MLC Navigator Access Investment Options Product Disclosure Statement

MLC Navigator Access Investment Options Product Disclosure Statement Preparation date 1 July 2014 Issued by Navigator Australia Limited (NAL) ABN 45 006 302 987 AFSL 236466

This information is general and doesn t take into account your personal financial situation or individual needs. A financial adviser can help you decide which investment option is right for you.

Contents About the MLC Navigator Access Investment Options 4 Things to consider before you invest 5 Investing in MLC Navigator Access Investment Options 10 Pre Select Options 11 Self Select Options 14 Additional information you need to know 38 Fees and other costs 40 The purpose of this Product Disclosure Statement is to give you the information you need when investing in the MLC Navigator Access Investment Options. You can only invest in the MLC Navigator Access Investment Options if you already have an investment in the MLC Navigator Access Investment Service or MLC Navigator Access Super and Pension Service. You ll need to read the corresponding offer document with this PDS. Navigator Australia Limited is the responsible entity, administrator and issuer of units in the MLC Navigator Access Investment Options. Navigator Australia Limited is referred to as us, we, or our in this PDS. Changes to MLC Navigator Access Investment Options will be made from time to time. We ll notify you of changes that are materially adverse. Changes that aren t materially adverse will be made available on mlc.com.au or you can obtain a paper copy of the changes on request free of charge. For more information please contact us, speak with your financial adviser or go to the online copy of this document on mlc.com.au/pds/access References to mlc.com.au in the online copy of this document link directly to the additional information available. MLC Navigator Access Investment Options 3

About the MLC Navigator Access Investment Options Whether investing for the long or short term, the MLC Navigator Access Investment Options helps bring your goals to life. Whatever your needs, our extensive range of investments means you can build the portfolio you want. Looking out for your interests In this document we outline how we manage your money, the benefits and risks of investing and the fees you ll be paying. This will help you decide whether the investment you re considering is right for you. If you need any further details, please contact your financial adviser or call us. Access Antares High Growth Shares Fund and Access Platinum International Fund Additional information on the Access Antares High Growth Shares Fund and Access Platinum International Fund has been provided in response to ASIC s Regulatory Guide 240. We don t believe the additional information is materially adverse and does not change the nature of your investment. You should carefully consider the additional information before you invest in these Funds, provided on page 18 for the Access Antares High Growth Fund and page 30 for the Access Platinum International Fund. NAL is a subsidiary of National Australia Bank Limited ABN 12 004 044 937. An investment with NAL is not a deposit or liability of, and is not guaranteed by, National Australia Bank Limited. None of the NAB companies, nor any other party, guarantees the capital value, payment of income or performance of the investment options. Who can invest You can only invest in the MLC Navigator Access Investment Options if you already have an investment in the MLC Navigator Access Investment Service or MLC Navigator Access Super and Pension Service. You can add or change your investments within the MLC Navigator Access Investment Options, however some restrictions may apply. 4 MLC Navigator Access Investment Options

Things to consider before you invest The investment options are Registered Managed Investment Schemes governed by their respective constitutions. The investment options may access investment managers via other funds operated by NAL and through other managers pooled investments. The investment options may also hold direct assets. Investment risk Even the simplest of investments comes with a level of risk. While the idea of investment risk can be confronting, it s a normal part of investing. Without it you may not get the returns you need to reach your financial goals. This is known as the risk/return trade off. The value of an investment with a higher level of risk will tend to rise and fall more often and by greater amounts. In other words it is likely to be more volatile than those with less risk. Many factors influence an investment s value. These include, but aren t limited to: market sentiment growth and contraction in Australian and overseas economies legislative changes changes in interest rates changes in inflation defaults on loans company specific issues liquidity (the ability to buy or sell investments when you want to) changes in the value of the Australian dollar changes to laws of overseas jurisdictions can impact returns on international investments, and changes to laws affecting your investment. By understanding volatility will occur, you ll be able to manage your expectations and resist reacting to these short-term movements. This will help you stay true to your investment strategy and keep on track to achieve your long-term goals. A financial adviser can create a financial plan to help you manage risk and consider issues such as: how many years you have to invest the savings you ll need to reach your goals the return you may expect from your investments, and how comfortable you are with volatility. Diversify to reduce volatility and other risks Diversification investing in a range of investments is a sound way to reduce short-term volatility and help smooth a portfolio s returns. That s because different types of investments perform well in different times and circumstances. When some are providing good returns, others may not be. You can diversify across asset classes industries and countries as well as across investment managers with different approaches. The more you diversify, the less impact any one investment can have on your returns. One of the most effective ways of reducing volatility is to diversify across a range of asset classes. MLC Navigator Access Investment Options 5

