JAC Jap.Acc.Rtn.Ii

    RNS Number : 4952J
  Close Fund Mngmt Portfolios II PCC
  03 December 2008
   

    FOR IMMEDIATE RELEASE

    3 December 2008

    Close Fund Management Portfolios II PCC Limited (the "Company")

    - Japanese Accelerated Return Fund II (the "Cell")

    In order to fulfil the investment objective for the Cell, the Company for the account of the Cell holds seven Debt Securities, including
one issued by Glitnir Banki HF and one issued by Kaupthing Bank HF. These Debt Securities account for approximately 30 per cent of the total
nominal value of the Cell's Debt Securities. In the event of a default by an issuer of a Debt Security purchased by the Company on behalf of
the Cell, the Cell will rank as an unsecured creditor in respect of sums due from the issuer of such Debt Security. In such event, the Cell
may (in respect of that Debt Security) receive a lesser amount of money than the amount due pursuant to the terms of the Debt Security, may
actually receive the money at a different time than would otherwise have been the case and the amount received may be zero. Any losses will
be borne by the Cell and returns to Shareholders would be significantly adversely affected.

    Following the Icelandic authorities' decision to place both Glitnir Banki HF and Kaupthing Bank HF in receivership, the Board of the
Company considers it likely that they may not pay in full on their obligations. Whilst recovery rates from issuers that default vary, and in
this case are currently unknown, the worst case scenario would see the Company receive nothing from either institution at the maturity of
the relevant Debt Securities.

    As the Nikkei 225 Index (the "Index") has closed down more than 50 per cent from its Start Value (i.e. below 7,978.79) on an Index
Business Day between the Start Date and the End Date, an Index Barrier Breach has occurred.  In these circumstances, the amount which the
Company for the account of the Cell will be required to pay on behalf of the Cell following the Index Barrier Breach will reduce its assets
by an amount which reflects the decline, if any, in the Index between the Start Date and the End Date.

    The official closing level of the Nikkei 225 Index as at 28 November 2008 was 8,512.27.  If the Index closed at this level on the End
Date, the Final Capital Entitlement would be approximately 53 pence subject to there being no counterparty default or any unforeseen
circumstances, and in the event of both Glitnir Banki HF and Kaupthing Bank HF defaulting and having a zero recovery rate and there being no
insolvency of any other issuer of Debt Securities held by the Company or any other event of default or any unforeseen circumstances, the
Final Capital Entitlement would be approximately 22 pence, and if the Index were to fall by approximately a further 43 per cent to a level
of approximately 4,852 as at the End Date, the Final Capital Entitlement of the Shares would be zero.


    Payoff Profile

    The tables below illustrate how the Final Capital Entitlement of the Shares might vary for different ending levels of the Nikkei 225
Index (1) subject to there being no counterparty default or any unforeseen circumstances, and (2) on the assumption of zero recovery in the
event of default of the Debt Securities issued by Glitnir Banki HF and Kaupthing Bank HF and there being no insolvency of any other issuer
of Debt Securities held by the Company or any other event of default or any unforeseen circumstances


 Final Nikkei 225    Final Capital    Final Capital
      Index*        Entitlement (1)  Entitlement (2)
         0                 0                0
        500                3                0
       1,000               6                0
       1,500               9                0
       2,000              12                0
       2,500              15                0
       3,000              18                0
       3,500              21                0
       4,000              25                0
       4,500              28                0
       5,000              31                0
       5,500              34                4
       6,000              37                7
       6,500              40               10
       7,000              43               13
       7,500              46               16
       8,000              50               19
       8,500              53               22
       9,000              56               25
       9,500              59               29
      10,000              62               32
      10,500              65               35
      11,000              68               38
      11,500              72               41
      12,000              75               44
      12,500              78               47
      13,000              81               51
      13,500              84               54
      14,000              87               57
      14,500              90               60
      15,000              93               63
      15,500              97               66
      16,000              101              70
      16,500              116              81
      17,000              132              92
      17,500              148              103
      18,000              163              114
      18,500              179              125
      19,000              180              125

    * As at 21 December 2011

    (1) Subject to there being no counterparty default or any unforeseen circumstances

    (2) The table contemplates default and zero recovery in respect of the Debt Securities issued by Glitnir Banki HF and Kaupthing Bank HF.
The Final Capital Entitlement set out in this table is an example only and not a forecast of actual payments and is subject to there being
no insolvency of any other issuer of Debt Securities held by the Company or any other event of default or any unforeseen circumstances. The
attention of shareholders is drawn to the section headed "Risk Factors" in the Prospectus.


    Defined terms in this announcement shall have the meaning assigned to them in the Prospectus.

    Capital at Risk Products 

    The Company has been advised that the Company is a Capital at Risk Product as defined by the Financial Services Authority (FSA).
Investors should refer to the FSA factsheet, which is available at
    www.moneymadeclear.fsa.gov.uk/products/investments/types/pooled/structure d_products.html

    The return of capital invested at the end of the investment period is not guaranteed and therefore the investor may get back less than
was originally invested. Investors should not enter into a transaction to purchase Shares unless they are prepared to lose some or all of
the money they have invested. 

    They should satisfy themselves that the Shares are suitable for them in the light of their circumstances and financial position, and if
in any doubt they should seek professional advice. Investors may only achieve the rate of return advertised over a set period and the return
may depend on specific conditions being met.

    The monthly factsheet is available on the website www.closeinvestments.com

    For further information contact:

    Anson Fund Managers Limited
    Secretary 

    Tel: 01481 722260

    E&OE - In transmission



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