What are the key risks of investing in the Microfinance Fund?

Triodos Bank offer a non-advised execution only investment service and it is important that investors understand the risks associated with investing in the Triodos Microfinance fund prior to investing.  An overview of the key risks of investing in the fund can be found below, and a comprehensive list of risks can be found in the Prospectus.

  • The Triodos Microfinance fund is active in developing countries that are generally considered to be higher risk than their developed counterparts that have more established and diversified economies
  • The Triodos Microfinance is active specifically in the microfinance and inclusive finance sectors, and whilst investments are spread across different organisations and regions, the success of the fund is dependent of the success of this sector
  • Whilst the Triodos Microfinance fund hedges against currency fluctuations to the extent practical and appropriate, fluctuations in the value of developing country’s currencies both negatively and positively impact the value of your investment
  • The Triodos Microfinance fund provides loans and equity to primarily unlisted microfinance institutions and banks, and there is no guarantee that there will be sufficient liquidity to meet redemption requests and you may have to wait to receive your sales proceeds

If you are unsure if the Triodos Microfinance Fund is the right investment for you, please seek independent financial advice. If you don’t have an independent financial adviser, you can get details of local financial advisers by visiting www.unbiased.co.uk

Related FAQs

Related downloads

Find what you were looking for?

Search our help and support section for more

Go to help and support