Things to consider before you invest Asset classes Asset classes are groups of similar types of investments. Each class has its risks and benefits, and goes through its own market cycle. A market cycle can take a couple of years or many years; it s different each time. In the description of each investment option, we include a minimum suggested time to invest. Investing for the minimum time or longer improves your chances of achieving the return you expect. However, returns can t be guaranteed. You need to be prepared for all sorts of return outcomes when investing. Here are the main asset class risks and benefits. Growth and defensive assets Asset classes are generally grouped as either defensive or growth because of their different characteristics. Both defensive and growth assets are included in a diversified portfolio because they generally perform differently. For example, fixed income may be in a portfolio to provide returns when share markets are weak. In some market conditions, both defensive and growth assets may deliver low or negative returns. The main differences between defensive and growth assets are: Assets classes include How they are generally used Risk and return characteristics Defensive Cash and fixed income securities To generate an income and stabilise returns Expected to produce lower returns than growth assets and be less volatile over the long term Growth Shares and property securities To provide long-term capital growth Expected to produce higher returns than defensive assets and be more volatile over the long term Cash Cash is generally a low risk investment. Things to consider: Cash is often included in a portfolio to meet liquidity needs and for its defensive characteristics. The return is typically all income and is referred to as interest or yield. Cash is usually the least volatile type of investment. It also tends to have the lowest return over a market cycle. The market value tends not to change. However, when you invest in cash, you re effectively lending money to businesses or governments that could default on the loans. A default could result in a loss on your investment. Many cash funds invest in fixed income securities that have a very short term until maturity. 6 MLC Navigator Access Investment Options

Fixed income When investing in fixed income, you re effectively lending money to businesses or governments. Things to consider: Fixed income securities are usually included in a portfolio for their income and defensive characteristics. Returns typically comprise interest and changes in the market value of the security. There are different types of fixed income securities and these will have different returns and volatility. The market value of a fixed income security may fall due to factors such as an increase to interest rates or concern about defaults on loans. This may result in a loss on your investment. Fixed income securities denominated in foreign currencies will be exposed to exchange rate variations. Property securities Investing in property securities will give your portfolio exposure to listed property securities in Australia and around the world. These are referred to as Real Estate Investment Trusts ( REITs ). Things to consider: Property securities may be volatile and are usually included in a portfolio for their income and growth characteristics. Australian property securities are dominated by only a few REITs and provide limited diversification. Returns are driven by many factors including the economic environment in various countries. Investing outside Australia means you re exposed to exchange rate variations. Australian shares This asset class consists of investments in companies listed on the Australian Securities Exchange (and other regulated exchanges). Shares are also known as equities. Things to consider: Australian shares can be volatile and are usually included in a portfolio for their growth characteristics. The Australian share market has recently been dominated by a few industries such as Financials and Resources. Australian shares may provide dividend income and tax advantages through imputation (franking) credits. Global shares Global shares consist of investments in companies listed on securities exchanges around the world. Things to consider: Global shares can be volatile and are usually included in a portfolio for their growth characteristics. The number of potential investments is far greater than in Australian shares. Returns are driven by many factors including the economic environment in various countries. When you invest globally, you re less exposed to the risks associated with investing in just one economy. Investing outside Australia means you re exposed to exchange rate variations. Alternatives These are a very diverse group of assets that aren t like the mainstream assets of cash, fixed income or shares. Some examples include hedge funds, infrastructure, and gold. Things to consider: Because alternatives are diverse they may be included in a portfolio for their defensive or growth characteristics. Alternative investments are usually included in portfolios to increase diversification and provide returns that aren t strongly linked with the performance of mainstream assets. For some alternatives, such as hedge funds, it can be less obvious what assets you re investing in than with other asset classes. Some alternative investments are illiquid, which makes them difficult to buy or sell. To access some alternative investments you generally need to invest in a managed fund that, in turn, invests in alternatives. Because most alternative investments aren t listed on an exchange, determining their value for a fund s unit price can be difficult and may involve a considerable time lag. You may be exposed to exchange rate variations. MLC Navigator Access Investment Options 7

