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IFSL Brooks Macdonald FundInterim Report and Unaudited Financial Statementsfor the period from 1st June 2019 to 30th November 2019

Issue date: 31st January 2020

2 IFSL Brooks Macdonald Fund – Interim Report 2019

IFSL Brooks Macdonald FundContact Information

The CompanyIFSL Brooks Macdonald Fund

Registered and Head Office of the CompanyMarlborough House59 Chorley New RoadBoltonBL1 4QP

Authorised Corporate Director (ACD) and RegistrarInvestment Fund Services Limited (IFSL)Marlborough House59 Chorley New RoadBoltonBL1 4QP(Authorised and regulated by the Financial Conduct Authority (FCA))

Investor Support: 0808 178 9321

Directors of IFSLAndrew StaleyNicholas FJ CoolingAllan HamerWayne D GreenDom ClarkeHelen RedmondHelen DerbyshireRichard GoodallGuy Sears (Non-Executive Director)David Kiddie (Non-Executive Director)Sarah Peaston (Non-Executive Director – appointed 1st October 2019)

DepositaryNatWest Trustee and Depositary Services Limited250 BishopsgateLondonEC2M 4AA(Authorised and regulated by the FCA)

AuditorErnst & Young LLPAtria One144 Morrison StreetEdinburghEH3 8EX

Investment ManagerBrooks Macdonald Asset Management Limited72 Welbeck StreetLondonW1G 0AY(Authorised and regulated by the FCA)

CustodianBNP Paribas Securities Services10 Harewood AvenueLondonNW1 6AA(Authorised and supervised in France by the Autorité de ContrôlePrudentiel and by the Autorité des Marchês Financiers and authorisedand subject to limited regulation by the FCA for the conduct of itsinvestment business in the UK)


IFSL Brooks Macdonald FundContents

Page

Authorised Status and General Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4Authorised Corporate Director’s Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5Notes to the Interim Financial Statements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

IFSL Brooks Macdonald Defensive Income FundFund Information: Investment Objective; Investment Policy; and Synthetic Risk and Reward Indicator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7Investment Manager’s Review (including: Portfolio Changes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8Comparative Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9Portfolio Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14Statement of Total Return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Statement of Change in Net Assets Attributable to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

IFSL Brooks Macdonald Balanced FundFund Information: Investment Objective; Investment Policy; and Synthetic Risk and Reward Indicator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18Investment Manager’s Review (including: Portfolio Changes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19Comparative Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20Portfolio Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24Statement of Total Return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26Statement of Change in Net Assets Attributable to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

IFSL Brooks Macdonald Cautious Growth FundFund Information: Investment Objective; Investment Policy; and Synthetic Risk and Reward Indicator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28Investment Manager’s Review (including: Portfolio Changes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Comparative Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30Portfolio Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36Statement of Total Return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38Statement of Change in Net Assets Attributable to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39

IFSL Brooks Macdonald Strategic Growth FundFund Information: Investment Objective; Investment Policy; and Synthetic Risk and Reward Indicator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40Investment Manager’s Review (including: Portfolio Changes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41Comparative Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42Portfolio Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46Statement of Total Return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48Statement of Change in Net Assets Attributable to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49

IFSL Brooks Macdonald Defensive Capital FundFund Information: Investment Objective; Investment Policy; and Synthetic Risk and Reward Indicator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 50Investment Manager’s Review (including: Portfolio Changes) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51Comparative Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52Portfolio Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57Statement of Total Return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60Statement of Change in Net Assets Attributable to Shareholders . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60Balance Sheet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61

General Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62

IFSL Brooks Macdonald FundAuthorised Status and General Information

Authorised StatusIFSL Brooks Macdonald Fund (the Company) is an open-ended investment company with variable capital (ICVC) incorporated under the Open-EndedInvestment Companies Regulations 2001 (OEIC Regulations). The Company is a UCITS Scheme as defined in the Collective Investment Schemes Sourcebook(COLL) and is also an umbrella company for the purposes of the OEIC Regulations. The Company is incorporated in England and Wales with the registerednumber IC000357. The Company was authorised by an order made by the Financial Conduct Authority (FCA) with effect from 30th November 2004 with theProduct Reference Number (PRN) 413889.

Shareholders of the sub-funds do not have any proprietary interest in the underlying assets of the Company and will not be liable for the debts of theCompany. A sub-fund is not a legal entity. If the assets attributable to a sub-fund were insufficient to meet its liabilities the shortfall will not be met out ofthe assets attributable to one or more other sub-funds of the Company. The sub-funds are segregated by law under the Protected Cell Regime.

The Company currently has five sub-funds: IFSL Brooks Macdonald Defensive Income Fund; IFSL Brooks Macdonald Balanced Fund; IFSL Brooks MacdonaldCautious Growth Fund; IFSL Brooks Macdonald Strategic Growth Fund; and IFSL Brooks Macdonald Defensive Capital Fund.

Right and Terms Attached to Each Share ClassA share of each class represents a proportional entitlement to the assets of the sub-fund. The allocation of income and taxation and the rights of eachshare in the event that a sub-fund is wound up are on the same proportional basis.

Cross HoldingsIFSL Brooks Macdonald Defensive Income Fund held 328,779 shares valued at £739,000 in IFSL Brooks Macdonald Defensive Capital Fund as at30th November 2019 (31st May 2019: 506,620 shares valued at £1,014,000).

IFSL Brooks Macdonald Balanced Fund held 2,483,228 shares valued at £5,585,000 in IFSL Brooks Macdonald Defensive Capital Fund as at 30th November2019 (31st May 2019: 2,328,982 shares valued at £5,072,000).

IFSL Brooks Macdonald Cautious Growth Fund held 1,516,512 shares valued at £3,411,000 in IFSL Brooks Macdonald Defensive Capital Fund as at30th November 2019 (31st May 2019: 1,617,094 shares valued at £3,522,000).

IFSL Brooks Macdonald Strategic Growth Fund held 546,872 shares valued at £1,230,000 in IFSL Brooks Macdonald Defensive Capital Fund as at30th November 2019 (31st May 2019: 511,173 shares valued at £1,113,000).

Changes to ProspectusOn 8th July 2019 the IFSL Brooks Macdonald Balanced Fund D Accumulation share class converted to the IFSL Brooks Macdonald Balanced FundA Accumulation share class.

On 8th July 2019 the IFSL Brooks Macdonald Balanced Fund D EUR Hedged Accumulation share class converted to the IFSL Brooks Macdonald BalancedFund B EUR Hedged Accumulation share class.

With effect from 14th October 2019 all of the SGD Hedged Accumulation share class were closed by the ACD.

Up to date Key Investor Information Documents, Prospectus and ACD’s Reports and Financial Statements for any Company/sub-fund within the ACD’s rangecan be requested by the investor at any time.



IFSL Brooks Macdonald FundAuthorised Corporate Director’s Statement

This report has been prepared in accordance with the requirements of the Collective Investment Schemes Sourcebook as issued and amended by theFinancial Conduct Authority.

Allan HamerJoint Managing Director

Wayne D GreenJoint Managing Director

Investment Fund Services Limited (IFSL)Authorised Corporate Director of IFSL Brooks Macdonald Fund

31st January 2020

IFSL Brooks Macdonald FundNotes to the Interim Financial Statements

Basis for AccountingThe interim financial statements have been prepared in compliance with FRS 102 and in accordance with the Statement of Recommended Practice (SORP)for UK Authorised Funds issued by the Investment Management Association (now known as the Investment Association (IA)) in May 2014 and amended inJune 2017.

The interim financial statements are prepared in sterling, which is the functional currency of the sub-funds. Monetary amounts in these financial statementsare rounded to the nearest thousand pound.

The interim financial statements have been prepared on the historical cost convention, modified to include the revaluation of investments and certainfinancial instruments at fair value.

Accounting PoliciesThe accounting policies applied are consistent with those of the annual financial statements for the year ended 31st May 2019 and are described in thoseannual financial statements.

