november 2013 tae advice & support retreat. 2 agenda business background reporting ...

November 2013

TAE Advice & Support Retreat

2

Agenda

Business Background

Reporting

Communication

Investment Style, Philosophy and Beliefs

Investment Team and Process

Performance

Appendices

– Appendix 1 - Team and Sector Responsibility

– Appendix 2 - Investment Team Profiles

Business - Snapshot

3

Aligned Brisbane based boutique fund manager (19 staff, approx. $754.6m in FUM as at 30

September 2013) Pioneer in managed accounts (direct mandates) Employee owned and independent (no conflicted interests) Signatory to the United Nations based Principles for Responsible Investment

Proven 10 year track record (proven and repeatable process) Average team investment experience is 14 years Focus on quality investments provides unique investment insights

Recognised Nominated for the Golden Calf Award by Australian Fund Manager Foundation in 2011 Won the Australian S&P SMA Sector Award in 2010

4

Business – Why does it work?

We are established

Proven, repeatable and institutionally tested investment process

Highly rated for our ability to integrate socially responsible considerations into the investment process

Have dealt with HNW and Family Office clients since inception. It’s in the DNA of the business

We remain true to label

Core philosophy and process has remained unchanged since inception

We have provided complete portfolio transparency since inception

We have a unique Independent Investment Committee Member structure

We never waiver from improving the client experience

Concentrated portfolios give clients the best opportunity to outperform

Low turnover provides a better after tax outcome

We are employee owned. Investment team remuneration is aligned to client outcomes and there are no conflicted interests or institutional alignment (we don’t clip brokerage or pay commissions)

We continually communicate with our clients regarding the market and our portfolio changes

Business - Value Propositions

5

Active professional investment

management.

Flexibility – Accounts can be funded by transfer of an existing portfolio. Transition to an IMA portfolio over time in a tax-sensitive manner.

Efficient – Client’s aren’t bothered every time a change is made to their portfolio – ideal for clients who are comfortable with outsourcing portfolio management.

Tax effective – do not inherit embedded capital positions like managed funds, all tax outcomes are only influenced by your portfolio movements.

Hassle free ownership – all portfolio administration is looked after, including corporate actions, dividends, tax record keeping and reporting.

Transparent – online reporting 24/7 and 6 monthly performance reporting.

Scalable service offering, especially for a direct equities solution:

- No need for client consent to trade

- No need for advice document- No need to place and manage

trades- No admin hassles of direct

equities- Compliant

Increases focus, enabling advisers to

- focus on high-value add activities such as bringing in new business and providing advice to existing clients

- spend much less time on low-value and administrative tasks.

Opportunity to capture off-platform direct equities FUM.

Ideal service solution, especially for direct equities:

- Scaleable- Compliant- Outsourced administration- Focuses advisers on what

they do best and maximises their client-facing time

Reduced risk and compliance burden – rebalancing, dealing and administration done by DNR.

Financial benefits via- Reduced cost (via functions

outsourced to DNR)- Increased revenue via uplift

in adviser productivity

Attractive offering to prospective advisers and practices looking to join the practice.

Benefits to Clients Benefits to Advisers Benefits to the Practice

6

Portfolio

Australian Equities

Listed Property

International Equities

Fixed Interest/Hybrids

Cash

Business – Investment Coverage

Business – Mandate Flexibility

We manage three Australian equity portfolios; High Conviction (growth focus), Socially Responsible (growth focus) and Income (yield focus).

