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N A V I G A T O R

MLC Navigator Access Investment OptionsProduct Disclosure Statement

2 October 2010

Disclaimer

This Product Disclosure Statement (‘PDS’) is issued by Navigator Australia Limited ABN 45 006 302 987 Australian Financial Services Licence (‘AFSL’) 236466 (‘Navigator’). It describes the main features of the MLC Navigator Access Investment Options (‘Investment Options’), a range of separately registered managed investment schemes. Navigator is part of the MLC and NAB wealth management division of the National Australia Bank Group (‘NAB Group’). Navigator is ultimately owned by National Australia Bank Limited ABN 12 004 044 937, AFSL 230686 (‘NAB’).

In this PDS Navigator is referred to as ‘us’, ‘we’, ‘our’, ‘operator’ and ‘administrator’. Navigator is also the operator of MLC Navigator Access Investment and the administrator of MLC Navigator Access Super and Pension.

This PDS is only for use by current investors of the MLC Navigator Access Investment (‘the Investment Service’) or MLC Navigator Access Super and Pension (‘the Super and Pension Service’).

Throughout this PDS, the term ‘Offer Document’ is used to describe both the Investor Direct Portfolio Service (‘IDPS’) Guide for the Investment Service and the Product Disclosure Statement (‘PDS’) for the Super and Pension Service.

None of Navigator, NAB, their related bodies corporate nor their respective officers guarantees or accepts liablity in respect of any investment available through the Investment Options.

In preparing this PDS, Navigator has not taken into account the investment objectives, financial situation or particular needs of any particular person. Before you make an investment decision on the basis of information contained in this PDS, you need to consider, with or without the assistance of a financial adviser, whether investments in the Investment Options are appropriate in light of your particular investment needs, objectives and financial circumstances.

This PDS is made available electronically. The offer or invitation to which this PDS relates is only available to persons receiving a copy (including an electronic copy) of this PDS within Australia. Some of the information contained in this PDS may change from time to time. Where those changes are not materially adverse from the point of view of a reasonable person deciding, as a retail client, whether to invest in the Investment Options, the updated information will be made available through our website mlc.com.au or a paper copy of the updated information will be provided without charge on request if you call Client Services on 1300 428 482.

Contacting us

1300 428 482 Monday to Friday 8.00am to 6.00pm Melbourne Time

[email protected]

mlc.com.au

Client Services Navigator Australia Limited GPO Box 2567 Melbourne Victoria 3001

Facsimile: (03) 9869 1595

Contents

Investment Options – at a glance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2

Choosing an investment that is right for you . . . . . . . . . . . . . . . . . . . . . 4

Understanding risk and return . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Information on investments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Investing in the Investment Options . . . . . . . . . . . . . . . . . . . . . . . . . . 18

Fees and other costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21

Additional information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

2

Section one

Investment Options – at a glance

Management Costs1 (% p.a.)

Buy/Sell 3 (%) Page

Cash

Access Cash 1 .35 Nil 9

Fixed Interest

Access Aviva Investors Premier Fixed IncomeAccess EQT PIMCO Global Bond

1 .701 .80

0 .300 .10

99

Diversified

Access Pre Select ConservativeAccess Pre Select BalancedAccess Pre Select GrowthAccess Pre Select High GrowthAccess ING Tax Effective Income

1 .851 .901 .952 .102 .15

0 .170 .240 .300 .35Nil

1010101111

Property

Access Property Securities IndexAccess Macquarie Property SecuritiesAccess CFS Colliers International Property Securities

1 .651 .902 .15

0 .400 .600 .60

111212

Australian Equity

Access Australian Share IndexAccess Pre Select Australian EquityAccess Pre Select Boutique Australian EquityAccess Perpetual Geared Australian EquityAccess Pre Select Australian Small CompaniesAccess Investors Mutual Australian ShareAccess Perpetual IndustrialAccess Aviva Investors High Growth SharesAccess Schroder Australian Equity

1 .652 .002 .251 .67(g) 4 .18% (n) 4

2 .252 .052 .052 .252

2 .15

0 .400 .320 .600 .760 .540 .500 .300 .300 .60

121313131414141515

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 .

