praemium sma - xtbs · ms0001 morningstar conservative real return fund int0034au 0.57% p.a. ms0002...

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PRAEMIUM SMA

Investment Menu

Dated 23 January 2017

This Investment Menu is issued by Praemium Australia Limited (ABN 92 117 611 784, AFSL 297956).

The information in this document forms part of the following Product Disclosure Statement:

• Praemium SMA Product Disclosure Statement (PDS) dated 1 July 2016.

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Contents

Single Asset Model Portfolios 4Model Portfolio Managers and Model profiles 10AAN Core 22AAN Growth 23AAN Australian Model 24AAN Core Index 25 ACBC Yield Plus Model 26AltaVista Leaders 27AltaVista Income 28AltaVista Small Companies 29AltaVista Ethical 30AltaVista SAA Australian Equities ETF Model 32AltaVista SAA Global ex-Australian Equities ETF Model 33AltaVista SAA Global Income ETF Model 34AltaVista Australian Active Yield Portfolio 35AltaVista Balanced Income Portfolio 36Arnhem Australian Equity 37AssureInvest Multi-Asset Portfolio - Moderate Growth 38AssureInvest Multi-Asset Portfolio - High Growth 39Astute Diversified Income 40Astute Property 41Astute Global Shares 42Astute Cash 43Astute High Growth Plus 44Astute High Growth 45Astute Growth 46Astute Balanced 47Astute Conservative 48Astute Defensive 49Astute Australian Shares - Core 50Astute Australian Shares - High Yield 51

Astute Australian Shares - Small Cap 52Ausbil Dexia Australian Active Equity 53Ausbil Dexia Australian Emerging Leaders 54Baillieu Holst SPS Growth 55Baillieu Holst SPS Income 56Bennelong ex-20 Australian Equities 57Bennelong Australian Equities 58BlackRock Concentrated Australian Share 1 59BlackRock Index - Top 20 60BlackRock Concentrated Australian Share 2 61BlackRock Equity Yield Focus 62BlackRock Property Securities Index 63BlackRock Financials 64BlackRock Value 65BlackRock Resources 66BlackRock 200 Growth 67Burrell Stockbroking Top20 68Burrell Stockbroking Top20 - PW Unrestricted 69Burrell Stockbroking Top20 - KICS Unrestricted 70The Burrell 35 71The Burrell Moderate Growth Portfolio 72The Burrell Balanced Portfolio 73Canaccord Blended Australian Equities 74Canaccord Australian Income 75Chimaera Index Enhanced Franked Income 76Cutcher & Neale Conservative 77Cutcher & Neale Balanced 78Cutcher & Neale Growth 79Cutcher & Neale High Growth 80Cutcher & Neale High Growth Gearing 81DNR Capital Australian Equities High Conviction 82

DNR Capital Australian Equities Socially Responsible 83DNR Capital Australian Equities Income 84Elston Australian Equities Portfolio 85Ethical Investment Advisers Mid-Cap 86Fat Prophets Concentrated Australian Share Model Portfolio 87Fat Prophets Mining & Resources Model Portfolio 88Fat Prophets Australian Share Income Model Portfolio 89Fat Prophets Small & Mid Cap Model Portfolio 90Grow Your Wealth Balanced ETF Portfolio 91Grow Your Wealth Assertive ETF Portfolio 92Hyperion High Conviction Large Cap ASX300 93InvestSense CPI+2 Diversified Portfolio 94InvestSense CPI+3 Diversified Portfolio 95InvestSense CPI+4 Diversified Portfolio 96InvestSense CPI+5 Diversified Portfolio 97iShares Conservative 98iShares Moderate 99iShares Balanced 100iShares Growth 101iShares Aggressive 102JBWere Growth 103JBWere Income 104JBWere Fixed Income 105JBWere Industrials 106JBWere Leaders 107JBWere Small Companies 108JBWere Listed Multi Strategy 109Kingfisher Capital Partners Australian Equities Portfolio 110Lonsec Core 111Lonsec Income 112Lonsec Diversified Direct Balanced 113Lonsec Diversified Direct Growth 114Lonsec Diversified High Growth 115Lonsec Emerging Leaders 116M Capital Emerging Leaders Equities 117M Capital Ethical Equities Income 118Macquarie Australian Concentrated Equities 119Morningstar Income Equities 120Morningstar Small Cap Equities 121Morningstar Core Equities 122Morningstar Diversified Income 123Morningstar Property 124Morningstar Global Shares 125Morningstar Cash 126Morningstar High Growth Plus 127Morningstar High Growth 128Morningstar Growth 129Morningstar Balanced 130Morningstar Conservative 131Morningstar Defensive 132Navin Australian Industrial Growth 133Navin Australian High Growth 134Navin Australian Income 135Newport Australian Shares 136Newport Global Tactical 137OKIS Wealth Income 138OKIS Wealth Equities 139PDS Australian Income 140PDS Australian Growth 141PDS International 142Peak Income and Growth 143Peak Growth 144Peak Smaller Companies 145

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Perennial Value Australian Shares 146Perpetual Direct Equity Alpha 147Pritchard Australian Shares Portfolio 148Ralton Australian Shares 149Ralton High Yield Australian Shares 150Ralton Smaller Companies 151Ralton Leaders 152Real Wealth Diversified Portfolio 153Shaw Hybrid Income 154Smart Investment ASX Top20 155Smart Investment Defensive 156Smart Investment Conservative 157Smart Investment Balanced 158Smart Investment Growth 159Smart Investment High Growth 160UBS High Alpha Long Term Opportunity (HALO) 161Urquhart Sexton Financial Planning Balanced 162Urquhart Sexton Financial Planning Growth 163Urquhart Sexton Financial Planning Conservative 164Vested FN Arena All-Weather Australian Investments 165Wentworth Australian Equities 166Cash Model 167

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Managed Funds

Model Code Model Portfolio Name APIR Code MER

AM0001 AMP Capital Corporate Bond Fund AMP0557AU 0.62% p.a.

AN0099 ANZ Cash Plus Fund ANZ0150AU 0.16% p.a.

AT0071 Altius Sustainable Bond Fund AUS0071AU 0.6726% p.a.

AD0101 Ausbil Australian Active Equity AAP0103AU 0.90% p.a.

AU0018 Australian Ethical Australian Share Fund AUG0018AU 0.95% p.a.

AU0019 Australian Ethical Diversified Shares Fund AUG0019AU 0.95% p.a

AU0025 Australian Ethical International Shares Fund AUG0025AU 1.35% p.a.

AA0101 Arnhem Australian Equity ARO0011AU 0.85% p.a.

BE0100 Bennelong Australian Equities Fund BFL0001AU 0.95% p.a.

BE0101 Bennelong Twenty20 Australian Equities Fund BFL0017AU 0.39% p.a.

BE0102 Bennelong Kardinia Absolute Return Fund BFL0010AU 1.5375% p.a.

BE0103 Bennelong Avoca Emerging Leaders Fund BFL0008AU 1.25% p.a.

BE0104 Quay Global Real Estate Fund BFL0020AU 0.82% p.a.

BE0105 Touchstone Index Unaware Fund BFL0021AU 0.95% p.a.

BE0106 4 Dimensions Global Infrastructure Fund BFL0019AU 0.95% p.a.

CG0100 Capital Group New Perspective Fund AU Unhedged CIM0006AU 1.05% p.a.

KP0001 Kapstream Wholesale Absolute Return Fund HOW0052AU 0.70% p.a.

MC0001 MCTDF Mutual Cash Term Deposit Fund PRM0010AU 0.25% p.a.

MQ0100 Macquarie Income Opportunities Fund MAQ0277AU 0.492% p.a.

MG0101 Magellan Global MGE0001AU 1.35% p.a.

MS0001 Morningstar Conservative Real Return Fund INT0034AU 0.57% p.a.

MS0002 Morningstar Balanced Real Return Fund INT0028AU 0.64% p.a.

MS0003 Morningstar Growth Real Return Fund INT0038AU 0.70% p.a.

MS0004 Morningstar High Growth Real Return Fund INT0042AU 0.76% p.a.

MS0005 Morningstar Aggressive Real Return Fund INT0040AU 0.82% p.a.

MS0006 Morningstar Australian Shares Fund INT0022AU 0.46% p.a.

MS0007 Morningstar Diversified Alternatives Fund INT0095AU 1.025% p.a.

MS0008 Morningstar International Shares (Hedged) Fund INT0050AU 0.56% p.a.

MS0009 Morningstar International Shares (Unhedged) Fund INT0052AU 0.51% p.a.

PE0102 Pengana Emerging Companies PER0270AU 1.334% p.a.

PP0100 Perpetual Diversified Real Return Fund PER0556AU 0.85% p.a.

PP0101 Perpetual Wholesale Share Plus Long-Short Fund PER0072AU 0.99% p.a.

PC0001 PIMCO Diversified Fixed Interest Fund ETL0016AU 0.50% p.a.

PL0101 Platinum International Fund PLA0002AU 1.54% p.a.

Single Asset Model Portfolios

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PL0102 Platinum Asia PLA0004AU 1.54% p.a.

RE0001 Realm High Income Fund OMF0009AU 0.77% p.a.

UB0100 UBS Australian Small Companies SIV Fund UBS0063AU 0.85% p.a.

SI0100 Stewart Investors Worldwide Sustainability Fund FSF1675AU 1.02% p.a.

Model Code Model Portfolio Name Security Code

AM0002 AMP Capital Global Property Securities Fund (Unhedged) RENT

AM0003 AMP Capital Global Infrastructure Securities Fund (Unhedged) GLIN

AM0004 AMP Capital Dynamic Markets Fund (Hedged Fund) DMKT

K20001 K2 Global Equities Fund KII

K20002 K2 Australian Small Cap Fund KSM

MG0001 Magellan Global Equities Fund MGE

MG0002 Magellan Global Equities Fund (Currency Hedged) MHG

MG0003 Magellan Infrastructure Fund (Currency Hedged) MICH

Exchange Traded Funds (ETFs)

Model Code* Model Portfolio Name ETF Security Code

AZ0001 ANZ ETFS Physical Gold ETF ZGOL

AZ0002 ANZ ETFS Physical Renminbi ETF ZCNH

AZ0003 ANZ ETFS Physical US Dollar ETF ZUSD

AZ0004 ANZ S&P 500 High Yield Low Volatility ETF ZYUS

AZ0005 ANZ ETFS S&P/ASX 100 ETF ZOZI

AZ0006 ANZ ETFS S&P/ASX 300 High Yield Plus ETF ZYAU

BB0001 BetaShares Australian Top20 Equity Yield Maximiser Fund YMAX

BB0002 BetaShares U.S. Dollar ETF USD

BB0003 BetaShares Australian High Interest Cash ETF AAA

BB0004 BetaShares Gold Bullion ETF - Currency Hedged QAU

BB0005 BetaShares FTSE RAFI Australia 200 ETF QOZ

BB0006 BetaShares Australian Dividend Harvester Fund HVST

GO0001 ETFS Physical Gold GOLD

IS0001 iShares Global 100 IOO

IS0002 iShares S&P 500 IVV

ASX Quoted Managed Funds

Managed Funds

* These Model Portfolios invest in ETFs which have a fee disclosed in the issuer’s PDS. For more information please visit the issuer’s website.

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IS0003 iShares Europe IEU

IS0004 iShares MSCI EAFE IVE

IS0005 iShares MSCI Emerging Markets IEM

IS0006 iShares China Large Cap IZZ

IS0007 iShares MSCI Hong Kong IHK

IS0010 iShares MSCI South Korea Capped IKO

IS0011 iShares MSCI Taiwan ITW

IS0008 iShares MSCI Japan IJP

IS0009 iShares MSCI Singapore ISG

IS0012 iShares Russell 2000 IRU

IS0013 iShares Core S&P Mid-Cap IJH

IS0014 iShares Core S&P Small-Cap IJR

IS0015 iShares Core S&P/ASX 200 IOZ

IS0016 iShares S&P/ASX Dividend Opportunities IHD

IS0017 iShares S&P/ASX Small Ordinaries ISO

IS0018 iShares Asia 50 IAA

IS0019 iShares Core Composite Bond IAF

IS0020 iShares Government Inflation ILB

IS0021 iShares Treasury IGB

IS0022 iShares Global Consumer Staples IXI

IS0023 iShares Global Healthcare IXJ

IS0024 iShares Global Telecom IXP

IS0025 iShares MSCI BRIC IBK

IS0026 iShares Global 100 AUD Hedged IHOO

IS0027 iShares S&P 500 AUD Hedged IHVV

IS0028 iShares Global Corporate Bond (AUD Hedged) IHCB

IS0029 iShares Global High Yield Bond (AUD Hedged) IHHY

IS0030 iShares J.P. Morgan USD Emerging Markets Bond (AUD Hedged) IHEB

IS0031 iShares S&P/ASX 20 ETF ILC

IS0032 iShares Core MSCI World All Cap (AUD Hedged) ETF IHWL

IS0033 iShares Core MSCI World All Cap ETF IWLD

RS0001 Russell High Dividend Australian Shares ETF RDV

RS0002 Russell Australian Value ETF RVL



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RS0003 Russell Australian Government Bond ETF RGB

RS0004 Russell Australian Semi-Government Bond ETF RSM

RS0005 Russell Australian Select Corporate Bond ETF RCB

ST0001 SPDR S&P/ASX 200 STW

ST0002 SPDR S&P/ASX 200 Listed Property SLF

ST0003 SPDR MSCI Australia Select High Dividend Yield SYI

ST0004 SPDR S&P/ASX Australian Bond BOND

ST0005 SPDR S&P/ASX Australian Government Bond GOVT

ST0006 SPDR S&P World ex Australia WXOZ

ST0007 SPDR S&P/ASX 50 SFY

ST0008 SPDR S&P/ASX Small Ordinaries SSO

ST0009 SPDR S&P/ASX 200 Financials Ex A-REIT OZF

ST0010 SPDR S&P/ASX 200 Resources OZR

ST0011 SPDR S&P World ex Australia (Hedged) WXHG

ST0012 SPDR Dow Jones Global Real Estate DJRE

ST0013 SPDR S&P 500 SPY

ST0014 SPDR S&P Emerging Markets WEMG

ST0015 SPDR S&P Global Dividend Fund WDIV

UB0002 UBS IQ Morningstar Australia Quality ETF

UB0003 UBS IQ Morningstar Australia Dividend Yield DIV

UB0004 UBS IQ MSCI Australia Ethical UBA

UB0005 UBS IQ MSCI World Ex Australia Ethical UBW

UB0006 UBS IQ MSCI Europe Ethical UBE

UB0007 UBS IQ MSCI USA Ethical UBU

UB0008 UBS IQ MSCI Japan Ethical UBJ

UB0009 UBS IQ MSCI Asia APEX 50 Ethical UBP

VV0001 VanEck Vectors Australian Equal MVW

VA0001 Vanguard Australian Fixed Interest VAF

VA0002 Vanguard Australian Government Bond VGB

VA0003 Vanguard Australian Property Securities VAP

VA0004 Vanguard Australian Shares VAS

VA0005 Vanguard Australian Shares High Yield VHY



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Model Code* Model Portfolio Name Security Code

XF0001 AMP 6 Jun 2018 FRN YTMF01

XF0002 BOQ 7 Nov 2016 FRN YTMF02

XF0003 BOQ 12 Jun 2018 FRN YTMF03

XF0004 NAB 8 Nov 2018 FRN YTMF04

XF0005 NAB 20 May 2019 FRN YTMF05

XF0006 SUN 23 Apr 2019 FRN YTMF06

Floating Rate XTBs



VA0006 Vanguard MSCI Australian Large Companies VLC

VA0007 Vanguard MSCI Australian Small Companies VSO

VA0008 Vanguard US Total Market Shares VTS

VA0009 Vanguard All-World ex-US Shares VEU

VA0010 Vanguard FTSE Emerging Markets Shares VGE

VA0011 Vanguard MSCI Index International Shares VGS

VA0012 Vanguard MSCI Index International Shares (Hedged) VGAD

VA0013 Vanguard International Credit Securities Index (Hedged) VCF

VA0014 Vanguard International Fixed Interest Index (Hedged) VIF

VA0015 Vanguard FTSE Asia Ex-Japan Shares Index VAE

VA0016 Vanguard FTSE Europe Shares VEQ

VA0017 Vanguard Australian Corporate Fixed Interest Index ETF VACF

* These Model Portfolios invest in XTBs which may have an additional fee disclosed in the issuer’s PDS. For more information please visit the issuer’s website.

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Model Code* Model Portfolio Name Security Code

XT0001 Aurizon 5.75% 28 Oct 2020 YTMAZJ

XT0002 BHP 3.75% 18 Oct 2017 YTMBHP

XT0003 Crown 5.75% 18 Jul 2017 YTMCWN

XT0004 Dexus 5.75% 10 Sep 2018 YTMDXS

XT0005 GPT 6.75% 24 Jan 2019 YTMGPT

XT0006 Incitec Pivot 5.75% 21 Feb 2019 YTMIPL

XT0007 Lend Lease 5.50% 13 Nov 2018 YTMLLC

XT0008 Lend Lease 6.00% 13 May 2020 YTMLL1

XT0009 Mirvac 5.75% 18 Sep 2020 YTMMGR

XT0010 Novion 5.00% 19 Dec 2019 YTMNVN

XT0011 Scentre 5.00% 23 Oct 2019 YTMSCG

XT0012 Stockland 5.50% 6 Sep 2019 YTMSGP

XT0013 Stockland 8.25% 25 Nov 2020 YTMSG1

XT0014 Telstra 7.75% 15 Jul 2020 YTMTLS

XT0015 Wesfarmers 6.25% 28 Mar 2019 YTMWES

XT0016 Wesfarmers 4.75% 12 Mar 2020 YTMWE1

XT0017 Woolworths 6.00% 21 Mar 2019 YTMWOW

XT0018 APA Pipelines 7.75% 22 Jul 2020 YTMAPA

XT0019 Caltex Australia 7.25% 23 Nov 2018 YTMCTX

XT0020 Mirvac Group 5.50% 18 Dec 2017 YTMMG1

XT0021 Qantas 6.50% 27 Apr 2020 YTMQF1

XT0022 Qantas 7.50% 11 Jun 2021 YTMQF2

XT0023 Qantas 7.75% 19 May 2022 YTMQF3

XT0024 Bank of Queensland 4.00% 12 Jun 2018 YTMBOQ

XT0025 Coca Cola Amatil 4.25% 13 Nov 2019 YTMCCA

XT0026 National Australia Bank 4.25% 20 May 2019 YTMNAB

XT0027 Sydney Airport 7.75% 6 Jul 2018 YTMSYD

XT0028 AGL Energy 5.00% 5 Nov 2021 YTMAGL

XT0029 Alumina Limited 5.50% 19 Nov 2019 YTMAWC

XT0030 Ausnet Services Limited 5.75% 28 Jun 2022 YTMAST

XT0031 BHP 3.00% 30 Mar 2020 YTMBH1

XT0032 Downer EDI Limited 5.75% 29 Nov 2018 YTMDOW

XT0033 Downer EDI Limited 4.50% 11 Mar 2022 YTMDO1

Exchange Traded Bond units (XTBs)

* These Model Portfolios invest in XTBs which may have an additional fee disclosed in the issuer’s PDS. For more information please visit the issuer’s website.

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Model Portfolio Managers and Model profiles

BlackRock Investment Management (Australia) Limited

BlackRock® Inc. is a premier provider of global investment management, risk management and advisory services to institutional and retail clients around the world. Through BlackRock Solutions® – an outgrowth of our longstanding investment in sophisticated, integrated systems – we offer risk management services and enterprise investment system outsourcing to a broad base of institutional portfolios.

BlackRock® Inc directly manages investments on behalf of institutional and retail clients from all over the globe. BlackRock has asset management teams covering all major asset classes, across many investment styles and regions around the globe. Through cutting edge systems capabilities and an unqualified commitment to teamwork and communication across all its investment capabilities.

BlackRock® Inc delivers an unparalleled breadth of perspective and insights to the management of all its client portfolios.

Headquartered in New York, BlackRock® Inc. operates offices in different countries, maintaining a major presence in most key markets including the United States, the United Kingdom, Asia, Australia, the Middle East and Europe.

BlackRock Investment Management (Australia) Limited is the manager of the Model(s) as specified in the following Model Portfolio profiles.

When you invest with BlackRock you are gaining the expertise of an experienced team of Australian investment professionals backed by the international resources and knowledge of one of the world’s largest investment managers.

Within Australia BlackRock manages across a range of products and services including equities, fixed income and property.

We are a member of the Financial Services Council (FSC).

Ausbil Dexia

Ausbil Dexia Limited (ABN 26 076 316 473, AFSL No. 229722) (Ausbil Dexia) is an Australian equities specialist with approximately A$12 billion in funds under management. Established in April 1997, Ausbil Dexia is a joint venture between senior members of Ausbil’s Australian investment/ management team and Dexia Asset Management, the asset management arm of the Dexia Group, a major European bank. The joint venture offers Ausbil Dexia clients the focus and personal attention delivered by an employee owned boutique, but with the backing and financial integrity of a AA+ rated global banking partner.

Lonsec Investment Solutions

Lonsec Investment Solutions Pty Ltd ACN: 608 837 585 (LIS), a Corporate Authorised Representative of Lonsec Research Pty Ltd ABN: 11 151 658 561 AFSL: 421 445 is a wholly owned subsidiary of Lonsec Fiscal Holdings Pty Ltd. Leveraging Lonsec Research’s established research and portfolio construction expertise and deep resources LIS provides financial advisers access to a range of model portfolio solutions across listed and unlisted investments via the use of efficient structures such as managed accounts.

Morningstar Investment Management Australia Limited

Morningstar Investment Management Australia Limited (ABN 54 071 808 501; AFSL 228986) (‘Morningstar’) is a leading provider of asset allocation, portfolio construction and investment research services with over 35 years’ experience in the United States, Australia and other international markets. Morningstar advises and manages funds for superannuation funds, institutions, platform distributors, financial advisers and individuals. Morningstar’s disciplined investment approach delivers independent, cost effective and holistic solutions for our clients – helping them reach their financial goals. This long-term, valuation driven approach is underpinned by an emphasis on preserving capital and undertaking comprehensive fundamental analysis of global asset classes and securities.

AIW Dealer Services Pty Ltd

AIW Dealer Services Pty Ltd (‘Astute’) (ABN 59 153 322 420; AFSL 414256) licenses and supports financial advisers with experience in all facets of finance, insurance and wealth products. Astute’s advisers aim to provide expert advice suited to client’s individual circumstances.

Astute has an investment program for use by its advisers that includes a range of model portfolios of which Astute is the model manager. The board of Astute is ultimately responsible for the investment program but has delegated responsibility for investment governance to its investment committee. The investment committee’s decisions are based on recommendations from Morningstar, Astute’s investment consultant. Morningstar advises the investment committee on its investment program as well as the design and management of the Astute model portfolios.

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State Street Global Advisors, Australia, Limited

State Street Global Advisors (SSgA) is the investment management division of State Street Corporation, a publicly traded bank holding company which traces its heritage back to 1792. SSgA was established in 1978 to provide innovative, quantitatively driven investment management services to institutional investors across the risk/return spectrum. SSgA has grown to become the world’s largest institutional funds manager, with over US$1.9 trillion (A$2.04 trillion) in assets under management as at 30 June 2011, and ten investment centres around the world. SSgA’s Exchange Traded Funds (ETFs) are popular due to their tradability, cost efficiency and broad market exposure. First introduced in the US in 1993 by SSgA and the American Stock Exchange, SSgA now manages approximately US$240 (A$257.8 billion) in ETF assets globally.

State Street Global Advisors, Australia, Limited is the Australian investment management division of SSgA. The SPDR S&P/ASX 200 Fund (STW) was listed on the Australian Stock Exchange on 27 August 2001 and the SPDR S&P/ASX 200 Listed Property Fund (SLF) was listed on the Australian Stock Exchange on 18 February 2002.

Arnhem Investment Management Pty Ltd

Arnhem Investment Management Pty Ltd (AFS Licence No. 332484) is a boutique Australian fund manager majority owned by the Arnhem investment team, with a substantial shareholding retained by BNP Paribas Investment Partners, who provides distribution and client servicing on behalf of Arnhem. This ownership structure provides a sustainable and competitive funds management business model with the backing of a leading global fund manager. The team of investment professionals is responsible for three Australian equity capabilities including the Australian Equity Fund, the Concentrated Australian Equity Fund and the Long Short Australian Equity Fund.

Smart Investment Management

Smart Investment Management (SIM) is part of Praemium Australia Limited, and was established to provide tailored and innovative portfolios with competitive and transparent fees. SIM draws on over 40 years’ experience and uses a quantitative approach to managing index models, absolute return models and multi-asset portfolios.

Perennial Value Management Limited

Perennial Value Management Limited (Perennial Value) (ABN 22 090 879 904, AFSL No. 247293) is a boutique funds manager, specialising in the management of value-style Australian equities securities. Perennial Value was launched in March 2000 in conjunction with John Murray and Perennial Investment Partners Limited (Perennial). In structuring Perennial Value, Perennial have sought to meet investor expectations for financial security whilst capturing the energy and passion of a boutique investment management firm. Perennial Value believe that they have created an environment where the interests of investors and investment professionals are clearly aligned.

The Perennial Value team consists of eight Analysts and Portfolio Managers.

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Fat Prophets Pty Ltd

Established in 2000, the Fat Prophets Group has grown into one of the leading providers of stock market research with offices in the United Kingdom and Australia.

Fat Prophets’ funds management capability was established in January 2005, focusing initially on wholesale mandates. In May 2007 Fat Prophets launched the Concentrated Australian Share and Mining & Resources model portfolios for retail investors via the Fat Prophets Separately Managed Account. The offering has since been extended to include the Australian Share Income and Small and Mid Cap model portfolios. Set up in 2009 Fat Prophets UK funds management business offers Managed Discretionary Accounts to private investors. In March 2011 Fat Prophets extended its Australian investment offering to include a wealth management capability providing personal advice across a broad spectrum of investment strategies and broking services.

