Benefits of investing in the Plato Global Shares Income Fund

Investing in the Fund offers investors a range of benefits:

• investment expertise - access to Plato's investment expertise and quantitative portfolio optimisation techniques;

• diversification - the pooling of assets into the Fund provides investors with access to investment opportunities and diversification that is not available to an individual investor; and

• income and capital growth - the potential to earn dividends from global shares and participate in any capital growth of those shares.

Risk level

Medium to High

Investor suitability

Tax exempt investors looking for unhedged exposure to global listed equities and who have an investment timeframe of 3 to 5 years.

About the Fund

The Plato Global Shares Income Fund is a long-only equity income fund that aims to maximise retirement income for pension phase investors and SMSFs.

Fund objective

The Fund aims to provide an annual yield that exceeds the yield of the MSCI World ex Australia, Net Returns Unhedged Index after fees. The Fund also aims to outperform the MSCI World ex Australia, Net Returns Unhedged Index.

Significant features

The Fund is intended to be managed for zero tax investors. These investors include, but are not limited to, superannuation funds in pension phase and charities. The Fund is likely to exhibit high turnover of investments and investment decisions will be evaluated based on a zero tax rate.

The Fund provides exposure to unhedged global equities, such that changes in the value of the Australian dollar as against the currencies in which the securities are denominated will affect your return. This means, all else being equal, if the Australian dollar falls, this would increase the value of foreign currency denominated securities in Australian dollar terms and conversely, if the Australian dollar rises, this would decrease the value of foreign currency denominated securities in Australian dollar terms.

Plato's philosophy

Plato's philosophy is centred on the belief that the market is a complex, adaptive system and is therefore never fully efficient. These market inefficiencies are derived from informational, behavioural and structural (e.g. tax) sources. Some of these sources of return are exploited on a long-term, strategic time horizon and others are extracted on a short-term, tactical basis. Plato's investment process can be best characterised as a "systematic implementation of fundamental ideas.

How we invest your money

The Fund is permitted to invest in global listed entities, listed futures and cash.

The Fund will typically hold 100 to 600 stocks at any one time.

The weighting of a stock in the Fund's portfolio will not represent more than 3% of the Fund.

Portfolio allocation

• Global equities (inc. derivatives): 90-100%

• Cash and cash equivalents: 0-10%