Advisors Report 2010

InvestInvent Wind Energy Fund
sub-fund of InvestInvent Funds SICAV plc

Environment and Return
in Balance
Advisors Report 2010
Advisors summary
Advisors summary
As shown ln thls grah, there ls no correlatlon of the fund's NAv erformance to nanclal markets
Price Fluctuations 2010 in %
Fund NAV +5.87%
Bund Future +4.6%
SMI -1.68%
MSCI Europe +8.04%
-5
-10
J F M A M J J A S O N D
0
5
10
15
-15
2 1 2 3 4 5 6 7 8 9 1 0 1 1 1 2
Independence and ecology
The InvestInvent Wind Energy Fund offers investors the greatest possible independence from international financial
markets. The stock market is incalculable: a comparison of investments in publicly traded securities with a sailing boat
shows, that the investor can only adjust the sail to the wind conditions. In the worst case scenario, seen frequently in
the recent past, the harsh winds of the stock market lead to a ship wreck. This analogy also offers a good explanation
for both the strategy and philosophy of InvestInvent: to circumvent the moods of financial markets, the investor needs
efficient and reliable investment funds. For InvestInvent, these instruments are called Real Assets: tangible and
producing wind energy plants. Analysts might now think of private equity, but the purpose of the InvestInvent Wind
Energy Fund goes beyond that. While investment strategies in private equity are mostly intended to make assets go
public, the purpose of this fund is not an IPO, but to grant a steady income stream to investors.
Uncertainty accompanies every investment decision. Cyclical economic data, fluctuating commodity prices and a volatile
demand move all kind of securities. The best case scenario is an increase in share prices; the unfavorable, but no less
frequent alternative, is a loss of money. The recent financial crisis of 2008 illustrated it in a remarkable way. In this
context, products like the InvestInvent Wind Energy Fund are a rarity on the financial market, as they reward investors
with steady rates of return. A look back into the recent past shows that when global stock markets tumbled in 2008,
the net asset value of the fund increased, just as in other years. Its a keystone of both our strategy and philosophy, to
provide investors with funds that offer the greatest possible independence from financial markets.
InvestInvent does something for clean air and investors make money out of it: clear proof of the fact that money and
return are not mutually exclusive, but complement each other. All our decisions are based on this conviction and it is
a central theme we pursue in every detail. Therefore, all com-ponents of our wind parks are manufactured in countries
where safety is a top priority. The successful development of the InvestInvent Wind Fund, which has evolved from a
small wind park to a respectable electricity provider, shows that we are on the right track. Meanwhile, the market itself
has successfully refuted the belief that return and ecology do not match. The ecological and commercial success of
wind power has made it become a favorite of energy investors.
Advisors summary
2010 was another positive year for the fund:
1he NAv inoreased by 5.87 to 121.76 (C-3hares)
1he fund volume grew 60.91 to LuR 65.17 Mio
NAV-Performance in EUR since inception
The historical NAV performance does not imply any guarantee for future NAV development.
The NAV remained at EUR 100 for 6 months after the funds inception due to the installation of the initial wind turbines.
95
110
100
105
115
120
125
Oct Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec
05 05 06 06 06 06 07 07 07 07 08 08 08 08 09 09 09 09 10 10 10 10
3
Advisors summary
The fund:
In 2010 the fund received substantial subscriptions from institutional investors. They represented about two thirds of the
total fund volume. Lue to the aotive pipeline management by the advisor, the intows oould be invested in new wind farm
projects immediately.
ln the trst quarter the wind farm Birkholz was purohased. lt is looated in Brandenburg, 0ermany, northeast of Berlin. 0ur
investors had the possibility to visit this wind farm in October and to climb or drive up the 105 metres in one of the two
vestas v90 turbines. 1hey were impressed by the teohnology and size.