The valuation point was 12 o’clock midday on 29th November 2019 being the last valuation point of the interim accounting period.


IFSL Brooks Macdonald Defensive Income FundFund Information


Investment ObjectiveThe investment objective of the sub-fund is to generate income over the long term by gaining an exposure to a defensive mix of assets.

Investment PolicyThe sub-fund will be actively managed and primarily invested in a variety of collective investment schemes that will include both UK and internationalequity exposure and substantial fixed income and other defensive assets to provide an overall defensive investment mix of income generating assets.

The sub-fund may also invest in transferable securities, money market instruments, exchange traded funds, cash and cash deposits, as permitted inthe Prospectus.

The use of derivatives and hedging transactions is only permitted in connection with the efficient portfolio management of the sub-fund. Borrowing will bepermitted on a temporary basis under the terms set out in the Prospectus, at the discretion of the Investment Manager.

Synthetic Risk and Reward Indicator (SRRI – all share classes)

The SRRI aims to give you a measure of the price movements of the sub-fund’s share classes based on past data. It uses historic returns over the last fiveyears. If five years’ data is not available simulated data based on a representative portfolio is used.

Past data may not be a reliable indication of the future risk profile of the sub-fund. The risk category may change in the future and is not guaranteed. Thelowest category does not mean risk free. The value of investments and the income from them may fall as well as rise and you may not get back the amountyou originally invested.

The sub-fund has been measured as 3 because it has experienced low to moderate volatility historically. During the year the SRRI has remained unchanged.

1 2 3 4 5 6 7

Lower risk Higher risk

Typically lower rewards Typically higher rewards

IFSL Brooks Macdonald Defensive Income FundInvestment Manager’s Reviewfor the period from 1st June 2019 to 30th November 2019


Percentage change 30th November 2019.

6 Months 1 Year 3 Years 5 Years

IFSL Brooks Macdonald Defensive Income Fund 3.71% 7.23% 13.20% 19.64%

Benchmark: IA Mixed Investment 0-35% Shares 3.35% 6.94% 11.34% 19.39%

External Source of Economic Data: Morningstar (Class A Inc – mid to mid, net income reinvested)

The sub-fund delivered positive performance over the period and was ahead of the IA 0-35% equity benchmark. The source of returns was varied, with riskassets generally delivering the bulk of overall gains. International equity positions were the strongest performers, as US assets delivered positive returns,while central banks remained highly accommodative.

Global equities also performed well, tending to outperform domestic equities which lagged slightly. UK political uncertainty continued to make investors wary.This international outperformance was delivered despite a general strengthening in Sterling since the late summer.

Non–equity positions were also positive, but underperformed riskier assets. Structured return was a solid sector, as were the alternative funds held in theportfolio. Fixed interest was more mixed; defensive assets had a good run in the summer as fears of an impending recession gripped markets, but much of thiswas given back in the second half of the period. More aggressive fixed interest assets tended to outperform.

Activity within the sub-fund was fairly limited over the period and we broadly maintained our overall asset allocation. We had built up a cash overweight, aswe felt that there was a risk of a mid-cycle correction, driven by a disconnection between market expectations of interest rate cuts and central bank policy.

We marginally reduced our international equity positions to increase exposure to low correlation structured return assets.

Portfolio Changes

Largest Purchases Cost (£’000)

Fortem Capital Progressive Growth ‘A’ GBP 718JOHCM UK Equity Income ‘Y’ 147Liontrust Special Situations ‘Inst’ 56Royal London UK Equity Income ‘Z’ 37

Other purchases –

Total purchases for the period 958

Largest Sales Proceeds (£’000)

BNY Mellon Newton Global Income ‘U’ 481IFSL Brooks Macdonald Defensive Capital ‘C’ 395Vanguard U.S Government Bond Index 237Royal London Sterling Credit ‘Z’ 183Allianz Gilt Yield ‘I’ 163Fidelity Index US ‘P’ 125Lazard Global Listed Infrastructure Equity ‘A’ GBP 90PIMCO UK Income Bond ‘Inst’ GBP 90Jupiter Dynamic Bond ‘I’ GBP Hedged 73AHFM Defined Returns ‘I’ Sterling 54

Other sales 54

Total sales for the period 1,945

IFSL Brooks Macdonald Defensive Income FundComparative Table


A Income A Income A Income A Income30th November 2019 31st May 2019 31st May 2018 31st May 2017

(Pence per Share) (Pence per Share) (Pence per Share) (Pence per Share)

Change in Net Assets per ShareOpening net asset value per share 117.39 117.74 121.17 113.36

Return before operating charges* 4.95 3.99 1.30 12.19Operating charges (0.63) (1.24) (1.38) (1.39)

Return after operating charges* 4.32 2.75 (0.08) 10.80

Distributions on income shares (1.67) (3.10) (3.35) (2.99)

Closing net asset value per share 120.04 117.39 117.74 121.17

* after direct transaction costs of: – – – –

PerformanceReturn after charges 3.68% 2.34% (0.07%) 9.53%

Other InformationClosing net asset value (£’000) 29,022 28,568 30,166 30,656Closing number of shares 24,177,708 24,335,168 25,620,375 25,301,059Operating charges 1.06%A 1.06% 1.15% 1.19%Direct transaction costs 0.00% 0.00% 0.00% 0.00%

Prices Pence per Share Pence per Share Pence per Share Pence per ShareHighest share price 121.10 119.70 121.90 121.80Lowest share price 117.30 112.50 115.60 111.60

A This represents the annualised operating charges to 30th November 2019.


IFSL Brooks Macdonald Defensive Income FundComparative Table (continued)

B Income B Income B Income B Income30th November 2019 31st May 2019 31st May 2018 31st May 2017














B Accumulation B Accumulation B Accumulation B Accumulation30th November 2019 31st May 2019 31st May 2018 31st May 2017





Distributions on accumulation shares (1.56) (2.83) (3.01) (2.63)Retained distributions on accumulation shares 1.56 2.83 3.01 2.63









B USD (Hedged) B USD (Hedged) B USD (Hedged) B USD (Hedged)Accumulation Accumulation Accumulation Accumulation

30th November 2019 31st May 2019 31st May 2018 31st May 2017(Cents [$] per Share) (Cents [$] per Share) (Cents [$] per Share) (Cents [$] per Share)



Return after operating charges* 4.56 3.87 0.55 9.13




PerformanceReturn after charges 4.06% 3.56% 0.51% 9.23%

Other InformationClosing net asset value (£’000) 1,607 1,868 1,762 1,537Closing net asset value ($’000) 2,073 2,350 2,349 1,973Closing number of shares 1,771,880 2,089,509 2,163,528 1,826,419Operating charges 1.86%A 1.86% 1.95% 1.99%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/$) 1.2900 1.2580 1.3328 1.2837

Prices Cents [$] per Share Cents [$] per Share Cents [$] per Share Cents [$] per ShareHighest share price 117.00 112.70 109.80 108.00Lowest share price 112.40 106.00 105.80 97.28




B EUR (Hedged) B EUR (Hedged) B EUR (Hedged) B EUR (Hedged)Accumulation Accumulation Accumulation Accumulation

30th November 2019 31st May 2019 31st May 2018 31st May 2017(Cents [€] per Share) (Cents [€] per Share) (Cents [€] per Share) (Cents [€] per Share)








Other InformationClosing net asset value (£’000) 909 893 810 745Closing net asset value (€’000) 1,066 1,008 924 853Closing number of shares 1,008,142 977,526 899,455 815,913Operating charges 1.86%A 1.86% 1.95% 1.99%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/€) 1.1731 1.1287 1.1411 1.1449

Prices Cents [€] per Share Cents [€] per Share Cents [€] per Share Cents [€] per ShareHighest share price 106.00 104.10 105.10 104.50Lowest share price 103.00 98.47 100.50 95.37


Operating charges are the same as the ongoing charges figure (OCF) and are the total expenses paid by each share class in the period. Direct transaction costsare the total charges for the period included in the purchase and sale of investments in the portfolio of the sub-fund.


