Phoenix Unit Trust Managers Manager's Annual Report

Home , Janus Henderson

PHOENIX UNIT TRUST MANAGERS

MANAGER’S ANNUAL REPORT For the year: 1 February 2020 to 31 January 2021

PUTM BOTHWELL NORTH AMERICA FUND

Contents Investment review* 2-3

Portfolio of investments* 4-22

Top ten purchases and sales 23

Statistical information* 24-29

Statements of total return & change in net assets attributable to unitholders 30

Balance sheet 31

Notes to the financial statements 32-42

Distribution tables 43-44

Responsibilities of the manager and the trustee 45

Trustee’s report and directors’ statement 46

Independent auditor’s report 47-49

Appendix 50-51

Corporate information* 52-54

*These collectively comprise the Authorised Fund Manager’s Report.

1 Investment review

Dear Investor Performance Review Welcome to the PUTM Bothwell North America Fund Over the review period the PUTM Bothwell North (passive) report for 12 months to 31 January 2021. America Fund (passive) returned 13.7% (Source: BNP IRP, Gross of AMC, GBP). This is compared to its benchmark index return of 13.7% (Source: FTSE Custom AW Dev North America Index). In the table below, you can see how the Fund performed against its benchmark index over the last five discrete one year periods.

Standardised Past Performance

Jan 20-21 Jan 19-20 Jan 18-19 Aug 17-18 Jan 17-Jul 17 % growth % growth % growth % growth % growth (Janus (Janus (Janus (ASI) Henderson) Henderson) Henderson)

PUTM Bothwell North 13.7 21.0 5.0 6.8 7.5 America Fund

Benchmark Index 13.7 21.0 5.0 6.6 4.6

Janus Henderson assumed responsibility for the PUTM Bothwell North America Fund on 1 August 2017 and transitioned it from a formerly active strategy to a passive strategy, tracking the FTSE North American Index. Following a period to allow for this transition, performance was measured from 22 August 2017.

Source: Fund performance is gross of AMC, GBP, based upon end of day pricing. Benchmark Index perf ormance is FTSE Custom AW Dev North America Index.

Past performance is not a guide to future performance. The value of units and the income from them can go down as well as up and is not guaranteed. You may not get back the full amount invested.

Please note that all past performance figures are calculated without taking the initial charge into account.

2 Investment review

Portfolio and Market Review Market Outlook and Fund Strategy US equities, as measured by the S&P 500 Index, The outlook for US equities remains broadly positive, increased by 12.6% in sterling and 17.3% in US dollar supported by expectations of strong earnings growth and terms. Equities plunged during the pandemic-led rout of the notion that the global economy may be healing more global markets before supportive monetary policy from rapidly than anticipated. Massive fiscal and monetary the US Federal Reserve and US$3trn of government aid stimulus measures have thus far helped cushion the blow spurred a rebound. Surging new Covid-19 cases in the from shelter-in-place orders and provided much-needed US and elsewhere, and uncertainty about the outcome of liquidity for markets, businesses and consumers. As a the US presidential vote, pulled stocks down in result, the individual savings rate has gone up September and October, before the vaccine breakthroughs dramatically, and many companies with impaired balance sparked an end-of-year rally. The gains were supported sheets have likewise been able to raise inexpensive by the confirmation of Joe Biden’s election win in capital and deleverage. However, we recognize that November and the announcement, in December, of a businesses and households could again shut their wallets further US$900bn of government stimulus. Equities in the event of an extended and uncontrolled increase in declined in January because of concerns about the slow COVID-19 infections, but many countries have coalesced roll-out of vaccinations, while targeted buying by small around the idea that certain economic activity remains retail investors of certain stocks shorted by hedge funds essential and many companies have learned to adapt caused significant volatility in the final days of the month. their business models to accommodate changes in client US fourth-quarter GDP moderated to 4.0% growth, on an behavior. Thus, the path back to normalcy will likely be annualised basis, from an all-time high of 33.4% in the extended and volatile until there is an effective and widely third quarter, although this followed a 31.4% slump in implemented vaccine. In addition to the unknown the second quarter. duration of the pandemic there are potential changes in the regulatory environment, high valuations in some sectors and individual stocks and a possible inflationary surprise which outweigh positive sentiment towards an earnings recovery.

3 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

United States (31/01/20 – 91.29%) 92.13 Aerospace & Defence (31/01/20 – 2.12%) 1.01 22,943 Arconic 411 0.03 32,748 Boeing 4,629 0.31 14,240 General Dynamics 1,521 0.10 2,091 HEICO 179 0.01 5,416 HEICO ‘A’ 418 0.03 2,109 Huntington Ingalls Industries 242 0.02 15,269 Lockheed Martin 3,578 0.24 9,833 Northrop Grumman 2,050 0.13 2,066 Teledyne Technologies 537 0.03 12,640 Textron 416 0.03 3,113 TransDigm Group 1,254 0.08

Automobiles & Parts (31/01/20 – 0.79%) 2.22 3,766 Autoliv 243 0.02 14,821 BorgWarner 453 0.03 224,365 Ford Motor 1,719 0.10 76,669 General Motors 2,830 0.19 13,261 Gentex 319 0.02 8,526 Genuine Parts 583 0.04 4,305 Lear 473 0.03 17,656 LKQ 451 0.03 46,030 Tesla Motors 26,589 1.76

Banks (31/01/20 – 4.91%) 3.62 471,124 Bank of America 10,155 0.67 53,039 Bank of New York Mellon 1,538 0.10 128,789 Citigroup 5,437 0.36 23,928 Citizens Financial Group 635 0.04 8,608 Comerica 358 0.02 5,895 Commerce Bancshares 287 0.02 43,891 Fifth Third Bancorp 924 0.06 10,464 First Republic Bank 1,104 0.07 55,013 Huntingdon Bancshares 530 0.04 184,796 JP Morgan Chase & Co 17,302 1.14 55,640 KeyCorp 683 0.06 8,407 M&T Bank 810 0.05 25,237 PNC Financial Services 2,634 0.17 57,420 Regions Financial 710 0.05 3,229 SVB Financial 1,028 0.07 83,035 Truist Financial Corporation 2,899 0.19 78,484 US Bancorp 2,448 0.16 227,675 Wells Fargo 4,944 0.33 9,595 Zions Bancorporation 308 0.02

4 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Beverages (31/01/20 – 1.70%) 1.35 11,094 Brown-Forman ‘B’ 578 0.04 231,695 Coca-Cola 8,122 0.53 10,022 Constellation Brands 1,538 0.10 13,639 Molson Coors Beverage 498 0.03 23,218 Monster Beverage 1,467 0.10 83,411 PepsiCo 8,291 0.55

Chemicals (31/01/20 – 0.99%) 0.92 14,076 Air Products & Chemicals 2,730 0.18 5,389 Albemarle 637 0.04 3,625 Avery Dennison 398 0.03 6,380 Celanese ‘A’ 568 0.04 11,334 CF Industries 341 0.02 41,507 Dow 1,568 0.10 41,726 Dupont De Nemours 2,414 0.16 6,232 Eastman Chemicals 446 0.03 15,160 Ecolab 2,255 0.15 6,883 FMC 543 0.04 6,386 International Flavours & Fragrances 523 0.03 14,730 PPG Industries 1,445 0.10

Construction & Materials (31/01/20 – 0.46%) 0.38 7,435 Fortune Brands Home & Security 467 0.03 6,839 Jacobs Engineering Group 502 0.03 3,315 Martin Marietta Materials 694 0.05 19,784 Masco 782 0.05 5,133 Sherwin-Williams 2,585 0.17 7,180 Vulcan Materials 779 0.05

Electricity (31/01/20 – 2.41%) 1.89 37,616 AES 668 0.04 14,983 Alliant Energy 531 0.03 32,448 American Electric Power 1,911 0.13 4,056 Avangrid 137 0.01 15,761 CMS Energy 653 0.04 17,836 Consolidation Edison 918 0.06 50,884 Dominion Energy 2,699 0.18 10,363 DTE Energy 895 0.06 20,428 Edison International 864 0.06 10,440 Entergy 724 0.05 20,793 Eversource Energy 1,325 0.09 60,984 Exelon 1,845 0.12 32,220 FirstEnergy 722 0.05 116,120 NextEra Energy 6,834 0.45 13,253 NRG Energy 400 0.03 9,093 Pinnacle West Capital 498 0.03

5 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Electricity (continued) 45,395 PPL 914 0.06 32,563 Public Service Enterprise Group 1,337 0.09 62,703 Southern 2,689 0.18 34,110 Vistra Energy 496 0.03 31,565 Xcel Energy 1,470 0.10

Electronic & Electrical Equipment (31/01/20 – 0.80%) 0.86 18,630 Agilent Technologies 1,630 0.11 12,486 Ametek 1,030 0.07 19,587 Amphenol 1,781 0.12 4,647 Arrow Electronics 330 0.02 35,817 Emerson Electric 2,069 0.14 2,726 IPG Photonics Corporation 443 0.03 11,184 Keysight Technologies 1,152 0.07 1,456 Mettler Toledo International 1,237 0.08 6,146 Roper Technologies 1,758 0.12 13,512 Trimble Navigation 648 0.04 3,192 Zebra Technologies ‘A’ 900 0.06

Financial Services (31/01/20 – 5.45%) 5.07 2 1,764 Ally Financial 599 0.04 40,097 American Express 3,394 0.22 6,621 Ameriprise Financial 954 0.06 8,511 BlackRock 4,341 0.29 27,128 Capital One Financial 2,060 0.14 8,210 CBOE Global Holdings 548 0.04 21,484 Chicago Mercantile Exchange 2,839 0.19 19,103 Discover Financial Services 1,161 0.08 7,935 Equifax 1,023 0.07 30,695 Equitable Holdings 553 0.04 23,582 Frank Resources 451 0.03 19,597 Goldman Sachs Group 3,870 0.25 31,009 Intercontinental Exchange 2,492 0.16 29,800 KKR & Co. 845 0.06 2,500 MarketAxess Holdings 983 0.06 53,985 Mastercard 12,423 0.82 9,697 Moody’s 1,879 0.12 81,173 Morgan Stanley 3,961 0.26 5,103 MSCI 1,469 0.10 7,373 NASDAQ 725 0.05 12,323 Northern Trust 800 0.05 7,442 Raymond James Financial 541 0.04 14,249 S&P Global 3,288 0.22 83,635 Schwab (Charles) 3,137 0.21

6 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Financial Services (continued) 6,300 SEI Investments 242 0.02 22,856 Square 3,594 0.24 21,233 State Street 1,082 0.07 41,239 Synchrony Financial 1,011 0.07 14,444 T Rowe Price Group 1,646 0.11 101,504 Visa 14,290 0.93 30,823 Western Union 499 0.03

Fixed Line Telecommunications (31/01/20 – 1.99%) 1.42 435,233 AT&T 9,071 0.60 76,649 Lumen Technologies 690 0.05 13,970 L3 Harris Technologies 1,745 0.12 247,978 Verizon Communications 9,883 0.65

Food & Drug Retailers (31/01/20 – 0.87%) 0.79 9,511 AmerisourceBergen 722 0.05 18,573 Cardinal Health 726 0.05 81,297 CVS Health 4,236 0.28 7,300 Keurig Dr Pepper 632 0.04 48,060 Kroger 1,207 0.08 9,617 McKesson HBOC 1,222 0.08 29,729 Sysco 1,547 0.10 45,953 Walgreens Boots Alliance 1,681 0.11

