1H12 Results Investor Presentation 27 February 2012

SFG Australia Limited is a company listed on the Australian Securities Exchange; ASX Code “SFW”. It was formerly known as Snowball Group Limited.

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This presentation is for general information purposes only and should be read in conjunction with the Appendix 4D lodged by SFG Australia Limited (SFG) with the Australian Securities Exchange (ASX) (ASX: SFW) on 27 February 2012. SFG was formerly known as Snowball Group Limited (ASX: SNO). This presentation does not purport to provide recommendations or opinions in relation to specific investments or securities.

The merger of Shadforth Financial Group Holdings Limited (Shadforth) and SFG (then Snowball Group Limited), and the relative size of Shadforth compared to SFG meant that the merger was treated as a reverse acquisition for accounting purposes. This means that the prior comparative period results in the statutory income statement reported by SFG is the statutory income statement results of Shadforth only, but the statutory balance sheet reported by SFG is the statutory balance sheet of the Combined Group in both periods. However, the financial performance of SFG on a stand alone basis for the prior comparative period is reported in the Appendix 4D lodged with the ASX on 27 February 2012. To provide a more meaningful overview of the Group going forward, this presentation primarily illustrates the Pro forma result of the merged group for the prior comparative period, as if SFG and Shadforth had been combined for the periods disclosed in this presentation.

This presentation has been prepared in good faith and with reasonable care. Neither SFG nor any other person makes any representation or warranty, express or implied, as to the accuracy, reliability, reasonableness or completeness of the contents of this presentation (including any projections, forecasts, estimates, prospects and returns, and any omissions from this presentation). To the maximum extent permitted by law, SFG and its respective officers, employees and advisers disclaim and exclude all liability for any loss or damage (whether or not foreseeable) suffered or incurred by any person acting on any information (including any projections, forecasts, estimates, prospects and returns) provided in, or omitted from, this presentation or any other written or oral information provided by or on behalf of SFG.

It is not intended that this presentation be relied upon and the information in this presentation does not take into account your financial objectives, situations or needs. Investors should consult with their own legal, tax, business and/or financial advisers in connection with any investment decision.

All numbers are as at 31 December 2011 unless otherwise stated.

Important Notice & Disclaimer

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Agenda 1H12 Results

Key Highlights

Synergies Update

Market Conditions

Group Overview

1H12 Results

2012 Strategic Initiatives & Operational Update

FY12: Looking forward

Appendix

Share Register Profile

Definitions

Reconciliation to Appendix 4D

Revenue drivers

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1H12 Results – Key Highlights

• Merger of SFG and Shadforth effective 26 June 2011 – first trading period of merged entity

• Operating EBITDA, Underlying NPAT and EPS assisted by cost savings and synergies achieved in 1H12, and acquisitions completed

• Reported NPAT and EPS includes tax benefits not present in 1H11 and not likely to continue in the future2

• Interim dividend of 1.00c per share determined, fully franked. Dividend guidance re-stated to 50 – 70% of Underlying NPAT3

• Consistent with the broader industry experience, weak sentiment and a relative deterioration in market conditions continue to impact FUMA balances and “normal” organic growth – spot close ASX All Ordinaries Index down 15% on 1H11

1H12 Results 1H12 1H11

Pro forma Net Operating Revenue1 $57.8m 2%

Operating EBITDA $19.9m 5%

Underlying NPAT $13.6m 5%

Reported NPAT2 $13.5m 42%

Underlying EPS 1.87 2%

Reported EPS2 1.86 38%

DPS (fully franked) 1.00c 33%

FUM $4.0bn 6%

FUAdmin $9.2bn 7%

FUA $10.8bn 9%

Sound result in continued weak market conditions, assisted by acquisitions

4 1. Net Operating Revenue differs from Statutory Reporting – see Appendix for reconciliation. 2. The tax benefits are associated with the Purchase Price Allocation of the merger and Rights to Future Income (RTFI) legislation. We note the Government is currently considering selective & retrospective RTFI legislation reversal, which may result in a reversal of the RTFI benefits booked by the Company. 3. Note, previously stated post merger as 60 – 70% of Reported NPAT. Refer slide 18 for explanation.

