Netwealth Superannuation Master Fund Information Guide 3 Investments

Transcription

1 Netwealth Superannuation Master Fund Information Guide 3 s 19 April 2018 This Information Guide is taken to be included in and should be read together with: The Product Disclosure Statement for Netwealth Super Accelerator; or The Product Disclosure Statement for Netwealth Super Wrap; whichever is applicable to you. This Information Guide has been prepared and issued by Netwealth s Limited (ABN , AFS Licence No ) (referred to in this Information Guide as Netwealth, we or us or our ) as trustee of the Netwealth Superannuation Master Fund (ABN ) (the Fund ). Issuer/trustee: Netwealth s Limited Level 8/52 Collins Street Melbourne VIC 3000 ABN AFSL Fund details: Netwealth Superannuation Master Fund ABN Contents About this Guide 2 objective 2 strategy 2 options 2 limits 3 categories 3 Cash account 3 Term deposits 3 Managed funds 3 Listed securities 6 Other investments 10 Netwealth Managed Account Managed Models 10 Transferring in assets 11 To request a printed copy of this Information Guide, please contact us on: Freecall Phone Fax contact@netwealth.com.au Web netwealth.com.au

2 About this Guide This Information Guide contains important information about the investments available through Super Accelerator and Super Wrap. In this Guide our website means netwealth.com.au. Whichever of the Product Disclosure Statements is relevant to you is referred to in this Guide as the PDS. The PDS is available from our website or by calling us on You should consider the PDS and Information Guides that are relevant to you before making an investment decision. objective The objective of the Fund is to provide a range of investment options that allow members and their financial advisers, if they have them, to select from a wide range of accessible investments, design a diversified and easily make changes to their. This objective is achieved by providing a range of investment options. strategy The investment strategy for the Fund is: to provide investment choice to members including a wide range of investment options, covering a range of assets, asset classes, investment structures and geographical regions; to enable members to construct investment strategies to match their particular needs and circumstances; to manage investment risk by making available investments that have been subject to appropriate research and approvals; and to manage investment risk by facilitating investment diversification and applying limits to the concentration of investments in certain assets. options Super Accelerator In Super Accelerator the available investment options depend on whether you have chosen Super Accelerator Core or Super Accelerator Plus. In Super Accelerator Core the available investment options are: the cash account; selected term deposits offered by authorised deposit taking institutions, made available on a periodic basis. Current term deposit offers are listed on our website; managed funds in the Netwealth Global Specialist Series ( GSS funds ); Global Specialist Series Managed Models ( GSS Managed Models ) available through the Netwealth Managed Account 1 ; and other investments made available from time to time for Super Accelerator Core. In Super Accelerator Plus the available investment options are: the cash account; selected term deposits offered by authorised deposit taking institutions, made available on a periodic basis. Current term deposit offers are listed on our website; managed funds (including the GSS funds); ASX listed securities (including certain warrants and exchange traded funds); securities listed on other exchanges as approved from time to time (including international securities); Managed Models available through the Netwealth Managed Account; and other investments made available from time to time for Super Accelerator Plus. Super Wrap In Super Wrap the available investment options are: the cash account; selected term deposits offered by authorised deposit taking institutions, made available on a periodic basis. Current term deposit offers are listed on our website; managed funds (including the GSS funds); ASX listed securities (including certain warrants and exchange traded funds); securities listed on other exchanges as approved from time to time (including international securities); Managed Models available through the Netwealth Managed Account; and other investments made available from time to time for Super Wrap. 1 The GSS Managed Models are available in certain versions of the Netwealth Managed Account only and may not be available to you. Refer to the Product Disclosure Statement provided to you for the Netwealth Managed Account. 2 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

3 limits There are limits to the proportion of your that we permit to be invested in different investment categories. These limits may be applied by us when you join and first invest and when you make additional investments. We may also review your investments in relation to these limits from time to time. Where we identify that the investments held in your account are outside any of these limits, we may advise you of this and request that you review and update the investments held in your account. categories We classify assets into the categories described below. In doing so, we apply our discretion and an understanding of industry practice and may engage the services of a research company. Cash account Your cash holdings in Super Accelerator are held in the cash account. members with a secure cash account for the investment of liquid funds with a competitive interest rate. You should read Information