Food Producers (31/01/20 – 1.08%) 0.87 30,467 Archer Daniels Midland 1,109 0.07 14,422 Campbell Soup 505 0.03 30,403 ConAgra Foods 766 0.05 38,969 General Mills 1,648 0.11 7,767 Hershey 822 0.05 14,182 Hormel Foods 483 0.03 2,372 Ingredion 130 0.01 5,779 JM Smucker 489 0.03 14,380 Kellogg 617 0.04 40,388 Kraft Heinz 985 0.08 9,006 Lamb Weston Holdings 490 0.03 14,424 McCormick 939 0.06 82,869 Mondelez International 3,344 0.22 19,407 Tyson Foods 909 0.06

Forestry & Paper (31/01/20 – 0.04%) 0.05 22,007 International Paper 806 0.05

7 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Gas, Water & Multiutilities (31/01/20 – 0.85%) 0.67 16,829 Ameren 891 0.06 11,083 American Water Works 1,282 0.08 8,456 Atmos Energy 548 0.04 34,743 CenterPoint Energy 534 0.04 43,550 Duke Energy 2,981 0.20 17,037 Evergy 667 0.03 27,182 Nisource 438 0.03 16,594 Sempra Energy 1,496 0.10 20,705 WEC Energy Group 1,338 0.09

General Industrials (31/01/20 – 1.77%) 1.71 34,130 3M Co 4,365 0.29 20,939 Ball 1,342 0.09 38,196 Danaher 6,620 0.44 16,838 Fortive 810 0.05 530,881 General Electric 4,129 0.27 42,101 Honeywell International 5,983 0.40 4,925 Packaging Coporation of America 481 0.03 8,115 Parker-Hannifin 1,564 0.10 19,708 WestRock Company 594 0.04

General Retailers (31/01/20 – 7.58%) 9.27 2,929 Advance Auto Parts 318 0.02 25,761 Amazon.com 60,139 3.97 1,323 Autozone 1,077 0.07 14,717 Best Buy 1,166 0.08 3,148 Burlington Store 570 0.04 9,705 Carmax 832 0.05 12,310 Copart 984 0.06 26,922 Costco Wholesale 6,902 0.46 16,197 Dollar General 2,295 0.15 13,953 Dollar Tree 1,032 0.07 64,587 Home Depot 12,729 0.84 46,983 Lowe’s Companies 5,707 0.38 2,860 MercadoLibre 3,700 0.24 25,642 NetFlix 9,932 0.66 4,768 O’Reilly Automotive 1,476 0.10 71,040 PayPal Holdings 12,116 0.80 11,956 Rollins 314 0.02 21,400 Ross Stores 1,734 0.11 31,093 Target 4,099 0.27 71,095 TJX 3,312 0.22 6,728 Tractor Supply Company 694 0.05 3,530 Ulta Beauty 718 0.05 82,639 Wal-Mart Stores 8,453 0.56

8 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Healthcare Equipment & Services (31/01/20 – 4.34%) 4.74 ,028 Abiomed 768 0.05 4,624 Align Technology 1,765 0.12 15,706 Anthem 3,394 0.22 27,988 Baxter International 1,566 0.10 16,818 Becton Dickinson 3,203 0.21 1,200 Bio-Rad Laboratories 501 0.03 90,758 Boston Scientific 2,342 0.15 35,004 Centene 1,537 0.10 22,231 Cigna Corporation 3,510 0.23 4,888 DaVita 418 0.03 12,351 Dentsply Sirona 481 0.03 5,446 Dexcom 1,487 0.10 36,497 Edwards Lifesciences 2,195 0.15 15,777 HCA Holdings 1,867 0.12 15,614 Hologic 906 0.06 7,756 Humana 2,162 0.14 5,032 Idexx Laboratories 1,752 0.12 3,800 Insulet 737 0.05 7,081 Intuitive Surgical 3,850 0.25 5,641 Laboratory Corporation of America Holdings 940 0.06 3,100 Masimo 576 0.04 8,419 Quest Diagnostics 792 0.05 8,148 ResMed 1,194 0.08 8,743 Schein Henry 419 0.03 21,804 Stryker 3,509 0.23 6,700 Teladoc Health 1,289 0.10 2,568 Teleflex 705 0.05 2,907 The Cooper Companies 770 0.05 23,776 Thermo Fisher Scientific 8,816 0.58 56,962 UnitedHealth Group 13,842 0.92 5,376 Universal Health Services 488 0.03 5,782 Varian Medical Systems 738 0.05 3,601 Waters 694 0.05 4,800 West Pharmaceutical Services 1,047 0.07 12,475 Zimmer Biomet Holdings 1,396 0.09

Household Goods (31/01/20 – 1.62%) 1.52 17,091 Church & Dwight 1,050 0.07 7,377 Clorox 1,123 0.07 18,214 D.R.Horton 1,019 0.07 16,854 Lennar 1,020 0.07 3,428 Mohawk Industries 358 0.02 21,934 Newell Brands 383 0.03

9 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Household Goods (continued) 176 NVR 570 0.04 149,371 Procter & Gamble 13,941 0.92 16,901 Pulte Group 535 0.03 2,133 Snap-on 279 0.02 9,167 Stanley Black & Decker 1,158 0.08 4,700 Wayfair ‘A’ 932 0.06 4,159 Whirlpool 560 0.04

Industrial Engineering (31/01/20 – 1.07%) 1.39 54,916 Carrier Global Corporation 1,540 0.10 33,219 Caterpillar 4,418 0.29 9,965 Cummins 1,701 0.11 18,533 Deere & Company 3,896 0.26 9,079 Dove 770 0.05 5,378 IDEX 729 0.05 19,945 Illinois Tool Works 2,821 0.19 24,628 Otis Worldwide Corporation 1,160 0.08 21,223 Paccar 1,409 0.09 6,941 Rockwell Automation 1,255 0.08 10,728 Wabtec 579 0.04 9,927 Xylem 698 0.05

Industrial Metals (31/01/20 – 0.17%) 0.20 89,45 7 Freeport McMoRan Copper 1,752 0.12 17,180 Nucor 610 0.04 6,607 Southern Copper Corporation 320 0.02 12,255 Steel Dynamics 306 0.02

Industrial Transportation (31/01/20 – 1.43%) 1.50 6,536 CH Robinson Worldwide 406 0.03 46,661 CSX 2,914 0.19 9,926 Expeditors International Washington 646 0.04 14,640 Fedex 2,509 0.17 4,525 J.B. Hunt Transport Services 444 0.03 5,375 Kansas City Southern 793 0.05 16,135 Norfolk Southern 2,779 0.18 6,907 Old Dominion Freight Line 975 0.07 41,184 Union Pacific 5,919 0.39 43,234 United Parcel Services 4,877 0.32 5,186 XPO Logistics 417 0.03

Leisure Goods (31/01/20 – 0.39%) 0.45 46,219 Activision 3,063 0.20 17,55 Electronic Arts 1,829 0.12 8,749 Hasbro 598 0.04 4,788 Polaris Industries 407 0.03 6,723 Take Two Interactive 981 0.06 10 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Life Insurance (31/01/20 – 0.61%) 0.42 45,261 Aflac 1,488 0.10 3,081 Assurant 304 0.02 4,601 Globe Life 303 0.02 9,857 Lincoln National 326 0.02 44,013 Metlife 1,543 0.10 17,158 Principal Financial Group 615 0.04 25,914 Prudential Financial 1,477 0.10 6,780 Voya Financial 274 0.02

Media (31/01/20 – 2.27%) 2.20 8,836 Charter Communications ‘A’ 3,909 0.26 277,416 Comcast 10,004 0.66 7,599 Discovery ‘A’ 229 0.02 18,750 Discovery Communications 478 0.03 17,380 Dish Network 367 0.02 1,800 FactSet 396 0.03 16,370 Fox Corporation ‘A’ 372 0.02 12,321 Fox Corporation ‘B’ 268 0.02 23,332 Interpublic Group of Companies 409 0.03 7,135 Liberty Broadband 758 0.05 4,761 Liberty Siriusxm Group 140 0.01 10,729 Liberty Siriusxm Group ‘C’ 316 0.02 24,536 News 347 0.02 10,962 Omnicom 498 0.03 35,377 Sirius XM Holdings 161 0.01 33,107 ViacomCBS 1,176 0.08 109,536 Walt Disney 13,406 0.89

Mining (31/01/20 – 0.13%) 0.13 22,499 Newmont Goldcorp 968 0.06 25,774 Newmont Mining 1,118 0.07

Mobile Telecommunications (31/01/20 – 0.11%) 0.24 21,200 Altice USA 549 0.04 33,501 T-Mobile US 3,074 0.20

Non-Life Insurance (31/01/20 – 2.75%) 2.20 46,708 AIG 1,273 0.08 794 Alleghany 328 0.02 16,897 Allstate 1,318 0.09 22,978 Arch Capital Group 525 0.03 23 Berkshire Hathaway 5,750 0.38 81,014 Berkshire Hathaway ‘B’ 13,432 0.89 16,595 Brown & Brown 521 0.03 8,727 Cincinnati Financial 534 0.04 13,019 Gallagher (Arthur J) 1,093 0.07 22,014 Hartford Financial Services 770 0.05 11 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Non-Life Insurance (continued) 14,702 Loews 485 0.03 816 Markel 576 0.04 31,705 Marsh & McLennan 2,537 0.17 35,185 Progressive 2,233 0.15 15,133 Travelers 1,502 0.10 8,898 W.R. Berkley 402 0.03

Oil & Gas Producers (31/01/20 – 2.96%) 1.76 21,879 Cabot Oil & Gas 292 0.02 16,235 Cheniere Energy 748 0.05 115,501 Chevron 7,162 0.47 79,178 Conoco Phillips 2,308 0.15 12,814 Diamondback Energy 529 0.04 35,056 EOG Resources 1,300 0.09 252,678 Exxon Mobil 8,247 0.54 18,745 Hess 736 0.05 38,309 Marathon Petroleum 1,204 0.08 58,953 Occidental Petroleum 862 0.06 28,349 Phillips 66 1,400 0.09 10,086 Pioneer Natural Resources 888 0.06 23,641 Valero Energy 971 0.06

Oil Equipment & Services (31/01/20 – 0.65%) 0.37 41,953 Baker Hughes 613 0.04 53,878 Halliburton 691 0.05 104,183 Kinder Morgan 1,068 0.07 26,729 Oneok 775 0.05 88,559 Schlumberger 1,433 0.09 66,927 Williams Companies 1,035 0.07

Personal Goods (31/01/20 – 1.17%) 1.16 53,491 Colgate-Palmolive 3,038 0.20 13,814 Estee Lauder 2,381 0.16 20,972 Kimberly-Clark 2,016 0.13 7,168 Lululemon Athletica 1,715 0.11 74,448 Nike B 7,242 0.48 20,431 VF 1,142 0.08

Pharmaceuticals & Biotechnology (31/01/20 – 6.68%) 6.77 105,693 Abbott Laboratories 9,506 0.63 105,798 AbbVie 7,895 0.52 12,083 Alexion Pharmaceuticals 1,348 0.09 6,585 Alnylam Pharmaceuticals 722 0.05 36,332 Amgen 6,381 0.42 9,275 Biogen IDEC 1,908 0.13