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1H12 achieved

FY13 benefit of FY12

achievements

FY13 synergies to be achieved

2H12 expectation

Synergies Update Integration on track & synergies upgraded – some ‘renovation’ spend to come in 2H12

5

• Confirming expect to achieve stated cost savings and synergies from the merger:

– $5m in annualised synergies per annum, gross of integration costs, by FY13

– $1.8m cost savings benefit in FY12 (compared to prior year)

• Re-estimation has resulted in a net increase in expected synergies of approximately $3.7m in Operating EBITDA per annum, predominantly as a result of re-negotiation of the Group’s portfolio administration supply contracts

• In 1H12, SFG has achieved $1.2m in cost savings (FY12 run rate of $1.8m) and $0.7m in synergies, and expects to achieve $3.7m in total in 2H12

• In addition, the Group has achieved some incremental savings which are likely to be largely offset by some business ‘renovation’ spend throughout FY12

$m

Synergies stated at merger

FY11 cost savings

Synergy Upgrade

$10.5m p.a.

5.0

1.9

1.8

3.7

3.7

3.4

1.4

Total Synergies & Savings

Synergies & Savings achievement

timetable

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Performance of ASX All Ordinaries – expected to impact average FUMA in 2H12 / FY12

Market Conditions

6

1H12 Spot: • 15% on 1H11 • 12% on 2H11

The majority of the Group’s asset based fees

(c. 80% of revenue) are calculated using monthly

portfolio balances

AS

X A

ll O

rdin

arie

s In

dex

3,700

3,900

4,100

4,300

4,500

4,700

4,900

5,100

ASX All Ordinaries spot close 1H monthly average 2H11 monthly average

FY11 monthly average Period end spot close

1H12 monthly average 12%

on 2H11 monthly average

1H12 monthly average 8% on

1H11 monthly average

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GROUP OVERVIEW

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$4.0bn

$9.2bn $10.8bn

FUM FUAdmin FUA

Group Overview

• Four complementary, quality, HNW, professional, fee for service advice business models – Shadforth: private client focus; Outlook: corporate solutions; Affiliate model (Western Pacific); and B2B Advice Services

• Integrated advice implementation services across the entire client value chain including portfolio administration, portfolio construction and management, insurance (general and risk), finance broking, stockbroking, corporate superannuation and other related services

• Significant scale, footprint and industry presence

• Experienced management team, with strong transaction execution and integration credentials

• Aligned interests of management, advisers and staff with shareholders

1H12 Revenue by State 1H12 Revenue by Type

A unique, quality financial advice & wealth management firm

Unique adviser footprint

1H12 FUMA

8

VIC

WA

NSW

QLD

TAS

SA

Financial Advice Fees Portfolio Administration Income Insurance, Mortgage Broking Fees Portfolio Management Income Stockbroking Fees Associates, License & Other Fees

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Affiliate Advice Model

17 practices &

37 advisers nationally

Group branding initiatives being deployed – to be launched progressively in 2012

End-to-end Business Model

9

Portfolio Construction

& Management

B2B Advice Services Model

Adviser Services, Platforms & Funds

Integrated client implementation capability across the value chain

Corporate Services

HNW Clients Affluent Clients

• Private client focus • 116 advisers,

employees

• Corporate Solutions • 5 Relationship Mgrs

Dealer groups, practices & advisers

Leading Professional Advice Model

13 offices nationally

Platform Services

Stockbroking

Insurance Services

Client, Adviser, Practice & Dealer Services IP | Group Support Services & Products

Note: Use of Cortex, Actuate Advice Solutions, Mosaic Portfolio Advisers, finHQ Financial Scoreboard and SFGc Corporate Services are subject to trademark approval.

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Quality Financial Advisers

10

Awarded to: Charles Badenach

Shadforth Private Client Adviser based in Tasmania

The Group’s Financial Advisers have excelled in recent industry awards

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1H12 RESULTS

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1H12 Financial Performance $m 1H12 1H111 1H111 2H11

Net Operating Revenue2 57.8 56.4 2% (3%)

Net Operating Expenses2 (37.9) (37.3) 1% (3%)

Operating EBITDA 19.9 19.1 5% (1%)

Underlying NPAT 13.6 13.0 5% (2%)

One-off items (1.5) (0.9) 61%

Acquisition costs (0.9) (0.9) 9%

Amortisation expense (2.1) (2.5) (14%)

Notional funding cost (0.5) - n/m

Tax impact4 4.9 0.8 518%

Reported NPAT 13.5 9.5 42%

Basic EPS (c) 1.86 1.35 38%

Underlying EPS (c) 1.87 1.84 2%

DPS (c) 1.00 1.50 (33%)

• 1H12 Operating EBITDA assisted by savings and synergies achieved to date, and acquisitions completed3