Guide 2a: Operating your Super Accelerator account or Information Guide 2b: Operating your Super Wrap account (whichever is applicable) for details of how the cash account works. Your cash account is pooled with other members cash and placed on deposit with an bank. Information about where these funds are invested is available in Information Guides 2a and 2b and on our website. Term deposits Term deposits allow you to make an investment for a fixed length of time at a rate of return that is determined at the time of investment. The investment is generally unable to be withdrawn until the term expires. Term deposits are made available by authorised deposittaking institutions ( ADIs ). Term deposits for a particular term and at a particular rate are published on our website or notified to you by us or the ADI. A list of the current term deposits is available on the Netwealth website or by request free of charge. The notification advises the dates at which the available term deposits will commence and the available rates. At the end of the term the interest and principal is paid into your cash account. These amounts remain in your cash account until you choose to invest elsewhere. Your cash account may not pay as high a rate of interest as a term deposit and it is important to consider reinvestment of the funds when the term deposit has ended. Interest rates change frequently, so you should check the current rates on our website at the time you invest and again if you are considering rolling into a new term deposit. We may agree, at our discretion, to request an early withdrawal from a term deposit on your request. Early withdrawals are subject to the term deposit provider s approval and may include withdrawal restrictions, notice periods and interest reductions as described in the product disclosure statement (or other disclosure document) for that term deposit. The minimum investment amount for term deposits is currently $5,000. This minimum may change from time to time. limits on cash account and term deposits Cash Term deposits up to 3 years Term deposits greater than 3 years Managed funds 80% 80% asset Super Accelerator allows you to choose from a range of managed funds. With Super Accelerator Core, you can invest in the GSS funds. With Super Accelerator Plus, you can invest in managed funds offered by a large number of fund managers, including the GSS funds. A complete list of the managed funds available can be found in the Netwealth Superannuation Master Fund Accessible Managed Funds Menu ( Accessible Managed Funds Menu ). It can be obtained at any time from our website, directly from us on request without charge or from a financial adviser. The minimum investment amount for any one managed fund is currently $100. This minimum may change from time to time. 3 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

4 Managed funds Accessible Managed Funds Menu The Accessible Managed Funds Menu is updated regularly, and it is advisable to check our website to ensure that you have the most recently updated Accessible Managed Funds Menu. A copy of the Accessible Managed Funds Menu is available on request free of charge. If you have chosen Super Accelerator Core, you can only select the GSS funds from the Accessible Managed Funds Menu. If you have chosen Super Accelerator Plus, you can select any of the managed funds included in the Accessible Managed Funds Menu. Super Wrap and Super Accelerator Plus allow you to choose from a range of over 330 managed funds, run by many of the world s leading investment managers. Each of the managed funds has its own product disclosure statement and you need to read the product disclosure statement of a managed fund that you are considering investing in. The product disclosure statement for each managed fund includes information regarding the investment objective and strategy for that fund. Product disclosure statements for the managed funds are available on our website or by contacting us directly. The fund manager of each managed fund generally charges management fees and may also have other fees such as responsible entity or registry fees. These fees vary between funds and managers. These fees are generally incorporated in the unit price for the investment and not an additional charge. You generally benefit from lower management fees than those available to retail investors as, wherever possible, we have negotiated wholesale management fees for the benefit of members. The product disclosure statement or other disclosure document for the applicable managed fund should provide a full explanation of the fees, costs and risks of the relevant product. The fees and costs shown in the Accessible Managed Funds Menu are the indirect cost ratio ( ICR ), buy-sell spread and other fees, as applicable. To demonstrate the fees in real terms, the cost of having $50,000 invested is shown. In addition, the buy-sell spread is shown for an additional investment of $5,000. The ICRs shown are a measure of the total historical fees and expenses of the managed funds. An ICR is the ratio of the fund s management costs that are not deducted directly from your cash account, to the fund s total average net assets. The ICR includes the investment manager and fund manager fees, together with certain ongoing expenses charged to the fund that would not be incurred if you were investing directly in the underlying assets of the fund (including GST, but less any applicable reduced input tax credits). The ICR takes into account transaction costs (these are the costs relating to buying and selling assets, such as brokerage and settlement costs). The actual costs charged