Kleinwort Hambros Elite PCC Limited

Annual Report and Audited Financial Statements For the year ended 31 July 2020

Guernsey Registered Company Number: 42365 2 Annual Report & Audited Financial Statements Alternative InvestmentFundManager’sAlternative Directive Cell SummaryofMaterialPortfolioChanges Cell PortfolioofInvestments Notes totheFinancialStatements Balance Sheet Statement ofChangeinNetAssetsAttributabletoShareholders Statement ofTotal Return Independent Auditor’s Report Custodian Report Directors’ Report InvestmentFundManager’sAlternative Report Investor Information Contents RegisteredGuernsey Company Number:42365 For the year ended 31 July 2020 andAnnual Audited Report Financial Statements Kleinwort Hambros Elite PCC Limited 68 63 57 30 26 22 22 15 14 11 6 3 instruments andother (suchas,butnotlimited to holdcollectiveinvestmentschemes, cash,moneymarket Investment FundManagermayalsochoose The Alternative Development (OECD). states oftheOrganisationfor EconomicCo-operationand by sovereign orcorporateborrowers withinthemember bonds, notes ornegotiable instruments issued or guaranteed portfolio ofpredominantly sterlingdenominatedsecurities, The Cellwillseektoachieveitsobjectivethrough adiversified of fixedincomeandcashinvestments. the mediumtolongtermwithlowvolatilitythrough aportfolio by wayofincomewiththepossibilitycapitalgrowth over investment objectiveoftheCellisprimarilytoproduce returns known asKleinwortBensonEliteSterlingIncomeFund.The This Fundwaslaunchedon28April2006andformerly Income Fund Kleinwort Hambros EliteSterlingFixed Cells The Manager isSGKleinwortHambros Bank(CI)Limited. InvestmentFund each Cellispoundssterling.TheAlternative functionalandreportingThe currency oftheCompanyand on TISE. classes. Twenty twoclasseswithinfouroftheCells,are listed currently hasfouractive Cellswhichincludemultipleshare Fixed IncomeFundon29August2019,theCompany Following the closure oftheKleinwort Hambros EliteSterling StockExchange(‘TISE’). listed onTheInternational As at31July2020,theCompanyhadfiveCellswithfour on thespecificobjectivesofeachCell). long-term capitalgrowth, incomeortotalreturn(depending The investmentphilosophyoftheCompanyistoachieve Principal activityandinvestmentobjective within theumbrella structure. series cellare notexposedtotheliabilitiesofotherseries Company. Therefore Law the assets of any under Guernsey under the Law against any non-cellular assets of the recourse to the assets of any other Cell, except as provided the assetsattributabletothatparticularCell.Theyhaveno and dealing in a cell of the Company only have recourse to each cellare heldinasegregated portfolio. Personsinvesting Law,Companies (Guernsey) 2008(“TheLaw”).Theassetsof Protected bytheprovisions CellCompanygoverned ofThe Law, 1987. The Company is an open-ended investment under TheProtection ofInvestors(BailiwickGuernsey) Financial ServicesCommission(“GFSC”)asaClassBScheme on 30September2004andisauthorisedbytheGuernsey incorporated asacompanywithlimitedliabilityinGuernsey Kleinwort Hambros ElitePCCLimited(“theCompany”)was General information Investor Information portfolio management. derivatives forinvestmentpurposesaswellefficient achieving theoverallobjectiveofCell.TheCellmayuse Investment FundManagermayconsiderappropriate in investment schemesandotherinstrumentsastheAlternative derivative instruments,forward transactions,collective in arangeofequities,bonds,moneymarketinstruments, The Cellwillseektoachieveitsobjectivebyinvestingdirectly across assetclasses. a moderatelevelofriskthrough awelldiversifiedportfolio objective oftheCellistoachievelongtermequityreturns with This Fundwaslaunchedon3October2005,theinvestment Balanced Fund Kleinwort Hambros EliteMultiAsset closed on29August2019. as wellforefficient portfoliomanagement.TheCellwas Cell. TheCellmayusederivativesforinvestmentpurposes consider appropriate inachievingtheoverallobjectiveof products) InvestmentFundManagermay astheAlternative to, warrants,convertiblepreference shares andstructured portfolio management. derivatives forinvestmentpurposes aswellforefficient achieving theoverallobjective oftheCell.TheCellmayuse Investment FundManagermay considerappropriate in investment schemesandotherinstrumentsastheAlternative derivative instruments,forward transactions,collective in arangeofequities,bonds,moneymarketinstruments, The Cellwillseektoachieveitsobjectivebyinvestingdirectly across assetclasses. returns withequity-likeriskthrough awelldiversifiedportfolio investment objectiveoftheCellistooutperform equity This Fundwaslaunchedon11September2007the Growth Fund Kleinwort Hambros EliteMultiAsset portfolio management. derivatives forinvestmentpurposesaswellefficient achieving theoverallobjectiveofCell.TheCellmayuse Investment FundManagermayconsiderappropriate in investment schemesandotherinstrumentsastheAlternative derivative instruments,forward transactions,collective in arangeofequities,bonds,moneymarketinstruments, The Cellwillseektoachieveitsobjectivebyinvestingdirectly asset classes. low levelofriskthrough awelldiversifiedportfolioacross objective oftheCellistoachieveconsistentreturns witha This Fundwaslaunchedon3August2005,theinvestment Conservative Fund Kleinwort Hambros EliteMultiAsset

3 Annual Report & Audited Financial Statements 4 Annual Report & Audited Financial Statements currently inrun-off. investment assetsinEEALifeSettlementsFund.TheCellis The ParticipatingShare share classofthisFundholdsilliquid Kleinwort Hambros EliteTrojan Fund well asforefficient portfoliomanagement. Cell. TheCellmayusederivativesforinvestmentpurposesas consider appropriate in achievingtheoverallobjective of the products) InvestmentFundManagermay astheAlternative to, warrants,convertiblepreference shares andstructured instruments andother(suchas,butnotlimited to holdcollectiveinvestmentschemes,cash,moneymarket InvestmentFundManagermayalsochoose The Alternative equitybasedsecurities. international objective through adiversifiedportfolioofpredominantly over mediumtolongterm.TheCellwillseekachieveits investment objectiveoftheCellistomaximisecapitalgrowth This Fundwaslaunchedon12October2012,the Equity Fund Kleinwort Hambros EliteInternational Investor Information (continued)

• Conservative Fund: Kleinwort Hambros EliteMultiAsset • • • • • • • • Fund: Kleinwort Hambros EliteMultiAssetBalanced • • Income Fund: Kleinwort Hambros EliteSterlingFixed Cells and Class Names **These share classeswere fullyredeemed duringtheyear. *These share classesare listedontheTISE. • Kleinwort Hambros EliteTrojan Fund • • • Fund Kleinwort Hambros Equity EliteInternational • • • • • • Fund: Kleinwort Hambros EliteMultiAssetGrowth • • • • A GBPIncomeReportingShares* B GBPAccumulatingNon-reporting Shares* B EURAccumulatingNon-reporting Shares* B USDAccumulatingNon-reporting Shares* A EURAccumulatingReportingShares* A USDAccumulatingNon-reporting Shares* B GBPIncomeReportingShares* A GBPReinvestReportingShares* A GBPIncomeReportingShares* B IncomeReportingShares** A IncomeReportingShares** Participating Shares (suspended) B GBPAccumulatingNon-reporting Shares* A GBPReinvestReportingShares* A GBPIncomeReportingShares* B GBPAccumulatingNon-reporting Shares* B EURAccumulatingNon-reporting Shares* B USDAccumulatingNon-reporting Shares* B GBPIncomeReportingShares* A GBPReinvestReportingShares* A GBPIncomeReportingShares* B GBPAccumulatingNon-reporting Shares* B EURAccumulatingNon-reporting Shares* B USDAccumulatingNon-reporting Shares* A EURAccumulatingReportingShares* Guernsey GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor Limited JTC FundSolutions(Guernsey) Sponsor to the TISE Listing Designated Manager, Registrar and Administrator, Secretary, Company GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor Registered Office GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor P Garrard GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor M Wilson GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor M Maubec GY12HT Guernsey St PeterPort Admiral Park Dorey Court Ground Floor R Phillips(Chairman) Directors Investor Information (resigned 3February2020) (appointed 17January2020)

(continued) PO Box98 Carey Olsen Legal Advisers GY13HW Guernsey St PeterPort Glategny Esplanade Regency Court Deloitte LLP AuditorIndependent GY11WAGuernsey St PeterPort St Julian’s Avenue BNP ParibasHouse Branch BNP ParibasSecuritiesServicesSCA–Guernsey Custodian SW1Y 4JU London 8 StJamesSquare SG KleinwortHambros BankLimited Manager Sub-Investment GY13AE Guernsey St. PeterPort St. Julian’s Avenue Hambro House Branch Guernsey SG KleinwortHambros Bank(CI)Limited Alternative Investment Fund Manager GY14BZ Guernsey St PeterPort Les Banques Carey House 5 Annual Report & Audited Financial Statements 6 Annual Report & Audited Financial Statements of 1.15%. activity, withtheUS10-yearTreasury yieldhitting anewlow activity. Moving quickly to price in a significant slowdown in coronavirus anditspotentiallydamagingimpactoneconomic increasingly abouttheglobalspread concerned ofthe Towards the end of February 2020, investors became yield endedthemonth30bpslowerat1.60%. copper price fell more than 10% and the US 10-year Treasury indicators duringthesecondhalfofJanuary. Boththeoiland outbreak inChinaledtofallsseveralkeyeconomic abouttheglobaleconomicimpactof coronavirusConcern the month. extent, thepoundrespond positivelyinthesecondhalfof surprising to see both domestic equities and, to a lesser in theDecember2019election.Consequently, itwasnot Many investorshadnotpricedintheConservative victory last fewmonths,althoughreal wagesgrew atahealthyrate. employment markethasweakenedprogressively overthe in boththemanufacturingandservicesectors, soft economicindicatorsintheUK.ThePMIswere lacklustre The lackofpoliticalclarityinNovember2019sawrelatively recovery towards theendofyear. economic activitytostabiliseandleadindicatorsstarta are starting to loosen fiscal policy could form the basis for (US,UK,ChinaandpotentiallyGermany) governments This looseningofpolicycoupledwith increasing signsthat partly bycentralbanks,withtheFedcuttingrates25bp. More widely across the world, monetary conditions loosened, 30-year Bundsatanegativeyield. saw aremarkable first inthismarket–thesaleofGerman home, Brexit, aswellslowingeconomies.August2019 risk, namely the US / China trade war but also, closer to the period. Bond yields continued to fall, driven by political Markets continuedtobeincreasingly polarisedatthestartof negative return, drivenbytheUSandUKallocations. positions offset some of this. Equities delivered a small bondpositions,thoughthehighyield and government contribution drivenbyitsinvestmentgradecorporatedebt gold exposure. Fixedincomedelivered asmallerpositive fund’s performance,withthemajoritycomingfrom the allocationwasthemajordriverof The alternatives Portfolio Activity 0.2%. ModeratelyCautiouslypeergroup,Morningstar declined July 2020.Overthesametimeperioditsbenchmark, The fundrose 2.0%overthe12-monthperiodending31 Performance Conservative Fund Kleinwort Hambros EliteMultiAsset Alternative Investment Fund Manager’s Report as thesecondwaveofCovid-19tookholdfrom September across theglobe from May2020proved tobe shortlived The gradualrecovery as“lockdown”restrictions were relaxed was relatively unaffected. lack ofstoragecapacity. However, oilforlonger-term delivery as no-onewantedtotakereceipt ofthephysicaloilgiven the expiryofApril2020contractatavalue-US$37/bbl, Oil oversupplyresulted infullstoragefacilitiesculminating (c.16% ofGDP)intheUK. around US$2.5trillionintheUS(c.12%ofGDP)and£350bn its scaleandspeed.Fiscalpackagescurrently amountto hasalsobeenunprecedented,national governments bothin However, thescaleofresponse from centralbanksand world inMarch 2020weighedheavilyuponeconomicactivity. The socialdistancingmeasures takenacross muchofthe industries revenues haveliterallystoppedaltogether. unusual element of this economic crisis it is that for many packages everseeninmanycountriesaround theworld.The support swiftest and largest central bank and government stock marketfallsinhistoryfollowedbyunquestionablythe March 2020wasadramaticmonthwithoneofthefastest when restrictions were relaxed. Despite thisitwasencouragingtoseetherateofrecovery are increasing restrictions withlockdownsreturning inmany. 2020. AtthetimeofwritingmanyEuropean economies Alternative Investment Fund Manager’s Report of 1.15%. activity, withtheUS10-yearTreasury yieldhitting anewlow activity. Moving quickly to price in a significant slowdown in coronavirus anditspotentiallydamagingimpactoneconomic increasingly abouttheglobalspread concerned ofthe Towards the end of February 2020, investors became yield endedthemonth30bpslowerat1.60%. copper price fell more than 10% and the US 10-year Treasury indicators duringthesecondhalfofJanuary. Boththeoiland outbreak inChinaledtofallsseveralkeyeconomic abouttheglobaleconomicimpactof coronavirusConcern the month. extent, thepoundrespond positivelyinthesecondhalfof surprising to see both domestic equities and, to a lesser in theDecember2019election.Consequently, itwasnot Many investorshadnotpricedintheConservativevictory last fewmonths,althoughreal wagesgrew atahealthyrate. employment markethasweakenedprogressively overthe in boththemanufacturingandservicesectors, soft economicindicatorsintheUK.ThePMIswere lacklustre The lackofpoliticalclarityinNovember2019sawrelatively recovery towards theendofyear. economic activitytostabiliseandleadindicatorsstarta are starting to loosen fiscal policy could form the basis for (US,UK,ChinaandpotentiallyGermany) governments This looseningofpolicycoupledwith increasing signsthat partly bycentralbanks,withtheFedcuttingrates25bp. More widely across the world, monetary conditions loosened, 30-year Bundsatanegativeyield. saw aremarkable first inthismarket–thesaleofGerman home, Brexit, aswellslowingeconomies.August2019 risk, namely the US / China trade war but also, closer to the period. Bond yields continued to fall, driven by political Markets continuedtobeincreasingly polarisedatthestartof its investmentgradecorporatedebtexposure. position declinedinvalueoffsetting thepositivereturns from Fixed incomewasbroadly flatovertheyearasitshighyield by all regions apart from the UK, which declined in value. exposure. Equitiesdelivered asmallpositive return, driven fund’s performance,withthemajoritycomingfrom thegold allocationwasthemajordriverof The alternatives Portfolio Activity ModerateAllocationpeergroup,Morningstar declined2.0%. July 2020.Overthesametimeperioditsbenchmark, The fundrose 0.9%overthe12-monthperiodending31 Performance Balanced Fund Kleinwort Hambros EliteMultiAsset Alternative Investment Fund Manager’s Report

as thesecondwaveofCovid-19tookholdfrom September across theglobe from May2020proved tobe shortlived The gradualrecovery as“lockdown”restrictions were relaxed was relatively unaffected. lack ofstoragecapacity. However, oilforlonger-term delivery as no-onewantedtotakereceipt ofthephysicaloilgiven the expiryofApril2020contractatavalue-US$37/bbl, Oil oversupplyresulted infullstoragefacilitiesculminating (c.16% ofGDP)intheUK. around US$2.5trillionintheUS(c.12%ofGDP)and£350bn its scaleandspeed.Fiscalpackagescurrently amountto hasalsobeenunprecedented,national governments bothin However, thescaleofresponse from centralbanksand world inMarch 2020weighedheavilyuponeconomicactivity. The socialdistancingmeasures takenacross muchofthe industries revenues haveliterallystoppedaltogether. unusual element of this economic crisis it is that for many packages everseeninmanycountriesaround theworld.The support swiftest and largest central bank and government stock marketfallsinhistoryfollowedbyunquestionablythe March 2020wasadramaticmonthwithoneofthefastest when restrictions were relaxed. Despite thisitwasencouragingtoseetherateofrecovery are increasing restrictions withlockdownsreturning inmany. 2020. AtthetimeofwritingmanyEuropean economies (continued) 7 Annual Report & Audited Financial Statements 8 Annual Report & Audited Financial Statements of 1.15%. activity, withtheUS10-yearTreasury yieldhittinganewlow activity. Moving quickly to price in a significant slowdown in coronavirus anditspotentiallydamagingimpactoneconomic increasingly abouttheglobalspread concerned ofthe Towards the end of February 2020, investors became yield endedthemonth30bpslowerat1.60%. copper price fell more than 10% and the US 10-year Treasury indicators duringthesecondhalfofJanuary. Boththeoiland outbreak inChinaledtofallsseveralkeyeconomic abouttheglobaleconomicimpactof coronavirusConcern the month. extent, thepoundrespond positivelyinthesecondhalfof surprising to see both domestic equities and, to a lesser in theDecember2019election.Consequently, itwasnot Many investorshadnotpricedintheConservative victory last fewmonths,althoughreal wagesgrew atahealthyrate. employment markethasweakenedprogressively overthe in boththemanufacturingandservicesectors, soft economicindicatorsintheUK.ThePMIswere lacklustre The lackofpoliticalclarityinNovember2019sawrelatively recovery towards theendofyear. economic activitytostabiliseandleadindicatorsstarta are starting to loosen fiscal policy could form the basis for (US,UK,ChinaandpotentiallyGermany) governments This looseningofpolicycoupledwith increasing signsthat partly bycentralbanks,withtheFedcuttingrates25bp. More widely across the world, monetary conditions loosened, 30-year Bundsatanegativeyield. saw aremarkable first inthismarket–thesaleofGerman home, Brexit, aswellslowingeconomies.August2019 risk, namely the US / China trade war but also, closer to the period. Bond yields continued to fall, driven by political Markets continuedtobeincreasingly polarisedatthestartof income wasbroadly flatovertheyear. all regions apart from the UK,which declined in value.Fixed exposure. Equities delivered a small positive return, driven by fund’s performance,withthemajoritycomingfrom thegold allocationwasthemajordriverof The alternatives Portfolio Activity fell 2.9%. moderatelyAdventurousMorningstar Allocationpeergroup, 31 July 2020. Over the same time period its benchmark, the The fund declined 1.3% over the 12-month period ending Performance Growth Fund Kleinwort Hambros EliteMultiAsset Alternative Investment Fund Manager’s Report

as thesecondwaveofCovid-19tookholdfrom September across theglobe from May2020proved tobe shortlived The gradualrecovery as“lockdown”restrictions were relaxed was relatively unaffected. lack ofstoragecapacity. However, oilforlonger-term delivery as no-onewantedtotakereceipt ofthephysicaloilgiven the expiryofApril2020contractatavalue-US$37/bbl, Oil oversupplyresulted infullstoragefacilitiesculminating (c.16% ofGDP)intheUK. around US$2.5trillionintheUS(c.12%ofGDP)and£350bn its scaleandspeed.Fiscalpackagescurrently amountto hasalsobeenunprecedented,national governments bothin However, thescaleofresponse from centralbanksand world inMarch 2020weighedheavilyuponeconomicactivity. The socialdistancingmeasures takenacross muchofthe industries revenues haveliterallystoppedaltogether. unusual element of this economic crisis it is that for many packages everseeninmanycountriesaround theworld.The support swiftest and largest central bank and government stock marketfallsinhistoryfollowedbyunquestionablythe March 2020wasadramaticmonthwithoneofthefastest when restrictions were relaxed. Despite thisitwasencouragingtoseetherateofrecovery are increasing restrictions withlockdownsreturning inmany. 2020. AtthetimeofwritingmanyEuropean economies (continued) but theywere dismissed.ThenthevirushitItaly. Cases February. There were afewcases in France and Germany, February, hittingnewhighsformany majormarketsbylate- but equitiesblithelyclimbedhigher through January andinto edgy aboutthegrowing numberofcasesinWuhan, China, Covid-19 crept up slowly at first. Bond markets were getting moved through intotransition. shoots ofaEuropean rebound were showingandBrexit ameliorating. ASino-Americantradedealwasinked,green but theywere2020 startedwiththesameconcerns returns forasterlinginvestor.international rebound dampened down the in sterling which in turn A Brexit deal became more expected leading to a significant under Boris Johnson and more so after his election victory. Theresa May–harsh,butnotuntruetoahouseunited opinion onanysolutionunderthelame-duckleadershipof went from asquabbling bunchofMPswithoutamajority the impact came on the currency. Overthe period, the UK As forBrexit, wellthe exposure totheUKwasminimal,but technologies, orSwissReinsuranceforexample. firm Hexagonwhospecialiseinsensorsandmeasurement building andoperatingtheFrench tollhighways,theSwedish whichhasafocuson manufacturing. NameslikeVinci, sector andspecialitymanufacturingratherthanordinary you hadtoshiftexposure tothePan-European services primary andsecondaryautoexposure. To makeanymoney badly hitbythediesel-gatescandalhencewesoldallour It wasinthedoldrumsthankstoGermanautosectorbeing suddenly important. deal? Ratesfalltostimulategrowth andyieldplayswere inflation incheckandyouwantedtoavoidyieldplays.No to run hotter than it should. Thus rates would rise to keep so was the generally held belief) spurring the US economy rate outlook.Ifadealwasdone,growth wouldimprove (or The counterpointtothetradediscussionswasinterest at theResolutedeskinovaloffice, youcouldnotbesure. presumption it would get done, butwith Donald Trump sitting of view, adealseemedanobviousnecessity, sothere wasa underlying sectorsentimentissuetoo.From alogicalpoint markets swungwitheverygyration.There wasalsoan again-off-again, we-have-a-deal-we-don’t, and equity The trade discussions drove everyone to distraction. On- Portfolio Activity otherwise isalocalevent. the lastoneslightlyfigures intotheEuropean economyand the Germanautosector)andUKBrexit situation(OK, rates, thestateofEuropean economy(mainlydrivenby aspects –theSino-Americantraderelations, theoutlookfor 2019 seemsagesago.Itwasayeardrivenbyfourkey Performance Equity Fund Kleinwort Hambros EliteInternational Alternative Investment Fund Manager’s Report