• Change on 2H11 results shown here as an indication of direction (but note expected incremental Operating EBITDA and market conditions on slide 15)

• Underlying NPAT considered a meaningful indicator of the underlying performance and cash generating capability of the Group

• Reported NPAT and EPS include tax benefits predominantly associated with the Purchase Price Allocation of the merger, and RTFI legislation – not present in 1H11, and not likely to continue into the future4

• One-off items consist primarily of integration costs • Acquisitions costs relate to acquisitions in the

pipeline, executed, and those discontinued • Future amortisation expenses expected to be

materially in line with 1H12 result (ex future acquisitions)

• Notional funding costs relate to the deferred payments on the acquisition of the Symetry revenue rights – two payments remain and due in FY14 and FY16

12 1. Note: 1H11 is presented as Pro forma. 2. Net Operating Revenue and Expenses differ from Statutory Reporting – see Appendix for reconciliation. 3. Acquisitions completed include Western Pacific Cleveland Practice (Cleveland), the Symetry Portfolio Service platform revenue rights (Symetry), and the Melbourne based wealth management practice (“Jeena”). 4. We note the Government is currently considering selective & retrospective RTFI legislation reversal, which may result in a reversal of the RTFI benefits booked by the Company.

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Market conditions continue to be weak – spot close ASX All Ordinaries 15% on 1H11 • Group achieved weak but positive FUAdmin net inflows in 1H12 • Newly launched Strategic Fixed Interest Trust FUM net inflows of $637m, up from $592m1, from existing clients/FUA

FUMA by Segment

$4.0bn

$9.2bn

$10.8bn

$3.8bn

$9.9bn

$11.9bn

6%

9%

7%

13 1. As at 30 September 2011. Note: The Group acquired the Western Pacific Cleveland practice effective 1 January 2011. For 1H11, the Cleveland practice FUMA was included in the Affiliate model for reporting purposes, and in 1H12 it has been included in the End-to-end model.

3.2

6.6

9.5

3.5

6.59.0

0.5

1.3

1.7

0.4

0.9

1.2

0.1

1.9

0.7

0.1

1.8

0.6

FUM FUAdmin FUA FUM FUAdmin FUA

1H11 1H12

End-to-end adviser model Affiliate adviser model B2B Advice Services model

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87% of the Group’s Net Operating Revenue is generated by the End-to-end model

$m End-to-end

adviser model Affiliate

adviser model B2B Advice

Services model Total Financial Advice Fees 28.7 1.0 0.0 29.8 Insurance, Mortgage Broking Fees 7.2 0.3 0.0 7.5 Portfolio Administration Income 12.4 2.2 2.6 17.2 Portfolio Management Income 0.7 0.6 0.1 1.4 Stockbroking Fees 1.1 0.0 0.0 1.1 Associates, License & Other Fees 0.4 0.1 0.3 0.8 Net Operating Revenue 50.6 4.2 3.0 57.8

1H12 Segment Operating Revenue

14 Note: Future segment reporting may further segment the business by value chain segments, which will split out revenue that is ultimately attributable to clients of the adviser models.

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Operating EBITDA

15

$m

Expected 2H12 incremental Operating EBITDA

Net +$2.0m

5%

Assumes average FUMA levels in 2H12 as in 1H12

Assisted by achievement of cost savings, synergies & acquisitions

Net organic impact + $0.1m

Organic Inorganic

19.119.9

(1.8)

1.90.8

2.0 0.5

(0.5)

1H11 Operating EBITDA

Organic Contribution

1H12 Savings & Synergies

Acquisitions Contribution

1H12 Operating EBITDA

2H12 Net Platform Margin Uplift

2H12 Incremental Savings & Synergies

2H12 Net Expected

Incremental Costs

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Impact of acquisitions

Weak markets impact on asset based fee lines, offset in part by other diversified revenue streams

Net Operating Revenue

1. Note: Includes minor risk and accounting fees also associated with acquisitions. Note: 1H11 Net Operating Revenue has been re-stated to exclude Mosaic Portfolio Advisers expense recoveries. The fund related expense recoveries are reported in (Gross) Operating Revenue going forward. See Appendix for reconciliation.

