Man AHL Gold (AUD) An investment accessing the AHL Diversified Program and the Gold Investment Weekly applications and withdrawals Man 2012
Who is Man? Man Group plc established 1783 Listed on the London Stock Exchange (FTSE 250) A world-leading investment management business with US$52.7 billion under management SWITZERLAND ROTTERDAM HONG KONG GUERNSEY LONDON DUBLIN DUBAI MILAN MIAMI TOKYO SYDNEY OXFORD CHICAGO TORONTO NEW YORK SINGAPORE MONTEVIDEO LUXEMBOURG Man 2012 2 07001Q Man Group funds under management as at 30 June 2012.
Components of Man AHL Gold (AUD) AHL Diversified Program The Gold Investment Invests in around Diversification 300 international markets Inflation protection Currency protection Man 2012 3 06003Y
Man AHL Gold (AUD) Target investment exposure Man AHL Gold (AUD) 60% Gold Investment 30% AHL Diversified Program 10% Cash Deposit + Target investment exposure 60% Gold Investment 100% AHL Diversified Program** Total investment exposure 160% Man 2012 4 06004Y Source Man Investments Australia. + The Cash Deposit is used by the Company to meet expenses, fund the redemption of Shares and manage the Company s investments. ** The AHL Diversified Program involves trading in futures, options, forward contracts, swaps and other derivative instruments, which require deposits of only a portion of the underlying value of the contracts. This is why, in the diagram above, an allocation of only 30% is sufficient to sustain a target investment exposure of 100% to the AHL Diversified Program.
AHL Diversified Program AHL is an investment division of Man Investments based in London, Oxford and Hong Kong Aims to capitalise from price movements, strong market trends and market inefficiencies Manages US$16.7 billion Compound annual return of 14.7% p.a. net of all fees since March 1996^ Man 2012 5 02001M AHL funds under management as at 30 June 2012. ^ Past performance is not a reliable indicator of future performance. Performance figures are calculated net of all fees as at 31 July 2012. It shows the actual trading results of Man AHL Diversified plc, Man Investments longest running USD weekly dealing AHL fund. It is not designed to predict or forecast the future performance of the AHL Diversified Program. The final weekly valuation is used to calculate the monthly return of Man AHL Diversified plc. As there was no weekly valuation in March 1996, the first monthly return shown is for April 1996.
AHL Diversified Program Allocations across different market sectors Aims to take advantage of market trends in around 300 international markets Currencies 13.6% Agriculturals 4.9% Stocks 7.1% Credit 0.5% Bonds 23.8% Interest rates 14.4% Metals 18.8% Energies 16.9% Man 2012 6 02007Q Source Man Investments. Note The sector allocations are designed to reflect the estimated risk exposure to each sector relative to the other sectors in the AHL Diversified Program. The figures are based on estimates of the risk exposure of each sector as at 30 June 2012. A geographic breakdown of the AHL Diversified Program is not shown due to the diverse nature of the markets traded.
Man AHL Diversified plc - past performance March 1996 to July 2012 Period Since inception Compound annual return 14.7% p.a. Last 10 Years 9.3% p.a. Last 5 Years 5.9% p.a. Last 4 Years 1.6% p.a. Last 3 Years 1.4% p.a. Last 2 Years 3.8% p.a. Last 12 Months 0.8% p.a. Man 2012 7 02003M Source Man Investments. Note The chart is expressed in log scale to uniformly illustrate percentage changes each month. It shows the actual trading results of Man AHL Diversified plc, Man Investments longest running USD weekly dealing AHL fund. It is not designed to predict or forecast the future performance of the AHL Diversified Program. The final weekly valuation is used to calculate the monthly return of Man AHL Diversified plc. As there was no weekly valuation in March 1996, the first monthly return shown is for April 1996. Performance figures are calculated net of all fees as at 31 July 2012. Past performance is not a reliable indicator of future performance.
