Benefits of investing in the Premium Asia Income Fund

The Fund is an actively managed portfolio consisting of fixed interest securities issued by companies in Asia and the Middle East. Benefits of investing in the Fund include:

• Regular income and potential for long-term capital growth

• Access to a prominent Hong Kong-based asset management company with a large and experienced investment team

• Active management aimed at maximising potential for returns over the medium and longer-term

Risk level

Medium

Investor suitability

The Fund may be suitable for investors who are looking for an investment with the objective of the Fund listed above and are prepared to accept the risks of the Fund set out in Section 4 of the PDS.

About the Fund

The Premium Asia Income Fund is a managed investment scheme seeking current income and some capital appreciation by investing mostly in a diversified portfolio of high yielding, sub investment grade securities and non-rated securities across a range of markets in Asia and the Middle East (the "Region). The Fund may invest in sovereign debt and corporate debt issued by companies with main operations in or majority of their income derived from the Region. The Fund is expected to be hedged in Australian dollars within a range of 0% to 100% of the Fund's net asset value.

About the Fund Manager

Premium China Funds Management Pty Ltd is the fund manager of the Fund. Premium China Funds Management is a boutique funds management group established in 2005 to bring Asia investment opportunities into the Australian market, in order to bridge the gap between investors' needs to internationally diversify and the suite of investment solutions available.

How we invest your money

The Fund is managed using a disciplined value-oriented approach supported by intensive, on-the-ground bottom-up fundamental research resulting in a concentrated portfolio of fixed interest securities issued by companies in Asia and the Middle East, which, in the view of the Investment Manager, are undervalued, on either an absolute or a relative basis, have the potential to generate regular income and have the potential for some capital appreciation.

Investments guidelines

There are no fixed geographic weightings in the allocation of the Fund's assets. Any geographic or industry weightings will be mainly driven by the bottom-up selection process. The Fund is expected to be fully invested except where defensive strategies such as moving to cash are employed. A portion of the portfolio may also be allocated to cash for liquidity purposes. Derivative instruments such as forwards and participatory notes may be used; however, not for the purposes of leveraging or magnifying the Fund's exposure to any particular asset or market. The Fund may carry out foreign exchange transactions to facilitate the purchase and sale of securities and the collection and transfer of income as well as to implement any currency hedging. The Fund is expected to be hedged in Australian dollars within a range of 0% to 100% of the Fund's NAV.

Investments held

The Fund invests in fixed interest securities issued by companies in Asia and the Middle East. This may include high yield debt and convertible notes. The Fund may also invest in cash and money market instruments and derivatives including over-the-counter participatory notes and foreign exchange contracts.

Asset allocation range

• Asian and Middle Eastern fixed interest securities: 20%-100%

• Cash: 0%-80%