Wentworth Securities

Wentworth Securities is a boutique investment advisory that delivers informed and insightful investment solutions to sophisticated and professional investors, family offices, intermediaries and institutional clients. Backed by leading independent and proprietary research, our investment strategies are developed using in-house investment processes and analysis, resulting in high conviction, unbiased, transparent and cost effective strategies that are proactively delivered. This allows us to best position client portfolios in this challenging global environment and gives clients the chance to seize upon investment opportunities, as they arise.

Vanguard

With almost A$2.3 trillion in assets under management as of 31 March 2013, including more than A$267 billion in ETFs, Vanguard is one of the world’s largest global investment management companies. In Australia, Vanguard has been serving financial advisers, retail clients and institutional investors for more than 15 years.

BetaShares Capital Ltd

BetaShares Capital Ltd, located in Sydney, is one of the leading providers of ETFs and other ASX-traded funds in Australia. Our objective is to expand the universe of investment possibilities for investors in Australia. We provide exchange traded funds that empower investors to implement investment strategies with ease.

BetaShares products are Australian-domiciled ETFs and other funds which trade on the ASX, and are bought and sold just like shares. BetaShares exchange traded funds are designed to deliver transparent exposure to a broad range of market indices and asset classes.

BetaShares is a member of the Mirae Asset Global Investments Group, one of Asia’s largest asset management firms. Mirae managed in excess of US$50 billion, including over US$7 billion in ETFs, as at 30 June 2013.

Hyperion Asset Management Limited

Hyperion is a high conviction growth style manager that specialises in identifying and investing in quality Australian equities.

Hyperion’s proprietary investment process produces a relatively concentrated portfolio of high quality companies with predictable earnings and superior growth potential.

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AltaVista Research Pty Ltd

AltaVista Research is a fully independent and specialist equities and ETF researcher and Model Portfolio manager. We were founded in the US in early 2004 and advise on the ASX 300 and rate both NYSE and ASX listed ETFs. We have operated in Australia for over 5 years. AltaVista is part of the Independent Investment Research Group – this research house was created by the former founder of Aegis Equities Research (Aegis Equities Research was sold to Morningstar in 2009).

AltaVista takes a unique approach to equities and ETF analysis by focusing on the fundamentals of each of the companies that constitute the ASX 300 and each of the ETFs underlying constituents. The primary benefit of this approach is that it provides a forward-looking view of each company and an ETF’s investment merit in a familiar, relevant and daily updated manner.

We research both equities and fixed interest ETFs. By definition, our research process only rates those ETFs that are ‘plain vanilla’ only, i.e. we cannot cover ETFs that include derivatives, synthetics, leverage, commodities or that are currency based.

In constructing Model Portfolios we utilise our proprietary research in accordance with the investment criteria rules and objectives that we specify for each portfolio. We offer an array of Model Portfolios across the ASX 300, SAA, TAA or specifically Customised options to match specific investment needs.

ETF Securities Ltd

ETF Securities Ltd is an issuer of Exchange Traded Commodities (ETCs) and Exchange Traded Funds (ETFs).

ETF Securities is independently owned and is the leading independent issuer of exchange traded products globally. The management of ETF Securities pioneered the development of ETCs, with the world’s first listing of an ETC, ETFS Physical Gold (ASX code “GOLD”) in Australia in 2003. ETF Securities has also listed physically backed ETCs in Silver, Platinum, Palladium and a Precious Metals Basket on the ASX.

Grow Your Wealth Pty Ltd

Grow Your Wealth Pty Ltd has been providing investment portfolio advice for over 27 years. The business first appeared in Townsville in 1987 as part of the Morgan Stockbroking Group. The business has undergone a number of name changes over the years and in 2011 obtained its own financial services licence. At Grow Your Wealth, the goal is simple; to increase our client’s wealth. We have assembled a team of investment professionals with a high level of expertise across many facets of the wealth management equation – stockbroking, financial planning, accounting, economics and law. This diversity and depth of knowledge allows us to deliver personalized investment solutions that help clients achieve their financial goals. We believe our commitment to building long term relationships with our clients differentiates us from other financial groups.

Russell Investment Management Ltd

At Russell Investments we stand with you, working together to achieve investors’ real goals. We believe the best way to reach your desired outcomes is with a multi-asset approach, combining asset allocation, manager selection and dynamic portfolio management. To create multi-asset solutions, we draw from capabilities created and integrated in response to investors’ needs. We are one of only a few firms that offer capital markets insights, manager research, portfolio construction, portfolio implementation and Indexes. Russell has more than A$264 billion in assets under management (as of 30 September 2013) and works with 2,700 institutional clients, and independent distribution partners and millions of individual investors globally.

Russell Exchange Traded Funds (ETFs) are an example of how we use the intersection of our global capabilities including index construction, portfolio management and effective implementation.

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Pinn Deavin Securities

Pinn Deavin traces its origins back to 1971 when it was established with a view to providing a proactive management advisory service to assist businesses and individuals achieve their goals rather than simply provide an accounting service to keep score of after tax results.

Over the last four decades Pinn Deavin has evolved and grown substantially. It has formed specialist divisions to provide specific solutions to clients. One of the changes made to Pinn Deavin was the establishment of Pinn Deavin Securities in 1988, and provides professional, accurate and detailed advice to a wide range of clients. Pinn Deavin's diversity allows us to provide a number of different investment services to our clients. Some of these services include; investment in property developments, investment in rental property and share portfolio management. Pinn Deavin also specialises in superannuation management, retirement planning and aged care financial planning.

Ethical Investment Advisers

Ethical Investment Advisers Pty Ltd is an investment advisory firm which specialises in ethical and socially responsible investment advice.

Ethical Investment Advisers utilise research from Corporate Monitor, Eco Investor and Ethical Investor, in addition to our own internal research to screen investments on environmental and social grounds.

Ethical Investment Advisers was founded by advisers who are committed to providing clients with investment options which suit their personal values. Our aim is to provide investors with access to a portfolio of ethically screened companies. Ethical Investment Advisers proactively seeks out and identifies companies which have a positive effect on the environment or society.

Chimaera Group

Chimaera Group was formed in 1996 as a strategic investments and arbitrage group within Paloma Partners, one of the major market neutral hedge funds operating globally and based in Greenwich, Connecticut. Chimaera Group's mandate included the development and trading of structured products, as well as the management of investments for Paloma Partners.

In 1997 Chimaera formed an alliance with the Global Investment Manager Services division of Donaldson, Lufkin & Jenrette Inc. and expanded its business to include key strategies and products throughout Australia and Western Europe.

Today, Chimaera's business covers a number of markets, principally Australia and Asia. With Offices in Melbourne, Singapore and Hong Kong, it commands a unique position in the market having global capabilities in capital markets, securities services, corporate finance, trading and asset wealth management.

Chimaera Capital Limited is the trusted custodian of assets for high net worth investors, investment managers and advisers, family offices, hedge funds and intermediaries. Chimaera Capital Limited has provided Responsible Entity services for index based equity products in the Australian listed equity sector since 1996. Chimaera Capital Limited is an approved non-broker settlement participant of CHESS

Chimaera Private Limited in Melbourne, in conjunction with Chimaera Capital Management Pty Ltd based in Singapore, provides dedicated asset management services. Since 1996, Chimaera has developed a unique position in serving the particular investment needs of institutions, medium sized enterprises and high net worth individuals. Our fund managers have extensive experience in managing ETF’s and index tracking products, which invest across debt and equity markets in multiple geographies.

Chimaera Index Advisors is an index provider and also undertakes financial market research. It seeks to identify, manage and monitor investment themes which are emerging and not particularly well understood or represented within the current market place.

15

Cutcher & Neale

Cutcher & Neale Investment Services has been providing a boutique investment management service for 20 years, with key members of our advisory team having over 50 years of combined experience in financial markets.

Our success is grounded in the traditional values of absolute integrity, personal service and professionalism coupled with innovative thinking. The result is a proven approach to investment success.

We proactively manage your portfolio to maximise returns within your risk parameters and build your portfolio through direct asset acquisition, rather than through third- party Fund Managers, so you know exactly how, why and where your money is invested.

Cutcher & Neale Investment Services has developed 4 portfolios designed to assist clients achieve their investment objectives.

AssureInvest Pty Ltd

AssureInvest (AFS Licence No. 478978) provides trusted outsourced investment management and consulting services to wealth advisers, stockbrokers, accountants and high-net-worth individuals.

We offer a holistic and successful investment approach and carefully tailored solutions for individual needs, as well as cost-saving innovations, integrity at the highest level and attentive customer service.

Our adviser clients are empowered to boost their profits and deliver better investment outcomes, benefiting their clients and the broader community.

Various powerful, actively-managed portfolios cater to different risk tolerances and asset class preferences. Our disciplined and long-term focus provides a critical framework for assessing new value-adding opportunities, preserving capital, generating superior returns and implementing at low cost. Our approach is based on proven investment theory, empirical evidence and more than two decades of our own experience.

Elston Portfolios

Elston Portfolios is an independent Australian investment manager focused on delivering conservative investment solutions to help advisers build and preserve their clients’ wealth.

The Elston Portfolios investment philosophy incorporates the following values:

� An emphasis on long term returns, consistent with our belief that short term market movements are impossible to predict accurately

� Avoiding speculative investments and instead focusing on companies with proven track records and the ability to sustainably grow earnings

� Promoting portfolio diversity. Our aim is to capitalise on the benefits of diversification, but also focus on our best ideas to construct portfolios

� Dynamic management of the portfolio. We believe different asset classes are likely to outperform as economic conditions change

� Identifying companies’ growth prospects and relative value

� After-tax return management.

DNR Capital

DNR Capital is an independent Australian investment management company that delivers client-focused, quality, investment solutions to institutions, advisers and individual investors.

Founded in 2001, DNR Capital specialises in the delivery of individually and separately managed accounts in the Australian market and aims to deliver investment out-performance to investors.

DNR Capital is a signatory to the Principles for Responsible Investment (‘PRI’).

16

InvestSense Pty Ltd

InvestSense Pty Ltd is a portfolio construction and consulting firm based in Sydney that specialises in managing and advising on multi-asset portfolios.

InvestSense aims to improve investment outcomes for clients by providing a robust, transparent process centred on a valuation based framework. InvestSense aims to empower clients by:

• Providing an informed view of prospective returns from different asset classes, funds and securities

• Clearly communicating portfolio positioning to clients

• Implementing portfolios in a way that facilitates an agile investment process

• Helping clients make better long-term decisions

BlackRock is a premier provider of asset management, risk management, and advisory services to institutional, intermediary, and individual clients worldwide. As of 31 March 2015, the firm manages US$4.77 trillion across asset classes in separate accounts, mutual funds, other pooled investment vehicles, and the industry-leading iShares® exchange-traded funds.

Through BlackRock Solutions®, the firm offers risk management and advisory services that combine capital markets expertise with proprietarily-developed analytics, systems, and technology. Through BlackRock Solutions, the Firm provides risk management and enterprise investment services for over 200 clients.

BlackRock serves clients in North and South America, Europe, Asia, Australia, Africa, and the Middle East. Headquartered in New York, the firm maintains offices in over 30 countries around the world.

Vested Equities Pty Ltd

Vested Equities is an independent full service advisory firm specializing in portfolio management and enhancement strategies. Vested aims to provide a robust investment framework built on proven asset allocation models, cutting edge technology, strong macro and niche research, and long term client relationships.

Kingfisher Capital Partners

Colonial Nominees Proprietary Limited [Excelsior Discretionary Trust] trading as Kingfisher Capital Partners is a specialist investment advisory firm based in Melbourne, Australia. Kingfisher are value investors. Their stock picking is based on fundamental analysis of individual companies with a bias toward industrial companies.

Real Wealth Pty Ltd

Real Wealth believes everyone has the right to retire at an age when they can enjoy it. We are dedicated to this belief and design dedicated services centred on helping everyone achieve their retirement goals.

17

M Capital

M Capital is a boutique investment manager owned and operated by its principal with experience in equities investments since 2003 and with running Model Portfolios since 2012. The manager’s proprietary investment process combines macro analysis and bottom up stock selection to develop conviction, style-agnostic, risk-adjusted portfolios for SMSFs, individuals, families and charitable entities.

The manager runs various Australian equity strategies including; the M Capital Emerging Leaders Equities Portfolio (Australian Small and Mid-Cap equities) and the M Capital Ethical Equities Income Portfolio (Australian Larger-Cap income equities with an Ethical investment, Environmental, Social and Governance (ESG) screening overlay).

The manager invests their own capital alongside clients’ and actively contributes to philanthropic endeavours by donating a percentage of gross management fees from the M Capital Ethical Equities Income Portfolio to charity.

Canaccord Genuity Wealth Management

Canaccord Genuity Wealth Management is a division of Canaccord Genuity Group, a leading, independent, publicly listed (TSX: CF, LSE: CF), full-service financial firm. Our wealth management business meets investors’ individual needs by leveraging our global operations network for investment opportunities. This enables us to deliver long-term investment strategies, as well as informed, near term solutions that make a difference locally to wealth management clients in Canada, Australia, the U.K, and Europe.

Our investment team has a strong, long-standing, proven track record in equity investments, with special focus on Australian, UK, US, NZ listed equities. Clients understand our investment approach and portfolio construction methodologies because they are transparent

Shaw and Partners Limited

Shaw and Partners is one of Australia’s preeminent investment and wealth management firms. With a national presence and approximately $10 billion of assets under advice, Shaw and Partners offers the intimacy of a boutique investment firm with the resources and scale of a major financial group.

We are privately owned and client focused, having helped our clients manage and grow their financial assets for over 25 years. Our emphasis on integrity and high compliance standards has enabled us to achieve very high levels of client satisfaction, while unlocking opportunities of significant value.

Backed by fresh thinking, robust research and the nation’s best investment and wealth experts, our business has been designed to meet the growing needs of our clients. Shaw and Partners offers access to an extensive team of private client advisers, institutional sales and trading specialists, market leading research analysts and strategic corporate financiers.

By working closely with clients and targeting their needs, we have forged strong long-term relationships. So, whether you are an ordinary investor, high net worth individual, charity, institution or corporate, our goal is simple: to listen to you, then act according to your needs alone.

We welcome you to Shaw and Partners. Your partners in building and preserving wealth.

OKIS Wealth Pty Ltd

OKIS Wealth is a private wealth management company specialising in investment portfolio management for self-managed superannuation funds and private funds.

18

Bennelong Funds Management Ltd

Established in 2001, Bennelong Funds Management is a boutique funds management business. It currently has investment management capabilities in Australian equities, global equities, Australian long short and property.

Bennelong Funds Management is a wholly owned subsidiary of the Bennelong Group, a privately owned funds management and private equity business. While the Group owns and manages significant business globally, it also measures its success through contributing to positive and lasting change in the wider community via the Bennelong Foundation.

Pritchard & Partners Pty Limited

Pritchard & Partners Pty Limited is a specialised stockbroking and financial advice firm which was established in 1996 by Rees Pritchard Pty Limited, a firm of Certified Practising Accountants, which has been operating since 1951.

Pritchard & Partners provides clients with quality advice, and helps each client to achieve the outcomes that they would like from their portfolio. When managing a client’s portfolio, we look to build wealth over the longer term rather than engage in short term speculation. We do this by focusing on companies that have;

• quality businesses;

• sound management;

• conservative levels of borrowings; and

• those whose earnings are expected to grow over time.

We look to develop portfolios that are diversified across different sectors of the market as well as provide advice on individual investments.

UBS Global Asset Management (Australia) Ltd

UBS Global Asset Management (Australia) Ltd, a business division of UBS, is one of the world’s leading asset managers, providing traditional, alternative, real estate, infrastructure and private equity investment solutions to their private clients, financial intermediaries and institutional investors worldwide. Their aim is to deliver consistent, long-term investment results to their clients from distinctive and innovative products and services.

UBS Global Asset Management is one of the largest asset managers in the world. With around 3,700 employees located in 26 countries, they are a truly global firm. They combine financial strength with a reputation for security, stability and innovation.

Ralton Asset Management Limited Boutique Management

Ralton Asset Management Limited (“Ralton”) is a specialist boutique investment manager, majority owned by its investment and executive team. Ralton specialises in the active management of Australian share portfolios and currently manages portfolios on behalf of a wide range of investors, including charitable trusts, corporations, superannuation funds, family trusts and individuals.

Ralton is a highly focused investment management business free of any institutional biases, with a clear investment philosophy and a robust investment process. Ralton executives are all highly experienced and passionate investment professionals who are personally invested in the business and firmly committed to its long term success.

19

Newport Private Wealth

Newport Private Wealth is an Australian based investment manager with a global focus.

Our 20 years of experience investing in Asia and Australia provides us with unique insights into investment opportunities globally & in the Asia Pacific region. This knowledge and expertise is applied to deliver superior returns to our clients’ portfolios. The key members of our management team have a combined experience of more than 50 years in all areas of the international financial markets, including the foreign exchange market where our co-founder Andrew McKay has been actively involved with since 1987. As our investment and trading strategies are developed in house, we are able to provide flexible and innovative solutions tailored to the exact investment requirements of our clients.

Navin Asset Management Pty Limited

Navin Asset Management Pty Limited (ABN 13 109 882 831) is an investment manager providing a professional portfolio management service specialising in the Australian share market.

Navin approaches the Australian share market with a 3 to 5 year time frame. Portfolios are well diversified across various industries and they regard stock selection as critical to investment success.

They have a clear objective of providing investment returns in excess of the index, with their track record showing that they clearly and consistently achieve this aim.

Navin Asset Management has developed 3 portfolios focusing on growth and income to suit clients’ individual investment requirements.

Ballieu Holst Ltd

Baillieu Holst Ltd, through its business division of SPS Managed Portfolios, is an independently owned firm that has been servicing clients since 1889. It has developed a reputation as one of Australia’s oldest and most respected financial service providers.

Our offices are located in Melbourne, Sydney, Bendigo, Geelong, Newcastle and Perth, while we have affiliations in Europe, Asia and North America. We have more than 85 advisers across our institutional sales, retail broking and wealth management departments.

We have a strong two-tiered research capability. Our in-house coverage of more than 120 companies in the ASX 101-300 and target growth companies outside the ASX 300 is enhanced by top 100 coverage as well as global economic and strategy views through support from our partner Credit Suisse.

Baillieu Holst Ltd is a participating organisation of ASX Group, Chi-X Australia and NSX Ltd.

JBWere

JBWere is a pre-eminent financial services organisation that provides a wide range of advisory and wealth management services to a substantial and diversified client base. We seek to be the adviser of choice for our clients throughout Australasia and, through our vast financial networks, provide leading capabilities that extend to financial markets globally. JBWere has unparalleled knowledge and experience in Australasian markets and far-reaching capabilities that extend into global markets. JBWere provides extensive services, across every major asset class, to many private clients throughout Australia and New Zealand. The principles of integrity and dedicated client service, astute market knowledge and a commitment to excellence are ingrained in the firm’s culture. These values, combined with quality research and investment products, make JBWere a trusted partner for many investors.

20

Urquhart Sexton Financial Planning Pty Ltd

Urquhart Sexton Financial Planning Pty Ltd (ABN: 95 119 848 672, AFSL: 303051) is a specialist boutique financial planning business. We use the investment advice services of Brian Nash, a well-respected investment and asset consultant of Merlea Investments Pty Ltd, South Australia.

Our business has been servicing clients in the Riverina of NSW for over 30 years. Obtaining our own Australian Financial Services Licence in 2006, we are not aligned with any financial product institution and pride ourselves on the quality of advice provided.

Urquhart Sexton Financial Planning Pty Ltd has designed the portfolio to enhance the likelihood of clients achieving their agreed investment objectives and lifestyle goals with the least amount of investment risk.

Mutual Limited

Mutual is an independently owned investment manager and adviser with total FUM and funds under advice at 31 March 2013 exceeding $1.5 billion.

Mutual specialises in managing and advising on funds for clients that are prudentially supervised, are conservative or who operate subject to regulated investment regimes. We aim to be totally transparent, enunciating our strategies and measuring them. We strive to be proactive and are constantly reviewing the investment process for Improvements.

Mutual specialises in analysing and evaluating relative value in fixed interest and deposit products, focusing on government and bank balance sheet investments. Our Investment Specialists, comprising Mutual’s Investment Team, Board of Directors, and Investment Review Committee are professionals with long-standing experience in funds management and investment management and advice.

Burrell Stockbroking and Superannuation

Burrell Stockbroking Pty Ltd [ABN: 82 088 958 481, AFSL: 247431] remains one of the last privately held broking firms in the country. Established in 1937, Burrell is proud to have achieved 79 years in the business. This longevity stems from the personal attention, expert advice and wealth of experience we continue to bring our clients.

A proud privately-owned Queensland business, we’ve grown to over 50 staff with offices in Brisbane, Bundaberg, Emerald, Ipswich, Maroochydore, Southport, and Tasmania. From this base, we visit regional centres and work with clients around Australia. Burrell is not owned by a bank or other financial institution and we are independent of product providers.

We offer a level of personal service that many bigger commercial firms are unable to match. Our trading, broking, research and inhouse stock clearing and settlement teams are close enough that we can afford to interact with our clients as individuals on a first name basis rather than as account numbers. We’re proud to attest that we know our clients and our clients know us.

As well as a dedicated inhouse research team, Burrell has alliances with major Australian research houses and broking firms which provide access to a national network of research compiled by renowned analysts and experts. Access to these networks gives Burrells a platform to provide exceptional portfolio and fund management services.

Our investment philosophy is to focus on long term growth not short term gains, and we like to measure returns. The portfolios Burrell manages are designed to build wealth over time. Our experience, independence, expert managers and personal service is what makes Burrell’s different and able to continually achieve the desired results of our clients.

Perpetual Investment Management Limited

Perpetual Investments is one of Australia’s leading investment managers, with $24.3 billion in funds under management (as at 31 December 2012). Perpetual Investments is part of the Perpetual Group, which has been in operation for 125 years. By employing some of the industry’s best investment specialists and applying a proven investment philosophy, Perpetual Investments has been able to help generations of Australians manage their wealth.

21

Australian Corporate Bond Company

Australian Corporate Bond Company was established to develop the investment opportunity represented by the Exchange Traded Bond units (“XTBs) over corporate bonds (the “Underlying Bonds”). Australian Corporate Bond Company’s directors and executives have a broad range of skills and experience in investment banking, broking, trading, funds management, investment product manufacture and exchange operations.

Australian Corporate Bond Company advises the Responsible Entity on the selection of bonds based on Australian Corporate Bond Company’s knowledge of the Underlying Bonds available in the wholesale market and discussions about the suitability of particular bonds for investors with banks, brokers and other advisory firms.

Australian Corporate Bond Company is responsible for growing the market in XTBs and providing the necessary education and marketing of XTBs to stock brokers, advisers and end investors.

Australian Corporate Bond Company also ensures there is operational integrity in the day-to-day operations and processes of the Trust and the XTBs and the interactions between the Market Maker, Authorised Participants, the Custodian, the Responsible Entity, the Registrar, ASX and ASIC.

Australian Corporate Bond Company provides XTB model portfolios and XTB portfolios for separately managed accounts to access the returns of senior corporate bonds in the form of XTBs.

Macquarie Investment Management

Macquarie Investment Management attract teams globally with specialised asset management expertise and strong investment convictions that are dedicated to client performance and opportunity.

With more than $350 billion under management,* we are Australia’s largest global asset manager and offer both Macquarie strategies and those managed by other outstanding investment managers through the Macquarie Professional Series. We are committed to delivering insights and perspectives to investors from global investment experts.

*As at 31 July 2016

Peak Investment Partners Pty Ltd

Peak was established in 2003 to provide individually managed portfolio account services to high net worth families, DIY super investors and not for profit organizations. Peak acquired Navin Asset Management in 2012.

As at September 2016, the Peak group manages over 300 individual portfolios between circa 250 families with total funds under management of over $400m.

22

Model Portfolio Profile: AC0001AAN Core

Investment objective: The core portfolio has an objective to achieve capital growth through investing in a diversified portfolio of growth and income assets classes. The aim is a core portfolio that has an emphasis on growth.

Model Portfolio manager

Australian Advice Network

Designed for investors who...

The core portfolio is designed to be the total holding for a client in superannuation or investment that is looking for a balanced approach with exposure to a blend of passive and active investment styles.

� For clients in Pension phase the core model can be combined with cash, term deposits or other income producing investments that will provide capital security over the short to medium term.

� It is recommended at least 3 years of income needs be set aside by any clients in pension phase or that may have short term income or capital needs. This specific asset allocation advice should be taken individually by a relevantly qualified professional.

Investment strategy and approach

The core portfolio has a tactical asset allocation of 65% growth assets and 35% defensive assets. This is a strategy long term approach to asset allocation. This type of allocation should be for a minimum of a 5 year timeframe. Clients concerned about short term loss of capital should not invest into growth assets.

The AAN Core Model will over time reweight to its strategic benchmark. This allows profits in sectors that have outperformed to be reallocated across the portfolio. Historically, all sectors go through periods of underperformance and reweighting has been shown to reduce risk and volatility as well as enhancing return.

The model seeks to use active management where it can identify an investment that has shown a period of outperformance over a low cost benchmark alternative. Where this cannot be identified the model will seek to use a low cost index based option.

Benchmark index

The core portfolio is seeking to outperform the Vanguard Balanced fund return over the business cycle.

Indicative number of stocks

Unlimited

Minimum model investment

$5,000

Fees

Investment Fee 0.50% p.a. Performance Fee Nil

Asset allocation ranges (%)Minimum Maximum

Australian Equities 0 45

Global Equities 0 45

A-REIT 0 20

Alternatives 0 30

Australian Fixed Income 0 30

Global Fixed Income 0 30

Cash 0 55

Other 0 25

23

Model Portfolio Profile: AC0002AAN Growth

Investment objective: The growth portfolio has an objective to achieve capital growth through investing in a diversified portfolio of growth and income assets classes.