blinking into the sunlightofeasinglockdowns(or, maybe global economywouldorwouldn’t soundasweemerged actually). It became a question of how creaky the doors of the third bestmonth forUSequitiessinceWWII(well,1938 propel out,Aprilwas equitiesbackup.Indeed,asitturned been swifttoreact withsupportandstimulusithelped globallyhad governments furlough schemes-infairness US unemploymentsoared andtheEuropeans introduced economiestodealwithCovid-19. western unbelievable –globallockdowns,theshutteringofmajor (attained byMarch 23rd or so itlooksatthisstage).Thenthe rapidly deteriorated.Equitymarketshastenedtotheirnadir Italyandthemarkets epidemic runningriotinNorthern over oilsentthemarketdownagain.Toss inacoronavirus reasonable butaRusso-Saudisquabble quarterlyearnings, A shortlullprompted sometoseearebound thanksto at thesametime. has submittedimpeachmentpapersagainstDonaldTrump probably remember thatNancy Pelosi andtheDemocrats time highstooneofthefastestcorrections inhistory. Few soared and within six trading sessions equities went from all- underperform. Whilewehad afairtechnologyexposure, portfolio wasnotheavilyfocussed togrowth names,itwould performance differentiator wasbecomingapparent –ifthe driving thetechstockahead of othersectors.Thebiggest those namesthatexemplified thecapabilitythatprospered from-home worked,oratleastappeared to,thatdrove saw rebounds. However, itwastherevelation thatwork- China – improved. Even commodities like cotton & corn saw pricesstrengthen asindustrial demand –ledby to us.Copper, iron andotherindustrialmetalssimilarly the improving demandforgasolineintheUS–OK,petrol declining paceofcrudeoilinventorybuild-upcoupledwith saw oilpricesrallysignificantlyontheslowingandthen optimism continuedtospread overthesummer. Markets quickly overcome, thepaceofgainsremained steadyand Bar acoupleofdaysconfidencehiccupmid-Maythatwas deficits–nolongerseemedtomatter.– justlikegovernment flights, restaurants andsoforth–were hammered. Valuations to sellersoftemporalproducts –hotelrooms, cruisetrips, travelcurtained,anyexposurevideo-conferencing. With Netflix forstreaming, Nvidiaforthegraphicchipstosupport from-home supportive companies.Amazonforshopping, improvement. However, investorfocuslookedtothework- jobless claims – which did, to be fair, show early signs of to beoptimistic,buttheonlytimelydatawasUSinitial states. Butitwasslowgoing.Investors however appeared with thesituationmuchsamebetweenindividualUS patchwork ofrestriction easingandeventheUKjoinedin restaurants and hairdressers inBelgium,Europe sawa and theBundeslegainGermany, familygatheringsinItaly, bigger economicrestrictions already lifted.Autodealerships the only new Covid-19 cases coming from imports and the less depressingly lockups). Chinawaswellontheway, with (continued) 9 Annual Report & Audited Financial Statements 10 Annual Report & Audited Financial Statements so waseasiersaidinhindsightthandonepractice. approach tovaluations andlesscautiousinourfocus.Doing tough twelvemonths.We neededtobemore cavalierinour equityfundfounditselfdown9.2%-a The international year underreview drew toaclose. remained –and remains –anissue,buttheroller-coaster dollar-valued assetstofallasthegreenback slid. Covid-19 second waveshuttingdowntheeconomyandprompting resurging infection rateprompting heightenedworriesofa United StatesasFlorida,Texas andsomeotherstatessaw however, alsoare-acceleration inCovid-19casesthe consumer discretionary –ahelptotheportfolio.There was, result, cyclicalsectorswere strong, ledbymaterialsand the EUpassedtheir were likewiselookinghopeful–goodnewsagain.Oh,and good news.Moreover, trends intherecovery ofemployment sentiment surveys reported a more optimistic tone – also ahead ofexpectations,whichwasgoodnews.Economic Results were robust withmore than4in5companies season proved tobeanythingbutadisappointment. equities continuedtheirrallyfrom theMarch lowasearnings causing theproblem, itwasthecurrency. Indollar-terms July offered a breather. However, it wasn’t equity markets as hindsightshows,itscrazyvaluationcontinues. Facebook. AsforTesla, wecouldn’t justifythevaluationsbut we were stillunderweightnameslikeMicrosoft, Appleand Alternative Investment Fund Manager’s Report € 750billion stimulusprogram. Asa

entirely liquidated. be nofurtherdistributionfrom theFunduntilEEAfundis costs ofmakingsmalldistributionsitislikelythatthere will the sizeofpossiblefuture distributionsandtheadministration represents asmallproportion ofinvestorsinitialinvestment, Given thevaluationofFundatpresent, whichnow less than15%oftheoutstandingshares. during thefinancialyearwithonlyredemption representing redemptions, wehaveexperiencedarelatively slowrate of shares duringQ22020.Whilstpleasingtoseecontinuing the yearasEEALifeSettlementsmadeafurtherredemption There hasbeenonefurtherdistributiontotheFundduring Portfolio Activity shareholders whensufficient isavailable. shares are themselvesinrun-off andare returning cashto of cashandtheEEALifeSettlementFund(EEA).The The Fundcontinuestobeinrun-off, holdingacombination Performance Kleinwort Hambros EliteTrojan Fund of thatoffer. received more thantheywouldhavedoneunder the terms most appropriate courseofactionasinvestorshavealready to NAV, butremain satisfiedthatdecliningtheoffer wasthe to selltheshares to athird partyatasubstantial discount shareholders. TheDirectors hadreceived aprevious offer allow fortheearlierreturn offundstoKHEliteTrojan Fund it would be expected to be at a discount to NAV but would has been unsuccessful to date. Should a buyer be found, fully woundupandfundsreturned toinvestors.Thissearch EEA LifeSettlementsFundinorder thattheFundmaybe The Directors have considered searching forabuyer ofthe (continued) inter alia,thefollowing factors: The Directors havearrived at thisopinionbyconsidering, basis. on thegoingconcern For thisreason thefinancialstatementshave beenprepared continue inoperationalexistence fortheforeseeable future. expectation thattheCompany hasadequateresources to In theopinionofDirectors, there isareasonable Going concern Hambros EliteMultiAssetGrowth Fundrespectively. Hambros EliteMultiAssetBalancedFundandKleinwort 13,986 shares aswell91,423shares intheKleinwort During theyearandcurrently MrGarrard indirectly holds Asset BalancedFund. holds 168,976 shares in the Kleinwort Hambros Elite Multi Subsequent to 31 July 2020 and currently Mr Philips directly The Directors haveshares intheCompanyasfollows: Directors’ Interests as prescribed bythe CellParticularsofeachcell. Multi AssetConservativeFundhavebeenchargedtocapital Sterling FixedIncomeFundandtheKleinwortHambros Elite All expensesinrespect oftheKleinwortHambros Elite are greater thanitsliabilitiesafteranydividendispaid. become dueandwhetherthevalueofacompany’s assets whether acompanyisabletopayitsdebtswhenthey prescribed underthe Law. The solvencytestconsiders of accountingprofit provided theysatisfythesolvencytest law,Under Guernsey companiescanpaydividendsinexcess Fund. No dividendsare declared byKleinwortHambros EliteTrojan registered ontheregister attherecord date. the relevant date(the “Payment Date”) to allshareholders Dividend incomewillbedistributedwithintwomonthsof Fund andKleinwortHambros EliteMultiAssetGrowth Fund. in respect of Kleinwort Hambros EliteMultiAssetBalanced Asset ConservativeFundanddeclared on31Julyeachyear in eachyearrespect ofKleinwortHambros EliteMulti Dividends canalsobedeclared on31JanuaryandJuly EquityFund. International Elite SterlingFixedIncomeFundandKleinwortHambros Elite 31 October in each year in respect of Kleinwort Hambros can be declared on 31 January, 30April, 31 July and In accordance withtheCellParticulars,dividends and paydividends. The Directors are entitled, in their sole discretion, to declare onpages22and23. Return The results fortheyearare shown intheStatementofTotal Results anddividends 2020 withcomparativesfortheyearended31 the auditedfinancialstatementsforyearended31 “Company”) are pleasedtosubmittheirannualreport and The Directors ofKleinwortHambros ElitePCCLimited(the Directors’ Report

July 2019.

July

• • • • • longevity ofthe Covid-19outbreak remains uncertain at picture nowlooksmuchmore healthy. Thefullimpact and net assetvaluewasclearlynegative, howeverthefinancial on the horizon. The initial financial impact of this on the funds successful vaccine leadingtohopethat a return to“normal”is about Covid-19andwehave just received news ofthefirst rallied significantly. Astimepasses more isbeing learned as theUKandEurope remain underwaterdespitehaving January levels,howeverthisislargelyduetotheUSmarket At the time of writing, global markets are valued above 31 stocks whilstservicesectorremain inthedoldrums. The respite hasbeenfocussedontechnologyandgrowth respite andmarketshaveregained someoftheirlosses. widely implemented. As a result, there has been significant monetary policyandsupportarrangementssuchasfurlough market ensued.Policymakersreacted swiftlywitheasingof and challengingtovalue.Asaresult thequickesteverbear impact future rendering earnings equities both expensive across the world itbecamemore apparent thatthiswould capacity. DuringMarch, asthelockdownswere implemented unable tooperateor, atbest,functionsignificantlyreduced standstill withmanynon-essentialbusinessesbeingeither reduces thespread. Thisbrought largeeconomiestoa virtual measures incountries across theworldinanattemptto a numberofeconomic“lockdowns”andsocialdistancing nature becamemore apparent, implemented governments As thevirusspread across theglobeanditscontagious (the Chinesecitywhere thevirusfirstemerged)waslimited. known aboutthediseaseandimpactoutsideofWuhan Initial marketreaction in January has beenlimited as littlewas coronavirus was identified, subsequently named Covid-19. During December2019anoutbreak ofanewrespiratory Covid-19 Pandemic regularly reviewed andtheBoard are pleasedtoadvise the Cellwas30October2020.ThecostsofCellsare continue tooperateasusual.Thelastvaluationdateof oftheCompanyasremaininggoing concern Cells in run-off. Thisdoesnothaveasignificanteffect onthe the KleinwortHambros EliteTrojan Fundcontinuestobe redemption requests; and placed tomeetallfuture cashflowsassociatedwith relevant dealingday. Onthisbasis,theCompanyiswell settlement periodofuptosevendaysfollowingthe the Company deals on a weekly basis and has a requirements; to meetfuture redemption requests andotherliquidity trade dateandtherefore willhave sufficient resources are abletobesettledwithinthree businessdaysofthe the Companyholdsalargeamountofinvestmentswhich Directors cansuspendalldealings; in theeventofsignificantcellshare redemptions the 31 July2020of£5,133,645*(2019:£5,683,538); on-going expenses(netcurrent assetpositionat the Companyhassufficient liquiditytomeetall £3,200. Refertonote6. that theCustodianfeehadbeenreduced from £6,500to

11 Annual Report & Audited Financial Statements 12 Annual Report & Audited Financial Statements financial statements. Details oftherelated partiesare disclosed in note11tothe Related parties entitled toafeeof£17,500per annum. is entitledtoafeeof£25,000perannumandMrMaubec waived their entitlement to Directors’ fees, Mr Phillips Wilson participating shares intheCompany. MrGarrard andMr InvestmentManagerheld any associates ortheAlternative is proposed. Asat31July2020noneoftheDirectors, their a servicecontractwiththeCompanyandnosuch The Directors are notedonpage5.NoneoftheDirectors has Directors The abovetabledoesnotincludethoseshare classeswhichare notactiveorhavebeenfullyredeemed. The netassetvaluepershare fortheyears2018to2020issummarisedintablebelow. Three yearrecord netassetvaluepershare exposure toequities. recover haveaddedbacksomeofthepreviously reduced funds duringMarch butastheglobaleconomycontinuesto managers tookactiontoreduce volatilityinthemulti-asset continue tomonitorthesituationclosely. Theinvestment present andboththeinvestmentmanagersBoard Directors’ Report A USDAccumulatingNon-reporting Shares B GBPIncomeReportingShares A GBPReinvestReportingShares A GBPIncomeReportingShares Multi AssetBalancedFund B GBPAccumulatingNon-reporting Shares A GBPReinvestReportingShares A GBPIncomeReportingShares EquityFund International B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares B GBPIncomeReportingShares A GBPReinvestReportingShares A GBPIncomeReportingShares Multi AssetGrowth Fund B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares A GBPIncomeReportingShares Multi AssetConservativeFund B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares (continued) *The yearendnetcurrent assetpositionisderivedasfollows: Company. for considerationatthenextAnnual GeneralMeetingofthe office asauditorandaresolution tore-appoint itisproposed Deloitte LLPhasexpressed itswillingness tocontinuein Auditor fee of£1,200. the above mentioned Ordinance entails payment of an annual incometax.Exemption under without deductionofGuernsey income oftheCompanymaybedistributedoraccumulated Tax Ordinance, (Exempt Bodies) (Guernsey) 1989 and the exemption fromincometaxundertheIncome Guernsey IncomeTaxStates ofGuernsey hasgrantedtheCompany Taxation Less investmentassets Less totalliabilities Total assets 2020 0 0 € € € £1.43 $1.44 $1.48 £1.76 £1.83 £1.83 £2.14 £1.71 £1.69 £1.61 $1.61 £1.61 £1.74 £1.74 £1.24 $1.25 £1.13 1.27 1.24 1.43 1.11 1.14 2019 £1.86 0 0 € € € £1.42 $1.41 $1.45 £1.75 £1.81 £1.81 £2.35 £1.88 £1.63 $1.61 £1.63 £1.76 £1.77 £1.21 $1.21 £1.13 1.27 1.24 1.46 1.10 1.11 2018

€ 0 € € € £1.35 $1.33 $1.36 £1.67 £1.72 £1.72 £2.16 £1.73 £1.72 £1.54 $1.50 £1.54 £1.66 £1.66 £1.16 $1.14 £1.10 (£137,266,504) £143,358,986 1.23 1.20 1.41 1.07 1.08 £5,133,645 (£958,837) Managers Directive 2011/61/EU(“AIFMD”) authorisationis Investment Fund to investors in the EU unless an Alternative from managinganyAIFsormarketingshares insuchfunds (“AIFMs”) established in the EU and prohibits such managers focus is on regulating Investment Fund Managers Alternative Investment Funds (“AIFs”).Its and marketingofAlternative States in 2013, covers the management, administration The Directive, whichwasimplementedbyEUMember Directive InvestmentFundManagers The Alternative *Fully redeemed duringtheyear. • • • • • • • • • • • • • Fund regime: The followingFundshavebeenacceptedintotheReporting each reporting period. regime todisclosecertaininformationUKinvestorsfor The ReportingFundregime requires fundsentered intothe funds forthepurposeoftheserules. of Cellsandshare classesthatare eachtreated asseparate disposal ofshares. TheCompanyiscomprisedofanumber capital (asopposed to income)taxon gains madeonthe Offshore Fund Rules to enable UK investors to benefit from The Companycomplieswiththeprovisions oftheUK Regime UK Offshore FundRulesandReporting Directors’ Report A GBPReinvestReportingShares Kleinwort Hambros Equity Fund – Elite International A GBPIncomeReportingShares Kleinwort Hambros Equity Fund – Elite International B GBPIncomeReportingShares Kleinwort Hambros Elite Multi Asset Growth Fund – A GBPReinvestReportingShares Kleinwort Hambros Elite Multi Asset Growth Fund – A GBPIncomeReportingShares Kleinwort Hambros Elite Multi Asset Growth Fund – A EURAccumulatingReportingShares Kleinwort Hambros Elite MultiAssetBalancedFund– B GBPIncomeReportingShares Kleinwort Hambros Elite MultiAssetBalancedFund– A GBPReinvestReportingShares Kleinwort Hambros Elite MultiAssetBalancedFund– A GBPIncomeReportingShares Kleinwort Hambros Elite MultiAssetBalancedFund– – AEURAccumulatingReportingShares Kleinwort Hambros Elite MultiAssetConservativeFund – AGBPIncomeReportingShares Kleinwort Hambros Elite MultiAssetConservativeFund B GBPIncomeReportingShares* Kleinwort Hambros EliteSterlingFixedIncomeFund– A GBPIncomeReportingShares* Kleinwort Hambros EliteSterlingFixedIncomeFund– (continued)

• • • • Directors are required to: for thatperiod.Inpreparing thesefinancialstatements,the end ofthefinancialyearandprofit andlossoftheCompany and fairviewofthestateaffairs oftheCompanyasat financial statementsforeachyear, whichgiveatrue requiresThe LawinGuernsey theDirectors toprepare Directors’ responsibilities for thepurposeofAIFMD2011/61/EU. is SGKleinwortHambros Bank(CI)Limited,anon-EUAIFM granted totheAIFM.TheFundisanon-EUAIFwhoseAIFM 2 December2020 Paul Garrard Roger Phillips accordance withtheprovisions ofSection249theLaw. This confirmationisgivenandshouldbeinterpreted in • • persons whoare aDirector confirmsthat: At thedateofapproval ofthefinancialstatementseach fraud andotherirregularities. taking reasonable stepsfortheprevention anddetectionof safeguarding theassets oftheCompanyandhencefor are alsoresponsible control, forthesystemofinternal for (Class B)Rules,2013,andtheprincipaldocuments.They amended), TheAuthorisedCollectiveInvestmentSchemes Protection Law, ofInvestors (BailiwickofGuernsey) 1987(as ensure thatthefinancial statementscomplywiththeLaw, The the financialpositionofCompanyandenablethemto records whichdisclosewithreasonable accuracyatany time The Directors are responsible forkeeping proper accounting Company willcontinueinbusiness. basis, unlessitisinappropriate topresume thatthe prepare thefinancialstatementsongoingconcern disclosed andexplainedinthefinancialstatements; have beenfollowedsubjecttoanymaterialdepartures state whetherapplicableUKAccountingStandards and prudent; make judgements and estimates that are reasonable consistently; select suitableaccountingpoliciesandapplythem auditor isaware ofthatinformation. audit informationandtoestablishthattheCompany’s as aDirector tomakethemselvesaware ofanyrelevant the Director hastakenallstepstheyoughttohave and information ofwhichtheCompany’s auditorisunaware; so farastheDirector isaware, there isnorelevant audit 13 Annual Report & Audited Financial Statements 14 Annual Report & Audited Financial Statements 2 December2020 Hambros ElitePCCLimited BranchasCustodian ofKleinwort Guernsey BNP ParibasSecuritiesServicesSCA- b) a) Elite PCCLimited(the“Company”): “Designated Manager”),hasmanagedKleinwortHambros Limited(the in ouropinion,JTCFundSolutions(Guernsey) In respect oftheyearended31July2020,westatethat Year Ended 31 July 2020 Kleinwort Hambros Elite PCC Limited for the of to Shareholders the Report Custodian Schemes (ClassB)Rules2013. documents andtheAuthorisedCollectiveInvestment Law,1987; and by theProtection ofInvestors(BailiwickGuernsey) the principaldocuments,byschemeparticularsand investment and borrowing powersofthe Company by in accordance withtheprovisions oftheprincipal in accordance withthelimitationsimposedon We believethat theauditevidencewehaveobtainedissufficient andappropriate toprovide abasisforouropinion. we havefulfilledourotherethicalresponsibilities inaccordance withtheserequirements. statements intheUK,includingFinancialReportingCouncil’s (the‘FRC’s’) EthicalStandard asappliedtolistedentities,and We are independentofthecompanyinaccordance withtheethicalrequirements thatare relevant toourauditofthe financial statements sectionofourreport. responsibilities underthosestandards are further describedintheauditor’s responsibilities fortheauditoffinancial We conducted ourauditinaccordanceStandards withInternational onAuditing(UK)(ISAs(UK))andapplicablelaw. Our 2. Basisforopinion of Ireland” (UnitedKingdom GenerallyAcceptedAccountingPractice). Standards, including FinancialReportingStandard 102“TheFinancialReportingStandard applicableintheUKandRepublic The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting We haveauditedthefinancialstatementswhichcomprise: • • • In ouropinionthefinancialstatementsofKleinwortHambros ElitePCCLimited(the‘Company’): 1. Opinion Report ontheauditoffinancialstatements Limited PCC Members of Kleinwort Hambros Elite Independent Auditor’s to Report the • • • • • • Financial ReportingStandard 102“TheFinancialReportingStandard applicableintheUKandRepublicofIreland”; and ended; have beenprepared inaccordance withtherequirements Law, oftheCompanies(Guernsey) 2008. have beenproperly prepared inaccordance withUnitedKingdomGenerallyAcceptedAccountingPractice,including give atrueandfairviewofthestateCompany’s affairs asat31July2020andofitstotalreturnfortheyearthen the CellSummaryofMaterialPortfolioChanges. the CellPortfolioofInvestments;and the related notes1to 20; the balancesheet; the statementofchangesinnetassetsattributabletoshareholders; the statementoftotalreturn;

