Title: URL Source: https://doc.morningstar.com/document/6901dc53869ef251439c023bba731dd1.msdoc/?clientid=ajbell&key=805803a4ca9fc338 Markdown Content: The Law Debenture Corporation p.l.c. Purpose of the Key Information Document: This document provides you with key information about this investment product. It is not marketing material. The information is required by law to help you understand the nature, risks, costs, potential gains and losses of this product and to help you compare it with other products. Ordinary shares in The Law Debenture Corporation p.l.c. Identifier: GB0031429219 The Law Debenture Co rporation p.l.c. www.lawdebenture.com/investment -trust/ Call +44 207 606 5451 for more information Competent Authority: Financial Conduct Authority Date of Publication: 20 -03 -2024 What is this product? Type Investment trust shares listed and traded on the London stock exchange. Objectives To achieve long term capital growth in real terms and steadily increasing income. The aim is to achieve a higher rate of total return than the FTSE Actuaries All -Share Index. The Law Debenture Corporation p.l.c. (“LWDB ”) invests typically in shares of listed companies which are held in a portfolio diversified both geographically and by industry. LWDB also wholly owns trading subsidiaries (providing independent professional services or IPS), the profits of which are available for investment and/or to supplement revenue fl ows from the stocks held in the investment portfolio. LWDB has long term borrowings in an aggregate amount of £164m. The existence of long term borrowings could magnify any gains or losses made by LWDB. Intended retail investor Investors who are seeking exposure to the stock market but wish to spread the risk by investing in a product that is itself invested in a large number and wide range of investments, diversified geographically and by industry. The product suits investors who are willing to stay invested on a long term basis (at least five years) and who wish t o receive an attractive dividend yield but do not require guaranteed income. They should understand the inherent risks of investing in shares, which include the potential to suffer a loss on the original capital investment if the shares are sold at a lower price than that at which they were acquired and that a dividend yield is not guaranteed. Shares of LWDB are bought and sold via the stock market where shares prices typically trade on a “spread”. Maturity date This product has no maturity date. LWDB is owned by its shareholders and can only be terminated (wound up) with shareholder approval. What are the risks and what could I get in return? Risk indicator ## 1 2 3 4 5 6 7 Lower Risk Higher Risk The risk indicator assumes you keep the product for fi ve years. The actual risk can vary significantly if you cash in at an early stage and you may get back less than invested. The summary risk indicator is a guide to the level of risk of this product compared to other products. It shows how likely it is that the product will lose money because of movements in the markets or because we are not able to pay you. We have classified this product as 5 out of 7, which is a medium -high risk class. This rates the potential losses from future performance at a medium -high level, and poor market conditions will likely impact the capacity to pay you. > KE Y I N F O R M A T I O N D O C U M E N T Historical data is not a reliable indicator of the future risk profile of this investment. LWDB is exposed to certain risks that the risk indicator may not adequately capture including gearing. This product does not include any protection from future market performance so you could lose some or all of your investment (should LWDB become insolvent) . If LWDB were liquidated, you would be entitled to receive a distribution equal to your share of the Company’s assets, after payment of all of its creditors . If we are not able to pay you what is owed, you could lose your entire investment. Investment performance information (a) Main factors that affect future returns LWDB is a listed UK company. The value of its shares and any income from those shares can fall as well as rise and investors may not get back the amount invested. Key factors effecting future returns for the investors include (and in no particular order): (a ): macroeconomic factors which effect the economy and therefore the share price; (b) the performance of stocks chosen by the investment managers; (c) other than the investment portfolio , the performance of the IPS business which the investment trust owns ; (d) the level of the discount/premium which investors should review when considering the purchase of shares (b) Relevant proxy FTSE Actuaries All -Share Index (c) What could affect my returns positively? Same as (a), and some or all of these factors being positive (d) What could affect my returns negatively? Same as (a), and some or all of these factors being negative (e) What outcome can you expect when the PRIIP matures or is redeemed under severely adverse market conditions? The investment objective is to ‘achieve long term capital growth in real terms and steadily increasing income. The aim is to achieve a higher rate of total return than the FTSE Actuaries All Share Index through investing in a diversified portfolio of stocks’. If the investment is made f or this purpose it is more likely to have a positive outcome. If the investment is bought and sold in adverse market conditions and in the short term this is less likely. What happens if The Law Debenture Corporation p.l.c. is unable to pay out? As the shares are not traded directly with LWDB, but are traded on the London Stock Exchange, a default by LWDB or any of the underlying holdings could affect the value of your investment. As the shares are listed on the London Stock Exchange, any direct hold ing of these shares is not covered by the Financial Services Compensation Scheme in the event LWDB becomes insolvent. Any loss will not be covered by an investor compensation or guarantee scheme . What are the costs? Reduction in Yield (RIY) The Reduction in Yield (RIY) shows what impact the total costs you pay will have on the investment return you might get. The total costs take into account one -off, ongoing and incidental costs. The amounts shown here are the cumulative costs of the product itself, for three different holding periods. They include potential early exit penalties. The fi gures assume you invest GBP 10,000. The figures are estimates and may change in the future. Costs over time The person selling you or advising you about this product may charge you other costs. If so, this person will provide you with information about these costs, and show you the impact that all costs will have on your investment over time. Investment GBP 10,000 INVESTMENT SCENARIOS If you cash in after 1 Year If you cash in after 3 Years If you cash in after 5 Years Total costs (GBP) 62 187 314 Impact on Return (RIY) per Year (%) 0.62% 0.62% 0.62% > KE Y I N F O R M A T I O N D O C U M E N T Composition of costs The table below shows the impact each year of the different types of costs on the investment return you might get at the end of the recommended holding period and the meaning of the different cost categories. This table shows the impac t on return per year. One -off costs Entry costs 0.00% The impact of the costs you pay when entering your investment. This is the most you will pay, and you could pay less. Exit costs 0.00% The impact of the costs of exiting your investment when it matures. Ongoing costs Portfolio transaction costs 0.09% The impact of the costs of us buying and selling underlying investments for the product. Other ongoing costs 0.49% The impact of the costs that we take each year for managing your investments. Incidental costs Performance fees 0.00% The impact of the performance fee. Carried interests 0.00% The impact of carried interests. How long should I hold it and can I take my money out early? The recommended minimum holding period of fi ve years has been selected for illustrative purposes only and reflects the long -term nature of the LWDB’s investment objectives. Although you should be prepared to hold your shares for at least five years, you can reduce your holding witho ut penalty by LWDB at any time the London Stock Exchange is open by selling some or all of them. How can I complain? As a shareholder of LWDB, you do not have the right to complain to the Financial Ombudsman Service about the management of LWDB. Complaints about LWDB or the KID should be sent to: The Company Secretary, The Law Debenture Corporation p.l.c., 8th Floor, 100 Bishopsgate, London, EC2N 4AG. Website: www.lawdebenture.com/investment -trust. Other relevant information Depending on how you buy these shares you may incur other costs, including broker commission, platform fees and stamp duty. The distributor will provide you with additional documents where necessary. You can access additional information about the Company, including the Annual and Half Year Reports, Factsheets and relevant articles, at www.lawdebenture.com. The report and accounts will include details of the Company's management fees and administrative expenses, which are the main components of the other ongoing costs disclosed in the table above. The most up to date version of this Key Information Document can be found on the Company's website at Prospective Shareholders / Key Information Document - La w Debenture . If you are in any doubt about the action you should take, you should seek independent financial advice.