Benefits of investing in the Cromwell Phoenix Property Securities Fund

Investing in the Fund offers investors a range of benefits:

• Due to the exclusive arrangement between CFM and Phoenix, investment in this Fund is a way for retail investors to gain access to the established property securities research and investment skills of Phoenix.

• The Fund is actively managed and not constrained by its Benchmark's weightings (that is, the Fund is benchmark unaware'). This means that the securities held and the size of each holding are based on what Phoenix considers will best achieve the Fund's objectives, without regard to what securities are in the Benchmark and their weighting in the Benchmark.

• Phoenix has a self imposed capacity constraint on its property securities funds under management to enable a wider choice of potential investments, and hopefully a more sustainable delivery of investment performance, compared to those of its peers that manage large funds.

• With over 70 stocks extensively researched, including preference shares and some infrastructure stocks, the Fund offers investors potential exposure to a broad range of property related investments.

Risk level

Medium

Investor suitability

The type of investors for whom the Fund is intended to be suitable include investors looking to invest in a diversified portfolio of ASX listed property and property related securities.

About the Fund

An investment in the Fund will provide investors with a diversified exposure to a broad range of listed property and property related securities. Those securities will be selected by investment professionals at Phoenix who have significant expertise in the assessment and selection of Australian listed property and property related securities.

The Fund's investment objectives are to:

• maximise investment returns over the medium to long term;

• minimise the risk of permanent capital loss; and

• deliver sustainable and growing distributions over the long term.

The most relevant benchmark is the S&P/ASX 300 A-REIT Accumulation Index and this has been chosen as the Fund's benchmark ("Benchmark). The Fund aims to provide investors with a total return (after fees) in excess of the Benchmark over rolling three year periods. Similarly, the Fund aims to deliver lower total risk than the Benchmark, with total risk being defined as the volatility of total returns over rolling three year periods.

Investment strategy

The Fund provides investors with exposure to a broad range of Australian Securities Exchange listed property stocks which hold underlying investments including office, retail, industrial and hotel assets.

The Fund will not be constrained by benchmark considerations and instead will be managed in a benchmark unaware' manner.

How we invest your money

The Fund is expected to own a minimum of 20 securities at any given time. For risk control reasons, no more than 20% of the Fund's assets will be invested in any one security.

Phoenix will seek to achieve the Fund's investment objective by choosing attractively priced securities determined by fundamental bottom-up analysis. It will use detailed yet standardised financial models allowing a large number of securities to be researched, compared on a relative value basis and updated to capture changes in individual securities and markets.

Asset classes and asset allocation ranges

The Fund will generally invest in keeping with the following targeted asset allocations as a percentage of its total portfolio:

(Investment class (% of portfolio): Target range)

• ASX listed property and property related securities: 80%-100% (see notes 1 and 2)

• ASX classified A-REITs: 50%-100% (see note 2)

• International property securities: 0%-20%

• Derivatives: 0%-10%

• Cash: 0%-20% (see note 3)

Note 1: Includes securities expected to be listed within six months.

Note 2: The Fund may continue to hold previously listed securities that have de-listed.

Note 3: Upper limit may be exceeded if one or more large applications or withdrawals are received.