15 Annual Report & Audited Financial Statements 16 Annual Report & Audited Financial Statements thereon, andwedonotprovide aseparateopiniononthesematters. These matterswere addressed inthecontextofourauditfinancialstatementsasawhole, andinformingouropinion allocation ofresources intheaudit;anddirecting theefforts oftheengagementteam. due to fraud) that we identified. These matters included those which had the greatest effect on: theoverallauditstrategy, the statements ofthecurrent periodandincludethemostsignificantassessed risksofmaterialmisstatement(whetherornot Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial 5. Keyauditmatters • • We are required byISAs(UK)toreport inrespect ofthefollowingmatterswhere: 4. Conclusionsrelating togoingconcern 3. Summaryofourauditapproach Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort Key auditmatters Significant changesinourapproach Scoping Materiality authorised forissue. of atleasttwelvemonthsfrom thedatewhenfinancialstatementsare basisofaccountingforaperiod ability tocontinueadoptthegoingconcern material uncertaintiesthatmaycastsignificantdoubtabouttheCompany’s the financialstatementsisnotappropriate; or the directors havenot disclosedinthefinancialstatementsanyidentified the directors’basisofaccountinginpreparation use ofthegoingconcern There hasbeennosignificant changesinourapproach sincetheprioryear. directly bytheaudit engagement team. Audit worktorespond totherisksofmaterialmisstatementwasperformed at 31July2020. determined onthebasisof2%netassetsattributabletoshareholders as The materialitythatweusedinthecurrent yearwas£2.84mwhich thisreport, keyauditmattersareWithin identifiedasfollows: The keyauditmattersthatweidentifiedinthecurrent yearwere: • Ownershipofinvestments. • Valuation ofinvestments;and Decreased level ofrisk Similar levelofrisk Increased levelofrisk Newly identified (continued) of thesematters. We havenothing toreport inrespect 5.1 Valuation oftheinvestments Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort description Key auditmatter Key observations to thekeyauditmatter our auditresponded How thescopeof

• • • • • In order totestvaluations asat31July2020,weperformedthefollowingprocedures: could existinthevaluationofinvestmentsduetoerror. of investmentsishighlymaterialtotheCompany. There isariskthatmaterialmisstatement they involvesignificantjudgementsandestimatestobemadebytheManager, themarketvalue Whilst valuationprocesses fortheseinvestmentsare notconsidered tobecomplex,nordo misstated duetoinclusionofinvestmentstranslatedanincorrect rate. are nottheCompany’s reporting currency i.e.Euro, hencethere isariskthatthevaluation The investments comprise of some equity securities which are denoted in othercurrencies that independent marketvalues. that investments are not appropriately valued inaccordance withtheaccountingpolicyand estimate offairvalueinaccordance withIFRS13‘FairValue Measurement’. There isarisk bid marketpriceatthereporting dateandthedirectors believethatthebidpriceisbest The fair value of listed securities as at 30July 2020 is deemed bythe directors to be the value. the financialstatements, the Company’s accounting policy istomeasure itsinvestmentsatfair they are themaindriverofCompany’s performanceandNAV. AsexplainedinNote2to Investments are themostquantitativelysignificant balance andare anarea offocusbecause prices andaccountingpoliciessetoutinNote2. investments are heldatfairvaluethrough profit orlosswhichisdeterminedbasedonmarket Asset Value. bonds.All Theinvestmentsincludelistedsecurities,corporateandgovernment at fairvalueof£137,266,504(2019:£157,100,876)comprise96.39%(2018:96.51%)itsNet The Company’s investments(seenote16andtheindividualCellPortfolioStatements)included are appropriate. As aresult ofourtesting,weconcludedthatthe valuationofinvestmentsandrelated disclosures • • • no unusualpricemovementsindicatingtheyearendpricesare stale. a frequent basisandvaluesatwhichtheyhavebeentraded,toassesswhether there are year end;and on the investment portfolio and steps taken to address this up to and post the Company’s third partysources; in currencies otherthantheEuro bycomparingratesusedtoindependentsources; of asampleequityshares to independentconfirmationsfrom thecustodian; IFRS13 andindustrypractice; including relevant controls adoptedbytheCompany’s administrator; Tested 100%ofthevaluations ofinvestmentsbyagreeing thepricesdirectly toindependent Tested thereasonableness ofexchangeratesusedinconvertinginvestmentsdenominated Tested initialcostandcut-off ofinvestmenttransactionsbyagreeing thepurchase andsale Assessed management’s valuationpolicyandmethodologyadoptedcompared thisto Obtained anunderstandingoftherelevant controls relating tothevaluationoninvestments, Reviewed financialstatementsforappropriate disclosures ofinvestments Analysed thetradinghistoryofinvestmentstoestablishwhether theyhavebeentradedon Held conversationswiththeinvestmentmanagertounderstand theimpactofCovid-19 (continued) 17 Annual Report & Audited Financial Statements 18 Annual Report & Audited Financial Statements Based onourprofessional judgement,wedeterminedmaterialityforthefinancialstatementsasawholefollows: scope ofourauditworkandinevaluatingtheresults ofourwork. decisions of a reasonably knowledgeable person would be changed or influenced. We use materiality both in planning the We define materiality as the magnitude of misstatement in thefinancialstatements that makesitprobable thattheeconomic 6.1. Materiality 6. Ourapplicationofmateriality 5.2 Ownershipofinvestments Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort How thescopeof description Key auditmatter benchmark applied Rationale forthe materiality Basis fordetermining Materiality Key observations to thekeyauditmatter our auditresponded

disclosures are appropriate. As a result of our testing, we have concluded that ownership of investments and related • • • procedures: In order totestownershipfortheyearendedon31July2020,weperformedfollowing the BalanceSheet. represents theprincipalelement of thefinancialstatementsbeingsinglelargestasseton records all the investments correctly under the Company’s name since the investment portfolio Investments are heldwiththeindependentcustodian.Itisimportantthatcustodian custodian, are notdirectly ownedbythe Company. net assetvalue.There isariskthatsecurities,record ofwhichismaintainedbythethird party at fairvalueof£137,266,504(2019:£157,100,876)comprise96.39%(2018:96.51%)its The Company’s investments(seenote16andtheindividualcellportfoliostatements)included £2,840,000 (2019:£3,250,000). appropriate basistosetmateriality. are interested incapitalappreciation oftheirinvestment,thusNAV isconsidered tobean Net assetvalueisthekeyperformanceindicatorofCompany. Theholdersofequity 2% (2019:2%)ofnetassetsattributabletoshareholders asat31July2020. the Custodianconfirmation. investment holdingspertheadministrator’s investmentportfolioagree totheholdingsper end havebeencorrectly recorded; and out procedures toassesswhetherthatpurchases andsalesofinvestmentsaround year whether thattheyare reconciling tothecustodianposition.Inadditionwehavealsocarried Reviewed financialstatementsforappropriate disclosures ofinvestments. Obtaining anindependentcustodianconfirmationfrom theCustodiantotestthatall We havereviewed thecontrols atJTCFundSolutions RSA(PTY)Ltd(“JTC”)toassess (continued) in ourrevenue andinvestmenttesting. (“ISAE3402”) report whichare applicabletotherisksweidentified,tookacontrols reliance approach onrelevant controls understanding andreview oftherelevant controls identifiedintheserviceorganisation’s systemandorganisationcontrols an understandingoftherelevant controls inoperationattheserviceprovider thatimpactedouraudit andbasedonour The Companyisadministered regulated byaGuernsey serviceorganisationand,aspart ofourauditprocedures we obtained 7.2. Ourconsiderationofthecontrol environment statements oftheCompany, takingaccountofthestructure oftheCompany. We tailored thescopeofourauditinorder toperformsufficient worktoenableusprovide anopiniononthefinancial was performeddirectly bytheauditengagementteam. and controls in placeatthethird partyaccountingserviceprovider. Auditworktorespond totherisksofmaterialmisstatement assessing therisksofmaterialmisstatement.Ourauditscopeincludedobtaininganunderstandingaccountingprocesses Our auditwasscopedbyobtaininganunderstandingoftheCompanyanditsenvironment,control includinginternal andthe 7.1. Scoping 7. Anoverviewofthescopeouraudit report totheBoard ondisclosure mattersthatweidentified whenassessingtheoverallpresentation ofthefinancialstatements. £162,500), aswelldifferences belowthatthreshold that,inourview, warrantedreporting onqualitativegrounds. We also We agreed withtheBoard ofDirectors thatwewouldreport totheBoard allauditdifferences inexcessof£142,000(2019: 6.3. Error Reporting Threshold following factors: at 70%ofCompanymaterialityforthe2020audit(2019:70%).Indeterminingperformancemateriality, weconsidered the undetected misstatementsexceedthematerialityforfinancialstatementsasawhole.Performancewas set We setperformance materialityatalevellowerthantoreduce theprobability that,inaggregate, uncorrected and 6.2. PerformanceMateriality Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort 2. 1. identified inpriorperiods. Our pastexperienceoftheaudit,whichhasindicatedalownumbercorrected anduncorrected misstatements Our riskassessment,includingourassessmentoftheCompany’s overallcontrol environment; and to Shar Net AssetAttributable Materiality Net AssetAttributable to Shar eholders £142.400m eholders (continued) £0.142m Reporting thr Materiality £2.840m eshold 19 Annual Report & Audited Financial Statements 20 Annual Report & Audited Financial Statements We havenothingtoreport inrespect ofthesematters. Law,Under theCompanies(Guernsey) 2008weare required toreport toyouif,inouropinion: 11.1. Adequacyofexplanationsreceived andaccountingrecords 11. Mattersonwhichweare required toreport byexception Report onotherlegalandregulatory requirements www.frc.org.uk/auditorsresponsibilities. Thisdescriptionformspartofourauditor’s report. A furtherdescriptionofourresponsibilities fortheauditoffinancialstatementsislocatedonFRC’s websiteat: financial statements. in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis ofthese material misstatementwhenitexists.Misstatementscanarisefrom fraudorerror andare considered materialif,individuallyor is ahighlevelofassurance,butnotguaranteethatanauditconductedinaccordance withISAs(UK)willalwaysdetecta misstatement, whetherduetofraudorerror, andtoissueanauditor’s report thatincludesouropinion.Reasonableassurance Our objectivesare to obtainreasonable assuranceaboutwhetherthefinancialstatementsasawholeare free from material 10. Auditor’s responsibilities fortheauditoffinancialstatements the directors eitherintend toliquidatethecompanyorceaseoperations,havenorealisticbutdoso. alternative basisofaccountingunless disclosingasapplicable,mattersrelatedandusingthegoingconcern concern, togoingconcern In preparing the financialstatements,thedirectors are responsible forassessingtheCompany’s abilitytocontinueasagoing to fraudorerror. determine isnecessarytoenablethepreparation offinancialstatementsthatare free from materialmisstatement,whetherdue financial statementsandforbeingsatisfiedthattheygiveatruefairview, control andforsuchinternal asthedirectors As explainedmore fully inthedirectors’ responsibilities statement, thedirectors are responsible forthepreparation ofthe 9. Responsibilitiesofdirectors We havenothing toreport inrespect ofthesematters. have performed, we concludethatthere isamaterialmisstatementofthisotherinformation,weare required toreport thatfact. material misstatement in the financial statements or a material misstatement oftheother information. If, based on the work we If weidentifysuchmaterialinconsistenciesorapparent materialmisstatements,weare required todeterminewhetherthere isa audit orotherwiseappearstobemateriallymisstated. consider whethertheotherinformationismateriallyinconsistentwithfinancialstatementsorourknowledgeobtainedinthe In connectionwithourauditofthefinancialstatements,responsibility istoread theotherinformationand,indoingso, conclusion thereon. Our opiniononthefinancialstatementsdoesnotcoverotherinformationandwedoexpress anyformofassurance the financialstatementsandourauditor’s report thereon. report, includingtheDirectors’InvestmentFundManager’s Report,CustodianReportandtheAlternative Report,otherthan The directors are responsible fortheotherinformation.Theinformationcomprisesincludedinannual 8. Otherinformation Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort • • • proper accountingrecords havenotbeenkept;or we havenotreceived alltheinformationandexplanationswerequire forouraudit;or the financialstatementsare notinagreement withtheaccountingrecords. (continued)