12 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Pharmaceuticals & Biotechnology (continued) 9,418 BioMarin Pharmaceutical 567 0.04 138,319 Bristol Myers Squibb 6,188 0.41 51,034 Corteva 1,481 0.10 28,593 Elanco Animal Health 604 0.04 51,337 Eli Lilly 7,770 0.51 8,385 Exact Sciences Corporation 837 0.06 75,247 Gilead Sciences 3,594 0.24 8,747 Illumina 2,712 0.18 11,391 Incyte 744 0.05 11,704 IQVIA Holdings 1,515 0.10 160,933 Johnson & Johnson 19,090 1.26 151,837 Merck & Co 8,520 0.56 17,100 Moderna 2,154 0.14 338,707 Pfizer 8,852 0.57 5,933 Regeneron Pharmaceuticals 2,172 0.14 3,500 Sarepta Therapeutics 228 0.02 7,849 Seagen 938 0.06 15,767 Vertex Pharmaceuticals 2,628 0.17 69,737 Viatris 861 0.06 29,283 Zoetis 3,286 0.22

Real Estate & Investment Services (31/01/20 – 0.54%) 0.30 19,773 CBRE Group 877 0.06 24,843 Crown Castle Real Estate Investment Trust 2,877 0.19 16,317 Vereit 419 0.03 2,800 Zillow Group 283 0.02

Real Estate Investment Trusts (31/01/20 – 2.41%) 2.21 30,01 AGNC Investment Corporation Real Estate Investment Trust 341 0.02 6,671 Alexandria Real Estate 811 0.05 26,983 American Tower 4,467 0.29 87,842 Annal y Mortgage Management 519 0.03 8,718 AvalonBay Communities 1,039 0.07 7,930 Boston Properties Real Estate Investment Trust 527 0.03 15,685 Digital Realty 1,643 0.11 21,695 Duke Realty 625 0.04 5,526 Equinix Real Estate Investment Trust 2,972 0.20 ,918 Equity Lifestyle Properties 439 0.03 22,405 Equity Residential 1,005 0.07 3,722 Essex Property Real Estate Investment Trust 649 0.04 6,811 Extra Space Storage 564 0.04 6,027 Federal Realty Investment Trust 384 0.02 36,944 Healthpeak Properties 797 0.05

13 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Real Estate Investment Trusts (continued) 40,442 Host Marriott 399 0.03 34,599 Invitation Homes Real Estate Investment Trust 743 0.05 21,417 Iron Mountain Real Estate Investment Trust 525 0.03 34,610 Kimco Realty 416 0.03 5,989 Mid-America Apartment Communities 579 0.04 42,829 Prologis 3,217 0.21 9,745 Public Storage 1,614 0.11 23,220 Realty Income 998 0.07 12,271 Regency Centers 422 0.03 6,803 SBA Communications Real Estate Investment Trust 1,330 0.09 19,585 Simon Property Group 1,325 0.09 5,531 Sun Communities Real Estate Investment Trust 576 0.04 21,388 UDR 598 0.04 21,236 Ventas 712 0.05 13,927 Vornado Realty Trust 403 0.03 11,939 W.P. Carey Real Estate Investment Trust 577 0.04 23,677 Welltower Real Estate Investment Trust 1,044 0.07 45,373 Weyerhaeuser 1,029 0.07

Software & Computer Services (31/01/20 – 13.81%) 16.27 29,449 Adobe 9,830 0.65 9,834 Akamai Technologies 795 0.05 18,257 Alphabet ‘A’ 24,255 1.60 17,791 Alphabet ‘C’ 23,735 1.57 4,900 Ansys 1,263 0.08 13,825 Autodesk 2,791 0.18 2,563 Booking 3,619 0.24 17,657 Cadence Design Systems 1,675 0.11 8,195 CDW 785 0.05 17,913 Cerner 1,044 0.07 8,064 Citrix Systems 782 0.05 33,752 CognizantTechnology Solutions 1,915 0.13 3,559 Coupa Software 803 0.05 9,800 Datadog 733 0.05 10,486 Docusign 1,779 0.12 37,972 eBay 1,561 0.10 3,600 EPAM Systems 902 0.06 7,600 Etsy 1,102 0.07 145,511 Facebook 27,357 1.81 1,800 Fair Isaac 590 0.04 8,981 Fortinet 945 0.06 4,781 Gartner 528 0.03 10,795 GoDaddy 618 0.04

14 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Software & Computer Services (continued) 79,870 Hewlett-Packard 717 0.05 5,591 IAC 853 0.06 55,405 International Business Machines 4,803 0.32 15,400 Intuit 4,047 0.27 5,300 Jack Henry & Associates 558 0.04 6,613 Leidos Holdings 510 0.03 14,700 Lyft 476 0.03 13,567 Match Group 1,380 0.09 453,867 Microsoft 76,588 5.06 34,498 NortonLifeLock 530 0.04 7,200 Okta 1,357 0.09 117,463 Oracle 5,168 0.34 5,796 Palo Alto Networks 1,484 0.10 2,900 Paycom Software 802 0.05 7,361 PTC 712 0.05 4,615 RingCentral 1,252 0.08 52,518 Salesforce.com 8,618 0.57 11,644 ServiceNow 4,596 0.30 23,200 Slack Technologies 712 0.05 9,759 Splunk 1,173 0.08 11,970 SS&C Technologies 548 0.04 8,264 Synopsys 1,536 0.10 2,346 The Trade Desk ‘A’ 1,307 0.09 8,357 Twilio 2,187 0.14 49,260 Twitter 1,812 0.12 2,600 Tyler Technologies 800 0.05 83,928 Uber Technologies 3,113 0.21 8,067 Veeva Systems 1,623 0.11 5,190 VeriSign 733 0.05 5,506 VMware 553 0.04 6,735 Vontier Corporation 159 0.01 10,303 Workday 1,706 0.11 9,373 Zillow 890 0.06 10,447 Zoom Video Communications ‘A’ 2,831 0.19 4,500 Zscaler 654 0.04

Support Services (31/01/20 – 2.04%) 1.70 17,863 Aramark Holdings 446 0.03 25,350 Automatic Data Processing 3,045 0.20 6,635 Broadridge Financial Solutions 683 0.05 5,758 Cintas 1,333 0.09 2,360 Costar Group 1,546 0.10 37,186 Fastenal 1,234 0.08 37,154 Fidelity National Information 3,338 0.22

15 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Supporrt Services (continued) 35,664 Fiserv 2,665 0.18 4,962 FleetCor Technologies 875 0.06 16,301 FNFV Group 431 0.03 17,047 Global Payments 2,191 0.14 2,784 Grainger W.W. 739 0.05 19,504 Paychex 1,240 0.08 10,064 Republic Services 663 0.04 7,575 Robert Half International 372 0.02 12,269 TransUnion 777 0.05 4,336 United Rentals 767 0.05 10,073 Verisk Analytics 1,346 0.09 26,020 Waste Management 2,109 0.14

Technology Hardware & Equipment (31/01/20 – 9.70%) 12.06 72,079 Advanced Micro Devices 4,494 0.30 22,045 Analog Devices 2,361 0.16 77,563 Apple 93,827 6.20 56,238 Applied Materials 3,957 0.26 3,602 Arista Networks 807 0.05 24,381 Broadcom Corporation 7,985 0.53 260,760 Cisco Systems 8,464 0.56 48,263 Corning 1,260 0.08 14,814 Dell Technologies 786 0.05 3,756 F5 Networks 535 0.04 84,410 HP 1,496 0.10 248,991 Intel 10,058 0.66 12,297 Juniper Networks 219 0.01 9,431 KLA Tencor 1,922 0.13 8,895 LAM Research 3,130 0.21 16,853 Maxim Integrated Products 1,075 0.07 15,538 MicrochipTechnology 1,538 0.10 68,014 Micron Technology 3,875 0.26 9,580 Motorola Solutions 1,168 0.08 12,514 NetApp 605 0.04 35,682 Nvidia 13,487 0.89 7,543 Qorvo 938 0.06 68,480 Qualcomm 7,789 0.51 9,714 Skyworks Solutions 1,196 0.08 9,500 Teradyne 784 0.05 54,252 Texas Instruments 6,543 0.43 18,022 Western Digital 740 0.05 15,059 Xilinx 1,430 0.10

16 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Tobacco (31/01/20 – 0.75%) 0.58 110,406 Altria Group 3,303 0.22 93,655 Philip Morris International 5,428 0.36

Travel & Leisure (31/01/20 – 1.88%) 1.86 1,479 Chipotle Mexican Grill 1,593 0.10 7,079 Darden Restaurants 603 0.04 10,219 Delta Airlines 282 0.02 2,602 Domino’s 702 0.05 9,459 Expedia 853 0.06 17,089 Hilton Worldwide 1,262 0.08 18,585 Las Vegas Sands 651 0.04 7,952 Live Nation 385 0.03 15,803 Marriott International 1,338 0.09 45,944 McDonald’s 6,948 0.46 24,391 MGM Resorts International 507 0.03 86,760 Raytheon Technolog 4,214 0.28 11,990 Southwest Airlines 384 0.03 71,747 Starbucks 5,057 0.33 5,915 United Airlines Holdings 172 0.01 2,223 Vail Resorts 430 0.03 5,019 Wynn Resorts 364 0.02 19,264 Yum! Brands 1,423 0.09 23,868 Yum! China 986 0.07

Bermuda (31/01/20 – 0.36%) 0.29 Banks (31/01/20 – 0.05%) 0.04 5,086 Credicorp 557 0.04

Financial Services (31/01/20 – 0.13%) 0.11 25,891 IHS Markit 1,642 0.11

Food Producers (31/01/20 – 0.03%) 0.02 7,587 Bunge 362 0.02

Industrial Transportation (31/01/20 – 0.04%) 0.00 Non-Life Insurance (31/01/20 – 0.07%) 0.03 1,240 Everest Re Group 190 0.01 2,951 RenaissanceRe Holdings 323 0.02

Technology Hardware & Equipment (31/01/20 – 0.04%) 0.09 36,459 Marvell Technology Group 1,365 0.09

Canada (31/01/20 – 4.65%) 4.06 Automobiles & Parts (31/01/20 – 0.04%) 0.06 18,877 Magna International 965 0.06

17 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Banks (31/01/20 – 1.33%) 1.15 42,303 Bank of Montreal 2,291 0.15 74,380 Bank of Nova Scotia 2,890 0.19 26,667 Canadian Imperial Bank 1,655 0.11 23,553 National Bank of Canada 964 0.06 89,489 Royal Bank of Canada 5,280 0.35 105,627 Toronto Dominion Bank 4,363 0.29

Chemicals (31/01/20 – 0.08%) 0.08 35,535 Nutrien 1,274 0.08

Electricity (31/01/20 – 0.10%) 0.08 34,204 Fortis 1,008 0.07 11,400 Hydro One 192 0.01

Financial Services (31/01/20 – 0.20%) 0.15 78,861 Brookfield Asset 2,226 0.15

Fixed Line Telecommunications (31/01/20 – 0.07%) 0.08 22,471 BCE 694 0.05 30,299 Telus 456 0.03

Food & Drug Retailers (31/01/20 – 0.19%) 0.14 50,293 Alimentation Couche-Tard 1,118 0.07 8,502 Loblaw 299 0.02 19,198 Metro 604 0.04 2,806 Weston George 148 0.01

Food Producers (31/01/20 – 0.03%) 0.01 11,013 Saputo Group 210 0.01

Gas, Water & Multiutilities (31/01/20 – 0.00%) 0.01 8,010 Canadian Utilities ‘A’ 144 0.01

General Retailers (31/01/20 – 0.04%) 0.05 2,364 Canadian Tire 223 0.02 18,794 Dollarama 535 0.03

Industrial Metals (31/01/20 – 0.02%) 0.02 24,305 Teck Resources 323 0.02

Industrial Transport ation (31/01/20 – 0.34%) 0.35 44,631 Canadian National Railway 3,288 0.22 8,027 Canadian Pacific Rail 1,963 0.13