16

$m

2.5%

Financial Advice Fees: • Cleveland • “Jeena” Portfolio Admin Fees: • Symetry • “Jeena”

Inorganic impact 3.6% Organic impact 1.1%

Assisted by small positive

net inflows

1

Growth in general

insurance sales

Increase in FUM

& Fixed Interest

Strategic Trust

56.4

57.8

(1.5)

0.30.9 0.2

(0.5)

1.40.7

1H11 Net Operating Revenue

Financial Advice Fees

Portfolio Admin Fees

Insurance & Other Fees

Portfolio Mgmt Fees

Stockbroking & Other Fees

Financial Advice Fees

Portfolio Admin Fees

1H12 Net Operating Revenue

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37.337.9

0.9 0.3

(1.2)(0.7)

1.2

1H11 Net Operating Expenses

New staff costs, CPI increases

Occupancy, IT, Mktg,

Other

Cost Savings Synergies achieved in

1H12

Contribution from

acquisitions

1H12 Net Operating Expenses

Business ‘renovation’ has led to some increases, offset by cost savings & synergies

Net Operating Expenses

Note: 1H11 Net Operating Expenses have been re-stated to exclude Mosaic Portfolio Advisers expense recoveries. The fund related expense recoveries are reported in (Gross) Operating Revenue going forward.

17

Run rate of benefit relative to the prior year expected to be in line with stated $1.8m

1.5%

$m Organic impact 1.9% 3.3%

Organic Inorganic

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1.50

1.00 1.00

1H11 2H11 1H12

Underlying NPAT, EPS & DPS

Underlying NPAT

Target payout ratio re-stated to 50 – 70% of Underlying NPAT

18

Underlying EPS DPS (fully franked) 5%

2%

• Previous payout ratio guidance post merger was 60 – 70% of Reported NPAT • Re-stated guidance takes into account significant non-cash items (amortisation, notional funding costs) that will

have an ongoing impact on the Group’s Reported NPAT; proposed capital adequacy regime for Responsible Entities; potential reversal of the RTFI legislation; and the Group’s acquisition strategy

• Group prepared to undertake appropriate gearing levels as and when required

33 % (on pcp)

$m c c

13.013.6

1H11 1H12

1.84 1.87

1H11 1H12

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Balance Sheet Current ratio improved on 2H12

• Net cash of $11.3m, however note:

• Interim dividend payment of $7.3m to come

• Increased regulatory capital requirement of $5m for the Responsible Entity business effective 1 November 2012

• Deferred tax amount is subject to change, pending the outcome of the government’s announcement on RTFI (refer further explanation in Appendix 4D)

• All outstanding bank debts extinguished and banking facility implemented for capacity of 1x Operating EBITDA

• Purchase price allocation (subject to potential legislative change on RTFI), resulting in increased deferred tax benefit of $3.5m and reduced amortisation cost of $1.0m in the current period

$m 1H12

Current assets 34.3

Non-current assets 164.6

Current liabilities 22.3

Non-current liabilities 15.2

Net assets 161.4

Contributed equity 142.5

Retained profits 18.8

Reserves 0.1

Total equity 161.4

Net Cash1 11.3

19 1. Adjusts for $2.8m in cash held on trust for clients.

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2012 STRATEGIC INITIATIVES & OPERATIONAL UPDATE

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Completed 1-Jan-12 31-Mar-12 30-Jun-12 30-Sep-12

F

IT ongoing Corporate Services integration

Governance structure

Annualised savings & synergies of $10.5m now expected in FY131

Integration Update – on track

21

“Best Advice” Services

re-launch

“Best Advice” team formed Review of advice tools and services completed ―Development of enhanced support services in progress

Best Advice (internal & external focus)

1. Gross of integration costs and includes stated $5m synergies target, $3.7m net upgrade, and stated $1.8m in cost savings achieved to 30 June 2011.

Development of “finHQ”

platform interface

Defining go-forward

solutions

Optimising platform

scale

Client transition to

enhanced offers

Enhanced Segment CVPs

launch

Shadforth & Outlook

integration

Co-location of advisers Re-targeted client segments APL’s merged

End-to-end Advice Model

Portfolio Administration Stocktake of all admin offers & support Uplift in margin achieved post

scale consolidation

Review & implementation of back office

support services

Integrating & scaling of RE

function

Re-branded to Mosaic Responsible Entity of and re-branded ‘Mosaic’ Strategic Trusts

Portfolio Management

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Strategic Initiatives Update

• Continue successful integration execution

• Refinement of ‘Mosaic’ strategy including Group multi and single sector portfolios and cash-plus portfolio

• Extend Managed Portfolio Service (MDA type product) and Dynamic Portfolio Update Service to all advice models; Mosaic performing strategic asset allocation, manager selection and fund selection duties for the MPS

• Deliver enhanced segmented service value propositions to clients, advisers and practices, and begin migration of clients

