Post on 30-Sep-2020
WEALTH MANAGEMENT “MADE IN SWITZERLAND”
“US clients appreciate access to current market outlooks from an international perspective, global investment opportunities and unbiased advice that provides recognizable added value.”
Francesco Bernasconi, CEO
LFA is an independent, Swiss wealth manager registered with the Securities and Exchange Commission in the United States.
This publication is for your information only and is not intended as an offer, promotion, or solicitation to buy or sell any financial instrument or perform any other financial transactions. All information and opinions
expressed in this publication reflect our current views as of the date of the publication and may be liable to change without notice.
TEN YEARS AGO the banking situation for US clients in Switzerland and around the world was very difficult. Even tax-compliant Americans were feelingthe sting of the heavy-handed crackdown by the US government on US tax evaders as foreign banks no longer welcomed American clients and closed theiraccounts.
In 2009, we decided to alleviate the difficulties for US clients and established LFA, then known as Lugano Financial Advisors, to provide international investment diversification “Made in Switzerland” to American clients domiciled in the United States and around the world. We were one of the firstindependent wealth managers from Switzerland to submit registration as an investment advisor to the Securities and Exchange Commission in the United States. Our SEC registration was approved in early 2010.
We established strong relationships with prime Swiss custodian banks happy to provide accounts to US clients in collaboration with LFA. We have supportedAmerican clients with reporting requirements and the proper documentation to fulfill US tax obligations, to ensure that no problems inadvertently arise. Ourinvestment management style has evolved and today includes an ESG mandate for investing with a sense of responsibility.
LFA is dedicated solely to US clients and their individual requirements for international and jurisdictional investment diversification. We take pride in Swiss-quality customer service and are grateful to our employees that contribute toward surpassing expectations on a daily basis.
Over the past ten years we have grown, reinvesting our net income in talents and technology, with a strong emphasis on compliance, making us a firmly-established and well-respected, independent Swiss SEC-registered investment advisor.
While many of our clients are of European descent, where international investing comes naturally, we also count many American clients without European ties who have chosen to diversify their investment portfolios beyond a US-only strategy.
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To this day, Switzerland with its long-term stability remains the global leader for cross border, private wealth management withan over 26% market share. We are proud to be able to contribute to Switzerland’s excellent international reputation by providingwealth management services to US clients.
We would like to take this opportunity to thank our clients, business partners and employees for their treasured loyalty, excellentservice and hard work. We are looking forward to the years ahead.
Best regards from Switzerland,Francesco Bernasconi, CEO
INTERNATIONAL DIVERSIFICATION
EXPAND your investment horizon in WesternEurope, Asia Pacific, Emerging Markets and NorthAmerica.
WIDE RANGE of currencies: USD, EUR, CHF, GBP,JPY, CAD, SEK, NOK, AUD, HKD, SGD.
GAIN the insights and perspectives of globally-experienced wealth managers.
DIVERSIFY the risk of holding all of your assets inone market, one financial system and onecurrency.
SEEK safety in a solid and stable environment.
PROFIT from Switzerland‘s long-term standing asthe global leader for private wealth management.
+ US tax-compliant solutions+ Specifically designed for US clients
+ Choice of Swiss or US custodian
LFA PROVIDES MULTI-CURRENCY, MULTI-ASSET INVESTMENT PORTFOLIOS TO US CLIENTS FOR INTERNATIONAL AND JURISDICTIONAL INVESTMENT DIVERSIFICATION “MADE IN SWITZERLAND”
INDEPENDENT and unbiased advice, client-focused, LFA is not affiliated with a bank or otherfinancial institution.
HIGHLY EXPERIENCED SPECIALISTS in US client-related wealth management services, adhering tothe regulations.
DISCRETIONARY AND ADVISORY MANDATES withstrategies customized to your needs and goals,carefully monitored.
CO-COUNSEL with your local advisor to create acomplementary international investment port-folio.
TRANSPARENCY of investments and fees,attractive and highly competitive pricing.
SWITZERLAND
GLOBAL LEADER 25% of cross-border assetsmanaged worldwide are managed in Switzerland.
STABILITY Long-term political and economicstability, strong currency, reliability, commitmentto excellence.