The growth portfolio is designed to be the total holding for a client in superannuation or investment that is looking for a multi asset growth approach with exposure to a blend of passive and active investment styles.

� For clients in Pension phase the growth model can be combined with cash, term deposits or other income producing investments that will provide capital security over the short to medium term.



The growth portfolio has a tactical asset allocation of 90% growth assets and 10% defensive assets. This is a long term approach to asset allocation. This type of allocation should be used by investors with a minimum of a 7 year timeframe. Investors concerned about short term loss of capital should not invest into growth assets.

The AAN Growth Model will reweight to its strategic benchmark at least quarterly. This allows profits in sectors that have outperformed to be reallocated across the portfolio. Historically, all sectors go through periods of underperformance - reweighting has been shown to reduce risk and volatility as well as enhancing return.

The model seeks to use active management where it can identify an investment manager that has shown a period of outperformance over a low cost benchmark alternative. Where this cannot be identified the model will seek to use a low cost index based option.

Benchmark index

The growth portfolio is seeking to outperform the Vanguard Growth fund return over the business cycle.


Unlimited


$5,000

Fees





A-REIT 0 20

Alternatives 0 30



Cash 0 55

Other 0 25

24

Model Portfolio Profile: AC0003AAN Australian

Investment objective: The Australian Model Portfolio has an objective to achieve capital growth through investing in a diversified portfolio of Australian shares and ETFs.




The portfolio is designed to for clients looking for an active overlay by professional managers investing into Australian equities that will use direct investment exposure and ETF investment options.


The AAN Australian model has a tactical asset of active and passive investment styles. It is an Australian only investment allocation. This is a long term approach to asset allocation. This type of allocation should be used by investors with a minimum of a 7 year timeframe. Investors concerned about short term loss of capital should not invest into growth assets.

The AAN Australian Model will reweight to its strategic benchmark at least quarterly. This allows profits in sectors that have outperformed to be reallocated across the portfolio. Historically, all sectors go through periods of underperformance - reweighting has been shown to reduce risk and volatility as well as enhancing return.

Benchmark index

The AAN Australian model portfolio is seeking to outperform the S&P/ASX 300 Accum over the business cycle.


Up to 50 stocks


$10,000

Fees




A-REIT 0 20

Alternatives 0 20

Cash 0 60

25

Model Portfolio Profile: AC0004AAN Index Core

Investment objective: The AAN Index Core portfolio has an objective to achieve capital growth through investing in a diversified portfolio of growth and income assets classes.




The portfolio is designed to for clients looking for an active overlay by professional managers investing into Australian equities that will use direct investment exposure and ETF investment options.

� For clients in Pension phase the AAN Index Core model can be combined with cash, term deposits or other income producing investments that will provide reduce capital volatility over the short to medium term.



The AAN Index Core model has a tactical asset allocation of 65% growth assets and 35% defensive assets. This is a long term approach to asset allocation. This type of allocation should be used by investors with a minimum of a 5 year timeframe. Investors concerned about short term loss of capital should not invest into growth assets.

The AAN Index Core Model will reweight to its strategic benchmark at least quarterly. This allows profits in sectors that have outperformed to be reallocated across the portfolio. Historically, all sectors go through periods of underperformance - reweighting has been shown to reduce risk and volatility as well as enhancing return.

The model seeks to use low cost Index based Vanguard investment options. If Vanguard do not have an index option the model can look for an alternate index based approach.

Benchmark index

The AAN Index Core portfolio is seeking to outperform the Vanguard Balanced fund return over the business cycle.


Up to 25 stocks


$10,000

Fees





A-REIT 0 20

Alternatives 0 30



Cash 0 55

Other 0 25

26

Model Portfolio Profile: AB0001ACBC Yield Plus

Investment objective: The ACBC Yield Plus Model Portfolio will invest in individual Investment Grade Corporate Bonds through XTBs on ASX

The portfolio manager will implement and manage the portfolio

via an Interest Rate Management Committee. The model

portfolio will aim to provide:

• A regular and predictable income stream

• A capital preservation focus and low levels of price

volatility

• An absolute return that is above returns on term

deposits

• Liquidity, to ensure investment flexibility


Australian Corporate Bond Company (ACBC)

Designed for investors who..

investors and SMSFs seeking

� A fixed income portfolio using individual securities available on ASX

� A transparent and capital-stable fixed income model portfolio that offers a regular and predictable income stream

� An investment risk profile less than equities and hybrids, and a higher return than ‘cash-like’ investments


To ensure the best opportunity to meet the model portfolio’s objectives, ACBC selects a portfolio of XTBs using a 2-stage quantitative process, with a qualitative overlay.

Quantitative process

Stage 1: Selection

Define the investment universe of securities using the following criteria:

• Rank from highest yield to maturity

• Investment grade credit only

• Weighting parameters (issuer, security, sector1

• Available liquidity1 As defined by GICS Sub Industry

Benchmark index

RBA Cash Rate


8-15


$10,000

Fees


Asset allocation ranges (%)

Minimum Maximum

Fixed Income 85 100

Cash 0 15

Stage 2: Application

Apply a set of rules to select an optimal Yield Plus model portfolio.

Qualitative overlay

Adjustments may be made to the portfolio. These adjustments may be made to reflect market conditions, despite the rules being satisfied.

The general approach is to hold securities to maturity. However, model portfolio changes may be made in response to:

• An increase in the yield to maturity, by adding securities

• An increase in the universe of available securities

• Improvement to the portfolio, by switching securities

27

Model Portfolio Profile: VE0001AltaVista Leaders

Investment objective: The objective of the AltaVista Leaders Model Portfolio is to outperform its benchmark, the S&P/ASX 100 Accumulation Index, over rolling 3-year periods.




� Seek to benefit from investing in large capitalisation Australian shares over at least 3 to 5 years;

� Accept the risk of price fluctuations; and

� Prefer lower portfolio turnover (approximately 30% per year) for tax-effective performance.


AltaVista employs a staged process to evaluate and rank each company in the S&P/ASX 300 Accumulation Index.

Stocks in the Model Portfolio are selected according to valuation attributes with diversification managed in terms of style, sector and size considerations. It is anticipated that the turnover rate of this Model Portfolio will be low, at around 30% per year.

Benchmark index

S&P/ASX 100 Accumulation Index


15 – 30


No fixed minimum

Fees

Investment Fee 0.33% p.a. Performance Fee 11.00%*

The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX 100 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 7

*Performance Fee is only paid when absolute return is positive.

28

Model Portfolio Profile: VE0002AltaVista Income

Investment objective: The objective of the AltaVista Model Portfolio is to perform at least 4% above the RBA cash rate after costs, over rolling 3-year periods.




� Seek an income stream from investing in the Australian equity market (excluding property trusts) over at least 3 to 5 years;





The Model Portfolio is comprised of a selection of Australian listed stocks chosen on the basis of effective dividend yield and valuation considerations. The Model Portfolio is expected to provide reasonable capital growth over time. It is anticipated that the turnover rate of this Model Portfolio will be low, at around 30% per year.

Benchmark index

The RBA cash rate, plus 4% after costs, is used as a benchmark for performance purposes.


15 – 30


No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark of a return at least 4% above the RBA cash rate after costs. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 10


29

Model Portfolio Profile: VE0003AltaVista Small Companies

Investment objective: The objective of the AltaVista Small Companies Model Portfolio is to outperform its benchmark, the S&P/ASX Small Ordinaries Accumulation Index, over rolling 3-year periods.




� Seek to benefit from investing in small capitalisation Australian shares over at least 3 to 5 years; and

� Accept the risk of price fluctuations.


AltaVista employs a staged process to evaluate and rank each company in the S&P/ASX 300 Accumulation Index:

The Model Portfolio invests in stocks within the S&P/ASX Small Ordinaries Accumulation Index. Within this universe, the Model Portfolio is not managed in terms of market capitalisation or correlation to the benchmark. Rather, it seeks stock specific returns.

Benchmark index

S&P/ASX Small Ordinaries Accumulation Index


15 – 35


No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX Small Ordinaries Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 7


30

Model Portfolio Profile: VE0004AltaVista Ethical

Investment objective: The objective of the AltaVista Ethical Model Portfolio is to outperform its benchmark, the S&P/ASX 300 Industrials Accumulation Index, over rolling 3-year periods.




� Seek to benefit from investing in primarily large capitalisation Australian shares in an ethical manner over at least 3 to 5 years;





The Model Portfolio’s universe of eligible companies has:

� No direct involvement in gaming, tobacco, weapons or uranium mining

� An environment rating of 3 or better (as rated by CAER)

� A social and governance rating of 2 or better (as rated by CAER).

CAER’s process in developing an ethical universe gathers a wide range of information (dated from 1st July 1999 to the last day of each month) to gain a perspective on the environmental impact, social engagement and corporate governance of each company.

Information sources can be summarised as:

� Details on the environmental and social impact of its products and services

� Company reports on its contribution to the environment or society

� Reports from third party sources (such as regulators, non government organisations and reputable commentators) on its impact on the environment, contribution to society or corporate governance practice

CAER’s rating descriptions

Environment rating

� Environmental impact of products and services – uranium, logging, mining, greenhouse gas, plastics, packaging, recycling, genetically modified food and energy

� Environmental reporting

� Environmental management

� Penalties for environmental compliance

� Environment awards

� Pollution levels

Social rating

� Community relations and philanthropy

� Human rights

� Indigenous issues

� Involvement in weapons and defense equipment

� Products associated with ethical social concerns – alcohol, tobacco, and gaming

� Labour standards – employment practices and policies, record for employee discrimination, equal opportunity in the workplace, occupational health and safety, and employment disputes.

Governance rating

� Legal compliance – corporate governance, trade practices, fair trading

� Instances of organised shareholder activism, or complaints on behalf of shareholders concerning ethical business conduct and corporate governance behaviour

� Governance awards

� CEO and Senior Executive Remuneration

� Non-Executive Director and Chairman’s remuneration

� Auditor’s remuneration for services other than auditing

� Board committee structures and independence

� Concentrated shareholdings

31

Benchmark index

S&P/ASX 300 Industrials Accumulation Index


15 – 30

Minimum Model Investment

No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX 300 Industrials Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 7


A rating of score 1 to 5 is determined for each of the 3 ratings criteria. The ratings process rewards companies that demonstrate a range of actions that overcome any inherent negative environmental or social impacts of their products and services. It also rewards companies whose activities have an inherently positive environmental impact or social purpose.

CAER also takes account of each company’s industry sector and the environmental impact of that industry as well as some adjustment for the size, lower profitability and shorter history of smaller companies.

The list of companies that comply with the Ethical Model Strategy’s ratings criteria is updated each quarter. If a company no longer qualifies under those criteria then it will be removed from the AltaVista Ethical Model Portfolio.

CAER’s Sustainability Dividend Index (SDI)

Additionally, CAER tests the overall ethical merit of the model strategy developed by AltaVista with the Sustainability Dividend Index (SDI). This measures the ethical merit of a share portfolio based on the environment, social and governance ratings of the invested companies.

The first step in determining the SDI score is to calculate the weighted average CAER Socially Responsible Index (SRI) Ratings for environment, social and governance of the entire portfolio company holdings.

This number ranges from 1 to 5. The model strategy sustainability score (SDI) combines a weightage of 45% for environment, 30% for social and 25% for governance. Labour Standards issues form approximately one third of the social rating score. The SDI is shown as a score between 0 and 100. Zero equals the SDI of a notional portfolio of the 20 S&P/ASX 200 stocks with the worst SRI Company Ratings. A score of 100 equals the SDI of 20 S&P/ASX 200 stocks with the best ratings.

32

Model Portfolio Profile: AV0001AltaVista SAA Australian Equities ETF Model

Investment objective: The Portfolio’s investment objective is to provide a well- diversified “Total Market” investment exposure across the Australian Equities asset class.

The Portfolio only invests in Exchange Traded Funds listed

on the Australian Stock Exchange to deliver a low cost ‘core’

component for investors seeking broad exposure to Australia

Equities over the long term.

The Portfolio aims to provide investors with a portfolio that is

superior in terms of ‘investment merit’ when compared to the

funds benchmark. AltaVista’s proprietary research is used to

ensure this objective is actively maintained.




wish to hold an ETF portfolio that has superior investment merit and characteristics than the benchmark. This makes the Portfolio suitable for those investors who seek a core Australian Equities portfolio exposure that is superior to the benchmark over the long term.


The AltaVista SAA Australian Equities ETF Model Portfolio is an Australian equities portfolio consisting of ASX-listed exchange traded funds, selected using AltaVista’s fundamentally-driven and forward-looking ETF analysis.

In constructing the portfolio we specifically observe a number of investment characteristics within the portfolio. These characteristics include:

1. Strength of investment case – as defined by the ALTAR Score™

2. Sector diversification and weightings bias

3. Overall portfolio costs

4. Expected Yield profile P/E, P/BV and other fundamental investment criteria as defined by our research.

In achieving the Portfolio’s objective we may take active positions where we believe that the investment fundamentals warrant it. These active decisions to invest in sector or strategy based ETFs are taken to add value to the portfolio and in line with the portfolio investment objectives and asset allocation considerations.

AltaVista take a different approach to ETF research by applying the traditional tools of security analysis to each underlying constituent, aggregating results up to the fund level. For every ETF under research coverage, AltaVista calculates an AltaVista Long Term Annual Return forecast, or ALTAR ScoreTM. These scores are then separated into five tiers: buy, add, hold, reduce and sell and are independent of each other’s ranking.

The ALTAR Score™ relates overall profitability of stocks in a fund to their valuations, using the well-established relationship between return on equity and price to book value multiples, itself a derivation of the dividend discount model, one of the earliest and most basic approaches to equity valuation.

Given the transparency of the underlying investments, the AltaVista research process readily manages and reviews the portfolio, ensuring compliance to these guidelines. The re-balancing process reviews these guidelines on a periodic basis ensuring turnover is low.

Analyst judgment may be a secondary factor, particularly in the avoidance of areas that may be too risky, even though valuations suggest they may represent an opportunistic investment.

Benchmark index

S&P/ASX All Ordinaries Index


The portfolio will typically invest in 3 or 4 ETFs, with the potential to invest in up to 6 ETFs to allow for greater investment flexibility and diversification should the portfolio’s investment strategy require.


No fixed minimum

Fees




Cash 0 5

33

Model Portfolio Profile: AV0002AltaVista SAA Global ex-Australian Equities ETF Model

Investment objective: The Portfolio’s investment objective is to track the performance of the Portfolio’s nominated Index before fees. From a portfolio construction perspective, the portfolio aims to provide investors with well-diversified and cost-effective underlying exposure to Global ex-Australia Equities asset class.

The Portfolio only invests in Exchange Traded Funds listed on

the Australian Stock Exchange to provide investors with broad

exposure to Global Equities (excluding Australian exposure) over

the long term.








The Portfolio’s objective is to deliver an ETF portfolio that has superior investment merit and characteristics than the benchmark. This makes the Portfolio suitable for those investors who seek a core Global Equities (ex-Australia) portfolio exposure that is superior to the benchmark over the long term.


The AltaVista SAA Global ex-Australian Equities ETF Model Portfolio is a Global equities portfolio consisting of ASX- listed exchange traded funds, selected using AltaVista’s fundamentally-driven and forward-looking ETF analysis.











Benchmark index

MSCI All Country World Index (MXWD)


The portfolio will typically invest in 6 ETFs, with the potential to invest in up to 8 ETFs to allow for greater investment flexibility and diversification should the portfolio’s investment strategy require.


No fixed minimum

Fees



Global Equities (ex-Australian) 95 100

Cash 0 5

34

Model Portfolio Profile: AV0003AltaVista SAA Global Income ETF Model

Investment objective: The Portfolio’s investment objective is to provide an enhanced yield outcome when compared to the Portfolio’s nominated Index before fees. The Portfolio aims to provide an enhanced income outcome at the same time as maintaining a well-diversified global equities portfolio over the long term.

The Portfolio only invests in Exchange Traded Funds listed on

the Australian Stock Exchange.








As investment products, ETFs deliver a number of benefits to investors. These include: low cost, immediate diversification, investment transparency, tax efficiencies, implementation simplicity and liquidity.


The AltaVista SAA Global Income ETF Model Portfolio is a Global equities portfolio that focuses on the delivery of income from high-yielding markets. It consists of ASX-listed exchange traded funds, selected using AltaVista’s fundamentally-driven and forward-looking ETF analysis.











Benchmark index

MSCI All Country World Index (MXWD)


The portfolio will typically invest in 6 ETFs, with the potential to invest in up to 8 ETFs to allow for greater investment flexibility and diversification should the portfolio’s investment strategy require.


No fixed minimum

Fees



Global & Australian Equities 95 100

Cash 0 5

35

Model Portfolio Profile: AV0004AltaVista Australian Active Yield Portfolio

Investment objective: The Portfolio’s objective is to provide a high level of income and long term capital growth by investing across a range of high quality Australian shares.




The Portfolio’s objective is to deliver higher levels of franked income through an active trading strategy and above inflation rates of growth. As such this Portfolio is primarily designed for retirees or lower tax paying investors who are seeking:

� An income stream derived from ownership in blue-chip Australian shares;

� Can take advantage of franking credit rebates; and

� Desire protection against the effects of inflation through long term capital growth (5-7 years).


The AltaVista Australian Active Yield model is largely comprised of blue-chip, S&P/ASX50 listed Australian companies. Using a ‘fair value’ approach the model seeks to take advantage of quality companies whose share prices are trading below their intrinsic value due to short term trading patterns or general market sentiment. On this basis active positions will be taken with a view to achieving a combination of capital growth through share price appreciation as well shorter term opportunities to increase the aggregate level of income and franking credits generated by the portfolio.

Benchmark index



10-35


$5,000

Fees




Cash 0 10

36

Model Portfolio Profile: AV0005AltaVista Balanced Income Portfolio

Investment objective: The Portfolio’s objective is to provide a diversified exposure to income and growth assets with a focus on blue-chip Australian shares.




The Portfolio’s objective is to deliver income and long term capital growth through a diversified exposure to growth and defensive classes with an emphasis on Australian equities, in particular higher yielding blue-chip companies. As such this Portfolio is primarily designed for retirees or lower tax paying investors who are seeking:

� A diversified portfolio with around 30% held in defensive, fixed interest style investments;

� An income stream supported by direct ownership in blue-chip Australian shares;

� Can take advantage of franking credit rebates; and

� Desire protection against the effects of inflation through long term capital growth (5-7 years).


The AltaVista Balanced Income model is broadly aims for a 70% allocation to growth assets with a focus on higher yielding Australian equities and a 30% allocation to defensive assets such as fixed interest.

The Australian equities portion of the model (broadly 50%) is largely comprised of blue-chip, S&P/ASX50 listed Australian companies. Using a ‘fair value’ approach the model seeks to take advantage of quality companies whose share prices are trading below their intrinsic value due to short term trading patterns or general market sentiment. On this basis active positions will be taken with a view to achieving a combination of capital growth through share price appreciation as well shorter term opportunities to increase the aggregate level of income and franking credits generated by the portfolio.

Exposure to International equities will be allocated on a tactical basis so as to maximise the potential for long term capital gains whilst limiting the potential for regional or currency specific risks.

Benchmark index



10-47


$10,000

Fees



Fixed Interest 5 30

Property 0 20


International Equities 10 30

Defensive Alternatives 0 20

Growth Alternatives 0 20

Cash 0 10

37

Model Portfolio Profile: AA0001Arnhem Australian Equity

Investment objective: The objective of the Arnhem Australian Equity Model Portfolio is to provide capital appreciation and out performance of the S&P/ASX 200 Accumulation Index by 2 to 3% per annum, over the medium term (3 years) through investment in shares listed in Australia.


Arnhem Investment Management Pty Ltd (Arnhem)


� Seek an Australian share portfolio that provides exposure to a combination of large, mid and some smaller capitalisation stocks; and

� Accept the risk of significant price fluctuations.


The investment style of the Arnhem Australian Equity Model Portfolio can be characterised as having a centre-down or industry approach, a growth bias and a focus on company and industry fundamentals. The Arnhem Australian Equity Model Portfolio will hold 30 to 40 stocks. Cash positions are targeted to be as small as practically possible and are typically less than 2%. The Model Portfolio seeks to be fully invested.

The industry approach to investment is based on the understanding that superior long term equity performance is driven by above-average, sustainable earnings growth. Industry structure and the company’s relative position within that industry are critical determinants of that performance.

The strategy therefore revolves around identifying companies that have strong or leading positions in structurally attractive, growing industries. Valuation is also taken into account.

Benchmark index



30-40


No fixed minimum

Fees


Asset allocation ranges (%)Minimum Neutral Maximum

Australian Equities 95 100 100

Cash 0 0 5

38

Model Portfolio Profile: AI0001AssureInvest Multi-Asset Portfolio - Moderate Growth

Investment objective: To provide growth in capital value over time through a focus on the best global multi-asset opportunities. The portfolio aims to outperform the benchmark over a multi-year timeframe.




Investors suiting this strategy seek total returns comfortably in excess of inflation, but are willing to accept a lower return than otherwise given the possible need to access a stable income stream and wish to mitigate portfolio volatility through a reasonable weighting to income-style assets.


To achieve attractive long-term returns by investing in an appropriately-diversified, concentrated portfolio of attractively-valued global assets and outstanding businesses. AssureInvest actively manages across income-style assets like cash and fixed income and growth-style assets like Australian and international equities and property. To suit the financial goals and risk-tolerance of moderate-growth-type investors, the portfolio will typically be modestly tilted toward growth-style assets, but the weighting to asset classes will be altered at times to take advantage of transient opportunities to boost portfolio returns and minimise risks.

AssureInvest’s patient and disciplined approach with a steadfast commitment to our investment philosophy and structured investment process promotes the likelihood of successful outcomes while reducing the risk of permanent capital loss.

Benchmark index

40% S&P/ASX 200 Accumulation Index

10% S&P/ASX 300 A-REIT Accumulation Index

20% MSCI World ex Australia Index

15% Bloomberg AusBond Composite Index

15% 30day Bank Bill Swap Rate


15 - 50


No fixed minimum

Fees




Australian REITs 0 20

US Equities 5 25

European Equities 0 15

Japanese Equities 0 8

Australian Bonds 5 25

Australian Cash 5 25

39

Model Portfolio Profile: AI0002AssureInvest Multi-Asset Portfolio - High Growth

Investment objective: To provide high levels of growth in capital value over time through a focus on the best global multi-asset opportunities. The portfolio aims to outperform the benchmark over a multi-year timeframe.




Investors suiting this strategy seek total returns well in excess of inflation and are prepared to accept wide fluctuations in capital values.


To achieve attractive long-term returns by investing in an appropriately-diversified, concentrated portfolio of attractively-valued global assets and outstanding businesses. AssureInvest actively manages across income-style assets like cash and fixed income and growth-style assets like Australian and international equities and property. To suit the financial goals and risk-tolerance of high-growth-type investors, the portfolio will typically be strongly tilted toward growth-style assets, but the weighting to asset classes will be altered at times to take advantage of transient opportunities to boost portfolio returns and minimise risks.

AssureInvest’s patient and disciplined approach with a steadfast commitment to our investment philosophy and structured investment process promotes the likelihood of successful outcomes while reducing the risk of permanent capital loss.

Benchmark index

55% S&P/ASX 200 Accumulation Index

5% S&P/ASX 300 A-REIT Accumulation Index

25% MSCI World ex Australia Index

5% Bloomberg AusBond Composite Index

10% 30day Bank Bill Swap Rate


15 - 50


No fixed minimum

Fees




Australian REITs 0 10

US Equities 5 30

European Equities 0 15

Japanese Equities 0 8


Australian Cash 0 20

40

Model Portfolio Profile: AS0001Astute Diversified Income

Investment objective: To achieve a consistent level of income at or above prevailing cash levels and the potential for long term capital growth, by investing in a diversified portfolio that has an emphasis on income producing assets.




The Diversified Income Model Portfolio is designed for investors whose main objective is to generate consistent income with the potential for capital growth over the long term. They are prepared to accept a low to moderate risk of capital loss to achieve this objective.

Investment Strategy and Approach

An actively managed diversified portfolio of securities across both income oriented asset classes, such as cash and fixed interest securities, and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 60% income assets and 40% growth assets, however the allocations will be actively managed within the allowable ranges depending on market conditions.

Benchmark Index

CPI plus 2% p.a.


25 - 80


No Fixed Minimum

Fees



Australian Shares 0 40

Global Shares 0 40

Australian Property Shares 0 25

Global Property Shares 0 25

Global Infrastructure 0 25

Alternatives 0 20


Global Bonds (hedged) 0 40

Global Inflation linked (hedged) 0 20

Cash 0 80

41

Model Portfolio Profile: AS0002Astute Property

Investment objective: To achieve a mixture of capital growth and income by investing predominantly in a portfolio of ASX listed Australian Real Estate Investment Trusts.




The Property Model Portfolio is designed for investors whose main objective is to achieve capital and income growth through predominantly ASX listed Australian Real Estate Investment Trusts. They are prepared to accept a high risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of Australian REITs and property with a greater focus on Australian commercial property rental income and stronger balance sheet strength.

Benchmark Index

S&P/ASX 200 A-REITS Accumulation Index


2 - 15


No Fixed Minimum

Fees




Property Securities 90 100

Cash 0 10

42

Model Portfolio Profile: AS0003Astute Global Shares

Investment objective: To achieve capital growth by investing in a diversified portfolio of ASX-listed ETFs and Managed Funds based on portfolios of international equities.




The Global Shares Model Portfolio is designed for investors whose main objective is to achieve capital growth through international equities. They are prepared to accept a high risk of capital loss to achieve this objective.


This is an actively managed portfolio of ASX-listed ETFs and Managed Funds with global equities exposure.

Benchmark Index

MSCI ACWI Accumulation Index (Net Dividends Reinvested)


2 - 40


No Fixed Minimum

Fees



International Shares 90 100

Cash 0 10

43

Model Portfolio Profile: AS0004Astute Cash

Investment objective: To deliver a consistent income return, whilst preserving the underlying capital.




