Fund Overview

The Pengana Global Small Companies Solution uses a multi manager approach, investing with regional small company investment specialists to produce a global portfolio. Small companies have the potential to provide attractive returns to investors, and should perform well relative to the broader market over the long term due to their greater risk premium. Pengana has selected underlying managers that demonstrate a superior understanding of their respective markets and an ability to capitalise on this relatively inefficient asset class. The Fund currently invests in three regions: North America, Europe and Asia, with the Benchmark equally weighted between the three regions. The Fund is passively rebalanced back to the Benchmark, and exposure to international investments hedged back into Australian dollars, with the intention of covering the Fund’s exposure to currency risk.

Awards

Finalist – Standard & Poor’s Fund Awards 2007 (International Equities – Diversified)

Performance

Accumulated Fund and Comparative Benchmark Performance Since Inception to end February 2011

• Pengana Global Small Companies Solution
• Global Small Companies Benchmark*

^* 1/3 US – Russell 2000, 1/3 Europe – HSBC Smaller Europe, 1/3 Asia – MSCI Japan Small Cap Index
Performance figures are shown after all fees and expenses and assume reinvestment of distributions. Past performance is not a reliable indicator of future performance. The value of investments can go up and down.

Fund Performance - Net of all Fees and Expenses as at end February 2011

• Pengana Global Small Companies Solution
• Global Small Companies Benchmark*

Fund Performance - Net of all Fees and Expenses as at end February 2011

Fund Name and Comparative Benchmarks	1 mth	3 mths	6 mths	1 year	3 yrs p.a.	5 yrs p.a.	Since Inception p.a.	Latest Report
Pengana Global Small Companies Solution	1.9%	9.2%	27.0%	32.0%	0.2%	-3.2%	-0.4%	Click to view
Global Small Companies Benchmark*	2.0%	10.1%	23.8%	24.0%	1.2%	-5.6%	-2.4%

Investment Strategies

Global small companies have the potential to provide attractive returns to investors. Small companies should perform well relative to the broader market over the long term due to their greater risk premium. Small cap investment managers have also demonstrated a significant ability to outperform their benchmarks within this relatively inefficient asset class.

The Fund uses a multi manager approach, investing with regional small company investment specialists to produce a global portfolio. To maximise the returns generated the Fund uses active investment managers with portfolios that are not overly diversified.

Pengana believes that this regional multi manager approach is superior to that adopted by most global small company managers for the following reasons:

• The correlation and integration between smaller companies within different regions is relatively low
• Industry factors are becoming more influential for large companies, smaller companies are typically more affected by country and regional factors
• Proximity to the local markets and an appreciation of their main characteristics is a significant benefit
• Local specialists have a greater ability to visit companies, meet senior management and monitor developments.

Pengana has selected underlying managers that demonstrate a superior understanding of their respective markets and an ability to capitalise on this advantage. Pengana’s rigorous research and monitoring process incorporates:

• At least annual on site meetings with each underlying manager
• Monthly monitoring of performance, risk and other significant developments
• Application of its expertise in asset management, risk management, operations and marketing
• The use of an external research house to assist in the identification and assessment of potential managers.

The Fund currently invests in three regions: North America, Europe and Asia. The Benchmark is equally weighted between the three regions and the Fund is passively rebalanced back to the Benchmark.

Each underlying manager is allocated a portion of the Fund’s assets to manage and is subject to limits imposed on the instruments and securities they may trade.

The Fund’s exposure to international investments has been hedged back into Australian dollars, with the intention of covering the Fund’s exposure to currency risk.

Fund Managers

Nick Griffiths - Director & Chief Investment Officer The Pengana Global Small Companies Solution uses a multi manager approach, investing with regional small company investment specialists to produce a global portfolio. Small companies have the potential to provide attractive returns to investors, and should perform well relative to the broader market over the long term due to their greater risk premium. Pengana has selected underlying managers that demonstrate a superior understanding of their respective markets and an ability to capitalise on this relatively inefficient asset class. The Fund currently invests in three regions: North America, Europe and Asia, with the Benchmark equally weighted between the three regions. The Fund is passively rebalanced back to the Benchmark, and exposure to international investments hedged back into Australian dollars, with the intention of covering the Fund’s exposure to currency risk.

Reports

Performance report	February 2011	Click to view

Financial report	June 2009	Click to view

Click here to view the report archive

Unit Prices

Pengana Global Small Companies Solution

Date	Application A$	Redemption A$	Distribution A$	History
31/05/2011	0.8670	0.8601		Click to view

Ratings and Independent Research

Standard & Poor's	3 Stars*	Click to view Please confirm that you are a Financial Adviser: Yes, I am a Financial Adviser No, I am not a Financial Adviser

*To the extent that any ratings, opinions or other information of Standard & Poors Information Services (Australia) Pty Ltd (ABN: 17 096 167 556, Australian Financial Services Licence Number: 258896) (Standard & Poors) constitutes general advice, this advice has been prepared by Standard & Poors without taking into account any particular persons financial or investment objectives, financial situation or needs. Before acting on any advice, any person using the advice should consider its appropriateness having regard to their own or their clients objectives, financial situation and needs. You should obtain a Product Disclosure Statement relating to the product and consider the statement before making any decision or recommendation about whether to acquire the product. Past performance is not a reliable indicator of future performance. Ratings can change or cease at any time and should not be relied upon without referring to the meaning of the rating. For more information regarding ratings please call S&P Customer Service on 1300 792 553 and also refer to Standard & Poors Financial Services Guide at www.fundsinsights.com. Each analytic product or service of Standard & Poors is based on information received by the analytic group responsible for such product or service. S&P and Standard & Poors are trademarks of The McGraw-Hill Companies, Inc. 2010 Standard & Poors Information Services (Australia) Pty Limited.