Millennium Open Investment Fund

Depending on their individual needs, Millennium Clients have a choice of various savings forms, whose investment time horizon and the level of potential profits vary. The Millennium Open-End Investment Fund is managed by experienced investment advisors from Millennium TFI S.A.

Two categories of participation units are available in Millennium FIO/SFIO funds: category A and category B. They differ in handling fee-charging policy. Details are in the current Table of Handling Fees.

Subfunds of the Open-End Investment Fund:

Deposit Subfund

The Subfund invests up to 100% of the assets in debt instruments, in particular in variable and fixed rate bonds an in no-coupon bonds, with maturity not longer than one year. These instruments constitute not less than 70% of the Subfund's assets. The Subfund invests not more than 60% of the assets in securities and other instruments issued by businesses and local authorities as well as in covered bonds of mortgage banks with high creditworthiness.

The Fund's acquisitions account: 63 1160 2202 0000 0000 6085 6500

Debt Instruments Subfund

The Subfund invests in financial debt instruments, with at least 50% of the portfolio being made up of treasury bonds issued by the State Treasury, the National Bank of Poland, a member state or a State, which belongs to OECD. The Subfund’s investment activity is carried out both on the Polish market as well as on foreign markets.

The Fund's acquisitions account: 33 1160 2202 0000 0002 6488 6452

Stable Growth Subfund

The Subfund invests assets in debt securities issued by the State Treasury and other issuers with high creditworthiness and equities of companies with a good financial standing. Not less than 55% of assets are invested in debt securities while the remaining money up to 40% assets are invested in equities, where not less than 10% in equities of companies comprising the WIG20 index, including open positions with WIG20 forwards. The Subfund invests not more than 60% assets in securities and other instruments issued by businesses and local authorities as well as in covered bonds of mortgage banks with high creditworthiness.

The Fund's acquisitions account: 86 1160 2202 0000 0000 4151 0018

Economic Trend Subfund

The Subfund’s investment policy assumes variable allocation of assets to shares and bonds, depending on foreseen medium-term market trends. Shares will account for no less than 20% and no more than 80% of the Subfund’s assets. The Subfund may invest its remaining money in financial instruments other than shares, in particular in debt securities issued by the State Treasury. The Subfund invests mainly on the Polish market. The Subfund will also sign contracts on derivative instruments.

The Fund's acquisitions account: 97 1160 2202 0000 0000 6085 6567

Equity Subfund

The Subfund invests assets up to 100% in equities, with their share in the portfolio not being lower than 65%. The Subfund invests the remaining money in other financial instruments, especially debt securities issued by the State Treasury and other issuers with high creditworthiness. The Subfund invests not less than 35% of the Subfund's Assets in equities of companies comprising the WIG20 index, including open positions with WIG20 forwards. The Subfund invests mainly on the Polish market and to a limited extent can acquire equities of companies listed on foreign stock exchanges.

The Fund's acquisitions account: 18 1160 2202 0000 0000 6085 6534

Dynamic Subfund

The Subfund may invest mainly in equities of small and medium-sized companies, which constitute from 60% to 100% of its portfolio. The Subfund focuses on identifying companies that are currently undervalued. Key factors that drive investments' selection are expectations regarding company and industry perspectives based on analytical indicators. Remaining assets of the Subfund are invested mainly in debt securities and money market instruments. The Subfund may use derivatives to hedge investment risk and provide enhanced quality of portfolio management.

The Fund's acquisitions account: 28 1160 2202 0000 0000 8711 0083

Prospectus

Fees

Prices of investment funds

Prices of investment funds managed by Millennium TFI

Risks

Investment Fund is an entity having legal personality and operating on the basis of the Act of 27 May 2004 on investment funds, conducting, exclusively, operations involving investing cash collected publicly or not publicly in securities and other property rights provided for in the Act.

In return for payments into the fund investors receive participation units. Their number shows proportional share held by the investor in the investment fund assets. In specified time intervals the fund determines the value of participation units i.e. calculates „net value of fund's assets" assigned to a single participation unit. For this purpose, the fund determines the value of its investment portfolio and divides it by the number of participation units allocated to all participants. The value of participation unitmay change on each valuation day.

The following risks result from investing in investment funds:

  • Sector risk,
  • Credit risk,
  • Short-term price volatility risk,
  • FX risk,
  • Risk of not admitting issuer's securities to regulated market trading,
  • Liquidity risk,
  • Tax risk,
  • Legal risk,
  • Settlement risk,
  • Market risk,
  • Interest rate risk,
  • Risk of loss of capital,
  • Asset or market concentration risk,
  • Level of charges and fees,
  • Product complexity.

Risk description is provided in „Description of Risk Related to Financial Instruments and Products for Individuals in Bank Millennium S.A."1), as available in the Bank's outlets and on the Bank Web site www. bankmillennium.pl.

Detailed information on risks and investment strategy can be found in investment fund prospectuses.

Investing in mutual funds involves risk of loss as well as the obligation to pay fees and tax. The Fund does not guarantee the investment objective or specific investment result. The value of net assets of Millennium Funds is or may be characterised by high volatility due to the composition of investment portfolios. The issuer, the guarantor or the guarantor of securities representing more than 35% of the assets of Millennium Funds (excluding the Millennium SFIO) may be the Treasury, National Bank of Poland, the U.S. government, the European Central Bank or the European Investment Bank. The full description of Millennium Funds, including a description of risk factors is contained in prospectuses and Key Investor Information Documents of individual Funds are available in branches of Bank Millennium S.A., in the seat of Millennium TFI S.A and on the website www.millenniumtfi.pl.

Amounts invested in the product are not covered by the guarantee system BFG.