The Cash Model Portfolio is designed for investors whose main objective is to achieve consistent income return while preserving underlying capital. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is a defensive portfolio of quality cash and fixed income investments.

Benchmark Index

UBS Australia Bank Bill Index


1 - 20


No Fixed Minimum

Fees



Fixed Income Debt 0 90

Cash 10 100

44

Model Portfolio Profile: AS0005Astute High Growth Plus

Investment objective: To achieve capital growth through investing in a diversified portfolio of predominantly growth asset classes.




The High Growth Plus Model Portfolio is designed for investors whose main objective is to accumulate assets by targeting capital growth over the long term. They are prepared to accept a moderate to high risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of securities across both growth asset classes such as Australian equities, property and global securities; and income oriented asset classes, such as cash and fixed interest securities. In general, the portfolio’s long term average exposure will be around 95% growth assets and around 5% income assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark Index

CPI plus 5% p.a.


25 - 80


No Fixed Minimum

Fees




Global Shares 0 70




Alternatives 0 20



Global Inflation Linked 0 10

Cash 0 20

45

Model Portfolio Profile: AS0006Astute High Growth

Investment objective: To achieve capital growth through investing in a diversified portfolio of predominantly growth assets classes, with a small proportion of income asset classes.




The High Growth Model Portfolio is designed for investors whose main objective is to accumulate assets by targeting capital growth over the medium to long term. They are prepared to accept a medium to high risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of securities across: growth asset classes such as Australian equities, property and global securities; and income-oriented asset classes, such as cash and fixed-interest securities. In general, the portfolio’s long-term average exposure will be around 85% growth assets and around 15% income assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark Index

CPI plus 4.5% p.a.


25 - 80


No Fixed Minimum

Fees




Global Shares 0 65




Alternatives 0 25



Global Inflation Linked (hedged) 0 15

Cash 0 35

46

Model Portfolio Profile: AS0007Astute Growth

Investment objective: To achieve capital growth through investing in a diversified portfolio of growth and income asset classes, with an emphasis on growth asset classes.




The Growth Model Portfolio is designed for investors whose main objective is to achieve balanced returns to meet their medium to long term financial goals. They are prepared to accept a medium risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of securities across: growth asset classes such as Australian equities, property and global securities; and income-oriented asset classes, such as cash and fixed interest securities. In general, the portfolio’s long-term average exposure will be around 70% growth assets and around 30% income assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark Index

CPI plus 3.5% p.a.


25 - 80


No Fixed Minimum

Fees




Global Shares 0 60




Alternatives 0 25




Cash 0 45

47

Model Portfolio Profile: AS0008Astute Balanced

Investment objective: To achieve a moderate amount of capital growth along with a consistent income return, by investing in a diversified portfolio of growth and income assets.




The Balanced Model Portfolio is designed for investors whose main objective is to maintain stable returns. They are prepared to accept a low to medium risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of securities across: growth asset classes such as Australian equities, property and global securities; and income-oriented asset classes, such as cash and fixed interest securities. In general, the portfolio’s long term average exposure will be around 50% growth assets and around 50% income assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark Index

CPI plus 2.5% p.a.


25 - 80


No Fixed Minimum

Fees




Global Shares 0 45




Alternatives 0 25




Cash 0 55

48

Model Portfolio Profile: AS0009Astute Conservative

Investment objective: To achieve a consistent income return and a modest amount of capital growth, by investing in a diversified portfolio of income and growth asset classes, with an emphasis on income asset classes.




The Conservative Model Portfolio is designed for investors whose main objective is stability of income and capital protection. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is an actively managed diversified portfolio of securities across: income oriented asset classes, such as cash and fixed interest securities; and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 70% income assets and around 30% growth assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark Index

CPI plus 1% p.a.


25 - 80


No Fixed Minimum

Fees




Global Shares 0 30




Alternatives 0 25




Cash 10 70

49

Model Portfolio Profile: AS0010Astute Defensive

Investment objective: To achieve a consistent income return by investing in a diversified portfolio of predominantly income asset classes, with a small proportion of growth asset classes.




The Defensive Model Portfolio is designed for investors whose main objective is stability of income and capital protection. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is an actively managed diversified portfolio of securities across both income oriented asset classes, such as cash and fixed interest securities, and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 85% income assets and around 15% growth assets, however the allocations will be actively managed within the allowable ranges depending on market conditions.

Benchmark Index

CPI plus 0.75% p.a.


2 - 80


No Fixed Minimum

Fees




Global Shares 0 15




Alternatives 0 20




Cash 10 90

50

Model Portfolio Profile: AS0011Astute Australian Shares - Core

Investment objective: To outperform the S&P/ASX 200 Accumulation Index over a complete cycle.




The Australian Shares Core Model Portfolio is designed for investors seeking a portfolio of Australian equities aimed at providing capital growth as well as tax effective income via franked dividends.


This is an actively managed concentrated portfolio consisting of our best ideas in the S&P/ASX 200 Index. Portfolio holdings primarily consist of companies trading at attractive discounts to intrinsic value relative to the portfolio universe according to our research team. All else equal, we also strive to own companies with economic moats as high quality companies tend to outperform with reduced volatility. Total return from the Core Portfolio will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.

Benchmark Index



15 - 30


No Fixed Minimum

Fees




Cash 0 10

51

Model Portfolio Profile: AS0012Astute Australian Shares - High Yield

Investment objective: To outperform the S&P/ASX 200 Accumulation Index over a complete cycle.




The Australian Shares High Yield Model Portfolio is designed for investors seeking a reliable, above-market average income yield with moderate long term capital growth relative to that of the performance benchmark.


This is an actively managed concentrated portfolio consisting of our best income ideas in the S&P/ASX 200 Index. Portfolio holdings primarily consist of companies with greater than average sustainable net yield expectations and trade at attractive discounts to intrinsic value relative to the portfolio universe according to our research team. All else equal, we also strive to own companies with economic moats because high quality companies tend to outperform with reduced volatility. Total return will tend to be driven more by income than capital appreciation, although both are of course desirable.

Benchmark Index



15 - 30


No Fixed Minimum

Fees




Cash 0 10

52

Model Portfolio Profile: AS0013Astute Australian Shares - Small Cap

Investment objective: To outperform the S&P/ASX Small Ordinaries Accumulation Index over a complete cycle.




The Australian Shares Small Cap Model Portfolio is designed for investors who are seeking shareholder returns through investment in smaller Australian listed companies. Overall returns are expected to be commensurate with the risks, though investors must be prepared for individual stock losses and high levels of volatility.


This is an actively managed concentrated portfolio consisting of our best small cap ideas outside of the S&P/ASX 100 with sufficient liquidity. Portfolio holdings primarily consist of companies trading at attractive discounts to intrinsic value relative to the portfolio universe. All else equal, we also strive to own companies with economic moats as high quality companies tend to outperform with reduced volatility. Total return from the Small Cap Portfolio will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.

Benchmark Index



15 - 30


No Fixed Minimum

Fees




Cash 0 10

53

Model Portfolio Profile: AD0001Ausbil Dexia Australian Active Equity

Investment objective: The aim of the Ausbil Dexia Australian Active Equity Model is to outperform the S&P/ASX 300 Accumulation Index and to provide medium to long term growth with moderate tax-effective income.


Ausbil Dexia Limited (Ausbil)


� Seek growth: and

� Seek income.


The Model invests in listed Australian equities which are selected from the S&P/ASX 300 Accumulation Index.

Ausbil’s broad investment philosophy is that active management of the Australian Active Equity Model Portfolio facilitates consistent and risk controlled outperformance. Rather than focusing only on growth or value investing, Ausbil’s investment processes allow them to exploit the inefficiencies across the entire market, at all stages of the cycle and across all market conditions.

The basic premise of Ausbil’s philosophy is that stock prices ultimately follow earnings and earnings revisions. Ausbil’s process seeks to identify earnings and earnings revisions at an early stage, and hence to pre-empt stock price movements. Ausbil seeks to position the Australian Active Equity Model Portfolio towards those sectors and stocks which they believe will experience positive earnings revisions and away from those they believe will suffer negative revisions.

Benchmark index



30-40


No fixed minimum

Fees




Cash 0 0 10

54

Model Portfolio Profile: AD0002Ausbil Dexia Australian Emerging Leaders

Investment objective: The aim of the Ausbil Dexia Australian Emerging Leaders Model is to outperform the performance benchmark, a combination of 70% S&P/ASX Midcap 50 Accumulation Index and 30% S&P/ASX Small Ordinaries Accumulation Index and to provide medium to long term growth with moderate tax effective income.


Ausbil Dexia Limited (Ausbil)


� Seek growth: and

� Seek income.


The Australian Emerging Leaders Model Portfolio invests in a wide range of assets consisting of listed Australian equities. The securities are chosen from the S&P/ASX 300 Accumulation Index. The Australian Emerging Leaders Model Portfolio invests in both mid and small cap stocks which possess potential for superior growth.

Ausbil’s broad investment philosophy is that active management of the Australian Emerging Leaders Model Portfolio facilitates consistent and risk controlled outperformance. Rather than focusing only on growth or value investing, Ausbil’s investment processes allow them to exploit the inefficiencies across the entire market, at all stages of the cycle and across all market conditions.

The basic premise of Ausbil’s philosophy is that stock prices ultimately follow earnings and earnings revisions. Ausbil’s process seeks to identify earnings and earnings revisions at an early stage, and hence to pre-empt stock price movements. Ausbil seeks to position the Australian Emerging Leaders Model Portfolio towards those sectors and stocks which they believe will experience positive earnings revisions and away from those they believe will suffer negative revisions.

Benchmark index

A combination of 70% S&P/ASX Midcap 50 Accumulation Index and 30% S&P/ASX Small Ordinaries Accumulation Index


25-40


No fixed minimum

Fees

Investment Fee 0.75% p.a. Performance Fee 15.00%

The Performance Fee is based on the Model’s outperformance above the performance benchmark index, a combination of 70% S&P/ASX Midcap 50 Accumulation Index and 30% S&P/ ASX Small Ordinaries Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.



Cash 0 0 10

55

Model Portfolio Profile: BH0001Baillieu Holst SPS Growth

Investment objective: To deliver an attractive absolute return over the medium to long-term with lower than market volatility. Investments are focused on identifying mis-priced companies showing high capital growth profiles.


Baillieu Holst Ltd


� Are seeking high capital growth over the medium to long term; and

� Want peace of mind, knowing that industry experts are actively managing their funds.


Provide investors with a disciplined and structured approach which is actively managed by Baillieu Holst’s Investment Committee. It is a bottom up style approach, although consideration is given to asset allocation within industry sectors. The Model Portfolio is Index unaware and will take large positions in companies identified as undervalued and showing strong earnings growth profile.

Benchmark index



Up to 30


No fixed minimum

Fees




Cash 0 70

56

Model Portfolio Profile: BH0002Baillieu Holst SPS Income

Investment objective: To deliver an attractive absolute return over the medium to long-term with lower than market volatility. A Model Portfolio of high yield companies as well as companies with growing dividends, in the one investment.


Baillieu Holst Ltd


� Seek a high distribution yield in companies providing moderate capital and dividend growth; and

� Seek a stable and consistent return with lower than market volatility.


Provide investors with a disciplined and structured approach which is actively managed by Baillieu Holst’s Investment Committee. It is a bottom up style approach, although consideration is given to asset allocation within industry sectors. The Model Portfolio is Index unaware and companies are selected based on high sustainable earnings and income, trading at discounts to our research departments valuations.

Benchmark index

S&P/ASX 200 All Industrials Accumulation Index


Up to 30


No fixed minimum

Fees




Cash 0 70

57

Model Portfolio Profile: BE0001Bennelong ex-20 Australian Equities

Investment objective: The investment objective of the Bennelong ex-20 Australian Equities Model Portfolio is to provide concentrated exposure to the S&P/ASX 300 Accumulation Index, outside of the large weighting associated with the top 20 stocks within the index.


Bennelong Australian Equity Partners Pty Ltd (BAEP)


� Seek capital growth from a portfolio of Australian stocks outside of the top 20 stocks by market capitalisation;

� Seek diversification;

� Seek some income via dividends and franking credits; and

� Have a high tolerance for risk.


BAEP have sought to provide a Model Portfolio that allows investors to diversify away from holding the majority of their portfolio in the top 20 stocks in the S&P/ASX 300 Accumulation Index by market capitalisation. BAEP’s investment process aims to consistently deliver above-benchmark returns over the long term, while controlling risk within appropriate parameters. BAEP seeks to identify stocks that are likely to deliver above-average earnings growth in the foreseeable future and are also attractively priced relative to the market.

BAEP’s team of highly experienced analysts undertakes comprehensive ongoing research to assess the earnings prospects and relative valuations of the stocks in their investment universe. BAEP’s analysts assess each company’s competitive position and the relative attractiveness of the industry in which it operates.

Quantitative and qualitative assessments for each company are combined in an overall company score, which is a primary input into BAEP’s portfolio construction process. Other inputs to this process include stock liquidity constraints, constraints on the size of individual stock positions, market sentiment and corporate/market activity considerations.

Benchmark index



20 – 45


No fixed minimum

Fees


The Performance Fee is based on the Model’s out-performance above the performance benchmark index, the S&P/ASX 300 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.



Cash 0 10

58

Model Portfolio Profile: BE0002Bennelong Australian Equities

Investment objective: The investment objective of the Bennelong Australian Equities Model Portfolio is to provide long term capital growth and income from a portfolio of high quality Australian shares.


Bennelong Australian Equity Partners Pty Ltd (BAEP)


� Primarily seek capital growth from a portfolio of Australian stocks;

� Seek some income via dividends and franking credits; and

� Have a high tolerance to risk.


BAEP’s investment process aims to consistently deliver above benchmark returns over the long term, while controlling risk within appropriate parameters. BAEP seeks to identify stocks that are likely to deliver above-average earnings growth in the foreseeable future and are also attractively priced relative to the market.

BAEP’s team of highly experienced analysts undertakes comprehensive ongoing research to assess the earnings prospects and relative valuations of the stocks in their investment universe. BAEP’s analysts assess each company’s competitive position and the relative attractiveness of the industry in which it operates.

Quantitative and qualitative assessments for each company are combined in an overall company score, which is a primary input into BAEP’s portfolio construction process. Other inputs to this process include stock liquidity constraints, constraints on the size of individual stock positions, market sentiment and corporate/market activity considerations.

Benchmark index



20 – 40


No fixed minimum

Fees




Cash 0 10

59

Model Portfolio Profile: BR0001BlackRock Concentrated Australian Share 1

Investment objective: The BlackRock Concentrated Australian Share 1 Model Portfolio aims to achieve capital growth by actively managing a concentrated portfolio of Australian shares and other securities and to provide investors with some tax effective income through the receipt of franked dividends.


BlackRock


� Seek capital growth with some tax effective income; and



The investment objective of the BlackRock Concentrated Australian Share 1 Model Portfolio is pursued by investing in securities listed in the S&P/ASX 200 Accumulation Index which exhibit a growth outlook (or exhibit a bias to growth characteristics). Growth securities are generally stock that achieve steady cash flow generation capability.

The BlackRock Concentrated Australian Share 1 Model Portfolio is created monthly. The portfolio invests in stocks in the S&P/ASX 200 Accumulation Index that are ranked well on measures of operating growth.

Benchmark index



20 – 30


No fixed minimum

Fees




Cash 0 0 10

60

Model Portfolio Profile: BR0002BlackRock Index - Top 20

Investment objective: The BlackRock Index – Top 20 Model Portfolio seeks to match the total return (both income and capital growth) of the S&P/ASX 20 Accumulation Index, before taking into account Model Portfolio fees and expenses.


BlackRock


� Seek exposure to Australian equities through a portfolio of large capitalisation stocks;

� Are happy to receive index returns without any active investment management; and



The investment objective of this Model Portfolio is pursued by investing in a representative sample of shares that have been or are expected to be included in the S&P/ASX 20 Accumulation Index. The Index is comprised of the 20 largest and most liquid stocks in the Australian stock market.

Benchmark index



About 20


No fixed minimum

Fees




Cash 0 0 5

61

Model Portfolio Profile: BR0003BlackRock Concentrated Australian Share 2

Investment objective: The BlackRock Concentrated Australian Share 2 Model Portfolio aims to achieve capital growth by actively managing a concentrated portfolio of Australian shares and other securities and to provide investors with some tax effective income through the receipt of franked dividends.


BlackRock


� Seek capital growth with some tax effective income; and



The investment objective of the BlackRock Concentrated Australian Share 2 Model Portfolio is pursued by investing in securities listed in the S&P/ASX 200 Accumulation Index which exhibit a growth outlook (or exhibit a bias to growth characteristics). Growth securities are generally stock that achieve steady cash flow generation capability.

The BlackRock Concentrated Australian Share 2 Model Portfolio is created monthly. The portfolio invests in stocks in the S&P/ASX 200 Accumulation Index that are ranked well on measures of operating growth.

Benchmark index



20 – 30


No fixed minimum

Fees




Cash 0 0 10

62

Model Portfolio Profile: BR0005BlackRock Equity Yield Focus

Investment objective: The primary aim of the BlackRock Equity Yield Focus Model Portfolio is to provide the investor with a tax effective and growing income stream sourced primarily from dividend payments by companies listed on the Australian Stock Exchange. Through investing in equity markets there is also the prospect of capital gains over time.


BlackRock


� Seek a tax-effective income stream with some capital growth; and

� Accept the risk that some volatility will be experienced.


The investment objective of the Model Portfolio is pursued by investing in a moderately diversified portfolio of shares, whilst maintaining low portfolio turnover levels.

The Model Portfolio invests in stocks which are expected to pay grossed-up dividend yields (including anticipated special dividends) in excess of the market average over the medium term. A portfolio of these stocks is developed in a manner which aims to ensure that industry exposures are diverse.

Benchmark index

S&P/ASX 300 Accumulation Index (adjusted for franking credits)


Up to 40


No fixed minimum

Fees




Cash 0 0 20

63

Model Portfolio Profile: BR0007BlackRock Property Securities Index

Investment objective: The BlackRock Property Securities Index portfolio seeks to match the total return of the S&P/ASX 300 A-REIT Accumulation Index, before taking into account Model Portfolio fees and expenses.


BlackRock


� Seek exposure to listed property trusts;

� Are happy to receive index returns without any active investment management; and

� Accept risks consistent with listed property trusts


The investment objective of this Model Portfolio is pursued by investing in a representative sample of securities held in the S&P/ASX 300 A-REIT Accumulation Index. The index is comprised of listed vehicles classified as Property Trusts, in the Australian stock market. The Model Portfolio may invest in securities that have been or are expected to be included in the index.

Benchmark index

S&P/ASX 300 A-REIT Accumulation Index


Up to 30


No fixed minimum

Fees




Cash 0 0 5

64

Model Portfolio Profile: BR0008BlackRock Financials

Investment objective: The BlackRock Financials Model Portfolio aims to track the performance of the top 25 stocks by market capitalisation in the Financials sector of the ASX before taking into account Model Portfolio fees and expenses.


BlackRock


� Seek income;

� Are happy to receive market returns; and



The investment objective of the BlackRock Financials Model Portfolio is pursued by investing in a basket of securities that reflect the Financials sector of the Australian equity market. These securities are listed on the ASX and are involved in activities such as banking, mortgage finance, consumer finance, specialized finance, investment banking and brokerage, asset management and custody, corporate lending, insurance, financial investment, and real estate.

Benchmark index

S&P/ASX 200 Financials (Sector)


20 – 30


No fixed minimum

Fees




Cash 0 0 10

65

Model Portfolio Profile: BR0010BlackRock Value

Investment objective: The BlackRock Value Model Portfolio aims to achieve capital growth and dividend income by investing in a portfolio of 20 to 30 stocks in the S&P/ASX 200 Accumulation Index that are ranked well on characteristics such as price to earnings, price to operating cashflow and other measures of comparable value.


BlackRock


� Seek both income and capital growth;




The investment objective of the BlackRock Value Model Portfolio is pursued by investing in a basket of securities, classed as “value” securities, that track the market.

The BlackRock Value Model Portfolio composition is reviewed monthly. The portfolio invests in stock in the S&P/ASX 200 Accumulation Index that are ranked well on measures of comparable value.

Benchmark index



20 – 30


No fixed minimum

Fees




Cash 0 0 10

66

Model Portfolio Profile: BR0011BlackRock Resources

Investment objective: The BlackRock Resources Model Portfolio aims to track the performance of the top 25 stocks, ranked by their weight in their respective sector, when the Energy and Materials sectors of the S&P/ASX 200 Accumulation Index are combined.


BlackRock


� Seek exposure to energy and material sectors of the ASX;




The investment objective of the BlackRock Resources Model Portfolio is pursued by investing in a basket of securities listed on the ASX whose businesses are predominantly involved with the following activities: the construction or provision of oil rigs, drilling equipment and/or transportation of oil and gas products, coal and other consumable fuels and other energy related service and equipment, including seismic data collection; or, companies engaged in the exploration, production, marketing and refining.

The Model Portfolio will also invest in companies that manufacture chemicals, construction materials, glass, paper, forest products and related packaging products, and metals, minerals and mining companies, including producers of steel.

Benchmark index



20 – 30


No fixed minimum

Fees




Cash 0 0 10

67

Model Portfolio Profile: BR0012BlackRock 200 Growth

Investment objective: The BlackRock 200 Growth Model Portfolio aims to achieve capital growth and some dividend income through investing in a portfolio of 20 to 30 stocks in the S&P/ASX 200 Accumulation Index that are ranked well on characteristics like revenue growth, earnings growth and other measures of operating growth.


BlackRock


� Seek capital growth;




The investment objective of the BlackRock 200 Growth Model Portfolio is pursued by investing in securities listed in the S&P/ ASX 200 Accumulation Index which exhibit a growth outlook (or exhibit a bias to growth characteristics). Growth securities are generally stock that achieve steady cash flow generation capability.

The BlackRock 200 Growth Model Portfolio is created monthly. The portfolio invests in stocks in the S&P/ASX 200 Accumulation Index that are ranked well on measures of operating growth.

Benchmark index



20 – 30


No fixed minimum

Fees




Cash 0 0 10

68

Model Portfolio Profile: BS0001Burrell Stockbroking Top20

Investment objective: To achieve capital growth over the medium to long term with close correlation to the S&P/ASX20 Index and to provide income through the receipt of franked dividends.


Burrell Stockbroking


� Seek market returns and market risk.


The Burrell Top 20 comprises the top 20 stock in the S&P index measured by market capitalisation, subject to a small degree of substitution based on research reports and other insights from Burrell Stockbroking.

Benchmark index



15 – 25


No fixed minimum

Fees




Cash 0 20

69

Model Portfolio Profile: BS0002Burrell Stockbroking Top20 - PW Unrestricted

Investment objective: The investment objective is to achieve capital growth over the medium to long term with reasonable correlation to the S&P ASX 20 Index and to provide income through the receipt of franked dividends. The model portfolio will comply with the professional service firm’s conflict requirements.




Designed for investors who seek market returns and market risk via a portfolio of large capitalisation stocks that are consistent with the firm’s conflict clearance register. The model portfolio will be screened against the conflict clearance register on a regular basis.


The Burrell Top 20 - PW Unrestricted comprises the top 20 stocks in the S&P index measured by market capitalisation, after excluding stocks on the firm’s conflict register. Substitution will primarily be based on market capitalisation, subject to a degree of substitution based on research reports and other insight from Burrell Stockbroking. Where research suggests valuation concerns, stocks may be substituted and reweighted accordingly.

Benchmark index



15 – 25


$2,000

Fees




Cash 0 20

70

Model Portfolio Profile: BS0003Burrell Stockbroking Top20 - KICS Unrestricted

Investment objective: The investment objective is to achieve capital growth over the medium to long term with reasonable correlation to the S&P ASX 20 Index and to provide income through the receipt of franked dividends. The model portfolio will comply with the professional service firm’s conflict requirements.




Designed for investors who seek market returns and market risk via a portfolio of large capitalisation stocks that are consistent with the firm’s conflict clearance register. The model portfolio will be screened against the conflict clearance register on a regular basis.


The Burrell Top 20 - KICS Unrestricted comprises the top 20 stocks in the S&P index measured by market capitalisation, after excluding stocks on the firm’s conflict register. Substitution will primarily be based on market capitalisation, subject to a degree of substitution based on research reports and other insight from Burrell Stockbroking. Where research suggests valuation concerns, stocks may be substituted and reweighted accordingly.

Benchmark index



15 – 25


$2,000

Fees




Cash 0 20

71

Model Portfolio Profile: BS0004The Burrell 35

Investment objective: The investment objective is to achieve capital growth over the medium to long term and to provide income through the receipt of franked dividends.




� Seek equity returns of inflation plus 5% over the medium term while controlling portfolio risk;

� The portfolio has a majority of large capitalisation stocks, supported by a selection of stocks outside the Top 20 (colloquially referred to as X 20); and

� Are comfortable with equity volatility, and are prepared to take equity risk in exchange for potentially higher returns on their investment over the longer term.


The Burrell 35 comprises 35 top stock selections as chosen on a value and risk adjusted basis in the S&P ASX 200 index. Burrell’s approach is to select predominately value and Growth at Reasonable Price (GARP) stocks. We take a fundamental approach to investment selection. Valuations and independent research are considered.

Benchmark index



30 – 40


$5,000

Fees




Property 0 10

Cash 5 20

72

Model Portfolio Profile: BS0005The Burrell Moderate Growth Portfolio

Investment objective: The investment objective is to achieve stable returns through effective asset allocation across diversified asset classes.




� Seek returns higher than Fixed Interest and are willing to accept some investment risk; and

� Seek an investment return over a 5-7 year timeframe.


The Burrell Moderate Growth Portfolio comprises listed investments chosen by the Burrell Investment & Research Committee. The Committee has a bias to Australian equities, but looking to smooth returns by including other asset classes.