Life Insurance (31/01/20 – 0.28%) 0.22 11,700 Great West Lifeco 194 0.01 115,057 Manulife Financial Corporation 1,516 0.10 35,725 Power Corporation of Canada 606 0.04 32,768 Sun Life Financial 1,104 0.07

18 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Media (31/01/20 – 0.09%) 0.04 16,840 Shaw Communications 210 0.01 7,996 Thomson Reuters 474 0.03

Mining (31/01/20 – 0.30%) 0.29 15,595 Agnico Eagle Mines 792 0.05 109,938 Barrick Gold 1,789 0.12 10,411 Franco Nevada 902 0.06 29,826 Silver Wheaton 892 0.06

Mobile Telecommunications (31/01/20 – 0.07%) 0.04 17,289 Rogers Communications 568 0.04

Non-Life Insurance (31/01/20 – 0.11%) 0.08 1,530 Fairfax Financial Holdings 404 0.03 9,268 Intact Financial 745 0.05

Oil & Gas Producers (31/01/20 – 0.51%) 0.31 69,140 Canadian Natural Resources 1,139 0.08 79,059 Cenovus Energy 340 0.02 8,466 Imperial Oil 117 0.01 101,732 Suncor Energy 1,240 0.08 56,965 TC Energy 1,780 0.12

Oil Equipment & Services (31/01/20 – 0.39%) 0.23 121,452 Enbridge 2,974 0.20 26,100 Pembina Pipeline 500 0.03

Pharmaceuticals & Biotechnology (31/01/20 – 0.03%) 0.06 26,709 Bausch Health 492 0.03 13,300 Canopy Growth Corporation 388 0.03

Real Estate Investment Trusts (31/01/20 – 0.03%) 0.00 Software & Computer Services (31/01/20 – 0.26%) 0.47 13,404 CGI 782 0.05 1,221 Constellation Software 1,082 0.07 6,356 Shopify 5,080 0.34 258 Shopify ‘A’ 205 0.01 2,270 Topicus.com* – 0.00

Support Services (31/01/20 – 0.09%) 0.09 18,601 Waste Connections 1,332 0.09

Travel & Leisure (31/01/20 – 0.05%) 0.05 17,702 Restaurant Brands International 743 0.05

Cayman Islands (31/01/20 – 0.01%) 0.01 Food Producers (31/01/20 – 0.01%) 0.01 5,084 Herbalife Nutrition 189 0.01

19 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Channel Islands (31/01/20 – 0.12%) 0.14 Automobiles & Parts (31/01/20 – 0.08%) 0.11 17,205 Aptiv 1,672 0.11

Software & Computer Services (31/01/20 – 0.04%) 0.03 7,556 Amdocs 389 0.03

Ireland (31/01/20 – 2.21%) 1.98 Chemicals (31/01/20 – 0.37%) 0.39 33,070 Linde 5,906 0.39

Electronic & Electrical Equipment (31/01/20 – 0.05%) 0.02 4,231 Allegion 330 0.02

General Industrials (31/01/20 – 0.15%) 0.24 23,875 Eaton 2,045 0.13 15,354 Trane Technologies 1,603 0.11

General Retailers (31/01/20 – 0.09%) 0.11 46,650 Johnson Controls International 1,689 0.11

Healthcare Equipment & Services (31/01/20 – 0.56%) 0.47 79,846 Medtronic 6,469 0.43 4,865 Steris 662 0.04

Industrial Engineering (31/01/20 – 0.15%) 0.03 13,452 Pentair 533 0.03

Non-Life Insurance (31/01/20 – 0.08%) 0.21 14,193 Aon 2,098 0.14 7,407 Willis Towers Watson 1,094 0.07

Pharmaceuticals & Biotechnology (31/01/20 – 0.26%) 0.03 2,753 Jazz Pharmaceuticals 311 0.02 6,859 Perrigo 213 0.01

Support Services (31/01/20 – 0.44%) 0.44 37,522 Accenture 6,608 0.44

Technology Hardware & Equipment (31/01/20 – 0.06%) 0.04 12,666 SeagateTechnology 609 0.04

Israel (31/01/20 – 0.03%) 0.08 Software & Computer Services (31/01/20 – 0.03%) 0.08 6,443 Check Point Software Technologies 599 0.04 2,900 Wix.com 521 0.04

20 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Liberia (31/01/20 – 0.07%) 0.04 Travel & Leisure (31/01/20 – 0.07%) 0.04 13,052 Royal Caribbean Cruises 618 0.04

Luxembourg (31/01/20 – 0.06%) 0.12 Software & Computer Services (31/01/20 – 0.06%) 0.12 7,855 Spotify Technology 1,802 0.12

Netherlands (31/01/20 – 0.26%) 0.25 Chemicals (31/01/20 – 0.06%) 0.07 17,620 Lyondell Basell Industries 1,100 0.07

Industrial Transportation (31/01/20 – 0.02%) 0.00 Software & Computer Services (31/01/20 – 0.04%) 0.05 15,658 Yandex 714 0.05

Technology Hardware & Equipment (31/01/20 – 0.14%) 0.13 17,388 NXP Semiconductors 2,031 0.13

Panama (31/01/20 – 0.07%) 0.02 Travel & Leisure (31/01/20 – 0.07%) 0.02 23,227 Carnival 316 0.02

Singapore (31/01/20 – 0.00%) 0.03 Electronic & Electrical Equipment (31/01/20 – 0.00%) 0.03 30,366 Flex 390 0.03

Switzerland (31/01/20 – 0.38%) 0.35 Electronic & Electrical Equipment (31/01/20 – 0.10%) 0.11 19,155 TE Connectivity 1,680 0.11

Non-Life Insurance (31/01/20 – 0.23%) 0.19 27,506 Chubb 2,914 0.19

Technology Hardware & Equipment (31/01/20 – 0.05%) 0.05 9,168 Garmin 766 0.05

United Kingdom (31/01/20 – 0.35%) 0.23 Beverages (31/01/20 – 0.03%) 0.03 13,415 Coca-Cola European Partners 454 0.03

Electronic & Electrical Equipment (31/01/20 – 0.03%) 0.02 9,252 Sensata Technologies Holding 367 0.02

21 Portfolio of investments (unaudited)

Investments held at 31 January 2021 Market Percentage of value total net assets Holding Investment £000 %

Media (31/01/20 – 0.04%) 0.07 6,503 Liberty Broadband 114 0.01 26,986 Liberty Global 475 0.03 28,966 Nielsen Holdings 471 0.03

Non-Life Insurance (31/01/20 – 0.19%) 0.00 Pharmaceuticals & Biotechnology (31/01/20 – 0.00%) 0.02 7,000 Royalty Pharma 239 0.02

Software & Computer Services (31/01/20 – 0.06%) 0.09 8,120 Atlassian Corporation 1,367 0.09

Virgin Islands (31/01/20 – 0.02%) 0.00 Futures (31/01/20 – 0.00%) Canada (31/01/20 – 0.00%) 0.00 2 MSE S&P TSX 60 Index Futures March 2021 (1) 0.00

United States (31/01/20 – 0.00%) 0.00 36 CME S&P E Mini Index Futures March 2021 49 0.00

Portfolio of investments 1,509,170 99.73 Net other assets 4,117 0.27 Net assets 1,513,287 100.00 Unless otherwise stated, all investments are approved securities being either officially listed in a member state or traded on or under the rules of an eligible securities market. The counterparty for the Futures is UBS. * These shares have been spun out of Constellation Software and begin trading on 1 February 2021.

22 Top ten purchases and sales For the year ended 31 January 2021

Purchases Cost Sales Proceeds £000 £000 Apple 4,510 Apple 28,074 Amazon.com 4,471 Microsoft 19,566 Microsoft 4,401 Amazon.com 15,393 Zoom Video Communications ‘A’ 3,761 Facebook 7,718 Facebook 1,838 Alphabet ‘C’ 6,668 Johnson & Johnson 1,505 Alphabet ‘A’ 5,366 Alphabet ‘C’ 1,447 Johnson & Johnson 4,977 JP Morgan Chase & Co 1,370 JP Morgan Chase & Co 4,884 Tesla Motors 1,283 Visa 4,821 UnitedHealth Group 1,235 AbbVie 4,399

Subtotal 25,821 Subtotal 101,866 Other purchases 103,151 Other sales 309,418

Total purchases for the year 128,972 Total sales for the year 411,284

23 Statistical information

Comparative tables Class ‘A’ Accumulation 31/01/21 31/01/20 31/01/19 pence pence pence Change in net assets per unit Opening net asset value per unit 375.81 314.96 304.35 Return before operating charges* 50.77 65.86 15.03 Operating charges (5.44) (5.01) (4.42) Return after operating charges* 45.33 60.85 10.61 Distributions on accumulation units (0.47) (1.08) (1.05) Retained distributions on accumulation units 0.47 1.08 1.05

Closing net asset value per unit 421.14 375.81 314.96

* after direct transaction costs of:^ 0.02 0.01 0.01

Performance Return after charges 12.06% 19.32% 3.49%

Other information Closing net asset value (£000) 121,844 120,579 112,095 Closing number of units 28,931,643 32,084,861 35,590,462 Operating charges 1.40% 1.41% 1.40% Direct transaction costs 0.00% 0.00% 0.00%

+ Prices Highest unit price (pence) 474.13 422.77 373.01 Lowest unit price (pence) 296.09 316.66 280.69

^The direct transaction costs includes commission on futures. +High and low price disclosures are based on quoted unit prices. Therefore, the opening and closing NAV prices may fall outside the high/low price threshold.

24 Statistical information

Comparative tables Class ‘B’ Accumulation 31/01/21 31/01/20 31/01/19 pence pence pence Change in net assets per unit Opening net asset value per unit 432.93 358.06 341.45 Return before operating charges* 59.06 75.21 16.88 Operating charges (0.34) (0.34) (0.27) Return after operating charges* 58.72 74.87 16.61 Distributions on accumulation units (6.51) (6.63) (5.90) Retained distributions on accumulation units 6.51 6.63 5.90

Closing net asset value per unit 491.65 432.93 358.06

* after direct transaction costs of:^ 0.02 0.01 0.01

Performance Return after charges 13.56% 20.91% 4.86%

Other information Closing net asset value (£000) 1,088,545 1,171,825 1,075,004 Closing number of units 221,404,345 270,670,919 300,229,145 Operating charges 0.08% 0.08% 0.08% Direct transaction costs 0.00% 0.00% 0.00%

+ Prices Highest unit price (pence) 514.48 452.70 390.46 Lowest unit price (pence) 341.65 359.90 315.39

25 Statistical information

Comparative tables Class ‘C’ Accumulation 31/01/21 31/01/20 31/01/19 pence pence pence Change in net assets per unit Opening net asset value per unit 135.14 111.77 106.58 Return before operating charges* 18.38 23.48 5.28 Operating charges (0.11) (0.11) (0.09) Return after operating charges* 18.27 23.37 5.19 Distributions on accumulation units (2.03) (2.07) (1.84) Retained distributions on accumulation units 2.03 2.07 1.84

Closing net asset value per unit 153.41 135.14 111.77

* after direct transaction costs of:^ 0.01 ––

Performance Return after charges 13.52% 20.91% 4.87%

Other information Closing net asset value (£000) 302,717 311,753 306,462 Closing number of units 197,325,169 230,681,141 274,200,559 Operating charges 0.08% 0.08% 0.08% Direct transaction costs 0.00% 0.00% 0.00%

+ Prices Highest unit price (pence) 160.65 141.41 121.96 Lowest unit price (pence) 106.73 112.42 98.52

26 Statistical information

Comparative tables Class ‘D’ Accumulation 31/01/21 31/01/20 31/01/19 pence pence pence Change in net assets per unit Opening net asset value per unit 127.99 105.94 101.11 Return before operating charges* 17.44 22.26 5.00 Operating charges (0.21) (0.21) (0.17) Return after operating charges* 17.23 22.05 4.83 Distributions on accumulation units (1.81) (1.86) (1.66) Retained distributions on accumulation units 1.81 1.86 1.66

Closing net asset value per unit 145.22 127.99 105.94

* after direct transaction costs of:^ 0.01 ––

Performance Return after charges 13.46% 20.81% 4.78%

Other information Closing net asset value (£000) 181 159 132 Closing number of units 124,666 124,666 124,666 Operating charges 0.16% 0.17% 0.16% Direct transaction costs 0.00% 0.00% 0.00%

+ Prices Highest unit price (pence) 163.46 143.95 124.87 Lowest unit price (pence) 101.05 106.55 93.44

27 Statistical information

Investment objective The Fund aims to provide a total return (a combination of capital growth and income), delivering this return in line with the benchmark, before fees and expenses. The benchmark is the FTSE North American Index (the ''Index'').

