Description of Business & Investing Policy
Jade Road (JADE) is quoted on the AIM Market of the London Stock Exchange and is focused on seeking the best risk-adjusted returns globally. The Company will provide financing globally, primarily backed by real assets, with a primary focus on income-production on seeking the best risk-adjusted returns globally
The Company will increase diversification and shift geographic focus toward more stable regions with stronger legal systems.
The investing policy of Jade Road is the following:
1) The Company has an indefinite life, is sector agnostic and is targeting assets in any class which will produce income returns, with a secondary focus on capital gains over time for its Shareholders.
2)The Company will seek the best risk-adjusted returns globally, with a preference for investments governed by legal systems that the Company understands and believes to be reliable.
3)The Company may invest directly into listed securities, over-the-counter traded securities, currencies, companies, real assets, contractual obligations, or commodities ("Direct Financings").
4)The Company may provide financing to entities, becoming a lender to, or a limited partner or shareholder of, an affiliated or third party which itself has a strategy to invest in underlying listed securities, over-the-counter traded securities, currencies, companies, real assets, contractual obligations or commodities ("Indirect Financings").
5)The Company shall ensure that at the time of entering into a Direct Financing, it shall represent not more than 30% of the Company’s net asset value immediately following the relevant transaction. There is no limit on the number of investments the Company may take.
6)The Company shall ensure that at the time of entering into an Indirect Financing, no underlying asset of the indirectly financed entity shall represent more than 30% of the Company’s net asset value immediately following the relevant transaction.
7) There is no restriction on the duration the Company will hold any investment nor any restriction on the time for the Company to make its investments in such assets.
8) The Company will pursue a predominantly passive management strategy. However, on a case by case basis, it may consider securing additional governance rights such as observer or board appointments where the situation or asset dictates such additional oversight.
9)The Company may utilise gearing when appropriate. The Company will continue to exercise prudence in determining whether prevailing market conditions and investor expectations warrant the utilisation of any leverage over its portfolio.
10)The Company will consider issuing its own shares as consideration for interests in other companies but such cross holdings will be limited to 20 per cent. of the Company’s issued shares in aggregate from time to time.