You can alter the investment composition of a portfolio at the following levels:

– Asset class level

– Stock level

– GICS classification level

7

Investment analysis

Portfolio and Blend Construction

Transition Management

Execution

Risk Control

Corporate Actions

Custody and Fees

Performance reporting

24/7 Web Reporting / Data feed

Portfolio updates

8

Business – The Solution

Investment Management & Administration

9

Business – IMA Structure

Client

Custodian(Legal Title)

Dalton Nicol Reid Advice &

Investment Program

Reporting and Data feeds

MDA Agreement, Investment Program and Reporting

IMAs under a Dalton Nicol Reid MDA Contract are audited in accordance with ASIC Class Order 04/194 All client investment assets are held with an external Custodian Clients have beneficial ownership of investments Dalton Nicol Reid has no legal title or beneficial claim to a clients investments Client portfolios are individually segregated in the Dalton Nicol Reid portfolio accounting and administration system

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FinancialPlanner

10

Reporting

Daily

Portfolio valuation

Cash statement

Transaction history

Weekly

Income and expenses

Unrealised gains

Realised gains

Quarterly Statements

Performance reporting

Annual Tax Statements

Daily EPI data feeds

11

Communication

Monthly podcast updates via Boardroom Radio

Portfolio change analysis and notification

Financial market updates

Boardroom seminars for economic/market updates

Dedicated BDM’s providing adviser services Australia-wide

Meet the manager sessions

Client services desk

12

Style

Quality defined

Beliefs

Inefficiency

Investment Style and Beliefs

Quality stocks at attractive valuations Fundamental bottom up with top down overlay High conviction After tax aware

Companies with earnings strength – improving return Superior industry position Sound balance sheet Strong management Low ESG risk

Quality companies can successfully reinvest capital Pricing power enables growth above inflation High quality balance sheets ride out cycles Quality needs to be overlaid with valuation

Markets can be short term focused causing prices to move away from inherent value

Investment Team and Committee

13

Jamie Nicol

Chief Investment Officer

Ben Clayton

Investment Analyst

Mark Sedawie

Investment Analyst

Cindy Esterhuizen

Quantitative Analyst

Sam Seow

Investment Analyst

Justine Hickey

Independent IC Member

Mark Hancock

IC Member and Consultant

Scott Bender

Portfolio Manager

Experienced and Stable Team

- 14 yrs. average investment experience

- 7 yrs. average experience with DNR

Investment Process – High Conviction portfolio

14

Stock Research Phase 1 - Quality Web assessment

─ Strength of management, balance sheet , earnings,industry structure and ESG review

Phase 2 - Fundamental bottom up valuation and thesis

1.Ideas Generation

2.Stock Research

3. Portfolio Construction

4.Portfolio Management

Idea Generation Quantitative and quality screening Company and industry contacts Daily meetings to discuss findings and allocate tasks

Portfolio ConstructionRecommended stocks considered given: Top down considerations Portfolio characteristic impacts Stock and sector correlation analysis After tax consideration Monthly ICM review provides strong oversight of process

Portfolio Management Conclusions constantly retested Sell decisions based on:

─ Reach target valuation─ Deterioration of quality characteristics / inv. thesis

15

Gross Performance Australian Equities High Convictionas at 30 September 2013

Please note: Past performance is not an indication of future performance. No allowance has been made for taxation and fees are not taken into account

1 Yr 2 Yrs 3 Yrs 4 Yrs 5 Yrs 6 Yrs 7 Yrs 8 Yrs 9 Yrs 10 Yrs% % p.a. % p.a. % p.a. % p.a. % p.a. % p.a. % p.a. % p.a. % p.a.

Dalton Nicol Reid 34.5% 24.3% 14.8% 10.5% 12.2% 5.5% 8.9% 10.0% 12.6% 13.6%Benchmark 24.3% 19.5% 9.3% 7.0% 7.3% 0.7% 4.7% 6.0% 8.7% 9.8%Outperformance 10.2% 4.8% 5.5% 3.5% 4.9% 4.8% 4.2% 4.0% 3.9% 3.8%

Tracking Error 4.5 4.4 3.9 3.8 4.2 4.8 4.7 5.1 5.0 5.0Information Ratio 2.3 1.1 1.4 0.9 1.2 1.0 0.9 0.8 0.8 0.8

