Snaefell Alternative Investment Fund – Market Announcement

Hamilton, Bermuda – 07 January, 2014 – In a filing to the Bermuda Stock Exchange (BSX), Snaefell Alternative Investment Fund Limited (the “Company”; Ticker: SNAALIU.BH) announced the release of financial results to year end 30 June, 2013, and the intend winding up of the Company in 2014. The filing read:

“Background information

Snaefell Alternative Investment Fund Plc (the “Company”) is a company that was originally incorporated in Bermuda, but was continued in the Isle of Man on 23 January 2013 and since that date is now registered in the Isle of Man under the Companies Act 2006 as an open ended investment company and is a specialist fund pursuant to the provisions of the Isle of Man Collective Investment Schemes (Specialist Fund) Regulations 2010 (the “Regulations”).

Following the discontinuation of the Company in Bermuda and its continuation in the Isle of Man with effect from 23 January 2013, the Fund’s financial year end was changed from 31 December to 30 June to align with that of its sister fund Snaefell II Alternative Investment Fund Plc. These financial statements show the results for the 18 month period to 30 June 2013, with the comparative figures in the Statement of Comprehensive Income showing the results for the year to 31 December 2011, and the comparative figures in the Statement of Financial Position as at 31 December 2011.

The investment objective of the Company was to achieve annual returns of between 8% and 10% with low volatility. The Company invested initially in a limited number of funds of funds, each of which were investors in alternative investment or “hedge” funds. The Company has subsequently altered its investment strategy and begun investing directly in hedge funds.

The financial statements for the period 30 June 2013 were tabled and adopted at the Company’s Annual General Meeting held on 23 December 2013.

Financial Information

The statement of comprehensive income for the period ended 30 June 2013 is set out on page 7 of the financial statements and the total comprehensive income/(expense) for the period 30 June 2013 was $1,591,072 compared to a loss figure of $2,592,771 for the year ended 31 December 2011.

The statement of financial position as at 30 June 2013 is set out on page 8 of the financial statements. The net assets attributable to holders of redeemable participating shares was $52,074,257 for the period ended 30 June 2013 compared to $55,483,185 for the year ended 31 December 2011.

The statement of cash flow for the period ended 30 June 2013 is set out on page 10 of the financial statements. The cash at bank for the period ended 30 June 2013 was $6,557,551 compared to $852,259 for the year ended 31 December 2011.

Investment movements as at 1 January 2012 were $43,038,442, compared to $36,129,787 as at 30 June 2013.

Post balance sheet events - Significant redemptions

On 28th October 2013, the sole shareholder in the Fund made a decision to cease its investment in Absolute Return Funds. This prompted a redemption request to be received by the Manager and which has in turn required for the funds portfolio to be liquidated. The Board of Directors agreed that the Fund should be liquidated and wound up and this process is now underway. It is anticipated that the fund will be de-registered and the company wound up during 2014.

Should you have any queries please contact the Fund’s Administrator as follows:

Abacus Financial Services Limited

1st Floor, Sixty Circular Road

Douglas

Isle of Man IM1 1AE 

Tel:  +44 (0) 1624 689 750

Fax: +44 (0) 1624 689 602

Bermuda Listing Sponsor:

Appleby Securities (Bermuda) Limited