• Group brand refresh to enhance recognition and leverage

• Funding facility in place at 1x Operating EBITDA

• Acquisition parameters:

• Strategic

• Value accretive

• Within risk appetite

• Tuck in pipeline remains

• Integration at a stage where the Group can now review transformational deals – ‘deal ready’

SFG is uniquely positioned in the industry

22

2012 Strategic Initiatives Mergers & Acquisitions

Broaden services to capture organic growth Enhance scale & synergies from consolidation For

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Summary of key proposed regulatory aspects Response Expected impact

Futu

re o

f Fin

anci

al A

dvic

e &

Str

onge

r Sup

er

“Best Interests” duty

• SFG advice businesses have always operated from a ‘client first’ perspective

• Program in place to develop internal procedures and checks to implement for 1 July 2012

Immaterial impact – increased administration

Disclosure of fees & “Opt in” – renewal of advice agreement

• Client service proposition means regular contact with core client base and already transparency of disclosures

• Working on bottom end of client base value propositions to ensure relationships “stick” under opt in, some revenue at risk over time

• Specific grandfathering applies to opt in

Strong client relationships and

grandfathering provide mitigation, but some

residual risk to revenue

Abolish commissions, volume rebates & other conflicted payments

• Grandfathering proposed to apply – but details scarce • Commissions no longer a material component of revenue • Mosaic now RE of the Strategic Trusts, removing exposure • Symetry arrangements provide optionality to become trustee and

/or operator of administration platform if desirable • Further response scenario planning – need finalisation of MySuper

and FoFA in relation to the Group’s Corporate Super FUA

Response / Options in hand – need to see final

legislation in order to implement optimal

solutions

Enhance scaled advice / make advice more accessible

• SFG has historically targeted HNW and Affluent segments of the market, providing full service advice

• Group currently enhancing scalable advice offers, utilising the same infrastructure, for low end client balances and Corporate Superannuation clients

Pending final details, Group is well placed to

exploit the future opportunity

Reform responses – Update Tactical & Strategic responses: need final legislation to determine optimal solutions

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FY12: LOOKING FORWARD

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• High quality, client focused financial advice business with a robust and flexible business model

– Platform and portfolio solutions distinguishes the Group from all smaller competitors

– Breadth and depth of client relationships distinguishes the Group from larger competitors

• Cyclical headwinds but industry fundamentals underpin long-term growth

• Scale and diversification – 1H12: $10.8bn in FUA; $9.2bn in FUAdmin; $4.0bn in FUM

• Upgraded synergies: on track to deliver $10.5m in annualised cost savings and synergies in FY13, gross of integration costs

– 1H12 savings and synergies achieved of $1.9m, and 2H12 expected to be $3.7m

• Assuming 1H12 FUMA levels, 2H12 Operating EBITDA expected to be net $2.0m higher than 1H12 (including benefit of savings and synergies)

• Well prepared but cautious regarding final outcomes of the regulatory reforms, and effect on the value chain as a whole

• Net non-leveraged balance sheet (clarification on RTFI required) and strong operating cashflows

• Experienced management team ready to capture opportunities, implement regulatory reform responses and, with the integration on track, “deal ready” to consider further transformational transactions

FY12: Looking forward A leading non-aligned financial advice & end-to-end wealth management firm, well

positioned to capture upside when market conditions improve

25

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APPENDIX

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Share register profile • Current market capitalisation equal to $241m,

assuming a share price of $0.331

• Clawback shares (12.5m) released from escrow in January 2012 and further 173 million shares to be released from escrow in July 2012, with last 173 million in July 2013

• A large number of SFG shareholders are employees of SFG, and the dealing in these shares is governed by the Employee Securities Trading Policy (lodged with ASX)

– Trading window following this announcement open from 28 February to 10 April 2012

• Not likely to complete a Company-led managed selldown process in current market conditions

27

Escrow release profile, # of shares

Register Composition2

100% 53% 76%

Non-escrowed shares Escrow release

29%

22%18%

14%

11%

6%0% Shadforth Advisers

HNW / Retail

Board & Management

Institutional

Employees

WPFG Advisers

B2B Relationship

1. As at 24 February 2012. 2. Composed from Top 500 Shareholders, which account for 99.4% of total shares outstanding.

384557

173

173

Current non-escrowed

July 2012 July 2013

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Term / Note Definition pcp Prior corresponding period

FUA Funds under Advice: funds balances upon which the Group derives a share of the advice fee