NEUTRALITY since 1815, established by the Treatyof Paris.
SECURITY Financial institutions are strictlyregulated by FINMA, the Swiss Financial MarketSupervisory Authority.
CONFIDENTIALITY with a high regard for personalprivacy and discretion.
HIGH QUALITY in Swiss tradition.
+ Competitive pricing+ Easy to get established
+ LFA offices in Lugano and Zurich
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© LFA
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© LFA
LFA – YOUR PARTNER
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© LFA
LFA AT YOUR SERVICE
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WEALTH MANAGEMENT
MANDATESDiscretionary and advisory
mandates, tailor-made to your specific
needs and goals
TAX REPORTING Together with the
custodian and LFA, all required documents are prepared, reviewed for accuracy and delivered
GLOBAL REPORTINGConsolidated, detailed
wealth reports on a client’s or family’s global financial
situation
TRANSPARENCY of investments and fees
CO-COUNSEL with your local advisor
to create a complementary
investment portfolio
SPECIALIZED ESTATE PLANNING
for transferring funds to the next generation
COMPETITIVE pricing
INDEPENDENT NEUTRAL APPROACH
CLIENT CENTRIC
PRIVACY AND CONFIDENTIALITY
HIGH QUALITY SERVICE
GOING GLOBAL
EASY ACCESS to global markets.
EXPAND your investment horizon in WesternEurope, Asia Pacific, Emerging Markets and NorthAmerica.
WIDE RANGE of currencies: USD, EUR, CHF, GBP,JPY, CAD, SEK, NOK, AUD, HKD, SGD.
GAIN the insights and perspectives of our globally-experienced wealth managers.
INDIVIDUAL investment strategy according to yourpersonal, international investment objectives andrestrictions.
ESTABLISH a Swiss bank account for the safekeepingof your assets.
FIND safety in the solid and stable environment ofSwitzerland.
YOUR BENEFITS
SPECIALISTS in US client-related wealth manage-ment with services customized to your specificneeds and goals.
DISCRETIONARY MANDATE Delegating theeveryday management of your investmentportfolio to LFA.
ADVISORY MANDATE Receiving proactive advicefrom LFA to help you make decisions.
TAX EFFICIENT INVESTING for optimized returns.
CONTINUOUS MONITORING to ensure that yourportfolio remains in line with your preferences andrisk profile.
TRANSPARENCY of investments and fees,attractive and highly competitive pricing.
HIGH QUALITY personal service, reliability, andavailability at any time to discuss your needs andconcerns.
INVESTMENT STRATEGIES
LOW For long-term capital appreciation throughfixed income with low volatility.
MODERATE For long-term capital preservationwith regular interest income, some growth andmoderate volatility.
MEDIUM For a balance of income and long-termgrowth through a broad selection of interest,dividends and capital gains with medium volatility.
HIGH For long-term capital appreciation throughequities with high volatility.
ESG INVESTING with a sense of responsibility.
TAKE ADVANTAGE of a broad range ofinternational investment opportunities, includingequities, bonds, fiduciary deposits, commodities,appropriate investment funds and ESG investing.
REFERENCE CURRENCIES TO CHOOSE FROM USD,CHF or EURO as reference currency, the underlyinginvestments are invested in various currencies.