to the managed fund will be subject to actual expenses incurred in the management and operation of the fund and may therefore vary from the ICR provided. Netwealth Global Specialist Series The GSS funds are a range of index, sector-specific and multi sector managed funds offered by us. The GSS funds enable you to construct a diversified investment using professionally managed funds. You can choose a single diversified fund with an investment objective and strategy that matches your requirements, or you can use a combination of the funds to align the asset allocation and investment strategies with your personal objectives. Prior to investing in any of the GSS funds, you must read the latest product disclosure statement for that fund. A copy may be obtained at any time from our website, directly from us on request without charge or from a financial adviser. The product disclosure statement describes the managed fund in more detail, including the investment strategy of the fund, the investment return objective, the summary risk level and minimum suggested investment timeframe. Investor Rewards Program The Investor Rewards Program provides a reward to you if you choose to invest in certain managed funds from the list of funds available in Super Accelerator Plus and Super Wrap. The list of these funds is called the Investor Rewards Menu which is shown in full in the Accessible Managed Funds Menu. The benefit to you is an investor reward of 0.10% p.a. of the value of the amount you have allocated to these managed funds from the Investor Rewards Menu. These reward payments are passed on by us from payments made by the responsible entities of the various managed funds that participate in the Investor Rewards Program. You can choose to invest as little or as much into the managed funds that form part of the Investor Rewards Program but the more you invest, the greater the proportion of your account that qualifies for an investor reward. The investor reward is calculated based on the average daily value of your investment in participating managed funds for each calendar quarter. You only need to have an investment in a participating managed fund at some point 4 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

5 Managed funds in the quarter to qualify for some reward, provided you are a member of the Fund at the time the reward payment is made, which may be up to two months after the end of the quarter. If you cease to be a member of the Fund before the reward is paid, the investor reward does not form part of your withdrawal amount and you forfeit any accrued investor reward. The program is regularly reviewed and is subject to change, which may include changes to the products included on the Investor Rewards Menu. If a managed fund is removed from the Investor Rewards Menu, the investor reward of 0.10% p.a. no longer applies. We may also change the way the reward is calculated or remove the program altogether. The inclusion of managed funds in the Investor Rewards Program is not an endorsement by us for these products. You should seek advice from a financial adviser before making any investment decision. Types of managed funds mortgage trusts members with the opportunity to generate regular income with capital stability and potential diversification benefits when included with other asset classes. fixed interest funds members with the opportunity to generate regular income with capital stability and potential diversification benefits when included with other asset classes. fixed interest funds members with the opportunity to generate regular income and potential asset class and geographical diversification benefits when included with other asset classes. equities capital growth and/or dividend income from a diversified of ASX listed securities and to provide the opportunity for diversification benefits across securities, manager styles and asset classes (when included with other asset classes). equities - geared capital growth from leveraged investment in a diversified of ASX listed entities and to provide the opportunity for diversification benefits across securities, manager styles and asset classes (when included with other asset classes). Recourse is limited to the assets of the managed fund. equities small cap capital growth and/or dividend income from investment in a diversified of smaller and potentially more dynamic ASX listed securities and to provide the opportunity for diversification benefits across securities, manager styles and asset classes (when included with other asset classes). equities capital growth and/or dividend income from a of overseas listed securities. This aims to provide the opportunity for diversification benefits through exposure to other economies and markets and to companies and industries that are not represented on markets. equities - specialist capital growth and/or dividend income from a specialist of overseas listed securities. This aims to provide the opportunity for diversification benefits through exposure to other economies and markets and to companies and industries that are not represented on markets through a of small cap, emerging market, concentrated and long short strategies. property property security funds: capital growth and/or income from investment in a diversified that reflects the characteristics of property investment with diversification across property types and location whilst also providing liquidity offered by equity markets. This provides potential diversification benefits when included with other asset classes. direct property funds: members with the opportunity to benefit from professionally managed investments in direct property that typically reflect the characteristics of property (tax effective income with some potential for capital growth) and provide potential diversification benefits when included with other asset classes. These managed funds are often internally geared which provides the opportunity for members to benefit from leveraging strategies, with recourse limited to the assets of the direct property fund. 5 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

