Frequently asked questions

What is a Fund of qualified investors?
It is an investment vehicle governed by the Czech Act N° 240/2013 Coll., on Management Companies and Investment Funds. The major benefits are preferential income tax treatment (5% rate) and allowing the investor to secure tax free capital gains, provided that an individual holds the investment for at least three years.
Who is a qualified investor?
This is an individual, who 1) declares that they understand the risk involved in committing money and undertakes to invest at least the equivalent of Eur 125,000 or 2) undertakes to invest at least CZK 1,000,000, provided that the fund´s administrator confirms in writing, that intended investment reflects the investor´s financial background, goals and experience. To achieve this, the investor submits an investment questionnaire which the administrator then reviews.
Minimum investment into Encor Funds´ fund?
According to the relevant Czech law, it is CZK 1,000,000, and that minimum threshold must be matched or exceeded for the whole holding period.
Recommended investment horizon
Three years. This holding period may allow an investor to benefit from zero tax rates on capital gains made.
How to invest into shares of the selected fund?
An investor must submit a Subscription agreement together with following documents provided by your investment advisor:
a. Know Your Client form (Identification and verification questionnaire)
b. Investment questionnaire (only for investments of less than CZK 3.5 million)
c. Declaration of risk acceptance (Affirmation)
d. Tax residency declaration (Entity tax residency Self-Certification Form)
What fund´s offering documents should an Investor read before making an investment?
a. Articles of association of Encor Funds SICAV fund
b. Statutes of Fixed Income Strategy sub-fund
c. Key Investor Information Document for Fixed Income Strategy sub-fund
You should receive these documents from your investment advisor or you can download them at For investors section.
What is the applicable price the Investor subscribes at?
An investor subscribes for units at the price valid as of the last day of the calendar month in which subscription monies were credited to the fund´s accounts.
How often are the units valued?
The units are valued on a monthly basis, as at end of each calendar month.
Can I invest on a regular basis?
Investor may invest each month, provided that the first investment is not less than CZK 1,000,000. The minimum subsequent investment is CZK 100,000 in any given month.
How do I learn if my subscription was successful?
After each subscription, including the first, you will receive an account statement indicating the amount of units subscribed.
Where can I find information on how the fund is performing?
Each investor receives a Monthly Report on the Fund via mail, which indicates the latest unit price and the fund´s performance.
Where can I find the latest composition of the fund´s portfolio?
The portfolio’s composition and other key data are stated in the Fund´s Monthly report, which is circulated via email to each unitholder.
Who is responsible for the fund´s investments?
An investment committee involving members of the investment manager (Avant IS) and the fund´s owner must approve each investment.
Does the fund hedge its currency exposures?
The Fund invests primarily into CZK-denominated debt instruments. It may invest into non-CZK debt instruments (for example denominated in USD or EUR). In that case the fund would most likely use currency hedging to protect the investments against adverse currency movements.
What are the tax implications of investing into the Fund.
In the case of individuals, if the holding period exceeds three years, any capital gains made are tax exempt. Otherwise, a 15% income tax applies.
What fees does the investment entail?
1) A one-time entry fee of up to 3% and
2) The Fund´s ongoing costs (i.e. management fee, administrative and other fees paid on monthly basis from the fund), which is currently 1.16% per annum.
3) A redemption fee applicable to all redemptions is 0% per annum.
What is the Management Fee?
The Management Fee is a fee paid from the fund to its investment manager (Avant IS) on a monthly basis and is reflected directly in (subtracted from) the fund´s unit price.
How often can I cash in?
You can sell the whole or just a part of your holding on a monthly basis. You will receive money at the latest 30 days after the end of the month in which your redemption order was submitted.
How can I redeem my shares?
An investor that wishes to sell any of his/her shares must submit a Redemption notice via his/her investment advisor.
Is my investment covered by any investment compensation scheme in the case of the fund´s default?
As in the case of mutual funds, the investment is not covered by such a scheme.
Can I make changes to my contact details?
Yes, you need to report them via your investment advisor.