Things to consider before you invest Investment approaches Investment managers have different approaches to selecting investments. There are two broad approaches: passive and active management. Passive management Passive, or index managers, choose investments to form a portfolio which will deliver a return that closely tracks a market benchmark (or index). Passive managers tend to have lower costs because they don t require extensive resources to select investments. Active management Active managers select investments they believe, based on research, will perform better than a market benchmark. They buy or sell investments when their market outlook alters or their investment insights change. The degree of active management can vary. More active managers may deliver returns quite different to the benchmark. Active managers have different investment styles and these affect their returns. Some common investment styles are: Bottom-up focuses on forecasting returns for individual companies, rather than the economy as a whole. Top-down - focuses on forecasting broad macroeconomic trends and their effect on the market, rather than returns for individual companies. Growth - focuses on companies they expect will have strong earnings growth. Value - focuses on companies they believe are undervalued (their price doesn t reflect earning potential). Core - aims to produce competitive returns in all periods. Investment techniques Investment managers use different investment techniques that can change the value of an investment. Derivatives are used in all the investment options. Where the investment options use the other investment techniques, we ve made a note of it in the relevant investment options from page 11 to 37. Investment techniques include: Derivatives Derivatives are contracts that have a value derived from another source such as an asset, market index or interest rate. There are many types of derivatives including swaps, options and futures. They are a common tool used to manage risk or improve returns. Some derivatives allow investment managers to earn large returns from small movements in the underlying asset s price. However, they can lose large amounts if the price of the underlying asset moves against them. Investment managers have derivatives policies which outline how derivatives are managed. These policies can generally be found in the investment manager s PDS. Currency management If an investment manager in Australia invests in assets in other countries, their returns in Australian dollars will be affected by movements in exchange rates (as well as changes in the value of the assets). A manager of international assets may choose to protect Australian investors against movements in foreign currency. This is known as hedging. Alternatively, the manager may choose to keep the assets exposed to foreign currency movements, or unhedged. This exposure to foreign currency can increase diversification in portfolios. Gearing Gearing can be achieved by using loans (borrowing to invest), or through investing in certain derivatives, such as futures. Gearing magnifies exposure to potential gains and losses of an investment. As a result, you can expect larger fluctuations (both up and down) in the value of your investment compared to the same investment which is not geared. Investment managers can take different approaches to gearing. Some change the gearing level to suit different market conditions. Others maintain a target level of gearing. 8 MLC Navigator Access Investment Options

It s important to understand both the potential risks of gearing, as well as its potential benefits. When asset values are rising by more than the costs of gearing, the returns will generally be higher than if the investment wasn t geared. When asset values are falling, gearing can multiply the capital loss. If the fall is dramatic there can be even more implications for geared investments. For example, the lender requires the gearing level to be maintained below a predetermined limit. If asset values fall dramatically, the gearing level may rise above the limit, forcing assets to be sold when values may be continuing to fall. In turn this could lead to more assets having to be sold and more losses realised. Withdrawals (and applications) may be suspended in such circumstances, preventing you from accessing your investments at a time when values are continuing to fall. Although this is an extreme example, significant market falls have occurred in the past. Recovering from such falls can take many years and the geared investment s unit price may not return to its previous high. Other circumstances (such as the lender requiring the loan to be repaid for other reasons) may also prevent a geared investment from being managed as planned, leading to losses. You need to be prepared for all types of environments and understand their impact on your geared investment. Short selling Short selling is used by an investment manager when it has a view that an asset s price will fall. The manager borrows the asset from a lender, usually a broker, and sells it with the intention of buying it back at a lower price. If all goes to plan, a profit is made. The key risk of short selling is that, if the price of the asset increases, the loss could be significant. Assessing performance An investment option s performance should be judged against its investment objective. Most investment objectives aim to produce returns that are comparable to a benchmark. Benchmarks used as a measure of performance are usually market indices that are publicly available. Shares are often benchmarked against a share market index and bonds against a bond market index. Other benchmarks can be based on particular industries (eg mining), company size (eg mid caps) or the wider market (eg S&P/ASX 200 or the MSCI World Index). When comparing returns to a benchmark you should consider: whether the investment option s return is calculated before or after fees are deducted, the period over which the return should be measured, and that an investment option is unlikely to achieve its objective in all market environments. Ethical investing Investment managers may take into account labour standards, environmental, social or ethical considerations when making decisions to buy or sell investments. We expect our investment managers to consider material effects these factors may have on the returns from their investments, however we don t require them to. MLC Navigator Access Investment Options 9

Investing in MLC Navigator Access Investment Options We base our portfolios on the fundamental needs of our investors: to grow wealth for the long term. We offer you the ability to choose from a range of investment options including multi-manager diversified Pre Select investment options, multi manager single sector Pre Select investment options and single manager investment options. The investment options provide access to many leading investment managers. Pre Select Options We have engaged the services of JANA Corporate Investment Services Limited ABN 38 055 638 474, AFSL No. 230687 ( JCIS ). JCIS is part of the NAB group of companies. JCIS monitors the investment structure and performance of the Access Pre Select investment options. Pre Select investing involves investing with a number of different investment managers rather than investing with one or a number of single investment manager funds. A range of Access Pre Select investment options has been carefully designed to suit different investment needs. The Pre Select investment process recognises that diversification and management of the overall investment strategy are integral to successful investing. In line with the Pre Select Investment Options objectives and strategies, the Pre Select investments process allocates and rebalances assets to the target asset allocation, diversifying your investment across: asset classes (diversified funds) investment managers, and investment management approaches. Ongoing monitoring and review of the Access Pre Select investment options aims to ensure that each option continues to be structured to meet its investment objectives. Self Select Options We recognise some investors want extra options when it comes to managing their money. To help give you this choice, we also offer investment options not managed by us. If you re considering investing in only these investment options, you will need to be careful as your portfolio may not be adequately diversified. 10 MLC Navigator Access Investment Options