Man AHL Diversified plc vs global and Asian stock market indices March 1996 to July 2012 Man 2012 8 02010M Source Man Investments. Note The chart is expressed in log scale to uniformly illustrate percentage changes each month. It shows the actual trading results of Man AHL Diversified plc. It is not designed to predict or forecast the future performance of Man AHL Diversified plc. The final weekly valuation is used to calculate the monthly return of Man AHL Diversified plc. As there was no weekly valuation in March 1996, the first monthly return shown is for April 1996. Performance figures are calculated net of all fees as at 31 July 2012. Past performance is not a reliable indicator of future performance.
Man AHL Gold (AUD) Target investment exposure Concerns over the value of currencies - Gold is viewed as a "hedge" against currency devaluation Concerns over future inflation - Gold generally provides inflation protection Central bank actions - Central banks have become net buyers of gold Gold viewed as a "safe haven" - Investors tend to buy gold in times of crisis Man 2012 9 06005Y Source Man Investments Australia.
Central bank gold holdings January 2012 Gold as % of official reserves USA Germany France Italy Switzerland UK Philippines India Australia Poland Thailand Indonesia Japan Singapore China Malaysia Korea 06006H Man 2012 10 Source World Gold Council.
Historical price of gold December 1969 to June 2012 USD per troy ounce Man 2012 11 06007Q Source Man Investments. Note The chart is expressed in log scale to uniformly illustrate percentage changes each month. It shows the actual value of gold (per troy ounce in US dollars). This chart is not a chart showing the performance of Man AHL Gold (AUD). It is not designed to predict or forecast the future performance of the value of gold (per troy ounce in US dollars). The fees and cost that will apply to the Gold Investment will be in accordance with those set out in Section 5 of the Prospectus and may mean that the value of the Gold Investment at any time may not reflect the full value of gold (represented by the spot price of gold per troy ounce in US dollars). See Section 3 of the Prospectus for further details regarding the potential tracking error in relation to the Gold Investment. Performance figures are calculated as at 30 June 2012. Past performance is not a reliable indicator of future performance.
Gold Spot price and US Debt Limit October 1994 to June 2012 Increasing the debt limit means printing more dollars, which historically has shown a correlation to the price of gold. USD per troy ounce USD (trillion) Man 2012 12 06008Q Source Bloomberg.
The Gold Investment Exchange-traded funds Listed on a recognised stock exchange Investing purely in physical gold Long-only exposure Approved by Man Investments' investment committee Man 2012 13 06009Y
Example of an exchange traded fund: ZKB Gold ETF Investment manager and custodian: Zürcher Kantonalbank - AAA rated bank by S&P, Moody's and Fitch^ - Total assets of CHF 130 billion - Wholly owned by the canton of Zürich ZKB Gold ETF in operation since March 2006 Listed on SIX Swiss Exchange (ZGLD) Total size approximately US$5.4 billion 100% backed by physical gold holdings Man 2012 14 06010H Note ZKB Gold ETF is an example of an exchange traded fund only. There is no guarantee that Man AHL Gold (AUD) will allocate funds to ZKB Gold ETF. Furthermore, Zürcher Kantonalbank has not been involved in the preparation of this presentation and makes no representation regarding, or accepts responsibility for, the performance of the Gold Investment or Man AHL Gold (AUD). ^ S&P rating as at 31 December 2011, Moody's rating as at February 2012, Fitch rating as at April 2011. Total asset as at 30 June 2011. Total size as at February 2012.