3 December2020 St PeterPort,Guernsey Recognised Auditor For andonbehalfofDeloitteLLP Stuart Crowley FCA for thisreport, orfortheopinionswehaveformed. accept orassumeresponsibility toanyoneotherthanthecompanyandcompany’s membersasabody, forourauditwork, required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not Law, 2008.Ourauditworkhasbeenundertakensothatwemightstatetothecompany’s membersthosemattersweare This report ismadesolelytothecompany’s members,asabody, inaccordance withSection262oftheCompanies(Guernsey) 12. Useofourreport Hambros Elite PCC Limited Independent Auditor’s to Report the Members of Kleinwort (continued) 21 Annual Report & Audited Financial Statements 22 Annual Report & Audited Financial Statements The notesonpages 30to56formanintegral partofthesefinancialstatements. a StatementofTotal RecognisedGainsandLosseshasnotbeen prepared. The Companyhasnorecognised gainsorlosses otherthanthosereflected intheStatementofTotal above;therefore Return The results abovederivefrom continuingoperations,exceptfortheTrojan Fundthatisinrun-off. For theyearended31July2020 to Shareholders Attributable Statement of Change in Net Assets For theyearended31July2020 Statement of Total Return Amounts receivable onissues Effect offoreign exchangeratechanges Opening netassetsattributabletoshareholders pershareEarnings shareholders from investmentactivities Change innetassetsattributableto Distributions Total (loss)/return before distribution Net (expense)/revenue forthefinancialperiod Taxation Net (expense)/revenue before taxation Interest payableandsimilarcharges Expenses Revenue Capital expenditure Net capital(losses)/gains Closing netassetsattributabletoshareholders shareholders from investmentactivities Change innetassetsattributableto Retained distributiononaccumulationshares Net (redemptions)/issues Amounts payableonredemptions Notes Notes 13 13 14 8 7 6 5 4 3 162,784,414 142,400,149 (17,124,988) (24,918,501) (3,382,188) (3,075,186) (2,450,791) (2,290,058) (3,382,188) 1,990,503 2020 Total (307,002) (551,856) (462,300) (233,272) 7,793,513 2020 Total (89,556) £ 122,911 £ (2,012) - Cellular Cellular Non- 2020 Non- 2020 £ £ 100 100 ------Fixed Income Fixed Income Sterling (8,816,815) (8,838,111) Sterling 8,953,063 Fund 2020 (136,248) Fund 2020 (136,248) (135,641) £ (0.00) (18,366) (18,880) 21,296 £ 36,639 36,639 36,639 (607) ------Multi Asset Multi Asset Balanced 72,442,944 70,953,745 Balanced (1,289,046) (7,241,225) (1,256,531) 5,952,179 Fund 2020 (200,153) (200,122) (200,153) (329,057) (329,057) Fund 2020 927,474 128,935 £ £ (0.00) (31) - - - - - Conservative Conservative Multi Asset Multi Asset 11,439,334 10,954,273 (1,586,118) Fund 2020 Fund 2020 (606,394) (169,997) (214,906) 979,724 122,911 168,419 169,779 169,779 170,331 213,546 £ £ (1,578) (1,578) 0.02 (552) - - - Multi Asset Multi Asset 51,732,021 45,127,004 (1,427,183) (1,427,183) (1,427,183) (5,177,834) (5,905,221) (1,014,725) Growth Growth Fund 2020 Fund 2020 (412,458) (412,458) (874,842) 727,387 462,384 £ £ (0.04) ------International International International International 18,011,464 15,165,897 (1,610,668) (1,609,335) (1,610,668) (1,234,899) (1,347,826) (1,599,659) Equity Equity Fund Fund 2020 2020 (312,226) 112,927 393,566 (89,556) £ £ 79,880 (1,333) (9,676) (1,460) (0.22) - - - Trojan Trojan Fund Fund 2020 2020 205,488 199,130 £ £ (6,358) (6,358) (6,358) (7,083) (7,083) (7,192) (0.02) 109 725 ------Closing netassetsattributabletoshareholders shareholders from investmentactivities Change innetassetsattributableto Retained distributiononaccumulationshares Net (redemptions)/issues Amounts payableonredemptions Amounts receivable onissues Effect offoreign exchangeratechanges Opening netassetsattributabletoshareholders pershareEarnings shareholders from investmentactivities Change innetassetsattributableto Distributions Total (loss)/return before distribution Net (expense)/revenue forthefinancialperiod Taxation Net (expense)/revenue before taxation Interest payableandsimilarcharges Expenses Revenue Capital expenditure Net capital(losses)/gains Notes Notes 13 13 14 8 7 6 5 4 3 142,400,149 162,784,414 (17,124,988) (24,918,501) (3,382,188) (3,075,186) (2,450,791) (2,290,058) (3,382,188) 1,990,503 2020 Total (307,002) (551,856) (462,300) (233,272) 7,793,513 2020 Total (89,556) £ 122,911 £ (2,012) - Cellular Cellular Non- 2020 Non- 2020 £ £ 100 100 ------Fixed Income Fixed Income Sterling (8,816,815) (8,838,111) Sterling 8,953,063 Fund 2020 (136,248) Fund 2020 (136,248) (135,641) £ (0.00) (18,366) (18,880) 21,296 £ 36,639 36,639 36,639 (607) ------Multi Asset Multi Asset Balanced 70,953,745 72,442,944 Balanced (1,289,046) (7,241,225) (1,256,531) 5,952,179 Fund 2020 (200,153) (200,122) (200,153) (329,057) (329,057) Fund 2020 927,474 128,935 £ £ (0.00) (31) - - - - - Conservative Conservative Multi Asset Multi Asset 10,954,273 11,439,334 (1,586,118) Fund 2020 Fund 2020 (606,394) (169,997) (214,906) 122,911 979,724 168,419 169,779 169,779 170,331 213,546 £ £ (1,578) (1,578) 0.02 (552) - - - Multi Asset Multi Asset 45,127,004 51,732,021 (1,427,183) (1,427,183) (1,427,183) (5,177,834) (5,905,221) (1,014,725) Growth Growth Fund 2020 Fund 2020 (412,458) (412,458) (874,842) 727,387 462,384 £ £ (0.04) ------International International International International 15,165,897 18,011,464 (1,610,668) (1,609,335) (1,610,668) (1,234,899) (1,347,826) (1,599,659) Equity Equity Fund Fund 2020 2020 (312,226) 112,927 393,566 (89,556) £ £ 79,880 (1,333) (9,676) (1,460) (0.22) - - - Trojan Trojan Fund Fund 2020 2020 199,130 205,488 £ £ (6,358) (6,358) (6,358) (7,083) (7,083) (7,192) (0.02) 109 725 ------23 Annual Report & Audited Financial Statements 24 Annual Report & Audited Financial Statements The notesonpages 30to56formanintegral partofthesefinancialstatements. a StatementofTotal RecognisedGainsandLosseshasnotbeen prepared. The Companyhasnorecognised gainsorlosses otherthanthosereflected intheStatementofTotal above;therefore Return The results abovederivefrom continuingoperations,exceptfortheTrojan Fundthatisinrun-off. For theyearended31July2019 to Shareholders Attributable Statement of Change in Net Assets For theyearended31July2019 Statement of Total Return Amounts receivable onissues Effect offoreign exchangeratechanges Opening netassetsattributabletoshareholders pershareEarnings shareholders from investmentactivities Change innetassetsattributableto Distributions Total return/(loss) before distribution Net revenue/(expense) forthefinancialperiod Taxation Net revenue/(expense) before taxation Interest payableandsimilarcharges Expenses Revenue Capital expenditure Net capitalgains/(losses) Closing netassetsattributabletoshareholders shareholders from investmentactivities Change innetassetsattributableto Retained distributiononaccumulationshares Net issues/(redemptions) Amounts payableonredemptions Notes Notes 13 13 14 8 7 6 5 4 3 186,898,565 162,784,414 (33,104,323) (38,551,933) (2,550,593) 8,693,629 9,504,849 3,034,568 9,503,248 2019 Total (811,220) (112,287) (368,820) 5,447,610 8,693,629 2019 Total 370,421 482,708 £ 296,543 £ (1,267) - Cellular Cellular Non- 2019 Non- 2019 £ £ 100 100 ------Fixed Income Fixed Income (12,682,839) (12,854,746) 21,748,666 Sterling Sterling 8,953,063 Fund 2019 (112,764) Fund 2019 (112,764) (399,115) (141,312) 171,907 £ 286,351 469,865 469,176 469,176 (42,202) £ 0.05 689 - - - - Multi Asset (12,259,754) Multi Asset Balanced 76,587,280 72,442,944 Balanced (8,202,002) (1,269,894) 4,049,654 4,057,752 4,049,654 4,077,804 1,255,714 4,091,984 Fund 2019 Fund 2019 (28,150) (14,180) (14,180) £ £ 8,012 0.08 - - - - Conservative Conservative Multi Asset Multi Asset 13,089,169 11,439,334 (2,074,702) (2,320,095) Fund 2019 Fund 2019 (283,678) (227,508) 245,393 230,720 194,147 230,720 514,398 284,067 284,067 284,067 457,839 £ £ 0.05 - - - - Multi Asset Multi Asset 53,464,794 51,732,021 (4,989,803) (5,858,982) Growth Growth 3,257,030 3,257,030 3,257,030 3,665,524 Fund 2019 Fund 2019 (408,494) (408,494) (935,302) 869,179 526,808 £ £ 0.09 ------International International International International 21,655,692 18,011,464 (5,004,977) (5,108,356) Equity 1,266,365 Equity 1,266,365 1,366,642 1,320,287 Fund Fund 2019 2019 (100,277) (112,976) (337,637) 103,379 159,331 498,235 94,384 £ £ 46,355 (1,267) 0.16 - - Trojan Trojan (150,000) (150,000) Fund Fund 2019 2019 352,864 205,488 £ £ (7,192) (7,192) (7,760) 2,624 2,624 2,624 9,816 0.00 568 ------Closing netassetsattributabletoshareholders shareholders from investmentactivities Change innetassetsattributableto Retained distributiononaccumulationshares Net issues/(redemptions) Amounts payableonredemptions Amounts receivable onissues Effect offoreign exchangeratechanges Opening netassetsattributabletoshareholders pershareEarnings shareholders from investmentactivities Change innetassetsattributableto Distributions Total return/(loss) before distribution Net revenue/(expense) forthefinancialperiod Taxation Net revenue/(expense) before taxation Interest payableandsimilarcharges Expenses Revenue Capital expenditure Net capitalgains/(losses) Notes Notes 13 13 14 8 7 6 5 4 3 162,784,414 186,898,565 (33,104,323) (38,551,933) (2,550,593) 8,693,629 9,504,849 3,034,568 9,503,248 2019 Total (811,220) (112,287) (368,820) 8,693,629 5,447,610 2019 Total 370,421 482,708 £ 296,543 £ (1,267) - Cellular Cellular Non- 2019 Non- 2019 £ £ 100 100 ------Fixed Income Fixed Income (12,682,839) (12,854,746) 21,748,666 Sterling Sterling 8,953,063 Fund 2019 (112,764) Fund 2019 (112,764) (399,115) (141,312) 171,907 £ 286,351 469,865 469,176 469,176 (42,202) £ 0.05 689 - - - - Multi Asset (12,259,754) Multi Asset Balanced 72,442,944 76,587,280 Balanced (8,202,002) (1,269,894) 4,049,654 4,057,752 4,049,654 4,077,804 1,255,714 4,091,984 Fund 2019 Fund 2019 (28,150) (14,180) (14,180) £ £ 8,012 0.08 - - - - Conservative Conservative Multi Asset Multi Asset 11,439,334 13,089,169 (2,074,702) (2,320,095) Fund 2019 Fund 2019 (283,678) (227,508) 230,720 194,147 245,393 230,720 514,398 284,067 284,067 284,067 457,839 £ £ 0.05 - - - - Multi Asset Multi Asset 51,732,021 53,464,794 (4,989,803) (5,858,982) Growth Growth 3,257,030 3,257,030 3,257,030 3,665,524 Fund 2019 Fund 2019 (408,494) (408,494) (935,302) 869,179 526,808 £ £ 0.09 ------International International International International 18,011,464 21,655,692 (5,004,977) (5,108,356) Equity 1,266,365 Equity 1,266,365 1,366,642 1,320,287 Fund Fund 2019 2019 (100,277) (112,976) (337,637) 103,379 159,331 498,235 94,384 £ £ 46,355 (1,267) 0.16 - - Trojan Trojan (150,000) (150,000) Fund Fund 2019 2019 205,488 352,864 £ £ (7,192) (7,192) (7,760) 2,624 2,624 2,624 9,816 0.00 568 ------25 Annual Report & Audited Financial Statements 26 Annual Report & Audited Financial Statements The notesonpages 30to56formanintegral partofthesefinancialstatements. Date: Paul Garrard Roger Phillips its behalfby: The financialstatementsonpages22to56were approved bytheBoard ofDirectors on2December2020andare signedon As at31July2020 Sheet Balance B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares A USDAccumulatingNon-reporting Shares B GBP/EURIncomeReportingShares A GBPReinvestReportingShares A GBP/EURIncomeReportingShares Net assetvalueperParticipatingShare Participating andManagementShares Net assetsattributabletoholdersofRedeemable Net assetsattributabletoholdersofManagementshares Total Liabilities Other creditors andaccruals Other creditors Distributions payable Bank overdrafts Creditors Total Assets Cash andbankbalances Debtors Current assets Investments Fixed assets Assets 2 December2020 Notes 10 18 16 13 8 2 9 143,358,986 137,266,504 142,400,149 5,970,326 (154,983) (958,837) 2020 Total (803,854) (786,634) 122,156 (17,220) £ ------Cellular Non- 2020 £ 100 100 100 100 ------

Fixed Income Sterling Fund 2020 £ ------

- Multi Asset 71,350,050 67,881,879 70,953,745 Balanced 3,412,201 (396,305) (396,305) (396,305) Fund 2020 55,970 £ 1.43 1.27 1.44 1.24 1.48 1.76 1.83 1.83 1.46 - - - Conservative Multi Asset 11,131,616 10,616,407 10,954,273 (177,343) (128,358) Fund 2020 500,692 (48,985) (32,333) (16,652) 14,517 £ 1.24 1.11 1.25 1.14 1.13 1.15 - - - - Multi Asset 45,127,004 45,453,363 43,493,203 1,915,606 Growth (326,359) (326,359) (326,359) Fund 2020 44,554 £ 1.61 1.43 1.61 1.61 1.74 1.74 1.46 - - - - - International International 15,165,897 15,224,098 15,132,611 Equity Fund 2020 (58,201) (31,576) (31,008) (26,625) 84,472 £ 7,015 (568) 2.14 1.71 1.69 2.12 ------Trojan Fund 2020 199,130 199,759 142,404 57,255 £ (629) (629) (629) 0.56 100 ------B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares A USDAccumulatingNon-reporting Shares B GBP/EURIncomeReportingShares A GBPReinvestReportingShares A GBP/EURIncomeReportingShares Net assetvalueperParticipatingShare Participating andManagementShares Net assetsattributabletoholdersofRedeemable Net assetsattributabletoholdersofManagementshares Total Liabilities Other creditors andaccruals Other creditors Distributions payable Bank overdrafts Creditors Total Assets Cash andbankbalances Debtors Current assets Investments Fixed assets Assets Notes 10 18 16 13 8 2 9 143,358,986 137,266,504 142,400,149 5,970,326 (154,983) (958,837) 2020 Total (803,854) (786,634) 122,156 (17,220) £ ------Cellular Non- 2020 £ 100 100 100 100 ------

Fixed Income Sterling Fund 2020 £ ------

- Multi Asset 70,953,745 71,350,050 67,881,879 Balanced 3,412,201 (396,305) (396,305) (396,305) Fund 2020 55,970 £ 1.43 1.27 1.44 1.24 1.48 1.76 1.83 1.83 1.46 - - - Conservative Multi Asset 10,616,407 10,954,273 11,131,616 (177,343) (128,358) Fund 2020 500,692 (48,985) (32,333) (16,652) 14,517 £ 1.24 1.11 1.25 1.14 1.13 1.15 - - - - Multi Asset 45,127,004 45,453,363 43,493,203 1,915,606 Growth (326,359) (326,359) (326,359) Fund 2020 44,554 £ 1.61 1.43 1.61 1.61 1.74 1.74 1.46 - - - - - International International 15,165,897 15,224,098 15,132,611 Equity Fund 2020 (58,201) (31,576) (31,008) (26,625) 84,472 £ 7,015 (568) 2.14 1.71 1.69 2.12 ------Trojan Fund 2020 199,130 199,759 142,404 57,255 £ (629) (629) (629) 0.56 100 ------27 Annual Report & Audited Financial Statements 28 Annual Report & Audited Financial Statements The notesonpages 30to56formanintegral partofthesefinancialstatements. As at31July2019 Sheet Balance B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares A USDAccumulatingNon-reporting Shares B GBP/EURIncomeReportingShares A GBPReinvestReportingShares A GBP/EURIncomeReportingShares Net assetvalueperParticipatingShare Participating andManagementShares Net assetsattributabletoholdersofRedeemable Net assetsattributabletoholdersofManagementshares Total Liabilities Other creditors andaccruals Other creditors Distributions payable Bank overdrafts Creditors Total Assets Cash andbankbalances Debtors Current assets Investments Fixed assets Assets Notes 10 18 16 13 8 2 9 164,349,711 157,100,876 162,784,414 (1,565,297) 6,094,518 1,154,317 (567,138) 2019 Total (998,159) (943,314) (54,845) £ ------Cellular Non- 2019 £ 100 100 100 100 ------Fixed Income Sterling 8,967,294 8,784,239 8,953,063 Fund 2019 121,100 (14,231) (14,231) (14,231) 61,955 £ 10.61 0.90 1.76 ------Multi Asset 72,630,672 69,295,711 72,442,944 Balanced 2,874,507 (187,728) (187,728) (167,800) Fund 2019 460,454 (19,928) £ 1.42 1.27 1.41 1.24 1.45 1.75 1.81 1.81 1.44 - - Conservative Multi Asset 12,061,485 11,059,138 11,439,334 (622,151) (622,151) (590,664) Fund 2019 897,539 104,808 (31,487) £ 1.21 1.10 1.21 1.11 1.13 1.14 - - - - - Multi Asset 51,732,021 52,432,636 49,847,498 2,133,632 Growth (700,615) (133,612) (133,612) (567,003) Fund 2019 451,506 £ 1.63 1.46 1.61 1.63 1.76 1.77 1.50 - - - - International International 18,011,464 18,051,326 17,951,436 Equity Fund 2019 (39,862) (39,727) (36,297) 83,547 16,343 (3,430) £ (135) 2.35 1.88 1.86 2.34 ------Trojan Fund 2019 205,488 206,198 162,854 43,238 £ (710) (710) (710) 0.58 106 ------B GBPAccumulatingNon-reporting Shares B EURAccumulatingNon-reporting Shares B USDAccumulatingNon-reporting Shares A EURAccumulatingReportingShares A USDAccumulatingNon-reporting Shares B GBP/EURIncomeReportingShares A GBPReinvestReportingShares A GBP/EURIncomeReportingShares Net assetvalueperParticipatingShare Participating andManagementShares Net assetsattributabletoholdersofRedeemable Net assetsattributabletoholdersofManagementshares Total Liabilities Other creditors andaccruals Other creditors Distributions payable Bank overdrafts Creditors Total Assets Cash andbankbalances Debtors Current assets Investments Fixed assets Assets Notes 10 18 16 13 8 2 9 164,349,711 157,100,876 162,784,414 (1,565,297) 6,094,518 1,154,317 (567,138) 2019 Total (998,159) (943,314) (54,845) £ ------Cellular Non- 2019 £ 100 100 100 100 ------Fixed Income Sterling 8,953,063 8,967,294 8,784,239 Fund 2019 (14,231) 121,100 (14,231) (14,231) 61,955 £ 10.61 0.90 1.76 ------Multi Asset 72,442,944 72,630,672 69,295,711 Balanced 2,874,507 (187,728) (187,728) (167,800) Fund 2019 460,454 (19,928) £ 1.42 1.27 1.41 1.24 1.45 1.75 1.81 1.81 1.44 - - Conservative Multi Asset 11,059,138 11,439,334 12,061,485 (622,151) (622,151) (590,664) Fund 2019 897,539 104,808 (31,487) £ 1.21 1.10 1.21 1.11 1.13 1.14 - - - - - Multi Asset 51,732,021 52,432,636 49,847,498 2,133,632 Growth (700,615) (133,612) (133,612) (567,003) Fund 2019 451,506 £ 1.63 1.46 1.61 1.63 1.76 1.77 1.50 - - - - International International 18,011,464 18,051,326 17,951,436 Equity Fund 2019 (39,862) (39,727) (36,297) 83,547 16,343 (3,430) £ (135) 2.35 1.88 1.86 2.34 ------Trojan Fund 2019 205,488 206,198 162,854 43,238 £ (710) (710) (710) 0.58 106 ------29 Annual Report & Audited Financial Statements 30 Annual Report & Audited Financial Statements • accordance withIASORPexceptforthebelow: As faraspossibletheseaccountshavebeenprepared in Departure from IA SORP below. Any departure from theIASORPisdetailedinnotes investments andderivatives. historical costconvention,asmodifiedfortherevaluation of These financialstatementshavebeenprepared underthe incorporatedcompany.applicable foraGuernsey the InvestmentAssociation(the“IASORP”)inMay, 2014,as “Financial Statements of UKAuthorised Funds”, issued by accordance with theStatementofRecommendedPractice in theUnitedKingdomandRepublicofIreland, andin with FRS102,theFinancialReportingStandard applicable These financialstatementshavebeenprepared inaccordance Basis ofpreparation material inrelation to theCompany’s financialstatements: consistently indealingwithitemswhichare considered The followingaccountingpolicieshavebeenapplied 2. Accounting policies fully redeemed during theyear. The Kleinwort Hambros Elite Sterling Fixed Income Fund was • • • • • as follows: the future. TheactiveCellsinissueasat31July2020are new Cellswithdifferent investment objectivesandtermsin B) Rules,2013.TheCompanyretains theoptiontocreate under theAuthorisedCollectiveInvestmentSchemes(Class elected tobetreated asanauthorisedinvestmentscheme by the provisionsCompany governed of the Law and has The Companyisanopen-endedinvestmentProtected Cell Law,Investors (BailiwickofGuernsey) 1987,(asamended). by theGFSCasaClassBSchemeunderTheProtection of on30September2004andisauthorised liability inGuernsey The Company was registered as a companywithlimited 1. Principal activity For the year 31 ended July 2020 Notes to the Financial Statements revenue. SORP thatrequires expensesonlytobechargedagainst as ‘Capital expenditure’. This is a departure from the IA the Cellsandare shownintheStatementofTotal Return to capitalinaccordance withtheSchemeParticulars of and MultiAssetConservative Fund havebeencharged Kleinwort Hambros Elite Trojan Fund Kleinwort Hambros EquityFund Elite International Kleinwort Hambros Elite MultiAssetGrowth Fund Kleinwort Hambros Elite MultiAssetBalancedFund Kleinwort Hambros Elite MultiAssetConservativeFund All expensesinrespect oftheSterlingFixedIncome Fund • • rallied significantly. Astimepassesmore isbeinglearned as theUKand Europe remain underwaterdespite having January levels,howeverthisis largelyduetotheUSmarket At the time of writing, global markets are valued above 31 stocks whilstservicesector remain in thedoldrums. The respite hasbeenfocussedontechnology andgrowth respite andmarketshaveregained someoftheirlosses. widely implemented. As a result, there has been significant monetary policyandsupportarrangementssuchasfurlough market ensued.Policymakersreacted swiftlywitheasingof and challengingtovalue.Asaresult thequickesteverbear impact future rendering earnings equities both expensive across the world itbecamemore apparent thatthiswould capacity. DuringMarch, asthelockdownswere implemented unable tooperateor, atbest,functionsignificantlyreduced standstill withmanynon-essentialbusinessesbeingeither reduces thespread. Thisbrought largeeconomiestoavirtual measures incountriesacross theworldinanattemptto a numberofeconomic“lockdowns”andsocialdistancing nature becamemore apparent, implemented governments As thevirusspread across theglobeanditscontagious (the Chinesecitywhere thevirusfirstemerged)waslimited. known aboutthediseaseandimpactoutsideofWuhan Initial marketreaction inJanuarywasbeenlimitedaslittle coronavirus was identified, subsequently named Covid-19. During December2019anoutbreak ofanewrespiratory Covid-19 Pandemic and presentational currency. is showninpoundssterling,beingtheCompany’s functional The financialinformationshowninthestatements Functional andpresentational currency total netassetvalueoftheCompanyorindividualCell bid priceadjustmenttohaveamaterialimpactonthe bid basis.TheDirectors, however, donotconsiderthe that are IASORP complianthavetobeprepared ona underlying investments,whereas financialstatements TISE announcementsare onamidpricingbasisof charges. Netassetvaluesreported tothemarketvia to the Company’s holdingexcluding exit and entry prices atwhichitwouldbepossibletoredeem oradd sources where available.Pricesgenerally reflect the from investmentadvisers,fundmanagersandother valued bytheDirectors baseduponpricesreceived for thequotedinvestment.Unquotedinvestmentsare sheet date,orifthisisnotavailable,thelatestbidprice by reference tothebidmarketprice rulingatthebalance in linewithpriorperiods. have therefore onlydisclosedthe NAV perShare Class level of disclosure would not be practical. The Directors to the number of share classes per Cell, disclosing this Appendix AoftheIASORPhasnotbeenprepared. Due statements havebeenmade. share classestherefore noadjustmentstothefinancial For quotedinvestments,fairvalueshouldbedetermined A comparativetableasrequired by, andsetoutin, well ascashat bank, thatare receivable within oneyearare value asdescribed below. Debtors andprepayments, as Investments and forward currency contracts are heldat fair transaction costs). are initiallymeasured atfairvalue(whichisnormallycostless which are classified at fair valuethrough profit or loss,which All financialassetsare initiallymeasured atcost,exceptthose Financial Assets *The netcurrent assetpositionisderivedasfollows: • • • • • inter alia,thefollowingfactors: The Directors havearrivedatthisopinionbyconsidering, basis. on thegoingconcern For thisreason thefinancialstatementshavebeenprepared continue inoperationalexistencefortheforeseeable future. expectation thattheCompanyhasadequateresources to In theopinionofDirectors, there isareasonable Going concern exposure toequities. recover haveaddedbacksomeofthepreviously reduced funds duringMarch butastheglobaleconomycontinuesto managers tookactiontoreduce volatilityinthemulti-asset continue tomonitorthesituationclosely. Theinvestment present andboththeinvestmentmanagersBoard longevity oftheCovid-19outbreak remains uncertainat picture nowlooksmuchmore healthy. Thefullimpactand net assetvaluewasclearlynegative,howeverthefinancial on the horizon. The initial financial impact of this on the funds successful vaccine leadingtohopethat a return to“normal”is about Covid-19andwehavejustreceived newsofthefirst Notes to the Financial Statements Less investments Less totalliabilities Total assets the Cellwas30October2020. continue tooperateasusual.Thelastvaluationdateof oftheCompanyasremaininggoing concern Cells in run-off. Thisdoes nothaveasignificanteffect onthe the KleinwortHambros EliteTrojan Fundcontinuestobe redemption requests; and placed tomeetallfuture cashflowsassociatedwith relevant dealing day. Onthisbasis,theCompanyiswell settlement periodofuptosevendaysfollowingthe the CellShares deal onaweeklybasisandhave requirements; to meetfuture redemption requests andotherliquidity trade dateandtherefore willhavesufficient resources are abletobe settledwithinthree businessdaysofthe the Companyholdsalargeamountofinvestmentswhich Directors can suspend alldealings; in theeventofsignificantcellshare redemptions the £5,133,645* (2019:£5,683,538)); expenses (netcurrent assetpositionat31July2020of the Companyhassufficient liquiditytomeetallon-going (£137,266,504) £143,358,986 £5,133,645 (£958,837) Investments discharged, cancelledorexpires. extinguished, thatiswhenthecontractualobligation Financial liabilitiesare derecognised whentheliabilityis and measured attheundiscountedamountpayable. All financialliabilitiesare duewithinoneyearat recognition Financial liabilitiesincludecreditors andaccruedexpenses. Financial Liabilities third partywithoutimposingadditionalrestrictions. practical abilitytounilaterallyselltheassetanunrelated the assethasbeentransferred toanotherpartywhohasthe some significant risks and rewards of ownership, control of transferred toanotherpartyor(c)despitehavingretained or (b) substantially all the risks and rewards of ownership are rights tothecashflowsfrom theassetexpire orare settled Financial assets are derecognised when (a) the contractual no debtorsorprepayments dueinmore thanone year. measured attheundiscountedreceivable amount.There are portfolio was31 July2020exceptinrelation totheTrojan The valuationpoint oftheinvestmentsin Company’s in theStatementofTotal Return. and unrealised gainsandlossesoninvestmentsare reflected end andthecarryingcostsof investmentsheld.Allrealised are calculatedbyreference tothecarryingvalueatyear accounted foronthetradedate. Unrealised gains andlosses investment sold. The purchase and sales of investments are and theaveragecostattributabletoproportion ofthe investments are calculatedbyreference tothesaleproceeds Realised gainsandlossesarisingonthedisposalof Total NetAsset,impactwould be£8,448(2019:£5,321)). July 2020andsubsequentlyhadthisbeenadjustedtothe price beingthelatestavailableonvaluationdate31 EEA LifeSettlementsFundisbasedonthe30June2020 Value impact£36,713(2019:£43,266).Theinvestmentin the financialstatementshavebeenmade.(Total NetAsset or individualcellshare classestherefore noadjustments to material impactonthetotalnetassetvalueofCompany however, donotconsiderthebidpriceadjustmenttohavea compliant havetobeprepared onabidbasis.TheDirectors, investments, whereas financialstatementsthatare IASORP TISE announcementsare onamidpricingbasisofunderlying entry charges.Netassetvaluesreported tothemarketvia redeem oradd totheCompany’s holdingexcludingexitand generally reflect the pricesatwhichitwouldbepossibleto managers and other sources where available. Prices upon pricesreceived from investmentadvisers,fund Unquoted investmentsare valuedbytheDirectors based price forthequotedinvestment. balance sheetdate,orifthisisnotavailable,thelatestmid determined byreference tothemidmarketpricerulingat through profit orloss.Forquotedinvestments,fairvalueis Investments are classified asfinancialassetsatfairvalue (continued) 31 Annual Report & Audited Financial Statements 32 Annual Report & Audited Financial Statements equalisation amounts equivalenttotheamount ofnet Subscription andredemption pricesofshares willinclude Equalisation in respect ofallothercellsare chargedagainstrevenue. Statement ofTotal as‘Capitalexpenditure’. Return Expenses Fund have beencharged to capital and are shown inthe Fund andKleinwortHambros EliteMultiAssetConservative respect oftheKleinwortHambros EliteSterlingFixedIncome Expenses are accrued on a day-to-day basis. All expenses in Expenses ex-dividend basisandgross ofwithholdingtaxes. accrued onaday-to-daybasis.Dividendsare accruedonan Bond interest and interest on deposits and call accounts are Income assets attributabletoshareholders. of theyearare recognised inthestatementofchangesnet assets ofthesecellsatratesrulingthebeginningandend arising betweenthetranslationintopoundssterlingofnet of exchange ruling at the year end. Exchange differences pounds sterling are translated into pounds sterling at the rates The balancesheetsofthosecellswhosebasecurrency isnot arising are included in thestatementoftotalreturn. of exchangerulingonthetransactiondate.Differences thus Transactions inforeign currencies are translatedattherate the rate of exchange ruling at the balance sheet date. pounds sterling,euros orUSdollars,asappropriate, at Foreign currency assetsandliabilitiesare translated into Foreign exchange statement oftotalreturn. positions, callandputoptionsatyear-end are includedinthe date. Unrealised gains andlossesarisingontheopenfuture to selltheunderlyingsecurityataspecifiedpricefuture a putoptiongivesthebuyerrightbutnotanobligation underlying securityataspecifiedpricefuture date.Buying gives thebuyerrightbutnotanobligationtobuy instrument atacertaindateinfuture. Buyingacalloption the holderobligationtobuyorsellacertainunderlying in forward exchangecontracts.Afutures contractgives Kleinwort Hambros Elite Multi Asset Growth Fund also invest Kleinwort Hambros EliteMultiAssetBalancedFundand Kleinwort Hambros EliteMultiAssetConservative Fund, are includedintheStatementofTotal Return. value gainsorlossesonthesederivativefinancialinstruments subsequently re-measured attheirfair value. Unrealised fair at cost,beingthefairvalueofconsiderationgiven,andare Derivatives are initially recognised in the financial statements Derivative financialinstruments value oftheinvestments. intention ofthevaluationatthisdatewastoestimatefair Fund where theinvestmentwasvaluedat30June2020.The Notes to the Financial Statements Cash Flows. 7. Therefore theseaccounts do notinclude a Statement of Flows asitmeetsallthecriteriasetoutinFRS102section The Companyisexemptfrom preparing a StatementofCash Statement ofcashflows cash onmarginaccounts. Cash andcashequivalentsconsistofheldatbank Cash andcashequivalents total return. accounted foragainstdistributionswithinthestatementof The incomeelementoftheissuesandredemption pricesis of therelevant shares asa return ofinitialcapitalinvested. to shareholders withthefirstdividendpaidafterissue dealing days. Equalisation payments will normally be repaid accounting fortheissueorredemption ofshares ondifferent so astoadjustnetundistributedincomeforeachclasswhen in issueontherelevant dealingday. Equalisationisapplied income attributable to each share in issue or deemed to be investments are disclosed. 3 are includedinnote16where thefairvaluecategoriesof fair valuesthatwere considered tobecategorisedaslevel at 31 July 2020. As at the year end, investments which had from aredemption oftheinvestmentinrelevant fundas may differ from theamountswhichwouldhavebeenrealised as at31July2020,maybeunauditedthatdateand or therelevant fundadministratorsandusedbytheDirectors asset valuesreported bytherelevant fundmanagersand/ valuation ofthefundatlastdateisused.Thenet with thevaluationdateofCompanyandinsuchcases valuation date of each fund may not always be coterminous by therelevant fundmanagerorrelevant administrator. The with thetermsoffundsandasnotifiedtoCompany at the relevant valuation date as determined in accordance in otherinvestmentfundsatthenetassetvalueoffundas judgement isapplied.TheDirectors valuedalltheinvestments Valuation ofinvestmentsisconsidered akeyarea where and inanyfuture periods affected. recognised in theperiodwhichestimates are revised ongoing basis.Revisionstotheaccountingestimatesare Estimates andunderlyingassumptionsare reviewed onan Actual results maydiffer from theseestimates. reported amount ofassets,liabilities,incomeandexpenses. that affect the applicationofaccountingpoliciesandthe Management makejudgements,estimatesandassumptions process ofapplying the Company’s accountingpolicies. It alsorequires managementtoexercise itsjudgment inthe 102 requires theuseofcertaincriticalaccountingestimates. The preparation offinancial statementsinconformitywith FRS Critical assumptionsandjudgements (continued) For theyearended31July2020 3. Net capital (losses)/gains Notes to the Financial Statements For theyearended31July2019 Total Foreign exchangelosses Losses onderivativeinstruments non derivativeinvestments Unrealised (losses)/gainson non derivativeinvestments Realised gains/(losses)on Total Foreign exchangegains/(losses) Gains onderivativeinstruments non derivativeinvestments Unrealised gains/(losses)on non derivativeinvestments Realised gains/(losses)on