6 property capital growth and/or income from investment in a diversified that reflects the characteristics of property investment with diversification across property types and location whilst also providing liquidity offered by global equity markets and the benefit of exposure to other economies. Alternative investments members with the opportunity to benefit from investment in a of alternative investment strategies which are typically referred to as skills based strategies across nontraditional asset classes. This aims to provide diversification benefits through the sources of investment return and to manage market risk or volatility within the. Multi sector funds members with the opportunity to benefit from investment in diversified s managed by professional investment managers that invest in a diverse range of markets and asset classes. limits on managed funds mortgage trusts fixed interest funds fixed interest funds equities equities geared equities small cap equities 50% 20% asset direct property funds property Alternative investments Multi sector funds Listed securities ASX listed securities 50% 20% 50% 20% asset ASX listed securities are available if you choose Super Wrap or Super Accelerator Plus. ASX listed securities are not available if you choose Super Accelerator Core. members with the opportunity to benefit from investment in a wide range of ASX listed securities. We rely on the ASX disclosure rules to ensure members have sufficient information available to research and make investment decisions about the listed securities. Generally, these are relatively high-risk investments as returns are affected by general movements in the share market as well as specific factors affecting individual companies. Accordingly, a longer investment timeframe is generally recommended for ASX listed securities. Due to the lack of diversification and stock specific risk associated with individual securities, we set limits the level of investment in any one listed security and in certain types of securities. A list of approved securities for which we have determined s, taking into account the nature of the security and our assessment of the diversification and liquidity of that type of security, is available free of charge on our website or by contacting us. Where a security is not an approved security included on the list, we may impose a lower than we apply to approved securities due to a lack of diversification, potential liquidity concerns and/or the difficulty obtaining research. equities specialist property securities funds 6 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

7 Listed securities We classify ASX listed securities as follows: Ordinary shares You can invest in ordinary shares. The amount you can invest into a particular ordinary share depends on whether the ordinary share is approved or not. Our approved list generally includes the largest 200 ordinary shares listed on the ASX, as determined by us based on market capitalisation. Income securities You can invest in income securities which include hybrids such as convertibles, preference shares and capital notes. The amount you can invest into a particular income security depends on whether the security is approved or not. Exchange-traded funds and listed managed funds You can invest in exchange-traded funds ( ETFs ) and listed managed funds. Listed managed funds include real estate investment trusts ( AREITs ), listed investment companies ( LICs ), infrastructure funds and absolute return funds. limits for particular ETFs and listed managed funds are determined by us based on the level of diversification offered by the security. Approved Warrants and structured products Warrants and structured products are sometimes complex and can be high risk. We only allow investment in certain warrants and structured products and have a discretion not to approve investment in certain products. You must first contact us if you wish to invest in such products in either Super Wrap or Super Accelerator Plus. limits for particular warrants and structured products are determined by us based on the level of diversification offered by the security. It is your responsibility to inform yourself of the rights and obligations associated with warrants, options and structured products and to obtain and read a copy of the ASX publication Understanding trading and investment warrants which is available on the ASX website. limits on ASX listed securities The s applying to ASX listed securities are summarised in the following table. Ordinary shares Approved 100% 20% Other (nonapproved) Income securities 30% 5% Approved 100% 20% Other (nonapproved) ETFs & listed managed funds 30% 5% Approved AREITs 100% 20% Approved undiversified ETFs & LICs Approved semi diversified ETFs & LICs Approved fully diversified ETFs & LICs Other (nonapproved) 100% 20% 100% 50% 30% 5% Warrants & Structured products Approved undiversified Approved semi diversified Approved diversified 50% 20% 50% 20% 50% 30% asset Other (nonapproved) nil nil 7 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