Since Inception date October 2002

Blue data shows Positive Out-Performance

Benchmark: S&P /ASX 200 Accumulation Index

16

Holdings – Australian Equities High Convictionas at 30 September 2013

Stock GICS Sector Issuer Name Actual ActiveCode Weight Weight

CASH 2.5% 2.5%BHP Materials BHP Billiton Limited 10.5% 2.1%WBC Financials Westpac Banking Corporation 9.4% 2.0%ANZ Financials Australia and New Zealand Banking Group Limited 8.9% 2.7%AZJ Industrial Aurizon Holdings Limited 5.8% 5.0%LLC Financials Lend Lease Group 5.6% 5.2%RIO Materials Rio Tinto Limited 4.8% 2.8%MQG Financials Macquarie Group Limited 4.2% 3.0%TME Consumer Discretionary Trade Me Group Limited 4.0% 3.9%HGG Financials Henderson Group PLC. 3.9% 3.7%SGP Financials Stockland 3.8% 3.1%

BXB Industrial Brambles Limited 3.7% 2.6%BOQ Financials Bank of Queensland Limited 3.4% 3.1%WPL Energy Woodside Petroleum Limited 3.3% 1.0%QBE Financials QBE Insurance Group Limited 3.1% 1.8%AMC Materials Amcor Limited 2.8% 1.9%SEK Industrial Seek Limited 2.7% 2.4%DLX Materials DuluxGroup Limited 2.7% 2.6%CWN Consumer Discretionary Crown Limited 2.6% 1.8%ORG Energy Origin Energy Limited 2.6% 1.4%SHL Health Care Sonic Healthcare Limited 2.3% 1.8%AIO Industrial Asciano Limited 2.2% 1.8%ANN Health Care Ansell Limited 2.0% 1.8%SXL Consumer Discretionary Southern Cross Media Group Limited 1.9% 1.8%WTF Consumer Discretionary Wotif.com Holdings Limited 1.4% 1.3%Total 100.0%

Investment Process – Socially Responsible portfolio

1. Ideas Generation

2.Stock Research

3.Portfolio Construction

4. Portfolio Management

17

Idea Generation Quantitative and quality screening Company and industry contacts Daily meetings to discuss findings and allocate tasks

Portfolio Construction Recommended stocks considered given: Top down considerations Portfolio characteristic impacts Stock and sector correlation analysis After tax consideration Positive and negative SRI screening Monthly ICM and Socially Responsible IC review

Portfolio Management Conclusions constantly retested Sell decisions based on:

─ Reach target valuation─ Deterioration of quality characteristics / inv. thesis─ Change in SRI screening outcomes

.

Stock Research Phase 1 - Quality Assessment

─ Strength of management, balance sheet and earnings.─ Industry structure and ESG review

Phase 2 - Fundamental bottom up valuation and thesis

18

Gross Performance – Australian Equities SRIas at 30 September 2013


1 Yr 2 Yrs 3 Yrs 4 Yrs 5 Yrs 6 Yrs 7 Yrs% % p.a. % p.a. % p.a. % p.a. % p.a. % p.a.

Dalton Nicol Reid 33.1% 24.9% 14.9% 9.6% 11.3% 5.6% 9.7%Benchmark 24.3% 19.5% 9.3% 7.0% 7.3% 0.7% 4.7%Outperformance 8.8% 5.4% 5.6% 2.6% 4.0% 4.9% 5.0%

Tracking Error 4.4 4.3 4.0 3.9 4.2 5.1 5.2Information Ratio 2.0 1.3 1.4 0.6 0.9 1.0 1.0