(2,290,058) 12,958,503 (1,429,953) (2,180,929) (4,462,982) 1,380,084 9,503,248 1,073,396 2020 2019 Total Total (59,260) (65,669) £ £ Sterling Sterling Income Income Fixed Fixed Fund Fund 2020 2019 (18,880) (42,202) (50,954) (96,877) 32,074 57,960 (3,394) £ £ 109 - - Multi Asset Multi Asset (2,650,742) Balanced Balanced 1,395,331 4,091,984 6,203,372 (631,522) (627,464) Fund Fund 2020 2019 128,935 536,794 Elite Elite (7,410) £ £ 2,560 (continued) Conservative Conservative Multi Asset Multi Asset Fund Fund 2020 2019 213,546 184,614 457,839 161,803 286,378 (64,844) (19,104) 96,389 28,762 (2,613) £ £ Multi Asset Multi Asset (1,014,725) (1,835,221) (2,264,688) 1,588,513 3,665,524 5,448,655 Growth Growth (732,929) Fund Fund 2020 2019 510,434 (35,088) (28,877) £ £ International International International International Equity Fund Equity Fund (1,599,659) (1,964,792) 1,320,287 1,131,118 2020 2019 379,940 208,726 Elite Elite (14,149) (16,854) (2,703) £ £ (658) Trojan Trojan Fund Fund 2020 2019 (14,143) 23,959 (6,340) £ £ 7,065 9,816 725 - - - - 33 Annual Report & Audited Financial Statements 34 Annual Report & Audited Financial Statements For theyearended31July2019 For theyearended31July2020 these expensesare disclosedinnote6.Thebreakdown oftheseexpenseschargedagainstcapitalisasfollows: Fund havebeenchargedtocapitalandare shownintheStatementofTotal as‘Capitalexpenditure’. Return Thedetailsof All expensesinrespect oftheKleinwortHambros EliteSterlingBalancedFundandKleinwortHambros MultiAssetConservative 4. Capital expenditure Notes to the Financial Statements Total expenses Total otherexpenses Sundry expenses Audit fee Directors fees Admin fees Legal fees GFSC andotherregulatory fees Other expenses Custodian fee Investment managementfee Total expenses Total otherexpenses Sundry expenses Audit fee Directors fees Admin fees Legal fees GFSC andotherregulatory fees Other expenses Custodian fee Investment managementfee 2019 2020 Total Total £ £ 260,918 233,272 163,543 368,820 94,899 32,099 44,787 13,003 62,732 28,554 23,146 4,832 5,614 2,634 4,933 2,670 3,525 1,666 3,171 6,997 Fixed Income Fixed Income Sterling Sterling Fund Fund 2020 2019 £ £ 141,312 43,604 13,692 22,798 91,205 18,366 12,785 5,084 1,591 2,775 2,018 6,503 8,970 3,076 497 730 285 165 225 64 (continued) Conservative Conservative Multi Asset Multi Asset Fund Fund 2020 2019 £ £ 158,459 227,508 169,713 214,906 51,295 18,407 21,989 19,584 20,070 49,947 6,500 3,241 2,839 1,904 2,915 6,500 2,385 3,360 1,602 2,946 For theyearended31July2019 For theyearended31July2020 5. Revenue Notes to the Financial Statements Total income Bank interest Investment income Total income Bank interest Investment income 3,034,568 3,003,130 1,990,503 1,981,940 2019 2020 Total Total 31,438 8,563 £ £ Sterling Sterling Income Income 469,176 467,213 Fixed Fixed Fund Fund 36,639 36,143 2019 2020 1,963 £ £ 496 Multi Asset Multi Asset 1,255,714 1,238,926 Balanced Balanced 927,474 920,872 Fund Fund 2019 2020 Elite Elite 16,788 6,602 £ £ Conservative Conservative Multi Asset Multi Asset 280,613 170,331 170,331 284,067 Fund Fund 2019 2020 £ £ 3,454 - Multi Asset Multi Asset Growth Growth 518,143 462,384 461,028 526,808 Fund Fund 2019 2020 1,356 8,665 £ £ (continued) International International International Equity Equity Fund Fund 2019 2020 Elite Elite 498,235 393,566 393,566 498,235 £ £ - - Trojan Trojan Fund Fund 2019 2020 £ £ 109 109 568 568 - - 35 Annual Report & Audited Financial Statements 36 Annual Report & Audited Financial Statements ‘B’ GBPAccumulatingNon-ReportingShares 1.5% ‘A’ GBPReinvestReportingShares 1.25% ‘A’ GBPIncomeReportingShares 1.25% Fund Kleinwort Hambros Equity EliteInternational ‘B’ USDAccumulatingNon-ReportingShares 1.5% ‘B’ EURAccumulatingNon-ReportingShares 1.5% ‘B’ GBPAccumulatingNon-ReportingShares 1.5% ‘B’ GBPIncomeReportingShares 1.5% ‘A’ GBPReinvestReportingShares 1.25% ‘A’ GBPIncomeReportingShares 1.25% Fund Kleinwort Hambros EliteMultiAssetGrowth ‘B’ USDAccumulatingNon-ReportingShares 1.5% ‘B’ EURAccumulatingNon-ReportingShares 1.5% ‘A’ EURAccumulatingReportingShares 1.25% ‘B’ GBPAccumulatingNon-ReportingShares 1.5% ‘B’ GBPIncomeReportingShares 1.5% ‘A’ GBPIncomeReportingShares 1.25% Conservative Fund Kleinwort Hambros EliteMultiAsset ‘B’ USDAccumulatingNon-ReportingShares 1.5% ‘A’ USDAccumulatingNon-ReportingShares 1.25% ‘B’ EURAccumulatingNon-ReportingShares 1.5% ‘A’ EURAccumulatingReportingShares 1.25% ‘B’ GBPAccumulatingNon-ReportingShares 1.5% ‘B’ GBPIncomeReportingShares 1.5% ‘A’ GBPReinvestReportingShares 1.25% ‘A’ GBPIncomeReportingShares 1.25% Balanced Fund Kleinwort Hambros EliteMultiAsset ‘B’ GBPIncomeReportingShares 1.0% ‘A’ GBPIncomeReportingShares 0.75% Income Fund Kleinwort Hambros EliteSterlingFixed share classwillbeasfollows: classes attributabletotheNetAssetValue ofeachrespective management fee per annum in respect of each of the share with the Company that until further notice its investment InvestmentFundManagerhasagreedThe Alternative InvestmentFundManager’sAlternative fees 6. Expenses Notes to the Financial Statements a minimumof£6,500perannum,payablemonthlyinarrears. percent perannum ofeachCell’s NetAssetValue, subjectto Fund, theCustodianisentitledtoreceive afeeofupto0.06 Fund andKleinwortHambrosEquity EliteInternational Income Fund,KleinwortHambros EliteMultiAssetGrowth Balanced Fund,KleinwortHambros EliteSterlingFixed Conservative Fund,KleinwortHambros EliteMultiAsset In respect ofKleinwortHambros EliteMultiAsset Custodian fees InvestmentFundManager.fees paidtotheAlternative outoftheinvestmentmanagement Manager willbeborne arrears. Investment Fund The feesof the Sub-Alternative These feeswillbeaccruedweeklyandpayablemonthlyin 2019 and2020. Asset Value ofthe Cell. Thesefees have beenwaivedfor fee inrespect oftheCellwillbe0.3%perannumNet Company thatuntilfurthernoticeitsinvestmentmanagement InvestmentFundManagerhasagreedThe Alternative withthe Kleinwort Hambros EliteTrojan Fund Elite Trojan Fund. No administrationfeesare chargedtotheKleinwort Hambros the relevant cells pro rata to their respective Net Asset Values. attributable toaparticularcell willbeapportionedbetween the cellsofCompany. Anysuchexpenseswhichare not by theAdministratorinconnectionwithadministrationof Company inrespect ofalloutpocketexpensesincurred The Administrator is entitled to be reimbursed by the to receive afeeof£50pertradingtransaction. In additiontothisfee,theAdministratorshallalsobeentitled classes. annum oftheNetAssetValue ofallCellsacross allshare and payablemonthly in arrears atthe rate of0.15% per further noticeitsadministrationfeeshallbeaccruedweekly The Administratorhasagreed withtheCompanythatuntil Administrator’s fees 1 September2020). minimum of£6,500perannum(£3,200from per annum of the net asset value of each Cell subject to a the Custodianisentitledtoreceive afeeof0.035percent In respect ofthe Kleinwort Hambros EliteTrojan Fund, fee of£6,500perannumpayablebytheCell. out inthefollowingtiered structure, butsubjecttoaminimum accordance with theNetAssetValue oftheCompany, asset At present, the CustodianintendstochargetheCellin Above £500,000,000 £400,000,001 to£500,000,000 £0 to£400,000,000 (continued) 0.025% perannum 0.03% perannum 0.035% perannum

Fund are chargeddirectly tocapital. The cell expenses of Kleinwort Hambros Elite Sterling Fixed Income Fund and Kleinwort Hambros Elite Multi Asset Conservative For theyearended31July2019 Fund are chargeddirectly tocapital. The cell expenses of Kleinwort Hambros Elite Sterling Fixed Income Fund and Kleinwort Hambros Elite Multi Asset Conservative For theyearended31July2020 (continued)6. Expenses Notes to the Financial Statements Total expenses Total otherexpenses Sundry expenses Audit fee Directors fees Admin fees Legal fees GFSC andotherregulatory fees Other expenses Custodian fee Investment managementfee Total expenses Total otherexpenses Sundry expenses Audit fee Directors fees Admin fees Legal fees GFSC andotherregulatory fees Other expenses Custodian fee Investment managementfee 2,021,716 2,450,791 1,912,313 2,550,593 2019 2020 Total Total 223,751 484,668 170,904 211,026 472,946 139,459 £ £ 24,389 13,943 55,931 30,335 39,550 18,492 14,361 53,810 38,169 33,235