8 Listed securities Non-standard approvals of ASX listed securities We may at our discretion approve other securities or certain other listed assets subject to specific analysis and research and determination of appropriate investment limits. Partly paid securities Generally, securities must be fully paid before they can be invested in via the Fund but we have a discretion to allow investment in partly paid securities. We will consider whether any particular investment in a partly paid security is consistent with superannuation law and exercise our discretion on the basis of any factors we consider relevant. It is your responsibility to inform yourself of the rights and obligations associated with holding partly paid securities and you should obtain and read a copy of a prospectus, product disclosure statement or other disclosure document produced by the product issuer when you are considering asking us to acquire a partly paid security for your account. The amount of a call on a partly paid security may exceed the value of the partly paid security and your account will be debited for future calls even if the amount of the call is greater than the value of the security or the partly paid securities have been disposed of prior to payment. You should monitor announcements made by the issuer of the partly paid securities and ensure that your cash account is sufficient to cover the amount of any future call on the partly paid securities. If at any time your cash account balance is not sufficient to cover any future call then we can sell the partly paid security and use the proceeds to satisfy the call. If there is still not sufficient cleared cash in your cash account to meet the call, we can sell any or all of your investments to pay the balance of the call. If there are still insufficient cleared funds to pay the call, you are liable to us for the balance. For partly paid securities, if no specific direction has been received from you two business days prior to the date additional payment is due, we can sell those partly paid securities. Proceeds from the sale are credited to your cash account. Initial public offerings and other restricted applications You can invest in securities offered under an initial public offering ( IPO ) but this is subject to the same limits that apply to other securities of that type. To invest in a product or offering with a restricted application period or a company that is about to be listed on the ASX through an IPO, you must provide your direction to apply for these shares to us at least five business days before the IPO closing date. We are not responsible if an application is unsuccessful because your direction is late or incomplete or due to the offer closing early. Where an IPO is oversubscribed and applications are scaled back, we may receive less securities than we apply for. In that case we exercise our discretion to allocate the securities between members in the way that we think is most equitable. listed securities Certain securities listed on approved overseas stock exchanges, as listed on our website, may be acquired through Super Wrap and Super Accelerator Plus. securities are not available if you choose Super Accelerator Core. capital growth and/or dividend income from direct investment in overseas listed entities, across a range of overseas markets and economies. We rely on the relevant overseas exchange disclosure rules to ensure members have sufficient information available to research and make investment decisions about the listed securities. We have approved a number of global stock exchanges and a number of securities listed on those exchanges, allowing you to trade directly in those offshore markets. A list of international shares that are approved for investment is published on our website. We also consider requests to approve additional international securities and/or international stock exchanges. If you wish to purchase a security that we have not approved but which is listed on an international stock exchange that we have approved or you wish to purchase a security and we have not approved either the security or the stock exchange, please contact us. We have a discretion to approve or withdraw our approval of any international stock exchanges and/or international securities. securities are held by a sub-custodian for us under a sub-custodian agreement and we pay the relevant fees to the sub-custodian under that agreement. Under the agreement, the sub-custodian may use other subcustodians for each country in which international securities are listed. limits on international listed securities listed securities 50% 10% asset 8 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

9 Listed securities non-standard approvals We may provide non-standard approval for certain other international securities taking into consideration increased regulatory risks of investing in offshore markets and currency risks. Corporate actions for listed securities If you acquire listed securities through Super Wrap and Super Accelerator Plus, all communications in relation to those listed securities are sent to us as the registered holder of the securities. Broadly speaking, these communications most commonly fall into one of the following categories: announcements made for continuous disclosure purposes these provide information but do not require action by the security holder; notices of meetings of the security holders the meetings include regular annual general meetings and special meetings to vote on proposals such as the issue of additional securities, the buying back of securities, changes in strategic direction, schemes of arrangement, takeover offers and changes to the entity s constitution; offers of entitlements to acquire