Pre Select Options Diversified Investment objective About the investment option The investment option may be suited to you if... Access Pre Select Conservative ARSN 104 411 583 To provide medium-term returns higher than those generally associated with cash and fixed income securities, while providing lower volatility in short-term investment returns than funds with a greater proportion of growth assets. Invests a high proportion of assets in defensive asset classes such as cash and fixed income securities with the balance in growth assets. The likelihood of the portfolio incurring a negative return in any particular year is moderate. you want to invest with a bias to defensive assets, with some exposure to growth assets, and are seeking stable returns. Minimum suggested time to invest 3 years 5 years Access Pre Select Balanced ARSN 104 412 446 To provide medium to long-term returns that are generally higher than those achievable by investing in conservative funds. Maintains a balanced spread of investments between growth and defensive assets. The likelihood of the portfolio incurring a negative return in any particular year is moderate to high. you want to invest in an approximately equal mix of defensive and growth assets, and you want a portfolio with some long-term capital growth potential and can tolerate moderate to large changes in value. Target asset allocation at 31 May 2014 Estimated number of negative annual returns 20% Cash 25% Australian fixed income 25% Global fixed income (hedged) 13% Australian shares 6.5% Global shares (unhedged) 6.5% Global shares (hedged) 2% Australian property securities 2% Global property securities (hedged) Between 2 and 3 years in 20 years 10% Cash 20% Australian fixed income 20% Global fixed income (hedged) 22% Australian shares 11% Global shares (unhedged) 11% Global shares (hedged) 3% Australian property securities 3% Global property securities (hedged) Between 3 and 4 years in 20 years Fees and costs Management costs (% pa) 1.85 Entry/Exit 0.09/0.08 Management costs (% pa) 1.90 Entry/Exit 0.13/0.11 MLC Navigator Access Investment Options 11

Pre Select Options Diversified continued Investment objective About the investment option The investment option may be suited to you if... Access Pre Select Growth ARSN 104 410 782 To produce higher returns than those expected from conservative and balanced funds over the long-term. Maintains a high proportion of growth assets in order to achieve high returns in the long term. The likelihood of the portfolio incurring a negative return in any particular year is high. you want to invest with a bias to growth assets, and you want a portfolio with a bias to long term capital growth potential and can tolerate large changes in value. Minimum suggested time to invest 6 years 7 years Access Pre Select High Growth ARSN 104 411 467 To provide higher returns than those expected from conservative, balanced and growth funds over the long-term. Dominated by growth assets with a very low allocation to defensive assets. The likelihood of the portfolio incurring a negative return in any particular year is high. you want to invest with a strong bias to growth assets, and you want a portfolio with a strong bias to long-term capital growth potential and can tolerate large changes in value. Target asset allocation at 31 May 2014 2% Cash 14% Australian fixed income 14% Global fixed income (hedged) 32% Australian shares 16% Global shares (unhedged) 16% Global shares (hedged) 3% Australian property securities 3% Global property securities (hedged) Estimated number of negative Between 4 and 5 years in 20 years annual returns Fees and costs Management costs (% pa) 1.95 Entry/Exit 0.16/0.14 1% Cash 7% Australian fixed income 7% Global fixed income (hedged) 40% Australian shares 20% Global shares (unhedged) 20% Global shares (hedged) 2.5% Australian property securities 2.5% Global property securities (hedged) Between 4 and 5 years in 20 years Management costs (% pa) 2.10 Entry/Exit 0.19/0.16 12 MLC Navigator Access Investment Options

Australian & global shares Investment objective About the investment option The investment option may be suited to you if... Minimum suggested time to invest Target asset allocation at 31 May 2014 Estimated number of negative annual returns Access Pre Select Australian Equity Fund ARSN 104 411 789 To provide medium to long-term capital growth by primarily investing in a well diversified portfolio of Australian shares listed on the Australian Securities Exchange (and other regulated exchanges). Invests in a variety of Australian companies whose share price is expected to appreciate over time. These investments are made through specialist investment managers. The likelihood of this portfolio incurring a negative return in any particular year is high. you want to invest in an actively managed Australian share portfolio that s diversified across investment managers, industries and companies. Access Pre Select Australian Small Companies Fund ARSN 114 706 188 To provide medium to long-term capital growth by primarily investing in Australian smaller companies (generally outside the top 100 by market capitalisation) listed on the Australian Securities Exchange (and other regulated exchanges). Invests in a variety of Australian small companies considered to possess strong capital growth potential. These investments are made through specialist investment managers that exhibit varying investment approaches. The likelihood of this portfolio incurring a negative return in any particular year is very high. you want exposure to smaller capitalisation securities listed on the Australian sharemarket and are comfortable with considerable fluctuations in returns. 7 years 8 years 7 years Access Pre Select International Equity Fund ARSN 104 411 109 To provide medium to long-term capital growth by primarily investing in a well diversified portfolio of shares listed on stock exchanges around the world. Invests predominantly in international shares through specialist investment managers. The likelihood of this portfolio incurring a negative return in any particular year is high. The portion of the currency exposure that is hedged to the Australian dollar may move within the range of 0% to 100% at our discretion. you want to invest in an actively managed international share portfolio that s diversified across investment managers, countries, industries and companies, and you re comfortable with exposure to foreign currencies. 100% Australian shares 100% Australian shares 100% Global shares 6 years in 20 years 6 years in 20 years Between 5 and 6 years in 20 years Fees and costs Management costs (% pa) 2.00 Entry/Exit 0.16/0.16 Management costs (% pa) 2.25 Entry/Exit 0.27/0.27 Management costs (% pa) 2.15 Entry/Exit 0.26/0.20 MLC Navigator Access Investment Options 13