Benchmark index

Morningstar Australian Multi-Sector Growth


20 – 45


$5,000

Fees





Property 10 20

Fixed Interest 10 30

Cash 0 20

73

Model Portfolio Profile: BS0006The Burrell Balanced Portfolio

Investment objective: The investment objective is to achieve stable returns through effective asset allocation across diversified asset classes.




� Seek returns higher than Fixed Interest and are willing to accept some investment risk, with a higher level of capital stability; and

� Seek an investment return over a 4-6 year timeframe


The Burrell Balanced Portfolio comprises listed investments chosen by the Burrell Investment & Research Committee. The Committee has a bias to Australian equities, but looking to smooth returns by including other asset classes.

Benchmark index

Morningstar Australian Multi-Sector Balanced


20 – 45


$5,000

Fees





Property 10 20


Cash 0 20

74

Model Portfolio Profile: CA0001Canaccord Blended Australian Equities

Investment objective: To generate long-term capital appreciation by investing in Australian listed equities. The portfolio aims to do so with lower volatility and greater downside protection relative to the S&P/ASX 200 Accumulation Index benchmark.


Canaccord Genuity Asset Management


� Are looking for long term capital growth via an exposure to the Australian share market;

� Are seeking a lower level of volatility and greater downside protection relative to the S&P/ASX 200 Accumulation Index;

� Prefer a relatively lower turnover portfolio for tax-effective performance; and

� Hold a moderate appetite for risk.


Our investment process is exclusively focused on the Australian equity asset class. Diversity is achieved through investments across a variety of equity strategy, size, industry and geography, emphasizing alpha driven returns and risk reduction. Our team employs a bottom up approach in order to identify companies with quality underlying assets with appreciation potential at attractive valuations. We look for companies that have a financial soundness and product offering that enables them to be less vulnerable to volatile economic environments.

Cash positions are assumed when and if the market doesn’t present interesting and unique investment opportunities.

A key prong to our investment process is a rigorous company visitation program where analysis is undertaken at an industry, company, and competitor level.

Benchmark index



16 – 28


$25,000

Fees




Cash 0 25

75

Model Portfolio Profile: CA0002Canaccord Australian Income

Investment objective: To generate steady and predictable growth in dividends over the longer term by investing in Australian listed equities. The portfolio aims to do so with lower volatility and greater downside protection relative to the S&P/ASX 200 Accumulation Index benchmark.


Canaccord Genuity Asset Management


� Seek an exposure to the Australian share market with a long-term investment objective;

� Seek an income stream via an exposure to the Australian equity market;

� Are seeking a lower level of volatility and greater downside protection relative to the S&P/ASX 200 Accumulation Index;

� Prefer a relatively lower turnover portfolio for tax-effective performance; and

� Hold a moderate appetite for risk.


The investment strategy is focused on a bottom up, value approach, including an active company visitation program.

The Management look to identify companies that provide an attractive and stable dividend income stream.

Benchmark index



22 – 35


$25,000

Fees




Cash 0 25

76

Model Portfolio Profile: CH0001Chimaera Index Enhanced Franked Income

Investment objective: The Chimaera Australian Index Enhanced Franked Income Model is designed to generate an after tax return that consistently exceeds an indexed based return, with high levels of franked income, from an index weighted Australian equity portfolio.

The Enhanced Index model is designed to accumulate a superior, highly franked income stream over a full year through portfolio rotation into the safest stocks. This rotation reduces the need to overreach for yield, in turn limiting the capital risk associated with exposures which exhibit a low probability of consistent payment of dividends.


Chimaera Private Limited


� Are lower tax bracketed investors including retirees seeking income;

� Are active investors who require high liquidity for asset allocation;

� Are looking for a blue chip Australian equity portfolio designed to provide superior income and franking benefits;

� Seek tax efficient income; and

� Seek Index based performance to provide certainty in asset allocation decisions.


The Chimaera Index Enhanced Franked Income model consists of 30 - 60 ASX listed blue chip companies in similar sector proportions to widely recognised broad based Australian market indices such as the S&P / ASX 200. The strategy achieves a superior dividend stream through quarterly rebalancing designed to capture the upcoming dividend payments of a carefully screened subset of ASX listed companies which meet various investability criteria.

Unlike traditional yield-focused products which rely on annualised dividend yield metrics in order to rank and select the highest dividend paying entities, the Chimaera Index Enhanced model incorporates forecast dividend yield, dividend schedule, and sectoral weighting requirements in order to build its security selections.

Adopting this approach means that the model portfolio does not always select the highest dividend yielding entities which are often a capital trap for investors, but rather its rotates into the safest securities which satisfy both dividend and sector weighting criteria on a quarterly basis.

The selection Universe comprises the largest 200 stocks listed on the Australian stock exchange. Eligibility for entry occurs when preset investment criteria are met. These criteria include a minimum capitalisation filter set at A$500m, as well as a minimum daily liquidity requirement of A$1m per day to ensure overall liquidity levels remain robust. Eligible securities are ranked according to consensus equity analyst forecasts for upcoming dividends, as well as the contribution to sector and risk characteristics of the portfolio.

The resulting portfolio is then analysed in order to satisfy all model constraints such as sector deviation caps, stock weighting caps and security count. The final selection list is further optimised to minimise tracking error if required, as well as to maximise future dividend yield and franking potential.

Over the course of a full year, securities held within the Chimaera Index Enhanced model are rotated on a specific rebalance date assuming relevant tax and holding period rules are satisfied, resulting in superior returns and cash flow through the dividends and imputation entitlements received.

Benchmark index



30-60


$25,000

Fees




Cash 0 10

77

Model Portfolio Profile: CN0001Cutcher & Neale Conservative

Investment objective: To invest in asset classes that provides a relatively low risk investment return with high levels of liquidity.


Cutcher & Neale Financial Services Pty Ltd


� Are seeking an income stream with some capital growth and a reasonable degree of capital security, as well as protection of assets from effects of inflation; and

� Have a minimum investment time-frame of 3-5 years.


Investment portfolio split is 60% defensive assets and 40% growth assets. High exposure to Fixed Income securities, but also some exposure to share and property markets.

Benchmark index

N/A


5 – 10


No fixed minimum

Fees




Property 0 20



Cash 5 20

78

Model Portfolio Profile: CN0002Cutcher & Neale Balanced

Investment objective: To provide the investor with exposure to fully franked, reliable dividend income from companies listed on the ASX, as well as long term growth opportunities from international equities via ETFs.

The portfolio will also maintain exposure to low risk asset classes that provide a high level of liquidity.




� Are seeking capital growth over the medium to long term, without a high level of capital fluctuation; and



Investment portfolio split is 40% defensive assets and 60% growth assets. Slightly higher exposure to share and property markets, than to Fixed Interest securities.

Benchmark index

N/A


5 – 12


No fixed minimum

Fees




Property 0 20



Cash 2 10

79

Model Portfolio Profile: CN0003Cutcher & Neale Growth

Investment objective: The portfolio will provide reliable, tax efficient dividend yields and growth potential via investment in companies listed on the ASX and exposure to long term capital growth opportunities from investment in international equities via ETFs.

The portfolio will also maintain some exposure to low risk asset classes that provide liquidity.




� Are growth oriented and willing to accept some investment risk over the long term; and



Investment portfolio split is 20% defensive assets and 80% growth assets. Portfolio has a high exposure to shares and property to provide long term capital growth. Small defensive exposure should slightly reduce the short term fluctuations in value.

Benchmark index

N/A


5 – 15


No fixed minimum

Fees



Fixed Interest 5 30

Property 0 25



Cash 2 15

80

Model Portfolio Profile: CN0004Cutcher & Neale High Growth


The portfolio will also maintain a small exposure to low risk asset classes that provide liquidity.




� Have a strong focus on maximising capital growth over the long term;

� Are prepared to accept a higher risk of fluctuation in value and capital loss as a trade-off for achieving their long-term investment objectives; and

� Have a minimum investment time-frame of 7+ years.


Investment portfolio split is 0% defensive assets and 100% growth assets. The portfolio has no exposure to defensive assets and is likely to produce minimal income.

Benchmark index

N/A


5 – 15


No fixed minimum

Fees



Fixed Interest 0 20

Property 0 30



Cash 0 10

81

Model Portfolio Profile: CN0005Cutcher & Neale High Growth Gearing


The portfolio will also maintain a small exposure to low risk asset classes that provide liquidity.




� Utilise margin lending/gearing within their investment portfolio;

� Have a strong focus on maximising capital growth over the long term;

� Are prepared to accept a higher risk of fluctuation in value and capital loss as a trade-off for achieving their long-term investment objectives; and

� Have a minimum investment time-frame of 7+ years.


Investment portfolio split is 0% defensive assets and 100% growth assets. The portfolio has no exposure to defensive assets and is likely to produce minimal income.

Benchmark index

N/A


5 – 15


No fixed minimum

Fees



Fixed Interest 0 20

Property 0 25



Cash 0 10

82

Model Portfolio Profile: DN0001DNR Capital Australian Equities High Conviction

Investment objective: The investment objective is to outperform the S&P/ASX 200 Accumulation Index by 4% p.a. over a rolling 3 year period.


DNR Capital


� Seek an exposure to the Australian share market with a long-term investment objective;

� Seek portfolio growth with less focus on generating excess income; and

� Are prepared to accept higher volatility in return for higher growth.


DNR Capital believes a focus on quality will enhance returns when it is combined with a thorough valuation overlay. DNR Capital seeks to identify quality companies that are mispriced by overlaying our quality filter with strong valuation discipline.

DNR Capital uses a five point quality web to identify quality. The key criteria are as follows:

1. Earnings strength especially the ability to maintain and improve returns

2. Superior industry positioning

3. Sound balance sheet

4. Strong management

5. Low ESG risk

Where the company passes this quality assessment then a range of valuation methodologies are used to identify value having regard for the industry and circumstances of the company.

The portfolio construction process is influenced by a top- down economic appraisal. A range of economic indicators are reviewed regularly, including formally, at the monthly investment committee meeting. These measures are used to formulate an economic overview which provides a backdrop to investment decision making and influences portfolio construction.

DNR Capital also considers the risk characteristics of the Fund when making portfolio construction decisions, such as stock and sector correlations.

Benchmark index



15-30


$25,000

Fees




Cash 0 20

83

Model Portfolio Profile: DN0002DNR Capital Australian Equities Socially Responsible Investments

Investment objective: The investment objective is to outperform the S&P/ASX 200 Accumulation Index by 4% p.a. over a rolling 3 year period.


DNR Capital


� Seek an exposure to the Australian share market but do not want to hold investments judged to have involvement in gaming, pornography, armaments and tobacco; and

� Want a Model Portfolio that also actively seeks out investment opportunities in companies that make a positive difference in the way they respond to environmental, social and governance (ESG) issues.








5. Low ESG risk

A negative screen excludes investment in companies judged to have involvement directly in pornography, gaming, armaments and tobacco.

A positive ESG screen is then used to identify those companies with enhanced ESG policies. DNR Capital sources ESG related information from data research provider “EIRIS” (Ethical Investment Research Services) provided by “Corporate Analysis Enhanced Responsibility” (CAER). Environment, Social and Governance and positive attribute factors for the company are scored and assessed relative to the ASX 200. If the company is not covered by EIRIS or information is insufficient, DNR Capital contact/research the company with the ESG criteria to determine/adjust the score for the company.

Where the company passes the quality and SRI assessments then a range of valuation methodologies are used to identify value having regard for the industry and circumstances of the company.


DNR Capital also considers the risk characteristics of the Model Portfolio when making portfolio construction decisions, such as stock and sector correlations.

Benchmark index



15-30


$25,000

Fees




Cash 0 20

84

Model Portfolio Profile: DN0003DNR Capital Australian Equities Income

Investment objective: The investment objective is to outperform the S&P/ASX 200 Industrials Accumulation Index by 4% p.a. over a rolling 3 year period and deliver a yield above the market.


DNR Capital


� Seek an exposure to the Australian share market with a long-term investment objective; and

� Seek a greater level of income and who can make use of franking credits








5. Low ESG risk

Where the company passes this quality assessment then a range of valuation methodologies are used to identify value having regard for the industry and circumstances of the company.

DNR Capital also considers the income characteristics of the portfolio and assesses the following:

1. Level of grossed up dividend yield;

2. Debt levels and interest cover;

3. Sustainability of earnings; and

4. Dividend cover


DNR Capital also considers the risk characteristics of the Fund when making portfolio construction decisions, such as stock and sector correlations.

Benchmark index



15-30


$25,000

Fees




Cash 0 20

85

Model Portfolio Profile: EL0001Elston Australian Equities Portfolio

Investment objective: The Elston Australian Equities Portfolio aims to exceed the investment returns of the benchmark over a seven-year period before fees.


Elston Portfolios


� Seek long-term capital growth above inflation;

� Seek tax-effective income growth;

� Seek a non-index weighted portfolio construction; and

� Seek a minimum investment timeframe of seven years.


The Elston Australian Equities Portfolio invests across a diversified range of Australian shares, including property and infrastructure shares and fixed interest assets. The Portfolio can also invest in exchange traded funds (ETFs) and cash.

Benchmark index



Max of 25


$500,000

Fees




Other securities 0 10

Cash 1 10

86

Model Portfolio Profile: EI0001Ethical Investment Advisers Mid-Cap

Investment objective: The Model objective is to outperform the benchmark of the S&P/ASX Mid-Cap 50 over the long term, while providing investors with access to small and mid-cap stocks which meet environmental and socially responsible standards.

Ethical Investment Advisers utilise research from Corporate Monitor, Eco Investor and Ethical Investor, in addition to our own internal research to screen investments on environmental and social grounds. The recommended time frame for investment is 5 years or more.


Ethical Investment Advisers Pty Ltd


� Seek access to small and mid-cap stocks which meet their ethical requirements; and

� Seek a mixture of long-term growth opportunities and income.


The ethical screening process has two stages. Firstly, a negative screen is applied to companies which are directly involved in harmful environmental activities and socially hazardous activities such as tobacco and weapons manufacture or gambling. Companies which do not pass the negative screen are excluded from the portfolio. Companies which are indirectly involved in these sectors (through distribution or via related parties) will not be explicitly excluded from the portfolio.

Secondly, a positive screen is applied to companies which are involved in positive environmental activities or which provide benefits to society, such as healthcare, renewable energy and social welfare.

All companies which pass the negative screen will be considered for investment; however the manager has a tendency towards positively screened investments.

From the investment universe consisting of ‘Green’ stocks which pass both the negative and positive screens and ‘Grey’ stocks which only pass the negative screen, a portfolio of between 15 and 40 stocks will be selected. The manager will show a tendency toward mid-cap stocks and small-cap stocks will also be added when suitable.

The investment objective will be met by investing in a mixture of growth and income stocks. Undervalued stocks, or stocks which are expected to have above-average growth over the long-term are selected for the portfolio. The manager prefers companies in growing industries with sustainable growth and will also look at providing investors with a decent amount of diversification across sectors.

Ethical Investment Advisers continuously monitor all investments to ensure they continue to meet our environmental and socially responsible standards. If a company contravenes the ethical screening process, the manager will attempt to divest as soon as prudently possible.

Benchmark index

S&P/ASX Mid-Cap 50 Index


15 - 40


No fixed minimum

Fees




Cash 0 15

87

Model Portfolio Profile: FP0001Fat Prophets Concentrated Australian Share Model Portfolio (“FPCASMP”)

Investment objective: FPCASMP seeks to outperform the total return (both income and capital growth) of the S&P/ASX 200 Accumulation Index, before taking into account FPCASMP fees and expenses.


Fat Prophets


� Seek a concentrated portfolio of Australian securities;

� Are looking for a medium to long term investment; and



The investment objective of FPCASMP is pursued by investing in a small sample of securities taken from within and outside the S&P/ASX 200 Accumulation Index (“Index”). The Index is comprised of the 200 largest and most liquid securities in the Australian stock market.

The Model Portfolio typically holds 10 to 30 securities.

Benchmark index


Risk

FPCASMP contains higher risk than that prevailing in more diversified equity investment portfolios due to a smaller number of securities owned, and the consequential focus on a small number of desired thematic exposures. This risk is partially mitigated by a philosophy of investing in the shares of companies trading at a significant discount to the Model Adviser’s appraised value.


10 – 30


$20,000

Fees

Investment Fee 0.50% p.a. Performance Fee 15% of additional return in excess of benchmark subject to a high watermark

The Performance Fee is based on the Model’s out-performance above the performance reference index, the S&P/ASX 200 Accumulation Index.



Cash 0 5 25

88

Model Portfolio Profile: FP0002Fat Prophets Mining & Resources Model Portfolio

(“FPMRMP”)

Investment objective: FPMRMP seeks to outperform the total return (both income and capital growth) of the S&P/ASX 300 Resources Accumulation Index, before taking into account FPMRMP fees and expenses.


Fat Prophets


� Seek exposure to mining and resources companies listed on the Australian stock exchange;

� Are indifferent as to whether their return is generated from growth of capital or income; and

� Are prepared to accept the significant risks and volatility attached to such securities.


The investment objective of FPMRMP is pursued by investing in a sample of mining and resources securities listed on the ASX. The sample of securities is likely to contain securities both within and outside of the benchmark, the S&P/ASX 300 Resources Accumulation Index (“Index”). The Index is comprised of approximately 70 mining and resources securities contained within the S&P/ASX 300 Index of the 300 largest and most liquid securities listed on the ASX.


Benchmark index

S&P/ASX 300 Resources Accumulation Index

Risk

FPMRMP contains fundamentally higher risk than that prevailing in more diversified equity investment portfolios. These risks arise from a number of areas, including but not limited to:

� The significant risks and volatility attached to selected securities as a result of fixed cost operations with highly variable product prices;

� The significant risks and volatility attached to selected securities arising from uncertainty of geology, particularly in emerging mining and exploration companies;

� The significant risks and volatility attached to selected securities as a result of operations owned by Australian companies in overseas jurisdictions where legislation governing taxation, profit sharing, royalties and environmental issues may be uncertain or variable; and

� Lack of control over product prices able to be exerted by the relevant companies.

The FPMRMP attempts to mitigate some of these risks by building a diversified portfolio of large and small companies, with operations in a diverse array of jurisdictions mining differing metals and commodities.


10 – 40


$20,000

Fees


The Performance Fee is based on the Model’s out-performance above the performance reference index, the S&P/ASX 300 Resources Accumulation Index.


Mining & Resources 75 95 100

Cash 0 5 25

89

Model Portfolio Profile: FP0003Fat Prophets Australian Share Income Model Portfolio (“FPASIMP”)

Investment objective: The Fat Prophets Australian Share Income Model Portfolio seeks to deliver a level of income in excess of that generated by the S&P/ASX 200 Industrial Accumulation Index, before taking into account FPASIMP fees and expenses.


Fat Prophets


� Are looking for exposure to a diversified portfolio of shares;

� Seek income with the possibility of some growth in capital over the medium to long term; and

� Accept the risk of potential fluctuations in income and capital.


The investment objective of the FPASIMP is pursued by investing in a diversified selection of securities linked to companies listed within the S&P/ASX 200 Industrial Accumulation Index (“Index”). The Index is comprised of the 200 largest and most liquid industrial securities in the Australian stock market.


Benchmark index

S&P/ASX 200 Industrial Accumulation Index

Risk

FPASIM contains greater risk than some other income orientated investments because under adverse market conditions both its capital value and the level of income it generates may fall. Furthermore, because the Model will be largely restricted to investing in shares offering an above market yield it will differ greatly to its benchmark index, which includes shares offering a wide range of income returns. As a result the model is likely to diverge substantially from its benchmark index in terms of both income and capital return.


10 – 40


$20,000

Fees




Cash 0 5 25

90

Model Portfolio Profile: FP0004Fat Prophets Small & Mid Cap Model Portfolio (“FPSMCMP”)

Investment objective: FPSMCMP seeks to outperform the total return (both income and capital growth) of the S&P/ASX Small Ordinaries Accumulation Index, before taking into account FPSMCMP fees and expenses.


Fat Prophets


� Seek exposure to small and medium sized companies listed on the Australian Stock Exchange;

� Are looking for a medium to long term investment; and

� Accept the higher volatility and risk of significant price fluctuations associated with investing in such securities.


The investment objective of the FPSMCMP is pursued by investing in a diversified selection of small to medium sized companies listed on the Australian Stock Exchange and will be benchmarked against the S&P/ASX Small Ordinaries Accumulation Index, which is made up of around 200 small companies.


Benchmark index


Risk

FPSMCM contains higher risk than is applicable to equity investment portfolios containing companies with large market capitalisations due to (i) the lower level of liquidity normally attached to securities with small and medium sized capitalisations; (ii) the narrow business focus often associated with small and mid cap companies and (iii) the lower level of research coverage of these companies. These risks are partially mitigated by a rigorous value based stock selection that seeks to invest in carefully selected companies deemed to be trading at a discount to the Model Adviser’s appraised value.


10 – 40


$20,000

Fees


The Performance Fee is based on the Model’s out-performance above the performance benchmark index, the S&P/ASX Small Ordinaries Accumulation Index.



Cash 0 5 25

91

Model Portfolio Profile: GW0001Grow Your Wealth Balanced ETF Portfolio

Investment objective: This Model aims to provide one simplified, low cost portfolio of exchange traded funds (ETF) that invests across all asset classes in accordance with the weightings suitable for a balanced investor.




� Seek a low cost diversified exchange traded funds portfolio that has weightings across all asset types including global equities that is suitable for a balanced investor; and

� Seek a diversified portfolio that performs in line with recognised indices and moves in line with the market.


The investment strategy will be met by investing in mainstream exchange traded funds in accordance with the asset allocations for each asset type.

Benchmark index

Morningstar Multi-sector Balanced Market Index


4 - 10 ETFs


No fixed minimum

Fees





Property 5 20


Cash 0 10

92

Model Portfolio Profile: GW0002Grow Your Wealth Assertive ETF Portfolio

Investment objective: This Model aims to provide one simplified, low cost portfolio of exchange traded funds (ETF) that invests across all asset classes in accordance with the weightings suitable for an assertive investor.




� Seek a low cost diversified exchange traded funds portfolio that has weightings across all asset types including global equities that is suitable for an assertive investor; and

� Seek a diversified portfolio that performs in line with recognised indices and moves in line with the market.


The investment strategy will be met by investing in mainstream exchange traded funds in accordance with the asset allocations for each asset type.

Benchmark index

Morningstar Multi-sector Growth Market Index


4 - 10 ETFs


No fixed minimum

Fees





Property 5 20


Cash 0 10

93

Model Portfolio Profile: HP0001Hyperion High Conviction Large Cap ASX300

Investment objective: The investment objective of the Hyperion High Conviction ASX 300 Model Portfolio is to achieve gross returns to investors of 3% above the S&P ASX 300 Accumulation Index over rolling five-year periods.


Hyperion Asset Management Limited


� Are aggressive. Willing to take more risk in search of greater returns; and

� Are comfortable with volatility and with the possibility of negative returns and aim to invest over a long period.


Hyperion’s competitive advantage is summarised in three points:

� Process – Hyperion buys the highest quality growth businesses at an attractive valuation based on thoroughly researched long-term view. Hyperion exploits other market participants’ focus on the short-term, market sentiment and indices because Hyperion thinks and acts more like a business owner, rather than a stock picker;

� People – The core investment team has been together since 1998 and remains stable, experienced and well resourced to handle future growth. The same team that developed our proprietary investment process are shareholders in the company as well as having substantial personal investments in our products. The result is that clients can feel confident Hyperion’s objectives are fully aligned with theirs; and

� Product – Hyperion’s process produces high conviction benchmark insensitive portfolios with excellent after-tax efficiency. Hyperion has an established long-term track record of outperformance and is well positioned for both the peaks and troughs of an equity investment cycle.

Benchmark index



15 - 30


No fixed minimum

Fees




Cash 0 20

94

Model Portfolio Profile: IN0002InvestSense CPI+2 Diversified Portfolio

Investment objective: The investment objective is to achieve a return of CPI +2% per annum over the long-term by investing in a diverse mix of asset classes covering Australian equities, international equities, property, infrastructure, alternatives, fixed interest and cash.


InvestSense Pty Ltd


� Seek a return above inflation but with a low to medium tolerance for risk and are therefore willing to accept lower returns for a lower level of risk;

� Seek a portfolio diversified across a range of different asset classes; and

� Want a portfolio where the asset allocation is actively managed based on changes in market valuation.


InvestSense believes that prevailing market valuations tend to be indicative of final outcomes over long-time periods. By undertaking a forward looking view of expected returns and implied risks, InvestSense aims to understand if the market is sufficiently rewarding investors for the risks they are undertaking across different asset class.

The portfolio does not have a pre-defined asset allocation, instead InvestSense employs an objective based approach which aims to determine the appropriate mix of asset classes that is likely to achieve the stated objective while minimising the level of risk. As investment markets fluctuate and therefore expected returns change, InvestSense alters the asset allocation accordingly.

The portfolio will invest across a mix of asset classes including Australian equities, international equities, property, infrastructure, fixed interest, alternatives and cash.

Benchmark index

Weighted composite return of the sector benchmarks


0 - 60


No fixed minimum

Fees



Minimum Maximum

Growth Assets 0 60

Defensive Assets 40 100

Growth assets may include Australian equities, international equities, property, infrastructure and alternative assets.

Defensive assets may include fixed interest or fixed interest like assets, cash or cash like assets and some types of defensive alternative strategies.

