Commerzbank CCBI Investment Funds ICVC England and Wales ... · Commerzbank AG London Branch 30...

Commerzbank CCBI Investment Funds ICVC(an open-ended investment company incorporated in England and Wales with limited liability and

segregated liability between its sub-funds)

Annual Report & Audited Financial Statements for the year ended31 December 2016

Commerzbank CCBI Investment Funds ICVC

Contents

Management and Professional Service details 2

• Constitution V

3

Regulatory Disclosure* 3

Statement of the ACD’s Responsibilities in relation to the Annual Report and

Financial Statements of the Company* V 5

ACD’ s Report for the year ended 31 December 2016* 6

Directors’ Statement* V

V 7

Investment Manager’s Report* V 8

Risk and Reward Profile* 9

Statement of Corporate Governance 10

Changes resulting from the United Kingdom’s vote to leave the EU 13

Statement of the Depositary’s Responsibilities and Report of the Depositary to the

Shareholders of the Company for the year ended 3 1 December 2016V

V14

Portfolio Information 15

Comparative Table 16

Portfolio Statement 19

Independent Auditors’ Report to the Shareholders 20

Statement of Total Return 26

Statement of Change in Net Assets Attributable to Sharholders 27

Balance Sheet V28

Statement of Cashflows 29

Notes to the Financial Statements 30

Distribution TablesV 44

* Collectively, these comprise the Authorised Corporate t)irector’s Report.


Management and Professional Service details

The CompanyCommerzbank CCBI Investment Funds ICVC

Head OfficeCommerzbank AG London Branch30 Gresham StreetEC2V 7PGUnited Kingdom

Authorised Corporate Director (“ACD”)Commerz Funds Solutions S.A.25, rue Edward SteichenL-2540 Luxembourg

Directors of the ACDThomas Timmermann (Chairman)Hermann BergerPeter CornerThomas Meyer zu DrewerAndreas NeumannMathias TurraRoberto Vila

Manager and Company SecretaryCommerzbank AG London Branch30 Gresharn StreetLondonEC2V 7PGUnited Kingdom

English Legal Advisers to the Companyand the ACDLinklaters LLPI Silk StreetLondonEC2Y8HQUnited Kingdom

Additional English Legal Adviser to theACDSimmons & SimmonsCityPointOne Ropemaker StreetLondonEC2Y 9SSUnited Kingdom

Independent AuditorsPricewaterhouseCoopers LLP7 More London RiversideLondonSEI 2RTUnited Kingdom

People’s Republic of China Lçgal Advisers to theCompany and the ACDLinks Law OfficesShanghaiI 9F, ONE LUJIAZUI68 Yin Cheng Road MiddleShanghai 200120People’s Republic China

Listing SponsorPricewaterhouseCoopers LLP1 Embankment PlaceLondonWC2N 6RHUnited Kingdom

Registrar and Transfer AgentHSBC Bank Plcacting through its affiliateHSBC Securities Services (Ireland) DACI Grand Canal SquareGrand Canal HarbourDublin 2Ireland

Investment ManagerCCB International Asset ManagementLimited12/F., CCB Tower3 Connaught Road CentralCentral, Hong Kong

DepositaryHSBC Bank Plc8 Canada SquareLondonEI45HQUnited Kingdom

AdministratorHSBC Bank Plcacting through its affiliateHSBC Securities Services (Ireland) DACI Grand Canal SquareGrand Canal Harbourt)ublin 2Ireland

3


Constitution

Commerzbank CCBI Investment Funds ICVC (the “Company”) is an open-ended investment company

(“OEIC”) with variable capital incorporated in England and Wales under The Open-Ended Investment

Companies Regulations 2001 (the “OEIC Regulations”) with registered number ICOO 1028 and

authorised by the Financial Conduct Authority (“FCA”) with effect from 19 December 2014. The

Company is an Undertaking for Collective Investments in Transferable Securities for the purposes of

the Collective Investment Schemes sourcebook (“COLL”) which forms part of the FCA Handbook of

Rules and Guidance (the FCA Rules’).

The Company is an umbrella company, in that different funds may be established from time to time by

Commerz Funds Solutions S.A., in its capacity as the authorised corporate director of the Company (the

“ACD”) with the prior approval of the FCA. As at the date of this report, the Company comprises one

fund, Commerzbank CCBI RQFII Money Market UCITS ETF (the “Fund”) which was launched on

23 March 2015. The overall investment objective of the Company and the Fund is to aim to maintain

the value of the Fund and to generate sustainable and stable returns by investing in approved money

market instruments denominated and settled in Renminbi (“RMB”).

Regulatory Disclosure

This document has been prepared by the ACD. The latter is a socité anonyme under Luxembourg law

that has been authorised by the FCA for the purposes of the FCA Rules to provide services in the United

Kingdom on a cross-border basis.

The Shares in the Fund have been admitted to the premium segment of the Official List of the FCA

pursuant to Chapter 16 of the UK Listing Rtiles and to trading on the main market of the London Stock

Exchange plc for listed securities. The Shares of Share Class A and Share Class C in the Fund have also

been listed on Euronext Paris and the Frankfurt Stock Exchange.

Income Allocations and Reports

The annual income allocation date in respect of each annual accounting year ending on 31 December

was paid by 3 I January. The annual report and audited financial statements are forwarded to

Shareholders each year on 30 April and an unatidited interim report is issued each year on 31 August.

Inspection of Documents

Copies of the Instrument of Incorporation (including details of all amendments thereto), the Prospectus,

the Key Investor Information Document(s) (“KIJD(s)”), the most recent annual or interim reports of the

Company, and the Regulations may be inspected, and, except for the Regulations, may be obtained free

of charge from the registered office of the Administrator’s aftiliate HSBC Securities Services (Ireland)

DAC during normal business hours on all business days.

Shares in the Company are issued in registered form of which the ownership is registered in the

Company’s register. This register reflects the holding of the nominee of the entity appointed as common

depositary as legal owner of the Shares. It is kept at HSBC Securities Services (Ireland) DAC, I Grand

Canal Sqaure, Grand Canal Sqaure, Dublin 2, Ireland and may he inspected at that address on any

business day during ordinary office hours.

Soft Commission Arrangements

No soft commission arrangements have been macic in respect of the Company and it is currently not

intended that any will he made. In the event that CCB International Asset Management in its capacity

as investment manager to the Company (the “Investment Manager”) or any of its subsidiaries, allihates,

associates, agents or delegates do enter into soft commission arrangement(s), they shall ensure that (i)

the broker or counterparly to the arrangement will agree to provide best execution IC) the Company: (ii)

the benefits under the arrangement(s) shall be those which assis in the provision of investment services

to the relevant Fund and (iii) brokerage rates will not he in excess of ctmstomary instittitional full service

brokerage rates.

3


Market Timing

Market timing practices may interfere with the investment management of the Fund and may adverselyaffect the performance of the relevant Fund. Shareholders will not be permitted to employ any arbitragemethod that exploits time differences and/or inefficiencies or deficits in the method regarding thedetermination of the Net Asset Value of the relevant Fund. The ACD (acting in consultation withCommerzbank AG London Branch in its capacity as the manager to the Company (the “Manager”) andthe Investment Manager) reserves the right to refuse subscription or redemption orders and exchangeorders by any person who is suspected of market timing activities.

Publication of Prices

The Net Asset Value per Share of each Class in each Fund will be calculated on each business day andwill be available from the Administrator’s affiliate HSBC Securities Services (Ireland) DAC, and willbe published daily on https://funds.commerzbank.com.

The current Net Asset Value will be notified to the London Stock Exchange, the Euronext Paris marketand the Frankfurt Stock Exchange immediately upon calculation and is published on each business dayon www.londonstockexchange.com, on https://www.euronext.com/fr and on http://en.boersefrankfurt.de/.

Investment Objective

The investment objective of the Fund is to aim to maintain the value of the fund and to generatesustainable and stable returns by investing in approved money market instruments denominated andsettled in RMB. V

V

The Fund intends to invest no less than 80% of its Net Asset Value in approved money-marketinstruments (including transferable debt securities) and deposits with credit institutions denominatedand settled in RMB. These instruments are mainly issued and distributed in the People’s Republic ofChina (the “PRC”) and are traded on the interbank bond market and/or listed bond markets in the PRC.The RMB denominated and settled approved money market instruments and/or transferable debtsecurities include, but are not limited to PRC government bonds, central bank bills, policy bank bonds,negotiable certificates of deposits, commercial papers, corporate bonds, asset back securities and othernotes, each with a residual maturity until the legal redemption date of less than or equal to two years,provided that the time remaining until the next interest rate reset date is less than or eqtial to 397 days.Floating rate securities should reset to a money market rate or index. The deposits with credit institutionsmature in no more than 12 months.

The Fund intends to hold up to 20% of its Net Asset Value in cash or bank deposits in the PRC andHong Kong. The Fund will not invest in securities issued outside the PRC.

The Fund is a money market fund for the purposes of the FCA Rules and the Fund’s investmentobjectives and policies will meet the conditions specified in the definition of money market fund underCOLL 5.9.5 R. V

The Fund may invest up to 100% of its property in government securities issued by, or on behalf of, orguaranteed by, the government of the PRC.

4


Statement of the AcD’s Responsibilities in relation to the Annual Report and financial Statementsof tile Company

The COLL and OEIC Regulations, as issued by the FCA, require Commerz Funds Solutions S.A., the

ACD, to prepare the annual report and financial statements for each accounting year which give a true

and fair view of the financial position of the Company as at 31 December 2016 and the net revenue and

net capital gains or losses for the year. In preparing the financial statements, the ACD is required to:

comply with the Statement of Recommended Practice relating to Authorised Funds issued by the

Investment Management Association (‘TvIA”) in May 2014, the Instrument of Incorporation, the

COLL, the Prospectus, generally accepted accounting principles and applicable accounting

standards subject to any material departures which are required to be disclosed and explained in the

financial statements;

• select suitable accounting policies and then apply them consistently;

• make judgments and estimates that are reasonable and prudent;

• keep proper accounting records which enable it to demonstrate that the financial statements as

prepared comply with the above requirements; and

• prepare the financial statements on a going concern basis unless it is inappropriate to presume that

the Company will continue in operation.