Investment policy The Fund aims to achieve this objective by investing over 90% of the portfolio in equities and equity related securities of companies that are constituents of the Index in approximate proportion to their weightings within the Index. From time to time, the Fund may acquire or hold securities that are not constituents of the Index, as a result of corporate actions. The Fund's holdings will typically consist of 'equity related securities' which will include convertible stocks, stock exchange listed warrants, depositary receipts, and any other such investments which entitle the holder to subscribe for or convert into the equity of the company and/or where the share price performance is, in the opinion of the Investment Adviser, influenced significantly by the stock market performance of the company's ordinary shares. The Fund may also invest in other transferable securities, which are non-approved securities (essentially unlisted securities), money-market instruments, deposits, cash and near cash and other collective investment schemes. Derivatives may be used for efficient portfolio management and hedging only.

Investment strategy A minimum of 90% of the Fund is invested in components of the Index. The Fund will seek to physically replicate the Index. This process will involve investing in components of the Index, though not necessarily in the same proportions of the Index at all times. Consequently, the Fund may not track the Index exactly but will contain a meaningful exposure to the market. Stock Index Futures contracts may also be used to manage the cash portion of the Fund. It is intended that the Fund will normally close to fully invested as outlined above. The Investment Adviser may use various Indexation or sampling techniques to achieve the objective of tracking the Index. In doing so the Investment Adviser may use discretion in deciding which investments are to be included in the portfolio. The number of investments so included may vary. The Investment Adviser may at its discretion replace the current Index with such similar index as it may consider appropriate, subject to regulatory approval and appropriate notification to Unitholders.

Revenue distribution and pricing Units of the Fund are available as Class ‘A’ Accumulation, ‘B’ Accumulation, ‘C’ Accumulation or ‘D’ Accumulation units (where revenue is reinvested to enhance the unit price). There will be two potential distributions in each accounting year: an interim distribution as at 31 July and a final distribution at 31 January. At each distribution the net revenue after deduction of expenses, from the investments of the Fund, is apportioned amongst the unitholders. Unitholders receive a tax voucher giving details of the distribution and the Manager’s Report no later than two months after these dates.

28 Statistical information

Risk and reward profile The Risk and Reward Indicator table demonstrates where the Fund ranks in terms of its potential risk and reward. The higher the rank the greater the potential reward but the greater the risk of losing money. It is based on past data, may change over time and may not be a reliable indication of the future risk profile of the Fund. The shaded

area in the table below shows the Fund's ranking on the Risk and Reward Indicator. ﬁ Typically lower rewards, Typically higher rewards, lower risk higher risk ﬁ

1 2 3 4 56 7 This Fund is ranked at 6 (31/01/20: 5) because funds of this type have experienced high rises and falls in value in the past. Although this is a high risk ranking it is not the highest. The above figure applies to the following unit classes: • Class ‘A’ Accumulation • Class ‘B’ Accumulation • Class ‘C’ Accumulation • Class ‘D’ Accumulation Please note that even the lowest risk class can lose you money and that extreme market circumstances can mean you suffer severe losses in all cases. Please note the Fund's risk category may change in the future. The indicator does not take into account the following risks of investing in this Fund: • Investing overseas can bring additional returns and spread risk to different markets. There are risks, however, that changes in currency rates will reduce the value of your investment. • The Fund may use derivatives to reduce risk or cost or to generate additional capital or income at low risk, or to meet its investment objective. For more information on the Risk and Reward profiles of our Funds, please refer to the most up to date relevant fund and Unit Class Key Investor Information Documents (KIIDs). These are available online at www.phoenixunittrust.co.uk.

29 Annual financial statements For the year ended 31 January 2021

Statement of total return 31/01/21 31/01/20 Notes £000 £000 £000 £000 Income Net capital gains 4 190,405 280,100 Revenue 5 28,016 32,391 Expenses 6 (2,761) (2,957) Interest payable and similar charges (11) – Net revenue before taxation 25,244 29,434 Taxation 7 (4,086) (4,604) Net revenue after taxation 21,158 24,830 Total return before distributions 211,563 304,930 Distributions 8 (21,353) (25,010) Change in net assets attributable to unitholders from investment activities 190,210 279,920

Statement of change in net assets attributable to unitholders 31/01/21 31/01/20 £000 £000 £000 £000 Opening net assets attributable to unitholders 1,604,316 1,493,693 Amounts receivable on issue of units 122,631 54,436

Amounts payable on cancellation of units (423,757) (247,788) (301,126) (193,352) Change in net assets attributable to unitholders from investment activities 190,210 279,920 Retained distributions on accumulation units 19,887 24,055 Closing net assets attributable to unitholders 1,513,287 1,604,316

30 Annual financial statements As at 31 January 2021

Balance sheet 31/01/21 31/01/20 Notes £000 £000 £000 £000 Assets: Fixed assets: Investments 1,509,171 1,602,350

Current assets: Debtors 9 1,478 1,338 Cash and bank balances 10 10,583 15,702 Total current assets 12,061 17,040 Total assets 1,521,232 1,619,390

Liabilities: Investment liabilities (1) – Creditors: Bank overdraft 11 (4) (5) Other creditors 12 (7,940) (15,069) Total creditors (7,944) (15,074) Total liabilities (7,945) (15,074)

Net assets attributable to unitholders 1,513,287 1,604,316

31 Notes to the financial statements

Note 1 Accounting policies (a) Basis of preparation The financial statements have been prepared under the historical cost basis, as modified by the revaluation of investments and in compliance with Financial Reporting Standard (FRS 102) and in accordance with the Statement of Recommended Practice (‘SORP’) for Financial Statements of UK Authorised Funds issued by The Investment Association (‘IA’) in May 2014, and as amended in June 2017. These financial statements are prepared on a going concern basis. The Manager has made an assessment of the Fund’s ability to continue as a going concern, and is satisfied it has the resources to continue in business for the foreseeable future and is not aware of any material uncertainties that may cast significant doubt on this assessment. This assessment is made for a period of 12 months from when the financial statements are authorised for issue and considers liquidity, declines in global capital markets, known redemption levels, expense projections, key service provider's operational resilience and the impact of COVID-19. (b) Valuation of investments The quoted investments of the Fund have been valued at bid dealing prices as at close of business on 29 January 2021, the last valuation point in the accounting year, in accordance with the Trust Deed. Derivatives are valued as at close of business on 29 January 2021, the last valuation point of the accounting year. Exchange traded derivatives are priced at fair value, which is deemed to be the bid price. (c) Foreign exchange Transactions in foreign currencies during the year are translated into Sterling (the functional currency of the Fund), at the rates of exchange ruling on the transaction date. Amounts held in foreign currencies have been translated at the rate of exchange ruling at close of business, 29 January 2021, the last valuation point in the accounting year. (d) Revenue Dividends receivable from equity investments and distributions receivable from collective investment schemes are credited to revenue when they are first quoted ex-dividend. Interest receivable on bank deposits is accounted for on a receipts basis and money market funds is accounted for on an accruals basis. Any commission arising from stocklending is recognised on an accruals basis and is disclosed net of fees. Income from US REITs is initially recognised as revenue on an ex-dividend basis. An adjustment is made to reallocate a proportion of this income to capital, based on the available REIT information. (e) Special dividends Special dividends are treated either as revenue or repayments of capital depending on the facts of each particular case. It is likely that where the receipt of a special dividend results in a significant reduction in the capital value of the holding, then the special dividend should be treated as capital in nature so as to ensure the matching principle is applied to gains and losses. Otherwise, the special dividend should be treated as revenue. (f) Stock dividends The ordinary element of stocks received in lieu of cash is recognised as revenue. Any excess in value of shares received over the amount of cash forgone would be treated as capital.

32 Notes to the financial statements

Note 1 Accounting policies (continued) (g) Expenses Expenses are accounted for on an accruals basis. Expenses of the Fund are charged against revenue, except for costs associated with the purchase and sale of investments, which are charged to capital. (h) Taxation The charge for taxation is based on taxable income for the year less allowable expenses. UK dividends and franked distributions from UK collective investment schemes are disclosed net of any related tax credit. Overseas dividends, unfranked distributions from UK collective investment schemes, and distributions from overseas collective investment schemes are disclosed gross of any tax suffered, the tax element being separately disclosed in the taxation note. (i) Deferred taxation Deferred tax is provided at current rates of corporation tax on all timing differences which have originated but not reversed by the Balance sheet date. Deferred tax is not recognised on permanent differences. Deferred tax assets are recognised only to the extent that the Manager considers it is more likely than not that there will be taxable profits from which underlying timing differences can be deducted.

Note 2 Distribution policies (a) Basis of distribution Revenue produced by the Fund’s investments accumulates during each accounting period. If, at the end of each accounting period, revenue exceeds expenses, the net revenue of the Fund is available to be distributed/accumulated to unitholders. The Fund is not more than 60% invested in qualifying investments (as defined by SI 2006/964, Reg 20) and will pay a dividend distribution. (b) Unclaimed distributions Distributions remaining unclaimed after six years are paid into the Fund as part of the capital property. (c) Apportionment to multiple unit classes With the exception of the Manager’s periodic charge, the allocation of revenue and expenses to each unit class is based upon the proportion of the Fund’s assets attributable to each unit class on the day the revenue is earned or the expense is suffered. The Manager's periodic charge is specific to each unit class. Tax will be allocated between the unit classes according to income. Consequently, the revenue available to distribute for each unit class will differ. (d) Stock dividends It is the policy of the Fund, where applicable, to distribute the revenue element of stock dividends. (e) Special dividends It is the policy of the Fund, where applicable, to distribute special dividends which have been treated as revenue. (f) Expenses In determining the net revenue available for distribution, charges in relation to the safe custody of investments are ultimately borne by capital.

33 Notes to the financial statements

Note 3 Risk management policies The risks arising from the Fund’s financial instruments are market price risk, interest rate risk, foreign currency risk, liquidity risk and counterparty risk. The Manager's policies for managing these risks are summarised below and have been applied throughout the year. (a) Market price risk Market price risk arises mainly from uncertainty about future prices of financial instruments held. It represents the potential loss the Fund might suffer through holding market positions in the face of price movements. The Fund's investment portfolio is exposed to market fluctuations which are monitored by the Manager in pursuit of the investment objectives and policies. Adherence to investment guidelines and to investment and borrowing powers set out in the Trust Deed, the Prospectus and in the Collective Investment Schemes Sourcebook (“the Sourcebook”) mitigates the risk of excessive exposure to any particular type of security or issuer. (b) Interest rate risk The majority of the Fund’s financial assets are equity shares and other investments which neither pay interest nor have a maturity date. Interest receivable on bank deposits or payable on bank overdraft positions will be affected by fluctuations in interest rates.