IFSL Brooks Macdonald Defensive Income FundPortfolio Statementas at 30th November 2019

Market Percentage ofHolding Investment Value Total Net Assets

£’000 %

Alternatives (31st May 2019: 9.04%)1,800,235 Investec Diversified Income ‘J Sterling 1,802 4.90

14,849 Legg Mason WA Macro Opportunities Bond ‘Premier’ GBP Hedged Plus (e) 1,483 4.04

3,285 8.94International Equity (31st May 2019: 10.02%)

639,794 BNY Mellon Newton Global Income ‘U’ 1,034 2.8173,994 Guinness Global Equity Income ‘Y’ GBP 1,091 2.97

628,029 Lazard Global Listed Infrastructure Equity ‘A’ GBP 1,073 2.92

3,198 8.70UK Equity (31st May 2019: 10.78%)

951,415 JOHCM UK Equity Income ‘Y’ 1,251 3.40261,578 Liontrust Special Situations ‘Inst’ 1,163 3.17621,714 Royal London UK Equity Income ‘Z’ 775 2.11

8,222 Vanguard FTSE UK All Share Index ‘Inst Plus’ GBP 1,127 3.07

4,316 11.75US Equity (31st May 2019: 3.93%)

596,486 Fidelity Index US ‘P’ 1,455 3.96

1,455 3.96International Fixed Interest (31st May 2019: 22.34%)

1,956,002 Artemis Strategic Bond ‘I’ GBP 1,116 3.041,948,572 JPM Unconstrained Bond ‘I’ Gross 1,822 4.96

158,668 Jupiter Dynamic Bond ‘I’ GBP Hedged 1,812 4.9313,727 MI TwentyFour Dynamic Bond ‘M’ Gross 1,466 3.9918,154 Vanguard U.S Government Bond Index 1,651 4.49

7,867 21.41UK Fixed Interest (31st May 2019: 29.29%)

691,484 Allianz Gilt Yield ‘I’ 1,378 3.75272,431 PIMCO UK Income Bond ‘Inst’ GBP 2,866 7.80

3,199,533 Royal London Short Duration Gilts ‘Z’ 3,235 8.811,997,424 Royal London Sterling Credit ‘Z’ 2,842 7.74

10,321 28.10Structured Return (31st May 2019: 6.17%)

1,014,726 AHFM Defined Returns ‘I’ Sterling 1,099 2.99660,864 Fortem Capital Progressive Growth ‘A’ GBP 734 2.00328,779 IFSL Brooks Macdonald Defensive Capital ‘C’ A 739 2.01

2,572 7.00

IFSL Brooks Macdonald Defensive Income FundPortfolio Statement (continued)

Forward Currency Exchange Contracts on Hedged Share Classes (31st May 2019: 0.33%)

Buy Sell Unrealised Percentage ofCounterparty Buy Sell Settlement Amount Amount Gains/(Losses) Total Net Assets £’000 %

BNP Paribas EUR GBP 20/12/2019 1,072,213 951,432 (37) (0.10)BNP Paribas GBP USD 20/12/2019 4,236 5,483 – –BNP Paribas GBP EUR 20/12/2019 4,997 5,630 – –BNP Paribas USD GBP 20/12/2019 2,063,094 1,655,881 (58) (0.16)

Net Unrealised Losses on Forward Currency Exchange Contractson Hedged Share Classes (95) (0.26)

Portfolio of InvestmentsB 32,919 89.60

Net Current Assets 3,819 10.40

Total Net Assets 36,738 100.00

A A related party of IFSL Brooks Macdonald Defensive Income FundB Net of investment liabilities.

Portfolio Transactionsfor the period from 1st June 2019 to 30th November 2019 £’000

Total purchases costs, including transaction charges 958Total sales proceeds, net of transaction charges 1,945



Statement of Change in Net Assets Attributable to Shareholdersfor the period from 1st June 2019 to 30th November 2019

30th November 2019 30th November 2018£’000 £’000 £’000 £’000

Income

Net capital gains/(losses) 826 (723)

Revenue 588 634

Expenses (137) (139)

Net revenue before taxation 451 495

Taxation (42) (53)

Net revenue after taxation 409 442

Total return before distributions 1,235 (281)

Distributions (505) (969)

Change in Net Assets Attributable to Shareholdersfrom Investment Activities (see below) 730 (1,250)


Opening net assets attributable to shareholders 36,065A 38,187

Amounts receivable on issue of shares 3,253 2,142

Amounts payable on cancellation of shares (3,399) (3,473)

(146) (1,331)Change in net assets attributable to shareholdersfrom investment activities (see above) 730 (821)

Retained distributions on accumulation shares 89 93

Closing Net Assets Attributable to Shareholders 36,738 36,128A

A With respect to the Statement of Change in Net Assets Attributable to Shareholders, the comparative figures are from the prior period’s interim and this is the reason why theOpening Net Assets Attributable to Shareholders for the current period does not equal the Closing Net Assets Attributable to Shareholders.

IFSL Brooks Macdonald Defensive Income FundStatement of Total Returnfor the period from 1st June 2019 to 30th November 2019


IFSL Brooks Macdonald Defensive Income FundBalance Sheetas at 30th November 2019

30th November 2019 31st May 2019£’000 £’000

Assets

Fixed Assets:Investment assets 33,014 33,147

Current Assets:Debtors 309 86Cash and bank balances 4,103 3,538

Total Assets 37,426 36,771

LiabilitiesInvestment liabilities 95 3

Creditors:Distribution payable on income shares 238 157Bank overdraft 177 152Other creditors 178 394

Total Liabilities 688 706

Net Assets Attributable to Shareholders 36,738 36,065


IFSL Brooks Macdonald Balanced FundFund Information

Investment ObjectiveThe investment objective of the sub-fund is to provide a combination of income and capital growth over the longer term by gaining an exposure to abalanced mix of asset classes.

Investment PolicyThe sub-fund will be actively managed and primarily invested in a variety of collective investment schemes that will include significant UK and internationalequity exposure together with fixed income and alternative investments to provide an overall balanced investment mix of growth assets.






The sub-fund has been measured as 4 because it has experienced moderate volatility historically. During the year the SRRI has remained unchanged.

1 2 3 4 5 6 7




IFSL Brooks Macdonald Balanced FundInvestment Manager’s Reviewfor the period from 1st June 2019 to 30th November 2019

Percentage change to 30th November 2019


IFSL Brooks Macdonald Balanced Fund 5.28% 8.24% 23.35% 35.82%


External Source of Economic Data: Morningstar (Class A Acc – mid to mid)

The sub-fund delivered positive absolute returns over the period, although slightly lagged the IA 20-60% equity benchmark. Performance was varied, with riskassets generally delivering the bulk of overall gains. International equity positions were the strongest performers, as US assets delivered positive returns,while central banks remained highly accommodative.

Global equities also performed well tending to outperform domestic equities which lagged slightly. UK political uncertainty continued to make investors wary.However, some of the portfolios’ UK equity assets have a slightly stronger focus on value investing – a style bias that performed particularly well towards theend of the period. European positions performed well, as did more aggressive Asian positions as investors hoped that the US/China trade dispute would finda resolution. This international outperformance was delivered despite a general strengthening in Sterling since the late summer.

Non–equity positions were also positive, but underperformed riskier assets. Structured return was a solid sector, though within the alternative space theMerian Global Equity Absolute Return had a poor run and declined over the period. Fixed interest was more mixed; defensive assets had a good run in thesummer as fears of an impending recession gripped markets, but much of this was given back in the second half of the period. More aggressive fixed interestassets tended to outperform.


We did sell the Artemis Global Income following a pickup in performance, moving the proceeds from this into an international tracker. We also reduced overallexposure to Japan, as we remain more cautious over the prospects for the country following protracted decline in manufacturing. Lastly, we sold some of theportfolio’s exposure to UK smaller companies due to concerns over the ongoing political risk within the UK.