Since Inception date J une 2006

Benchmark: S&P /ASX 200 Accumulation Index


19

Holdings – Australian Equities Socially Responsibleas at 30 September 2013

Stock GICS Sector Issuer Name Actual ActiveCode Weight Weight

CASH 2.6% 2.6%BHP Materials BHP Billiton Limited 10.8% 2.4%WBC Financials Westpac Banking Corporation 9.2% 1.8%ANZ Financials Australia and New Zealand Banking Group Limited 9.0% 2.8%LLC Financials Lend Lease Group 5.5% 5.1%AZJ Industrial Aurizon Holdings Limited 5.3% 4.6%BXB Industrial Brambles Limited 4.7% 3.7%RIO Materials Rio Tinto Limited 4.6% 2.6%MQG Financials Macquarie Group Limited 4.3% 3.1%TME Consumer Discretionary Trade Me Group Limited 4.0% 3.9%WPL Energy Woodside Petroleum Limited 3.9% 1.6%

HGG Financials Henderson Group PLC. 3.9% 3.8%SGP Financials Stockland 3.8% 3.2%BOQ Financials Bank of Queensland Limited 3.4% 3.2%QBE Financials QBE Insurance Group Limited 3.2% 1.8%SEK Industrial Seek Limited 2.7% 2.4%DLX Materials DuluxGroup Limited 2.7% 2.6%CDD Industrial Cardno Limited 2.5% 2.5%SHL Health Care Sonic Healthcare Limited 2.3% 1.8%ANN Health Care Ansell Limited 2.2% 2.0%AIO Industrial Asciano Limited 2.2% 1.8%SGH Consumer Discretionary Slater & Gordon Limited 2.2% 2.2%SXL Consumer Discretionary Southern Cross Media Group Limited 1.9% 1.8%CCL Consumer Staples Coca-Cola Amatil Limited 1.6% 1.0%WTF Consumer Discretionary Wotif.com Holdings Limited 1.4% 1.3%Total 100.0%

1. Idea Generation

2. Stock Research

3. Portfolio Construction

Portfolio Management

Investment Process – Income portfolio

20

Idea Generation and Quantitative Screen Quantitative and quality screening Company and industry contacts Daily meetings to discuss findings and allocate tasks

Portfolio Construction Top down considerations Portfolio characteristic impacts Stock and sector correlation analysis After tax consideration Monthly ICM review Positive and negative income screening

Control Risk & Retest Conclusions Conclusions constantly retested Sell decisions based on:

─ Reach target valuation─ Deterioration of quality characteristics / inv. thesis─ Change in income screening outcomes

Stock Research Phase 1 - Quality Assessment

─ Strength of management, balance sheet and earnings.─ Industry structure and ESG review

Phase 2 - Fundamental bottom up valuation

21

Gross Performance – Australian Equities Incomeas at 30 September 2013


1 Yr 2 Yrs 3 Yrs 4 Yr 5 Yr% % p.a. % p.a. % %

Dalton Nicol Reid 37.9% 30.2% 18.3% 11.8% 11.9%Benchmark 31.4% 27.6% 15.0% 10.4% 10.0%Outperformance 6.5% 2.6% 3.3% 1.4% 1.9%

Tracking Error 4.8 4.5 4.0 4.0 4.1Information Ratio 1.4 0.6 0.8 0.3 0.4Benchmark: S&P /ASX 200 Industial Index

Since Inception date December 2007


22

Holdings – Australian Equities Incomeas at 30 September 2013

Stock Issuer Name Actual ActiveCode Weight Weight

CASH 3.4% 3.4%ANZ Australia and New Zealand Banking Group Limited 9.9% 2.0%WBC Westpac Banking Corporation 8.4% -1.1%CBA Commonwealth Bank of Australia 6.7% -4.0%AZJ Aurizon Holdings Limited 5.6% 4.7%LLC Lend Lease Group 5.3% 4.8%MQG Macquarie Group Limited 5.0% 3.5%BOQ Bank of Queensland Limited 4.4% 4.1%HGG Henderson Group PLC. 4.4% 4.2%SGP Stockland 4.1% 3.3%BXB Brambles Limited 4.1% 2.8%