1he fourth quarter was a very busy quarter for the fund and the advisor. Lue to signitoant subsoriptions, three new wind
farms were bought from the advisor's projeot pipeline: Pansohow ll, wolsiokendorf and Pauteurs de 0tine. Pansohow ll is
a single vestas v90 wind turbine in Meoklenburg - western Pomerania , wolsiokendorf oonsists of tve vestas v90 looated
in Brandenburg and Pauteurs de 0tine represents 18 of the fund's investments now and oan be found northeast of La
Roohelle and south of Nantes in lranoe. 1he nine vestas v90 turbines of this farm were oommissioned in Maroh 2011.
ln addition to the wind farm visit near Berlin in 0otober, the advisor organized breakfast presentations in Bern and Basle,
and seminars with Professor Reto Knutti from the L1P Lurioh, lnstitute for Atmospherio and Climate 3oienoe in Lurioh, 0e-
neva and Lieohtenstein. 1he attendees learned about olimate physios and how preoise weather and olimate ohanges oan
be calculated and forecasted, he also showed the climatic developments for the past couple of thousand years. It was very
interesting to reoeive trsthand information from Prof. Knutti.
1he wind situation in 2010 was not satisfying. Aooording to the wind lndex of the operator database (also known as Keiler-
Puser-wind lndex or lwL1 lndex), the year 2010 stood at 74.3. 1he fund's revenues from power sales reaohed 83.5 of
foreoast and therefore exoeeded this benohmark signitoantly. 1he diversitoation of wind farms led to this exoellent result.
The advisors tested and implemented the necessary equipment in order to receive the system service ordinance in the
following wind farms:
Petersdorf l, 0yten-0st, 1rattendorf and Rottelsdorf. 1hey are now entitled to reoeive additional 0.07 Cent per kwh for tve
years.
0utlook:
The overall economic and environmental situation and the trust of the investors showed that the fund is a future-oriented
investment that supports the interest of the coming generations and the need to achieve the climate goals. Due to the
faot that the wind farms are real assets whioh are not quoted on tnanoial markets, the fund does not depend on market
tuotuations. lt is an impaot investment beoause the investor has the possibility to aohieve a return and at the same time
helps to save CO
2
emissions.
The InvestInvest Wind Energy Fund in the portfolio context!
1he lnvestlnvent wind Lnergy lund meets the 3Rl (sooially responsible investment) oriteria, beoause it is an environmental
friendly, eoologioal investment fund. 1he fund's assets are wind farms in 0ermany and lranoe whioh produoe power from
wind. The turbines do not pollute the air, land or water, they produce electricity by using a source at no charge and reduce
the CO
2
emissions.
ln 2010 the lnvestlnvent Wlnd nergy Fund's assets roduced 154.3 Mlo kWh of energy and avolded
131968 tons of CO
2
l 1hls means 243 kg carbon reductlon er share.
By ohoosing the fund for the portfolio, the investor generates double impaot: a tnanoial performanoe and a positive impaot
on the environment. lt also reduoes the Beta due to its' independent struoture whioh does not oorrelate with the tnanoial
markets.
4
Advisors summary
The fund within the portfolio analysis process:
The advisors principles:
The advisor does only evaluate and purchase assets which generate power from renewable energy resources
The investors best interests are the basis of the advisors work
No assets will be purchased which use plants for producing power instead of nutrition
Renewable energy projects have all permits, no development risks are taken
Only projects are evaluated which are located in countries with a stable political and economic system and preferably with
a txed-in tariff system
Euro is the only currency within the fund and of the assets
Only projects with proven and tested technologies are taken into consideration
Screening
Negative screening, e.g. exemptions like no child labour, weapons, nuclear power etc.
Positive screening, e.g. ecological, social etc.; topics: could be renewable energy, water, infrastructure..
Concept and strategy
Definition of the portfolio structure and the strategy
Evaluation of the SRI criteria and its implementation in the portfolio
Investment products selection
Rlsk and erformance control
Reduction of market risk by using market unrelated impact investments like the InvestInvent Wind
Energy Fund
0eneration of an ,added value or impaot
Achievement of sustainable Alpha by using SRI principles
5
Advisors summary
The funds asset portfolio to the end of 2010 is shown in the table below:
Wind farms held Funds participation
Krummensee I 4% 55%
Momerstroff 8 95
Nateln 3 100
Petersdorf I 5% 100%
Petersdorf ll 3 100%
Rottelsdorf 4% 100%
Trattendorf 2% 100%
Oyten-Ost 2% 100%
Oyten-West 1% 100%
Radegast 1% 100%
Steinau 8% 100%
Dbrichen-Priessen 7% 100%
Stretense 5% 100%
0elsig 9 100
Bad Berleburg 4% 100%
Panschow I 2% 100%
Birkholz 3 100
wolsiokendorf 9 100
Panschow II 2% 100%
Pauteurs de 0tine 18 100
Total rated capacity 111.25 MW
The funds 5th anniversary
The fund celebrated its 5th anniversary in 2010. It
was launched in August 2005 and proved during
these years that investments in real assets are a va-
lid alternative and a successful opportunity as well.
