Benefits of investing in the Pendal European Share Fund

Investing in the Fund offers investors a range of benefits:

• access to a professionally managed portfolio of international shares and the potential for long term capital growth;

• access to JOHCM's investment expertise;

• exposure to sharemarkets in the European region;

• regular investment statements and an annual tax statement to keep you up-to-date on your investment;

• ability to keep track of your investments in the secure client area by visiting the login section at www.pendalgroup.com.

Risk level

Very High

Investor suitability

This Fund is designed for investors who want the potential for long term capital growth from a concentrated portfolio of European shares and are prepared to accept high variability of returns.

About the Fund

The Pendal European Share Fund is an actively managed portfolio of European shares.

The Fund invests in companies listed in countries within the MSCI Europe Index and opportunistically in companies domiciled outside Europe, from time to time. The Fund may also hold cash and may use derivatives.

Investment Manager

The portfolio is managed by J O Hambro Capital Management Limited, a wholly-owned subsidiary within the Pendal Group.

As manager of the Fund, J O Hambro Capital Management aims to add value through a bottom-up fundamental stock selection process with a focus on value and high quality businesses. The Fund will typically hold around 25 stocks.

The Pendal European Share Fund (Fund) will terminate on Tuesday, 28 November 2023.

Why is the Fund terminating?

The Fund’s small size means that it has high running costs and cannot be managed in a cost-efficient way.

The Fund has also experienced consistent outflows and we consider that it has little prospect of significant growth in funds under management in the foreseeable future.

How this affects you?

We will terminate the Fund on Tuesday, 28 November 2023.

Any applications received after 2:00pm (Sydney time) on Thursday 24 August 2023 will not be accepted.

We will continue to accept withdrawal requests up to 2:00pm (Sydney time), Monday 27 November 2023.

As soon as practicable after the Fund is terminated on Tuesday, 28 November 2023, we will begin winding up the Fund. The assets remaining in the Fund will be realised and the proceeds distributed to all investors in proportion to their unit holding.

How we invest your money

JOHCM's investment process for European shares is a high conviction, contrarian approach that seeks to invest in companies they believe to be undervalued in the near term but offer long term capital growth. The Fund is benchmark agnostic which means that the benchmark weights are not used as a reference point during portfolio construction.

The Fund has assets that are denominated in foreign currencies. This means that changes to the Australian dollar relative to foreign currencies may affect the value of the assets of the Fund. The Fund's foreign currency exposure will generally not be hedged to the Australian dollar but JOHCM may do so from time to time. JOHCM does not intend to use currency trading as an additional source of Fund returns.

Derivatives may be used to reduce risk and can act as a hedge against adverse movements in a particular market and/or in the underlying assets. Derivatives can also be used to gain exposure to assets and markets.

Asset Classes and Asset Allocation Ranges

• International shares: 80 - 100%

• Cash: 0 - 20%