Self Select Options Cash Access Cash ARSN 114 703 329 Investment objective About the investment option The investment option may be suited to you if... Minimum suggested time to invest Target asset allocation Estimated number of negative annual returns To achieve returns in the short term that are competitive with that available from the short term money market (before taking into account fees and taxes). Invests primarily in bank deposits and moneymarket securities issued by the Australian government, state government, banks and companies, but may also invest in longer maturity mortgage/asset backed securities and corporate bonds with floating interest rates. you want a low risk investment. 1 month 100% Cash Less than 1 year in 20 years Fees and costs Management costs (% pa) 1.35 Entry/Exit Nil/Nil Investment manager at 31 May 2014 Antares Capital Partners Ltd 14 MLC Navigator Access Investment Options

Fixed income Investment objective About the investment option Access Antares Premier Fixed Income ARSN 114 704 059 To outperform its benchmark (75% UBS Australia Composite Bond Index and 25% Barclays Capital Global Aggregate Index (hedged into AUD)) over rolling three year periods. The Fund invests in global government, semi-government, corporate, mortgage, asset-backed, high-yield and emerging market sovereign debt, and other fixed interest securities. The investment option may be suited to you if... you want to achieve a higher yield than offered by exposure to traditional fixed interest securities and government bonds, and you want moderate capital preservation. Benchmark 75% UBS Australia Composite Bond Index and 25% Barclays Capital Global Aggregate Index (hedged into AUD) Minimum suggested time to invest 3 years 5 years Access PIMCO EQT Global Bond ARSN 114 703 696 To achieve maximum total return by investing in global fixed interest securities and to preserve capital through prudent investment management. The Fund invests predominantly in Investment Grade government, corporate, mortgage and other fixed interest securities. It may also invest in non-investment Grade fixed interest securities and Emerging Market Debt. The Fund will normally be hedged 90-110% to the Australian dollar. you want to have a broadly diversified exposure to international fixed interest markets. Barclays Capital Global Aggregate Bond Index Hedged in Australian dollars Target asset allocation 100% Debt securities 100% Global debt securities Fees and costs Management costs (% pa) 1.70 Management costs (% pa) 1.80 Entry/Exit 0.15/0.15 Entry/Exit Nil/0.10 Fund manager Antares Capital Partners Ltd Equities Trustees Limited MLC Navigator Access Investment Options 15

Self Select Options Tax effective Access OnePath Tax Effective Income ARSN 114 704 424 Investment objective About the investment option The investment option may be suited to you if... Benchmark Minimum suggested time to invest Target asset allocation To provide income and achieve returns (before fees and taxes) that on average exceed inflation by at least 5.0% pa, over periods of five years or more. The Trust invests in a diversified mix of Australian assets with a bias towards income producing growth assets. The Trust is actively managed in accordance with a disciplined investment process. you are seeking higher long-term returns through investing in a diversified mix of income producing asset classes with a bias towards growth assets. Not applicable 5 years Benchmark 0% Cash 30% Australian fixed interest 40% Australian shares 30% Property securities Range 0 25% Cash 0 40% Australian fixed interest 30 50% Australian shares 20 40% Property securities Fees and costs Management costs (% pa) 2.15 Entry/Exit Nil/Nil Fund manager OnePath (Managed on behalf of OnePath by UBS) 16 MLC Navigator Access Investment Options