Portfolio Changes


Stewart Asia Pacific Leaders ‘B’ GBP 4,075Fidelity Index World ‘P’ 4,002Vanguard FTSE UK All Share Index ‘Inst Plus’ GBP 3,095Merian Global Equity Absolute Return ‘U1’ Hedged 1,080JOHCM UK Equity Income ‘Y’ 686Man GLG Undervalued Assets ‘D’ 523Merian North American Equity ‘U1’ GBP Hedged 410Fidelity Index US ‘P’ 410Liontrust Special Situations ‘Inst’ 358Investec Diversified Income ‘J Sterling 350

Other purchases 960

Total purchases for the period 15,949


Artemis Global Income ‘I’ GBP 3,969Goldman Sachs Japan Equity Partners ‘I’ GBP 3,184River and Mercantile UK Equity Smaller Companies ‘B’ 2,604Schroder Asian Total Return ‘C’ GBP 1,195Polar Capital Healthcare Opportunities ‘I’ Sterling 549Fidelity Index US ‘P’ 549Vanguard U.S Government Bond Index 338Fundsmith Equity ‘I’ 274

Other sales –



IFSL Brooks Macdonald Balanced FundComparative Table

A Accumulation A Accumulation A Accumulation A Accumulation30th November 2019 31st May 2019 31st May 2018 31st May 2017




Return after operating charges* 11.75 (0.59) 14.39 31.61




PerformanceReturn after charges 5.26% (0.26%) 6.87% 17.77%





IFSL Brooks Macdonald Balanced FundComparative Table (continued)


















Return before operating charges* 5.93 (0.41) 7.65 16.84Operating charges (1.09) (2.16) (2.28) (2.13)






Other InformationClosing net asset value (£’000) 1,522 1,146 703 442Closing net asset value (€’000) 1,786 1,293 802 506Closing number of shares 1,515,843 1,145,005 694,429 459,521Operating charges 1.89%A 1.92% 2.03% 2.08%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/€) 1.1731 1.1287 1.1411 1.1449





IFSL Brooks Macdonald Balanced FundPortfolio Statementas at 30th November 2019


£’000 %

Alternatives (31st May 2019: 6.40%)4,108,880 Investec Diversified Income ‘J Sterling 4,113 2.965,126,879 Merian Global Equity Absolute Return ‘U1’ Hedged 5,274 3.80

9,387 6.76European Equity (31st May 2019: 3.90%)

52,711 RWC Continental European Equity ‘C’ GBP 5,827 4.19


2,368,764 Fidelity Index World ‘P’ 4,183 3.01866,109 Fundsmith Equity ‘I’ 4,045 2.91108,163 Polar Capital Global Technology ‘I’ Sterling 4,502 3.24103,464 Polar Capital Healthcare Opportunities ‘I’ Sterling 4,176 3.01

3,549,252 Standard Life Global Smaller Companies ‘S Inst’ 3,936 2.83

20,842 15.00Japan, Far East & Emerging Markets Equity (31st May 2019: 9.21%)

373,032 Goldman Sachs Japan Equity Partners ‘I’ GBP 4,405 3.1711,565 Schroder Asian Total Return ‘C’ GBP 4,192 3.02

512,354 Stewart Asia Pacific Leaders ‘B’ GBP 3,999 2.88

12,596 9.07UK Equity (31st May 2019: 22.11%)

4,770,634 JOHCM UK Equity Income ‘Y’ 6,273 4.511,298,785 Liontrust Special Situations ‘Inst’ 5,774 4.164,052,334 Man GLG Undervalued Assets ‘D’ 5,819 4.193,573,645 Royal London UK Equity Income ‘Z’ 4,453 3.21


32,381 23.31US Equity (31st May 2019: 11.68%)

5,206,149 Fidelity Index US ‘P’ 12,696 9.14415,783 Merian North American Equity ‘U1’ GBP Hedged 4,454 3.21


69,744 Vanguard U.S Government Bond Index 6,346 4.57

6,346 4.57UK Fixed interest (31st May 2019: 10.98%)

370,156 PIMCO UK Income Bond ‘Inst’ GBP 3,894 2.805,162,184 Royal London Short Duration Gilts ‘Z’ 5,219 3.763,785,370 Royal London Sterling Credit ‘Z’ 5,387 3.88


2,843,338 AHFM Defined Returns ‘B’ Sterling 4,331 3.122,483,228 IFSL Brooks Macdonald Defensive Capital ‘C’ A 5,585 4.02

9,916 7.14

IFSL Brooks Macdonald Balanced FundPortfolio Statement (continued)



BNP Paribas EUR GBP 20/12/2019 1,189,173 1,673,718 (63) (0.05)BNP Paribas GBP USD 20/12/2019 31,439 39,794 1 –BNP Paribas GBP EUR 20/12/2019 104,508 119,592 3 –BNP Paribas GBP SGD 20/12/2019 356,883 615,294 8 0.01BNP Paribas SGD GBP 20/12/2019 615,294 358,907 (10) (0.01)BNP Paribas USD GBP 20/12/2019 6,112,883 4,898,877 (164) (0.12)

Net Unrealised Losees on Forward Currency Exchange Contractson Hedged Share Classes (225) (0.17)




A A related party of IFSL Brooks Macdonald Balanced Fund.B Net of investment liabilities.


Total purchases costs, including transaction charges 15,949Total sales proceeds, net of transaction charges 12,662



IFSL Brooks Macdonald Balanced FundStatement of Total Returnfor the period from 1st June 2019 to 30th November 2019



Income

Net capital gains/(losses) 5,826 (4,457)

Revenue 1,313 1,161



Taxation – –


Total return before distributions 6,664 (3,729)


Change in Net Assets Attributable to Shareholdersfrom Investment Activities (see below) 5,826 (4,457)





2,195 9,544Change in net assets attributable to shareholdersfrom investment activities (see above) 5,826 (4,457)





IFSL Brooks Macdonald Balanced FundBalance Sheetas at 30th November 2019


Assets


Current Assets:Debtors 345 4,177Cash and bank balances 10,133 10,333

Total Assets 139,435 133,965


Creditors:Bank overdraft 24 23Other creditors 259 3,873

Total Liabilities 520 3,912



IFSL Brooks Macdonald Cautious Growth FundFund Information

Investment ObjectiveThe investment objective of the sub-fund is to provide capital growth over the longer term by gaining an exposure to a cautious mix of assets. The defensivenature of the asset classes used to provide a cautious mix is likely to provide some investment income, however this is of secondary importance.

Investment PolicyThe sub-fund will be actively managed and primarily invested in a variety of collective investment schemes that will include UK and international equityas well as fixed income exposure to provide an overall cautious investment mix.







1 2 3 4 5 6 7




IFSL Brooks Macdonald Cautious Growth FundInvestment Manager’s Reviewfor the period from 1st June 2019 to 30th November 2019



IFSL Brooks Macdonald Cautious Growth Fund 3.99% 7.43% 16.22% 29.03%



The sub-fund delivered positive absolute returns, although slightly lagged the IA 20-60% equity benchmark. Performance was varied, with risk assets generallydelivering the bulk of overall gains. International equity positions were the strongest performers, as US assets delivered positive returns, while central banksremained highly accommodative.

Global equities also performed well, tending to outperform domestic equities which lagged slightly. UK political uncertainty continued to make investors wary.This international outperformance was delivered despite a general strengthening in Sterling since the late summer.



We did sell the Artemis Global Income following a pickup in performance, and marginally reduced our international equity positions over the summer toincrease exposure to low-correlation structured return assets.