The ACD i responib1e for the management of the Company and its Sub-Fund in accordance with the

Prospectus and the Regulations. The ACD is responsible for taking reasonable steps for the prevention

and detection of fratid and other irregularities. The ACD confirms that the above requirements have been

met in preparing the financial statements.

5


AD ‘s Reportfor the year eitded 31 December 2016

The ACD presnts its report and the audited financial statements of the Company for the year from 1.

January 2016 to 31 December 2016.

The Annual Report and Audited Financial Statement taken as a whole are fair, balanced and

understandable and provide the information necessary for shareholders to assess the Company’s position

and performance, business model and strategy.

Matters relating to the Company during the year

On February 1 1th, 2016 the Board of directors acknowledged that the Company has appointed

Commerzbank AG London Branch to provide corporate secretarial services to the Company and

separately to be the non-exclusive distributor in agreed territories of shares issued by the Company.

At the end of its previous business year, Commerzbank CCBI RQfII Money Market UCITS ETF

decided to distribute dividends. The amount carefully considered by Commerzbank AG London Branch

can be found on page 16ff.

Due to a typhoon warning in Hong Kong, the Hong Kong stock exchange and all banks in Hong Kong

have been closed on 02 August 2016. Conseqtiently, exchange, issuance and redemption of the OE[C’s

shares and the determination of the net asset value of the OEIC had become impossible. Therefore the

calculation of Net Asset Value and the issuance, redemption and exchange of shares in the initial sub-

fund of the OEIC has been cancelled for that day.

During the period there was a change of the Depositary Service Agreement with HSBC related to

measures introduced by UCITS V (new Depositary Service Agreement dated 24.08.20 16).

Due to rneaures introduced by UCITS Vthe Prospectus changed (new Prospectus 12.10.2016).

6


Directors • Statement

The financial statements on pages 26 to 29 of this annual report were approved in accordance with therequirements of the COLL and the Disclosure and Transparency Rules sourcebook which forms part

of the FCA Rules by the ACD and signed on its behalf by:

Director DirectI7

Luxembourg27 April 2017

7

Commerzbank CCBI Investment funds ICVC

Investment Manager’s Reportfor the year ended 31 December 2016

During the year of 2016 People’s Bank of China (PBOC), the country’s central bank, continued toimplement prudent to stringent monetaly policy through reverse repo, MLF (Median-term LendingFacilities) and other conventional open market operations to maintain the 7-day repo rate at most ofthe time between a narrow range of 2.0% to 2.5% until November up to 3%.

During the whole year 2016, the depreciation of RMB yuan as well as the interest rate rise of theUnited States of America continued to be the most important concern during the year, otherwise themarket remained quite stable for most of the time. The news regarding Brexit and the default news ofbig State Owned Enterprises (SOEs’) subsidiaries, released during the first half of the year, did notreally destroy the investors’confidenee, and the market sentiment as well as the market liquidityrecovered soon, hi November, the PBOC withdrew liquidity from the market via more stringentmonetary policy for deleverage purposes, and the bear market finally arrived.

Looking for the year 2017, the overall economic growth rate of China is likely to be around 6.5%, asthe government expected, the target seems moderate and thus leaves the government with more spacein balancing the exchange rate, leverage level of the market as well as the growth speed. lii 2017, weexpect PBOC to maintain the stringent monetary policy for the deleverage purposes and control theproperty prices especially in the major cities. Also the ongoing Yuan’s high market rate might alsoease the pressure of US dollar’s appreciation.

Based on the above analysis, the fund will continue to be adjusted according to the size of theportfolio, in order to prevent possible liquidity presstires. Focus on key investment opportunities inasset allocation, such as term deposit in CNH, should improve the portfolio’s overall yields.

Management LimitedInvestment ManagerHong Kong27 April 2017

S


Risk and Reward Profile

For the RMB share class:Lower risk Higher risk

Typically higher reward

.F -

Typically lowar reward

•_i.j 2 3 4 5 6

For the GBP and EUR share classes:Lower risk Higher risk

Typically lower reward Typically higher reward

j. . I 2 3 4 5 6 7

• The risk and reward profile is based on historical data which may not be a reliable indication

of the share class’ risk and reward category in the future.

• The category is based on the rate at which the value of the share class has moved up and

down in the past.

• This share class category is not guaranteed to remain the same and may change over time.

• Even a fund in the lowest category is not a risk-free investment.

C)


Statement of Corporate Governance

The ACD of the Company is committed to maintaining the highest standards of corporate governanceand is accountable to Shareholders of the Company for the governance of the Company’s affairs. TheCompany is subject to the continuing obligations under Chapter 9 of the UK Listing Rules sourcebookwhich forms part of the FCA Rules (available at: https://www.handbook.fca.org.ukIhandbooklLRl) (the“UKLA Listing Rules”) as they apply to overseas open-ended investment funds that have had theirshares admitted to the premium segment of the Official List of the FCA under Chapter 16 of the UKLAListing Rules, and applicable chapters of the FCA Disclosure and Transparency Rules; available athttp://www.fca.org.uk (the “DTR”). The Company is also subject to the governance standards set out in.the UK Corporate Governance Code (the “Code”) published by the Financial Reporting Council inSeptember 2014 (available at http://wtvw.frc.org.uk), which is applicable to accounting periodsbeginning on or after 1 October 2014.

The ACD has considered the principles and recommendations of the Code and has put in place aframework for corporate governance which it believes both adheres to best practice and is appropriatefor the Company, given the nature of its structure as an umbrella open-ended investment company withvariable capital and having segregated liability between its funds.

The Code is published by the Financial Reporting Council (“FRC”) and is available to download fromhttp://www.frc.org.uk.

Viability StatementIn accordance with provision C.2.2 of the 2014 revision of the Code, the ACD has assessed the prospectsof the Company over a longer period than the twelve months required by the going concern guidelines.The ACD has conducted this review through to 26 April 2020, being three years from the date that thisannual report is approved. The ACD considers 3 years is an appropriate period to assess the viability ofan investment company for the purpose of giving assurance to Shareholders. The ACD is satisfied thatthe Company has the resOurces to continue in business for the foreseeable future and furthermore arenot aware of any material uncertainties that may cast significant doubt upon the Company’s ability tocontinue as a going concern.

At least once a year, the ACD carries out a robust assessment of the principal risks facing the Company,including those that wotild threaten its business model, future performance, solvency and liquidity. Inits assessment of the viability of the Company, the ACD has considered each of the Company’s principalrisks and uncertainties detailed in Note 12 of the financial statements and in partictilar the impact of a

significant fall in markets on the value of the Company’s investment portfolio.

The ACD has also considered the Company’s income and expenditure projections and the fact that theCompany’s investments comprise readily realisable securities which can be expected to he sold to meet

funding requirements if necessary.

This assessment involved an evaluation of the potential impact on the Company of these risks occurring.Where appropriate, the Company’s financial model was subject to a sensitivity analysis involvingflexing a number of key assumptions in the underlying financial forecasts in order to analyse

the effect on the Company’s net cash flows and other key financial ratios.

Based on the Company’s processes for monitoring operating costs, the Manager’s compliance with theinvestment objective, asSet allocation, the portfolio) risks ptotile, cotinterparty exposure, liquidity risk

and financial controls, the ACt) has concluded that here is a reasonable expectation that the Companywill be able to continue in operation and meet its liabilities as they fall due over the 3 year period to 26

A,)nl 2020.

10


Statement of Corporate Governance (conthtued)

Compliancc with the UK Corporate Governance Code

The ACD considers that for the year under review, the Company’s corporate governance practices werein keeping with the main principles of the UK Code, in so far as the ACD believes they are relevant andappropriate to an umbrella open-ended investment company with variable capital.

Where the Company does not comply with the Code, explanations have been provided unless the Coderequires otherwise. Given the structure of the Company with a sole authorised corporate director (asopposed to a board of directors), the ACD deems that the following elements of the Code ate neitherappropriate nor relevant to the Company:

• the appointment and role of the chief executive;• the appointment of a single senior independent director;• the establishment of a nomination committee;• the establishment of an internal audit function;• the establishment of a remuneration committee;• the re-appointment of directors;• the executive director remuneration; and• the establishment of an audit committee.

References in the Code to remuneration, division of responsibility of director roles or rotation ofdirectors, for example, are therefore not considered relevant. Other functions, such as the establishmentof an audit cornrnitte, are performed by the ACD. These internal control, risk management and’oversight procedures are detailed below.

Althotigh an audit committee has not been established, the ACD has taken a number of mitigating stepsincluding the appointment of external auditors, oversight of the external audit and financial reportingprocess, internal audit oversight and monitoring of the Administrator.The ACD is responsible for establishing and maintaining adequate internal control and risk managementsystems for the Company. Such systems are designed to manage rather than eliminate the risk of erroror fraud and can only provide reasonable and not absolute asstirance against material misstatement orloss.

The ACD has procedures in place to ensure all relevant books ot account are properly maintained andare readily available, including production of the Company’s annual and half—yearly financialstatements. The annual financial statements of the Company are required to be approved by the ACD ofthe Company and the annual and half yearly financial statements of the Company are required to be filedwith the London Stock Exchange. The Company has not appointed an Audit Committee because as aninvestment company under the OEIC Regulations, it has only one director, the ACD. The annualfinancial statements are required to he audited by independent auditors who report annually to the ACDon their findings.

