Non-Mainstream Pooled Investments (NMPIs)

30 December 2016

SQN Asset Finance Income Fund Limited

Non-Mainstream Pooled Investments (NMPIs)

SQN Asset Finance Income Fund Limited (the "Company") is pleased to announce a clarifying statement relating to UK Financial Conduct Authority ("FCA") rules on the restrictions on the retail distribution of unregulated collective investment schemes and close substitutes (referred to as "Non-Mainstream Pooled Investments" or "NMPI"), which came into effect on 1 January 2014, and their applicability in relation to the Company.

The Board has received appropriate legal and accounting advice that confirms that the Company's shares will qualify as an 'excluded security' under these rules and will therefore be excluded from the FCA's restrictions that apply to NMPIs.

It is the Board's intention that the Company will continue to conduct its affairs in such a manner that the Company's shares will continue to be excluded from the FCA's rules relating to NMPIs.

For further information please contact:

BNP Paribas Securities Services S.C.A., Guernsey Branch

Company Secretary

Sarah Hendry

Tel: 01481 750822

SQN Capital Management, LLC

Investment Manager

Jeremiah Silkowski or Neil Roberts

Tel: 01932 575 888