NAB National Australia Bank Limited 3.9% -3.6%TLS Telstra Corporation Limited 3.2% -2.5%CDD Cardno Limited 2.9% 2.8%QBE QBE Insurance Group Limited 2.8% 1.2%AMC Amcor Limited 2.8% 1.6%WPL Woodside Petroleum Limited 2.6% 2.6%ORG Origin Energy Limited 2.6% 2.6%TME Trade Me Group Limited 2.5% 2.4%SHL Sonic Healthcare Limited 2.2% 1.5%MQA Macquarie Atlas Roads Group 2.1% 2.0%SXL Southern Cross Media Group Limited 2.1% 1.9%SEK Seek Limited 2.0% 1.6%WTF Wotif.com Holdings Limited 2.0% 2.0%CKF Collins Foods Limited 1.8% 1.8%ANN Ansell Limited 1.7% 1.4%

Total 98.4%

Qualitative Screen and Valuation Process (10-20 stocks) Bottom up valuation of business. Key preferences sought:

─ Low to medium debt levels─ High quality management with strong record─ Stable portfolio investment strategy─ Solid yield with distribution growth

Competitive dynamics (company level) Alternative valuation techniques ESG

Investment Process – Australian LPT’s

23

Idea Generation and Quantitative Screen (30+ stocks) Quantitative and quality screening Company and industry contacts Daily meetings to discuss finding and allocate tasks. Derive PE relative / div yield, valuation for each year,

3 years out.

Portfolio Construction (4-8 stocks) Top down considerations Portfolio characteristic impacts Stock and sector correlation analysis After tax consideration Monthly ICM review

Control Risk & Retest Conclusions Conclusions constantly retested Sell decisions based on:

─ Reaching target valuation─ Deterioration of quality characteristics / inv. thesis

Screening Process

(25+ stocks)

Stock Research(10-20 stocks)

Stock Selection(4-8 stocks)


24

Performance – Australian Listed Property Trustsas at 30 September 2013



Dalton Nicol Reid 15.5% 22.3% 11.7% 7.4% 5.8% -1.4% 1.0% 3.7% 5.9% 8.1%Benchmark 16.2% 22.5% 12.0% 7.8% 0.6% -7.8% -4.3% -1.0% 0.8% 3.3%Outperformance -0.7% -0.2% -0.3% -0.4% 5.2% 6.4% 5.3% 4.7% 5.1% 4.8%

Tracking Error 2.4 1.9 2.0 1.9 10.0 9.8 9.5 9.0 8.8 8.6Information Ratio -0.3 -0.1 -0.2 -0.2 0.5 0.7 0.6 0.5 0.6 0.5Benchmark: S&P /ASX 200 P roperty Accumulation Index

Since Inception date October 2002


25

Holdings – Australian Listed Property Trustsas at 30 September 2013

Stock Issuer Name Actual ActiveCode Security Weight

CASH 0.3% 0.3%WDC Westfield Group 33.7% 7.2%SGP Stockland 16.6% 6.7%GPT GPT Group 11.6% 5.1%GMG Goodman Group 11.0% 1.7%WRT Westfield Retail Trust 9.9% 0.1%MGR Mirvac Group 9.5% 2.5%MQA Macquarie Atlas Roads Group 4.2% 4.2%FKP 3.1% 3.1%

Total 100.0%

Qualitative Review of Manager, including: People Process Quality of portfolio managers Depth and stability of team Investment style

Investment Process – International Equities

26

Qualitative Business Review, including: Size Business record Key person risk Operational risk Credit rating Ownership structure

Quantitative Evaluation of Risk and Return, including: Past performance Tracking error Volatility Information and sharpe ratio

Portfolio Construction and Management, including: Portfolio diversification Portfolio blend of styles Total portfolio risk Sector exposures

Stock selection criteria Performance Portfolio construction

methodology Turnover

Qualitative Business Review

Qualitative Manager

Assessment

Quantitative Evaluation

Portfolio Construction / Management

27

Performance – International Equities as at 30 September 2013



Dalton Nicol Reid 34.8% 23.6% 13.6% 9.3% 6.9% 2.8% 2.4% 4.7% 5.4% 6.0%Benchmark 33.3% 22.8% 13.0% 8.9% 4.3% 0.4% 0.6% 2.5% 3.6% 4.2%