The ACD evaluates and discusses significant accounting and reporting issties as the need arises. TheACI) has appointed HSBC Bank Plc as its Administrator. The Administrator maintains the books andrecords of the Company. The Administrator is entitled to perform any of its services through anymember(s) of the HSBC Grotip. From time to time the ACI) also eXamines and evaluates theAdministrator’s financial accounting and reporting rotitines and monitors and evaluates the externalauditors’ performance, qualifications and independence.

The ACI) has made the appropriate disclosures in this report to ensure the Company meets its continuingobligations pursuant to the U KLA Listing Rules and the l)TR Rti les. It should he noted that as aninvest ment company under the OEIC Regulations all of the Company’s day—to—day management andacimin istration are delegated to third party service providers.

II


Statement of Corporate Governance (continued)

The ACD considers that the Company has complied with the relevant provisions contained within theCode throughout this accounting year except where departure from the Code is considered appropriategiven the Company’s position as an investment company under the OEIC Regulations..

The ACD has responsibility for ensuring that the Company keeps proper accounting records whichdisclose with reasonable accuracy at any time the financial position of the Company and which enableit to ensure that the financial statements comply with the OEIC Regulations and relevant accountingstandards. It is the ACD’s responsibility to present a balanced and understandable assessment of theCompany’s financial position, which extends to interim financial statements and other reports madeavailable to Shareholders and the public. The Depositary is also responsible for safeguarding the assetsof the Company and for taking reasonable steps in the prevention and detection of fraud and otherirregularities.

The ACD has access to the advice and services of the Company Secretary, external counsel, the Managerand the resources of the Investment Manager should they be needed. The ACD has delegated theinvestment management function to the Manager who in turn has delegated the discretionarymanagement function to the Investment Manager. Where necessary, the ACD may seek independentprofessional advice at the expense of the Investment Manager.

The ACD is responsible for the risk management and internal controls of the Company and for reviewingtheir effectiveness, for ensuring that financial information published or used within the business isreliable, and for regularly monitoring compliance with regulations governing the operation of theCompany. The system can only provide reasonable and not absolute assurance against materialmisstatement or loss and relies on the operating controls established by the service providers. The ACDis also responsible for overseeing the management of the most significant risks through the regularreview of risk exposures and related key controls.

The ACD reviews the Company’s principal risks and the control processes over the risks identified. Thecontrol processes cover financial, operational, compliance and risk management, and are embedded inthe operations of the Manager, the Investment Manager and other third party service providers includingthe Administrator and the Depositary. There is a monitoring and reporting process to review thesecontrols, which has been in place throughout the year under review and tip to the date of this report.

The ACD is responsible for establishing and maintaining adequate internal control and risk managementsystems of the Company in relation to the financial reporting process. These procedures includeappointing the Administrator to maintain the accounting records of the Company independently of theManager, the Investment Manager and the Depositary. The accounting information given in the anitialreport and audited 1nancial statements is required to be audited. The Independent Auditors’ report,including any qualifications, is reproduced in full in the annual report and audited financial statementsol the Company.

Principal Risks, Uncertainties, Risk Management Objectives and PoliciesInvestment in the Company involves a number of risks. Details of these risks are contained in theCompany’s prospectus and its appendices, t)etails of the risks associated with financial instruments areincluded in Note 12.

Summary of the primary risks relating to the Company are:Investment—related risks which will be managed by the Investment Manager, including but not limitedto) those risks common to investments in publicly traded securities. These include market volatility.interest rate and currency risks, counterparty risks, and risks associated with certain trading techniqueswhich may be employed by the Company which could increase the adverse impact to which Companymay be subject.

12


Statement of Corporate Governance (continued)

The Shareholders of the ICVC are not liable for the debts of the ICVC.

Changes resulting from the United Kingdom’s vote to leave the EU

On June 23, 2016, the UK voted, via referendum, to exit from the EU, triggering political, economic,

tax and legal uncertainty. The timing and terms of the exit from the EU by the UK are currently unclear,

and requires a formal notification by the UK to the European Council under Article 50 of the Treaty on

European Union, which triggers a two year period during which the terms of an exit can be negotiated.

While such uncertainty most directly affects the UK and the EU, global markets suffered immediate and

significant disruption. Further, the vote by the UK to exit the EU may increase the likelihood of similar

referenda in other member countries of the EU, which could result in additional departures. The

uncertainty resulting from any further exits from the EU, or the possibility of such exits, would also be

likely to cause market disruption in the EU and more broadly across the global economy, as well as

introduce further legal and regulatory uncertainty in the EU. This will impact the Company and its funds,

the ACD, the Manager, Investment Manager, investment structures and investments in a variety of ways,

not all of which are readily apparent immediately following the exit vote. It is not clear whether and to

what extent EU regulations generally would apply with respect to the Company, its funds and the

Manager in the case of a UK exit. Notably it is likely the Company would no longer be a UCITS fund

and would be regarded as an alternative investment fund for European regulatory purposes. This could

result in Shareholders being subject to fewer regulatory protections than would otherwise be the case.

After a UK exit, it could be more difficult for the Company and its service providers to raise capital

from EU investors, access markets, make investments, attract and retain employees or enter into

agreements on its own behalf or on behalf of the Company and its funds and a UK exit could adversely

affect the Company’s and its funds’s and the Manager’s ability to continue to work with non-UK

counterparties and service providers, all of which could result in increased costs to the Shareholders or

reduction in the funds’ ability to successfully execute the Company’s different investment strategies for

its funds. It is also possible, depending on the terms of the UK’s exit and the future UK regulatory

system, that it may be necessary to amend the current arrangements governing the management of the

funds’ portfolios.

‘3

Comrnerzbank CC3I Investment Funds ICVC

Statement of the Deposrtarr ‘S Re.Spt)flSihllitieS IU:I1 Report ([ the Dt’pt)SitUrj’ to the Shcireltolders tfthe Company or the year ended 31 December 2016

Statement of the Depositary’s responsibilities in respect of the Company

The depositary is responsible for the safekeeping of all of the property of the Company (qthet thantangible meveable property) which is entrusted to it and for the collection of income that arises fromthat property.

It is the duty of the depositary to take reasonable care to ensure that the company is managed inaccordance with the financial Conduct Authority’s Collective Investment Schemes Sourcebook (‘theSourcebook”). the Open-Ended lnvestment Companies Regulations 2001 (SI 2001/1228) (the OEICRegulations). the Company’s tnstrumcnt of tncorporation and Prospectus. in relation to the pricing otand dealings in, shares in the Company; the application of income of the Company: and the investmentand harrowing powers applicable to the Company.

Report of the Depositary to the Shareholders of the Commerzbank CCBI Investment FttndsICVC (“the Company”) for the year ended 31st December 2016

Having carried out such procedures as we considered necessary to discharge our responsibilities asDepositary of the Company. it is our opinion, based en the information available to us and theexplanations provided, that in all material respects. the Company, acting through the AuthorisedCorporate I)irector:

(1) has carried otit the issue. sale. redemption. cancellations and calculation of the price of theCompany’s shares and the application of the Company’s revenue in accordance with theSoutcebook and, where applicable, the C)EIC Regulations, the Instrument of Incorporation andProspectus of the Corupany, and

(ii) has observed the investment and borrowing powers and restrictions applicable to theCompany.

HSBC Bank Plc

This report is given on the basis that no breaches are suhseqtientlv advised to us h the Auditors beforethe distribution date. We therefore reserve the right to amend the report in the light of suchCircumstances.

Yours sincerely

On behalf of HSBC’ Bank PlcSteflino [.ucernoniSenior Trtistee and Depositary’ Manager27 April 2017

11


Commerzbank CCBI RQFII Money Market UCITS ETF

Portfolio Information

Major holdings - % of total net assets

31 December 2016Top ten holdingsChina National Building Material 3.35% 12/03/20 17AVIC International Holding Corporation 3.22% 23/07/20 17China United Network Communications Corporation 3% 14/08/20 17China Eastern Airlines Corporation 2.50% 17/07/20 17Xinxing Cathay International Group 3.28% 23/01 / 17AVIC International Holding Corporation 2.99% 06/02/20 17China Communications Construction 2.99% 12/02/2017Wuchan Zhongda Group 3.11% 28/02/2017Wuxi Guolian Development Group 3.25% 21/02/2017Beijing Jingneng Clean Energy 3.08% 14/03/2017

Top ten holdingsTreasury 0% 14/03/20 16Beijing Automobile 3.15% 16/08/2016China Southern Power 3.05% 27/03/20 16Si nopharm Group 3.03% 19/04/2016China Minmetals 3.1% 03/04/2016China Co-op Grotip 3.5% 09/09/20 16China Nuclear Engineering Group 3.43% 24/06/20 16Guangzhou Communications Investment 3.58% 15/05/20 16China National Building Material 3.35% 12/06/20 16Qingdao City Construction Investment 3.28% 24/07/20 16

Geographical breakdown - % of total net assets

31 I)ecember 2016 31 December2015Country % %China 96.12 95.37Other 3.88 4.63

Asset type breakdown - % of total net assets

31 I)ecemher 2016 31 I)ecember 2015

96.12 79.37I 6.0f)

Asset typeCorporate bondsGovernment bondOLher AssetsTotal

3.88 4.63I 0f),00 100,00

%.8.038.008.007.984.024.024.024.024.024.01

31 December 2015%

.16.008.108.108.108.094.064.064.054.054.05

IS


Commerzbank CCBI RQfII Money Market UCITS ETF

Comparative Table

For the year ended 31 December 2016

31 December 2016 31 December 2015*CIassARMB RMB RMBChange in net assets per unit

Opening net asset value per unit 100.94 100.00Return before operating charges< 2.47 2.5 1Operating charges (0.66) (0.51)Return after operating charges** 1.81 2.00Distributions on income units (2.23) (1 .06)C1osin net asset value per unit 100.52 100.94

**after direct transaction costs of - -

PerformanceReturn after charges 1 .79% 2.00%

Other informationClosing net asset value 246,271,152 244,777,088Closing number of units 2,450,000 2,425,000Operating charges 0.65% 0.65%Direct transaction costs 0.00% 0.00%

Prices V

Highest unit price 102.73 101.99Lowest unit price 100.52 100.00

4The class was launched on 23 March 2015.