GLOBAL INVESTMENT STRATEGIES “MADE IN SWITZERLAND“
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LFA INVESTMENT STRATEGIES
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LOW RISKMaximum allocation:
Money Market 100%
Fixed Income 100%
Other Currencies 20%
MODERATE RISK Maximum allocation: Money Market 100%
Fixed Income 90%Equity 30%
Metals, Commodities, Alternative Investments etc. 30%Other Currencies 30%
MEDIUM RISK Maximum allocation: Money Market 100%
Fixed Income 70%Equity 60%
Metals, Commodities, Alternative Investments etc. 40% Other Currencies 50%
HIGH RISK Maximum allocation: Money Market 100%
Fixed Income 50%Equity 100%
Metals, Commodities, AlternativeInvestments etc. 50%Other Currencies 80%
RETURN
RISK
LFA INVESTMENT MANAGEMENT
ALPHA GENERATION
INVESTMENT MANAGEMENT
Established investment process
Robust research systemTeam approach
COMPLIANCEEnsuring legal compliance and fiduciary responsibility
BEST EXECUTIONMinimizing trading costs Contributing to a better
performance
QUALITY CONTROLStringent quality control of entire
investment process
RISK MANAGEMENT and MONITORING
Controlling unintended investment risks
Contributing to stable, strong returns
BEST-IN-CLASSRESEARCH
ANALYSIS and MANAGER SELECTION
TAX-EFFICIENT INVESTING
OPEN ARCHITECTURE and
MULTI-ASSET FINANCIAL ADVICE
MULTI-CURRENCY PORTFOLIO
CONSTRUCTION
ESG INVESTING THEMATIC INVESTING
Environmental criteria is taking a close look at what the company does (or doesn’t do) to protect the environment. • Natural resource use
• Carbon emmissions• Energy effi ciency• Pollu" on/waste• Animal tes" ng• Sustainability ini" a" ves
ENVIRONMENTALSocial criteria has to do with how well
the company treats people.• Workforce health and safety• Diversity/opportunity polices• Gender equality• Employee training
• Human rights• Privacy/data security• Community programs• Stakeholder rela" ons
SOCIAL
Governance criteria deals with the way the company runs the business.• Board independence• Board diversity• Shareholder " ghts• Confl icts of interest• Business ethics• Management compensa" on policy
GOVERNANCE
Defi ne personal preferencesto invest on issues that ma# erto investors and avoiding investments incompanies they disapprove of, whenan ESG-dedicated mandate is selected.
CUSTOMIZATION
©LFA SA
ES
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I N T E G R A
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Research of selected companies with the informa" on and assessment of over 150 global analysts of the MSCI ESG Research to understand the truelong-term value of an invest-ment.
ANALYSIS BEYONDTHE NUMBERS
IMPLEMENTATIONS
G
I NN RR AAT
IIOO
NNNCreate an ESG por$ oliowith the selected investments or review an exis" ng por$ olio with ESG criteria and make adjustments.
ESG INVESTING WITH A SENSE OF RESPONSIBILITY
SWISS Wealth Management for US Clients
MONITORINGReview investments forany changes which may adversely aff ect them.
LFA is an independent, Swiss wealth manager registered as an investment
advisor with the Securi" es and Exchange Commission in the United States
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MASSIMO BORGHESI, CIO
WHAT DOES ESG STAND FOR? ESG stands for En-vironmental, Social and Governance. ESG refers to the three central factors in measuring the sus-tainability and ethical impact of an invest-ment in a company or business. These criteria help to better determine the fu-
ture financial performance of companies (return and risk).Today more than 20,000 companies have an ESG rating. The high-er the rating the more sustainable is the business practice of a given company or institution. Factors that ESG is focusing on are:Environmental: climate change, greenhouse gas emissions, resource depletion, waste and pollutionSocial: work environment, community impact, diversity, gen-der equality, health and safety concernsGovernance: board structure, executive pay, legal issues ...and many more.WHY DOES ESG INVESTING MAKE SENSE?In general, investing in companies and institutions that have a high ESG-rating ensures a sustainable and positive devel-opment of our environment. By integrating ESG in an invest-ment portfolio, every investor can actively contribute to a better world for the next generation.CAN INVESTORS BRING IN THEIR OWN VALUES OF SUSTAINA-BILITY AND HAVE THEIR PORTFOLIO MANAGED ACCORDINGLY?Yes, LFA is able to deliver an individualized, sustainable and responsible investing strategy. Flexibility is one of the pillars in our company’s philosophy, therefore we are able to coordinate, share and personalize investment guidelines and decisions, ac-cording to each of our clients’ individual values.