Especially in the years of the subprime crisis 2008
and 2009 the fund kept its path, didn't lose any va-
lue and stabilised the investors portfolios. Thanks
to the successful years and as an appreciation to
our investors, the advisor created and published
the book WINDPARK. WINDPARK is a collection
of photographs and detailed information of all wind
farms belonging to the fund. It also describes the
history of wind energy and gives some general and
soientito information. 1he book oan be viewed on
the funds website www.investinventfund.com.
6
1he global developments of wind energy are impressive. wind power is already a signitoant supplier of energy! 1here was
a steady increase of installed capacity over the last years and the industry expects similar growth in the future. China
became the new overall leader of installed capacity in 2010.
In Europe:
5.3 of the Lu oountries' energy demand is produoed from wind.
Wind power accounted for 16.7% of total 2010 power capacity installations.
More renewable power oapaoity was installed during 2010 than any other year, an inorease of 31 oompared to
2009.
Renewable power installations accounted for 41% of all new power installations in Europe during 2010.
Annual installations of wind power have inoerased steadily over the last 15 years from 814 Mw in 1995 to 9,259 Mw
in 2010, an annual average market growth of 17.6%.
A total of 84,074 MW is now installed in the European Union, an increase in installed cumulative capacity of 12.2%
0ermany remains the Lu oountry with the largest installed oapaoity, followed by 3pain, italy, lranoe and the uK.
(3ouroe: wind in power, 2010 Luropean statistios, lebruary 2011, LwLA)
0
50000
100000
150000
200000
250000
95 96 97 98 99 0 01 02 03 04 05 06 07 08 09 10
The development of the global installed capacity
+27%+23 +36 +33
+28%
+21%
+27%
+31
+30
+32
+28%
+27%
+26%
+24%
+22%
(3ouroe: 0lobal wind Lnergy Counoil)
Global developments
7
Installed capacity in MW 2010
Distribution per country
0
10'000
20'000
30'000
40'000
50'000
60'000
70'000
80'000
90'000
100'000
Europe Asia North America Pacific Region Latin America Africa & Middle
East
China
22%
India
7%
Japan
1%
Germany
14%
Spain
10%
Italy
3%
France
3%
UK
3%
Portugal
2%
Denmark
2%
Netherlands
1%
USA
21%
Canada
2%
Rest
9%
Europe is the leader
8
Business model
InvestInvent
Wind Energy Fund
SICAV Plc.
lnvestment & Capital 0ains
Power capacity for 318808 people
Total
lnvestment: LuR 193 Mio
Rated Capacity: 111.25 MW
Production: 262 kWh/a
Revenue: LuR 23 Mio/a
lnternal Rate of Return : oa. 9.5
Project Acquisitions
Dividends
As of December 2010
New Windfarms Momerstroff Rottelsdorf Trattendorf Oyten-Ost
Sold Windfarms
Crussow
Krummensee Petersdorf I Oyten-West Radegast
Dbrichen Stretense Steinau Nateln
Petersdorf II Oelsig Bad Berleburg Panschow I
Hauteurs de
0tine
Panschow II Wlsickendorf Birkholz
9
Overview of the funds wind farms in Germany
P E T E R S D O R F
MO ME R S T R O F F
T R AT T E N D O R F
K R U MME N S E E N O R D
R A L L 0 A 3 1
N A1 L L N
Saxony-Anhalt
Brandenburg
Lower Saxony
N O R T H S E A
B A L 1 l C
S E A
C Z E C H R E P U B L I C
A U S T R I A
N E T H E R L A N D S
P O L A N D
F R A N C E
B E L G I U M
L U X E MB O U RG
S WI T Z E R L A N D
OY T E N O S T & WE S T
R 01 1 L L 3 L 0 R l
Mecklenburg-
Pomerania
Saxony
S T E I N A U
D B R I C H E N
Hesse
S T R E T E N S E
P E T E R S D O R F I
P E T E R S D O R F I I
0 L L 3 l 0
B A L B L R L L B u R 0
P A N S C H O W
w 0 L 3 l C K L N L 0 R l
BlRKP0LL
P E T E R S D O R F
MO ME R S T R O F F