16 V



Comparative Table (contiitued)

for the year ended 31 December 2016

31 December 2016GBP

31 December 2015GBP

*The class was latinched on 23 March 2015.

*Class B GBPChange in net assets per unit

Opening net asset value per unit 9.50 10.00

Return before operating charges** 1.61 (0.2$)Operating charges (0.07) (0.05)

Return after operating charges** 1,54 (0.33)

Distributions on income units (0.24) (0.17)

Closing net asset value per unit 10.80 9.50


PerformanceReturn after charges 16.20% (3.34)%

Other informationClosing net asset value 5,399 4,751Closing number of units 500 500

• Operating charges 0.65% 0.65%Direct transaction costs 0.00% 0.00%

Prices V

Highest unit price 11.44 10.21Lowest unit price 9.47 9.14

17



Comparative Table (continue4)


* Class C EURChange in net assets per unit

Opening netasset value per unitReturn before operating charges’Operating chargesReturn after operating charges**

Distributions on income unitsClosing net asset value per unit

*The class was launched on 23 March 2015.

31 December 2016fUR

9.300.05

(0.06)(0.01)(0.20)

9.09

31 December 2015EUR

10.00(0.45)(0.06)(0,5 1)(0.19)

9.30


PerformanceReturn after charges (0.09)% (5. 1 2)%

Other informationClosing net asset value 322,563 329,987

Closing number of units 35,500 35,500

O5erating charges 0.65% 0.65%

Direct transaction costs 0.00% 0.00%

Prices V

Highest unit price 9.45 10.24

Lowest unit price 8.95 9.05

18



Portfolio Statement

as at 31 December 2016

Percentage of

Bid-Market total net

Value assets

Holdings VRMB (%)

Corporate Bonds: 96.12%V

(31 December 2015: RMB 196,204,874, 79.37%)*

10,000,000 AVIC International Holding Corporation 2.99% 06/02/20 17 9,989,360 4.02

20,000,000 AVIC International Holding Corporation 3.22% 23/07/20 17 19,899,080 8.00

10,000,000 BAIC Motor Corporation 2.65% 09/05/2017 9,949,190 4.00

10,000,000 Beijing Jingneng Clean Energy 3.08% 14/03/20 17 9,981,330 4.01

10,000,000 Beijing Tourism Group 2.95% 01/09/2017 9,927,600 3.99

10,000,000 China Communications Construction 2.99% 12/02/2017 9,988,930 4.02

20,000,000 China Eastern Airlines Corporation 2.50% 17/07/2017 19,839,800 7.98

20,000,000 China National Building Material 3.35% 12/03/20 17 19,958,880 8.03

10,000,000 China National Chemical Corporation 2,88% 18/04/20 17 9,955,640 4.00

20,000,000 China United Network Communications Corporation 3% 19,894,740 8;00

10,000,000 Datang International Power Generation 2.59% 09/06/2017 9,944,350 4.00’

10,000,000 Jiangsti Communications Holding 2.77% 12/04/20 17 9,966,470 4.01 V

10,000,000 Jiangsu Expressway 2.7% 12/05/20 17 9,953,650 4.00

10,000,000 Tianjin Infrastructure Construction & Investment Group 9,945,530V

4.00

10,000,000 Wuchan Zhongda Group 3.11% 28/02/20 17 9,985,260 4.02

10,000,000 Wuxi Guolian Development Group 3.25% 21/02/2017 9,984,610 4.01

10,000,000 Xiamen Airlines 2.75% 25/05/20 17 9,951,020 4.00

10,000,000 Xiamen International Port 2.88% 05/06/20 17 9,952,600 4.00

10,000,000 Xiarnen Road & Bridge 3.22% 14/03/2017 9,977,070 4.01

10,000,000 Xinxing Cathay International Group 3.28% 23/01/17 9,995,100 4.02

Government Bond:

(31 December 2015: RMB 39,553,520, 16.00%)

Total value of investments 239,040,210 96.12

Other net assets less liabilities 9,644,691 3.88

Total net assets 248,684,901 100.00

Summary of portfolio investments

Value % of TotalAnalysis of Net Investments RMB Assets

kTransf’erahle securities admitted to an ol hcial stock exchange listitig ortraded on a regulated market 239,040,2 If) 93.99

19


Independent auditors’ report to the members ofCommerzbankCCBI Investment funds ICVC

Report on the financial statements

Our opinion

In our opinion, Commerzbank CCBI Investment Funds ICVC’s financial statements (the “financialstatements”):

• give a true and fair view of the financial position of the Company and its sub-fund as at 31Deèember 2016 and of the net revenLte, the net capital losses, and cash flows of the schemeproperty of the Company and its sub-fund for the period then ended; and

• have been properly prepared in accordance with United Kingdom Generally AcceptedAccounting Practice, the Statement of Recommended Practice for UK Authorised Funds, theCollective Investment Schemes sourcebook and the Instrument of Incorporation.

What we have audited

Commerzbank CCBI Investment fund ICVC (“the Company”) is an umbrella fund with a single sub-

fund. The financial statements, incltided within the Annual Report and Audited financial Statements(the “Annual Report”), comprise the financial statements of the sub-fund, which are prepared by

Commerz funds Solutions S.A. (the “Authorised Corporate Director”) and comprise, for the sub-fund:

• the Balance Sheet as at 3 1 December 2016;

• the Statement of Total Return for the year then ended;

• the Statement of Cashflows for the year then ended;

• the Statement of Change in Net Assets Attributable to Shareholders for the year then ended;

and

• the notes to the financial statements, which incitide a summary of significant accotintingpolicies and other explanatory information.

The financial reporting framework that has been applied in the preparation of the financial statements is

United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard

applicable in the UK and Republic of Ireland”, applicable law (United Kingdom Generally Accepted

Accounting Practice), the Statement of Recommended Practice ‘Financial Statements of U K AuthorisedFunds’ issued by the Investment Management Association (the “Statement of Recommended Practice

for UK Authorised Funds”), the Collective Investment Schemes sotircebook and the Instrument of

Incorporation.

Our audit approachOverview

• Overall materiality: 1,243,400 RMB which represents 0,5c/ of netasset value.

• The Company is an open—ended investment company with variablecapital and engages the Atithorised Corporate t)irector to managecertain duties and responsibilities with regards to the day—to—claymanage ment of the Company.

• • We tailored the scope ol our audit taking into account theinvestments within the Company, the involvement of the third partiesto the fund, the accounting processes and controls, and the industry inwhich the Company operates.

• Valuation and existence ol investments.

• Accrued bond income.

• Financial statement presentation and disclosure.

20


Independent auditors’ report to the members of Cominerzbank CCBI Investment funds ICVC(continued)

The scope of our audit and our areas of focus

We conducted our audit in accordance with International Standards on Auditing (UK and Ireland)(“ISAs (UK & Ireland)”).

We designed our audit by determining materiality and assessing the risks of material misstatement inthe financial statements. In particular, we looked at where the Authorised Corporate Director (“ACD”)made subjective judgements, for example in respect of significant accounting estimates that involvedmaking assumptions and considering future events that are inherently uncertain. As in all of our auditswe also addressed the risk of management override of internal controls, including evaluating whetherthere was evidence of bias by the ACD that represented a risk of material misstatement due to fraud.

The risks of material misstatement that had the greatest effect on our audit, including the allocation ofour resources and effort, are identified as “areas of focus” in the table below. We have also set out howwe tailored our audit to address these specific areas in order to provide an opinion on the financialstatements as a whole, and any comments we make on the results of our procedures should be read inthis context. This is not a complete list of all risks identified by our audit.

Area offocus How ottr audit addressed the area offocits

Valuation and existence of securities We tested the existence of the investment portfolio

The investment portfolio at the period end by agreeing the investments to an independept

comprised quoted Chinese corporate debt and was custodian confirmation received from HSBC Bank

valued at RMB 239,040,210. Plc, without finding any differences.

We focused on the valuation and existence of We tested the valuation of the investment portfolio

investments becatise they represent the principal by agreeing prices used in the valuation to

element of the net asset valite as disclosed on the independent third party sources.

Balance Sheet in the financial statements. No misstatements were identified which requiredreporting to those charged with governance.

Bond revenue We assessed the accounting policy for bond

Income is principally determined on an effective income recognition and confirmed its compliance

yield basis, which is a revenue calculation that with accounting standards and the IMA 2014

reflects the amount of arnortisation olany discount SORP. We found that bond income had been

or premium on the purchase price over the accounted t’or in accordance with this stated

remaining life of the security. accounting policy.

We understood the design and implementation of

The debt investments in the portfolio only paykey controls surrounding income recognition.

coupon at the maturity date and so income has also We performed analytical procedures to recalculate

been considered on investments that were not held the income on debt investments.

for their ftmll term. We tested mcome on a sample of investments notheld for their full term by recaletilation using

We focused on the accounting for bond revenueindependent third party market data.

and its presentation in the Statement of Total We tested the al location and presentation of

Return as set out in the requirements of the IMA revenue between income and capital return within

2t) 14 SORP, because incomplete or inaccurate the Statement of Total Return, in I inc with the

income could have a material impact on the requimenlents set out in the IMA 2t) 14 SORP.