Často kladené otázky

What is a Fund of qualified investors?
It is an investment vehicle governed by the Czech Act N° 240/2013 Coll., on Management Companies and Investment Funds. The major benefits are preferential income tax treatment (5% rate) and allowing the investor to secure tax free capital gains, provided that an individual holds the investment for at least three years.
Who is a qualified investor?
This is an individual, who 1) declares that they understand the risk involved in committing money and undertakes to invest at least the equivalent of Eur 125,000 or 2) undertakes to invest at least CZK 1,000,000, provided that the fund´s administrator confirms in writing, that intended investment reflects the investor´s financial background, goals and experience. To achieve this, the investor submits an investment questionnaire which the administrator then reviews.
Minimum investment into Encor Funds´ fund?
According to the relevant Czech law, it is CZK 1,000,000, and that minimum threshold must be matched or exceeded for the whole holding period.
Recommended investment horizon
Three years. This holding period may allow an investor to benefit from zero tax rates on capital gains made.
How to invest into shares of the selected fund?
An investor must submit a Subscription agreement together with following documents provided by your investment advisor:
a. Know Your Client form (Identification and verification questionnaire)
b. Investment questionnaire (only for investments of less than CZK 3.5 million)
c. Declaration of risk acceptance (Affirmation)
d. Tax residency declaration (Entity tax residency Self-Certification Form)
What fund´s offering documents should an Investor read before making an investment?
a. Articles of association of Encor Funds SICAV fund
b. Statutes of Fixed Income Strategy sub-fund
c. Key Investor Information Document for Fixed Income Strategy sub-fund
You should receive these documents from your investment advisor or you can download them at For investors section.
What is the applicable price the Investor subscribes at?
An investor subscribes for units at the price valid as of the last day of the calendar month in which subscription monies were credited to the fund´s accounts.
How often are the units valued?
The units are valued on a monthly basis, as at end of each calendar month.
Can I invest on a regular basis?
Investor may invest each month, provided that the first investment is not less than CZK 1,000,000. The minimum subsequent investment is CZK 100,000 in any given month.
How do I learn if my subscription was successful?
After each subscription, including the first, you will receive an account statement indicating the amount of units subscribed.
Where can I find information on how the fund is performing?
Each investor receives a Monthly Report on the Fund via mail, which indicates the latest unit price and the fund´s performance.
Where can I find the latest composition of the fund´s portfolio?
The portfolio’s composition and other key data are stated in the Fund´s Monthly report, which is circulated via email to each unitholder.
Who is responsible for the fund´s investments?
An investment committee involving members of the investment manager (Avant IS) and the fund´s owner must approve each investment.
Does the fund hedge its currency exposures?
The Fund invests primarily into CZK-denominated debt instruments. It may invest into non-CZK debt instruments (for example denominated in USD or EUR). In that case the fund would most likely use currency hedging to protect the investments against adverse currency movements.
What are the tax implications of investing into the Fund.
In the case of individuals, if the holding period exceeds three years, any capital gains made are tax exempt. Otherwise, a 15% income tax applies.
What fees does the investment entail?
1) A one-time entry fee of up to 3% and
2) The Fund´s ongoing costs (i.e. management fee, administrative and other fees paid on monthly basis from the fund), which is currently 1.16% per annum.
3) A redemption fee applicable to all redemptions is 0% per annum.
What is the Management Fee?
The Management Fee is a fee paid from the fund to its investment manager (Avant IS) on a monthly basis and is reflected directly in (subtracted from) the fund´s unit price.
How often can I cash in?
You can sell the whole or just a part of your holding on a monthly basis. You will receive money at the latest 30 days after the end of the month in which your redemption order was submitted.
How can I redeem my shares?
An investor that wishes to sell any of his/her shares must submit a Redemption notice via his/her investment advisor.
Is my investment covered by any investment compensation scheme in the case of the fund´s default?
As in the case of mutual funds, the investment is not covered by such a scheme.
Can I make changes to my contact details?
Yes, you need to report them via your investment advisor.