T R AT T E N D O R F
K R U MME N S E E N O R D
R A L L 0 A 3 1
N A1 L L N
Saxony-Anhalt
Brandenburg
Lower Saxony
N O R T H S E A
B A L 1 l C
S E A
C Z E C H R E P U B L I C
A U S T R I A
N E T H E R L A N D S
P O L A N D
F R A N C E
B E L G I U M
L U X E MB O U RG
S WI T Z E R L A N D
OY T E N O S T & WE S T
R 01 1 L L 3 L 0 R l
Mecklenburg-
Pomerania
Saxony
S T E I N A U
D B R I C H E N
Hesse
S T R E T E N S E
P E T E R S D O R F I
P E T E R S D O R F I I
0 L L 3 l 0
B A L B L R L L B u R 0
w 0 L 3 l C K L N L 0 R l
BlRKP0LL
P A N S C H O W I
P A N S C H O W I I
10
Overview of the funds wind farms in France
MO ME R S T R O F F
H A U T E U R S
L L 0 A1 l N L
Wind farm Hauteurs de Gtine, purchased in 2010
PARIS
11
Wind farm data and production figures
Looation Brandenburg
Type of wind turbine vestas v90
Number of wind turbines 4
Rated capacity in MW 8
Power purchase agreement envia verteilnetz 0mbP
Financing bank Deutsche Kreditbank
Production forecast in Euro 1'611'137
Production forecast in kWh 17'512'361
Price in Euro/ kWh 0.0920
Year of commissioning 2009
Wind farm Steinau
Wind farm Dbrichen- Priessen
Looation Hesse
Power purchase agreement
uwag Netz 0mbP
12
Wind farm Momerstroff
13
Looation Dpartement Moselle, France
Type of wind turbine Nordex N90
Rated capacity in MW 11.5
Electricit de France
Financing bank HSH Nordbank
Production forecast in Euro 2402764
Price in Euro/ kWh 0.08718 (2009/2010)
Looation Lower 3axony
Type of wind turbine Repower MD77
Power purchase agreement L.0N edis A0
Wind farm Momerstroff
Wind farm Nateln
14
Wind farm Oyten-Ost
15
Wind farm Petersdorf I
Looation Mecklenburg- Western Pomerania
L.0N edis A0
Financing bank Umweltbank
Production forecast in kWh 16604720
Price in Euro/ kWh 0.0836 (2 turbines 4Mw)
0.0819 (1 turbine 2 Mw)
Wind farm Oyten-Ost
Type of wind turbine Vestas V52
LwL Netz 0mbP
Financing bank 0ldenburgisohe Landesbank
Production forecast in Euro 445'499
16
Wind farm Trattendorf
17
Wind farm Rottelsdorf
Looation Saxony- Anhalt
envia NL1L, RwL Lnergy A0
Wind farm Trattendorf
Looation Saxony
Type of wind turbine
Vestas V80
Vestas V52
envia NL1L, RwL Lnergy A0
18
Wind farm Petersdorf I
19
Looation Mecklenburg West Pomerania
Wind farm Petersdorf II
Wind farm Oelsig
Power purchase agreement envia NL1L, RwL Lnergy A0
20
Wind farm Stretense
21
Wind farm Oyten- West
Type of wind turbine Enercon E48
Power purchase agreement LwL Netz 0mbP
Financing bank Commerzbank
Wind farm Stretense
22
Wind farm Krummensee
23
Wind farm Bad Berleburg
Looation North Rhine- Westphalia
Power purchase agreement RWE Westfalen
Wind farm Krummensee
Type of wind turbine 0L wind 1.5 3L
Power purchase agreement L.0N edis A0 (edis Lnergie Nord A0)
Financing bank Deutsche Bank
24
Wind farm Radegast
25
Wind farm Panschow
Wind farm Radegast
Type of wind turbine Enercon E70
26
Wind farm Steinau
27
Wlnd farm Blrkholz
Wlnd farm Wlslckendorf
28
Wlnd farm Wlslckendorf
29
Wind farm Panschow II
Looation Mecklenburg-Vorpommern
Financing bank Deutsche Bank
Wind farm Hauteurs de Gtine
Looation Dpartement Deux-Svres, France
Power purchase agreement Solis SIEDS Energies Service
Financing bank Bremer Landesbank
Wind farm Crussow
Sold in August 2008
30
Financial evaluation of a wind farm
Manufacturer
Type
Number
Rated capacity in MW
Hub height in m
Rotor diameter in m
Tower type
Location
Federal State
Turbine
Wind speed in m/s
Commissioning
Rottelsdorf
Saxony-Anhalt
Vestas
v90
2
4
105
90
Steel
6.5 m/s
December 2006
A. Project data
7'610'590
142'360
7752950
0.69
Investment