Company’s Net Asset Value and distribution. No misstatements were identified which requiredreporting to those charged with governance.

21

Commerzbank CCBI Investment Funds ICVCIndependent auditors’ report to the members of Commerzbaitk CCBI Investment Funds ICVC(continued)

The scope of our audit and our areas of focus (continued)

How we tailored the audit scope

We tailored the scope of our audit to ensure that we performed enough work to be able to give an opinionon the financial statements as a whole, taking into account the geographic structure of th Company, theaccounting processes and controls, and the industry in which the Company operates.

We tailored the scope of otir audit to ensure that we performed enough work to be able to give an opinionon the financial statements as a whole, taking into account the types of investments within the Company,the involvement of the ACD and HSBC Security Services (Ireland) DAC (the “Administrator”), theaccounting processes and controls, and the industry in which the Company operates.

The ACD delegates certain accounting and administrative ftinctions to the Administrator on which theyreport to the ACD.

Materiality

The scope of otir audit was influenced by our application of materiality. We set certain quantitativethresholds for materiality. These, together with qtmalitative considerations, helped us to determine thescope of omit audit and the nature, timing and extent of our audit procedures on the individual financialstatement line items and disclostmres and in evaluating the effect of misstatements, both individually andon the financial statements as a whole.

Based on our professional judgement, we determined materiality for the financial statements as a wholeas follows:

Overatiniateriality 1,243,400 RMB (2015: l,236,t)00 RMB).

How we determined it 0.5 r/ of net asset value.

Rationale for benchmark We have applied this benchmark given the main objective of theapplied Company is to provide investors with a total return at a fund level.

taking into account capital and income returns.

We agreed with the ACI) that we would report to them misstatements identified during our audit above62, 170 RM B (2015: 61 ,80() RMB) as well as misstatements below that amount that, in our view.warranted reporting br qual iLative reasons,

Area offocus How ottr attdit addressed the area offoctts

financial statement presentation and disclosure

This is a UK-domiciled exchange traded fund witha unique structure and therefore must report underthe Financial Conduct Authority’s LAsting Rules,as well as the FRS 102 accounting framework, theUVIA 2014 SORP, the Collective InvestmentSëhemes sourcebook and the Instrument ofIncorporation.

We reviewed the ACD’s assessment of thefinancial regulations applicable to the fund andhow these have been applied in the preparation ofthe financial statements.

We read the disclosures and compared them to therequirements of the 1MA 2014 SORP and Chapter16 of the Financial Conduct Authority’s ListingRules as relevant for premium listed Open-endedInvestment Companies, as well as the CollectiveInvestment Schemes sourcebook and theInstrument of Incorporation.

governance.

No instances of non-compliance were identifiedwhich required reporting to those charged with

Commerzbank CCBI Investment Funds ICVCIndependent auditors’ report to the members of Commerzbank CGBI Investment Funds ICVC(continued) V

Going concern

Under the Listing Rules we are required to review the ACD’s statement, set out on page 7, in relation togoing concern. We have nothing to report having performed our review. V

Under ISAs (UK & Ireland) we are required to report to you if we have anything material to add or todraw attention to in relation to the ACD’s statement about whether they considered it appropriate toadopt the going concern basis in preparing the financial statements. We have nothing material to add orto draw attention to.

V

V

As noted in the ACD’s statement, the ACD has concluded that it is appropriate to adopt the goingconcern basis in preparing the financial statements. The going concern basis presumes that the Companyhas adequate resources to remain in operation, and that the ACD intends it to do so, for at least one yearfrom the date the financial statements were signed. As part of our audit we have concluded that theACD’s use of the going concern basis is appropriate. However, because not all future events orconditions can be predicted, these statements are not a guarantee as to the Company’s ability to continueas a going concern.

Other required reporting

Consistency of other information and compliance with applicable requirements

Opinions on matters prescribed by the collective Investment Schemes sourcebookV

In our opinion:• we have obtained all the infprmation and explanations we consider necessary for thç purposes of

the audit; and

• the information given in the ACD’s Report for the financial period for which the financialstatements are prepared is consistent with the financial statements.

In addition, in light of the knowledge and understanding of the Company and its environment obtainedin the course of the audit, we are required to report if we have identified any material misstatements inthe ACD’s Report. We have nothing to report in this respect.

ISA.s (UK & Ireland) reporting

Under ISAs (UK & Ireland) we are required to report to you if, in our opinion:

• information in the Annual Report is: We have no

— materially inconsistent with the information in the audited exceptions to

V financial statements; or i epol t.

— apparently materially incorrect based on, or materially inconsistentwith, our knowledge of the Company acquired in the cotirse of

performing our audit; or— otherwise misleading.

. the statement given by the ACD on page 6, in accordance with provision We have noC. 1.1 of’ the UK Corporate Governance Code (the “Code”), that they exceptions to

consider the Annual Report taken as a whole to be fair, balanced and repoi•t.

understandable and provides the information necessary for members tc V

V assess the Company’s position and performance, business model andstrategy is materially inconsistent with our knowledge of the Companyacq Ui red in t he coti rse of performing on r atid it.

. the explanation given by the AC!) on page I I, as required by provision We have noC. 3.8 of t he Code, as to why the An mm I Report does not i nd tide a sect i on CX cept ions to

that appropriately addresses matters communicated by us (C) the Audit i’pOi’t.

Committee is materially inconsistent with otir knowledge of the Company V

V acquired in the course of performing our audit.

23

Commerzbank CCBI Investment Funds ICVCIndependent attditors’ report to the iizembers of Commerzbank CCBI In vestment Ftinds ICVC(coiztinued)

The ACD’s assessment of the prospects of the Company and of the principal risks that wouldthreaten the solvency or liquidity of the Company

Under ISAs (UK & Ireland) we are required to report to you if we have anything material to add orto draw attention to in relation to:

the ACD’s confirmation on page 10 of the Annual Report, in We have

accordance with provision C.2. 1 of the Code, that they have carried out nothing material

a robust assessment of the principal risks facing the Company, to add or to

• including those that would threaten its business model, future draw attention

performance, solvency or liquidity, to.

the disclosures in the Annual Report that describe those risks and We have

explain how they are being managed or mitigated. nothing materialto add or todraw attentionto.

the ACD’s explanation on page 10 of the Annual Report, in accordance We have

with provision C.2.2 of the Code, as to how they have assessed the nothing material

prospects of the Company, over what period they have done so and to add or to

why they consider that period to be appropriate, and their statement as draw attention

to whether they have a reasonable expectation that the Company will to.be able to continue in operation and meet its liabilities as they fall dueover the period of their assessment, including any related disclosuresdrawing attention to any necessary qualifications or assumptions.

Under the Listing Rules we are required to review the ACD’s statement that they have carried outarobust assessment of the principal risks facing the Company and the ACD’s statement in relation tothe longer-term viability of the Company. Our review was substantially less in scope than an auditand only consisted of niaking inquiries and considering the ACD’s process supporting theirstatements; checking that the statements are in alignment with the relevant provisions of the Code;and considering whether the statements are consistent with the knowledge acquired by us in thecourse of performing our audit. We have nothing to report having performed our review.

Propriety of accounting records and information and explanations received

Under the Collective Investment Schemes sotircebook we are required to report to yoti if, in our opinion:

• proper accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and rettirns.

We have no exceptions to report arising from this responsibility.

Corporate governance statement

Under the Listing Rtiles we are required to review the part of the Corporate Governance Statementrelaing to ten further provisions ol’ the Code. We have nothing to report having performed our review.

RCspOflSil)ilities for the financial statements and the audit

Otir rcspoiisibilities and those of the ACI)

As explained more fully in the Statement of the ACI)’s Responsibilities in relation to the Annual Reportand Financial Statements of the Company set out on page 5, the ACI) is responsible for the preparation

of the financial statements and for being satisfied that they give a true anti faii’ view,

24

Commerzbank CCBI Investment Funds ICVCIndependent auditors’ report to the members of Coinmerzbank CCBI Investment funds ICVC(continued)

Responsibilities for the financial statements and the audit (continued)

Our responsibilities and those of the ACD (continued)

Our responsibility is to audit and express an opinion on the financial statements in accordance withapplicable law and ISAs (UK & Ireland). Those standards require us to comply with the AuditingPractices Board’s Ethical Standards for Auditors.

This report, including the opinions, has been prepared for and only for the Company’s members as abody in accordance with paragraph 4.5.12 of the Collective Investment Schemes sourcebook as requiredby paragraph 67(2) of the Open-Ended Investment Companies Regulations 2001 and for no otherpurpose. We do not, in giving these opinions, accept or assume responsibility for any other purpose orto any other person to whom this report is shown or into whose hands it may come save where expresslyagreed by our prior consent in writing.

What an audit of financial statements involves

An audit involves obtaining evidence about the amounts and disclosures in the financial statementssufficient to give reasonable assurance that the financial statements are free from material misstatement,whether caused by fraud or error. This includes an assessment of:

• whether the accounting policies are appropriate to the Company’s circumstances and have beenconsistently applied and adequately disclosed;

• the reasonableness of significant accounting estimates made by the ACD; and• the overall presentation of the financial statements.

We primarily focus our work in these areas by assessing the ACD’s judgernents against availableevidence, forming our own judgements, and evaluating the disclosures in the financial statements.

We test and examine information, using sampling and other auditing techniques, to the extent weconsider necessary to provide a reasonable basis for us to draw conclusions. We obtain audit evidencethrotigh testing the effectiveness of controls, stibstantive procedtires or a combination of both.