95




InvestSense Pty Ltd


� Seek a modest return above inflation but with a medium tolerance for risk and therefore are willing to accept some volatility in their portfolio in order to achieve their long-term investment objective;







Benchmark index



0 - 60


No fixed minimum

Fees



Minimum Maximum

Growth Assets 10 70




96




InvestSense Pty Ltd


� Seek a high return above inflation but with a medium to high tolerance for risk and therefore are willing to accept a degree of volatility in their portfolio in order to achieve their long-term investment objective;







Benchmark index



0 - 60


No fixed minimum

Fees



Minimum Maximum

Growth Assets 50 90




97




InvestSense Pty Ltd


� Seek a high return above inflation but with a high tolerance for risk and therefore are willing to accept a high degree of volatility in their portfolio in order to achieve their long-term investment objective;







Benchmark index



0 - 60


No fixed minimum

Fees



Minimum Maximum

Growth Assets 60 100




98

Model Portfolio Profile: BR0101iShares Conservative

Investment objective: The iShares Conservative Model Portfolio aims to provide investors with attractive returns consistent with a “diversified conservative” investment strategy encompassing:

1. A bias toward Australian assets

2. An enhanced strategic asset allocation process leveraging a well-researched global framework built by BlackRock, the world’s largest asset manager

3. Efficient & cost effective implementation via iShares Exchange Traded Funds

The iShares Conservative Model Portfolio aims to match or outperform the Morningstar Australian Multi-Sector Conservative benchmark over a rolling 5-year period.


BlackRock


� Seek access to a low-cost, diversified, risk based Model Portfolio;

� Seek additional returns above the benchmark within a risk controlled framework; and

� Seek to leverage BlackRock’s global expertise and research capabilities.


The Model Portfolio strategy is built around a two-step process. First, establish the most appropriate strategic benchmark consistent with a diversified conservative investment profile using efficient implementation via the available suite of BlackRock iShares ETFs.

Second, improve the returns of the portfolio relative to the strategic benchmark via an enhanced strategic allocation process which seeks to capture medium to long term asset class views within a risk controlled framework. Portfolio adjustments are made on a scheduled quarterly basis, or more frequently during times of market stress.

Our investment approach is overseen by an experienced team and a dedicated research process with a systematic approach. The team is a part of the wider BlackRock organization, allowing us to leverage a broad set of global insights and resources.

Benchmark index

Morningstar Australian Multi-Sector Conservative


5 - 20


No fixed minimum

Fees

Investment Fee 0.10% p.a. t Performance Fee Nil

t Each of the ETFs in the Model has an underlying management fee. For more information please see the relevant PDS for each ETF in the Model.




Australian Fixed Interest 40 61

International Fixed Interest 7 28

Cash The cash allocation will track the benchmark’s cash allocation

99

Model Portfolio Profile: BR0102iShares Moderate

Investment objective: The iShares Moderate Model Portfolio aims to provide investors with attractive returns consistent with a “diversified moderate” investment strategy encompassing:




The iShares Moderate Model Portfolio aims to match or outperform the Morningstar Australian Multi-Sector Moderate benchmark over a rolling 5-year period.


BlackRock






The Model Portfolio strategy is built around a two-step process. First, establish the most appropriate strategic benchmark consistent with a diversified moderate investment profile using efficient implementation via the available suite of BlackRock iShares ETFs.


Our investment approach is overseen by an experienced team and a dedicated research process with a systematic approach. The team is a part of the wider BlackRock organisation, allowing us to leverage a broad set of global insights and resources.

Benchmark index

Morningstar Australian Multi-Sector Moderate


5 - 20


No fixed minimum

Fees









100

Model Portfolio Profile: BR0103iShares Balanced

Investment objective: The iShares Balanced Model Portfolio aims to provide investors with attractive returns consistent with a “diversified balanced” investment strategy encompassing:




The iShares Balanced Model Portfolio aims to match or outperform the Morningstar Australian Multi-Sector Balanced benchmark over a rolling 5-year period.


BlackRock






The Model Portfolio strategy is built around a two-step process. First, establish the most appropriate strategic benchmark consistent with a diversified balanced investment profile using efficient implementation via the available suite of BlackRock iShares ETFs.



Benchmark index

Morningstar Australian Multi-Sector Balanced


5 - 20


No fixed minimum

Fees









101

Model Portfolio Profile: BR0104iShares Growth

Investment objective: The iShares Growth Model Portfolio aims to provide investors with attractive returns consistent with a “diversified growth” investment strategy encompassing:




The iShares Growth Model Portfolio aims to match or outperform the Morningstar Australian Multi-Sector Growth benchmark over a rolling 5-year period.


BlackRock






The Model Portfolio strategy is built around a two-step process. First, establish the most appropriate strategic benchmark consistent with a diversified growth investment profile using efficient implementation via the available suite of BlackRock iShares ETFs.



Benchmark index

Morningstar Australian Multi-Sector Growth


5 - 20


No fixed minimum

Fees









102

Model Portfolio Profile: BR0105iShares Aggressive

Investment objective: The iShares Aggressive Model Portfolio aims to provide investors with attractive returns consistent with a “diversified aggressive” investment strategy encompassing:




The iShares Aggressive Model Portfolio aims to match or outperform the Morningstar Australian Multi-Sector Aggressive benchmark over a rolling 5-year period.


BlackRock






The Model Portfolio strategy is built around a two-step process. First, establish the most appropriate strategic benchmark consistent with a diversified aggressive investment profile using efficient implementation via the available suite of BlackRock iShares ETFs.



Benchmark index

Morningstar Australian Multi-Sector Aggressive


5 - 20


No fixed minimum

Fees









103

Model Portfolio Profile: JB0001JBWere Growth

Investment objective: To achieve a level of capital growth that exceeds that of the S&P/ ASX200 Accumulation Index over a period of 5 years or longer.


JBWere


� Seek long term capital growth in a well-researched portfolio;

� Seek above-market returns; and

� Seek a longer-term investment horizon of at least five years and acknowledge the risk of price fluctuations.


The JBWere Growth Model Portfolios is constructed based on implementation of combined quantitative and qualitative assessment and approaches.

In order to achieve a superior growth outcome, there may be a bias towards market sectors, however the Model will maintain suitable diversification across industries and investment styles.

Stock selection will concentrate on companies that are believed to have the potential to deliver an improving return profile and superior earnings growth to the general market.

Stock selection will be based on the research output of the JBWere Investment Strategy group and the Goldman Sachs JBWere research department composed of over 70 investment professionals in Melbourne, Sydney and the major global countries.

Benchmark index



15 – 25


No fixed minimum

Fees



Minimum Maximum


Cash 0 10

104

Model Portfolio Profile: JB0002JBWere Income

Investment objective: To provide investors with a consistent source of income which exceeds the rate of inflation over the long term (5 years plus) and exceeds that of the S&P/ASX200 Accumulation Index.


JBWere


� Seek consistent income streams and portfolio yield from a well researched portfolio;

� Seek a longer term investment horizon of at least five years; and

� Acknowledge the risk of price fluctuation.


The JBWere Income Model Portfolio is based on implementation of combined quantitative and qualitative assessment and approaches.

In order to achieve an enhanced income and franking outcome there may be a bias towards thematics or industry sectors.

Stocks that pay fully franked dividends (for example those in the banking sector) and companies paying annuity style distributions (those in the infrastructure sector) will feature prominently.

Stock Selection will be based on the research output of the JBWere Investment Strategy group and the Goldman Sachs JBWere research department composed of over 70 investment professionals in Melbourne, Sydney and the major global countries.

Benchmark index



15 – 25


No fixed minimum

Fees



Minimum Maximum


Cash 0 10

105

Model Portfolio Profile: JB0003JBWere Fixed Income

Investment objective: Within the investable universe of ASX-listed fixed income instruments, to construct a relatively defensive Model Portfolio that aims to:

� Have a capital preservation focus and one exhibiting a low level of capital and earnings volatility

� Adequately rewards the investor for the credit, market and liquidity risk assumed

� Provides a steady and secure income stream

� Provides a solid absolute return that represents a premium to rates earned on term deposits

� Is liquid enough to ensure sufficient investing flexibility


JBWere


� Are looking for a well-researched, transparent and defensive-oriented fixed income Model Portfolio.


To ensure the best opportunity to meet the portfolio’s objectives JBWere focuses on the following investment selection criteria:

� Investment grade credit quality

� The expected level and reliability of coupon payments

� Adequacy of the trading margin

� The liquidity of the issue

� The visibility of maturity or a value enhancing event (step- up, reset) that would likely trigger capital appreciation

Reflective of its focus as a defensive investment the Model Portfolio is not expected to be a highly-traded portfolio. Moreover, the general approach is to hold instruments to maturity; however, Model Portfolio changes will be made in response to developments including;

� Changes in JBWere’s tactical view

� Adverse changes in the credit quality of individual issuers or instruments

� Redemptions

� Compelling relative value opportunities

Benchmark index

Not applicable


10 – 25


$10,000

Fees



Minimum Maximum

Bonds 0 100

Hybrids 0 100

Convertible Notes/Bonds 0 25

Cash 0 15

106

Model Portfolio Profile: TH0001JBWere Industrials

Investment objective: The Industrials Model Portfolio aims to provide income with moderate capital appreciation by investing in Australian listed securities that have strong income producing characteristics and may include imputation or tax-deferred components.


JBWere


n are seeking both income and capital gain;

n have a desire to receive a significant proportion of imputation credits as part of their distributions;

n understand that exposure to securities carries the potential for volatility in share prices; and

n are seeking to minimise capital gains through low turnover (target 0% – 30% p.a.).


The Industrials Model Portfolio is focused on delivering above average after tax income streams to investors while maintaining an underlying capital growth component. Model Portfolio filters include dividend yield hurdles, franking levels, EPS revisions, PE / Earning Revisions, valuation support, sustainable payout ratios, attractive EV/EBITDA multiples, low price to book values and attractive dividend per share growth. The emphasis in this Model Portfolio is to provide attractive after tax efficient dividend streams while minimising earnings downside risk. The Model Portfolio is not created to simply provide a high yield as quite often, high yielding stocks may suffer from underperformance and earnings disappointments which can impact the overall income oriented Model Portfolio.

Benchmark index



15 – 25


No fixed minimum

Fees



Minimum Maximum


Cash 0 10

107

Model Portfolio Profile: TH0002JBWere Leaders

Investment objective: The Leaders Model Portfolio invests primarily in leading Australian industrial shares with some exposure to resource shares where they meet the mandate criteria. The Model Portfolio has an income focus, and seeks to provide consistent long term income growth with some capital growth by investing in a broad selection of ASX50 listed companies across various sectors and industries. The Model Portfolio has a particular weighting bias towards industrial shares that have a high dividend yield with a high proportion of franking credits.


JBWere


n are seeking both income and capital gain;

n are seeking exposure to blue-chip/large cap stocks;

n have a desire to receive a significant proportion of imputation credits as part of their distributions;

n understand that exposure to securities carries the potential for volatility in share prices; and



The Leaders Model Portfolio has a strong income bias and has Model Portfolio filters that include high franked dividend yields, consistent dividend growth, conservative dividend cover, dividend certainty, strong cash flows, strong earnings per share and dividend per share upward revisions, attractive return on equity, strong balance sheets with conservative gearing, above average pricing power characteristics and dominant industry positions with the ability to restructure and consolidate fragmented industries or to benefit from restructuring of industry fundamentals. Management expertise is a key focus of analysis, with management capable of adding substantial value and generating above average and sustainable returns to shareholders being viewed favourably,

Benchmark index



15 – 25


No fixed minimum

Fees



Minimum Maximum


Cash 0 10

108

Model Portfolio Profile: TH0003JBWere Small Companies

Investment objective: The Small Companies Model Portfolio seeks to provide long term capital growth by investing in a broad selection of Australian listed companies in the small to mid cap range. The stock universe includes companies in the S&P/ASX Small Ordinaries Index. However, the Model Portfolio mandate allows up to 20% of the portfolio to be invested outside the Small Ordinaries Index. This provides the necessary flexibility to keep stocks in the Model Portfolio that would otherwise automatically be sold out of the portfolio.

These companies represent a broad selection of various sectors and industries. There is a particular bias towards industrial stocks with an emphasis on emerging growth stocks, but not confined to such companies.


JBWere


n desire to invest in small-mid cap companies;

n understand that exposure to small cap securities carries the potential for high volatility in share prices; and



The Model Portfolio for small caps has a greater emphasis and significant concentration on the management capabilities of companies to deliver above average returns. The Model Portfolio filters include industry structure, pricing power and barriers to entry, which are catalysts that could trigger either higher industry or company returns. The ability of management to have a well defined strategic initiative and their track record in executing strategies that provide above average returns to shareholders are integral elements. The low Price to Earnings / Earning revision, high Price to Gross Cash Flow Per Share and high franked dividend yield variables as well as valuation support are key parameters that are sought in small cap

stocks.

Benchmark index



15 – 35


No fixed minimum

Fees



Minimum Maximum


Cash 0 10

109

Model Portfolio Profile: TH0004JBWere Listed Multi Strategy

Investment objective: The Model Portfolio aims to provide long term capital growth by investing in a broad selection of Australian listed investments, across a range of asset classes.

This will primarily include large market capitalised Australian listed companies in addition to exposure to small – mid cap stocks, listed corporate bonds and listed hybrid securities, listed A–REITs, Listed Investment Companies (LICs), Exchange Traded Funds (ETFs) and Exchange Traded Commodity funds (ETC).


JBWere


n have an investment horizon of at least 5 years and a moderate to high risk tolerance. The bias to growth assets means that the Model Portfolio will have greater short term fluctuations in value than portfolios with greater allocations to defensive assets; and

n are comfortable investing directly in listed securities as these securities may experience significant volatility from time to time.


The Listed Multi Strategy Model Portfolio focuses on delivering above average after tax income, but predominantly, capital growth returns to investors. As the Model Portfolio invests in securities listed on the ASX, investors need to be comfortable with investing directly in listed investments across various asset classes. The Model Portfolio has a growth bias and will have Model Portfolio filters for Australian equities that include high ROE trends, attractive ROFE/ PEG, strong EPS revisions or potential to do so, above average pricing power characteristics and dominant industry positions with the ability to restructure and consolidate fragmented industries.

Management expertise is a key focus of analysis, with management capable of adding substantial value and generating above average and sustainable returns to shareholders being viewed favourably. For listed property, filters include gross yields, gearing, NTA discounts/premiums and sector preferences. Defensive alternatives in the listed investments can comprise corporate bonds, hybrids, infrastructure and ETFs, while growth alternatives can comprise gold securities, commodity ETFs (e.g. the GOLD ETF), infrastructure and hybrid securities. Global equities comprise global ETFs listed on the ASX and are selected on the basis of global replication of the MSCI World index with potential for country, region and/or sector bias.

Benchmark index



30 – 40


No fixed minimum

Fees



Minimum Maximum


Cash 0 20

110

Model Portfolio Profile: KC0001Kingfisher Capital Partners Australian Equities Portfolio

Investment objective: The Model Portfolio aims to provide investors with long term capital growth and regular income through investment in quality Australian shares.


Kingfisher Capital Partners


� Seek the potential for capital growth and consistent, tax effective income, and

� Seek a minimum investment period of 5 years or longer.

The Model is designed for investors such as:

� Charitable Foundations

� Not-for-profit organisations

� Superannuation funds

� High net worth investors

� Universities and other educational institutions

� Tax exempt entities

� Trusts


Kingfisher’s investment approach is semi active, bottom up, fundamental value.

Kingfisher’s investment selection is based on fundamental research on an individual company basis. The Model construction will contain two ‘informal’ sub-categories:

� Diversified value [typically smaller investments]; and

� Concentrated value [typically larger portfolio investments].

The concentrated value sub-category will contribute the highest return potential [and risk] to the Model Portfolio. Ideally, the diversified value sub-category will migrate over time to concentrated value sub-category. This is dependent on the availability of opportunities.

Benchmark index



20 - 70


$25,000

Fees



Minimum Maximum


Cash 0 50

111

Model Portfolio Profile: LO0001Lonsec Core

Investment objective: The principal objective of the Lonsec Core Portfolio is to deliver strong absolute returns, over the medium to long term, invested across a number of industry classifications.




� Seek a fully invested active manager of leading stocks;

� Seek mainly capital growth with some income; and

� Want to invest for the medium to long term.


Lonsec focuses on generating absolute returns, over the medium to long term, through concentrated, low-turnover portfolios.

Lonsec’s investment process has five key components:1. Top down – Macro-economic and Industry themes are given

a greater weight than company numbers

2. High conviction – Portfolios are generally concentrated at between 10–20 stocks

3. Quality companies at a reasonable price – Looking for the best companies in the best industries but only at a reasonable price

4. Low turnover – Portfolio turnover averages between 20–30% p.a.

5. Risk management – Risk is mitigated via team experience, portfolio construction rules, stock selection criteria and risk measurement tools

Benchmark index



10 – 20


No fixed minimum

Fees



Minimum Maximum


Cash 0 5

112

Model Portfolio Profile: LO0002Lonsec Income

Investment objective: To deliver an above-benchmark, tax-effective income stream and reasonable capital growth, over the medium to long term, by investing in a concentrated portfolio of large-cap Australian listed companies.




� Seek an above benchmark, tax advantaged income stream; and

� Seek capital growth at least in line with inflation over a holding period of at least 3 years.



Lonsec’s investment process has five key components:

1. Top down – Macro-economic and Industry themes are given equal weight to company numbers

2. High conviction – Portfolios are generally concentrated at between 10–15 stocks




Benchmark index



10 – 15


No fixed minimum

Fees



Minimum Maximum


Cash 0 5

113

Model Portfolio Profile: LO0003Lonsec Diversified Direct Balanced

Investment objective: To provide a diversified portfolio solution of growth and defensive assets based solely on the use of listed investment vehicles.




� Seek exposure to a diversified portfolio of growth and defensive assets, consistent with Lonsec’s Balanced risk profile;

� Seek a highly liquid, low-cost diversified portfolio solution;

� Seek a tax-efficient and transparent portfolio solution; and

� Seek to maintain beneficial ownership of their diversified portfolio.


The diversified portfolios have been designed by Lonsec to provide optimal, low cost listed solutions for the various risk profiles. Constant monitoring by Lonsec against the peer group will ensure that the best underlying investments continue to be selected that meet the investment objectives.

Benchmark index



Max of 35


No fixed minimum

Fees



Minimum Maximum


Global Equities (unhedged) 17 33

Property & Infrastructure 8 14

Bonds 25 45

Cash 0 15

114

Model Portfolio Profile: LO0004Lonsec Diversified Direct Growth

Investment objective: To provide a diversified portfolio solution of growth and some defensive assets based solely on the use of listed investment vehicles.




� Seek exposure to a diversified portfolio of growth and some defensive assets, consistent with Lonsec’s Growth risk profile;






Benchmark index



Max of 35


No fixed minimum

Fees



Minimum Maximum




Bonds 12 22

Cash 0 10

115

Model Portfolio Profile: LO0005Lonsec Diversified High Growth

Investment objective: To provide a diversified portfolio solution of growth assets based solely on the use of listed investment vehicles.




� Seek exposure to a diversified portfolio of growth assets, consistent with Lonsec’s High Growth risk profile;






Benchmark index

Morningstar Multi-sector Aggressive Market Index


Max of 35


No fixed minimum

Fees



Minimum Maximum




Cash 0 10

116

Model Portfolio Profile: LO0006Lonsec Emerging Leaders

Investment objective: To deliver strong returns above benchmark, over the medium to long term, by investing in a diversified portfolio of emerging Australian listed companies.




� Seek capital growth from a portfolio of medium and small cap companies;

� Seek a reasonable dividend yield; and

� Seek to invest for the medium to long term.



Lonsec’s investment process has five key components:

1. Top down – Macro-economic and Industry themes are given a greater weight than company numbers

2. High conviction – Portfolios are generally concentrated at between 10 – 20 stocks




Benchmark index



12 – 20


No fixed minimum

Fees



Minimum Maximum


Cash 0 5

117

Model Portfolio Profile: MK0001 M Capital Emerging Leaders Equities

Investment objective: The Emerging Leader Equities Model seeks to achieve risk-adjusted capital growth above the S&P/ASX 300 Accumulation Index over a rolling 5 year period through conviction exposures to smaller and medium-sized Australian stocks outside the S&P/ASX100 considered to possess superior long-term capital growth potential.


M Capital*

* M Capital is a Corporate Authorised Representative of AFSL 236048


� Have a very long-term-investment objective (7 years +) and seek high levels of potential capital growth (with a lower-focus on income) outside of the S&P/ASX100 from smaller, less-established companies;

� Accept the high risk of potential capital fluctuations and high risk of potential capital loss; and

� Accept that the Model can hold higher levels of cash than is typical for a benchmarked Model for a potentially prolonged period and/or in the face of ongoing rises in investment prices in recognition of such as a potential risk buffer.


The Model is a; high conviction, risk-weighted, predominantly long-term/buy-and-hold, style-neutral portfolio containing between 20-45 holdings.

Our philosophy contends that the market; can be slow to adjust to macroeconomic trends, emerging company valuations and is structurally tilted towards short-term outcomes. The Model Manager selects investments from the ASX300/Small Ordinaries/All Ordinaries indices applying a proprietary stock selection process combining top-down macro thematics with bottom-up investment-selection focusing on sustainable long-term growth at a reasonable price.

The manager seeks a valuation “margin of safety” (cross referencing a range of potential DCF outcomes with other measures-depending on company type) to find “superior companies at the right price”.

The Model Manager believes that having a comprehensive understanding of global macroeconomic events is critical in determining investment strategy. Accordingly, we draw on leading objective (not affiliated with financial services or product sales) global macroeconomic research, available only by subscription, to assist us in formulating our view.

This extensive top-down research complements our own proprietary bottom-up analysis with the Manager’s macro research sources assisting in the derivation of; equities vs cash allocations, thematic strategy and risk aversion analysis. The Manager believes that having an informed and objective understanding of the macro environment provides the foundation for delivering more informed, objective and credible investment solutions.

Against this macroeconomic assessment, we apply a bottom-up overlay to identify quality emerging companies with attractive fundamentals and a defensible competitive advantage that we believe will be able to capitalise upon the previously identified macroeconomic investment themes. This evaluation encompasses both qualitative and quantitative factors, including: risk and quality screens and fundamental analysis. We are students of human behaviour and pride ourselves on a key input in the process being qualitative management assessment.

Given the conviction nature of the Model, investments selected are risk-weighted on the basis of minimum potential excess returns >5% over the rolling 1-5 year forecast period. Long term capital preservation is paramount. Accordingly, if such investments are not available, the Model will hold cash.

Risk mitigation is thus also inherent in the conviction philosophy and holding size parameters with absolute cap and floors of 10% and 1% on single positions. Investment propositions are continuously re-tested and weightings monitored against risk/return parameters and valuations. The Model is re-weighted on an ad-hoc basis as investment changes are made.

Benchmark index



20 – 45


No fixed minimum

Fees




Cash 0 25

118

Model Portfolio Profile: MK0002M Capital Ethical Equities Income

Investment objective: The Ethical Equities Income Portfolio aims to generate income-streams above the yield available from the ASX 200 Index over the longer term (5 years+, or, the generalised length of a business cycle) with an Ethical investment, Environmental, Social and Governance (ESG) screening overlay.


M Capital*

* M Capital is a Corporate Authorised Representative of AFSL 236048


� Have a long-term investment objective (5 years +) and seek above-index levels of income from larger capitalisation Australian equities, with some capital growth, and who can make use of franking credits;

� Focus on fully-franked income streams makes it a potentially suitable investment Model for; Not-For-Profits, Endowments, Private Ancillary Funds (PAFs), Super Funds;

� Are willing to accept higher levels of potential capital volatility and capital loss in order to potentially achieve greater returns over a longer-term investment horizon; and

� Seek a portfolio that also actively screens for ethical, environmental, social and governance (ESG) issues and/or seeks companies with superior ESG policies/track-record.


The Model is a relatively passive (buy-and-hold but with some active income strategies such as dividend harvesting), risk-weighted, conviction, style-neutral-Model containing between 10-30 holdings.

Investments are selected from the ASX200 index and derived from a proprietary stock selection process combining top-down macro thematics with bottom-up investment-selection focusing on Total Shareholder returns sought predominantly from sustainable dividend-paying companies (ahead of capital growth).

Given the income-focussed mandate, the Portfolio will seek to remain fully-invested through the cycle. The Portfolio also aims to have moderate turnover.

Given the income bias of the Portfolio and generalised underweight allocation to certain lower-income higher-growth sectors (such as resources, technology and healthcare), capital growth performance will theoretically lag the ASX200 during periods of market strength. As such, the portfolio is benchmarked against the income-related return of the ASX200.

A fundamental principle of the Model is to passionately partner with and support investors in their respective Philanthropic pursuits. As such, the Model Manager proudly donates 10% of the gross management fee to investor’s philanthropic entities as a means of practical engagement with and support of your cause

Benchmark index

Whilst index agnostic in approach, the Model aims to generate income-streams above the yield available from the ASX 200 Index


10 – 30


No fixed minimum

Fees




Cash 0 10

119

Model Portfolio Profile: MQ0001Macquarie Australian Concentrated Equities

Investment objective: The Macquarie Australian Concentrated Equities portfolio aims to outperform the S&P/ASX 200 Accumulation Index (Index) over the medium to long-term (before fees). It aims to provide capital growth and some income.


Macquaire Investment Management Global Limited.


The Macquarie Australian Concentrated Equities portfolio may be suitable for investors looking to gain exposure to a concentrated portfolio of Australian Equities. The portfolio may be suitable for investors seeking:

• Capital growth and some income over the medium to long-term.

• Exposure to a portfolio run by the experienced Macquarie Australian Equities team


The Macquarie Australian Concentrated Equities portfolio provides exposure to a concentrated portfolio of Australian equities through securities listed, or expected to be listed, on the Australian Securities Exchange (ASX).

Only those securities that the Investment Manager has conviction to generate returns will be included in the portfolio. The aim is to build a portfolio of equities that are exposed to a wide range of factors driving share market performance. This may result in the portfolio holding both ‘value’ and ‘growth’ equities.

The process employs quantitative screening followed by in-depth fundamental research to identify companies which:

� Rank highly on the Investment Manager’s proprietary quantitative screens

� Appear undervalued over the medium-term on the Investment Manager’s forecasts, and

� May exceed market expectations over the long term.