Portfolio Changes


Fidelity Index World ‘P’ 3,403AHFM Defined Returns ‘I’ Sterling 1,191Merian Global Equity Absolute Return ‘U1’ Hedged 340

Other purchases –



Artemis Global Income ‘I’ GBP 3,325BNY Mellon Newton Global Income ‘U’ 1,427Fidelity Index US ‘P’ 792Allianz Gilt Yield ‘I’ 451Royal London Sterling Credit ‘Z’ 451Fundsmith Equity ‘I’ 450Vanguard U.S Government Bond Index 450AHFM Defined Returns ‘I’ Sterling 397Royal London UK Equity Income ‘Z’ 342IFSL Brooks Macdonald Defensive Capital ‘C’ 225

Other sales 1,850



IFSL Brooks Macdonald Cautious Growth FundComparative Table

A Income A Income A Income A Income30th November 2019 31st May 2019 31st May 2018 31st May 2017













IFSL Brooks Macdonald Cautious Growth FundComparative Table (continued)















B Income B Income B Income B Income30th November 2019 31st May 2019 31st May 2018 31st May 2017























Other InformationClosing net asset value (£’000) 1,836 1,758 1,281 462Closing net asset value (€’000) 2,154 1,984 1,462 529Closing number of shares 1,838,762 1,744,727 1,279,074 464,838Operating charges 1.85%A 1.86% 1.93% 1.99%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/€) 1.1731 1.1287 1.1411 1.1449





IFSL Brooks Macdonald Cautious Growth FundPortfolio Statementas at 30th November 2019


£’000 %

Alternatives (31st May 2019: 7.75%)4,439,285 Investec Diversified Income ‘J Sterling 4,444 4.054,204,674 Merian Global Equity Absolute Return ‘U1’ Hedged 4,326 3.94


3,203,947 Schroder European Alpha Income ‘L’ GBP 2,201 2.00


2,074,736 BNY Mellon Newton Global Income ‘U’ 3,354 3.051,884,897 Fidelity Index World ‘P’ 3,328 3.03

913,271 Fundsmith Equity ‘I’ 4,265 3.88230,329 Guinness Global Equity Income ‘Y’ GBP 3,396 3.09


6,202,741 Legal & General Asian Income ‘C’ 4,454 4.06

4,454 4.06UK Equity (31st May 2019: 17.00%)

3,354,334 JOHCM UK Equity Income ‘Y’ 4,411 4.021,270,668 Liontrust Special Situations ‘Inst’ 5,649 5.143,563,272 Royal London UK Equity Income ‘Z’ 4,440 4.04


19,067 17.36US Equity (31st May 2019: 6.97%)

3,255,189 Fidelity Index US ‘P’ 7,939 7.23


389,883 Jupiter Dynamic Bond ‘I’ GBP Hedged 4,453 4.0642,060 MI TwentyFour Dynamic Bond ‘M’ Gross 4,491 4.0945,390 Vanguard U.S Government Bond Index 4,130 3.76


2,703,961 Allianz Gilt Yield ‘I’ 5,388 4.90640,341 PIMCO UK Income Bond ‘Inst’ GBP 6,736 6.13

3,868,021 Royal London Sterling Credit ‘Z’ 5,504 5.015,391,129 Royal London Short Duration Gilts ‘Z’ 5,450 4.96


5,010,947 AHFM Defined Returns ‘I’ Sterling 5,424 4.941,516,512 IFSL Brooks Macdonald Defensive Capital ‘C’ A 3,411 3.11

8,835 8.05

IFSL Brooks Macdonald Cautious Growth FundPortfolio Statement (continued)



BNP Paribas EUR GBP 20/12/2019 2,146,107 1,905,710 (75) (0.07)BNP Paribas GBP USD 20/12/2019 62,097 78,137 2 –BNP Paribas GBP EUR 20/12/2019 21,582 24,323 1 –BNP Paribas USD GBP 20/12/2019 2,552,380 2,049,962 (73) (0.07)





A A related party of IFSL Brooks Macdonald Cautious Growth Fund.B Net of investment liabilities.


Total purchases costs, including transaction charges 4,934Total sales proceeds, net of transaction charges 10,160



IFSL Brooks Macdonald Cautious Growth FundStatement of Total Returnfor the period from 1st June 2019 to 30th November 2019


Income


Revenue 1,575 1,672


Net revenue before taxation 1,177 1,271

Taxation (40) (57)

Net revenue after taxation 1,137 1,214


Distributions (1,137) (1,214)






(6,772) 5,171Change in net assets attributable to shareholdersfrom investment activities (see above) 3,093 (3,322)

Retained distributions on accumulation shares 1,004 1,129





IFSL Brooks Macdonald Cautious Growth FundBalance Sheetas at 30th November 2019


Assets



Total Assets 110,393 114,264


Creditors:Distribution payable on income shares 93 60Bank overdraft 106 90Other creditors 197 1,582

Total Liabilities 544 1,740



IFSL Brooks Macdonald Strategic Growth FundFund Information

Investment ObjectiveThe investment objective of the sub-fund is to provide long-term capital growth, primarily through investment in global equity markets.

Investment PolicyThe sub-fund will be actively managed and primarily invested in a variety of collective investment schemes investing in UK and international equities,with some exposure to fixed income as well as any other investments which carry a defined return such as preference shares, convertible bonds and otherinvestment funds, some of which are designed to lessen the full equity market risk, in order to provide a mix of growth assets.

The sub-fund may also invest in transferable securities, money market instruments, exchange-traded funds, cash and cash deposits, as permitted inthe Prospectus.






1 2 3 4 5 6 7




IFSL Brooks Macdonald Strategic Growth FundInvestment Manager’s Reviewfor the period from 1st June 2019 to 30th November 2019

Portfolio Changes


Vanguard FTSE UK All Share Index ‘Inst Plus’ GBP 1,358Stewart Asia Pacific Leaders ‘B’ GBP 1,198Polar Capital Global Technology ‘I’ Sterling 1,198Legal & General European Index Trust ‘C’ 1,167JOHCM UK Equity Income ‘Y’ 321Man GLG Undervalued Assets ‘D’ 262Merian Global Equity Absolute Return ‘U1’ Hedged 219Majedie UK Income ‘X’ 202Investec Diversified Income ‘J Sterling 145Schroder Asian Total Return ‘C’ GBP 120

Other purchases 1,151



LF Miton European Opportunities ‘F’ 1,395Scottish Mortgage Investment Trust 1,137MI Chelverton UK Equity Growth ‘B’ 1,136Baillie Gifford Emerging Markets Growth ‘B’ 759Schroder Asian Total Return ‘C’ GBP 399Fundsmith Equity ‘I’ 141Fidelity Index US ‘P’ 81Morgan Stanley US Advantage ‘F’ GBP 81

Other sales –




IFSL Brooks Macdonald Strategic Growth Fund 5.31% 9.35% 28.89% 44.03%

Benchmark: IA Flexible Investment 5.78% 8.74% 20.73% 36.22%


The sub-fund delivered positive absolute returns, although slightly lagged the IA Flexible benchmark. Performance was varied with risk assets generallydelivering the bulk of overall gains. International equity positions were the strongest performers, as US assets delivered positive returns, while central banksremained highly accommodative.

Global equities also performed well tending to outperform domestic equities which lagged slightly. UK political uncertainty continued to make investors wary.However, some of the portfolios’ UK equity assets have a slightly stronger focus on value investing – a style bias that performed particularly well towards theend of the period. European positions performed well, as did more aggressive Asian positions as investors hoped that the US/China trade dispute would finda resolution. This international outperformance was delivered despite a general strengthening in Sterling since the late summer.



We did sell the position in Scottish Mortgage to marginally reduce overall portfolio risk. We also reduced overall exposure to Japan, as we remain morecautious over the prospects for the country following protracted decline in manufacturing. Lastly, we sold some of the portfolio’s exposure to UK smallercompanies due to concerns over the ongoing political risk within the UK.