In addition, we read all the financial and non—financial information in the Annual Report to identifymaterial inconsistencies with the audited financial statements and to identify any information that isapparently materially incorrect based on, or materially inconsistent with, the knowledge acquired by usin the course of performing the audit. If we become aware of any apparent material misstatements orinconsistencies we consider the implications for our report. With respect to the ACD’s Report, weconsider whether those reports include the disclosures required by applicable legal requirements.

Colleen Local (Senior Statutory Auditor)for and on behalf of PricewaterhouseCoopers LLPChartered Accountants and Statutory AuditorsLondon

27 April 2017

‘Flie maintenance and integrity ol the (‘otntiteribank (‘(‘BI Investitient lunds K’Vf’ websile is the tcspottsihility 01

the A(’I ); the work carried out by the auditors does not involve consideration ol these mattel’s and, accordingly, the

auditors accept to respoitsihi ity ku any changes that may have occuirecl to the knancial statements since they were

ititially presented on the website.

I.egislation in the litited Kingdom governing the preparation and dissemination of Ilitancial statenlettis may diflet

from legislation in other jurisdictions.

25


Commerzbank CCBI RQFII Money Market UCITS ElF

Statement of Total Return


Income:Net capital lossRevenue

Expenses

Net revenue before taxation

Taxation

Net revenue after taxation

Total return before distributions

Distributions

Change in net assets attributable to Shareholdersfrom investment activities

5

Note RMB RMB

2 (1,086,144)3 7,121,191

4 (1,629,570)

5,491,621

48,613

5,540,234

4,454,090

6 (5,506,658)

(1,052,568)

For the period from 19 December 2014 (date of incorporation) to 31 December 2015

.

Note RMB RMBIncome:

Net capital gains 2 450, I 30Revenue 3 3,433,136

Expenses 4 ($18,790)

Net revenue before taxation 2,614,346

Taxation 5 (48,613)

Net revenue after taxation 2,565,733

Total return before distributions 3,015,863

l)istributions 6 (2,613,983)

Change in net assets attributable to Shareholders frominvestment activities 401,880

26


Statement of Change in Net Assets Attributable to Share!totders


Opening net assets attributable to Shareholders

Amounts receivable on issue of shares

RMB RMB

247,200,929

2,536,5402,536,540

Change in net assets attributable to Shareholders (1,052,568)

Closing net assets attributable to Shareholders 248,684,901

For the period from 19 December 2014 (date of incorporation) to 31 December 2015

RMB RMB

Opening net assets attributable to Shareholders -

Amounts receivable on issue of shares 255,292,846

. Amounts payable’ on cancellation of shares (8,493,79.7)246,799,049

Change in net assets attributable to Shareholders 401,880

Closing net assets attributable to Shareholders 247,200,929

2?


Commerzbank CCBIRQFII Money Market UCITS ETF

Balance Sheet -

asat3l December2016

Note 31 December 31 December2016 2015

Assets RMB RMB

Fixed Assets:Investments

Current Assets:DebtorsCash and bank balances

Total assets

239,040,210 235,758,394

78

2,736,63612,549,914

254,326,760

3,020,02211,254,796

250,033,212

Liabilities

Creditors:Distribution payable 5,506,658 2,613,983Othercreditors 9 135,201 218,300

Total liabilities 5,641,859 2,832,283

Net assets attributable to Shareholders 248,684,901 247,200,929

28


Comrnerzbank CCBI RQFII Money Market UCITS ETF

Statement of cashftows

as at 31 December 2016

Cash flows from operating activities

Note 31 December2016

RMB

31 December2015

RMB

Investing activitiesPurchases of investmentsSales of investmentsOther capital charges and creditsNet cash used in operating activitiesCash flows before financing activities

222.

779

5,491,621

1,058,3754,970

15,388108,360283,386

(83,099)(1,037,531)

5,841,470

2,614,346

(522,108)26,78045,198

723,260(2,740,022)

(280,000)218,300398,050483,804

financing activitiesAmounts received on issue of shares 2,536,540 255,292,846Amounts paid on cancellation of shares - (8,493,797)Distributions paid (2,613,983) -

Net cash used in/from financing activities (77,443) 246,799,049

Net increase in cash and bank balances 1,300,088 I 1,28 1,576Cash and bank balances at beginning of the year I 1,254,796 —

Exchange losses on cash and bank balances 2 (4,970) (26,780)

Cash and hank t)alances at end of the year 8 12,549,914 1 1,254,796

Comparative figures have been presented for the financial period from 19 December 2014 (date ofincorporation) to 3 I December 2015, as the Company was incorporated on 19 December 2014.

Net revenue before taxationAdjustment for non-cash flow items:- Losses / (gains) on investments- Exchange losses- Non-operating expenses of a capital nature- Amortisation- Increase / (decrease) in accrued income- Decrease I (increase) in other debtors- (Decrease) / increase in creditors- Net Capital (gains) / losses less tax adjustment

Cash flows from operating activities

15 (450,005,059)15 445,556,5082 (15,388)

(4,463,939)1,377,531

(683,251,689)447,295,6 JO

(45,198)(236,001,277)(235,517,473)

29



Notes to the financial Statements

1. Accounting policies

Basis of accounting

The financial statements have been prepared in accordance with the historical cost convention, asmodified by the revaluation of investments, and in accordance with the Statement of RecommendedPractice (“SORP”) for Authorised Funds issued by the IMA in May 2014 and Financial ReportingStandard 102 (“FRS ]02”) ‘the Financial Reporting Standard applicable in the UK and Republicof Ireland’.

The financial statements have been prepared on a going concern basis.

The comparative figures for the Statements of Total Return, Change in Net Assets Attributable toShareholders and Cashflows are presented for the financial period from 19 December 2014 (date ofincorporation) to 31 December 2015. The comparative figures included for the Balance Sheet are asat 31 December 2015.

The accounting policies used in the preparation of these financial statements are consistent withthose used in the Company’s most recent annual financial statements for the period ended 31December 2015.

Basis of valuation of investments

Listed investments of the Fund have been valued at market value at the Valuation Point time of 12noon, on 30 December 2016, being the last business day of the accounting year. Market value isdefined by the SORP as fair value which generally is bid value of each security, excluding anyaccrued interest in the case of fixed and floating rate securities. Certificates of deposit are valued atnominal value. Unlisted securities have been valued at a price deemed appropriate by the ACD.

In March 2016, the Financial Reporting Cotincil (“FRC”) issued “Amendments to FRS 102 ‘TheFinancial Reporting Standard applicable in the UK and Republic of Ireland’ - Fair value hierarchydisclosures” impacting relevant to financial institutions and retirement benefit plans. Theseamendments are et’fective for accounting periods beginning on or after I January 2017 with earlyadoption permitted. The Company has decided to early adopt these amendments with the relevantdisclosures contained in note 13 of the Fund’s financial statements.

Foreign exchange

Transactions in foreign currencies are translated at the rate of exchange ruling on the date of thetransaction. Where applicable, assets and liabilities denominated in foreign currencies are translatedinto RM B at the rates of exchange at 12 noon on 30 December 2016, being the last working day ofhe accounting year.

30



Notes to the financial Statements (contimted)

1. Accounting policies (continued)

Recognition of revenue

Interest earned on interest-bearing securities is determined on an effective yield basis. Effectiveyield is a revenue calculation that reflects the amount of amortisation of any discount or premiumon the purchase price over the remaining life of the security.

Other revenue, including interest on bank balances, is accounted for on an accruals basis.

Interest on debt securities bought or sold is excluded from the capital cost of securities, and is dealtwith as part of the revenue of the Fund.

Treatment of expenses

All expenses are recognised on an accruals basis and are charged to the revenue property of the Fundwith the exception of the expenses, such as handling charges, which relate to the purchases and salesof investments. These are taken to capital.

Multi-share class apportionment

The allocation of revenue and expenses to each share class is based upon the proportion of the Fund’sassets attributable to each share class on the day the revenue is earned or the expense is suffered.The ACDs periodic charge is the specific expense to each share class.

Taxation

Revenue is stated net of irrecoverable tax credits. Where revenue is received after the deduction ofwithholding tax, the revenue is shown gross of taxation, and the tax consequences are shown withinthe tax charge.

Distribution policy

If the revenue exceeds expenses and taxation, taken together at the end of an accounting year, adistribution is available to be made to Shareholders in accordance with regulations. The net revenueon income shares is distributed to Shareholders annually on the last btisiness day of January. TheFund satisfied the qualifying investments test of Section 19 The Atithorised Investment Funds (Tax)Regulations 2006 (52006/964) throughout the year. All distributions made are therefore made asinterest distributions.

Unclaimed distributions

t)istributions which have remained unclaimed by Shareholders for over six years are forfeited andrevert to the Ftind.

Eq tial isation

The ACI) has taken the decision to apply income equalisation to the year end distributions c)l theComiuerzhank CCI3I RQFI I Money Market UCITS ETF. This election is in line with the hind’s

t)rOsPCcttiS.

31



Notes to the financial Statements (continued,

2. Net capital (losses)/gains

The net capital (Iosses)/gains during the year comprise:

31 December 31 December*2016 2015

RMB RMB(1,065,786) 522, 108

(4,970) (26,780)(15,388) (45,198)

(1,086,144) 450,130


RMB RMB7,081,992 3,391,414

39,199 41,7227,121,191 3,433,J36


RMB RMB

1,629,570 818,7901,629,570 8 18,790

* The audit fees for 2016 was £28,000 and was paid by the ACD (2015: £30,000)

5. Taxation31 December

2016RM B

31 Deccrnber*2015

RM B

(a) Analysis of charge in the year:

Capital gains taxTotal tax (credit)/charge

for the period from 19 1)ecemher 2t) 14 (date of incorporation) Ic) 3 I t)eceinher 2015.