further securities these include rights issues and share purchase plans and offers of other types of securities being issued by the listed entity; and offers to buy back the securities. The last three of these are referred to as corporate actions because they invite the security holder to take some type of action. Because of the very large number of corporate communications, we only pass on to you communications that involve corporate actions and where we believe they invite action that could have a material financial impact on you as the person from whom we are holding the security. We will generally not pass on business as usual communications such as notices of annual general meetings. It is possible that in some cases we may not fully appreciate the significance to you of a corporate action and we take no responsibility for any failure to provide you with details of any corporate action or any failure to act in relation to any particular corporate action. Where a number of members hold the same security through the Fund (e.g. shares in a particular company), corporate actions may work differently from what would be the case if the securities were held by members of the Fund individually. For example, a company may offer its shareholders an entitlement of new securities in an issue and the entitlement may be up to a fixed maximum amount for each member. We are treated as a single investor even if we hold the shares for multiple members. In this situation, we ask the members of the Fund for whom we hold the securities if they want to participate in the issue (through the Fund), and we then allocate the entitlement proportionately to the relevant members based on responses from those members. Usually corporate actions do not take into account that we hold the securities for a number of underlying members of the Fund. However, in some cases, such as for share purchase plans, the issuer may make a look through offer which will allow us to offer each member for whom we hold the participating securities the opportunity to participate at the level specified. The making of offers look through is at the discretion of the issuer and if the offer is not look through, members may receive no entitlement or a fractional entitlement. We endeavour to provide you with enough time to decide whether to ask us to participate on your behalf and forward a response to the issuer concerned based on the total responses of all members within the timetable specified for the issue. Experience has shown that companies sometimes close issues earlier than the date originally specified in the timetable. If this occurs, our application may be received after the issue is closed and therefore may be rejected. We are not responsible if an application is rejected due to an issue closing early. We always take CGT rollover relief on behalf of members where offered as part of a corporate restructure. If we advise you of a corporate action and you do not ask us to participate on your behalf or you instruct us that you do not want us to participate on your behalf we may, at our discretion, choose to: exercise or participate for the benefit of another member who wishes to participate and has provided sufficient cash to do so; or participate in our own right as principal using our own cash. If we advise you of a corporate action and you do not respond with a request, we may also exercise or participate for your benefit (if this is possible without further investment). If we do participate as principal, we have no right to require you to contribute to the cost of the investment. Conversely, any gain realised on the sale of the investment accrues to us in our own right as we have taken the risk on the investment. Where a corporate action relates to international securities, the sub-custodian who holds the international securities is the legal owner of the securities and you may not be eligible for certain benefits that would arise if you 9 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

10 held the international securities directly. We may also be restricted in our ability to apply for the maximum benefits an individual may be able to receive on corporate actions involving international securities, such as rights issues and share purchase plans. Where you choose to use the Netwealth Managed Account, decisions about corporate actions applying to assets held in your managed account are made by us at our absolute discretion. Generally, we will not pass on information about corporate actions in relation to assets held in your managed account. Other investments We may approve other investment options that do not fall into the above categories. We give consideration to the objective of the investment option and its applicability to members of the Fund, the risks of the investment option and s that will apply. Netwealth Managed Account Managed Models The Netwealth Managed Account provides you with access to a range of professionally managed investment s or Managed Models. Each Managed Model is a set of underlying assets that is managed based on the investment decisions of a professional investment manager (the Model Manager ). The underlying assets, which are held as a part of your Super Accelerator or Super Wrap account, are invested based on your selected models and are regularly reviewed and rebalanced based on the ongoing investment decisions made by the Model Managers. The part of your Super Accelerator or Super Wrap account that is managed in this way is referred to as your managed account in this Information Guide. The assets that may be held in your managed account include cash, managed funds, ASX listed