IFSL Brooks Macdonald Strategic Growth FundComparative Table








* after direct transaction costs of: 0.01 – – –






IFSL Brooks Macdonald Strategic Growth FundComparative Table (continued)










Other InformationClosing net asset value (£’000) 2,632 2,021 1,473 1,065Closing number of shares 1,986,837 1,600,597 1,168,618 912,542Operating charges 1.95%A 1.96% 2.03% 2.16%Direct transaction costs 0.00% 0.00% 0.00% 0.00%










Distributions on accumulation shares (0.43) (0.01) (0.02) –Retained distributions on accumulation shares 0.43 0.01 0.02 –




Other InformationClosing net asset value (£’000) 2,212 1,859 1,868 982Closing net asset value ($’000) 2,853 2,339 2,489 1,261Closing number of shares 2,024,388 1,751,811 1,895,859 1,047,318Operating charges 2.00%A 2.01% 2.08% 2.21%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/$) 1.2900 1.2580 1.3328 1.2837














Other InformationClosing net asset value (£’000) 354 499 422 64Closing net asset value (€’000) 415 563 482 74Closing number of shares 330,094 466,955 395,300 64,684Operating charges 2.00%A 2.01% 2.08% 2.21%Direct transaction costs 0.00% 0.00% 0.00% 0.00%Foreign currency exchange rate (£/€) 1.1731 1.1287 1.1411 1.5248





IFSL Brooks Macdonald Strategic Growth FundPortfolio Statementas at 30th November 2019


£’000 %

Alternatives (31st May 2019: 5.60%)1,213,161 Investec Diversified Income ‘J’ Sterling 1,214 2.931,139,864 Merian Global Equity Absolute Return ‘U1’ Hedged 1,173 2.83


260,126 Legal & General European Index Trust ‘C’ 1,189 2.87591,743 LF Miton European Opportunities ‘F’ 1,236 2.98


423,608 Fundsmith Equity ‘I’ 1,978 4.7630,945 Polar Capital Healthcare Opportunities ‘I’ Sterling 1,249 3.0229,482 Polar Capital Global Technology ‘I’ Sterling 1,227 2.96

499,646 River and Mercantile Global Recovery ‘S’ 1,203 2.901,108,167 Standard Life Global Smaller Companies ‘S Inst’ 1,229 2.97


103,637 Baillie Gifford Emerging Markets Growth ‘B’ 869 2.1026,749 Baillie Gifford Japanese Smaller Companies ‘B’ 1,251 3.02

111,806 Goldman Sachs Japan Equity Partners ‘I’ GBP 1,320 3.194,522 Schroder Asian Total Return ‘C’ GBP 1,639 3.96

151,617 Stewart Asia Pacific Leaders ‘B’ GBP 1,183 2.86

6,262 15.13UK Equity (31st May 2019: 25.94%)

1,426,196 JOHCM UK Equity Income ‘Y’ 1,875 4.53383,809 Liontrust Special Situations ‘Inst’ 1,706 4.12871,572 Majedie UK Income ‘X’ 1,346 3.25

1,215,494 Man GLG Undervalued Assets ‘D’ 1,746 4.21430,504 Merian UK Mid Cap ‘R’ GBP 1,336 3.2324,769 Vanguard FTSE UK All Share Index ‘Inst Plus’ GBP 3,396 8.20

11,405 27.54US Equity (31st May 2019: 12.06%)

1,534,692 Fidelity Index US ‘P’ 3,743 9.03115,475 Merian North American Equity ‘U1’ GBP Hedged 1,237 2.9973,288 Morgan Stanley US Advantage ‘F’ GBP 1,155 2.79


1,192,630 Royal London Short Duration Gilts ‘Z’ 1,206 2.91


559,931 AHFM Defined Returns ‘B’ Sterling 853 2.06546,872 IFSL Brooks Macdonald Defensive Capital ‘C’ A 1,230 2.97

2,083 5.03

IFSL Brooks Macdonald Strategic Growth FundPortfolio Statement (continued)



BNP Paribas EUR GBP 20/12/2019 654,617 581,005 (22) (0.05)BNP Paribas GBP EUR 20/12/2019 216,711 247,540 5 0.01 BNP Paribas GBP USD 20/12/2019 42,589 54,307 – –BNP Paribas USD GBP 20/12/2019 2,901,865 2,320,720 (73) (0.18))





A A related party of IFSL Brooks Macdonald Strategic Growth Fund.B Net of investment liabilities.


Total purchase costs, including transaction charges 7,341Total sales proceeds, net of transaction charges 5,129



IFSL Brooks Macdonald Strategic Growth FundStatement of Total Returnfor the period from 1st June 2019 to 30th November 2019


Income


Revenue 400 217



Taxation – –


Total return before distributions 1,979 (924)








1,905 4,676Change in net assets attributable to shareholdersfrom investment activities (see above) 1,716 (1,028)



A A With respect to the Statement of Change in Net Assets Attributable to Shareholders, the comparative figures are from the prior period’s interim and this is the reason whythe Opening Net Assets Attributable to Shareholders for the current period does not equal the Closing Net Assets Attributable to Shareholders.


IFSL Brooks Macdonald Strategic Growth FundBalance Sheetas at 30th November 2019


Assets



Total Assets 41,676 37,987


Creditors:Other creditors 156 436

Total Liabilities 251 450



IFSL Brooks Macdonald Defensive Capital FundFund Information

Investment ObjectiveThe investment objective of the sub-fund is to achieve consistent long-term capital growth and positive absolute returns over rolling three year periodsthrough a portfolio of defined return assets, such as preference shares, loan notes, convertibles, structured notes and other defined return investments,including collective investment schemes and transferable securities, that do not require market growth to provide a positive capital return and are supportedby significant underlying asset cover. Returns are not guaranteed over any time period therefore capital is at risk.

Investment PolicyThe portfolio will be actively managed and will normally remain fully invested save for such operational liquidity as is required from time to time. However,it may include cash or near cash from time to time, but this will not normally exceed 30% of the value of the property of the sub-fund.

The sub-fund may use derivatives for investment purposes and for the purposes of efficient portfolio management.

Borrowing will be permitted on a temporary basis under the terms of the Regulations, at the discretion of the Investment Manager.

The sub-fund will not invest more than 10% of its property in aggregate in the units of other UCITS Schemes or other collective investment schemes.




The sub-fund has been measured as 3 because it has experienced low to moderate volatility historically. During the year the SRRI has remained unchanged.

1 2 3 4 5 6 7




IFSL Brooks Macdonald Defensive Capital FundInvestment Manager’s Reviewfor the period from 1st June 2019 to 30th November 2019

Portfolio Changes


United Kingdom Treasury 0% 02.12.19 24,934United Kingdom Treasury 0% 09.03.20 24,913JP Morgan Chase Bank N.A 0% 24.05.22 19,331United States 0.75% 15.07.2028 18,242Tullow Oil Jersey 6.625% 12.07.21 13,297Societe Generale 0% 12.11.25 10,000SG Issuer NTS 10.09.2025 9,937SG Issuer NTS 30.07.2025 8,000Php Finance Jersey 2.875% 15.07.2025 7,030NB Global Floating Rate Income GBP 6,816

Other purchases 93,486



JP Morgan Chase Bank N.A 0% 24.05.22 19,136United States Treasury 0.75% 15.02.45 18,253United Kingdom Treasury Bill 0% 02.09.19 15,000Siemens 1.65% 16.08.19 12,707DP World 1.75% 19.06.24 12,045Sibanye Gold 1.875% 26.09.23 10,070Societe Generale 0% 12.10.22 7,966JPMorgan 0% 15.08.24 5,955Santander 0% 27.06.23 5,744The Renewables Infrastructure Group 5,600

Other sales 67,158




IFSL Brooks Macdonald Defensive Capital Fund 3.15% 6.02% 11.77% 24.20%


The sub-fund continues to invest the majority of its capital into defensive, defined return securities with a fixed life and high levels of asset cover. Thesesecurities include Structured Notes, Preference Shares, Convertible Bonds and other Bond and Loan assets, as well as Discounted Assets where securitiestrade at appreciable discounts to their net asset value.

During a period which saw most major indices move towards new highs, the sub-fund (class A shares) had a total return of +3.15%.