Non-derivative securitiesCurrency lossesTransaction charges

Net capital (losses)/gains on investments

3. Revenue

Interest on debt securitiesBank interestTotal revçnue

4. Expenses

Payable to the ACD or associates of the ACD:ACD service chargeTotal expenses

(48,613) 48,613(48.613) 48.613

32


• for the year ended 31 December 2016

• Notes to the Financial Statements (continued)

5. Taxation (continued)

(b) Factors affecting taxation charge of the year:

The tax assessed for the year is lower than the standard rate of corporation tax in the UK for anopeli-ended investment company (20%). The differences are explained below:


RMB RMBNet revenue before taxation 5,491,621 2,614,346Corporation tax at 20% 1,098,324 522,869

Effects of:Tax deductible interest distributions (I ,09$,324) (522,869)Capital gains tax (48,613) 48,613Current tax (credit)/charge (48,613) 48,613

6. Distributions

There was a distribution of RMB 5,506,658 during the year ended 3 1 December 2016. The belowtable gives the class wise details inRMB:


RMB RMBCIassARMB 5,453,210 2,565,165Class B GBP 1,023 811Class C EUR 52,425 48,007Total distribution 5,506,658 2,613,983

7. Debtors

31 I)ecembcr 31 December*2016 2015

RMB KMBAccrued revenue 2,456,636 2,740,022Clearing reserve 280,000 280,000Total debtors 2,736,636 3,020,022

* kr the period frQIu 19 I)eceiuber 2014 (date ol incorporation) to 3 I t)ecemher 2015.

33



Notes to the Financial Stateiñehts (continued)

8. Cash and bank balances

Cash held at bankTotal cash held at bank

Accrued expensesPayable to the ACDTax payableTotal other creditors

31 December*2015

RMB11,254,79611,254,796

12,549,91412,549,914


RMB RMB- 32,496

135,201 137,191- 48,613

135,201 218,300

* fo the period from 19 December 2014 (date of incorporation) to 31 December 2015.

10. Contingent liabilities

There were no contingent liabilities at the end of the year (2015: none).

11. Related party transactions

Cornrnerz Funds Solutions S.A., the ACD is deemed to be a related party tinder the definition ofFRS 102 section 33, which requires the disclosure of details of material transactions between theCompany and any related party.

The ACD, a related party, acts as principal on all the transactions of shares in the Fund. Theaggregate monies received through creations arid liquidations are disclosed in the Statement ofchange in net assets attributable to Shareholders, amounts due to/from the ACD in respect of sharetransactions at the year-end are disclosed in the balance sheet.

Amounts paid to the ACD in respect of periodic charges and administration fees is RMB 1,629,570(31 December 2015: RMB $18,790) and amounts due at the end of the year is RMB 135,201 (31December 2015: RMB 137,191).

The ACI) did not enter into any other transactions with the Fund during the year ended3 I t)ecember 2016.

As at 31 December 2016 all of the shares of the Fund are held by CCB International Assetlvi ariageinent.

t)ealings vith Associates:

There were no brokerage deals for the year effected through connected rcror1s (2015: none).

Any transactions through related parties are entered into in the ordinary course ol business and onnormal commercial terms.

31 December2016

RMB

9. Other creditors

34



Notes to the financial Statements (continued)

12. Risks of financial instruments

The risks arising from the Fund’s financial instruments are market price, interest rate, liquidity,credit and default risks. The ACD reviews (and agrees with the Depositary) policies for managingeach of these risks and these are summarised below. These policies have remained unchanged sincethe beginning of the year to which these financial statements relate.

Market price riskMarket price risk arises mainly from uncertainty about future prices of financial instruments held.It represents the potential loss the Fund might suffer through holding market positions in the face of

price movements.

The ACD monitors on a daily basis the asset allocation of the portfolio in order to minimise the riskassociated with China and industry sectors whilst continuing to follow the investment objective. Anindividual fund manager has responsibility for monitoring the existing portfolio selected inaccordance with the overall asset allocation parameter and seeks to ensure that individual stocksalso meet the risk reward profile that is acceptable.

Liqttidity riskLiquidity risk relates to the capacity to meet liabilities as they fall due.The primary source of thisrisk to the Fund is the liability to Shareholders for any cancellation of shares. The risk is minirnisedby holding cash, readily realisable securities and access to overdraft facilities.

The .risk of low market liquidity, through reduced trading volumes, may affect the ability of theFund to trade financial instruments at values indicated by market data vendors. From time to time,liquidity may also be affected by stock specific or economic events.

To manage these risks the Investment Manager undertakes detailed research to select appropriate

investment opportunities in line with the Fund’s objective. All stocks are valued daily but thosestocks identified as being less liqtiid are reviewed on a regular basis for pricing accuracy.

Certain restrictions imposed by the Chinese government on RQFlls may have an adverse etTect onthe relevant Fund’s liquidity and performance. The State Administration of Foreign Exchange (the“SAFE’’) regulates and monitors the repatriation of funds out of the PRC by the RQFII pursuant to

the RQFII Measures. Repatriations in RMB conducted by RQFIIs in respect of an open-endedRQFII fund are currently not subject to any lock-tip periods, prior approval or other repatriationrestrictions, although authenticity and compliance reviews will be conducted, and monthly reportson remittances and repatriations will he submitted to SAFE by the PRC Custodian. There is noassurance, however, that PRC rules and regulations will not change or that repatriation restrictionswill not be imposed in the future. Any restrictions on repatriation of the invested capital and netprofits may impact on the relevant Ftmd’s ability to meet redemption requests from theShareholders. Furthermore, as the PRC Custodian’s review on authenticity and compliance isconducted on each repatriation, the repatriation may he delayed or even rejected by the PRCCustodian in case of non—compliance with the RQFII regulations. In such case, it is expected thatredemption proceeds will be paid to the redeeming Shareholder as soon as practicable aftercompletion of the repatriation of funds concerned. It should he noted that the actual fime reciumimedfor the completion of the relevant repatriation will be beyond the Investment Manager’s control.

35


• for the year ended 31 December 2016

• Notes to the financial Statements (contiitued)

12. Risks of financial ii)struments (continued)

Interest rate riskInterest rate risk is the risk of movements in the value of the financial instruments as a result offluctuations in interest rates. The Fund invests in fixed and floating rate securities, as well as fixedand floating rate deposits. Any change to the interest rates relevant for particular securities mayresult in either revenue increasing or decreasing or the ACD being unable to secure similar returnson the expiry of contracts or the sale of securities. In addition, changes to prevailing rates or changesin expectations of future rates may result in an increase or decrease in the value of the securitiesheld.

In general, if interest rates rise, the income potential of the Fund also rises, but the value of fixedrate securities will decline. A decline in interest rates will generally have the opposite effect.

Interest rate risk profile offinancial assets and liabilities

The interest rate risk profiles of the Fund’s financial assets and liabilities at 3 1 December were:

Interest rate assets exposure as at 3 1 December 2016

• Financial• Floating rate Fixed rate assets not

financial financial carryingassets assets interest Total

Currency RMB RMB RMB RMB

EUR 77,898 - - 77,898GBP 42,092 - - 42,092RMB 12,709,924 239,040,210 2,456,636 254,206,770

12,829,914 239,040,210 2,456,636 254,326,760

Interest rate liabilities exposure as at 31 December 2016

FinancialFloating rate Fixed rate liabilities not

financial financial carryingliabilities liabilities interest Total

Currency RMB RN’IB RMB RMB

EUR - - 52,425 52,425GI3P - - 1,023 1,023RMB - 5,588,411 5,588,411

- 5,641,859 5,641,859

36



Notes to the Financial Statements (continued,

12. Risks of financial instruments (continued)

Interest rate risk profile offinancial assets and liabilities (contintted)

Interest rate assets exposure as at 31 December 2015

financialFloating rate Fixed rate assets not

financial financial carryingassets assets interest Total

Currency RMB RMB RMB RMB

EUR 124,470 - 124,470GBP 48,848 48,848

RMB 11,361,478 196,204,874 42,293,542 249,859,894

11,534,796 196,204,874 42,293,542 250,033,212

Interest rate liabilities exposure as at 3 1 December 2015

FinancialFloating rate Fixed rate liabilities not V

financial financial carryingliabilities liabilities interest Total

Currency V RMB RMB RMB V RMB

EUR - 48,007 48,007

GBP - 811 811RMB

- V

- 2,750,969 2,750,969

USD - 32,496 32,496- 2,832,283 2,832,283

For all currencies, interest is earned by reference to their international benchmark equivalents.

The Ftind receives revenue from holdings in fixed interest investments. Given that the Funds

objective is to provide a high and regtilar revenue whilst not neglecting capital growth, these

cashliows are considered to be of primary importance and are actively managed.

Sensitivity analysis

At 31 December 2016, should interest rates have lowered by 100 basis points with all other variables

remaining constant, the increase in net assets attributable to Shareholders for the financial year wouldamount to approximately RMB 846,441 (31 December 2015: RMB 754,900) arising substantially

from the increase in market values of debt securities. An increase in interest rates of 100 basis points

would have had an equal htit opposite effect.

37



Notes to the Fiñaitcial Statements (contintted)


Credit risk

Credit risk is the risk of suffering financial loss as a result of a counterparty to a financial transactionsbeing unable to fulfil their financial obligations as they fall due. Bonds or other debt securitiesinvolve credit risk to the issuer which may be evidenced by the issuer’s credit rating. Securitieswhish are subordinated and/or have a lower credit rating are generally considered to have a highercredit risk and a greater possibility of default then more highly rated securities.