FUAdmin Funds under Administration (FUAd or FUAdmin): funds balances upon which the Group derives a share of the administration margin

FUM Funds under Management: funds balances upon which the Group derives a share of the management margin

FUMA The collective term for Funds under Advice, Administration and Management

Net Operating Revenue Net Operating Revenue comprises Operating Revenue less cost of goods sold expense items to derive Net Operating Revenue to the Group. The Appendix 4D reports Operating Revenue

Net Operating Expenses As above, excludes cost of goods sold type expense items

Operating EBITDA Earnings before interest, tax, depreciation and amortisation, before one-off and non-operating items

NPAT Net Profit After Tax

Underlying NPAT or UNPAT

Underlying Net Profit After Tax. Underlying NPAT excludes amortisation and one-off, non-operational items. SFG considers this to be a meaningful indicator of the underlying performance and cash generating capability of the Group

Segment reporting changes

The segment reporting illustrated in this presentation is how the Group intends to report the business segments going forward. These differ to how it has been reported in the Appendix 4D, but it is envisaged the FY12 Appendix 4E will reflect this segment reporting, or potentially illustrate the results segmented by the all of the applicable value chain segments, which will split out the non-advice revenue that is ultimately attributable to clients of the adviser models (as presented in the current segment reporting)

RTFI Rights to Future Income legislation

Definitions & classifications notes

28

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Reconciliation to Appendix 4D

1H11 $m

Operating Revenue per Appendix 4D (Gross) 61.9

Less administration fee -3.7

Expense recovery (& re-statement) – Mosaic -1.8

Net Operating Revenue (per presentation) 56.4

Operating Expenses per Appendix 4D (Gross) 42.8

Less administration fee -3.7

Expense recovery (& re-statement) – Mosaic -1.8

Net Operating Expenses (per presentation) 37.3

1H12 $m

Operating Revenue per Appendix 4D (Gross) 63.7

Less administration fee -3.3

Expense recovery (& re-statement) – Mosaic -2.6

Net Operating Revenue (per presentation) 57.8

Operating Expenses per Appendix 4D (Gross) 43.8

Less administration fee -3.3

Expense recovery (& re-statement) – Mosaic -2.6

Net Operating Expenses (per presentation) 37.9

29

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Financial Advice

Revenue

1H12: $29.8m

Ongoing Fees – 100%

retained by group

Core Clients

Corporate Super F

U A

>88% of FUA

$10.8bn of FUA

Net flows

Market impact

Outflows

Inflows

Asset Allocation

Property Securities

Equities

<12% of FUA

Affiliate adviser model

End-to-end model – $9.0bn

B2B Services model

Ongoing Fees – 20%1 margin

retained by SFG $1.2bn of FUA

$0.6bn of FUA

License Fees (% of revenue)

1H12: $0.12m

Financial advice

revenue of B2B partner

New clients

Existing clients

One-off Fees (End-to-end

model – 100% retained)

Statement of Advice Fees

Other Plan Fees

<10%

>90%

Fixed Interest

Cash

One-off Fees – Affiliate model (20% retained)

One-off Financial

Advice Fees

Ongoing Financial

Advice Fees

Revenue drivers – Advice fees

30 1. Subject to incentive arrangements agreed with Western Pacific, where growth in revenue above a certain benchmark attracts a 10% dealer margin on revenue growth, maintaining the 20% dealer margin on the benchmark revenue.

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Portfolio Admin Income

Net flows

Market impact

F U A D

$6.5bn

$9.2bn of FUAdmin

End -to-end adviser model – earn 100% of share of margin

B2B Services model – share income

earned

$1.8bn

Affiliate adviser model – earn 100% of share of margin 1H12:

$17.2m $0.9bn

Portfolio Administration Income

Portfolio Mgmt

Income

F U M

$3.5bn

$4.0bn of FUM

End-to-end adviser model

B2B Services model

$0.1bn

Affiliate adviser model

1H12: $1.4m1 $0.4bn

Portfolio Management Income

Net flows

Market impact

Portfolio construction

Asset allocation

Multi-sector funds $0.6bn

Strategic Trusts $2.9bn

Other funds

$0.5bn

31 1. The fund related expense recoveries are now netted off in Net Operating Revenue. See slide 29 for reconciliation.

Revenue drivers – FUAdmin & FUM

Mosaic

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SFG Australia Limited

Contact details: Tony Fenning Managing Director Level 18, 50 Bridge Street Sydney NSW 2000 Telephone: +61 2 9250 1500 Email: Tony.Fenning@sfgaustralia.com.au

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