By asset class, Autocalls (+1.0%) and Trading Company Convertibles (+0.7%) were the largest positive contributors, with Discounted Assets, Fixed Return amongother positive contributors. The main negative performance, reflecting the strong performance of equity indices, was from our hedges (-1.0%). These hedgeswere in place to offset the various tail risks applying in the period, and we continued to risk-manage the downside of the sub-fund through the purchase ofnew out-of-the-money put spreads.

We continued to tilt the sub-fund towards assets with less market correlation and lower market sensitivity. Compared to the longer run average (since 2014),our holdings of cash are somewhat higher and we have more exposure to Real Assets. Due to the sub-fund’s defensive positioning, it achieved the return overthe period but with only around one third of the volatility of UK equities.

The sub-fund enters its fiscal second half with many equity markets at all time highs, and bonds also richly valued, while global trade, political and macrorisks remain material. Against that backdrop we believe the sub-fund is well positioned to continue generating good risk-adjusted defensive returns, withmeasured downside protection.


IFSL Brooks Macdonald Defensive Capital FundComparative Table






Distributions on accumulation shares – (5.29) (2.34) (2.83)Retained distributions on accumulation shares – 5.29 2.34 2.83


* after direct transaction costs of: 0.05 0.10 0.02 0.05


Other InformationClosing net asset value (£’000) 271,184 256,749 186,560 125,416Closing number of shares 119,017,861 116,547,400 86,747,055 58,934,374Operating charges 0.82%A 0.81% 0.80% 0.82%Direct transaction costs 0.02%B 0.04% 0.04% 0.03%


A This represents the annualised operating charges to 30th November 2019.B This represents the annualised direct transaction costs to 30th November 2019.


IFSL Brooks Macdonald Defensive Capital FundComparative Table (continued)
























Other InformationClosing net asset value (£’000) 1,205 407 685 596Closing net asset value ($’000) 1,555 512 913 765Closing number of shares 1,319,232 450,431 830,205 704,450Operating charges 1.62%A 1.61% 1.60% 1.62%Direct transaction costs 0.02%B 0.04% 0.04% 0.03%Foreign currency exchange rate (£/$) 1.2900 1.2580 1.3328 1.2837














Other InformationClosing net asset value (£’000) 409 358 325 143Closing net asset value (€’000) 480 404 371 163Closing number of shares 441,951 380,676 351,446 153,326Operating charges 1.62%A 1.61% 1.60% 1.62%Direct transaction costs 0.02%B 0.04% 0.04% 0.03%Foreign currency exchange rate (£/€) 1.1731 1.1287 1.1411 1.1449





C Accumulation C Accumulation C Accumulation C Accumulation30th November 2019 31st May 2019 31st May 2018 31st May 2017














IFSL Brooks Macdonald Defensive Capital FundPortfolio Statementas at 30th November 2019


£’000 %

Autocalls (31st May 2019: 17.74%)5,760,000 Argentum Capital 0% 13.08.21 8,778 1.268,000,000 Canadian Imperial Bank of Commerce 0% 12.03.24 9,016 1.293,000,000 Citigroup Global Markets Luxembourg 0% 15.02.23 3,839 0.558,000,000 Citigroup Global Markets Luxembourg 0% 18.01.25 8,800 1.26

610,000 Credit Suisse 0% 01.06.21 919 0.138,000,000 HSBC Bank 0% 13.09.24 8,455 1.217,000,000 HSBC Bank 0% 23.01.24 7,732 1.118,000,000 HSBC Bank 0% 31.07.24 8,442 1.218,000,000 Santander 0% 15.03.23 9,858 1.41

10,000,000 Santander 0% 19.03.25 8,129 1.1712,000,000 Societe Generale 0% 10.09.25 9,340 1.348,000,000 Societe Generale 0% 30.07.25 7,844 1.12

10,000,000 Societe Generale 0% 09.08.24 10,685 1.5310,000,000 Societe Generale 0% 12.11.25 10,060 1.456,000,000 Societe Generale 0% 20.02.24 6,897 0.996,000,000 UBS 0% 18.06.24 6,625 0.95

125,419 17.98Convertibles (31st May 2019: 23.91%)

300 AFH Financial Group 4% 30.07.24 1,350 0.191,810,000 ANI Pharmaceuticals 3% 01.12.19 1,413 0.20

600 APQ Global 3.5% 30.09.24 2,790 0.409,500,000 BioMarin Pharmaceutical 1.5% 15.10.20 7,897 1.13

11,536,000 Booking Holdings 0.9% 15.09.21 10,025 1.446,550,000 Ctrip.com International 1% 01.07.20 5,004 0.72

15,000,000 Endeavour Mining 3% 15.02.23 12,173 1.7519,800,000 Glencore Funding 0% 27.03.25 13,400 1.927,600,000 Hurricane Energy 7.5% 24.07.22 8,025 1.154,500,000 Illumina 0.5% 15.06.21 4,753 0.689,621,000 Innoviva 2.5% 15.08.25 7,794 1.12

14,000,000 Jazz Investments I 1.5% 15.08.24 10,909 1.5711,000,000 Microchip Technology 1.625% 15.02.27 11,310 1.62

541,000 Shanta Gold 13.5% 10.04.20 419 0.063,000,000 Sibanye Gold 1.875% 26.09.2023 3,081 0.44

1,400,000,000 Sony 0% 30.09.22 14,055 2.0213,000,000 STMicroelectronics 0.25% 03.07.24 13,580 1.9514,000,000 Tullow Oil 6.625% 12.07.21 11,237 1.61

139,215 19.97Discounted Assets (31st May 2019: 6.28%)

1,500,000 Apax Global Alpha 2,558 0.37349,355 AVI Global Trust 2,711 0.39585,000 Fondul Proprietatea ‘Reg S’ 6,122 0.88385,000 Hansa Investment 693 0.10625,000 Hansa Investment ‘A’ 1,113 0.16

1,399,830 HgCapital Trust 3,528 0.51320,000 Jardine Strategic Holdings Ltd 7,869 1.13291,226 JZ Capital Partners 979 0.14

2,489,033 NB Distressed Debt Investment Fund 1,424 0.20263,500 NB Private Equity Partners 2,951 0.42

3,645,000 Origo Partners Pref 57 0.01447,026 Pershing Square Holdings 6,455 0.93250,000 Third Point Offshore Investors 3,082 0.44

1,410,000 UIL 3,440 0.49150,000 Vivendi 3,197 0.46

46,179 6.63

IFSL Brooks Macdonald Defensive Capital FundPortfolio Statement (continued)


£’000 %

Fixed Return (31st May 2019: 7.71%)2,195,358 Aberforth Split Level Income Trust ZDP 2,349 0.341,126,124 Acorn Income Fund ZDP 1,734 0.252,770,000 HSBC Bank 0% 22.06.20 3,931 0.561,713,300 Inland ZDP 2,741 0.39

580,124 JZ Capital Partners 2022 ZDP 2,471 0.355,000,000 NB Private Equity Partners 2024 ZDP 5,450 0.787,000,000 Php Finance 2.875% 15.07.25 7,562 1.091,098,514 PGIT Securities 2020 ZDP 1,307 0.194,754,385 Raven Property Group 6.5% Pref 4,897 0.705,278,773 SDCL Energy Efficiency 5,648 0.81

525,250 SDV 2025 ZDP 562 0.0859,499 Stratton Street UCITS Next Generation Global Bond ‘Q’ GBP Hedged 6,294 0.90

4,674,356 UIL Finance 2022 ZDP 6,170 0.882,147,000 UIL Finance 2024 ZDP 2,469 0.362,450,000 UIL Finance 2026 ZDP 2,646 0.38

56,231 8.06Hedges (31st May 2019: 1.92%)

55,000 Euro Stoxx 50 December 19 Put spread Citigroup 23 –42,372 Euro Stoxx 50 December 19 Put spread Citigroup 18 –

125,000,000 Nasdaq 100 December 19 Put Spread UBS 63 0.01100,000 S&P 500 March 20 Put spread Citigroup 162 0.02112,500 S&P 500 May 20 Put spread Societe Generale 445 0.06