Benchmark index



25-40


$20,000

Fees




Cash 0 10

120

Model Portfolio Profile: AE0002Morningstar Income Equities

Investment objective: The objective of the Morningstar Income Equities Income Portfolio (“Income Portfolio”) is to outperform the S&P/ ASX 200 Accumulation Index over a complete cycle. The portfolio is actively managed and concentrated consisting of ASX-listed stocks covered by Morningstar’s large Equity Research team. We focus portfolio exposure on companies with competitive advantages, a market price offering margin of safety, a sustainable dividend yield above the benchmark, and franking credits. This combination of factors helps to preserve capital and reduce volatility in various market environments. Portfolio turnover is modest to minimise costs and further support after-tax performance. Morningstar Equity Research analysts’ ratings, such as Fair Value Estimate, Economic Moat, and Valuation Uncertainty, are important inputs to the portfolio construction process. Total return will tend to be driven more by income than capital appreciation, although both are of course desirable.


Morningstar


� Seek a reliable, above-market average income yield with moderate long term capital growth relative to that of the performance benchmark.


An actively managed and concentrated consisting of ASX-listed stocks covered by Morningstar’s large Equity Research team. We focus portfolio exposure on companies with competitive advantages, a market price offering margin of safety, a sustainable dividend yield above the benchmark, and franking credits.

This combination of factors helps to preserve capital and reduce volatility in various market environments.

Portfolio turnover is modest to minimise costs and further support after-tax performance. Morningstar Equity Research analysts’ ratings, such as Fair Value Estimate, Economic Moat, and Valuation Uncertainty, are important inputs to the portfolio construction process.

Total return will tend to be driven more by income than capital appreciation, although both are of course desirable.

Benchmark index



15 – 30


No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX 200 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.



Cash 0 10 20

121

Model Portfolio Profile: AE0003Morningstar Small Cap Equities

Investment objective: The objective of the Morningstar Small Cap Equities Portfolio (“Small Cap Portfolio”) is to outperform the S&P/ASX Small Ordinaries Accumulation Index over a complete cycle. The Small Cap Portfolio is an actively managed concentrated portfolio consisting of our best small cap ideas outside of the S&P/ ASX 100 with sufficient liquidity. Portfolio holdings primarily consist of companies trading at attractive discounts to intrinsic value relative to the portfolio universe according to our research team. All else equal, we also strive to own companies with economic moats as high quality companies tend to outperform with reduced volatility. Total return from the Small Cap Portfolio will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.


Morningstar


� Seek shareholder returns through investment in smaller Australian listed companies. Overall returns are expected to be commensurate with the risks, though investors must be prepared for individual stock losses and high levels of volatility.


An actively managed concentrated portfolio consisting of our best small cap ideas outside of the S&P/ASX 100 with sufficient liquidity. Portfolio holdings primarily consist of companies trading at attractive discounts to intrinsic value relative to the portfolio universe. All else equal, we also strive to own companies with economic moats as high quality companies tend to outperform with reduced volatility. Total return will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.

Benchmark index



15 – 30


No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX Small Ordinaries Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.



Cash 0 10 20

122

Model Portfolio Profile: AE0005Morningstar Core Equities

Investment objective: The objective of the Morningstar Core Equities Portfolio (Core Portfolio) is to outperform the S&P/ASX 200 Accumulation Index over a complete cycle. The portfolio is actively managed and concentrated consisting of ASX-listed stocks covered by Morningstar’s large Equity Research team. We focus portfolio exposure on companies with competitive advantages, a market price offering margin of safety, a sustainable dividend yield, and franking credits. This combination of factors helps to preserve capital and reduce volatility in various market environments. Portfolio turnover is modest to minimise costs and further support after-tax performance. Morningstar Equity Research analysts’ ratings, such as Fair Value Estimate, Economic Moat, and Valuation Uncertainty, are important inputs to the portfolio construction process. Total return will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.


Morningstar


� Seek a core portfolio of Australian equity securities aimed at providing capital growth through investment in listed Australian securities; and

� Seek tax-effective income returns via franked dividends.


An actively managed and concentrated portfolio consisting of ASX-listed stocks covered by Morningstar’s large Equity Research team.

We focus portfolio exposure on companies with competitive advantages, a market price offering margin of safety, a sustainable dividend yield, and franking credits. This combination of factors helps to preserve capital and reduce volatility in various market environments.

Portfolio turnover is modest to minimise costs and further support after-tax performance. Morningstar Equity Research analysts’ ratings, such as Fair Value Estimate, Economic Moat, and Valuation Uncertainty, are important inputs to the portfolio construction process.

Total return will tend to be driven by both capital appreciation and dividend yield with the mix dependent on the opportunities available.

Benchmark index



15 – 30


No fixed minimum

Fees

Investment Fee 0.44% p.a. Performance Fee 11%

The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX 200 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.



Cash 0 10 20

123

Model Portfolio Profile: IB0001Morningstar Diversified Income

Investment objective: To achieve a consistent level of income at or above prevailing cash levels and the potential for long term capital growth, by investing in a diversified portfolio that has an emphasis on income producing assets.


Morningstar


The Diversified Income Model Portfolio is designed for investors whose main objective is to generate consistent income with the potential for capital growth over the long term. They are prepared to accept a low to moderate risk of capital loss to achieve this objective.


An actively managed diversified portfolio of securities across both income oriented asset classes, such as cash and fixed interest securities, and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 60% income assets and 40% growth assets, however the allocations will be actively managed within the allowable ranges depending on market conditions.

Benchmark index

CPI plus 2% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 40

Australian Property Securities 0 25

Global Property Securities 0 25


Alternatives 0 20



Global inflation linked (hedged) 0 20

Cash 0 80

124

Model Portfolio Profile: IB0002Morningstar Property

Investment objective: To achieve a mixture of capital growth and income by investing predominantly in a portfolio of ASX listed Australian Real Estate Investment Trusts.


Morningstar


The Property Model Portfolio is designed for investors whose main objective is to achieve capital and income growth through predominantly ASX listed Australian Real Estate Investment Trusts. They are prepared to accept a high risk of capital loss to achieve this objective.


This is an actively managed diversified portfolio of Australian REITs and property with a greater focus on Australian commercial property rental income and stronger balance sheet strength.

Benchmark index

S&P/ASX 200 A-REITS Accumulation Index


2 – 15


No fixed minimum

Fees




Property Securities 90 100

Cash 0 10

125

Model Portfolio Profile: IB0003Morningstar Global Shares

Investment objective: To achieve capital growth by investing in a diversified portfolio of ASX listed ETFs and Managed Funds based on portfolios of international equities.


Morningstar


The Global Shares Model Portfolio is designed for investors whose main objective is to achieve capital growth through international equities. They are prepared to accept a high risk of capital loss to achieve this objective.


This is an actively managed portfolio of ASX listed ETFs and Managed Funds with global equities exposure.

Benchmark index

MSCI ACWI Accumulation Index (Net Dividends Reinvested)


2 – 40


No fixed minimum

Fees



International Shares 90 100

Cash 0 10

126

Model Portfolio Profile: IB0004Morningstar Cash

Investment objective: To deliver a consistent income return, whilst preserving the underlying capital.


Morningstar


The Cash Model Portfolio is designed for investors whose main objective is to achieve consistent income return while preserving underlying capital. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is a defensive portfolio of quality cash and fixed income investments.

Benchmark index

UBS Australia Bank Bill Index


1 – 20


No fixed minimum

Fees



Fixed Income/Debt 0 90

Cash 10 100

127

Model Portfolio Profile: IB0005Morningstar High Growth Plus

Investment objective: To achieve capital growth through investing in a diversified portfolio of predominantly growth asset classes.


Morningstar


The High Growth Plus Model Portfolio is designed for investors whose main objective is to accumulate assets by targeting capital growth over the long term. They are prepared to accept a moderate to high risk of capital loss to achieve this objective.



Benchmark index

CPI plus 5% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 70




Alternatives 0 20




Cash 0 20

128

Model Portfolio Profile: IB0006Morningstar High Growth

Investment objective: To achieve capital growth through investing in a diversified portfolio of predominantly growth assets classes, with a small proportion of income asset classes.


Morningstar


The High Growth Model Portfolio is designed for investors whose main objective is to accumulate assets by targeting capital growth over the medium to long term. They are prepared to accept a medium to high risk of capital loss to achieve this objective.



Benchmark index

CPI plus 4.5% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 65




Alternatives 0 25




Cash 0 35

129

Model Portfolio Profile: IB0007Morningstar Growth

Investment objective: To achieve capital growth through investing in a diversified portfolio of growth and income asset classes, with an emphasis on growth asset classes.


Morningstar


The Growth Model Portfolio is designed for investors whose main objective is to achieve balanced returns to meet their medium to long term financial goals. They are prepared to accept a medium risk of capital loss to achieve this objective.



Benchmark index

CPI plus 3.5% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 60




Alternatives 0 25




Cash 0 45

130

Model Portfolio Profile: IB0008Morningstar Balanced

Investment objective: To achieve a moderate amount of capital growth along with a consistent income return, by investing in a diversified portfolio of growth and income assets.


Morningstar


The Balanced Model Portfolio is designed for investors whose main objective is to maintain stable returns. They are prepared to accept a low to medium risk of capital loss to achieve this objective.



Benchmark index

CPI plus 2.5% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 45




Alternatives 0 25




Cash 0 55

131

Model Portfolio Profile: IB0009Morningstar Conservative

Investment objective: To achieve a consistent income return and a modest amount of capital growth, by investing in a diversified portfolio of income and growth asset classes, with an emphasis on income asset classes.


Morningstar


The Conservative Model Portfolio is designed for investors whose main objective is stability of income and capital protection. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is an actively managed diversified portfolio of securities across both income oriented asset classes, such as cash and fixed interest securities, and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 70% income assets and around 30% growth assets, however the allocations will be actively managed within the allowable asset allocation ranges depending on market conditions.

Benchmark index

CPI plus 1% p.a.


25 – 80


No fixed minimum

Fees




Global Shares 0 30




Alternatives 0 25




Cash 10 70

132

Model Portfolio Profile: IB0010Morningstar Defensive

Investment objective: To achieve a consistent income return by investing in a diversified portfolio of predominantly income asset classes, with a small proportion of growth asset classes.


Morningstar


The Defensive Model Portfolio is designed for investors whose main objective is stability of income and capital protection. A lower risk of capital loss can be expected, but overall returns are also likely to be lower.


This is an actively managed diversified portfolio of securities across both income oriented asset classes, such as cash and fixed interest securities, and growth asset classes such as Australian equities, property and global securities. In general, the portfolio’s long term average exposure will be around 85% income assets and around 15% growth assets, however the allocations will be actively managed within the allowable ranges depending on market conditions.

Benchmark index

CPI plus 0.75% p.a.


2 – 80


No fixed minimum

Fees




Global Shares 0 15




Alternatives 0 20




Cash 10 90

133

Model Portfolio Profile: NA0001Navin Australian Industrial Growth

Investment objective: The principal objective of the Navin Australian Industrial Growth Portfolio is to achieve capital growth over the medium to long term. The portfolio also seeks to provide investors with some tax effective income through the receipt of franked dividends. The aim of the portfolio is to outperform the S&P/ASX 200 Accumulation Index.


Navin Asset Management Pty Ltd (Navin)


� Seek capital growth and some tax effective dividend income;

� Have a medium to long term investment horizon; and

� Accept the risk of share price fluctuations but wish to moderate this risk by investing only in industrial shares.


The investment strategy of the Model Portfolio is to focus exclusively on leading Australian industrial shares. These are shares which have a proven earnings growth history which the Model Portfolio Manager expects to continue over the medium to long term.

Navin analyses over 250 stocks and rates each stock. Their rating process assesses key fundamental data including future earnings estimates, cash flow, return on equity and dividend projection.

The Model Portfolio invests in a concentrated portfolio of 15 to 30 stocks and excludes companies which the Model Portfolio Manager considers have low market liquidity or are speculative.

The portfolio maintains diversification across industry sectors. 80% of the Model Portfolio’s equity exposure will be invested in leading Australian companies from the S&P/ASX 200.

Benchmark index



15 – 30


No fixed minimum

Fees


The performance fee is based on the Model’s out-performance above the performance benchmark index, the S&P/ASX 200 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 30

*Performance Fee is only paid when absolute return is positive. Full details can be found under “Fees and other costs” in the PDS.

134

Model Portfolio Profile: NA0002Navin Australian High Growth

Investment objective: The principal objective of the Navin Australian High Growth Portfolio is to achieve capital growth over the medium to long term. The portfolio also aims to provide investors with some tax effective income through the receipt of franked dividends. The aim of the portfolio is to outperform the S&P/ASX 200 Accumulation Index.




� Seek capital growth and some tax effective dividend income;


� Accept the risk of share price fluctuations.


The investment strategy of the Model Portfolio is to focus exclusively on Australian securities which are expected to achieve substantial earnings growth over the next 1 – 3 years.

Navin analyses over 250 stocks and rates each stock. Their rating process assesses key fundamental data including dividend projections, future earnings estimates, cash flow and return on equity.

The Model Portfolio invests in a concentrated portfolio of 15 to 30 stocks and excludes companies which the Model Portfolio Manager considers have low market liquidity or that are speculative.

The Portfolio maintains diversification across industry sectors. 80% of the Model Portfolio’s equity exposure will be invested in leading Australian companies from the S&P/ASX 200.

Benchmark index



15 – 30


No fixed minimum

Fees


The performance fee is based on the Model’s out-performance above the performance benchmark index, the S&P/ASX 200 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 30

*Performance Fee is only paid when absolute return is positive. Full details can be found under “Fees and other costs” in the PDS.

135

Model Portfolio Profile: NA0003Navin Australian Income

Investment objective: The Navin Australian Income Portfolio seeks to generate tax effective dividend income with some capital growth through investing in Australian shares.




� Seek a tax effective income stream with some capital growth;


� Accept the risk of share price fluctuations.


The investment strategy of the Model Portfolio is to maintain a portfolio of quality Australian shares where the average of all dividends paid by the shares in the portfolio is greater than the market average dividend. The portfolio of shares is also expected to generate some capital growth.

Navin analyses over 250 stocks and rates each stock. Their rating process assesses key fundamental data including dividend projections, future earnings estimates, cash flow and return on equity.

The Model Portfolio invests in a concentrated portfolio of 15 to 30 stocks and excludes companies which the Model Portfolio Manager considers have low market liquidity or that are speculative.

The Model Portfolio maintains diversification across industry sectors. 80% of the Model Portfolio’s equity exposure will be invested in leading Australian companies from the S&P/ASX 300.

Benchmark index

S&P/ASX 300 Accumulation Index (adjusted for franking credits)


15 – 30


No fixed minimum

Fees



Minimum Maximum


Cash 0 30

136

Model Portfolio Profile: EA0001Newport Australian Shares

Investment objective: The Portfolio aims to provide investors with an investment generally in assets which generate stable income and aim to produce strong absolute returns over the medium to long term with lower volatility than equity indices.


Newport Private Wealth Pty Ltd


� Seek stable income and aim for strong absolute returns over the medium to long term with lower volatility than equity indices.


The investment Strategy is quant driven, the universe is screened using value and momentum.

� Value – cheap stocks outperform expensive stocks over the long term.

� Momentum – cheap stocks can stay cheap, therefore stocks must have upward price momentum.

The portfolio will be able to invest in ASX listed securities.

Benchmark index



15-35


No fixed minimum

Fees




Cash 0 20

137

Model Portfolio Profile: EA0002Newport Global Tactical

Investment objective: The portfolio will seek to provide capital appreciation though superior risk adjusted absolute returns. The portfolio aims to provide returns that exhibit low correlation with traditional asset classes and other absolute return strategies. It will target 5 year rolling returns of 8-10% annualised with lower volatility than global equities and a target Sharpe ratio of >0.60.


Newport Private Wealth Pty Ltd


� Seek capital appreciation through globally diversified exposure to multiple asset classes.


The portfolio will adopt a long-only global tactical asset allocation strategy. The portfolio’s asset allocation is determined quantitatively by a rules based system that is algorithm driven and re-weighted monthly. The strategy is primarily designed to identify and capture the long term trending nature of asset classes and allocate. The portfolio’s mandate will allow it to be highly flexible and take high conviction asset class positions. Being absolute return focused, the portfolio will not be benchmark constrained. To implement the strategy the portfolio will trade a basket of ASX listed ETPs.

Benchmark index

RBA Cash Rate


1 – 30


No fixed minimum

Fees

Investment Fee 1.10% p.a. Performance Fee 10%*

The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the RBA Cash Rate. Further details can be found under ‘Fees and other costs’ in the PDS.


Equities 0 100

Property 0 100

Commodity 0 100

Bonds 0 100

Cash 0 100


138

Model Portfolio Profile: OK0001OKIS Wealth Income

Investment objective: The OKIS Wealth Income Portfolio is an absolute return portfolio that is franking credit conscious. The portfolio objective is to achieve income generation and capital preservation through investments in ASX listed debt, hybrid securities and cash holdings. The portfolio is expected to generate cash flow through dividends and interest payments, while accumulating franking credits when possible.


OKIS Wealth Pty Ltd


� The OKIS Wealth Income Portfolio is suitable for long-term investors wanting to own a portfolio of quality income securities and issued debt capable of generating sustainable returns and surviving market cycles.

� Secondly, it is for long-term investors to use in conjunction with the OKIS Wealth Equities Portfolio to augment the asset allocation process.


The strategy of the OKIS Wealth Income Portfolio is to generate strong and reliable cash flow returns while being capable of capital preservation. This is achieved through identifying and opportunistically purchasing securities with a combination of some or all of the following attributes; investment grade ratings, maturities generally four years or less, mandatory conversion terms, and fixed or floating interest rates depending on the trend in inflation and interest rates direction.

Benchmark index

UBSW Bank Bill Index


Up to 20


$5,000

Fees



Minimum Maximum

ASX Listed Debt & Securities 0 100

Cash 0 100

139

Model Portfolio Profile: OK0002OKIS Wealth Equities

Investment objective: The OKIS Wealth Equities Portfolio is an absolute return orientated portfolio. The objective of the OKIS Wealth Equities Portfolio is to achieve capital growth, income generation and capital preservation through value based capital allocation decisions. At all times the portfolio is expected to generate cash flow through dividends and interest payments received that either compliment the growth assets of the portfolio or help compensate for any capital loss incurred.


OKIS Wealth Pty Ltd


� The OKIS Wealth Equities Portfolio is suitable for long-term investors wanting to own a portfolio of quality stocks capable of not only surviving but prospering through market cycles.

� Secondly, it is for long-term investors to use in conjunction with the OKIS Wealth Income Portfolio to augment the asset allocation process.


The strategy of the portfolio is to meet Warren Buffett’s simple goal for investors “Our goal as investors should simply be to purchase at a rational price a part interest in an easily understandable business whose earnings are virtually certain to be materially higher 5, 10 & 20 years from now. Then put together a portfolio of companies whose aggregate earnings march upwards over the years”. To achieve this objective we identify and invest in businesses with durable earnings power and growth potential. Such businesses have successfully emerged from their industry economic dynamics with competitive positions capable of dealing with pricing and sales volume pressures as well as operating and capital cost pressures ensuring future earnings will not be dwindled by the forces of competition as they grow.

The asset allocation strategy is heavily influenced by the equity valuation process. When equities appear expensive excess capital is allocated to income securities to generate income and preserve the purchasing power of the capital rather than be reinvested into equities. When securities valuations are attractive versus income securities then further capital is allocated to equities.

Benchmark index



Up to 20


$5,000

Fees



Minimum Maximum


Income Securities & Cash 0 70

140

Model Portfolio Profile: PD0001PDS Australian Income

Investment objective: The aim of the Pinn Deavin Security Income Portfolio is to provide an above average level of income over the medium to long term through investments in a diversified portfolio of income producing investments. The fund will consist of ASX listed securities and cash.


Pinn Deavin Securities Pty Limited


� Are seeking above market average levels of tax effective income with some potential for capital growth; and

� Prefer a low turnover portfolio with exposure to short-medium term capital volatility and potential loss as a trade off for longer term capital growth. These investments may be in income producing investments which may have a term to maturity. The fund will consist of ASX listed securities and cash. It is the intention of the model manager to invest in ASX listed securities including ordinary shares, preference shares and hybrids.


Pinn Deavin Securities hold monthly investment committee meetings where the holdings within the model will be discussed, with changes to the model considered and discussed at length.

Pinn Deavin Securities keeps a list of preferred stocks, where we look at the quality criteria like return on equity, balance sheet, sustainability on earnings, track record, dividend yield, management, volatility and liquidity. We do not consider whether a stock is cheap or expensive, overbought or oversold when selecting a stock. We focus merely on selecting a stock with the objective to narrow the odds of making a successful investment.

After establishing what stocks we will invest in, we shift our focus on when to buy or sell these stocks individually. We do this using a combination of technical signs and trading skills. We look for long and medium investments not short term gains. For each preferred stock we look at when it is the time to be in and when it is the time to be out. We judge this on a combination of ATR’s along with momentum indicators to indicate when stocks are overbought or oversold.

We trust the systems that we have adopted and put in place, to make timing a purchase much easier. It significantly improves our chances of obtaining positive results. It is not about making a prediction of a stock share’s price, but more about investing with reasonable probability.

Benchmark index



0 - 25


No fixed minimum

Fees



Minimum Maximum

Australian Equities (ASX 300) 0 100

Australian Hybrids & Pref Shares 0 75

Cash 0 75

141

Model Portfolio Profile: PD0002PDS Australian Growth

Investment objective: The aim of the Pinn Deavin Securities Growth Portfolio is to provide long term capital growth from investment in shares in predominantly Australia’s top 300 ASX listed companies.




� Are seeking high levels of growth on investment capital from exposure to Australian equities without exposure to any other asset class; and

� Would be willing to accept very high levels of volatility as a trade off for longer term capital growth. Investments will be in predominantly Australia’s top 300 ASX listed companies.






Benchmark index

S&P/AXS 300 Accumulation Index


0 - 25


No fixed minimum

Fees



Minimum Maximum

Australian Equities (ASX 300) 15 100

Australian Equities (ex ASX 300) 0 15

AREITS & AREIT ETFs 0 20

Cash 0 75

142

Model Portfolio Profile: PD0003PDS International

Investment objective: The aim of the Pinn Deavin Securities International Portfolio is to provide long term capital growth from an investment in international equities, via listed ETFs and LICs.




� Wish to gain diversification by accessing international share markets; and

� Would be willing to accept that returns over the short term may fluctuate and understand that an investment may potentially experience a high level of volatility associated with equity and foreign currency exposure. Investments aim to provide long term capital growth from an investment in international equities, via listed ETFs and LICs.






Benchmark index

MSCI World ex Australia Index (in A$)


0 - 10


No fixed minimum

Fees



Minimum Maximum

International ETFs 0 100

International LICs 0 100

Cash 0 75

143

Model Portfolio Profile: PK0001Peak Income and Growth

Investment objective: The Peak Income and Growth Portfolio has an objective of achieving a market income yield and providing above average market returns through investing in a blend of income and growth equities




Require a mix of income yield and capital growth and can accept a degree of market equity risk.


The Peak investment strategy selects direct equities from a well researched universe of companies within the Peak proprietary research model. This model is updated daily with current prices and shows the shares that are most attractive against a 12 month rolling target price and future dividend yield. The research will examine the relative attractiveness of sectors and companies, various valuation methods and earnings profile,

The managers will then select those shares that meet an income and growth profile so that the blend produces a portfolio market yield as well as capital growth. This strategy thereby aims to achieve total long term returns that exceeds the ASX 300 Accumulation index.

Benchmark index

ASX 300 Accumulation Index


15-25


$20,000

Fees



Australian Equities within 300 ASX index

50 100

Australian Equities ex ASX 300 index

0 30

Cash 0 30

144

Model Portfolio Profile: PK0002Peak Growth

Investment objective: The Peak Growth Portfolio has an objective of achieving capital growth from a portfolio of companies that will have a bias to higher growth rather than higher income distributions


Peak In estment Partners Pty Ltd.


Seek growth and not income, from a portfolio of well diversified companies.



The managers will then select those shares that meet a longer term growth profile. This strategy thereby aims to achieve total long term returns that exceeds the ASX 300 Accumulation index.

Benchmark index

ASX 300 Accumulation Index


15-25


$20,000

Fees



Australian Equities within ASX 300 index

50 100

Australian Equities ex ASX 300 index

0 30

Cash 0 30

145

Model Portfolio Profile: PK0003Peak Smaller Companies

Investment objective: The Peak Smaller Companies Model. has an objective of achieving capital growth from a portfolio of smaller companies that will have a bias to higher growth rather than higher income distributions.. These companies will be predominantly outside the ASX 300, but be of a market capitalization of less than $1bn.




Seek growth and not income. from a portfolio of well diversified smaller companies.



The managers will then select those shares that meet a longer term growth profile. This strategy thereby aims to achieve total long term returns that exceeds the ASX Smaller Ordinaries Accumulation index.

Benchmark index

ASX Small Ordinaries Accumulation index


15-25


$20,000

Fees



Minimum Maximum

Australian Equities within ASX 300 index

0 30

Australian Equities within ASX Small Ords

30 100

Cash 0 30

146

Model Portfolio Profile: PE0002Perennial Value Australian Shares

Investment objective: The aim of the Perennial Value Australian Shares Model Portfolio is provide a total return (after model fees) that exceeds the S&P/ASX 300 Accumulation Index, measured on a rolling three-year basis.


Perennial Value Management Limited (Perennial Value)


� Have an investment horizon of five years or more; and

� Are seeking exposure to a portfolio of Australian value-orientated companies.


The investment objective of the Perennial Value Australian Shares Model Portfolio is pursued by investing in a diversified portfolio of listed, or soon to be listed, Australian shares which Perennial Value believes will provide a combination of capital growth and income. The cornerstone to this approach is Perennial Value’s strong emphasis on company research.

The process aims to ensure investment decisions are focused on buying Australian shares offering good value and selling those shares which Perennial Value believes appear to offer poor value.

The Model Portfolio will typically consist of approximately 45 Australian shares, with a minimum of 20 and a maximum of 70 shares.

