Little Phoenix Investment Club

Little Phoenix Investment Group                                                                                                                                                                                                  Take me back


1.) No member shall be deprived of their equitable share in the assets of the fund that contribute towards units purchased.

2.) Members of the fund shall make regular contributions in such amounts and on such basis as is from time to time agreed and required by the rules.

3.) The committee is defined as the honorary chairman, honorary treasurer and honorary secretary who are also members with equal but no more voting power towards investments and decisions towards unit values. The holdings, nominee or trustee company is elected by the committee.

4.) Members shall be bound by the rules to be determined by the committee. Such rules may be varied by written agreements of the committee but the rules shall not at any time contravene the principles of this constitution. The constitution cannot be altered without the written agreement of the committee.

5.) The fund shall deal solely with investments on behalf of its own members and shall neither deal on behalf of nor advise any persons other than its members in relation to investments of any kind. All its activities will be confined to the mutual benefit and interest of its members.

6.) The fund has no maximum restriction on the number of members. New members shall only be admitted after agreement between the committee.

7.) No member shall assign, pledge, transfer, mortgage or sell any part of their interest in the fund to another member directly or to anyone else except as permitted by the authorised procedure for selling back all or part of their interest to the fund itself.

8.) No member shall be compensated for services rendered to the fund and no member shall bind or obligate the fund or any member of the fund to any matters outside the affairs of the fund, and in respect of the fund’s affairs they shall only enter into agreements on the written authority of the committee.

9.) The rules shall determine the procedure whereby a member may resign from the fund and withdraw their equitable share of the fund’s assets but the maximum period to elapse between the date of resignation and the date of full repayment shall not exceed 90 days.

10.) The fund shall hold a general meeting once in every calendar year as its annual general meeting provided that every annual general meeting shall not be more than 15 months after the preceding annual general meeting. The fund’s first annual general meeting shall be within 15 months of its inauguration.

11.) The committee persons are fixed. At each annual general meeting, the members shall elect a vice honorary chairman, vice honorary treasurer, honorary secretary, auditor, and compliance officer who will resign at the following annual general meeting but be subject to re-election. If the auditor and compliance officer are members of the fund they shall be at least two in number and shall not be from the committee of the fund.

12.) At each annual general meeting, a statement of account shall be given by the treasurer, together with the report of the auditors and compliance officers. The treasurer’s report shall include a full record of the fund’s income and expenditure; a list of the fund’s assets together with its end-of-year valuation; also a capital account for each member showing their total contributions and withdrawals together with the current value of their holding.

13.) Upon the death of any member the value of their equitable share in the fund shall be paid to the executor of the estate in accordance with the fund’s rules for dealing with a member leaving the fund, as stated in the rules of the fund clause 11.) C.).

14.) The fund’s investments shall be registered through a nominee company nominated by the committee OR such investments shall be held in the names of trustees, of whom there shall be at least two, who will sign a Declaration of Trust and who shall be appointed but not limited to the committee, by the committee.

15.) The fund shall open an account with a bank or building society and all fund monies shall be paid into this account except in so far as monies from disposal of investments may be retained by the fund’s stockbroker or holdings/nominee company pending reinvestment. At least two of the fund’s committee members or other members nominated by written resolution of the committee for this purpose must sign all cheques and the bank/building society shall be instructed accordingly.

16.) If any member should assign, charge or otherwise encumber their share in the fund as prohibited by clause 6 of this constitution, they shall be expelled from the fund. If any member shall become bankrupt, insane or otherwise incapable of taking part in the fund’s business, OR shall act in any manner inconsistent with the good faith observable between members, OR shall be guilty of any conduct which could injure the good name of the fund, OR bring about its dissolution or fail to attend at least 25% of properly constituted meetings in any one financial year, it shall be lawful for the committee to notify the offending member in writing that the committee may consider their expulsion from the fund. A member being issued with such a warning shall be given an opportunity to offer the committee any explanation they consider desirable.

17.) A member shall be expelled if the committee present at a properly constituted meeting of the fund a written resolution to that effect. A member who is expelled shall be notified in writing and shall have their equitable share of the fund assets returned in accordance with the rules of the fund clause 11. C.) and 11. D.).