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Procurar Conviction Australian Equity Portfolio

Portfolio performance – June 2021 Cumulative performance

1 mth 3 mth 6 mth 1 yr 3 yr S.I.

(%) (%) (%) (%) (% pa) (% pa) 14,000 20% Portfolio Total 0.8 7.9 14.2 32.9 10.6 10.7 13,000 15% Return 12,000 10% Benchmark* 2.3 8.5 13.0 28.5 9.8 10.2 11,000 5% Excess Return -1.5 -0.6 1.2 4.4 0.8 0.5 10,000 0% Past performance is not a reliable indicator of future performance. Performance is calculated before 9,000 -5%

taxes and other fees such as model management and platform fees and are net of underlying Growth of 10K Monthly Returns investment management fees. For full details of fees, please refer to the relevant platform provider. 8,000 -10% Performance is notional in nature and the actual performance of individual portfolios may differ to the performance of the Managed Portfolios. Inception date 1st March 2018. *Benchmark is the 7,000 -15% S&P/ASX 200 TR Index AUD.

6,000 -20% Jun-17 Jun-18 Jun-19 Jun-20 Jun-21 Market review Monthly Returns (RHS) Growth of 10k (LHS) The S&P/ASX 300 Index built on a period of strong growth through FY21, delivering an 8.5% return for the June quarter to end the Performance contributors fiscal year up 28.5%, amongst the strongest fiscal year returns Top 5 Contributors to Performance (12m) % since the 1980’s. Although commodity prices were well supported through the quarter, the Energy and Utility sectors ended the Co 2.06 quarter down. Information Technology was the standout sector, as James Hardie 0.87 growth found favour amid reduced concerns of tapered monetary Limited 0.82 stimulus measures in the US. A2 Milk* 0.81 0.73 Global Equity performance mirrored the strong domestic market, with the MSCI AC World ex- Index up 9.0% in AUD terms Top 5 Detractors from Performance (12m) % and 7.0% in AUD hedged terms. Global equities were generally -1.53 buoyed by improving investor sentiment over the quarter, as the -0.87 Covid-19 vaccine rollout gathered pace and restrictions were Touch* -0.55 eased. Style divergence continued through the June quarter, as CSL -0.53 the Nasdaq 100 gained 11.4% while the Dow Jones Industrial Average gained 5.1%. The MSCI Emerging Markets Index ended * -0.53 the June quarter up 6.6%, supported by weakness in the US * Average underweight position Dollar. Portfolio Commentary Australian Listed Property outperformed broader domestic equities, gaining 10.7% over the June quarter. A fall in global bond 12-Month Gross Yield % yields benefitted the sector, while Industrial and long-WALE assets Procurar Conviction Australian Equity 5.30 saw positive revaluations. Global property also outperformed its Benchmark 5.13 broader market counterpart, gaining 9.2% in AUD hedged terms. Defensive sub-sectors, particularly storage and industrials, performed strongly over the quarter. Securities Added / Sold to Zero Yields flattened at the higher end of the curve in June, driving Date Security Action strong returns domestically in the Bloomberg Ausbond Composite Apr-2021 Added 0+ Index and the Bloomberg Barclays Global Aggregate Index Apr-2021 Coca-Cola Amatil Sold globally, albeit both falling to a negative return over the fiscal year. May-2021 Added Inflationary concerns continued to drive markets, as rising data May-2021 Seven Group Sold poses concerns as to whether inflation will prove to be permanent June-2021 NextDC Added or transitory, thus impacting the speed at which Central Banks raise interest rates.

We strongly recommend that potential investors read the product disclosure statement or investment statement. Lonsec Investment Solutions Pty Ltd • ACN 608 837 583 • A Corporate Authorised Representative (CAR 1236821) of Lonsec Research Pty Ltd • ABN 11 151 658 561 • AFSL 421 445 • This information must be read in conjunction with the Warning, Disclaimer, and disclosure at the end of this document. This report supersedes all prior reports. Managed Portfolio Performance Update – June 2021

Portfolio structure Investment strategy/objective ASX Code Company Portfolio objective BHP BHP Billiton Limited The Portfolio objective is to deliver outperformance of the stated CSL CSL Limited benchmark over rolling three-year periods. WBC Banking Corporation CBA of Australia Limited Benchmark: S&P/ASX 200 TR Index AUD. TLS Corporation Limited ANZ ANZ Banking Group Limited Investment Philosophy XRO Xero Limited Procurar seeks to deliver outperformance of the benchmark over QAN Airways Limited rolling three-year periods by: STO Santos Limited • Robust investment profiles tailored to meet client ALL Limited objectives MTS Trading Limited • A diversified approach to portfolio construction, with a NEC Nine Entertainment Co Ltd strong focus on risk JHX Plc • Skilled active management at a reasonable cost to add QBE QBE Insurance Group Limited value over and above the index to varying degrees in ALX Atlas Arteria asset sectors S32 Limited • Blending strategies with low correlations and non- FMG Limited directional strategies to achieve true diversification. MQG Limited EVN Evolution Mining Limited Portfolio Commentary TWE Treasury Wine Estates Limited TAH Limited The Portfolio slightly underperformed the S&P/ASX 200 TR NAB National Australia Bank Limited benchmark for the quarter, as the Australian equities market extended the years strong gains in the June quarter. NXT Nextdc Limited DOW Downer EDI Limited Looking more closely on the individual sectors, Information VEA Group limited Technology, Consumer Discretionary and Communication BLD Limited Services gained strongly; whereas Utilities and Energy fell. The decline in bond yield saw growth names, including the likes of MGR Group NextDC strongly rebound in the month of June. In stark contrast, MND Monadelphous Group Limited the disconnection between stronger oil price and the weak DHG Domain Holdings Aust Ltd performance of energy names, such as Santos has become more JBH JB Hi-Fi Limited obvious over the quarter. NST Northern Star Resources AMC Limited CWN Limited

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