Fortem Capital Progressive Growth Fund

UK & EU – For professional and institutional investors only
Switzerland – this is an advertising document for professional and institutional clients as defined by the Swiss Financial Services Act only

Monthly Commentary – 30th July 2021

July was a throwback to last year when stronger growth numbers competed with the spread of a new variant in investors minds. Restrictions continued to be eased across many major economies, but the delta variant tempered investor enthusiasm at various points. In spite of this, the western equity indices to which the Fund is exposed posted positive numbers on the whole. The Chinese crackdown on the $100bn private tutor industry caused a ripple of investor worry throughout Asia.

Against this backdrop the Fund was flat over the month. Given the extreme moves seen, it was the Hang Seng index that was the major detractor, in spite of minimal exposure, costing the Fund 0.56%. Theta and dividends both contributed positively as did the Diversifier Portfolio.

There were three investments that matured over the month, all returning their full coupons and initial capital. These were replaced with three new investments linked to developed market indices in the UK and US. As investors will be aware, the Fund will only invest in maximum dual-index structures, and all investments are fully sovereign backed.

The Fund’s equity market sensitivity, or delta, increased to 41.5% during the month, a result of the reinvestments. There was also an increase in GRY as illustrated on the table on page 1 of the factsheet. These levels look attractive alongside the significant embedded protection of 39.5% on average before any capital loss is incurred at maturity, and 37.7% before full capital growth is not achieved.

Total Return 2021 July
UK 100 11.0% 0.1%
US 500 17.7% 2.4%
Europe 50 16.9% 0.7%
Japan 225 0.1% -5.2%
Hong Kong 50 -3.0% -9.6%
US 2000 13.3% -3.6%
Swiss 30 16.3% 1.5%
BCOM 23.3% 1.8%
US Treasury -0.5% 1.1%
FTSE EPRA 19.0% 7.7%
PGF 5.6% 0.0%
AGF -0.5% 0.0%
Real Estate 17.8% 6.1%
US Equity Income n/a 2.4%

– This document has been issued and approved as a financial promotion by Fortem Capital Limited for the purpose of section 21 of the Financial Services and Markets Acts 2000. Fortem Capital Limited registration number 10042702 is authorised and regulated by the Financial Conduct Authority under firm reference number 755370.
– This document is intended for Professional Investors, Institutional Clients and Advisors and should not be communicated to any other person.
– The information has been prepared solely for information purposes only and is not an offer or solicitation of an offer to buy or sell the product.
– Data is sourced from Fortem Capital Limited and external sources. The data is as at the date of this document and has been reviewed by Fortem Capital Limited.
– Information, including prices, analytical data and opinions contained within this document are believed to be correct, accurate and derived from reliable sources as at the date of the document. However, no representation or warranty, expressed or implied is made as to the correctness, accuracy or validity of such information.
– Fortem Capital Limited assumes

no responsibility or
liability for any errors, omissions or inaccuracy with respect to the information contained within this document.
– All price and analytical data included in this document is
intended for indicative purposes only and is as at the date
of the document.
– The information within this document does not take into account the specific investment objective or financial situation of any person. Investors should refer to the final documentation and any prospectus to ascertain all of the risks and terms associated with these securities and seek independent advice, where necessary, before making any decision to buy or sell.
– The product may not be offered, sold, transferred or delivered directly or indirectly in the United States to, or for the account or benefit of, any U.S. Person.
– The Fortem Capital Progressive Growth Fund is a Sub-Fund of Skyline, an open-ended investment company with variable capital incorporated on 1 June 2010 with limited liability under the laws of Ireland with segregated liability between Funds. The Company is authorised in Ireland by the Central Bank of Ireland pursuant to the UCITS Regulations.

“NOTICE TO INVESTORS DOMICILED OR RESIDENT IN SWITZERLAND – The interests in the UCITS Fund and any related services, information and opinions described or referenced in this document are not, and may not be, offered or marketed to or directed at persons in Switzerland (a) that do not meet the definition of “qualified investor" pursuant to the Swiss Federal Act on Collective Investment Schemes of 23 June 2006 (“CISA") (“Non-Qualified Investors"), or (b) that are high net worth individuals (including private investment structures established for such high-net worth individuals if they do not have professional treasury operations) that have opted out of customer protection under the Swiss Federal Financial Services Act of 15 June 2018 (“FinSA") and that have elected to be treated as “professional clients" and “qualified investors" under the FinSA and the CISA, respectively (“Elective Qualified Investors").
In particular, none of the information provided in this document should be construed as an offer in Switzerland

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