Property securities Investment objective About the investment option The investment option may be suited to you if... Access CFS Global Property Securities ARSN 114 704 504 To provide capital growth and income from a diversified portfolio of global listed property investments. To outperform the UBS Global Investors Index (net dividends reinvested), hedge to Australian dollars over rolling three year periods before fees and taxes. To invest in a diversified portfolio of property securities. The investment are managed by a number of leading global property securities managers, which is designed to deliver more consistent returns with less risk than would be achieved if investing with a single investment manager. The portfolio aims to hedge currency risk. you want both high income and capital growth opportunities. Access Macquarie Property Securities ARSN 114 704 586 To outperform the S&P/ASX 200 Property Trust Accumulation Index over the medium to long-term (before fees). The Fund provides exposure to Australian listed property securities and may have exposure to overseas property securities, Australian and overseas property development companies and other securities such as infrastructure securities. The Fund may also invest in derivatives to hedge foreign currency exposure or as an alternative to direct investments in property securities. you want a diversified portfolio of property securities, and you want some capital growth. Access Property Securities Index ARSN 114 704 835 To closely track the S&P/ASX 200 A-REIT Accumulation Index with the aim of generating returns (before tax and fees and assuming income is reinvested) comparable to the listed property sector of the Australian share market, as measured by that benchmark over rolling one-year periods. Detailed risk analysis is used to design a portfolio of property securities which provide the greatest likelihood of matching performance of the S&P/ASX 200 A-REIT Accumulation Index. All securities in this option are maintained within a very close margin of their weight in the index. The option predominantly invests in Australian property securities and doesn t hedge currency risk. you want indirect exposure to property markets via property trusts listed on the Australian Securities Exchange. Benchmark S&P/ASX 300 A-REIT Index S&P/ASX 200 A-REIT Index S&P/ASX 200 A-REIT Index Minimum suggested time to invest 7 years 5 years 7 years Target asset allocation 100% Property securities 85 100% Australian property securities 0 15% International property securities 0 5% Cash Management costs (% pa) 1.90 Entry/Exit 0.25/0.25 Entry/Exit 0.25/0.25 Fees and costs Management costs (% pa) 2.15 Fund manager Colonial First State Macquarie Investment Management Limited 100% Property securities Management costs (% pa) 1.65 Entry/Exit 0.15/0.15 Colonial First State MLC Navigator Access Investment Options 17

Self Select Options Australian shares Access Antares High Growth Shares Fund ARSN 114 705 207 Investment objective About the investment option The investment option may be suited to you if... Benchmark Minimum suggested time to invest To outperform the S&P/ASX 200 Accumulation Index by 5% pa before fees over a rolling five year period. The Fund invests in a diversified portfolio of Australian shares. The Fund uses a range of investment techniques such as short selling, enhanced long positions and active trading aimed at enhancing returns. The Fund can hold short positions in up to 25% of the value of the Fund s net assets. The Fund can use the proceeds from short selling to make additional investments in other shares up to 25% of the value of the Fund s net assets giving the Fund a gross market exposure up to a maximum of 150% and net exposure of between 90-100%. you want higher risk investment strategies for long-term growth in order to increase returns and capital growth. S&P/ASX 200 Accumulation Index 5 years Fees and costs Management costs (% pa) 2.25 (excluding any performance fee ) Entry/Exit 0.15/0.15 The management costs include: the amount of fees and costs for investing in the Antares High Growth Shares Fund (excluding any performance fee that may be payable), and the amount paid to us as the Responsible Entity. The fees and costs for the Antares High Growth Shares Fund consist of the following components: Management fee: 1.05% pa of the NAV, plus a Performance fee: 20% of the investment return (after deducting the management fee) above the sum of the benchmark and 5%. The benchmark is the S&P/ASX 200 Accumulation Index. In addition a stock borrowing fee is paid to the Prime Broker out of the Antares High Growth Shares Fund assets. Other changes such as interest on any funds borrowed as part of a short selling arrangement may also be payable to the Prime Broker. The stock borrowing fee is calculated each day based on the value of short positions held. The percentage of NAV that may be held in short positions is 25%. Antares Capital Partners Ltd (ACP) is not able to provide us with an estimate of this cost. The performance fee is calculated each ASX trading day. It accrues daily, is reflected in the Fund s unit price and is paid annually on 31 December. Any underperformance must be recouped before a performance fee will accrue; however, any underperformance against the performance hurdle at the end of one calendar year will not be carried forward to the next year. For example, if the underlying fund for the Access Antares High Growth Shares Fund Investment Option outperformed its performance hurdle by 1%, a Performance Fee to be accrued daily of 0.20% ($2 per $1,000 investment) would be incurred. Fund manager Valuation of assets Periodic reporting Antares Capital Partners Ltd (ACP) a NAB group company. You can obtain a copy of the Antares High Growth Shares Fund PDS from antarescapital.com.au or by calling 1800 671 849. The value of the Fund s assets is based on the unit price of the Antares High Growth Shares Fund and distributions received. The valuation of assets held in the Antares High Growth Shares Fund is determined by their market price on the ASX or otherwise from independent market data providers. We don t have a specific valuation policy that we require ACP to adhere to because we are satisfied with the policy they apply to valuing the assets of the Antares High Growth Share Fund. See Valuation Policy below for more details. We provide monthly performance and annual reports for the Antares High Growth Shares Fund on mlc.com.au 18 MLC Navigator Access Investment Options