Out-Performance 1.6% 0.7% 0.6% 0.4% 2.6% 2.5% 1.9% 2.3% 1.8% 1.8%

Tracking Error 2.7 3.0 3.2 2.9 3.9 3.8 3.7 3.7 3.7 3.9Information Ratio 0.6 0.3 0.2 0.1 0.7 0.7 0.5 0.6 0.5 0.5Benchmark: MSCI ex AUST in $AUD

28

Holdings – International Equitiesas at 30 September 2013

Fund ActualWeight

Aberdeen International Equity Fund 18.7%Magellan Global Fund 25.5%MFS Global Equity Trust 40.5%Platinum International Fund 15.4%

100.0%

Valuation Process Credit ratios (interest coverage and leverage ratio) Liquidity screen Bond or hybrid term and structure Yield comparisons

Investment Process – Fixed Interest / Hybrid

29

Idea Generation and Quantitative Screen Quantitative and quality screening Company and industry contacts Daily meetings to discuss findings and allocate tasks

Portfolio Construction Duration of portfolio Fixed verse floating issues

Control Risk and Retest Conclusions Conclusions constantly retested Sell decisions based on:

─ Reach targeted levels─ Margin offered not compensating holders for risks─ Deterioration of quality characteristics, (increased debt

levels and poor management decisions)

Screening Process

Valuation Process

Portfolio Construction


30

Performance – Fixed Interest /Hybrids as at 30 September 2013



Dalton Nicol Reid Hybrids 8.3% 8.9% 8.5% 8.3% 7.7% 6.1% 6.3% 6.4% 6.3% 6.5%Benchmark 5.0% 7.4% 7.8% 7.8% 8.2% 7.6% 7.1% 6.9% 6.8% 6.6%

Out-Performance 3.3% 1.4% 0.7% 0.5% -0.5% -1.6% -0.8% -0.4% -0.4% -0.1%

Benchmark: UBS Corporate Bond Index

31

Holdings – Fixed Interest/Hybridsas at 30 September 2013

Stock Issuer Name Actual

Code Security

ANZHA ANZ Unsecured Subordinated Floating Rate Notes 12%CBAPA CBA Perpetual Exchangeable Resale Listed Sec 3%CNGHA Colonial Unsecured Subordinated Floating Rate Note 5%IANG IAG Perpetual Reset Exchangeable Notes 12%WCTPA Westpac Trust Convertible Preferred Securities 12%WOWHC Woolworths Limited Floating Rate Notes 6%ETL0015AU PIMCO Equity Wholesale Australian Bond Fund 50%

Total 100.0%

32

Dalton Nicol Reid in a Nutshell

Dalton Nicol Reid are:

Australian Managed Account pioneers

Not Financial Advisers or Accountants, purely investment and administration specialists

Key features:

Independent. A private independent portfolio manager that gets paid for managing clients investments (receive an asset based fee, don’t accept commissions or clip brokerage)

Robust Investment Capabilities. Top Quartile Australian share manager with a purpose built managed account administration system

Transparency of portfolios

Tax efficiencies

Customisation

33

Appendix 1 - Sector Responsibility

Financials (ex Property), Materials, Industrials

B. Econ., B. Bus., CA. 24 20 12

Scott Bender B. Com., CFA 17 17 11

Ben Clayton Construction Materials, Dealer B. Econ. 15 15 8

Mark Sedawie Energy, Infrastructure, Retail,Utilities, IT, Socially Responsible

B. Com., CFA, B. Fin. 7 5

Cindy Esterhuizen

Sam Seow

Quantitative Analyst M.B.A., B. Com.