Credit Risk as at 31 December 2016

Investment

AAA

31 December 2016Value

RMB

% of

Net Asset

Value

A-I

Total Bonds

Credit Risk as at 3 I December 2015

Investment

AAA

A- I

Total Bonds

239,040,210. 96.12

31 December2015 %ofValue Net AssetRMB Value

195,741,294 79.18

40,017,100 16.19

235,758,394 95.37

The Fund invests in bonds issued by a number of companies.

If any individual company fails to perform well, the credit rating of the company may well fall andthe bonds would fall in price. All investments are monitored internally and externally by a numberof different agencies and assigned ratings, which often change over time. The Fund closely monitorsthe ratings of the bonds within the portfolio.

Leverage riskThe Fund may engage in leverage for investment purposes om. as part of a hedging strategy. The useof leverage creates special risks and may significantly increase the Fund’s investment risk. Leveragewill create an opportunity for greater yield and total return btmt, at the same time, will increase theFund’s exposure to capital risk and interest cc)sts. Any investment income and gains earned oninvestments made through the use of leverage that am.e in excess of the interest costs associatedtherewith may cause the Net Asset Value of the Shares to increase more rapidly than wouldotherwise be the case.

There were no derivative products used for leveraging cltm ng the year (2t) IS: None).

38



Notes to the Financial Statements (continued)


Defatttt riskThe Fund invests in bonds that are at risk of default at any time.

Bond defaults may be characterised by any missed or delayed payment of interest or principal,bankruptcy or breach of certain financial covenants that may render them financially distressed.This risk is minimised by regularly monitoring the bonds internally and externally through theratings agencies.

Credit and counterparty risk is not considered as significant given the credit rating of the porfolio.

Currency exposureA proportion of the Fund’s assets are denominated in currencies other than RMB. The table belowshows the foreign currency risk profile as at 31 December 2016

Monetary Non-monetaryexposures exposures Total

Currency RMB RMB RMB

EUR 25,473 25,473GBP 41,069 41,069RMB 9,578,149 239,040,210 248,618,359

9,644,691 239,040,210 248,684,901

Currecny exposure as at 31 December 2015

Monetary Non-monetaryexposures exposures Total

Currency RMB RMB RMB

EUR 76,463 76,463GBP 48,037 - 48,037RMB 11,350,531 235,758,394 247,108,925USD (32,496) - (32,496)

11,442,535 235,758,394 247,200,929

Currency risk is not considered as significant as the the porttolio holdings are denominated in RMB,

Other riskCertain transactions in securities that the Fund enLers into expose it to the risk that the counter—party

will not deliver the investment (purchase) or cash (sale) after the Fund has fulfilled itsresponsibilities.

The Fund mainly deals, however, on a ‘delivery versus payment’ basis which reduces counter—partyrisk. The Fund only htiys and sells investments through brokers which have been approved by theAC!) as an acceptable counter—party. In addition, limits are set as to the maximum exposure to anyindividual broker that may exist at any time; these limits are reviewed quarterly,

39




13. fair value hierarchy

Early adoption of the “Amendments to FRS 102 ‘The Financial Reporting Standard applicable inthe UK and Republic of Ireland’ - Fair value hierarchy disclosures” issued by the FRC requires theCompany to classify financial instmments measured at fair value into the following hierarchy:

• level 1: The unadjusted quoted price in an active market for identical assets or liabilities thatthe entity can access at the measurement date.

• level 2: Inputs other than quoted prices included within Level I that are observable tiedeveloped using market data) for the asset or liability, either directly or indirectly.

•. level 3: Inputs are unobservable (ie for which market data is unavailable) for the asset orliability.

A fair value measurement is categorised in its entirety on the basis of the lowest level input that issignificant to the fair value measurement in its entirety.

The tables below set out the classification of the Fund’s financial instruments measured at fair valuein accordance with FRS 102:

Valuation technique Assets31 December

2016RMB

Level I - Quoted prices for identical instruments in activemarketsLevel 2 - Valuation techniques using observable market dataLevel 3 - Valuation techniques using non-observable data

__________________________________

Valuation technique

Level I - Quoted prices for identical instruments in activemarketsLevel 2 — Valuation techniques using observable market dataLevel 3 — Valuation techniques using non—observable data

________________________________________________

Liabilities31 December

2016.RMB

239,040,210

239,040,210 -

Assets Liabilities31 December 31 December

2015 2015RMB RMB

39,553,520 -

196,204,874 -

235,758,394 -

40




14. Shareholder funds

The Fund has three share classes in issue: Class A RMB, Class B GBP and Class C EUR. The annualmanagement charge on each share class is 0.65% per annum.

The number of shares in each share class are given in the below table:

Units in issue

Unit Class

Class A RMBClass B GBPClass C EUR

Opening Units Closing1 January 2016 Issued Redeemed Converted 31 December 2016

2,425,000 25,000 - - 2,450,000500 - - - 500

35,500 - - - 35,500

Units in issue

Unit Class Issued

Class A RMB 2,425,000Class B GBP 500CbssCEUR 160,500

The distribution per share class is given in the Distribution Tables on page 44 and page 45.

All share classes have the same rights on winding up.

Units ClosingRedeemed Converted 31 December 2015

-

- 2,425,000-

- 500125,000 - 35,500

41


for the period from 19 December 2014 (date of incorporation) to 31 December2015


15. Portfolio transaction costs

For the year ended 31 December 2016Analysis of totalpurchases costs Commissions Taxes

RMB % RMB

Bonds transactionsTotalTransaction costsTotal Purchases aftercommission and tax

450,005,060450,005,060

Analysis of total satescosts Vatue

RMBCommissions

RMB

Bonds transactionsCorporate actions

___________

TotalTransaction costsTotal Sales aftercommission and tax

Commissions and taxes as % of average Net Assets

Commissions 0.00%

The average portfolio dealing spread as at the balance sheet date was 0.00%.

ValueRMB

- 0.00%

450,005,060

415,556,50830,000,000

445,556,508

TaxesRMB %

- 0.00%

445,556,508

42


for the period from 19 December 2014 (date of incorporation) to 31 December2015

Notes to the Financiat.Statements (continued)

15. Portfolio transaction costs (continued)

For the period ended 31 December 2015Analysis of totalpurchases costs Value Commissions Taxes

RMB RMB % RMB

Bonds transactions 683,251,689 1,727 0.00%Total 683,251,689 1,727Transaction costs I ,727Total Purchases aftercommission and tax 683,253,416

Analysis of total salescosts Value Commissions

RMB RMB

Bonds transactions 447,295,610 1,741 0.00%Corporate actions 9,849,790 - -

Total 457,145,400 1,741Transaction costs I ,74 ITotal Sales aftercommission and tax 457,143,659

Commissions and taxes as % of average Net Assets

Commissions 0.00%

The average portfolio dealing spread as at the balance sheet date was 0.00 %.

16. Events after the balance sheet date

There are no subsequent events to be reported after the balance sheet date (2015: None).

43

Comrnerzbank CCBI Investment Funds ICVC



Distribution Tables

Cornmerzbank CCBI RQFII Money Market UCITS ETF

Final


Class ARMB (in RMB per share)

2016Gross Income Net Equalisation Distribution

Group Revenue tax Revenue Payable

Group 1 2.7823 0.5565 2.2258 - 2.2258

Group 2 2.7745 0.5549 2.2 196 0.0062 2.2258

Class B GBP (in RMB per share)

Gross Income Net 2016

Group Revenue tax Revenue Equalisation Distribution Payable

Group I 2.5574 0.5 115 2.0459 2.0459

Group 2 2.5574 0.5115 2,0459 2.0459

Class C EUR (in RMB per share)



Group I 1.846 0.3692 1 .4768 - 1.4768

Group2 1.846 0.3692 1.4768 - 1.4768

As of I January 2016 the ACD has taken the decision to apply income equalisation to the year end

distributions of the Commerzbank CCBI RQFll Money Market UCITS ETF. This election is in line with

the Fund’s prospecws.

44



Notes to the Financial Statements (continued)

Distribution Tables (continued)


Final

For the period ended 31 December 2015

Class A RMB (in RMB per share)

2015Gross Income Net Equalisation Distribution

Group Revenue tax Revenue Payable

Group 1 1 .3223 0.2645 1 .0578 1 .0578Group 2 1.3223 0.2645 1.0578 1.0578

Class B GBP (in RMB per share)



Group I 2.0271 0.4054 1.6217 - 1.6217

Group 2 2.0271 0.4054 1.6217 . 1.6217

Class C FUR (in RMB per share)



Group I 1.6904 0.3381 1.3523 - 1.3523

Grotip 2 I .6904 0.3381 1.3523 - 1.3523

As of I Jantiary 2016 the ACD has taken the decision to apply income eqtialisation to the year end

distributions of the Comrnerzbank CCBI RQFII Money Market UCITS ETF. This election is in line withthe Fund’s prospecws.

45

Commcrzbank CCBI Investment Funds ICVC


Appendix

UCITS V — Disclosure of Remuneration Policy

The Company has implemented a remuneration policy pursuant to Directive 2014/91/EU of the

European Parliament and of the Council of 23 July 2014 amending Directive 2009/65/EC on the

coordination of laws, regulations and administrative provisions relating to undertakings for collective

investment in transferable securities (UCITS) as regards to depositary functions, remuneration policies

and sanctions (the “UCITS V Directive”).

The first financial period for which the Company has to comply with the UCITS V remuneration rules will

commence from 1 January 2017. As a result, the aggregate amount of remunerationbroken down by

category of employees or other staff members as well as the other information that is required by the

UCITS V DIrective to be disclosed in the annual report is not yet available.

4()

Commerzbank CCBI Investment Funds ICVC England and Wales ... · Commerzbank AG London Branch 30...

Documents

Transcript of Commerzbank CCBI Investment Funds ICVC England and Wales ... · Commerzbank AG London Branch 30...