Access Antares High Growth Shares Fund continued ARSN 114 705 207 Investment strategy The following information relates to the Fund: Investment strategy The investment strategy of the Fund is to purchase units in the Antares High Growth Shares Fund which invests in a diversified portfolio of Australian shares and uses a range of investment techniques such as short selling, enhanced long positions and active trading aimed at enhancing returns. We may make changes to the investment strategy of the Fund without prior notice to you when changes are not materially adverse. Where possible we ll give you 30 days of any materially adverse changes. We assume that the Antares High Growth Shares Fund will operate as anticipated in the Antares High Growth Shares Fund PDS and will provide returns through distributions and unit price changes. Diversification guidelines and limits We are wholly invested in the Antares High Growth Shares Fund and therefore we do not need diversification guidelines and limits. The Antares High Growth Shares Fund can hold short positions in shares up to 25% of the value of its Net Asset Value (NAV). The total (gross) exposure to the share market is limited to 150% of the value of its NAV. Risks of strategy We only invest in the Antares High Growth Shares Fund, therefore there is concentration risk because we are reliant on the performance of one investment manager, who may underperform. As we only hold units in the Antares High Growth Shares Fund we do not control or have the rights to the underlying assets. The Antares High Growth Shares Fund could underperform other investments and could lose money. Performance may differ significantly from industry benchmarks. We expect the unit price and total return to fluctuate within a wide range. Performance of the Antares High Growth Shares Fund could be affected by: Issuer risk: Investments in a company may decline in value because of changes in the financial condition of the company. Investment manager risk: The performance depends on ACP s expertise and investment decisions. ACP s opinion about the intrinsic worth of a company or security may be incorrect, the investment objective may not be achieved and the market may continue to undervalue the securities held. Market risk: Security prices may decline over short or extended periods due to general market conditions, including but not limited to, inflation, foreign currency fluctuations and interest rates. Derivative risk: Investments in derivatives may cause losses associated with changes in market conditions, such as fluctuations in interest rates, equity prices or exchange rates and, changes in the value of a derivative may not correlate perfectly with the underlying asset. Derivative transactions may be highly volatile and can create investment leverage, which could cause the Antares High Growth Shares Fund to lose more than the amount of assets initially contributed to the transaction. Leverage risk: Leverage may involve the use of borrowed money or derivatives to increase the investment amount. Gearing or leverage magnifies investment returns and losses. Where investments are geared or leveraged, losses can exceed the original investment. Liquidity risk: ACP may not be able to purchase or sell a security in a timely manner or at desired price or achieve its desired weighting in a security. Counterparty risk: The risk of loss resulting from the insolvency or bankruptcy of a counterparty used by ACP to execute trades. MLC Navigator Access Investment Options 19

Self Select Options Access Antares High Growth Shares Fund continued ARSN 114 705 207 Risk management strategy ACP uses the following techniques to manage some of these risks: establishing investment guidelines that are consistent with the performance objectives and risk characteristics having processes in place aimed at ensuring ACP complies with its investment guidelines and other parameters at all times, and undertaking research on companies and securities with a view to understanding their risk characteristics, and backing derivatives with cash, cash equivalents or securities. Why we chose the Antares High Growth Shares Fund Our decision to invest in the Antares High Growth Shares Fund was, and continues to be based on ACP s qualities being its: logical and defensible investment philosophy rigorous investment approach to execute its investment philosophy high quality, experienced staff and a supportive culture stable ownership structure disciplined, rigorous research process robust, careful portfolio construction, and timely and cost-effective implementation methods. We do not adhere to formal risk management strategy for the Fund, however, we regularly monitor and review the Antares High Growth Shares Fund for the above qualities and for its performance. Investment returns for the Antares High Growth Shares Fund are determined by amongst other things: initial valuation by ACP subsequent performance by the business, and ACP s valuation of the company at the end of the period. The assessment of a company s future prospects is a very significant and challenging part of the day-to-day process of investing. Not only do general economic conditions play a part, but issues such as the behaviour of competitors, technological change, government regulations and management decisions all have a bearing on the future outcomes for a company. Also understanding the future valuation that a company will attract is no simple task as often this can change quite dramatically. 20 MLC Navigator Access Investment Options

Access Antares High Growth Shares Fund continued ARSN 114 705 207 Investment manager Fund structure We make decisions about the Antares High Growth Shares Fund using information which is provided by ThreeSixty Research (a division of GWM Adviser Services Limited, which is a member of the NAB group of companies) and can confirm there have been no adverse regulatory findings against us. There are two Portfolio Managers for the Antares High Growth Shares Fund: Portfolio manager Qualifications Investment management experience Richard Dixon BEc 19 years, 13 years with ACP Richard Colquhoun BCom 19 years, 6 years with ACP The Portfolio Managers have stock research capabilities and are responsible for the implementation of the investment strategy. There have been no adverse regulatory findings against the Portfolio Managers or ACP. We can redeem units in the Antares High Growth Shares Fund at any time, however there are circumstances when ACP can suspend transactions including: the closure of a share or securities exchange trading restrictions on a share or securities exchange or market an emergency or other state of affairs, or the law otherwise permits. The Fund is a managed investment scheme registered with ASIC. Navigator Australia Limited is the responsible entity, administrator and issuer of units in the Fund. We are responsible for ensuring that the Fund is operated in accordance with the Constitution and the Corporations Act 2001. As the responsible entity, we outsource a number of tasks associated with the operation of the Fund. These arrangements are documented in agreements which describe the terms on which services will be provided. We regularly monitor the provisions of services by all relevant parties to ensure compliance with these arrangements. Investor Navigator Australia Limited (Responsible entity and administrator) Access Antares High Growth Shares Fund NAB (Custodian) Antares High Growth Shares Fund UBS Nominees Pty Limited (Custodian) UBS AG, Australia Branch (Prime Broker) MLC Navigator Access Investment Options 21