WHY DOES LFA INTEGRATE ESG INTO ITS INVESTMENT POLICY?Because it’s a win-win strategy. First of all, in matching our clients’ demands, we feel good in contributing towards the improvement of our planet. Secondly, sooner than later, asset managers and authorities will set standards and will adopt a self-evaluation method regarding responsible in-vestments, like it is today for performances’ certification or research independence and we want to be ready for that. But the main reason is that investing in a portfolio made of “good” or “sustainable” business models and companies
will deliver a higher return and a lower risk to our clients. Higher performance occurs when there is a higher demand for these companies’ securities and “more sustainable” also means “higher value”. The increasing awareness of ESG factors within communities and public authorities will lead to incentives for good companies and higher taxes for bad companies. Lower risk is due to the lower probability of be-ing invested in companies suffering from litigations, fines, lawsuits etc.HOW DOES LFA INTEGRATE ESG INTO ITS INVESTMENT PROCESS?LFA has access to an enormous analytical database, cov-ering single issuers and investment vehicles. In each step of our investments selection, the environmental, social and governance behavior of a company or a government are critical factors, as are traditional fundamental analysis toolkits. In our philosophy, the basic step is excluding those players with business involvements that are not considered sustainable. The next step is the selection of those compa-nies with a sustainable and responsible profile. Part of our investments are directed to those companies, which aim for a positive impact for our planet through long-term profita-ble projects.IS THERE ANY DOWNSIDE TO ESG, E.G. LOWER PERFOR-MANCE OR HIGHER COST?Adopting an ESG approach in the investment process requires the use of additional human and technological resources. The relative additional costs are minimal compared to the advantages that can be extracted from the investments in the medium term, namely performance and, especially, low-er risk: losses due to unexpected events, not even taken into consideration through traditional investment analysis, can be reduced massively.HOW IS ESG INVESTING EVOLVING?The rise of ESG investing has been constant and relentless since the term was coined in 2005. Today, ESG investing is estimated at over USD 20 trillion in assets under manage-ment. Also the criteria defining the investments are con-stantly evolving: from simple negative only screens (e.g. no firearms, no tobacco) to more comprehensive factors involving corporate governance, quality of management, gender equality and much more.WHAT IS NEXT FOR ESG INVESTING? HOW DOES LFA DEAL WITH THIS?ESG investing is part of what one calls “socially responsible investments (SRI)”. LFA can incorporate ESG factors into every investment decision. We implement an in-depth monitoring of the databases from which we get the most transparent
LUGANO Via F. Pelli 3, 6900 Lugano, Switzerland - T. +41 91 921 37 52
ZURICH Talstrasse 65, 8001 Zurich, Switzerland - T. +41 43 497 35 81
Info@lfa.ch lfa.ch
Disclaimer: Publications are for your information only and are not intended as an offer, promotion, or solicitation to buy or sell any financial instrument or perform any other financial transactions. All information and opinions expressed in the publications reflect current views
as of the date of publication and may be liable to change without notice.
and reliable information, so we can make a selection of the investments/securities. Another part of SRI is “impact invest-ing”. Impact investing refers to investments made in compa-nies, organizations and investment funds with the intention to generate a measurable, beneficial social or environmental im-pact alongside a financial return. Impact investments provide capital to address social and/or environmental issues. They can be made in either emerging or developed markets, and depending on the goals of the investor, can target a range of returns from below-market to above-market rates. Impact in-vestors actively seek to place capital in businesses, nonprofits, and investment funds in industries such as renewable energy, basic services including housing, healthcare, and education, microfinance, and sustainable agriculture. Impact investing oc-curs across asset classes; for example, private equity/venture capital, debt, and fixed income. At LFA we are working together