711 0.09Liquidity (31st May 2019: 2.31%)

25,000,000 United Kingdom Treasury Bill 0% 02.12.19 24,999 3.5825,000,000 United Kingdom Treasury Bill 0% 09.03.20 24,948 3.585,000,000 Vodafone Group 0% 26.11.20 4,930 0.71

54,877 7.87Other Structured Notes (31st May 2019: 2.36%)

2,000,000 Credit Suisse 0% 17.07.20 2,657 0.383,300,000 Credit Suisse 0% 30.12.19 3,505 0.506,000,000 Goldman Sachs 0% 24.07.26 6,579 0.943,000,000 JPMorgan 0% 03.01.20 3,567 0.516,000,000 Morgan Stanley 0% 20.12.24 6,291 0.907,000,000 Societe Generale 0% 31.12.21 6,045 0.87

28,644 4.10Other (31st May 2019: 2.25%)

10,800,000 Societe Generale 0% 25.10.22 13,268 1.90

13,268 1.90Real Assets (31st May 2019: 15.90%)

200,000 Ado Properties 5,998 0.865,005,615 Amedeo Air Four Plus 3,929 0.563,860,000 Doric Nimrod Air Three Pref 3,204 0.462,350,000 Doric Nimrod Air Two Pref 3,924 0.563,650,000 DP Aircraft I Pref 2,221 0.324,000,000 Greencoat Renewables 3,955 0.578,676,488 Greencoat UK Wind 12,737 1.834,728,591 Ground Rents Income Fund 4,350 0.628,549,461 Hipgnosis Songs Fund 9,233 1.329,700,000 John Laing Environmental Assets Group 11,446 1.64

140,000 Macquarie Infrastructure 4,570 0.6614,500,000 Nomura International 0% 01.01.24 10,993 1.582,012,201 Phoenix Spree Deutschland 6,550 0.942,165,000 Tufton Oceanic Assets 1,695 0.24

120 UBS 0% 21.06.22 127 0.0220,367,000 United States Inflation Indexed Treasury 0.75% 15.07.28 16,990 2.448,350,000 US Solar Fund 6,408 0.92

108,330 15.54


IFSL Brooks Macdonald Defensive Capital FundPortfolio Statement (continued)


£’000 %

Structured Credit (31st May 2019: 4.96%)5,980,000 Blackstone / GSO Loan Financing 4,078 0.585,000,000 Chenavari Toro Income Fund 3,325 0.485,969,546 Fair Oaks Income 2017 3,054 0.44

533,618 NB Clo Income GBP I2 Dist 4,797 0.697,215,000 TwentyFour Income Fund 8,009 1.15

23,263 3.34Specialist Lending (31st May 2019: 9.24%)

3,225,000 Alcentra European Floating Rate Income Fund 3,161 0.4511,107,697 BioPharma Credit 8,594 1.236,218,154 CVC Credit Partners European Opportunities 6,156 0.888,277,481 GCP Asset Backed Income Fund 8,940 1.282,251,117 GCP Infrastructure Investments 2,944 0.423,150,000 ICG-Longbow Senior Secured UK Property Debt Investments 2,961 0.437,500,000 NB Global Floating Rate Income GBP 6,795 0.982,070,865 Real Estate Credit Investments 3,469 0.508,000,000 Riverstone Credit Opportunities Income 5,830 0.844,420,799 RM Secured Direct Lending 4,421 0.637,475,263 Sequoia Economic Infrastructure Income Fund 8,671 1.247,700,000 Starwood European Real Estate Finance 7,893 1.13

200,000 Starwood Property Trust 3,789 0.5413,763,384 VPC Specialty Lending Investments 10,378 1.49

84,002 12.04

Forward Currency Exchange Contracts (31st May 2019: (0.18)%)


BNP Paribas GBP EUR 27/02/2020 42,909,455 50,000,000 158 0.02BNP Paribas GBP USD 27/02/2020 146,342,076 190,000,000 (503) (0.07)

Net Unrealised Losses on Forward Currency Exchange Contracts (345) (0.05)



BNP Paribas EUR GBP 20/12/2019 481,386 425,767 (15) –BNP Paribas GBP SGD 20/12/2019 38,044 65,588 1 –BNP Paribas GBP USD 20/12/2019 2,228 2,853 – –BNP Paribas SGD GBP 20/12/2019 65,588 38,257 (1) –BNP Paribas USD GBP 20/12/2019 1,549,662 1,243,249 (43) (0.01)


Portfolio of InvestmentsA 679,736 97.46



A Net of investment liabilities.


Total purchase costs, including transaction charges 235,986Total sales proceeds, net of transaction charges 179,634



IFSL Brooks Macdonald Defensive Capital FundStatement of Total Returnfor the period from 1st June 2019 to 30th November 2019


Income


Revenue 9,258 5,671

Expenses (2,360) (1,955)

Net revenue before taxation 6,898 3,716

Taxation (538) (76)

Net revenue after taxation 6,360 3,640


Distributions 95 253

Change in Net Assets Attributable to Shareholdersfrom Investment Activities (see below) 22,689 (780)






27,207 49,503Change in net assets attributable to shareholdersfrom investment activities (see above) 22,689 (780)


A A With respect to the Statement of Change in Net Assets Attributable to Shareholders, the comparative figures are from the prior period’s interim and this is the reason whythe Opening Net Assets Attributable to Shareholders for the current period does not equal the Closing Net Assets Attributable to Shareholders.


IFSL Brooks Macdonald Defensive Capital FundBalance Sheetas at 30th November 2019


Assets


Current Assets:Debtors 2,332 8,898Cash and bank balances 25,537 31,176

Total Assets 708,167 652,670

LiabilitiesInvestment liabilities 562 1,203

Creditors:Bank overdraft 7,514 338Other creditors 2,605 3,539

Total Liabilities 10,681 5,080



IFSL Brooks Macdonald FundGeneral Information

It is important to remember that the price of shares, and the income from them, can fall as well as rise and it is not guaranteed that investors will getback the amount originally invested. Past performance is not a guide to future performance. Changes in the rate of exchange of currencies, particularlywhere overseas securities are held, may also affect the value of your investment. The issue of shares may be subject to an initial charge and this is likelyto have an impact on the realisable value of your investment, particularly in the short term. You should always regard an ICVC investment as long term.

Pricing and DealingMid prices are always quoted for shares in the sub-funds.

Dealing in all ICVCs operated by IFSL may be carried out between 9 am and 5 pm on any business day. Applications can be made either by completing anapplication form and delivering it to the ACD at IFSL, Marlborough House, 59 Chorley New Road, Bolton BL1 4QP, or through approved agents.

The Company deals on a forward basis which means that orders received will be dealt with at the price calculated at the next valuation point. Share pricesare calculated daily at the valuation point of 12 o’clock midday, and applications for shares should be received by this time to ensure inclusion in thefollowing valuation point.

Publication of PricesThe prices of shares in the sub-funds are currently quoted daily on the following web pages:

www.fundlistings.comwww.ifslfunds.com

Alternatively you can contact the ACD on 0808 178 9321 (between 9 am and 5 pm Monday to Friday, excluding bank holidays, and from 9 am to 12:30 pmon the last business day prior to Christmas) who will be happy to provide you with the most recent price of your shares

Investment Fund Services Limited Registered in England No. 06110770 (Authorised Corporate Director for IFSL Brooks Macdonald Fund). Authorised andregulated by the Financial Conduct Authority.

This document has been issued by Investment Fund Services Limited.

The information contained in this document may not be reproduced in any form without the express permission of Investment Fund Services Limited andto the extent that it is passed on care must be taken to ensure that this is in a form which accurately reflects the information presented here. WhilstInvestment Fund Services Limited believes that the information is correct at the date of this production, no warranty or representation is given to thiseffect and no responsibility can be accepted by Investment Fund Services Limited to any intermediaries or end users for any action taken on the basis ofthe information.

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