(c) Foreign currency risk All of the Fund’s investment portfolio is invested in overseas securities and the Balance sheet can be significantly affected by movements in foreign exchange rates. The Fund may be subject to short term exposure to exchange rate movements between placing the purchase or sale of securities and agreeing a related currency transaction albeit usually the two transactions are agreed at the same time. Any such currency transactions must be used in accordance with the investment objective of the Fund and must be deemed by the Investment Manager to be economically appropriate. Regular production of portfolio risk reports highlight concentrations of risk, including currency risk, for the Fund.

(d) Liquidity risk The Fund’s assets are comprised of mainly readily realisable securities. If insufficient cash is available to finance unitholder redemptions then securities held by the Fund may need to be sold. The risk of low market liquidity, through reduced trading volumes, may affect the ability of the Fund to trade financial instruments at values previously indicated by financial brokers. From time to time, liquidity may also be affected by stock specific or economic events. To manage these risks the Manager performs market research in order to achieve the best price for any transactions entered into on behalf of the Fund. All stocks are valued daily but those stocks identified as being less liquid are reviewed on a regular basis for pricing accuracy.

(e) Counterparty risk Certain transactions in securities that the Fund enters into expose it to the risk that the counterparty will not deliver the investment (purchase) or cash (sale) after the Fund has fulfilled its responsibilities. The Fund only buys and sells investments through brokers which have been approved by the Manager as an acceptable counterparty. This list is reviewed annually.

34 Notes to the financial statements

Note 3 Risk management policies (continued) (f) Derivatives Derivative transactions may be used by the Fund for the purposes of meeting its investment objectives and also for hedging. In doing so the Manager may make use of a variety of derivative instruments in accordance with the Sourcebook. The use of derivatives for investment purposes means that the net asset value of the Fund may at times have high volatility, although derivatives will not be used with the intention of raising the risk profile of the Fund. Where derivatives are used for hedging this will not compromise the risk profile of the Fund. Use of derivatives will not knowingly contravene any relevant investment objective or limits. The Manager has used exchange traded futures to hedge the value of those assets denominated in foreign currency. The derivative counterparty is shown at the bottom of the Portfolio of Investments on page 22.

Note 4 Net capital gains The net capital gains during the year comprise: 31/01/21 31/01/20 £000 £000 Gains on non-derivative securities 189,152 275,559 (Losses)/gains on derivative contracts (2,614) 3,795 Currency gains 2,813 151 Handling charges (5) (10) Capital special dividends 606 247 US REITs 453 358 Net capital gains 190,405 280,100

Note 5 Revenue 31/01/21 31/01/20 £000 £000 UK dividends 72 140 Overseas dividends 26,992 30,733 Stocklending commission 19 38 US REITs 920 1,329 Bank interest 12 132 Liquidity interest 1 19 Total revenue 28,016 32,391

35 Notes to the financial statements

Note 6 Expenses 31/01/21 31/01/20 £000 £000 (a) Payable to the Manager or associates of the Manager and agents of either of them: Manager’s periodic charge 2,601 2,650

(b) Payable to the Trustee or associates of the Trustee and agents of either of them: Trustee’s fees 55 56 (c) Other expenses: Audit fee 77 Safe custody charges 82 88 Professional fees 1 12 FTSE license fees 15 144 105 251 Total expenses 2,761 2,957

Note 7 Taxation 31/01/21 31/01/20 £000 £000 (a) Analysis of tax charge for the year Overseas withholding tax 3,976 4,512 Reclaimable tax written off 1– Irrecoverable tax on capital special dividends 109 92 Total current taxation (Note 7(b)) 4,086 4,604

(b) Factors affecting the tax charge for the year The tax assessed for the year is lower than that calculated when the standard rate of corporation tax for Authorised Unit Trusts is applied to total revenue return. The differences are explained below: Net revenue before taxation 25,244 29,434 Corporation tax at 20% (31/01/19: 20%) 5,049 5,887 Effects of: Revenue not subject to taxation (5,400) (6,168) Current period expenses not utilised 380 319 Overseas withholding tax 3,976 4,512 Reclaimable tax written off 1– Irrecoverable overseas tax on capital special dividends 109 92 Tax relief on overseas tax suffered (29) (38) Total tax charge for the year (Note 7(a)) 4,086 4,604 Authorised Unit Trusts are exempt from tax on capital gains in the UK. (c) Provision for deferred taxation At 31 January 2021 the Fund had a potential deferred tax asset of £3,465,979 (31/01/20: £3,085,575) in relation to surplus management expenses of £ 17,329,897 (31/01/20: £15,427,873). It is unlikely that the Fund will generate sufficient taxable profits in the future to utilise these expenses and, therefore, no deferred tax asset has been recognised in the year or the prior year.

36 Notes to the financial statements

Note 8 Distributions The distributions take account of amounts added on the issue of units and amounts deducted on the cancellation of units, and comprise: 31/01/21 31/01/20 £000 £000 Interim 10,844 12,317 Final 9,043 11,738 19,887 24,055 Amounts deducted on cancellation of units 1,732 1,225 Amounts added on issue of units (266) (270) Net distribution for the year 21,353 25,010

Net revenue after taxation 21,158 24,830 Expenses taken to capital 82 88 Capital tax balances 109 92 Income deficit transfers 4– Net distribution for the year 21,353 25,010

Details of the distribution per unit are set out in the tables on pages 43 and 44.

Note 9 Debtors 31/01/21 31/01/20 £000 £000 Creations awaiting settlement 223 25 Accrued income 1,253 1,311 Overseas tax recoverable 22 Total debtors 1,478 1,338

Note 10 Cash and bank balances 31/01/21 31/01/20 £000 £000 Cash and bank balances 10,320 15,054 Amounts held at futures clearing houses 263 648 Total cash and bank balances 10,583 15,702

Note 11 Bank overdraft 31/01/21 31/01/20 £000 £000 Amounts due to futures clearing houses 45 Total bank overdraft 45

Note 12 Other creditors 31/01/21 31/01/20 £000 £000 Cancellations awaiting settlement 7,687 14,574 Manager’s periodic charge payable 229 465 Trustee’s fees payable 9 14 Safe custody charges payable 68 Audit fee payable 77 Handling charges payable 21 Total other creditors 7,940 15,069

37 Notes to the financial statements

Note 13 Reconciliation of units Class ‘A’ Class ‘B’ Class ‘C’ Class ‘D’ Accumulation Accumulation Accumulation Accumulation Opening units issued at 01/02/20 32,084,861 270,670,919 230,681,141 124,666 Unit movements in year: Units issued 365,480 32,519,881 2,179,016 – Units cancelled (3,518,698) (81,786,455) (35,534,988) – Closing units at 31/01/21 28,931,643 221,404,345 197,325,169 124,666

Note 14 Contingencies and commitments At 31 January 2021 the Fund had no outstanding calls on partly paid shares, no potential underwriting commitments or any other contingent liabilities (31/01/20: £nil).

Note 15 Stocklending The total value of securities on loan at the Balance sheet date was £4,492,140 (31/01/20: £8,553,013). Collateral was held in the following form: 31/01/21 31/01/20 £000 £000 Government bonds 4,800 10,081 4,800 10,081 The gross earnings and fees paid for the year were £22,856 (31/01/20: £46,551) and £4,114 (31/01/20: £8,379) respectively. The gross earnings were split by the lending agent as follows: – 82% to the Lender (PUTM Bothwell North America Fund) – 8% to the Manager (Phoenix Unit Trust Managers Limited) – 10% retained by the Lending Agent (eSec) The counterparties for the securities on loan are shown in the appendix on pages 50 and 51.

Note 16 Unitholders’ funds There are four unit classes in issue within the Fund. These are Class ‘A’ Accumultaion and Class ‘B’ Accumulation, Class ‘C’ Accumulation and Class ‘D’ Accumulation. The Manager’s periodic charge in respect of Class ‘A’ , Class ‘B’, Class ‘C’ and Class ‘D’ is expressed as an annual percentage of the value of the property of the Fund attributable to each unit class and is currently 1.39% in respect of Class ‘A’ units, 0.065% in respect of Class ‘B’, 0.065% in respect of Class ‘C’ units and 0.15% in respect of Class ‘D’ units. Consequently, the level of net revenue attributable to each unit class will differ. Should it be necessary to wind-up the Fund, each unit class will have the same rights as regards to the distribution of the property of the Fund.

38 Notes to the financial statements

Note 17 Related party transactions The Manager is a related party to the Fund by virtue of its controlling influence. The Manager is part of the Phoenix Group. Phoenix Life Limited which is also part of the Phoenix Group, is a material unitholder in the Fund and therefore a related party, holding the following percentage of the units at the year end: Class ‘A’ Class ‘B’ Class ‘C’ Class ‘D’ % % %% As at 31 January 2021: 99.99 99.99 100.00 – As at 31 January 2020: 100.00 99.27 100.00 – Manager’s periodic charge paid to the Manager, Phoenix Unit Trust Managers Limited, or its associates, is shown in Note 6(a) and details of the units issued and cancelled by the Manager are shown in the Statement of change in net assets attributable to unitholders and Note 8. Any balances due to/from the Manager or its associates at 31 January 2021 in respect of these transactions are shown in Notes 9 and 12.

Note 18 Financial instruments In accordance with the investment objective, the Fund holds certain financial instruments. These comprise: • securities held in accordance with the investment objective and policies; • derivative transactions which the Fund may also enter into, the purpose of which is to manage the currency and market risks arising from the Fund’s investment activities; and • cash and short term debtors and creditors arising directly from operations.

Counterparty exposure The economic exposure of future derivative contracts is equal to the market value. The value of exposure and the related counterparty is disclosed in the Portfolio of investments.

Currency exposure An analysis of the monetary assets and liabilities at the year end is shown below: Net currency assets Net currency assets 31/01/21 31/01/20 Currency Monetary Non- Total Monetary Non- Total exposure monetary exposure exposure monetary exposure exposure exposure £000 £000 £000 £000 £000 £000 Sterling (1,868) – (1,868) (291) – (291) Canadian Dollar 448 57,390 57,838 262 73,251 73,513 US Dollar 5,537 1,451,780 1,457,317 1,995 1,529,099 1,531,094 4,117 1,509,170 1,513,287 1,966 1,602,350 1,604,316 Income received in other currencies is converted to Sterling on or near the date of receipt. The Fund does not hedge or otherwise seek to avoid, movement risk on accrued income.

39 Notes to the financial statements

Note 18 Financial instruments (continued) Interest profile At the year end date, 0.70% (31/01/20: 0.98%) of the Fund’s net assets by value were interest bearing. Interest rates earned/paid on deposits are earned/paid at a rate linked to LIBOR (London Interbank Offered Rate) or international equivalent.

Sensitivity analysis Interest rate risk sensitivity As the majority of the Fund’s financial assets are non-interest bearing, the Fund is only subject to limited exposure to fair value interest rate risk due to fluctuations in levels of market interest rates and therefore, no sensitivity analysis has been provided.

Foreign currency risk sensitivity A five percent increase in the value of the Fund’s foreign currency exposure would have the effect of increasing the return and net assets by £75,757,750 (31/01/20: £80,230,350). A five percent decrease would have an equal and opposite effect.