with some of the leaders in impact investing enabling our cli-ents to invest their funds with an active social impact on one hand and getting a market return on the other. We are current-ly putting more emphasis in this area to be able to widen the range of investment opportunities further.IS THERE SPECIFIC ESG REPORTING FOR THE ESG INVEST-MENT PORTFOLIO?Yes, LFA is able to deliver a state-of-the-art portfolio and sin-gle investment reporting, with a frequency chosen by our clients. We can deliver a comprehensive overview of the ESG profile of the portfolio and its constituents, the business in-volvement analysis and a summary of the severity level of legal controversies. The report can go from a short summary to an extensive and deep analysis, according to the client’s wish. The report is a valid tool to verify the improvement in our clients’ portfolios.LEARN MORE ABOUT IMPLEMENTING ESG INVESTING AND CONTACT LFA
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LFA DISCRETIONARY MANDATE – LFA MANAGES INVESTMENTS ON A CLIENT’S BEHALF
ACCESS TO INTERNATIONAL
INVESTMENT OPPORTUNITIES
EXPERIENCED INVESTMENT TEAM
REGULAR MARKET OUTLOOKS
INVESTMENT PROFILE (LOW,
MODERATE, MEDIUM, HIGH
RISK)
ACCESS TO BEST-IN-CLASS RESEARCH and
INVESTMENTS
TIME SAVED
ACTIVE RISK MANAGEMENT and
PORTFOLIO MONITORING
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LFA ADVISORY MANDATE – DYNAMIC AND INTERACTIVE PREMIUM SERVICE
TAILOR-MADE INVESTMENT SUGGESTIONS
INDIVIDUAL REPORTINGREGULAR
MARKET OUTLOOKS
PROACTIVE INVESTMENT
ADVICE
REGULAR PORTFOLIO ANALYSIS
SYSTEMATIC PORTFOLIO RISK
MONITORING
CLIENT MAKES THE FINAL DECISIONS
ACCESS TOBEST-IN-CLASS RESEARCH
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US CLIENT – LFA - CUSTODIAN RELATIONSHIP
SWISS CUSTODIANUS CUSTODIAN
DISCRETIONARY / ADVISORY MANDATE
LFA is the designated asset manager and receives a limited power of attorney to manage the client’s
account with the custodian
US CLIENT
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LFA CENTER OF COMPETENCE
SIRO SPELLINISENIOR RELATIONSHIP MANAGER
Siro has over 25 years ofexperience in the financialsector, starting his careerwith UBS. He hasrepresented the interests ofHNWI clients in NorthAmerica, South America andEurope. He was in US equityresearch sales for UBSInvestment Banking in NewYork and in Pan Euro equityresearch sales for UBSInvestment Banking, London.He holds a Bachelor inBusiness Administration. Heis fluent in English, German,Italian and French.
FRANCESCO BERNASCONICEO, SENIORRELATIONSHIP MANAGER
Francesco started with UBSin 1994 as a financialconsultant and advisor. Hecontinued his career as aninvestment portfolio advisorand in 2004 became aspecialist for US investors.With a master’s degree ininternational taxation andfinance, he is able to servethe diverse needs ofinternational clients. In 2010,he co-founded LFA. He is alsoengaged as a Board Memberand Managing Partner of LFGHolding. He speaks Italian,English, French and German,
MICHEL GUIGNARDSENIOR RELATIONSHIP MANAGER
Michel began his career inwealth management in the80’s at Swiss BankCorporation. After havingworked in the USA andGermany for a number ofyears, he held several seniormanagement positions atCredit Suisse and UBS. Heholds a bachelor in businessadministration, is a CertifiedInternational InvestmentAnalyst and a financialplanner. Michel is also thechairman of LFG Holding Hespeaks English, German andFrench.
PAOLO PANZA, CFASENIOR RELATIONSHIP MANAGER
Paolo started to work as aSenior Investment Advisor inour Zurich and Luganooffices in 2014. Since 2018,he is serving clients as arelationship manager. Paolohas a Master of Science(M.Sc.) in Finance from theUniversity of Lausanne and isa Chartered Financial Analyst(CFA). He speaks English,German, Italian, Spanish andFrench.
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LFA CENTER OF COMPETENCE – INVESTMENT MANAGEMENT
NICCOLÒ BADOGLIO SENIOR PORTFOLIO MANAGERNiccolò has 12 years of experience in the financial industry in both portfolio management and assetmanagement. He has managed discretionary and advisory mandates for both private andinstitutional clients and has managed fixed income funds and funds-of-hedge-funds. Before joiningLFA in 2014, he worked as portfolio manager at Heron Asset Management, Colombo GestioniPatrimoniali and Arner Bank. He holds an honors degree in economics from the University ofBologna and certifications as a CFA, Chartered Alternative Investments Analyst (CAIA) and FinancialRisk Manager (FRM).
