer of units between unitholders or unitholders and third parties is considered a redemption followed by a subscription; if this involves a third party, the sale or transfer amount must, where applicable, be supplemented by the beneficiary in order to reach at least the minimum subscription amount stipulated by the prospectus. By application of article L.214-8-7 of the Code Monétaire et Financier, the redemption of units by the fund and the issue of new units may be suspended on a temporary basis by the Management Company in exceptional circumstances and if such is deemed necessary to protect unitholders’ interests. When the net assets of the Mutual Fund (or, where applicable, of the Sub-fund) have fallen below the minimum threshold set by the regulations, no unit redemptions may be carried out (for the relevant Sub-fund, as applicable). Option to include minimum subscription conditions, in accordance with the procedures set out in the Prospectus. The Mutual Fund may stop issuing units pursuant to the second paragraph of Article L.214-8-7 of the Code Monétaire et Financier in objective situations leading to the closure of subscriptions such as maximum number of units or shares issued, maximum amount of assets reached or expiry of a given subscription period. These objective situations are defined in the Prospectus. Article 4 - Calculation of the net asset value: The net asset value of units is calculated in accordance with the valuation rules set out in the Prospectus.

TITLE II MANAGEMENT OF THE FUND Article 5 - The management company: The Fund is managed by the Management Company in accordance with the Fund’s investment objectives. The Management company shall act in all circumstances on behalf of the unitholders and shall have the exclusive right to exercise the voting rights attached to the securities held in the Fund. Article 5 b – Operating rules: The instruments and deposits in which the assets of the UCITS may be invested as well as the investment rules are described in the prospectus. Article 6 - Custodian: The Custodian shall perform the duties entrusted to it by the legal and statutory provisions in force, as well as those contractually entrusted to it by the Management Company. The Custodian must ensure that decisions taken by the Management Company are lawful. Where applicable, the Custodian must take all protective measures that it deems necessary. In the event of a dispute with the Management Company, the Custodian must inform the French Financial Markets Authority (AMF). Article 7 - Statutory Auditor: A Statutory Auditor has been appointed by the governing body of the Management Company for a term of six financial years, subject to the approval of the AMF. The auditor shall carry out the checks and audits established by law and, in particular, shall certify the fairness and regularity of the financial statements and the accounting information contained in the management report whenever necessary. The Auditor’s term of office may be renewed. The Statutory Auditor must report as soon as practicable to the AMF any fact or decision concerning the undertaking for collective investment in transferable securities, of which it may have become aware in the performance of its duties, that could: 1. Constitute a violation of legislative or regulatory provisions applicable to such undertaking and that might have significant effect on its financial position, earnings or assets; 2. Damage the conditions or continuity of its operation; 3. Result in the expression of a qualified opinion or in a refusal to certify the financial statements. The Statutory Auditor shall supervise the valuation of the assets and the determination of exchange ratios used in the event of a conversion, merger or split.

15



The auditor shall review all contributions in kind and, as part of his/her responsibilities, shall establish a valuation and remuneration report. The Statutory Auditor shall verify/certify the accuracy of the assets’ composition and other information before any publication. The Statutory Auditor’s fees shall be determined by mutual agreement between the Statutory Auditor and the Management Company’s board on the basis of a work programme indicating all work deemed necessary. In the event of liquidation, the auditor shall value the amount of the assets and establish a report on the conditions of such liquidation. The auditor shall certify the financial statements that serve as the basis for the payment of interim dividends. Article 8 - Financial statements and management report: At the end of each financial year, the Management Company prepares the financial statements and a report on the management of the Fund (where applicable, relative to each Sub-fund) during the previous financial year. The Management Company draws up, at least every six months and under the supervision of the Custodian, an inventory of the UCI’s assets. The entire operation is controlled by the Auditor. The Management Company shall make these documents available to unitholders within four months of the financial year-end and shall notify them of the amount of income attributable to them. These documents are either sent by post at the unitholders’ express request or are made available to them by the Management Company.

TITLE III PROFIT ALLOCATION PROCEDURES Article 9 : Distributable income

A, B, E, I and R units

Allocation of net income

Accumulation

Allocation of net realised gains or losses

Accumulation

TITLE IV MERGER – SPLIT – DISSOLUTION – LIQUIDATION Article 10 - Merger - Split: The Management Company may either merge all or part of the Fund’s assets with another UCITS under its management or split the Fund into two or more funds under its management. Such mergers or splits may only be carried out after unitholders have been notified, and shall give rise to the issue of a new certificate indicating the number of units held by each unitholder. Article 11 - Dissolution - Extension: If the assets of the Fund (or, where applicable, the Sub-fund) remain below the amount set in Article 2 above for 30 days, the management company shall inform the AMF and shall dissolve the Fund (or, where applicable, the Sub-fund), except in the event of a merger with another fund. The management company may dissolve the Fund (or, where applicable, the Sub-fund) early. It shall inform the unitholders of its decision and shall no longer accept subscription and redemption orders as of this date. The Management Company shall also dissolve the Fund (or, where applicable, the Sub-fund) if a request is made for the redemption of all of the units, if the Custodian’s appointment is terminated and no other Custodian has been appointed, or upon expiry of the Fund’s term, unless the term is extended. The Management Company shall inform the AMF by post of the dissolution date and procedure. It shall also send the AMF the Statutory Auditor’s report. The Management Company may decide to extend the Fund subject to the agreement of the Custodian. Its decision must be taken at least three months before the expiration of the Fund’s term and must be communicated to the unitholders and to the AMF.

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Article 12 - Liquidation: In the event of dissolution, the Custodian or the Management Company acts as liquidator; failing this, the liquidator is appointed by a court of law at the request of any interested party. For this purpose, they shall be given the broadest powers to sell the Fund’s assets, settle liabilities, if any, and allocate the balance available between the unitholders in cash or in securities. The Statutory Auditor and the custodian shall continue to carry out their duties until the liquidation proceedings are complete.

TITLE V DISPUTES Article 13 - Jurisdiction - Election of domicile: All disputes relating to the Fund that may arise during the term of the Fund or during its liquidation, either between the unitholders or between the unitholders and the Management Company or Custodian, shall be subject to the jurisdiction of the competent courts.

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EDMOND DE ROTHSCHILD COMMOSPHERE (EdR Commosphere)

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