Project price
Liquidity requirements
Total
Investment costs /kWh
Financing
Lquity (lnvestlnvent wind Lnergy lund)
Bank loans:
LRP (interest rate 4.5)
Kfw (interest rate 4.35)
Total
Internal rate of return
C. Financing (in EUR)
1'693'950
2500000
3'559'000
7752950
9.11
12%
0,0836 /kWh
Annual gross energy production
Deductions
Technical availability, transformer losses, shadowing effects
Annual net energy production
Power sales revenue
Price
Annual revenue
12'734'764 kwh
1528172 kWh
11'206'592 kwh
936871
B. Revenue
31
Financial evaluation of a wind farm
Profitability and liquidity forecast Rottelsdorf Total 2006 - 2026
in %
2.42
11.89
3.48
2.00
2.00
0.23
40.44
4.93
6.78
2.56
2.75
0.45
0.15
0.64
A. Protablllty Forecast
I. Revenue
Energy sales
Interest income
Total Revenue
II. Costs
Insurance
Maintenance
Land lease
Commercial management
Technical management
0uarantee
Depreciation
Interest payments ERP
Interest payment KfW
Transformer station
Industrial tax
Own power usage
Interest rebate
Miscellaneous
Total costs
lll. Prot
B. Liquidity Forecast
Prott
Depreciation
Repayment ERP
Repayment KfW
Liquidity
C. Dividend Forecast
Liquidity
Dividends
Dividends in % of equity
Accumulated Result
in EUR
18'815'495
90'025
18905520
456051
2'238'103
655877
376'310
376'310
43'380
7'610'590
928'123
1'277'229
481750
518648
85'333
29'708
121'904
15199316
3706204
3'706'204
7'610'590
-2500000
-3'559'000
5257794
5'257'794
-5255000
310
2794
32
Appendix
33
Net asset value EUR 31 December 2010 B-Share 119.15
C-Share 121.76
Fund volume Mio. EUR 31 December 2010 65.17
_____________________________________________________________________________________________
Dividend 2008 EUR per B-Share 31 May 2009 1.00
Dividend 2009 EUR per B-Share 31 July 2010 1.50
Dividend 2010 EUR per B-Share 22 August 2011 0.40
_____________________________________________________________________________________________
Performance
Since inception 2005 in % B-Share (ex-dividend) 19.15
C-Share 21.76
In 2010 in % B-Share (ex-dividend) 4.53
C-Share 5.87
_____________________________________________________________________________________________
Investment objective
1he investments of the lund in regenerative energies are high-yield txed-asset investments in eoologioally
and economically attractive technologies with a future. InvestInvent Wind Energy Fund Sicav Plc. invests in
renewable energies, especially wind power, in Europe. The aim is to earn stable, above-average returns with a
controlled risk for investors.
Fund role
Type of fund SICAV, stock company with variable capital
according to Maltese law;
Professional lnvestor lund (Pll)
Domicile Malta
lund manager Crystal lund Management A0
lnvestment advisor lnvestlnvent A0
Administrator Crystal lund Management A0
Custodian Bank lriok & Co. A0
Auditors PricewaterhouseCoopers
Currency EUR
Launoh date 31 August 2005
Appropriation of protts distributing (B-3hare) or aooumulating (C-3hare)
Management fee 1.7 %
Front-end fee max. 5.0 %
Redemption fee none
Redemptions 45 business days notice to the month end
valor CP2268793 / CP2989507
l3lN M10000072992 / M10000074295
NAV calculation monthly
lnvestment horizon long-term
Subscriptions up to 2 business days before month end
Homepage www.investinventfund.com
www.investinventfund.com
Produced by:
InvestInvent AG
Bahnhofstrasse 24
8001 Zrich
5wltzerland
info@investinvent.ch
www.investinvent.ch

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sub-fund of InvestInvent Funds SICAV plc

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