B. Com, CA.

7

4

7

<1

5

<1

Justine Hickey B. Com. 25 21 8

IC Member, Income Portfolio Adviser

B.A., F.I.A.A. 27

TOTAL

AVERAGE 16 14

55

7

Name Sector Coverage Qualifications Years ofCorporate

Experience

Years ofInvestmentExperience

Years withDalton Nicol

Reid

Jamie Nicol

Property, Consumer Staples,Healthcare, Cons.Disc, Telecommunications

5

Independent Investment Committee Member

Mark Hancock 32 6

131 113

Chemicals, Containers & Packaging, Cons. Serv. (ex gaming)

34

Appendix 2 - Investment Team Profiles

Jamie Nicol – Chief Investment Officer & Director

Jamie has over 20 years experience in the financial services industry. He is a senior member of the Dalton Nicol Reid Investment Committee and is also responsible for investment strategy, portfolio construction and stock selection, investment process enhancement and management of the investment team. His sector responsibilities include Financials (ex Property), Materials, Industrials and IT.

As a founding member of Dalton Nicol Reid in 2001, Jamie led the development of the investment philosophy and process and the establishment of the investment team. He has been actively involved in the portfolio management of client’s funds since the company’s inception.

Prior to establishing the Dalton Nicol Reid business, Jamie held senior roles in company research and analysis for two major stock broking firms, as well as for Westpac, Mergers and Acquisitions (Australia and South Pacific). He commenced his career at Price Waterhouse Coopers (formerly Coopers & Lybrand), in the areas of audit and tax.

Jamie has a Bachelor of Business - Accounting (Distinction) from Queensland University of Technology, Bachelor of Economics from the University of Queensland and is a member of the Australian Institute of Chartered Accountants.

35

Scott has over 15 years experience in the funds management industry. He joined Dalton

Nicol Reid in 2002 and is a senior member of the Investment Committee. He is responsible

for the investment research of the Property, Consumer Staples, Consumer Discretionary and

Healthcare sectors. He is also actively involved in the portfolio management decision

making process. Scott has a specialist understanding of the property sector having sole

responsibility for managing the property trust portfolio for the past seven years.

Scott has also been actively involved in the development and refinement of the investment

process and in particular the development of the quantitative models used to screen stocks.

Prior to joining Dalton Nicol Reid, Scott worked as an associate equity analyst with Deutsche

Bank in the UK and has also held roles both domestically and in the UK as an equity analyst

and trading representative for institutions including JP Morgan and Macquarie.

Scott has a Bachelor of Commerce from the University of Queensland, a Graduate Diploma

in Applied Finance and Investment, and is a CFA charter holder.

Scott Bender – Portfolio Manager

Appendix 2 - Investment Team Profiles (cont.)

36


Ben has over 12 years experience in the financial services industry. He joined Dalton Nicol

Reid in 2004 and is responsible for dealing and contributes to company research for

Telecommunication and Construction Materials stocks.

Prior to joining Dalton Nicol Reid, Ben worked as an analyst in the UK with leading stock

broking and investment management firm, Charles Stanley. He began his career at Ord

Minnett, where he worked in varied roles within the firm and leaving as a research analyst.

Ben has a Bachelor of Economics from the University of Queensland.

Ben Clayton – Investment Analyst and Dealer

37


Mark joined Dalton Nicol Reid in 2008 and is responsible for the investment research and analysis of the Energy, Retail, Utilities and Infrastructure sectors. He also oversees the Socially Responsible portfolio.

Prior to joining Dalton Nicol Reid, Mark was a Senior Consultant with the Advisory division of PricewaterhouseCoopers. The focus of this role was to deliver commercial and technical advice to a diverse group of blue chip companies, including asset valuations and strategic corporate transactions. Mark’s skills in financial modeling and analysis are highly regarded within the Dalton Nicol Reid Investment Team.

Mark has a Bachelor of Commerce and Bachelor of Finance from Bond University and is a CFA charter holder.

Mark Sedawie – Investment Analyst

38


Cindy Esterhuizen – Quantitative Analyst

Cindy joined Dalton Nicol Reid in 2008. She is responsible for performance attribution analysis, performance modelling, and development of a Forecast Investment Modelling System. Cindy has also held various roles within the portfolio management area which included portfolio construction and portfolio reviews.