Multi Asset Multi Asset Balanced Balanced 1,007,175 1,269,894 Fund Fund 1,256,531 2019 2020 981,294 237,769 112,227 250,777 109,428 £ £ 24,460 69,929 20,046 16,841 12,372 24,950 87,582 15,945 20,906 10,257 6,354 6,659 Multi Asset Multi Asset Growth Growth Fund Fund 2020 2019 687,104 935,302 170,309 747,199 874,842 171,393 £ £ 16,345 50,469 13,905 12,186 79,862 17,794 62,101 10,458 13,698 74,050 9,012 4,875 6,212 4,874 (continued) International International International International Equity Fund Equity Fund 2020 2019 Elite Elite 337,637 312,226 243,915 267,342 £ £ 63,608 61,811 20,832 27,548 18,239 31,662 3,926 4,895 2,023 2,587 6,500 4,111 4,122 3,003 2,471 6,687 Trojan Trojan Fund Fund 2020 2019 £ £ 7,760 1,260 7,192 6,505 6,500 687 389 241 822 107 243 51 86 6 2 - - - - - 37 Annual Report & Audited Financial Statements 38 Annual Report & Audited Financial Statements investment income. of totalreturn relates towithholdingtaxontheCompany’s return andtherefore thetaxcharge showninthestatement deducted isshownseparatelyinthestatementoftotal Overseas incomeisshowngross andanywithholdingtax IncomeTaxGuernsey fortheapplicablefee. future tocontinuebeableapplyforexemptionfrom income tax of 0%. The Company expects for the foreseeable Guernsey’s CorporateTax Regimehasastandard rateof fee of£1,200. the above mentioned Ordinance entails payment of an annual incometax.Exemptionunder without deductionofGuernsey income oftheCompanymaybedistributedoraccumulated Tax Ordinance, (Exempt Bodies) (Guernsey) 1989 and the exemption fromincometaxundertheIncome Guernsey IncomeTaxStates ofGuernsey hasgrantedtheCompany n o ti a x Ta 7. Notes to the Financial Statements (continued) For theyearended31July2020 8. Distributions Notes to the Financial Statements Dividend pershare 31December2019 Dividends declared duringtheyear Equalisation received onshares issued Accrued incomepaidonshares redeemed (Ex-dividend 29July2020) Final dividendpaid30September2019 Interim dividendpaid28June2020(Ex-dividend26April2020) (Ex-dividend 29January2020) Interim dividendpaid28March 2020 (Ex-dividend 29October2019) Interim dividendpaid31December2019 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AEURAccumulatingReporting - AUSDAccumulatingNon-Reporting - AUSDAccumulatingReporting - AEURAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 30September2020 - BGBPAccumulatingNon-Reporting - BGBP/EURIncomeReporting - AGBPReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 28June2020 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AAccumulatingNon-Reporting - AUSDAccumulatingReporting - AEURAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AGBPReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 31March 2020 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AUSDAccumulatingNon-Reporting - AEURAccumulatingReporting - AUSDAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AReinvestedReporting - AGBP/EURIncomeReporting 2020 Total 307,002 140,899 73,142 94,235 (1,274) £ ------(continued) Sterling Income Fixed Fund 2020 135,641 135,917 £ (276) ------Multi Asset Balanced Fund 2020 £ 31 31 ------Conservative Multi Asset Fund 2020 169,997 £ 72,574 94,235 4,131 (0.82) (0.72) (0.85) (0.74) (0.77) (0.98) (1.03) (0.99) (1.03) (0.98) (943) ------International International Equity Fund 2020 £ 1,333 (0.24) (0.24) 820 568 (55) ------39 Annual Report & Audited Financial Statements 40 Annual Report & Audited Financial Statements For theyearended31July2019 8. Distributions (continued) Notes to the Financial Statements Dividend pershare 31December2018 Dividends declared duringtheyear Equalisation received onshares issued Accrued incomepaidonshares redeemed (Ex-dividend 29July2019) Final dividendpaid30September2019 Interim dividendpaid28June2019(Ex-dividend26April2019) (Ex-dividend 29January2019) Interim dividendpaid28March 2019 (Ex-dividend 29October2018) Interim dividendpaid31December2018 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AEURAccumulatingReporting - AUSDAccumulatingNon-Reporting - AUSDAccumulatingReporting - AEURAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 30September2019 - BGBPAccumulatingNon-Reporting - BGBP/EURIncomeReporting - AGBPReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 28June2019 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AAccumulatingNon-Reporting - AUSDAccumulatingReporting - AEURAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AGBPReinvestedReporting - AGBP/EURIncomeReporting Dividend pershare 29March 2019 - BGBPAccumulatingNon-Reporting - BEURAccumulatingNon-Reporting - BUSDAccumulatingNon-Reporting - AUSDAccumulatingNon-Reporting - AEURAccumulatingReporting - AUSDAccumulatingReporting - CIncomeReporting - BGBP/EURIncomeReporting - AReinvestedReporting - AGBP/EURIncomeReporting 811,220 2019 Total 236,747 258,124 145,221 87,193 87,182 (3,247) £ ------(continued) Sterling Income Fixed 399,115 145,221 Fund 2019 86,782 97,656 70,454 £ 10.03 (998) 0.86 0.80 9.39 0.85 9.91 ------Multi Asset Balanced Fund 2019 28,150 28,115 £ (454) 0.20 0.24 0.14 0.17 489 ------Conservative Multi Asset Fund 2019 283,678 110,817 160,389 14,247 £ (1,775) 1.21 1.02 0.99 1.02 1.07 1.49 1.54 1.84 1.55 1.40 1.45 ------International International Equity Fund 2019 100,277 97,815 £ 2,003 1.26 1.42 1.41 0.15 0.13 0.03 0.03 400 (20) 79 ------10. creditors Other 9. Debtors Notes to the Financial Statements Total Forward exchangecontracts on investments Amounts payable Sundry creditors Total Forward exchangecontracts on investments Amounts payable Sundry creditors Total Sundry debtors Forward exchangecontracts on investments Amounts receivable Accrued income Total Sundry debtors Forward exchangecontracts on investments Amounts receivable Accrued income 1,154,317 (943,314) (786,634) (272,332) (629,622) (310,079) (514,302) 2019 2020 2019 2020 Total Total Total Total 690,063 412,347 122,156 43,222 20,856 44,933 56,367 £ £ £ £ (3,613) 8,685 - - Sterling Sterling Sterling Sterling Income Income Income Income Fixed Fixed Fixed Fixed Fund Fund Fund Fund 2019 2020 2019 2020 (14,231) 121,100 120,425 (14,231) £ £ £ £ 675 ------Multi Asset Multi Asset Multi Asset Multi Asset Balanced Balanced Balanced Balanced (167,800) (396,305) (135,911) (265,483) (130,822) Fund Fund Fund Fund 2019 2020 2019 2020 164,582 460,454 292,390 (31,206) 55,970 16,464 29,653 £ £ £ £ 9,853 3,482 (683) - - - (continued) Conservative Conservative Conservative Conservative Multi Asset Multi Asset Multi Asset Multi Asset (590,664) (567,794) Fund Fund Fund Fund 2019 2020 2019 2020 (32,333) 104,808 (22,847) (10,312) (22,021) 25,779 14,517 34,787 43,222 £ £ £ £ 2,026 3,937 8,554 1,020 (23) - - Multi Asset Multi Asset Multi Asset Multi Asset Growth Growth Growth Growth (133,612) (326,359) (100,083) (238,507) Fund Fund Fund Fund 2019 2020 2019 2020 451,506 362,886 (30,622) (87,852) 86,135 44,554 24,532 13,508 £ £ £ £ (2,907) 6,514 2,485 - - - International International International International International International Equity Equity Equity Equity Fund Fund Fund Fund 2019 2020 2019 2020 (36,297) (31,008) (36,297) (31,008) 15,426 16,343 £ £ £ £ 7,015 2,363 4,652 917 ------Trojan Trojan Trojan Trojan Fund Fund Fund Fund 2019 2020 2019 2020 £ £ £ £ (710) (629) (710) (629) 106 106 100 100 ------41 Annual Report & Audited Financial Statements 42 Annual Report & Audited Financial Statements Report onpage11. Directors’ Interests havebeenincludedwithintheDirectors’ (31 July2019:£24,178,£204,678and£6,245respectively). of theyearwere £18,689,£174,925and£5,130respectively explained innotes4and6.Thebalancespayableattheend InvestmentFundManagerandtheCustodianareAlternative The feesandexpensespayabletotheAdministrator, the (2019: £10,050). (2019: £38,849)ofwhich£10,626wasdueattheyear-end Directors feesof£43,075were paidduringtheyear The onlyrelated partytransactionsare described below: 1978. The Administratorwasregistered on11May inGuernsey as related parties. Investment FundManager”)andtheDirectors are regarded SG KleinwortHambros Bank(CI)Limited(the“Alternative Limited(the“Administrator”), JTC FundSolutions(Guernsey) 11. transactions party Related Notes to the Financial Statements

declared. Holders ofShares are entitled to receive noticeof in theassets of the Cell andtoanydividends that may be of Shareholders andcarrytherighttoaproportionate share The Shares issuedbyanycellare redeemable attheoption classified asequity. capital. Asaresult oftheserights,ManagementShares are Management Shareholders rankonlyforareturn ofpaidup in any cell are in issue. In a winding up of the Company the the Companyandcarrynovotingrightswhilstanyshares The ManagementShares carrynorighttodividendsfrom have apreference oversomeother classofshare capital. Shares are created in order that the preference shares may “Shares”). CompanyLawManagement UnderGuernsey up andanunlimitednumberofshares ofnoparvalue(the allotted andissuedtotheManager, credited asfullypaid £1.00 each(“ManagementShares”), allofwhichhavebeen capital of£100dividedinto100ManagementShares of The Companywasincorporatedwithanauthorisedshare 12. Share capital for details). created which attractdiffering levelsoffees(refer tonote6 In certaincellsanumberofshare subclasseshavebeen Shares are presented asliabilities. of theCell.Assuch,andinaccordance withFRS102the the onlyclassofshareholder withrightstoanycapitalsurplus its ArticlesofAssociation.TheParticipatingShareholders are of theCell’s netassetsasdeterminedinaccordance with redeemable by Shareholders atpricesbasedonthevalue one voteforeachShare ofwhichheisaholder. Shares are thereat. The holder of each Share is entitled, on a poll, to all generalmeetingsoftheCompanyandtoattendvote (continued) For theyearended31July2019 For theyearended31July2020 12. Share capital (continued) Notes to the Financial Statements Non-Cellular Non-Cellular At 31July2019 Redeemed Issued As at31July2018 Redeemable Participating Cellular Management Shares At 31July2019 At 31July2020 Redeemed Issued As at31July2019 Redeemable Participating Cellular Management Shares At 31July2020 No. ofshares No. ofshares 107,849,965 (16,274,313) 107,849,965 124,592,192 (20,583,102) 96,691,734 3,840,875 5,116,082 Total Total 100 100 Fixed Income Fixed Income No. ofshares No. ofshares (5,096,369) (2,259,611) Sterling Sterling 5,083,240 7,180,818 5,083,240 Fund Fund 162,033 13,129 - - - No. ofshares No. ofshares Multi Asset Multi Asset 48,614,549 50,140,326 (5,135,392) Balanced Balanced 50,140,326 56,344,826 (9,034,759) 3,609,615 2,830,259 Fund Fund - - No. ofshares No. ofshares Conservative Conservative Multi Asset Multi Asset 10,046,224 (1,470,930) (continued) 10,046,224 12,117,857 (2,292,000) 9,554,369 Fund Fund 979,075 220,367 - - No. ofshares No. ofshares Multi Asset Multi Asset 31,015,585 34,513,903 (3,956,984) 34,513,903 38,202,068 (4,264,440) Growth Growth Fund Fund 458,666 576,275 - - No. ofshares No. ofshares International International International International Equity Fund Equity Fund 10,139,768 (2,480,149) 7,152,519 7,711,560 7,711,560 (614,638) Elite Elite 55,597 51,941 - - No. ofshares No. ofshares Trojan Trojan Fund Fund (252,143) 354,712 354,712 354,712 606,855 - - - - - 43 Annual Report & Audited Financial Statements 44 Annual Report & Audited Financial Statements The netassetsattributabletoparticipatingshareholders are represented bythefollowing: For theyearended31July2020 13. Net assets attributable to Participating Shareholders Notes to the Financial Statements Balance at31July2019 Kleinwort Hambros MultiAssetConservativeFund Retained distributiononaccumulationshares Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Balance at31July2019 Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxanddistributions Net capitalgains/(losses) Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Balance at31July2019 Kleinwort Hambros SterlingFixedIncomeFund Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxanddistributions Net capitalgains/(losses) Retained distributiononaccumulationshares Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Balance at31July2019 Kleinwort Hambros EquityFund International Retained distributiononaccumulationshares Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Balance at31July2019 Kleinwort Hambros MultiAssetGrowth Fund Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxand distributions Net capitalgains/(losses) Retained distributiononaccumulationshares Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxanddistributions Net capitalgains/(losses) Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxand distributions Net capitalgains/(losses) Kleinwort Hambros MultiAssetBalancedFund Share Premium Share Premium Share Premium Share Premium Share Premium (1,174,077) 26,594,694 (1,368,574) 25,305,648 (7,241,225) (8,838,111) (1,347,826) (5,905,221) (1,586,118) 16,784,867 21,962,701 5,952,179 7,448,241 £ £ £ £ £ 8,181,001 8,787,395 112,927 727,387 979,724 21,296 60,822 ------Capital Reserve Capital Reserve Capital Reserve Capital Reserve Capital Reserve (continued) 46,148,778 46,277,713 (1,599,659) (1,014,725) 16,477,630 18,077,289 29,823,856 30,838,581 2,605,161 2,642,407 £ £ £ £ £ 2,926,970 2,805,419 (214,906) 128,935 (18,366) (18,880) 213,546 122,911 ------Revenue Reserve Revenue Reserve Revenue Reserve Revenue Reserve Revenue Reserve (1,236,587) (1,481,719) (1,137,585) (1,069,261) £ £ £ £ £ (137,656) (153,698) (629,616) (300,528) (126,647) (153,480) (329,088) (412,458) (99,002) (11,009) (218) ------Total Total Total Total Total 72,442,944 70,953,745 (1,599,659) (1,347,826) (7,241,225) (8,838,111) (1,014,725) (5,905,221) (1,586,118) 15,165,897 18,011,464 45,127,004 51,732,021 10,954,273 11,439,334 5,952,179 8,953,063 £ £ £ £ £ (329,088) (412,458) (214,906) 128,935 (11,009) (18,366) (99,002) (18,880) 112,927 727,387 213,546 122,911 979,724 21,296 (218) ------For theyearended31July2020(continued) 13. Net assets attributable to Participating Shareholders (continued) Notes to the Financial Statements Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxand distributions Net capitalgains/(losses) Retained distributiononaccumulationshares Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Effect onForeign exchangerates Balance at31July2019 Total Received onissueofparticipatingshares Balance at31July2019 Kleinwort Hambros Trojan Fund Balance at31July2020 Other losses-Capitalexpenses Net (expense)/revenue aftertaxanddistributions Net capitalgains/(losses) Payable onredemptions ofparticipatingshares Share Premium Share Premium (24,918,501) 65,441,123 48,316,135 £ £ 7,793,513 587,270 587,270 ------Capital Reserve Capital Reserve (continued) 100,183,593 (2,290,058) 97,783,174 £ £ (328,156) (233,272) (328,881) 122,911 725 ------Revenue Reserve Revenue Reserve (3,699,260) (2,840,402) £ £ (858,858) (59,984) (52,901) (7,083) ------(24,918,501) 142,400,049 162,784,314 Total Total (2,290,058) £ £ 7,793,513 (233,272) (858,858) 122,911 199,130 205,488 (7,083) 725 - - - - 45 Annual Report & Audited Financial Statements 46 Annual Report & Audited Financial Statements For theyearended31July2019 13. Net assets attributable to Participating Shareholders (continued) Notes to the Financial Statements Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros MultiAssetConservativeFund Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Retained distributiononaccumulationshares Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros MultiAssetBalancedFund Balance at31July2019 Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros SterlingFixedIncomeFund Balance at31July2019 Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Retained distributiononaccumulationshares Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros EquityFund International Retained distributiononaccumulationshares Payable onredemptions ofparticipating shares Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros MultiAssetGrowth Fund Balance at31July2019 Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Retained distributiononaccumulationshares Balance at31July2019 Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Balance at31July2019 Share Premium Share Premium Share Premium Share Premium Share Premium (12,259,754) (12,854,746) 26,594,694 34,796,696 20,131,080 (5,108,356) (5,858,982) (2,320,095) 21,962,701 26,952,504 10,862,097 4,057,752 7,448,241 £ £ £ £ £ 5,065,799 8,787,395 171,907 103,379 869,179 245,393 60,822 ------Capital Reserve Capital Reserve Capital Reserve Capital Reserve Capital Reserve (continued) 46,148,778 42,048,782 18,077,289 16,662,618 30,838,581 27,173,057 4,091,984 2,642,407 2,825,921 £ £ £ £ £ 1,320,287 3,665,524 2,805,419 2,380,941 (141,312) (227,508) (42,202) 457,839 194,147 94,384 8,012 ------Revenue Reserve Revenue Reserve Revenue Reserve Revenue Reserve Revenue Reserve (1,137,585) (1,069,261) (1,208,335) £ £ £ £ £ (126,647) (300,528) (153,480) (258,198) (660,767) (153,869) (408,494) (42,330) (53,922) (72,725) 70,750 389 ------(12,259,754) (12,854,746) Total Total Total Total Total 72,442,944 76,587,280 21,748,666 (5,108,356) (5,858,982) (2,320,095) 18,011,464 21,655,692 51,732,021 53,464,794 11,439,334 13,089,169 4,091,984 4,057,752 8,953,063 £ £ £ £ £ 1,320,287 3,665,524 (141,312) (408,494) (227,508) 171,907 (53,922) (42,330) (42,202) 103,379 869,179 457,839 194,147 245,393 70,750 94,384 8,012 389 - - - - For theyearended31July2019(continued) 13. Net assets attributable to Participating Shareholders (continued) Notes to the Financial Statements Balance at31July2019 Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Retained distributiononaccumulationshares Payable onredemptions ofparticipatingshares Received onissueofparticipatingshares Effect onForeign exchangerates Balance at31July2018 Total Other losses-Capitalexpenses Revenue aftertaxanddistributions Net capitalgains Received onissueofparticipatingshares Balance at31July2018 Kleinwort Hambros Trojan Fund Balance at31July2019 Payable onredemptions ofparticipatingshares Share Premium Share Premium (38,551,933) 98,545,446 65,441,123 £ £ 5,447,610 (150,000) 587,270 737,270 ------Capital Reserve Capital Reserve (continued) 100,183,593 90,752,622 £ £ 9,503,248 (328,881) (368,820) (338,697) 296,543 9,816 ------Revenue Reserve Revenue Reserve (2,840,402) (2,399,603) £ £ (440,799) (52,901) (45,709) (7,192) ------(38,551,933) 162,784,314 186,898,465 Total Total £ £ 9,503,248 5,447,610 (368,820) (440,799) (150,000) 296,543 205,488 352,864 (7,192) 9,816 - - - 47 Annual Report & Audited Financial Statements 48 Annual Report & Audited Financial Statements 14. Earnings share per Notes to the Financial Statements Gain pershare Weighted averagenumberofshares inissue Total return Gain/(Loss) pershare Weighted averagenumberofshares inissue Change innetassetsattributabletoshareholders 5,624,140 4,707,528 Sterling Sterling Income Income Fixed Fixed Fund Fund 2019 2020 286,351 £ £ (0.00) (607) 0.05 Multi Asset Multi Asset 53,204,124 49,378,514 Balanced Balanced 4,077,804 (200,122) Fund Fund 2019 2020 £ £ (0.00) 0.08 (continued) Conservative Conservative Multi Asset Multi Asset 11,190,093 9,923,853 Fund Fund 2019 2020 514,398 168,419 £ £ 0.02 0.05 Multi Asset Multi Asset 37,116,102 32,701,020 (1,427,183) 3,257,030 Growth Growth Fund Fund 2019 2020 £ £ (0.04) 0.09 International International International (1,609,335) 8,525,754 1,366,642 7,421,005 Equity Equity Fund Fund 2019 2020 £ £ (0.22) 0.16 539,155 354,711 Trojan Trojan Fund Fund 2019 2020 (6,358) 2,624 (0.02) £ £ 0.00 futures account. contract sizes, a high degree of leverage may be typical of a low margindepositsnormally required inrelation tonotional underlying theseinstruments. Inaddition,becauseofthe currency exchange rates, indices and securities values Market risksariseduetothepossiblemovementinforeign July 2020. redemption oftheinvestmentinrelevant fundasat31 from theamountswhichwouldhavebeenrealised from a 2020, maybeunauditedasatthatdateanddiffer fund administratorsandusedbytheDirectors asat31July reported by the relevant fund managers and / or the relevant fund at the last valuation date is used. The net asset values date of the Company and in such cases the valuation of the each fundmaynotalwaysbecoterminouswiththevaluation fund managerorrelevant administrator. Thevaluationdateof of thefundsandasnotifiedtoCompanybyrelevant valuation dateasdeterminedinaccordance withtheterms funds atthenetassetvalueoffundasrelevant The Directors valued alltheinvestmentsinotherinvestment and supplementalschemeparticulars. with theinvestmentparametersasdisclosedinitsprospectus investments. TheCompany’s investmentportfoliocomplies mainly ofmovementsinthevalueCompany’s The Company’s exposure tomarketpriceriskiscomprised policy ofeachCell. of theinvestmentportfolioinaccordance withtheinvestment InvestmentFundManagerthroughAlternative diversification onerous. TheCompany’s marketpriceriskismanagedbythe prices maymakeafinancialinstrumentlessvaluableormore Market priceriskisthepossibilitythatfuture changesinmarket Market pricerisk risk. risk, interest rate risk, liquidity risk, currency risk and credit from theCompany’s financialinstruments are marketprice a recognised investmentexchange.Themainrisksarising held by the Company mainly consist of securities quoted on directly from theCompany’s operations.Theinstruments and variousitemssuchasdebtorscreditors thatarise investments, derivatives,somecashandliquidresources The financialinstrumentsheldbytheCompanycomprise remained unchangedduringtheyearunderreview. exposure. Thesepoliciesare summarised belowandhave The Board reviews andagrees policiesformanagingitsrisk associated risks 16. Financial instruments and There are nocontingentliabilitiesat thebalancesheetdate. 15. Contingent liabilities Notes to the Financial Statements The levelinthefairvaluehierarchy withinwhichthefairvalue (3) (2) (1) publicly traded.Thelevelsofthehierarchy are as follows: or whosefairvaluecanbereliably measured iftheyare not estimate thefairvalueofinvestmentsthatare publiclytraded section 34whichestablishesahierarchy tobeused The Company has adopted “Amendments to FRS 102”, Fair value recent transactionsormarketinformationavailable. are notreadily availableandare valuedbasedonthemost not quotedinanactivemarketorhavevalueswhich Level 3investments-Theseincludewhichare sources thatare activelyinvolvedintherelevant market. and verifiable,notproprietary, andprovided byindependent readily available, regularly distributedorupdated,reliable consider observabledatatobethatmarketis requires significantjudgementbytheDirectors. The Directors The determinationofwhatconstitutes“observabledata” liability. judgement, consideringfactorsspecifictotheassetor input tothefairvaluemeasurement initsentirety requires 3 measurement. Assessing thesignificanceofaparticular based onunobservableinputs,thatmeasurement isalevel uses observableinputsthatrequire significantadjustment measurement inits entirety. Ifafair valuemeasurement significance ofaninputisassessedagainstthefairvalue fair valuemeasurement initsentirety. For thispurpose,the the basisoflowestlevelinputthatissignificantto measurement iscategorised initsentirety isdeterminedon market data. include valuesnotprimarilyderivedfrom observable significantly onnon-observablemarketdataandwill curves orcredit spreads. quoted pricesforsimilarinstruments,interest rates,yield evaluated pricing techniques using inputs such as observable marketdataandwillgenerallyinclude derivatives. equities, some highly liquid bonds and exchange traded instrument inanactivemarketandwillgenerallyinclude Fair valuebasedonavaluationtechniquethatrelies Fair valuebasedonavaluationtechniqueusing Fair valuebasedonaquotedpriceforanidentical (continued) 49 Annual Report & Audited Financial Statements 50 Annual Report & Audited Financial Statements investment wouldincrease ordecrease ineachoftheCellsasfollows: Were investmentpricestoincrease ordecrease by5%,ifallothervariablesremained constant,themarketvalueof Sensitivity Analysis Other financialinstrumentsare notconsidered materialtotheCompany. *All level3investmentsrelate totransfersfrom level2to3duringthecurrent year(2019:None). The followingtableanalyseswithinthefairvaluehierarchy theCompany’s investmentsmeasured atfairvalue: 16. Financial instruments and associated profile (continued) Notes to the Financial Statements Level 1 Level 3* Level 2 Level 1 Trojan Fund EquityFund International Multi AssetGrowth Multi AssetConservativeFund Multi AssetBalancedFund Level 3* Level 2 156,896,601 137,266,504 137,103,467 157,100,876 2019 2020 Total Total 163,037 204,275 £ £ - - Multi Asset Balanced Increase 67,881,879 67,867,121 Sterling Income 8,784,239 8,784,239 2020 Fixed Fund Fund 2019 2020 2,174,660 3,394,094 £ £ 14,758 756,631 530,820 7,120 - - - Conservative Multi Asset Multi Asset Balanced 10,616,407 10,612,380 69,295,711 69,265,550 Fund Fund 2019 2020 £ £ 30,161 4,027 Decrease - 2020 - (2,174,660) (3,394,094) Conservative (756,631) (530,820) Multi Asset Multi Asset (continued) 43,493,203 43,491,355 11,050,366 11,059,138 Growth (7,120) Fund Fund 2019 2020 £ £ 1,848 8,772 - - International International Multi Asset 15,132,611 15,132,611 49,845,010 49,847,498 Growth Equity Fund Fund 2019 2020 Increase £ £ 2019 2,488 2,492,375 3,464,786 897,572 552,957 - - - 8,143 International International 17,951,436 17,951,436 Equity Trojan Fund Fund 2019 2020 142,404 142,404 £ £ - - - Decrease - 2019 (2,492,375) (3,464,786) (897,572) (552,957) Trojan Fund 2019 162,854 162,854 (8,143) £ - - hedging theCells’currency exposure. exchange contractsandtake short positionswithaviewto instruments suchasoptions, swapsandforward foreign arrange fortheCellstoenter into transactionsinderivative of theCompany. TheManager mayfrom time totime denominated inacurrency different from thebasecurrency exchange ratesandariseswhere instrumentsare instrument willfluctuatebecauseofchangesinforeign Currency profile istheriskthatvalueofafinancial Currency profile borrowing facilityandisfurtherdisclosedinNote18. The Companyalsomanagesitsliquidityriskthrough its assessing theliquidityriskofinvestments. further disclosure onthematurityofinvestmentsismadein or likelihoodofreceipt ofcashatmaturity. Consequently, no be obtainedanddoesnotgenerallyrelate tothecredit risk to theabilityeasilydisposeofsecurityandprice otherwise considered illiquid. Liquidity of a security relates may lackanestablishedsecondarytradingmarketorare markets. TheCompanymayalsoinvestinsecuritieswhich comprise securitieswhichare tradedinrecognised financial are within1year. SomeoftheCompany’s investmentsmay investments) relating tothecashandinvestmentactivities liabilities (excludingparticipatingredeemable shares and The maturityoftheCells’cashandfinancialassets commitments. realising assets orotherwiseraisingfundstomeetfinancial Liquidity riskisthethatCompanywillencounterwhen Liquidity risk restrictions have beenbreached. are monitored post-tradetoensure noinvestment limit are taken into consideration when investing. All portfolios Investment limitrestrictions withintheSchemeParticulars A Cell may invest in collective investment schemes. rating byMoody’s InvestorsService. BranchwhichhasbeenassignedaP-1 SCA -Guernsey Company holdscashwithBNPParibasSecuritiesServices which theCompanyholdscashandequivalents.The monitors thecreditworthiness ofthecounterpartieswith Investment Fund Manager also investments. The Alternative companies aspartofitsnormalscrutinyprospective investment byperformingfinancialanalysisontheissuing Manager assessestheriskassociatedwithfixedinterest into withtheCompany. InvestmentFund TheAlternative unable or unwilling to meet a commitment that it has entered Credit riskisthethatanissuerorcounterpartywillbe Credit risk associated risks (continued) 16. Financial instruments and Notes to the Financial Statements