3


Buy/Sell 3 (%) Page

International Equity

Access International Shares Index

Access Pre Select International Equity

Access AXA Global Equity Value

Access Aberdeen Actively Hedged International Equities Fund

Access Perpetual International Share

Access Platinum International

1 .75

2 .15

2 .20

2 .20

2 .30

2 .70

0 .40

0 .46

0 .40

0 .50

0 .50

0 .50

15

16

16

16

17

17

Each of the above Investment Options is a registered managed investment scheme, details of which are set out on page 32 of this PDS . Navigator is the Responsible Entity of each scheme .

1 . For further information on fees please refer to the section titled ‘Fees and other costs’ on page 21 .

2 . An additional performance fee may also be applicable . Please refer to the section titled ‘Performance fees’ on page 23 for further information .

3 . Please refer to ‘Transaction costs (buy/sell spread)’ section on page 23 for details on any additional sell spread that may be payable on withdrawals .

4 . The management cost for the Access Perpetual Geared Australian Equity Investment Option is an estimated figure calculated on the gross (g) assets of the Investment Option (gross management cost) and the net (n) assets of the Investment Option (net management cost) assuming (in both cases) a gearing ratio of 60% (see page 22 for information about gearing levels relevant to this Investment Option) . The gearing level is the underlying fund’s borrowings divided by the total gross value of assets . The gearing level will depend on the present levels and future expectation of the underlying fund’s net income (income after fees and expenses and excluding franking credits) and the cost of borrowings . Gearing levels will vary from year to year . For example, if the average gearing level over the year is 50%, the gross management cost will be 1 .80% and the net management cost will be 3 .59% . If the average gearing level over the year is higher than 50%, the gross management cost will be lower and net management cost will be higher . The gross management cost percentage is lower than the net management cost percentage because the assets of the Investment Option used in calculating this figure include assets purchased through borrowings . When comparing costs with other Investment Options, you should use the net management cost percentage as this represents the fees charged as a percentage of your investment .

4

Section two

Choosing an investment that is right for you

Your financial adviser can review your situation, assess your financial needs and objectives and tailor a financial plan to meet your requirements .

We appreciate that most people want to take control and have a say in the way their money is invested while taking away the complexity . Our flexible solutions offer you an effective and convenient way of investing .

An investment… as individual as youWith the assistance of your financial adviser, you can select from the range of Investment Options to suit your specific requirements . They have an affordable and competitive fee structure and are all available in the one place .

Through the Investment Options, you have access to four major asset classes:

■ cash

■ property

■ fixed interest

■ shares

Within each asset class the Investment Options offer a range of different market sectors and management styles allowing you to diversify your investments and spread your risk . You have the flexibility of choosing from the Access Pre Select (multi-manager) or Self Select (single manager) Investment Options . For specific details on Investment Options, refer to pages 9 to 17 .

Underlying investment managersThe Investment Options enable you to access investment managers from around the world . The investment managers currently appointed as at 31 August 2010 are:

■ 452 Capital Limited (‘452 Capital’)#

■ Aberdeen Asset Management Limited (‘Aberdeen’)

■ Adam Smith Asset Management Pty Limited (‘Adam Smith’)#

■ nabInvest Capital Partners Pty Ltd (‘Antares Fixed Income’)

■ Aviva Investors Australia Limited (‘Aviva Investors’)

■ AXA Australia^ (‘AllianceBernstein’)

■ Ausbil Dexia Limited (‘Ausbil Dexia’)#

■ BlackRock Asset Management (Australia) Limited

(‘BlackRock AM’)#

■ BlackRock Investment Management (Australia) Limited

(‘BlackRock IM’)#

■ Capital International, Inc . (‘Capital International’)#

■ Colonial First State Investments Limited (‘Colonial First State’)

■ Greencape Capital Pty Ltd (‘Greencape Capital’)#

■ Independent Asset Management Pty Ltd (‘Independent’)#

■ ING Investment Management Limited (‘ING’)

■ Investors Mutual Limited (‘Investors Mutual’)

■ JF Capital Partners Limited (‘JF Capital Partners’)#

■ Macquarie Investment Management Limited (‘Macquarie’)

■ Perennial Real Estate Investments Pty Ltd (‘Perennial’)*#

■ Perpetual Investment Management Limited (‘Perpetual’)

■ PIMCO Australia Pty Ltd (‘PIMCO’)

■ Platinum Investment Management Limited (‘Platinum’)

■ Schroder Investment Management Australia Limited (‘Schroder’)

■ Vanguard Investments Australia Limited (‘Vanguard’)#

# Only available through some of the multi-manager Pre Select Investment Options

^ Trading name for National Mutual Funds Management Limited

* Subsidiary and Authorised Representative of Perennial Investment Partners Limited

5

Section three

Understanding risk and return

Any investment decision involves some level of risk .