securities and international securities that are available through the Fund. members with the opportunity to benefit from investment in a diversified of assets, managed on an ongoing basis by professional investment managers, with the additional benefits from holding the underlying assets in their account rather than though a managed fund. Prior to investing in any of the Managed Models, your financial adviser must give you a copy of the latest product disclosure statement for the Netwealth Managed Account and you must complete a Managed Account application. A copy of the product disclosure statement may be obtained at any time from our website or by contacting us directly. The product disclosure statement describes the Netwealth Managed Account in more detail. The Netwealth Superannuation Master Fund Managed Models Menu The Netwealth Superannuation Master Fund Managed Models Menu ( Managed Models Menu ) sets out a list of the models available to members of Fund through the Netwealth Managed Account. The Managed Models Menu provides important information about the Managed Models, including the investment management fees, the minimum investment and the Standard Risk Measure risk band for each Managed Model. The Managed Models Menu is updated regularly and you should ensure you have the current version of the document which is available on our website. A copy of the current Managed Models Menu is available from us free of charge on request. If you have an asset acquired under a Managed Model and that Managed Model is removed from the Managed Models Menu, you may retain the asset in your managed account and we seek instructions from you regarding the ongoing investment in that asset. limits on Managed Models fixed interest Managed Models equities Managed Models equities small cap Managed Models equities Managed Models Diversified Managed Models model We have a discretion to limit the level of investments into particular Managed Models. In doing so we consider the level of diversification within the particular Managed Model. Where you invest using Managed Models, the limits are applied to your exposure to each Managed Model. The s that apply to listed securities and other investments generally do not apply to those investments if they are held as part of the of Managed Models. 10 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018

11 Transferring in assets You can transfer assets into Super Wrap or to Super Accelerator from another complying superannuation entity in the form of a rollover from that entity to your Netwealth account. If you choose Super Accelerator Core you can only transfer in cash or holdings in the GSS funds. If you choose Super Accelerator Plus or Super Wrap you can transfer in assets that are generally approved by us for investment in the Fund. We may also approve the transfer in of other assets at our discretion. When assets are transferred into the Fund, we become the legal owner, as trustee of the Fund. As such, a change of ownership will occur and any capital gains or losses on the asset will be realised. You should seek tax advice on the consequences of transferring assets into the Fund. If you choose Super Accelerator Plus or Super Wrap, we may acquire units in managed funds and listed securities from you at market value, in the form of contributions to the Fund, subject to our approval. These listed securities include shares, warrants, units or any other security listed for quotation in the official list of an or approved international stock exchange that is an allowable investment. Generally, under superannuation law, we cannot acquire other types of investments from you. General information only The information provided in this Information Guide is general information only, and does not take into account your personal objectives, financial situation or needs. You should consider whether the information is appropriate for you in light of your personal objectives, financial situation and needs, and you should consider seeking advice from a financial adviser before deciding whether to invest in the Fund. Currency of information The information in this Information Guide is current as at the date of publication and is based on rates, thresholds and laws applying at that date. These rates, thresholds and laws may change and therefore, before relying on any of it, you should consider obtaining specific legal, tax or financial advice relevant to your circumstances from a qualified professional. If at any time a feature of the product as described in this Information Guide is not consistent with our legal obligations, our legal obligation will prevail. You can transfer assets by completing the In specie contribution form which also includes a Power of Attorney and Annexure A (which will list the assets to be transferred). These forms are available on our website, from a financial adviser or by contacting us directly. A transfer of assets can take some time to complete. Any transaction costs incurred in transferring or acquiring assets (such as stamp duty and transfer fees) will be charged to your account. If you choose to use the Netwealth Managed Account, you can transfer existing assets held in your platform account into your managed account via the online transfer tool or by completing the Managed Account asset transfer instruction form available on our website. You may only transfer in the type of assets that are allowable in the investment strategy for your chosen Managed Models. We have a discretion to refuse to accept an instruction to transfer an asset. 11 Netwealth Superannuation Master Fund Netwealth Superannuation Master Funds 19 April 2018