Price risk sensitivity A five percent increase in the value of the Fund’s portfolio would have the effect of increasing the return and net assets by £75,664,350 (31/01/20: £80,215,800). A five percent decrease would have an equal and opposite effect.

Note 19 Fair value of investments The fair value of the Fund’s investments has been determined using the hierarchy below. This complies with the ‘Amendments to FRS102 – Fair value hierarchy disclosures’ issued by the Financial Reporting Council in March 2016. Level 1 The unadjusted quoted price in an active market for identical assets or liabilities that the entity can access at the measurement date. Level 2 Inputs other than quoted prices included within Level 1 that are observable (i.e. developed using market data) for the asset or liability, either directly or indirectly. Level 3 Inputs are unobservable (i.e. for which market data is unavailable) for the asset or liability. For the year ended 31/01/21 Level 1 23 Total Investment assets £000 £000 £000 £000 Equities 1,509,122 ––1,509,122 Derivatives 49 –– 49 1,509,171 ––1,509,171

Investment liabilities £000 £000 £000 £000 Derivatives (1) –– (1) (1) –– (1)

40 Notes to the financial statements

Note 19 Fair value of investments (continued) For the year ended 31/01/20 Level 1 23 Total Investment assets £000 £000 £000 £000 Equities 1,602,326 ––1,602,326 Derivatives 24 –– 24 1,602,350 ––1,602,350

Note 20 Portfolio transaction costs For the year ended 31/01/21 Other Total Value Commission Taxes expenses costs Analysis of total purchases costs £000 £000 % £000 % £000 % £000 Equity transactions 128,391 11 0.01 –– –– 128,402 Corporate actions 570 – – –– – – 570 Total 128,961 11 ––128,972

Other Total Value Commission Taxes expenses costs Analysis of total sales costs £000 £000 % £000 % £000 % £000 Equity transactions 408,168 (36) 0.01 –– (9) – 408,123 Corporate actions 3,161 – – –– – – 3,161 Total 411,329 (36) – (9) 411,284

The Fund has paid £7,400 as commission on purchases and sales of derivatives transactions for the year ended 31/01/21. Commission, taxes and other expenses as % of average net assets: Commission 0.00% Taxes 0.00% Other expenses 0.00%

41 Notes to the financial statements

Note 20 Portfolio transaction costs (continued) For the year ended 31/01/20 Other Total Value Commission Taxes expenses costs Analysis of total purchases costs £000 £000 % £000 % £000 % £000 Equity transactions 47,281 2 – –– – – 47,283 Corporate actions 415 – – –– – – 415 Total 47,696 2 ––47,698

Other Total Value Commission Taxes expenses costs Analysis of total sales costs £000 £000 % £000 % £000 % £000 Equity transactions 195,433 (17) 0.01 –– (4) – 195,412 Corporate actions 4,904 – – –– – – 4,904 Total 200,337 (17) – (4) 200,316

The Fund has paid £5,035 as commission on purchases and sales of derivatives transactions for the year ended 31/01/20. Commission, taxes and other expenses as % of average net assets: Commission 0.00% Taxes 0.00% Other expenses 0.00% Portfolio transaction costs are incurred by the Fund when buying and selling underlying investments. These class of investment, country of exchange and method of execution. These costs can be classified as either direct or indirect transaction costs: Direct transaction costs: Broker commissions, fees and taxes. Indirect transaction costs: “Dealing spread” – the difference between buying and selling prices of the underlying investments. At the Balance sheet date the portfolio dealing spread was 0.07% (31/01/20: 0.04%) being the difference between the respective bid and offer prices for the Fund's investments.

Note 21 Post Balance sheet events As indicated in the accounting policies in Note 1(b), the investments have been valued at close of business on 29 January 2021. Since the balance sheet date, the bid price of each of the Fund’s share classes has moved as follows:

Bid Price Bid Price 29/01/21 11/06/21 pence pence Movement (%) Class ‘A’ Accumulation 421.14 467.30 10.96 Class ‘B’ Accumulation 491.65 547.96 11.45 Class ‘C’ Accumulation 153.41 171.11 11.54 Class ‘D’ Accumulation 145.22 161.90 11.49

42 Distribution tables For the year ended 31 January 2021

Interim distribution in pence per unit Group 1: units purchased prior to 1 February 2020 Group 2: units purchased 1 February 2020 to 31 July 2020

2020 2019 pence pence per unit per unit Net paid paid income Equalisation 30 Sept 30 Sept

Class ‘A’ Accumulation Group 1 0.4654 — 0.4654 0.6045 Group 2 0.2138 0.2516 0.4654 0.6045

Class ‘B’ Accumulation Group 1 3.3143 — 3.3143 3.2509 Group 2 2.5084 0.8059 3.3143 3.2509

Class ‘C’ Accumulation Group 1 1.0354 — 1.0354 1.0151 Group 2 0.6761 0.3593 1.0354 1.0151

Class ‘D’ Accumulation Group 1 0.9280 — 0.9280 0.9137 Group 2 0.9280 0.0000 0.9280 0.9137

43 Distribution tables For the year ended 31 January 2021

Final distribution in pence per unit Group 1: units purchased prior to 1 August 2020 Group 2: units purchased 1 August 2020 to 31 January 2021

2021 2020 pence pence per unit per unit Net payable paid income Equalisation 31 Mar 31 Mar

Class ‘A’ Accumulation Group 1 — — — 0.4729 Group 2 — — — 0.4729

Class ‘B’ Accumulation Group 1 3.1944 — 3.1944 3.3805 Group 2 2.1817 1.0127 3.1944 3.3805

Class ‘C’ Accumulation Group 1 0.9982 — 0.9982 1.0560 Group 2 0.2682 0.7300 0.9982 1.0560

Class ‘D’ Accumulation Group 1 0.8835 — 0.8835 0.9456 Group 2 0.8835 0.0000 0.8835 0.9456

Equalisation This applies only to units purchased during the distribution period (Group 2 units). It is the average amount of revenue included in the purchase price of all Group 2 units and is refunded to the holders of these units as a return of capital. Being capital it is not liable to income tax but must be deducted from the cost of the units for capital gains tax purposes.

44 Responsibilities of the manager and the trustee a) The Manager of the Fund is required by the Financial Conduct Authority’s Collective Investment Schemes Sourcebook (‘the Sourcebook’) to prepare financial statements for each annual accounting period which give a true and fair view of the financial position of the Fund at the end of that period and the net revenue or expense and the net gains or losses on the property of the Fund for the period then ended. In preparing these financial statements, the Manager is required to: • select suitable accounting policies and then apply them consistently; • make judgements and estimates that are prudent and reasonable; • state whether applicable accounting standards have been followed subject to any material departure disclosed and explained in the financial statements; and • prepare the financial statements on the basis that the Fund will continue in operation unless it is inappropriate to presume this. The Manager is also required to manage the Fund in accordance with the Trust Deed, the Prospectus and the Sourcebook, maintain proper financial records to enable them to ensure that the financial statements comply with the Statement of Recommended Practice for Authorised Funds as issued by the IA in May 2014 (amended June 2017) and the Sourcebook and take reasonable steps for the prevention and detection of fraud and other irregularities. b) The Depositary in its capacity as Trustee of the PUTM Bothwell North America Fund must ensure that the Trust is managed in accordance with the Financial Conduct Authority’s Collective Investment Schemes Sourcebook, the Financial Services and Markets Act 2000, as amended, (together ‘the Regulations’), the Trust Deed and Prospectus (together ‘the Scheme documents’) as detailed below. The Depositary must in the context of its role act honestly, fairly, professionally, independently and in the interests of the Trust and its investors. The Depositary is responsible for the safekeeping of all custodial assets and maintaining a record of all other assets of the Trust in accordance with the Regulations. The Depositary must ensure that: • the Trust’s cash flows are properly monitored and that cash of the Trust is booked in cash accounts in accordance with the Regulations; • the sale, issue, repurchase, redemption and cancellation of units are carried out in accordance with the Regulations; • the value of units of the Trust are calculated in accordance with the Regulations; • any consideration relating to transactions in the Trust’s assets is remitted to the Trust within the usual time limits; • the Trust’s income is applied in accordance with the Regulations; and • the instructions of the Authorised Fund Manager (‘the AFM’), which is the UCITS Management Company, are carried out (unless they conflict with the Regulations). The Depositary also has a duty to take reasonable care to ensure that the Trust is managed in accordance with the Regulations and the Scheme documents of the Trust in relation to the investment and borrowing powers applicable to the Trust.

45 Trustee’s report and directors’ statement

Statement of the Depositary’s Responsibilities in respect of the Scheme and Report of the Depositary to the Unitholders of the PUTM Bothwell North America Fund (‘the Trust’) for the period ended 31 January 2021. Having carried out such procedures as we considered necessary to discharge our responsibilities as Depositary of the Trust, it is our opinion, based on the information available to us and the explanations provided, that, in all material respects the Trust, acting through the AFM: (i) has carried out the issue, sale, redemption and cancellation, and calculation of the price of the Trust’s units and the application of the Trust’s income in accordance with the Regulations and the Scheme documents of the Trust; and (ii) has observed the investment and borrowing powers and restrictions applicable to the Trust in accordance with the Regulations and the Scheme documents of the Trust. London HSBC Bank plc 17 June 2021

Directors’ statement In accordance with the requirements of the Collective Investment Schemes Sourcebook as issued and amended by the Financial Conduct Authority, we hereby certify the report on behalf of the Directors of Phoenix Unit Trust Managers Limited. Birmingham Craig Baker, Director 17 June 2021 Andrew Moss, Director

46 Independent auditor’s report to the unitholders of the PUTM Bothwell North America Fund

Opinion We have audited the financial statements of the PUTM Bothwell North America Fund (“the Fund”) for the year ended 31 January 2021, which comprise the Statement of Total Return, the Statement of Change in Net Assets Attributable to Unitholders, the Balance Sheet, the Distribution Tables and the related notes, which include a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards including FRS 102 ‘The Financial Reporting Standard applicable to the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: • give a true and fair view of the financial position of the Fund as at 31 January 2021 and of the net revenue and the net capital gains on the scheme property of the Fund for the year then ended; and • have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice.

Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report below. We are independent of the Fund in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’s (“FRC”) Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern In auditing the financial statements, we have concluded that the Fund Manager’s (“the Manager”) use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Fund’s ability to continue as a going concern for a period of 12 months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Manager with respect to going concern are described in the relevant sections of this report. However, because not all future events or conditions can be predicted, this statement is not a guarantee as to the Fund’s ability to continue as a going concern.

Other information The other information comprises the information included in the Annual Report other than the financial statements and our auditor’ report thereon. The Manager is responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in this report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of the other information, we are required to report that fact. We have nothing to report in this regard.

47 Independent auditor’s report to the unitholders of the PUTM Bothwell North America Fund

Opinions on other matters prescribed by the rules of the Collective Investment Schemes Sourcebook of the Financial Conduct Authority (“the FCA”) In our opinion: • the financial statements have been properly prepared in accordance with the Statement of Recommended Practice relating to Authorised Funds, the rules of the Collective Investment Schemes Sourcebook of the Financial Conduct Authority and the Trust Deed; • there is nothing to indicate that adequate accounting records have not been kept or that the financial statements are not in agreement with those records; and • the information given in the Manager’s report for the financial year for which the financial statements are prepared is consistent with the financial statements.

Matters on which we are required to report by exception We have nothing to report in respect of the following matter in relation to which the Collective Investment Schemes Sourcebook of the Financial Conduct Authority requires us to report to you if, in our opinion: • we have not received all the information and explanations which, to the best of our knowledge and belief, are necessary for the purposes of our audit.

