Which can also rent to be achieved when connecting rentals are subject to large fluctuations, so also considerably lower than that planned. Borrowing in Swiss francs: the Fund had taken a portion of the loans in Swiss francs and so a lower interest burden. This had to result but also the risk of exchange rate fluctuations. The drop in the value of the euro against the Swiss franc has led in recent years, that the overall loan burden has grown and also for payments to be in Swiss francs to the Bank spend were higher amounts in euro. This has weighed heavily on the economic situation of the Fund. Swiss franc funding can have disadvantages, was communicated to investors in the minority of cases. Agreed interest coverage: many Fund shareholders for the first time from writing the HCI trust by May 10, 2010, learned that in relation to the borrowing for the Fund real estate an agreement was reached with the financing bank, a certain ratio of income to Interest payments do not fall below may (so-called interest coverage ratio).
This happens, the Bank is entitled to special repayment until the interest burden is again in the agreed framework. Is this not in the position, the Bank may terminate the loan and exploit the real estate. This dramatic consequences can be found neither in the Fund’s prospectus, yet they were revealed to investors in advance of participation. Suitable real estate funds as retirement savings: the funds as a safe investment has been recommended many investors for their retirement. As demonstrated in the face of the risk of loss that have realized, a suitability as retirement does not exist. This seems even the Federal Supreme Court and has been awarded for this reason alone already damages investors. Share of the real estate fund in fact inalienable: because there is no functioning secondary market for shares in funds, are in fact not to sell the shares.
However, some investors were assured of the ability to sell at any time. Risk of loss: The existing in each closed-end funds Many investors were not at all informed risk of loss. Total limitation of compensation claims threatens 2012 – limitation day exactly 10 years after consulting investors of HCI funds Austria II we strongly advise that promptly by specialized lawyers for banking and capital market law to check, whether they can claim damages against their advisors due to faulty investment advice. Because the statutory limitation period, the so-called total limitation occurs exactly ten years after the investment advice or the drawing of this participation. After that, no claims can be made more claims against the respective consultants, nor against the founding shareholders of the Fund as a contractual partner of acceding investors. Therefore, Austria II Fund is offered for investors of the HCI rush. We are for an assessment of your individual options available. Call us, we know how to get to your right! Nittel Banking and capital market law firm your Contact person Mathias Nittel, lawyer specializing in banking law and capital market law Tino Ebermann, lawyer specializing in banking law and capital market law Heidelberg: Hans-Bockler-Strasse 2 A, 69115 Heidelberg phone: 06221 915770 Fax: 06221 9157729 Munich: residential street 25, 80333 Munich Tel.: 089 25549850 Fax: 089 25549855