interest rates relates primarily to the Company’s investments The Company’s exposure tomarketriskforchangesin Interest rateandcurrency profile of BNPParibasandare therefore protected. that theCompany’s assetsare segregated from theassets non-trading nomineecompany. Thisarrangementensures to custodyriskbyholdingtheassetsofCompanyina The Custodianensures thattheCompanyisnotexposed Law,of Guernsey) 1987(asamended). under the provisions of the Protection of Investors (Bailiwick Branch,islicensedbytheGFSC Services SCA-Guernsey agreement dated12October2012.BNPParibasSecurities and the assets of the Cells contained therein by an BranchastheCustodianofCompany SCA -Guernsey The CompanyappointedBNPParibasSecuritiesServices or fraudulentactionoftheCustodianaSub‑Custodian. securities heldincustodyasaresult ofinsolvency, negligence Custody riskisthethatCompanywillsuffer thelossof Custody risk for 31July2020. 31 July2020.Therefore nointerest rateprofile ispresented bondsasat None oftheCellsheldcorporateorgovernment loansaswellcash. in corporateandgovernment (continued) 51 Annual Report & Audited Financial Statements 52 Annual Report & Audited Financial Statements The interest rateprofile oftheCompany’s fixedcoupondebtinstrumentsasat31July2019: Interest rateandcurrency profile (continued) 16. Financial instruments and associated risks (continued) Notes to the Financial Statements *The weightedaverageinterest rateisbasedonthecurrent couponofeachassetweightedbyitsmarketvalue. Government Bonds Government Corporate Bonds Multi AssetGrowth Fund Bonds Government Corporate Bonds Multi AssetConservativeFund Bonds Government Corporate Bonds Sterling FixedIncomeFund Government Bonds Government Corporate Bonds Multi AssetBalancedFund Total asperPortfolio Total asperPortfolio Total asperPortfolio Total asperPortfolio Statement Statement Statement Statement 2019 2019 2019 2019 £ £ £ £ 7,499,986 2,252,477 5,247,509 4,039,477 4,039,477 1,411,941 1,411,941 730,833 730,833 - - - Weighted average Weighted average Weighted average Weighted average interest rate* interest rate* interest rate* interest rate* (continued) 2019 2019 2019 2019 % % % % 5.77% 4.75% 4.75% 4.41% 1.36% 4.75% 4.75% 4.75% 4.75% - - - period untilmaturity period untilmaturity period untilmaturity period untilmaturity Weighted average Weighted average Weighted average Weighted average Years Years Years Years 2019 2019 2019 2019 12.04 0.60 0.60 0.60 0.60 0.60 0.60 3.49 8.55 - - - The interest rateandcurrency profile oftheCompanyasat31July2020isfollows Interest rateandcurrency profile (continued) 16. Financial instruments and associated risks (continued) Notes to the Financial Statements and floatingratenoteinvestments. The floatingratefinancialassetscomprisebankbalancesthat bearinterest basedontheratesprevailing foreachcurrency Balance at31July2020 US dollars Sterling Euro Multi AssetBalancedFund Balance at31July2020 Sterling Elite Trojan Fund Balance at31July2020 US dollars Swiss franc Swedish krona Sterling Japanese yen Hong Kongdollar Euro Canadian dollars Australian dollars EquityFund International Balance at31July2020 US dollars Sterling Euro Multi AssetGrowth Fund Balance at31July2020 US dollars Sterling Euro Multi AssetConservativeFund 15,165,897 70,953,745 70,772,104 45,127,004 44,960,047 10,954,273 10,458,959 9,482,345 1,485,612 1,029,236 1,402,367 (164,252) 312,792 242,030 792,979 415,512 345,893 (15,627) 199,130 199,130 182,584 452,721 Total Total Total Total Total 42,593 3,024 £ £ £ £ £ Financial assets/(liabilities)on Financial assets/(liabilities)on Financial assets/(liabilities)on which nointerest ispaid which nointerest ispaid which nointerest ispaid which nointerest ispaid which nointerest ispaid Financial assetson Financial assetson £ £ £ £ £ 67,541,545 67,784,462 15,108,049 10,581,938 10,587,316 43,211,396 43,421,440 (continued) 9,446,324 1,477,825 1,016,855 1,389,795 (260,713) (231,633) 141,875 312,792 229,342 819,604 415,512 141,875 17,796 (9,651) 21,589 4,273 - : Fixed rate Fixed rate Fixed rate Fixed rate Fixed rate assets assets assets assets assets £ £ £ £ £ 0 ------Floating rateassets/ Floating rateassets/ Floating rateassets Floating rateassets Floating rateassets (liabilities) (liabilities) £ £ £ £ £ 3,412,200 2,987,642 1,915,608 1,538,607 (128,357) 328,097 (26,625) 372,335 448,448 216,006 160,995 96,461 57,255 57,848 36,021 12,381 12,688 12,572 52,244 57,255 3,024 7,787 - - 53 Annual Report & Audited Financial Statements 54 Annual Report & Audited Financial Statements and floatingratenoteinvestments. The floatingratefinancialassetscomprisebankbalancesthat bearinterest basedontheratesprevailing foreachcurrency The interest rateandcurrency profile oftheCompanyasat31July2019isfollows: Interest rateandcurrency profile (continued) 16. Financial instruments and associated risks (continued) Notes to the Financial Statements Multi AssetGrowth Fund Balance at31July2019 US dollars Sterling Euro Multi AssetConservativeFund Balance at31July2019 US dollars Sterling Euro Multi AssetBalancedFund Balance at31July2019 US dollars Sterling Sterling FixedIncomeFund Balance at31July2019 Sterling Elite Trojan Fund Balance at31July2019 US dollars Swiss franc Swedish krona Sterling Japanese yen Hong Kongdollar Euro Canadian dollars Australian dollars EquityFund International Balance at31July2019 US dollars Sterling Euro 72,442,944 72,015,527 18,011,464 51,732,021 51,863,575 11,439,334 11,377,586 9,559,394 2,348,156 2,304,480 1,035,972 8,953,063 8,953,039 (357,330) 374,301 251,837 998,403 815,423 323,498 277,454 149,963 205,488 205,488 225,776 Total Total Total Total Total Total 52,335 £ £ £ £ £ £ 9,413 24 which nointerest ispaid which nointerest ispaid which nointerest ispaid which nointerest ispaid which nointerest ispaid which nointerest ispaid Financial assetson Financial assetson Financial assetson Financial assetson Financial assetson Financial assetson £ £ £ £ £ £ (continued) 65,528,960 65,237,253 17,928,052 48,753,451 48,393,472 9,542,108 2,332,744 2,304,569 1,031,963 9,776,198 9,810,962 160,032 131,675 106,869 106,869 162,250 162,250 374,347 251,837 987,182 798,009 305,293 150,306 209,673 30,110 4,654 - Fixed rate Fixed rate Fixed rate Fixed rate Fixed rate Fixed rate 4,039,477 4,039,477 7,502,986 7,502,986 1,411,941 1,411,941 assets assets assets assets assets assets 730,833 730,833 £ £ £ £ £ £ ------Floating rateassets/ Floating rateassets/ Floating rateassets Floating rateassets Floating rateassets Floating rateassets (liabilities) (liabilities) £ £ £ £ £ £ 2,874,507 2,738,797 1,343,208 1,343,184 1,566,629 2,058,162 (567,003) 117,422 870,555 897,539 18,288 43,238 43,238 83,412 17,286 15,412 11,221 17,414 18,205 22,225 75,470 4,009 4,759 (46) (89) 24 - no ultimatecontrolling partyintheCompany. The issuedshare capitaloftheCompanyisownedbynumerous partiesandtherefore, intheopinionofDirectors, there is 19. Ultimate Controlling Party (2019: £Nil)andKleinwortHambros MultiAssetConservativeFund£128,358(2019:£Nil). £26,625 (2019:£135),KleinwortHambros MultiAssetGrowth Fund£Nil(2019:£567,003),SterlingFixedIncome The Companyhaddrawndownthefollowingamountsasat31July2020:KleinwortHambros InvestmentEquityFund out ofthefailure oftransactions tosettleintheexpectedtimescale. The facilitywillbemadeavailableforamaximumof5consecutivedaysandisprimarilytomeetanyshortfallar ising At 31 18. Borrowing facilities Refer toBorrowing facilities note18where borrowings have beendisclosed. so astobeablemeettheredemption requests oftheunitholders. of thecells.TheManagermonitorsrisksassociatedwithinvestedcapital,includingmanagingliquidityFund The capitalstructure oftheFundatperiodendconsistsnetassetsattributabletoParticipatingShareholders ofeach 17. Capital Management increase ordecrease ineachofthe Cellsasfollows: If thevalueofPoundSterlingincreased ordecreased by5%,ifallothervariablesremained constant,theNAV would Sensitivity Analysis 16. Financial instruments and associated risks (continued) Notes to the Financial Statements International EquityFund International Multi AssetGrowth Sterling FixedIncomeFund Multi AssetConservativeFund Multi AssetBalancedFund

July 2020theCompanyhada £ 3,000,000 (2019:£5,000,000)facilitywithBNPParibastoutiliseonbehalfofallthecells. Increase 2020 720,015 26,069 8,787 9,560 - Decrease 2020 (651,442) (23,586) (continued) (7,950) (8,650) - Increase 2019 745,872 439,212 21,371 (6,578) 3,087 Decrease 2019 (824,385) (439,212) (21,371) (3,087) 6,578 55 Annual Report & Audited Financial Statements 56 Annual Report & Audited Financial Statements Kleinwort Hambros EquityFund£568.Thesedividendswere International paidon30September2020. On 29July2020thefollowingdividendswere declared: KleinwortHambros MultiAssetConservativeFund£72,574and Distributions *The KHHambros Trojan Fundmostrecent valuationdateoftheCellwas30October2020. movement takesintoaccountroutine transactionsbutalsoreflects themarketmovementsinrecent months. Subsequent to the year end, the Net Asset Value per unit of the Cells have changed as set out in the tables below. This 20. Events after the Balance Sheet Date Notes to the Financial Statements Trojan Fund* EquityFund International Multi AssetGrowth Fund Multi AssetConservativeFund Multi AssetBalancedFund Cell Net AssetValue Per Share asat 31 July2020 0.56 2.12 1.46 1.15 1.46 18 November2020 Net AssetValue Per Share asat 0.52 2.29 1.54 1.16 1.51 (continued) Net AssetValue (decrease) in Increase / (0.04) 0.17 0.08 0.01 0.05 % Change (7.1) 8.0 5.5 0.9 3.4 Standard &Poorscredit ratingagency. held bytheCellrangedfrom AAAtoBBB-asprovided by As at31July2020,thecredit rating of thedebt investments listed orquotedsecurities. The investments held bythe cell asat 31 July 2020 were all carrying valuesasat31July2020. *These investmentsare inliquidationandare reflected attheir Kleinwort Hambros Elite Multi Fund Balanced Asset Investments of Portfolio Cell As at31July2020 6,795 14,800 199,100 219,200 60,630 4,924,000 195,042 1,288,700 Nominal 561,734 31,965 442,340 648,070 69,700 25,285 14,580 770,260 18,150 140,327 740,584 22,160 137,750 Ngam SaLoomisSaylesUS Invesco ManagementBondZQdDis ETFS HedgedMetalGold Multi UnitsLuxFTSE Lyxor NewcitsI.Si2GBP Lyxor InvestmentSTrend Lyxor Core MultiUnitsLx Lyxor AssetManagementIStrat Blackrock LuxembourgS.A.ContinentalEurope Hermes InvestmentManagement AXA World Funds-FramlingtonUKIDistributionGBP iShares IIPlcCore UKGiltsUCTETFGBP Robeco LuxSAUSPremium Equities iShares IIIPlcFTSEGilt FIL InvestmentServices(UK)LimitedInstitutionalEmergingMarketsWAcc United Kingdom Funds 95.67%(2019:90.07%) United Kingdom Neuberger BermanInv iShares VPlcS&P500 M&G CorpBondIGBPInc Tapestry InvestmentCompany* Bonds0.00%(2019:5.58%) Government Description Net AssetsattributabletoParticipatingShareholders asat31July2020 Net Current Assets Total Investments Duet RealEstateFinance* United Kingdom Equities 0.00%(2019:0.00%) United StatesofAmerica Euroland Baillie Gifford Ov deemed toaddanysignificantmeaningfulinformation. low andassuchproviding abreakdown onthisbasisisnot of credit risk in this element of the portfolio is deemed to be investments belowinvestmentgradeandtherefore thelevel portfolio broken downbycredit ratingasthere are nodebt The Cellhaselectednottopresent thedebtelementof 44,459,714 10,436,899 11,670,472 60,815,238 2,018,391 2,824,427 1,091,524 2,167,843 2,065,714 2,223,800 1,990,101 1,448,021 4,450,200 4,561,284 5,296,827 2,575,057 1,855,005 5,352,842 1,930,664 2,119,960 4,170,992 2,000,835 4,450,200 234,852 234,852 Cost £ - - 12,932,579 49,877,007 10,685,009 70,953,745 67,881,879 2,076,540 3,626,050 1,437,992 2,084,813 2,069,005 2,065,204 1,995,928 2,031,915 2,086,784 4,491,774 2,097,624 2,211,409 5,070,608 5,070,608 4,902,631 7,046,141 2,797,333 2,093,704 6,996,657 3,071,866 Value £ Market 13,073 1,685 1,685 - % ofNet Assets 100.00 18.23 95.67 70.29 15.05 2.93 5.11 2.03 2.94 2.92 2.91 2.81 2.86 2.94 6.33 2.96 0.02 3.12 4.33 7.15 7.15 6.91 9.93 3.94 2.95 9.86 0.00 0.00 - Assets 2019 % ofNet 100.00 95.66 55.92 34.16 5.58 4.34 - -