Key facts Shares Shares may be purchased/redeemed at the weekly Net Asset Value ISIN CK0107518872 Liquidity Weekly dealing with no exit fees Reporting www.maninvestments.com.au Bloomberg ticker MANGDAU Man 2012 15 06011Y
Disclosures The information in this presentation is published by Man Investments Australia Limited ABN 47 002 747 480 for the internal use of financial advisors only and must not be made available, published or distributed to any retail investors or any other person. Offers of Shares will be made in the replacement prospectus issued by Man AHL Gold (AUD) Limited dated 17 February 2012 (the Prospectus ). Investors wishing to acquire Shares will need to complete the Application Form attached to the Prospectus. Please also refer to the Identification Requirements document. Terms capitalised and used in this presentation have the same meaning as in the Prospectus. This information has been prepared without taking into account anyone s objectives, financial situation or needs. The Prospectus does not constitute an offer in any jurisdiction where it would be illegal to make such offers or where such offers are not permitted. Your attention is specifically drawn to the Selling Restrictions document accompanying the Prospectus which sets out the persons to whom this material is intended to be communicated. US Persons are not eligible to subscribe for Shares pursuant to the Prospectus. Man AHL Gold (AUD) has been structured as a medium term investment. To judge performance over a short period of time can be misleading as returns may decline as well as appreciate. Persons considering investing in the Shares should carefully read all of the Prospectus and seek independent advice before making an investment decision. The Shares offered by the Prospectus should be regarded as speculative and investors should have regard to the key risks in the Prospectus. Investors should consider the key risks in Section 3 of the Prospectus. Additional copies of the Prospectus may be obtained by contacting Monica Senger (msenger@maninvestments.com.au) on (61-2) 8259 9988 or Sam Green (sgreen@maninvestments.com.au) on (61-2) 8259 9999. Man 2012 16 06002Y
Appendix 07003
AHL Diversified Program List of markets traded as at 30 April 2012 Agriculturals Gilts Norwegian Krone Interest rates H Shares Index Cocoa Italian 10Yr Bonds Peruvian Nuveo Sol Australian T-Bills Istanbul Stock Exchange Coffee Japanese Bond Philippine Peso Bankers Acceptance Canada National 30 Index Futures Corn Korean 3yr bond Polish Zloty Euribor Korean Kospi Cotton Ultra Bonds Russian Ruble Eurodollar Kuala Lumpur Comp Index Feeder Cattle US Treasury Bonds Singapore Dollar NZ 90 day Bills Mexican Bolsa Index Lean Hogs AHL Evolution* South African Rand Short Sterling Nasdaq 100 Index Live Cattle Credit South Korean Won Metals Nifty Index Orange Juice AHL Evolution* Swedish Krona Aluminium Nikkei Palm Oil Currencies Swiss Franc Copper Oslo OBX Index Rapeseed Australian Dollar Taiwanese Dollar Gold Russell 2000 Index Rubber Brazilian Real Turkish Lira Lead S&P 500 Index Soyabeans Canadian Dollar UK Sterling Nickel S&P Canada 60 Index Soyameal Chilean Peso US Dollar Palladium SET50 Index Futures Soyaoil Chinese Renminbi US Dollar Index Platinum Singapore MSCI Index Sugar Columbian Peso AHL Evolution* Silver South African All Index Wheat Czech Koruna Energies Tin Swedish OM Index Bonds Euro Crude Oil Zinc Swiss Market Index Australian 10yr Bond Hungarian Forint Gas Oil Stocks Index TAIEX Index Australian 3yr Bond Indian Rupee Heating Oil Australian SPI200 Index Taiwan MSCI Index Canadian Bond Indonesian Rupiah Natural Gas Dax Index Tokyo Stock Exchange Index Euro-BOBL Japanese Yen RBOB Gasoline Dutch All Index AHL Evolution* Euro-BUND Malaysian Ringgit AHL Evolution* FTSE Euro-BUXL Mexican Peso FTSE China A50 Index Euro-SCHATZ New Zealand Dollar Hang Seng Man 2012 18 02005Y Source Man Investments. Note The sectors accessed by the AHL Diversified Program and the allocations to them are regularly reviewed and may change depending on market conditions and trading signals generated by the AHL Diversified Program and as a result of the Investment Manager s ongoing research. The AHL Diversified Program may trade different contract types in any one asset and each of these contracts is considered a different market. * The Company accesses a diversified portfolio of innovative markets including power contracts, credit derivatives, interest rate swaps, cash equities, cash bonds, and options through AHL Evolution, an offshore investment managed by the Investment Manager.