Prior to joining Dalton Nicol Reid, Cindy’s career began as a graduate research analyst in corporate finance, property analysis and project management.

Cindy has a Master of Business Administration (Distinction) from Griffith University, a Bachelor of Commerce (Honours) and a Bachelor of Commerce degree from University of Cape Town.

39


Sam joined Dalton Nicol Reid in 2012 and will take responsibility for covering the

Chemicals, Consumer Services (ex gaming) and Containers & Packaging sectors.

Sam contributes his broad commercial experience, and joins the Investment Team from Flight Centre's Corporate Finance division where he held the role of Analyst. Prior to Flight Centre Sam held positions in the QR National Treasury team and also at BDO.

Sam has a Bachelor of Commerce and is also a member of the Australian Institute of Chartered Accountants.

Sam Seow – Investment Analyst

40


Justine has over 20 years experience in investment and funds management as an equities

portfolio manager and in senior management. She has been involved with Dalton Nicol Reid

since 2005 and sits on the Investment Committee and the Ethical Investment Committee.

She also chairs the corporate Advisory committee.

Justine is a professional director and currently sits on the boards of Australian Ethical

Investment Ltd, Rio Tinto Staff Super Fund, RSPCA QLD and chairs the Evolve Foundation.

She is also a member of the investment management committee of the University of

Melbourne.

In previous roles, Justine was Head of Equities at Suncorp Investment Management in

Brisbane until 2004 and prior to that a Portfolio Manager at Flemings Investment

Management (now JP Morgan) in the UK.

Justine has a Bachelor of Commerce from University of Queensland, is a Graduate,

Australian Institute of Company Directors; Senior Associate, FinSIA (Financial Services

Institute of Australasia); and Associate, CFA Institute.

Justine Hickey – Consultant and Investment Committee Member

41


Mark has over 20 years experience in the securities and funds management industry. As

Managing Director of Precept Investment Actuaries Pty Ltd, he is the principal investment

consultant to Dalton Nicol Reid for the Australian Equities Income portfolio. His qualifications

and valuable experience see him retained in a number of advisory roles by major Australian

investment firms and financial services entities. He specialises in the assessment of listed

businesses in the financial services industry. His previous experience includes 8 years as principal consultant with Loftus Capital Partners Limited and 5 years with NRMA as investment manager.

Mark is a qualified actuary and has been a Fellow of the Institute of Actuaries of Australia since 1987. He has a Bachelor of Arts majoring in Actuarial Studies. Mark is a guest lecturer in Finance at Macquarie University.

Mark Hancock – Consultant and Investment Committee Member

42

Disclaimer

This document has been prepared by Dalton Nicol Reid Pty Ltd, AFS Representative - 294844 of DNR AFSL Pty Ltd ABN 39 118 946 400, AFSL 301658. It is general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Whilst, Dalton Nicol Reid has used its best endeavours to ensure the information within this document is accurate it cannot be relied upon in any way and recipients must make their own enquiries concerning the accuracy of the information within. The general information in this document has been prepared without reference to your objectives, financial situation or needs. Before making any financial investment decisions we recommend you obtain legal and taxation advice appropriate to your particular needs. Investment in a Dalton Nicol Reid individually managed account can only be made on completion of all the required documentation.

Past performance is not an indication of future performance. Total returns shown are based on Dalton Nicol Reid’s model portfolio and have been calculated before taking Dalton Nicol Reid’s fees into account as actual performance on managed accounts is dependant on a number of factors including, but not limited to, timing of investment, non-managed stocks and portfolio execution. No allowance has been made for taxation.

november 2013 tae advice & support retreat. 2 agenda business background reporting ...

Documents

portfolio ideal

existing portfolio

investment team profiles

investment team remuneration

investment processhave

portfolio changes

portfolio administration

ima portfolio