57 Annual Report & Audited Financial Statements 58 Annual Report & Audited Financial Statements Standard &Poorscredit ratingagency. held bytheCellrangedfrom AAAtoBBB-asprovided by As at31July2020,thecredit rating of thedebt investments listed orquotedsecurities. The investments held bythe cell asat 31 July 2020 were all carrying valuesasat31July2020. *These investmentsare inliquidationandare reflected attheir As at31July2020 Kleinwort Hambros Multi Conservative Asset Fund Cell PortfolioofInvestments 70,400 34,400 4,150 2,300 70,200 3,890 10,700 73,469 55,555 37,600 2,850 101,060 22,300 46,400 1,948,400 60,079 168,804 202,931 Nominal 3,410 Ngam SaLoomisSaylesUS Invesco ManagementBondZQdDis Multi UnitsLuxFTSE Lyxor NewcitsI.Si2GBP Lyxor InvestmentSTrend Lyxor Core MultiUnitsLx Lyxor AssetManagementIStrat Multi UnitsLuxFTSE J OHambro Cap-ContEurp Pimco Global iShares IIPlcCore UKGiltsUCTETFGBP Algebris UCITSFundsplc ETFS HedgedMetalGold Baillie Gifford Ov Neuberger BermanInv M&G CorpBondIGBPInc Tapestry InvestmentCompany* Threadneedle UKInc FIL InvestmentServices(UK)LimitedInstitutionalEmergingMarketsWAcc United Kingdom Funds 96.92%(2019:90.29%) United Kingdom Government Bonds0.00%(2019:6.39%) Government Description Net AssetsattributabletoParticipatingShareholders asat31July2020 Net Current Assets Total Investments United StatesofAmerica7.00%(2019:0.00%) Euroland (continued) deemed toaddanysignificantmeaningfulinformation. low andassuchproviding abreakdown onthisbasisisnot of credit risk in this element of the portfolio is deemed to be investments belowinvestmentgradeandtherefore thelevel portfolio broken down bycredit ratingasthere are nodebt The Cellhaselectednottopresent thedebtelementof 1,550,007 2,786,385 6,478,721 9,726,104 432,592 283,333 746,594 563,900 323,532 817,580 215,802 445,360 830,219 227,985 249,439 460,998 460,998 755,054 635,749 415,000 287,365 485,595 Cost £ - - 10,954,273 10,616,407 1,640,307 3,157,113 1,098,775 6,918,366 Value £ Market 445,055 326,423 779,437 564,752 326,183 227,583 441,728 830,018 206,752 348,230 540,928 540,928 780,271 628,870 459,123 330,283 637,662 337,866 4,027

- % ofNet Assets 100.00 14.97 28.82 10.02 96.92 63.16 4.06 2.98 7.12 5.16 2.98 2.08 4.03 7.58 0.04 1.89 3.18 3.08 4.94 4.94 7.12 5.74 4.19 3.02 5.82 - Assets 2019 % ofNet 100.00 96.68 57.29 33.00 6.39 3.32 -

Standard &Poorscredit ratingagency. held bytheCellrangedfrom AAAtoBBB-asprovided by As at31July2020,thecredit rating of thedebt investments listed orquotedsecurities. The investments held bythe cell asat 31 July 2020 were all carrying valuesasat31July2020. *These investmentsare inliquidationandare reflected attheir As at31July2020 Kleinwort Hambros Multi Fund Growth Asset Cell PortfolioofInvestments 14,800 9,870 400,100 226,300 13,031 52,400 8,113 1,104,694 434,628 23,155 7,740 83,300 36,800 7,945 6,375 496,300 7,725 18,290 96,600 936,863 Kingdom United Equities 0.00%(2019:0.00%) NGAM SALOOMISSAYLES US SPDR S&P500DIS Invesco MgtBondZQdDis Multi UnitsLuxFTSE Lyxor NewcitsI.Si2GBP Lyxor InvestmentSTrend Lyxor Core MultiUnitsLx Lyxor AssetManagementIStrat Ishares Plc-Ishares Vii Core S&P500Ucits Blackrock LuxembourgS.A.ContinentalEurope Hermes InvestmentManagement AXA World Funds-FramlingtonUKIDistributionGBP Robeco LuxSAUSPremium Equities ETFS HedgedMetalGold Baillie Gifford Ov iShares VPlcS&P500 Jupiter UnitTrust ManagersEuropean Fund Tapestry InvestmentCompany* FIL InvestmentServices(UK)LimitedInstitutionalEmergingMarketsWAcc United Kingdom Funds 96.40%(2019:93.62%) United Kingdom Total Investments Duet RealEstateFinance* United Kingdom Government Bonds0.00%(2019:2.73%) Government Description Net AssetsattributabletoParticipatingShareholders asat31July2020 Net Current Assets United StatesofAmerica Euroland (continued) deemed toaddanysignificantmeaningfulinformation. low andassuchproviding abreakdown onthisbasisisnot of credit risk in this element of the portfolio is deemed to be investments belowinvestmentgradeandtherefore thelevel portfolio broken downbycredit ratingasthere are nodebt The Cellhaselectednottopresent thedebtelementof 37,614,304 23,744,282 3,410,604 3,625,209 1,833,090 1,297,226 1,450,365 3,230,155 8,577,506 3,328,393 2,201,608 1,042,096 1,159,197 5,123,983 3,224,102 1,899,881 5,578,177 859,067 846,169 168,533 168,533 853,989 809,900 796,500 Cost £ 43 - 10,918,041 43,493,203 26,988,381 45,127,004 4,508,141 4,529,884 2,496,144 1,819,107 1,392,384 2,999,789 4,350,087 2,309,505 1,396,848 1,895,655 1,633,801 5,585,477 3,673,078 1,912,399 5,641,440 Value £ Market 883,816 965,402 923,247 878,972 915,457 1,304 1,304 544 - % ofNet Assets 100.00 10.04 24.19 96.38 12.38 59.81 12.49 9.99 1.96 5.53 4.03 3.09 6.65 9.63 5.12 2.14 3.10 4.20 3.62 8.14 4.24 2.05 1.95 2.03 - - - - Assets 2019 % ofNet 100.00 96.36 56.83 36.80 2.73 3.64 - - - 59 Annual Report & Audited Financial Statements 60 Annual Report & Audited Financial Statements As at31July2020 Kleinwort Hambros Elite International Equity Fund Cell PortfolioofInvestments 7,904 7,523 21,600 19,500 410,000 19,261 42,831 939 2,271 17,871 19,171 19,553 4,390 3,318 2,400 4,200 3,300 11,428 125,400 11,200 3,234 6,300 2,191 4,890 Nominal CGI Inc Canada Taiwan SemiconductorAdr Itochu Corp Nippon Telegraph &Telephone CorpNpv China ConstructionBank Asia Equities 99.78%(2019:99.67%) Description Glaxosmithkline Plc Tate &Lyle Plc Linde Plc Icon Plc RELX PlcGBP Smith &NephewPLSUSD Compass Group Plc-Ord MEDTRONIC PLCUSD0.0001 ABBVIE INCCOMUSD0.01 VISA INCCLASSA HOYA CORPORATION AKAMAI TECHNOLOGIE OPEN TEXTCORP TAYLOR WIMPEYPLC United Kingdom Upm-Kymmene CorpNPV CapGemini SEEur8 Hexagon Ab-B Allianz Ag Vinci Euroland (continued) 1,191,005 1,391,990 3,919,529 401,116 401,116 310,760 364,520 333,710 182,015 403,650 279,981 342,780 291,321 272,654 228,111 257,124 286,818 334,470 129,653 244,930 188,833 250,293 228,620 402,859 255,691 346,165 309,856 257,710 Cost £ 1,383,104 1,527,163 3,901,613 Value £ Market 228,352 318,975 312,792 346,356 320,688 428,584 428,584 452,125 358,312 343,325 229,342 391,021 148,411 294,655 278,915 174,063 320,804 288,617 290,920 205,404 322,853 239,920 348,206 315,218 282,606 % ofNet Assets 10.06 25.73 1.51 2.10 2.06 2.28 2.11 2.83 2.83 9.12 2.99 2.36 2.26 1.51 2.58 0.98 1.94 1.84 1.15 2.12 1.90 1.92 1.35 2.13 1.58 2.30 2.08 1.86 Assets 2019 % ofNet 15.19 15.89 5.70 9.86

As at31July2020 Kleinwort Hambros Elite International Equity Fund Cell PortfolioofInvestments Standard &Poorscredit ratingagency. held bytheCellrangedfrom AAAtoBBB-asprovided by As at31July2020,thecredit rating of thedebt investments listed orquotedsecurities. The investments held bythe cell asat 31 July 2020 were all 4,651 2,551 3,700 1,438 2,600 2,512 2,158 2,500 5,215 5,500 3,314 2,699 3,510 2,523 3,683 2,800 10,974 3,200 5,079 1,984 1,195 2,629 1,654 7,458 Nominal Rio Tinto Ltd Rio Tinto Johnson & Curtiss-Wright CorporationUSD Bank OfAmericaCorporation Avery DennisonCorporationCommonStock Waste ManagementInc Nextera EnergyInc Cintas Corporation Berkshire HathawayClass'b' Amgen Inc(USD) United StatesofAmerica Description Net AssetsattributabletoParticipatingShareholders asat31July2020 Net Current Assets Total Investments Australia Dr HortonInc Take Two Interactive Fidelity National Costco Wholesale AvalonBay Communities Paypal HoldingsInc Dollar GeneralC HCA HoldingsInc Xylem Inc Merck &CoInc Walt DisneyCo Union PacificComUSD Texas InstrumentsInc Microsoft Corporation (continued) deemed toaddanysignificantmeaningfulinformation. low andassuchproviding abreakdown onthisbasisisnot of credit risk in this element of the portfolio is deemed to be investments belowinvestmentgradeandtherefore thelevel portfolio broken down bycredit ratingasthere are nodebt The Cellhaselectednottopresent thedebtelementof 12,843,324 5,626,182 422,536 171,604 178,958 280,917 318,492 363,603 246,110 258,641 242,256 159,306 370,092 268,845 238,756 209,063 161,194 137,696 275,974 208,006 313,502 313,502 189,795 235,451 388,250 233,833 Cost £ 66,804 15,165,897 15,132,611 7,476,635 Value £ Market 303,254 375,508 313,021 241,391 289,934 336,558 295,356 356,278 341,052 394,222 409,227 190,133 207,983 276,370 424,064 424,222 274,768 392,447 308,299 415,512 415,512 234,464 318,870 412,469 356,745 33,286

% ofNet (continued) Assets 100.00 99.78 49.30 2.00 2.48 2.06 1.59 1.91 2.22 1.95 2.35 2.25 2.60 2.70 1.25 1.37 1.82 2.80 2.80 1.81 2.59 2.03 0.22 2.74 2.74 1.55 2.10 2.72 2.35 Assets 2019 % ofNet 100.00 99.67 51.34 1.69 0.33

61 Annual Report & Audited Financial Statements 62 Annual Report & Audited Financial Statements As at31July2020 Kleinwort Hambros Global Trojan Fund Cell PortfolioofInvestments 1,198 Nominal Net AssetsattributabletoParticipatingShareholders asat31July2020 Net Current Assets Total Investments EEA LifeSettlementsFund United Kingdom Funds 71.51%(2019:79.25%) Description (continued) 214,343 214,343 214,343 Cost £ Value £ Market 199,130 142,404 142,404 142,404 56,726

% ofNet Assets 100.00 28.49 71.51 71.51 71.51 Assets 2019 % ofNet 100.00 20.75 79.25 79.25

For theyearended31July2020 Kleinwort Hambros Elite Multi Fund Balanced Asset Changes Portfolio Material of Summary Cell Top 10acquisitionsintheyear Threadneedle InvestmentFund Lyxor NewcitsIRLPlcSandlerUSEQUITYSI2GBP Blackrock LuxembourgS.A.ContinentalEurope Ishares IIIPlc-FTSEGiltsUK Ishares FTSEUKGiltallstocks AXA World Funds-FramlingtonUK HdgMetPhysicalGold Wisdomtree Robeco CapitalGrowth -USPremium Equities Ishares VIIPlc Multi UnitsLuxembourgLyxor FTSEActuaries Funds Acquisitions Top 10disposalsintheyear HdgMet PhysicalGold Wisdomtree Multi UnitsLuxembourgLyxor FtseActuaries Union Bancaire PriveeGlobalHighYield Solution J OHambro CapitalManagementLtdContinentalEuro AGBP Robeco CapitalGrowth -USPremium Equities M&G InvestmentManCorporateBondIGbpInc Threadneedle InvestmentFund Ishares VIIPlc Ishares VIIPlc-Ishares Core S&P500UCITS Funds UK Treasury 4.75%07/03/2020 Bonds Government Disposals Proceeds £ 30,399,577 30,399,577 29,834,967 25,875,593 1,031,140 1,990,101 2,065,714 2,273,496 3,428,613 4,909,050 6,668,920 7,153,156 1,073,981 1,989,863 2,263,021 2,486,609 3,001,100 3,838,786 5,005,146 5,259,541 3,959,374 3,959,374 399,330 480,057 957,546 Cost £ 63 Annual Report & Audited Financial Statements 64 Annual Report & Audited Financial Statements For theyearended31July2020 Kleinwort Hambros Multi Conservative Asset Fund Changes Portfolio of Material Summary Cell Top 10acquisitionsintheyear Fil InvestmentManagement J OHambro CapitalManagementLtdContinentalEuro AGBP Ishares VIIPlc Lyxor FTSEActuariesUKUCITSETF Algebris UCITSPlc Pimco GlobalInvestment HdgMetPhysicalGold Wisdomtree Loomis SaylesUSGrowth EquityFund Ishares FTSEUKGiltallstocks Multi UnitsLuxembourgLyxor FTSEActuaries Funds Acquisitions Top 10disposalsintheyear Lyxor FTSEActuariesUKUCITSETF HdgMet PhysicalGold Wisdomtree Lyxor Abritrage DimensionIrlPlc/Tiedemann Multi UnitsLuxembourgLyxor FTSEActuaries Union Bancaire PriveeGlobalLHighYield Solution Pimco GlobalInvestment Ishares VIIPlc FIL InvestmentMGTLuxAmericanGrowth GBPACC H2O MultiAggregate Fund Funds UK Treasury 4.75%07/03/2020 Bonds Government Disposals Proceeds £ 3,786,168 3,786,168 4,158,417 3,438,154 305,451 319,618 323,532 471,648 480,176 534,001 563,900 638,351 720,263 113,103 188,288 230,473 403,605 513,736 533,562 542,438 824,584 720,263 Cost £ 68,585 80,906 88,365 (continued) For theyearended31July2020 Kleinwort Hambros Multi Fund Growth Asset Changes Portfolio of Material Summary Cell Total acquisitionsintheyear Threadneedle InvestmentFund Lyxor NewcitsIrlPlcSandlerUSEquity Blackrock LuxembourgS.A.ContinentalEurope Ishares VIIPlc Lyxor S&P500UCITSETF AXA World Funds-FramlingtonUK HdgMetPhysicalGold Wisdomtree SPDR S&PUsDividendAristorcrats UCITSEquity Robeco CapitalGrowth -USPremium Equities Multi UnitsLuxembourgLyxor FTSEActuaries Funds Acquisitions Top 10disposalsintheyear Lyxor NewcitsIrlPlcSandlerUSEquity SPDR S&PUsDividendAristorcrats UCITSEquity Lyxor S&P500UCITSETF HdgMet PhysicalGold Wisdomtree Fil InvestmentManagement ISHARES VIIPLC-CORES&P500UCITS J OHambro CapitalManagementLtdContinentalEuro AGBP Threadneedle InvestmentFund Ishares VIIPlc Funds UK Treasury 4.75%07/03/2020 Bonds Government Disposals Proceeds £ 17,999,544 17,999,544 19,138,695 17,730,417 1,436,825 1,450,365 2,687,574 2,857,888 3,230,155 4,853,695 1,007,114 1,069,039 1,390,831 2,226,732 2,286,419 2,335,206 3,026,884 3,449,062 1,408,278 1,408,278 126,974 196,900 409,074 750,094 939,130 Cost £ (continued) 65 Annual Report & Audited Financial Statements 66 Annual Report & Audited Financial Statements For theyearended31July2020 Kleinwort Hambros Elite International Equity Fund Changes Portfolio of Material Summary Cell Top 10acquisitionsintheyear Abbvie IncCom Akamai Technologies Inc Taylor Plc Wimpey Hoya Corporation Taiwan SemiconductorSponsored Adr IncclassAsharesVisa Itochu Corporation Meditronic Plc Open Text Corp Dr HortonInc Equities Acquisitions Top 10disposalsintheyear Valero EnergyCorporation Inc Corning Plc Carnival Swiss REAG Total SA Bridgestone Corp Kirin HoldingsCompanyLimited Dr HortonInc Bank ofMontreal CLP HoldingsLimited Equities Disposals Proceeds £ 3,470,508 3,470,508 2,925,941 2,925,941 255,691 257,710 279,981 309,856 331,414 346,165 364,520 402,859 403,650 518,662 211,924 221,695 235,544 239,162 247,294 268,263 274,232 366,087 368,996 492,744 Cost £ (continued) For theyearended31July2020 Kleinwort Hambros Trojan Fund Changes Portfolio of Material Summary Cell Total disposalsintheyear EEA LifeSettlementsFund Funds Disposals Proceeds £ (continued) 21,175 21,175 21,175 67 Annual Report & Audited Financial Statements 68 Annual Report & Audited Financial Statements Company’s liquidity. has notintroduced anynewarrangementsformanaging the and asaresult InvestmentFundManager theAlternative has beenappliedconsistentlythroughout thereview period issue ofshares ortherealisation ofinvestments.Thispolicy there willbehigherlevelsofliquidity, forexamplefollowingthe with its objectives. There maytherefore be occasions when and the efficient management of the Company in accordance liquidity forthepurposeofeffecting thecancellationofUnits, liquidity of5%orless)butthisissubjecttotheneedretain Company shouldnormallybeclosetofullyinvested(i.e.with InvestmentFundManager’sThe Alternative policyisthatthe Liquidity is asfollows: The totalamountofleveragecalculatedasat31July2020 • • For the“Gross method”, thefollowinghasbeenexcluded: and securitypositionsasspecifiedbytheDirective. (both positiveandnegative),butafternettingoff derivative also calculatedasthesumofallpositionsCompany risk reduction purposes. ‘Commitment method’ exposure is assets, liabilitiesandderivatives,includingderivativesheldfor the Company(bothpositiveandnegative),thatis,alleligible method’ exposure iscalculatedasthesumofallpositions exceed maximumexposures underbothmethods.‘Gross and ‘commitmentmethod’–theCompanymustnot derivatives. ‘Exposure’ isdefinedintwoways–‘gross method’ increases itsexposure through borrowing ortheuseof Leverage is defined as any methodby which the Company Leverage andborrowing to thefollowingaspectsofCompany’s management: (‘AIFM’) is required to disclose specific information in relation Investment Fund Manager Limited in its capacity as Alternative Directive (the‘Directive’), SG KleinwortHambros Bank(CI) In accordanceInvestmentFundManagers withtheAlternative Directive Alternative Investment Fund Manager’s Commitment method Gross method are knownshould beexcludedfrom thecalculation. as definedaboveandwhere theamountsofthatpayable cash borrowings that remain incashorequivalents and cash, subject to an insignificant risk of changes in value; AIF thatare readily convertibletoaknownamountof highly liquidinvestmentsheldinthebasecurrency ofthe the valueofanycashandequivalentswhichare 1.003 0.961 to seniorstaff management fortheyearended31July2020. manages. AIFM paid no Directors’ fees orany remuneration is inlinewiththeriskpoliciesandobjectivesofAIFsit the remuneration ofitsDirectors andseniormanagement interest canbemanagedappropriately atalltimesandthat policies are designedtoensure thatany relevant conflictsof remuneration policiesundertheDirective. Theremuneration Securities and Markets Authority guidelines on sound consistent withtheprinciplesoutlinedinEuropean The AIFMissubjecttoaremuneration policywhichis Remuneration out. Investment FundManagertomanagethoserisks,are set risk managementsystemsemployedbytheAlternative 56, where thecurrent riskprofile oftheCompanyand the Notes to the Financial Statements on pages 30 to Please refer toNote16,Riskmanagementpolicies,in Risk managementpolicynote