Benchmark index



20 – 70


No fixed minimum

Fees


The Performance Fee is based on the Model’s outperformance above the performance benchmark index, the S&P/ASX 300 Accumulation Index. Further details can be found under ‘Fees and other costs’ in the PDS.


Minimum Maximum


Cash 0 10

147

Model Portfolio Profile: PP0001Perpetual Direct Equity Alpha

Investment objective: To provide investors with long-term capital growth and income through investment in quality Australian shares.


Perpetual Investment Management Limited


� Seek capital growth and income through a concentrated portfolio of quality Australian companies.


Perpetual Investments’ investment style is first and foremost based on bottom-up fundamental analysis. This approach firstly selects stocks based on company specific fundamentals, and then by the relative attractiveness of their value. The outcome of our investment process is that our share portfolios demonstrate ‘value’ characteristics. We buy stocks only if they have passed our rigid stock selection criteria and are deemed to be quality companies, and then only if we find them attractive on a valuation basis. In determining investment quality, investments are carefully selected on the four criteria:

� Conservative debt levels

� Sound management

� Quality business; and

� In the case of industrial shares, recurring earnings

Benchmark index



10 – 25


No fixed minimum

Fees



Minimum Maximum


Cash 0 20

148

Model Portfolio Profile: PR0001Pritchard Australian Shares Portfolio

Investment objective: The portfolio aims to provide investors with a return comprising of both tax effective income and capital growth, from a diversified portfolio of Australian listed investments.


Pritchard & Partners Pty Limited


� Seek a total return comprising both tax effective income with the potential for capital growth over the medium to longer term.

The portfolio is designed for investor such as:

� Charities

� Individuals who don’t have the time or inclination to manage an investment portfolio

� Not for profit organisations

� Parents and grandparents who wish to establish an investment portfolio for their children or

� grandchildren

� Superannuation funds

� Trusts


To achieve its investment objectives the Portfolio Manager will invest in a diversified portfolio of listed Australian investments.

It will target individual holdings of between 2% and 10% of the market value of the portfolio at the time of its acquisition for each particular investment. Where the market value of an investment exceeds 15% of the value of the portfolio, the Portfolio Manager may (but is not obliged to) sell part of this investment to reduce the weighting to 15%.

A minimum of 90% of the portfolio will be invested in investments which are income producing at the time of acquisition and a maximum of 25% of the portfolio may be invested in resource investments.

Benchmark index



15 – 30


No fixed minimum

Fees



Minimum Maximum

Cash and cash equivalents 2 50

Interest rate securities 0 25

Australian listed securities 0 98

Australian listed property 0 25

149

Model Portfolio Profile: RA0005Ralton Australian Shares

Investment objective: The objective of the Ralton Australian Shares Model Portfolio is to provide investors with long-term capital growth and some tax effective income from a concentrated portfolio of Australian shares. The Model aims to deliver a return superior to that of the market over periods of five years or longer while at the same time seeking to minimise the risk of investment capital loss.


Ralton Asset Management Limited (Ralton)


� Seek long term capital growth from a concentrated portfolio of Australian shares, with some tax-effective income;

� Seek consistent total returns; and

� Have a long term investment horizon of at least five years and accept the risk of significant price fluctuations.


The investment strategy of the Ralton Australian Shares Model Portfolio is to invest in quality companies that are assessed as likely to provide investors with attractive long term returns, and at the time of purchase are either included in the S&P/ASX 300 Accumulation Index or are one of Australia’s largest 300 companies based on market capitalisation.

Benchmark index



20 – 35


$10,000

Fees



Minimum Maximum


Cash 0 10

150

Model Portfolio Profile: RA0006Ralton High Yield Australian Shares

Investment objective: The objective of the Ralton High Yield Australian Shares Model Portfolio is to provide investors with a consistent, tax-efficient and growing cash dividend yield, and long-term capital growth. The Model aims to deliver a return superior to that of the market over periods of five years or longer and an above market yield.




� Seek a consistent, above average and tax-efficient cash dividend yield;

� Seek long term capital growth from a concentrated portfolio of Australian shares; and



The investment strategy of the Ralton High Yield Australian Shares Model Portfolio is to invest in quality ASX listed companies that are assessed as likely to provide investors with attractive long-term returns (capital growth plus above average yield and franking), and at the time of purchase are either included in the S&P/ASX 300 Accumulation Index or are one of Australia’s largest 300 companies based on market capitalisation.

Benchmark index



20 – 35


$10,000

Fees



Minimum Maximum


Cash 0 10

151

Model Portfolio Profile: RA0007Ralton Smaller Companies

Investment objective: The objective of the Ralton Smaller Companies Model Portfolio is to provide investors with long-term capital growth and some tax effective income from a concentrated portfolio of smaller capitalisation Australian shares. The Model aims to deliver a return superior to that of the market over periods of five years or longer while at the same time seeking to minimise the risk of investment capital loss.




� Seek long term capital growth from a concentrated portfolio of smaller companies, with some tax-effective income;

� Seek consistent above market returns; and



The investment strategy of the Ralton Smaller Companies Model Portfolio is to invest in quality smaller capitalisation companies that are assessed as likely to provide investors with attractive long term returns, and at the time of purchase are listed, or about to be listed, on the ASX and not included in the S&P/ASX 50 Accumulation Index.

Benchmark index



25 – 40


$10,000

Fees



Minimum Maximum


Cash 0 15

152

Model Portfolio Profile: RA0008Ralton Leaders

Investment objective: The objective of the Ralton Leaders Model Portfolio is to provide investors with long-term capital growth and tax effective income from a portfolio of blue-chip Australian shares. The Model aims to deliver returns that are consistently above the S&P/ASX 100 Accumulation Index over a three to five year period.




� Seek long term capital growth and tax effective income from a portfolio of larger and more liquid shares;

� Seek consistent above market returns; and



The investment strategy of the Ralton Leaders Model Portfolio is to invest in quality larger capitalisation companies that are assessed as likely to provide investors with attractive long term returns relative to the Index, and at the time of purchase are either included in the S&P/ASX 100 Accumulation Index or are one of Australia’s largest 100 companies based on market capitalisation.

Benchmark index



25 – 40


$10,000

Fees



Minimum Maximum


Cash 0 10

153

Model Portfolio Profile: RW0001Real Wealth Diversified Portfolio

Investment objective: Although the Portfolio works on the basis of achieving absolute returns and is largely ‘benchmark unaware’, comparison of its returns against those of the Morningstar Multi-sector Balanced TR AUD Index before fees are considered adequate for the purpose of assessing the portfolio’s relative performance.

Over the long term (rolling 5 year periods), it is expected that portfolio performance will exceed CPI increases by at least 3% p.a. while reducing overall volatility and risks.


Real Wealth Pty Ltd


� Seek access to a dynamically managed but heavily diversified portfolio;

� Seek long term capital growth with some income;

� Are looking to minimise volatility and overall risks; and

� Have a minimum investment timeframe of 5-7 years.


Real Wealth believes that a significant driver of investment returns comes from strategic asset allocation. Real Wealth will determine the appropriate proportion of each asset class and to each underlying ETF within the portfolio to meet the investment objective of the portfolio.

ETFs are used due to their high liquidity and low fee structure. ASX listed ETFs are used to gain exposure to various asset classes to create an overall highly diversified portfolio, while the active management provides for increased levels of activity during strong market conditions, with the ability to convert the portfolio to cash in unfavourable market conditions.

Real Wealth’s filter process seeks to identify investment managers with a strong track record and ETFs that give exposure to the necessary underlying asset class, but also low fees and high liquidity.

Benchmark index



Max 10


$20,000

Fees



Australian equities 0 50

International equities 0 50

Australian property 0 30

International property 0 30

Fixed income 0 100

Cash 0 100

Growth Assets 0 100


154

Model Portfolio Profile: SP0002Shaw Hybrid Income

Investment objective: The model aims to invest in a liquid portfolio of ASX listed debt and preference securities that offer diversification benefits to both Australian equities and cash/term deposits.

The model’s return will be generated from a combination of cash (interest payments and dividends), franking credits and capital growth (realised and unrealised) from an actively managed portfolio strategy.

As a result, the Shaw Hybrid Income Portfolio seeks to provide investors with a predictable level of income whilst seeking to preserve capital.


Shaw and Partners Limited


� Seek a sustainable income stream (inclusive of franking credits) over a 3 year + time frame, with a lower risk of loss than equities, and a higher rate of return than cash like investments.


The Model Manager aims to achieve the investment objectives via a qualitative and quantitative investment process. Key criteria and areas of focus are:

• Credit quality of the issuer

• Sector/Industry

• Call date, conversion dates and final maturity details

• Structure of instrument

• Timing and composition of cash flows

• Relative valuation of sector as a whole and between relevant securities, including the inclusion of new issues.

• Liquidity and potential changes in liquidity

The portfolio will be diversified across the above criteria. The portfolio will be monitored against the manager’s expectations of equity returns, credit market implied volatilities and underlying interest rates in order to ensure it is invested across a range of market cycles to meet its return objective, while adhering to the risk tolerances set.

The model manager has access to new issues of debt and preference securities and is able to include in the portfolio as it deems appropriate.

The model manager’s institutional market experience with this asset class brings specialist knowledge to pricing and liquidity. Active management of the portfolio will take advantage of relative mispricing between securities and the asset class as a whole, while taking into consideration the impact of any micro and macroeconomic factors. The ability to lock in gains will be a key feature of the strategy in achieving its objectives.

Benchmark index

RBA Cash rate + 3% (inclusive of franking credits)


10 - 20


$5,000

Fees



Minimum Maximum

Australian Listed Hyrbids 0 100

Listed Debt Securities 0 80

Cash 0 20

155

Model Portfolio Profile: SM0001Smart Investment ASX Top20

Investment objective: The Smart Investment ASX Top 20 portfolio seeks index-like total returns (before taking into account Model Portfolio fees and expenses) from the income and capital growth of large capitalisation stocks listed on the ASX.




� Seek a portfolio of large capitalisation Australian equities;

� Accept a portfolio that delivers index-like returns without any active investment management; and

� Accept that the price of underlying securities may fluctuate significantly.


The investment objective of this Model Portfolio is pursued by investing in a representative sample of shares that are the largest (by market capitalisation) listed on the ASX.

Benchmark index



Around 20


No fixed minimum

Fees



Minimum Maximum


Cash 0 5

156

Model Portfolio Profile: SM0002Smart Investment Defensive

Investment objective: To achieve a consistent total return for a given risk profile over the longer term with a focus on preserving capital as well as maximising performance.

The investment objective of the SIM Defensive Portfolio is to achieve consistent risk adjusted sustainable returns from a mix of different asset classes, within a risk controlled framework. The portfolio is risk graded and targets an annualised level of volatility of 4% with a maximum level of 6% and no lower limit. The Portfolio can invest in a range of asset classes including equities, bonds, commodities, absolute return funds, property funds and cash. The Portfolio will actively pursue a conservative investment strategy by holding assets at the low end of the risk spectrum (predominantly cash, bonds and absolute return) and delivering a commensurate rate of return.




� Suitable for clients prepared to invest for a minimum of 5 years who can accept capital value fluctuations in the short to medium term to achieve a higher rate of return over the longer term.


The portfolio uses a multi-asset approach, primarily investing in investment funds and equities to provide exposure to a wide range of asset classes which can include equities, fixed interest, property, commodities, alternatives and cash. This is expected to provide more consistent, risk-adjusted returns over the longer term than a strategy based on a single asset class.

Benchmark index

Barclays U.S. Govt Inflation Linked TR USD 5.0%

Bloomberg AusBond Composite 0+ Year 15.0%

Bloomberg AusBond Inflation Government 0+ Years 12.5%

BofA Merrill Lynch AUD LIBOR 1 M Cons Maturity TR 15.0%


S&P/ASX 20 TR 10.0%

S&P/ASX 200 A-REIT TR 5.0%

S&P/ASX Corporate Bond 10.0%

S&P/ASX Government Bond 12.5%


20 - 40


No fixed minimum

Fees



Minimum Maximum

Equities 0 20

Cash & Fixed Interest 40 100

Absolute Return 0 40

Property 0 20

Commodities 0 10

157

Model Portfolio Profile: SM0003Smart Investment Conservative


The investment objective of the SIM Conservative Portfolio is to achieve consistent risk adjusted sustainable returns from a mix of different asset classes, within a risk controlled framework. The portfolio is risk graded and targets an annualised level of volatility of 6% with a maximum level of 8% and no lower limit. The Portfolio can invest in a range of asset classes including equities, bonds, commodities, absolute return funds, property funds and cash. The Portfolio will actively pursue a moderately cautious investment strategy by holding assets at the lower end of the risk spectrum and delivering a commensurate rate of return.







Benchmark index

S&P/ASX 20 TR 15.0%






S&P 500 TR 10.0%





20 - 40


No fixed minimum

Fees



Minimum Maximum

Equities 5 35



Property 0 20

Commodities 0 10

158

Model Portfolio Profile: SM0004Smart Investment Balanced


The investment objective of the SIM Balanced Portfolio is to achieve consistent risk adjusted sustainable returns from a mix of different asset classes, within a risk controlled framework. The portfolio is risk graded and targets an annualised level of volatility of 7% with a maximum level of 10% and no lower limit. The Portfolio can invest in a range of asset classes including equities, bonds, commodities, absolute return funds, property funds and cash. The Portfolio will actively pursue a moderately balanced investment strategy by holding assets with a medium level of risk and delivering a commensurate rate of return.




� Suitable for clients prepared to invest for a minimum of 5 years who cannot accept capital value fluctuations in the short to medium term to achieve a higher rate of return over the longer term.



Benchmark index

S&P/ASX 20 TR 15.0%






S&P 500 TR 10.0%

S&P Asia 50 NR 5.0%

S&P Europe 350 5.0%





20 - 40


No fixed minimum

Fees



Minimum Maximum

Equities 15 50



Property 0 20

Commodities 0 10

159

Model Portfolio Profile: SM0005Smart Investment Growth


The investment objective of the SIM Growth Portfolio is to achieve consistent risk adjusted sustainable returns from a mix of different asset classes, within a risk controlled framework. The portfolio is risk graded and targets an annualised level of volatility of 8% with a maximum level of 11% and no lower limit. The Portfolio can invest in a range of asset classes including equities, bonds, commodities, absolute return funds, property funds and cash. The Portfolio will actively pursue a moderate growth investment strategy by holding assets with a medium level of risk and delivering a commensurate rate of return.







Benchmark index

S&P/ASX 20 TR 17.5%






S&P 500 TR 12.5%

S&P Asia 50 NR 4.0%

S&P Europe 350 5.0%




Topix TR 2.5%

MSCI EM (Emerging Markets) TR USD 3.5%


25 - 40


No fixed minimum

Fees



Minimum Maximum

Equities 25 60



Property 0 20

Commodities 0 10

160

Model Portfolio Profile: SM0006Smart Investment High Growth


The investment objective of the SIM High Growth Portfolio is to achieve consistent risk adjusted sustainable returns from a mix of different asset classes, within a risk controlled framework. The portfolio is risk graded and targets an annualised level of volatility of 10% with a maximum level of 13% and no lower limit. The Portfolio can invest in a range of asset classes including equities, bonds, commodities, absolute return funds, property Funds and cash. The Portfolio will actively pursue a growth investment strategy by holding assets at the higher end of the risk spectrum and delivering a commensurate rate of return.







Benchmark index

S&P/ASX 20 TR 20.0%






S&P 500 TR 15.0%

S&P Asia 50 NR 5.0%

S&P Europe 350 5.0%




Topix TR 5.0%

MSCI EM (Emerging Markets) TR USD 5.0%


25 - 40


No fixed minimum

Fees



Minimum Maximum

Equities 40 70



Property 0 20

Commodities 0 10

161

Model Portfolio Profile: UB0001UBS High Alpha Long Term Opportunity (HALO)

Investment objective: The UBS High Alpha Long Term Opportunity (HALO) Model Portfolio invests in a more concentrated portfolio focusing on domestic equities with an aim of generating returns in excess of the S&P/ASX 200 Accum. Index over the course of a market cycle.


UBS Global Asset Management (Australia) Ltd (UBS)


� Seek a more concentrated portfolio of securities listed on the ASX;

� Are prepared to invest through the market cycle; and

� Will tolerate, due to the inherent volatility of share markets, investment returns that fluctuate and may even be negative in some periods.


The UBS High Alpha Long Term Opportunity (HALO) Model Portfolio’s investment strategy is based on the belief of UBS that the intrinsic value of a security is determined by the fundamentals that drive the security’s future cash flow.

UBS believes this is true for all securities be they stocks, bonds or real estate. UBS’ estimate of intrinsic value is forward looking and discounts back to the present the future cash flows available to current shareholders. It does not use short cut ratios such as price/earnings, price/book value, price/sales or dividend/price as proxies for intrinsic value as these can lead to significantly misleading results and can be manipulated by companies e.g. increase dividend payout ratio to increase yield.

Discrepancies between market price and intrinsic value arise from market behaviour and market structure providing opportunities to outperform. The most common behavioural errors involve over-reaction to short-term noise and under reaction to structural change. UBS’ price/intrinsic value approach supports their ability to maintain discipline in the face of short-term noise and is forward looking so as to incorporate structural change and key trends.

Benchmark index



Up to 20


No fixed minimum

Fees

Investment Fee 0.715% Performance Fee Nil


Minimum Neutral Maximum


Cash 0 5 10

162

Model Portfolio Profile: US0001Urquhart Sexton Financial Planning Balanced

Investment objective: The Model objective is to achieve an upside return including growth and income of 7%. Tax consequences and Administration fees are not taken into account. The recommended time frame for investment is 3 to 5 years. The model strategy involves investing in asset classes whose anticipated returns, when combined, are likely to achieve the Models return objective with the least amount of risk.




� Require better than cash returns, who are happy to take some risk and do not want to be exposed to large negative portfolio returns.


The Model is based on the accepted investment process that seeks low risk (low volatility) and high relative returns by diversifying clients investments between the four core assets; cash, interest bearing deposits and bonds, listed property, and direct Australian shares.

The manager takes the view that 80% of investment returns will come from being in the right asset mix. The investment objective of the USFP Balanced Fund is to achieve an investment return before taxes of 8% (not guaranteed) with the least amount of risk.

Having established a nominated return, the portfolio is constructed using asset allocation that is anticipated to deliver the return in the easiest method. For example, if the majority of the models return can be achieved by investing in cash and term deposits, this is how the fund will be invested. As cash rates returns reduce, a greater proportion of money will be invested in bonds, listed property and Australian shares in order to potentially achieve the model’s return objective.

The advantage of this system is that by knowing what we want to achieve we can measure our performance. The entire modelling process is based on measuring the risk against the 10 year bond which is the risk free rate of return. For us to deviate to gain a higher rate of return we need to be able to measure risk versus reward.

“Top down” Economic research is used to anticipate at what “point” we perceive the Economic and Share Market Cycle is at. The Economic and Share Market Cycle position provides guidance on the most appropriate asset sectors to invest in to in order to achieve the fund’s investment objective.

The benefit of a defined asset allocation combined with “top down” research is to overcome the greed/fear cycle and to reduce the excessive positive and negative returns influences of the share market. The Investment Manager subscribes to Investment and Economic research provided by Brian Nash of Merlea Investments Pty Ltd.

Benchmark index

Not applicable


Max of 40


No fixed minimum

Fees



Minimum Maximum


Listed Property 5 20

Hybrid Securities/Bonds/Fixed Interest

10 40


Cash 10 60

Alternatives 0 5

163

Model Portfolio Profile: US0002Urquhart Sexton Financial Planning Growth

Investment objective: The model objective is to achieve a return of 9% after fees. Tax consequences are not taken into account. The recommended time frame for investment is 7 years plus.

The model strategy involves investing in asset classes whose anticipated returns, when combined, are likely to achieve the Models return objective with the least amount of risk.




� Seek a long term capital growth with an income bias.


The model is based on the accepted investment process that seeks low risk (low volatility) and high relative returns by diversifying clients investments between the four core assets; cash, interest bearing deposits and bonds, listed property, and direct Australian shares.

The manager takes the view that 80% of investment returns will come from being in the right asset mix. The investment objective of the USFP Growth Fund is to achieve an investment return before taxes of 10% (not guaranteed) with the least amount of risk.


The advantage of this system is that by knowing what we want to achieve we can measure our performance. The entire modeling process is based on measuring the risk against the 10-year bond which is the risk free rate of return. For us to deviate to gain a higher rate of return we need to be able to measure risk versus reward.


The benefit of a defined asset allocation combined with “top down” research is to overcome the greed/fear cycle and to reduce the excessive positive and negative returns influences of the share market.

The Investment Manager subscribes to Investment and Economic research provided by Brian Nash of Merlea Investments Pty Ltd.

Benchmark index

Not applicable


Max of 40


$20,000

Fees



Minimum Maximum




10 30


Cash 10 40

Alternatives 0 10

164

Model Portfolio Profile: US0003Urquhart Sexton Financial Planning Conservative

Investment objective: The model objective is to achieve a return of 2% in Excess of Available Cash rates. For example if Cash rates are 3% the portfolio aims to achieve 5% after fees. Tax consequences are not taken into account. The recommended time frame for investment is 2 to 3 years.

The model strategy involves investing in asset classes whose anticipated returns, when combined, are likely to achieve the Models return objective with the least amount of risk.




� Seek a steady source of income with the potential for some capital growth.


The model is based on the accepted investment process that seeks low risk (low volatility) and high relative returns by diversifying clients investments between the four core assets; cash, interest bearing deposits and bonds, listed property, and direct Australian shares.

The manager takes the view that 80% of investment returns will come from being in the right asset mix. The investment objective of the USFP Conservative Fund is to achieve an investment return before taxes of Cash rates plus 2% (not guaranteed) with the least amount of risk.


The advantage of this system is that by knowing what we want to achieve we can measure our performance. The entire modeling process is based on measuring the risk against the 10-year bond which is the risk free rate of return. For us to deviate to gain a higher rate of return we need to be able to measure risk versus reward.


The benefit of a defined asset allocation combined with “top down” research is to overcome the greed/fear cycle and to reduce the excessive positive and negative returns influences of the share market.

The Investment Manager subscribes to Investment and Economic research provided by Brian Nash of Merlea Investments Pty Ltd.

Benchmark index

Not applicable


Max of 40


$20,000

Fees



Minimum Maximum




15 30

Cash 40 70


165

Model Portfolio Profile: PM0001Vested FN Arena All-Weather Australian Investments

Investment objective: The objective of the Vested FN Arena All-Weather Australian Investment Portfolio is to provide investors with capital appreciation and dividend yield by investing in Australian equities with high quality and sustainable businesses and Australian exchange traded funds offering portfolio diversification. The Model aims to outperform the 10 year Australian Government bond plus 4% over the long term.


Vested Equities Pty Ltd


We are offering an alternative to fixed interest and cash investments to those requiring a more conservative risk/reward balance in their retirement years.


The Vested FN Arena All-Weather Australian Investments portfolio invests in a selected range of ASX 300 listed investments. Selections are made using proprietary research to identify companies that have the ability to consistently grow profits and dividends, over time and throughout equity market cycles, delivering less volatile and more consistent investment returns.

The portfolio draws on the philosophy that All-Weather performers will outperform the broader market over the long term. All-Weather companies are those that have consistently been able to grow their dividends and increase profits over time and are likely to continue to do so in the future. They are not highly exposed to particular economic or financial conditions and therefore have a larger “economic moat”.

Benchmark index

10 Year Government Bond Rate + 4%


0 – 40


No fixed minimum

Fees



Minimum Maximum


Cash 0 100

166

Model Portfolio Profile: WW0001Wentworth Australian Equities

Investment objective: The Wentworth Australian Equities Portfolio aims to outperform the S&P/ASX 200 Accumulation Index (XJOAI), before costs, over the longer term. In doing so, it seeks to provide investors with a combination of growth and tax-effective dividend income from a concentrated portfolio of Australian companies, chosen because of their compelling outlook, strategy and investment fundamentals, against the global macroeconomic backdrop.


Wentworth Securities


� Are seeking a balance of growth & tax-effective dividend income from a predominantly large-cap, macro-driven portfolio, over a time frame of at least 5 years.


The Wentworth Investment Committee believes that having a comprehensive understanding of global macroeconomic events is critical in determining investment strategy. It is our view that we are not in ‘normal’ markets, at the moment; central banks around the world are engaging in quantitative easing, some economies are experiencing prolonged deleveraging and markets can turn on the whim of a policy maker. In this environment, portfolio managers need to have structured, active, rigorous and objective investment processes in order best position client portfolios in this challenging global landscape.

Accordingly, we draw on leading independent global macroeconomic research, available only by subscription, to assist us in formulating our view. This extensive research complements our own ‘in-house’ analysis and covers everything from asset allocation and thematic strategy through to valuation, risk aversion analysis and market timing indicators regarding major global asset classes and indices.

Against this macroeconomic assessment, we then apply a bottom-up overlay to identify quality companies with attractive fundamentals that we believe will be able to exploit the previously identified macroeconomic investment themes. This thorough evaluation encompasses both qualitative and quantitative factors. Portfolio construction principles are then applied to derive a portfolio that is adequately diversified, whilst maintaining our high conviction approach.

Benchmark index



10 – 20


No fixed minimum

Fees



Minimum Maximum


Cash 0 50

167

Model Portfolio Profile: XX9999Cash Model

Investment objective: The Cash Model seeks to provide a low risk investment return by investing in cash assets with high liquidity.


The Responsible Entity will invest in the relevant bank account or cash fund.


� Seek a low risk investment with regular income; and

� Seek capital preservation.


All cash monies are held in a bank account or invested in a SMA holding in a cash fund. Any interest or income earned on cash that is held in respect of your Account will be credited to your Account as and when it is received.

Benchmark index

Not applicable


Not applicable


No fixed minimum

Fees

Investment Fee Nil Performance Fee Nil

praemium sma - xtbs · ms0001 morningstar conservative real return fund int0034au 0.57% p.a. ms0002...

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