LUCA BOSIA SENIOR INVESTMENT ADVISORLuca has over 12 years of experience in the financial sector and holds a master degree of science inbanking and finance (MBF) from Lausanne University. From 1999 to 2004 he worked as aninvestment advisor in the UBS Wealth Management & Business Banking in Zurich, Geneva andLugano. From 2004 to 2008 he was responsible for the promotion and development of thestructuring and marketing department at Thalia SA, a fund-of-hedge-funds company owned by theGenerali Group. In 2008 he was responsible for asset management at GVM Consulting and in 2009he joined LFA as Chief Investment Officer and as of January 2016 as an investment advisor.
MASSIMO BORGHESI CIOMassimo has 20 years of experience in asset management, having started as a fund manager forone of Italian’s largest banks, specializing in US equities. In Switzerland, he has worked with UBSand Julius Baer, Lugano, as head of equity analysis and as head of advisory and portfoliomanagement. More recently, he has been CIO at a leading financial company in Lugano. Hegraduated in financial and banking economics and completed his qualifications as a CFA and afinancial risk manager.
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LFG HOLDING ORGANIZATION
LFG HOLDING SA
LFG FAMILY OFFICE
LFG INVESTMENTCONSULTING
LFAUS CLIENTS
FAMILY OFFICE SERVICESFamily & Corporate advisory services
Strategic asset allocation advisorySelection of asset managersConsolidated asset reporting
Risk analysis & overlay management
WEALTH MANAGEMENT Open architecture
Investment committeeDiscretionary, advisory and special mandates
Multi-asset class strategiesMulti-currency investments
ESG investingAlternative and opportunistic investments
PHILANTHROPIC FUNDRAISINGin support of
humanitarian projects
in developing countries
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LFA IS STRICTLY REGULATED
SEC REGISTRATION
LFA ADV Part 2 Brochure
LFA ADV Part 2B Brochure
Supplements
SWITZERLANDMember of the Swiss
Association of Asset Managers,
a self-regulatory organization
recognized by FINMA Swiss
Financial Market Supervisory
Authority
AUDITORPFK Certifica SA
Lugano
EXTERNAL SEC COMPLIANCE ADVISOR
Milne Legal Ltd.
Zurich
DOCUMENTATIONUS Compliance Manual
LFA Code of Ethics
USA Registered with the SEC as an
investment advisor since
January 2010
CRD# 152864
SEC# 801-71074
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CONTACT LFA
LFA will guide the way to getting established in Switzerland.
We are not more than a phone call or click away.
LUGANOLFA
Via F. Pelli 3, 6900 Lugano, SwitzerlandT. +41 91 921 37 52 F. +41 91 921 38 09 From the US. 01141 91 921 37 52
Info@lfa.ch lfa.ch
ZURICHLFA
Talstrasse 65, 8001 Zurich, SwitzerlandT. +41 43 497 35 81 F. +41 43 497 35 83 From the US. 01141 43 497 35 81
Info@lfa.ch lfa.ch
Follow LFA on LinkedIn, YouTube and Facebook
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LFA DISCLAIMER
This investment report and/or presentation prepared by LFA - Lugano Financial Advisors SA (“LFA”), contains selected information and investment opportunities identified by LFA. This document is based on sources believed to be reliable, accurate and complete. In particular, LFA shall not be liable for the accuracy and completeness of the statements estimates and conclusions derived from the information contained in this document.
Any information in this document is purely indicative. This document is not a contractual document and/or any form of recommendation. It does not constitute an offer, a solicitation, advice or recommendation to purchase, subscribe for or sell any financial instruments.
Under no circumstances, shall LFA be liable for any kind of damages, direct, indirect or non-contractual. Prices and rates indicated are subject to change without prior notice. The investments are valued at the market price as of the investment reporting date (e.g. stock exchange closing price, Net asset value or market maker price). Should no market price be available as of the investment reporting date, LFA shall use the last available price for the valuation.
LFA shall assume no obligation to purchase or sell the investments at the reported market prices. The data provided in this investment report, which do not specifically refer to the account and custody account positions of the client, are intended solely for the client’s own use and may not be passed on or used independently of the client-related data stated in this investment reporting. Reliance on the data contained in this investment report and any resulting act or omission on the part of the client or third parties shall be at the client’s or third party’s own risk. Past performance should not be seen as an indication of future performance.
This investment report is not intended to be used for tax purposes.
Please check this investment report/presentation and inform LFA of any discrepancies within 4 weeks.
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