Responsibilities of the Manager As explained more fully in the Manager’s responsibilities statement set out on page 45, the Manager is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Manager determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Manager is responsible for assessing the Fund’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Manager either intends to wind up or terminate the Fund or to cease operations, or has no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect irregularities, including fraud. The risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and management.

48 Independent auditor’s report to the unitholders of the PUTM Bothwell North America Fund

Our approach was as follows: • We obtained an understanding of the legal and regulatory frameworks that are applicable to the Fund and determined that the most significant are United Kingdom Generally Accepted Accounting Practice, the Investment Management Association Statement of Recommended practice (the “IMA SORP”), the FCA Collective Investment Schemes Sourcebook, the Fund’s Trust Deed and the Prospectus. • We understood how the Fund is complying with those frameworks through discussions with the Manager and the Fund’s administrator and a review of the Fund’s documented policies and procedures. • We assessed the susceptibility of the Fund’s financial statements to material misstatement, including how fraud might occur by considering the risk of management override, specifically management’s propensity to influence revenue and amounts available for distribution. We identified a fraud risk with respect to the incomplete or inaccurate income recognition through incorrect classification of special dividends and the resulting impact to amounts available for distribution. Our procedures involved journal entry testing by specific risk criteria, with a focus on manual top side financial statement adjustments and journals indicating large or unusual transactions based on our understanding of the business. We tested the appropriateness of management’s classification of material special dividends as either a capital or revenue return. We incorporated unpredictability into the nature, timing and extent of our testing. • Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved review of the reporting to the Manager with respect to the application of the documented policies and procedures and review of the financial statements to test compliance with the reporting requirements of the Fund. • Due to the regulated nature of the Fund, the Statutory Auditor considered the experience and expertise of the engagement team to ensure that the team had the appropriate competence and capabilities to identify non-compliance with the applicable laws and regulations. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report This report is made solely to the Fund’s unitholders, as a body, pursuant to Paragraph 4.5.12 of the rules of the Collective Investment Schemes Sourcebook of the Financial Conduct Authority. Our audit work has been undertaken so that we might state to the Fund’s unitholders those matters we are 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 accept or assume responsibility to anyone other than the Fund and the Fund’s unitholders as a body, for our audit work, for this report, or for the opinions we have formed.

Ernst & Young LLP Statutory Auditor Edinburgh 17 June 2021

49 Appendix (unaudited)

The Fund carried out stock lending activities for the purpose of efficient portfolio management and in order to generate income. Revenue earned from these activities is shown in the Statement of Total Return.

Global Data Amount of securities and commodities on loan % of total lendable assets* Securities 0.30

Amount of assets engaged in each type of SFT Amount of assets % of AUM 4,492,140 0.30

* Total lendable assets excludes cash and cash equivalents. It also excludes other monetary amounts such as net debtors and creditors which are not deemed ‘lendable assets’.

Concentration Data All collateral issuers (across all SFT) Collateral Fair value Issuer Holding £000 US Treasury 4.50% 15/08/2039 1,875,000 2,064 US Treasury 1.50% 30/11/2024 2,158,000 1,650 US Treasury 2.875% 15/08/2045 1,200,000 1,086

All counterparties Gross volume of outstanding transactions Fair value Counterparty £000 Barclays Capital Securities Limited 2,922 Citigroup Global Markets Limited 1,570

Aggregate Data Type and quality of collateral Fair value Type Quality* £000 Bonds Investment grade 4,800

4,800 * Quality of collateral has been interpreted as pertaining to bond instruments, which have been assessed and reported in accordance with whether they are considered investment grade, below investment grade or not-rated.

50 Appendix (unaudited)

Maturity tenor of collateral Fair value Maturity £000 Rolling Maturity 4,800

4,800

Currency of collateral Fair value Currency £000 Sterling 4,800

4,800

Maturity tenor of SFTs Fair value Maturity £000 Rolling Maturity 4,492

4,492

Country in which counterparties are established Counterparty All counterparties are UK based

Return and cost Gross return Cost % of overall Net return £000 £’000 returns £000 Fund 23 4 82.00 19 23 4 19

The gross earnings were split by the lending agent as follows: – 82% to the Lender (PUTM Bothwell North America Fund) – 8% to the Manager (Phoenix Unit Trust Managers Limited) – 10% retained by the Lending Agent (eSec)

51 Corporate information (unaudited)

The information in this report is designed to enable unitholders to make an informed judgement on the activities of the Fund during the period it covers and the results of those activities at the end of the period. Phoenix Unit Trust Managers Limited is part of the Phoenix Group. Unit prices appear daily on our website www.phoenixunittrust.co.uk. Administration & Dealing: 0345 584 2803 (between the hours of 9am & 5pm).

Remuneration The Manager has adopted a remuneration policy, up-to-date details of which can be found on www.phoenixunittrust.co.uk. This statement describes how remuneration and benefits are calculated and identifies the committee which oversees and controls this policy. A paper copy of these details can be requested free of charge from the Manager. This statement fulfils Phoenix Unit Trust Managers Limited’s (‘the Manager’) obligations as an authorised UCITS Manager in respect of compliance with the UCITS V Remuneration Code and contains relevant remuneration disclosures. PUTM Unit Trusts are managed by Phoenix Unit Trust Managers Limited, which is a subsidiary of Phoenix Life Limited, part of The Phoenix Group plc (‘the Group’). The Remuneration Committee (‘the Committee’) of the Group has established a Remuneration Policy which applies to all entities of the Group. The guiding principles of this policy ensure sound and effective risk management so as not to encourage risk-taking outside of the Group’s risk appetite, and support management in the operation of their business through identification of minimum control standards and key controls. The Committee approves the list of UCITS Code Staff annually and identified UCITS Code Staff are annually notified of their status and the associated implications. Further information on the Group Remuneration Policy can be found in the Group annual reports and accounts which can be found on www.phoenixgroup.com. The below table provides detail of remuneration provided, split between fixed and variable remuneration, for UCITS Code Staff (defined as all staff whose professional activities have material impact on the risk profiles of the fund it manages).

As at 31 December 2020 Headcount Total remuneration

Phoenix Unit Trust Managers 2 90,001.02 of which Fixed Remuneration 2 58,675.02 Variable Remuneration 1 31,326.00 Carried Interest n/a

Highest paid Director’s Remuneration 42,117.08 The Directors are employed by fellow entities of the Group. The total compensation paid to the Directors of the Manager is in respect of services to the Manager, irrespective of which entity within the Phoenix Group has paid the compensation. Please note that due to the employment structure and resourcing practices of the Group, the staff indicated in this table may also provide services to other companies in the Group.

52 Corporate information (unaudited)

The table states the actual number of employees who are fully or partly involved in the activities of the Manager, no attempt has been made to apportion the time spent specifically in support of each fund as this data is not captured as part of the Manager’s normal processes. The remuneration disclosed is the total remuneration for the year and has been apportioned between the provisions of services to the Manager and not the fund. Total remuneration can include any of the following; – Fixed pay and annual/long term incentive bonuses. – Where fixed pay is directly attributable to PUTM Unit Trusts (for example, fees for Phoenix Unit Trust Managers Limited), 100% of those fees. – For other individuals, pro-rated using the average AUM of PUTM Unit Trusts (as a proportion of the aggregate average AUM of The Phoenix Group plc) as proxy. Senior Management includes – PUTM Board and PUTM Executive Committees. Other Code Staff includes all other UCITS Code Staff not covered by the above.

Assessment of Value We are required to perform an annual assessment of the value for money for each unit class of PUTM Bothwell North America Fund. This has been performed based on the information available as at 31 January 2021. We have performed this review having regard to a wide range of factors. In doing so, we have made comparison with the other unit classes of the relevant fund, with the unit classes and sub-funds within our fund ranges and also with comparable unit classes and sub-funds in the rest of the market. Broadly speaking, assessment of value requires consideration of a combination of factors, including the return achieved, the price paid, the risk taken and the quality and range of services provided by the asset manager. This also needs to be considered in the context of the investment objectives and policy for the fund, the target investor and the recommended holding period. In considering cost, regard needs to be had to the total cost of investing, including any adviser charges, platform charges, adviser fees and the on-going annual management charge. Regard also needs to be had to the degree of active management; as an investor, you would not be receiving value, if you were being charged fees for active portfolio management, where in fact, the fund’s composition of performance is staying very close to a benchmark. These factors also need to be considered in the context of the size of the portfolio and the ability of larger funds to benefit from economies of scale. As regards performance, it is important that performance is considered over an appropriate timescale given the fund’s objectives, and should be measured net of fees. Based on our assessment of the value of each unit class, PUTM can confirm that the fund meets the required Assessment of Value criteria. PUTM will review some of the costs relative to market peers to determine if better value can be offered. Further details of the Assessment of Value can be found at the following link: https://www.phoenixunittrust.co.uk/report-and-accounts.aspx

Risks The price of units and the revenue from them can go down as well as up and investors may not get back the amount they invested, particularly in the case of early withdrawal. Tax levels and reliefs are those currently applicable and may change. The value of any tax relief depends on personal circumstances. Management charges on some funds are charged to capital and therefore a reduction in capital may occur. Depending on the fund, the value of your investment may change with currency movements.

53 Corporate information

Manager Investment Adviser Phoenix Unit Trust Managers Limited (PUTM) Henderson Global Investors Limited 1 Wythall Green Way 201 Bishopsgate Wythall London Birmingham B47 6WG EC2M 3AE Tel: 0345 584 2803 Authorised and regulated by the Financial Conduct Authority. Registered in England – No.03588031 Authorised and regulated by the Financial Conduct Authority. Trustee HSBC Bank plc Directors 1-2 Lochside Way Andrew Moss PUTM Director, Chief Executive Edinburgh Park Phoenix Life; Edinburgh EH12 9DT Authorised by the Prudential Regulation Authority Craig Baker PUTM Director, Head of Investment Management Phoenix Life; and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Mike Urmston Non Executive Director of PUTM; Nick Poyntz-Wright Non Executive Director of PUTM. Independent Auditor Ernst & Young LLP Registrar and correspondence address Atria One Phoenix Unit Trust Managers Limited 144 Morrison Street Floor 1, 1 Grand Canal Square Edinburgh EH3 8EX Grand Canal Harbour Dublin 2 Authorised status Ireland This Fund is an Authorised Unit Trust scheme under Authorised and regulated by the Financial Conduct Authority. section 243 of the Financial Services & Markets Act 2000 and is categorised under the Collective Investment Schemes Sourcebook as a UCITS fund.

54 Notes

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Contact: Client Services Call: 0345 584 2803 Correspondence Address: Floor 1, 1 Grand Canal Square, Grand Canal Harbour, Dublin 2, Ireland Visit: phoenixunittrust.co.uk

Telephone calls may be monitored and/or recorded for the purposes of security, internal training, accurate account operation, internal customer monitoring and to improve the quality of service. Please note the Key Investor Information Document (KIID), the Supplementary Information Document (SID) and the full prospectus are available free of charge. These are available by contacting Client Services on 0345 584 2803. Phoenix Unit Trust Managers Limited does not accept liability for any claims or losses of any nature arising directly or indirectly from use of the data or material in this report. The information supplied is not intended to constitute investment, tax, legal or other advice. Phoenix Unit Trust Managers Limited* is a Phoenix Group Company. Registered in England No 3588031. Registered office: 1 Wythall Green Way, Wythall, Birmingham B47 6WG. *Authorised and regulated by the Financial Conduct Authority.

B596.01.21