Self Select Options Access Antares High Growth Shares Fund continued ARSN 114 705 207 Valuation, location and custody of assets Key Service providers for the Fund The custodian National Australia Bank (NAB) is the custodian of the Fund. The custodian s role is to perform services such as safekeeping the Funds assets, providing asset valuations and reporting on the Fund s assets. The custodian does not issue interest in, or guarantee the performance of the Fund. We have appointed NAB under a Custody agreement. We may terminate the agreement at any time by providing not less than 120 days written notice. The auditor Ernst & Young is the auditor. Fees paid to NAB group companies We use the services of NAB group companies where it makes good business sense to do so and will benefit our customers. Amounts paid for these services are always negotiated on an arm s-length basis. Appointments of these companies are made in accordance with the requirements of the Group Conflicts of Interest Policy. The responsible entity, investment manager, custodian (for the Access Antares High Growth Shares Fund) and administrator are NAB group companies and are all based in Australia. Service providers to ACP Some key service providers to ACP for the Antares High Growth Shares Fund are listed below: UBS Nominees Pty Limited is the custodian National Australia Bank Limited is the administrator, and UBS AG, Australia Branch is the Prime Broker. Unit holder s liability We own the units in the Antares High Growth Shares Fund on behalf of the investors. The Antares High Growth Shares Fund s Constitution limits unitholder s liability to their investment. However, we cannot give an absolute assurance that your liability to the Antares High Growth Shares Fund or any of its creditors is limited in all circumstances, as the issue has not been finally determined by a superior court. This same risk applies to you as unitholder of the Fund. Valuation Policy The valuation of the assets is provided by NAB in accordance with our Asset Valuation Policy ( Valuation Policy ) and the Custody agreement between us and NAB. We ensure that all asset valuations are determined in accordance with Product Disclosure Statements, Trust Constitution, relevant legislation, standards, guidelines and the directives of the Valuation Policy. Please see page 38 for more information on unit pricing. Asset allocation types and ranges The Fund holds units in the Antares High Growth Shares Fund which invests in Australian shares and exchanged traded derivatives. The asset allocation ranges are as follows: Australian shares (long) 90 125% Australian shares (short) 0 25% Cash 0 10% 22 MLC Navigator Access Investment Options

Access Antares High Growth Shares Fund continued ARSN 114 705 207 Liquidity Leverage Derivatives The Antares High Growth Shares Fund is primarily invested in Australian shares and maintains adequate cash levels to meet withdrawals. In the normal course of business ACP expects to be able to realise 80% of the assets within 10 business days in accordance with the withdrawal restrictions outlined in the Antares High Growth Shares Fund PDS. While we do not have a formal policy with respect to the manner in which ACP manages liquidity for the Access Antares High Growth Shares Fund, the way we operate is to meet withdrawals made in the normal course of business by maintaining adequate cash levels within the Fund. The Fund does not use leverage, and while we do not have a formal policy with respect to ACP s use of leverage, we expect it will operate under the limitations disclosed in the Antares High Growth Shares Fund PDS. The Antares High Growth Shares Fund leverages through the use of derivatives, short selling and borrowing money to increase its long positions up to 125%. However, the net exposure cannot exceed 100% of its NAV. We do not direct or determine the amount of leverage use by ACP so we are unable to provide an estimate of the usual leverage level. The Fund does not use derivatives however ACP can invest in derivatives to: reduce risk reduce transaction costs take advantage of opportunities to increase returns increase market exposure, and reduce market exposure (ie shorting). Derivatives can increase returns through: efficient portfolio management particularly in relation to the management of cash levels reducing asset risk to reduce the risk of an asset class declining in value, and indirectly enhancing income magnifying returns by taking short SPI contract positions to generate cash in the portfolio which can be used to purchase long physical positions. We do not have a derivative policy for ACP and do not set any limits on exposure to derivatives. However, we do expect ACP to operate within the limitations disclosed in the Antares High Growth Shares Fund PDS. Types of derivatives used ACP only deals in exchange traded derivatives with the Australian Securities Exchange. Risk of derivatives Investments in derivatives frequently involve third parties as counterparties. There is a risk that these parties may break their obligations. This could include, but is not limited to failing to make settlements payments or return margin payments. ACP seeks to mitigate this risk via various measures, including regularly reviewing the creditworthiness of their counterparties. ACP s controls to manage derivative risk No uncovered derivative positions are held. The maximum total market exposure of derivative positions, as a proportion of the total NAV can t be exceeded. The use of derivatives is conducted in accordance with regulatory and legislative requirements. MLC Navigator Access Investment Options 23