It is important you understand the relationship between risk and return prior to making your investment decision, especially in light of the time frame you are considering for your investment .

As a general rule, the higher the potential return, the higher the level of risk you must be prepared to accept .

Risk relates to the potential for variations in the rate of

return as well as for the loss of, or reduction in the value of, the assets in which you invest . One commonly used measure of investment risk is volatility . This refers to the tendency of investment values to fluctuate . Volatility can apply to both the market price and the income of a particular investment .

The following table provides a summary of four major asset classes . The table also refers to some of the potential risks associated with each asset class .

Asset Class

Relative Risk

Relative Return

Features What to be aware of

Cash Low Low Relatively safe compared to the other asset classes, with generally immediate access to funds .

Returns fluctuate in line with market interest rates .

Fixed interest

Medium Medium Generally less volatile when compared to shares and property, however some risk of negative returns .

Returns can vary over time and may not keep pace with inflation . Access to funds is not as immediate as for Cash .

Property High Medium

to highCapital value and returns should rise with inflation in the long-term however the risk of a negative return in any one year is high .

Property markets are subject to medium-term volatility and may result in losses over the short to medium-term . Access to funds may be an issue with some investments .

Shares High High Returns should be greater than inflation over the longer-term . Risk of a negative return in any one year is high .

Volatility of the stock market may result in losses in the short-term . Access to funds is reasonable and diversification is recommended to minimise exposure to any one investment manager, country, industry or company .

6

Risk management and other informationWhen you are investing in any of the Investment Options you should consider the liquidity, return, risk and diversification characteristics of each investment to effectively compare between them .

Liquidity

Liquidity refers to the ease with which an investment can be converted into cash or disposed of at market value .

Return

The term ‘return’ refers to the amount earned from an investment or made on its disposal .

Risk

There are different types of risks applicable to different investment funds . Some of the risks we have identified as applicable to the Investment Options include equity risk, interest rate risk, credit risk, currency risk, regulatory risk, country risk, market risk, derivatives risk, managed fund risk, counterparty risk, agency risk, investment manager risk and gearing risk . For further information regarding these risks please refer to the section titled ‘Additional information’ on page 37 .

Diversification

Diversification is the most common method used by investors to help manage exposure to risk . Diversification means spreading your investments across a number of investments with different levels of risk (eg . shares and fixed interest) .

Your financial adviser will be able to assist you in ensuring that the strategy selected meets your own risk tolerance, needs and objectives .

The relationship between risk and return

As you can see from the overview of the asset classes, there is a common relationship between risk and return . Generally, the higher the potential return of the asset class, the higher the level of risk you must be prepared to accept .

Growth assets

These assets are expected to produce a higher return over the long term, but have a higher level of risk in the short term . Growth assets such as shares can earn double digit returns in one year but have the ability to also provide single digit or even negative returns in another year . Property and equity investments are generally considered to be growth assets .

Defensive assets

Sometimes called income or conservative assets, they generally earn lower returns over the long term, however they have a correspondingly lower level of risk . The possibility of a defensive asset producing a negative return is usually lower than for growth assets . Cash and fixed interest investments are considered to be defensive assets .

7

Section four

Information on investments

Pre SelectPre Select investing involves investing with a number of different investment managers rather than investing with one or a number of single investment manager portfolios . A range of Access Pre Select Investment Options have 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 each Pre Select Investment Option’s objective and strategy, the

Pre Select investments process allocates and rebalances assets to the target asset allocation, diversifying your investment across:

■ asset classes (diversified funds)

■ investment managers

■ investment management approaches

Ongoing monitoring and review of the Access Pre Select Investment Options aim to ensures that each option continues to be structured to meet its investment objectives .

The below graph illustrates in general terms, the long-term potential risk return properties of the Access Pre Select Investment Options.

LOw

er

HIg

Her

Long-term potential volatility

Long

-ter

m p

oten

tial

retu

rns

Conservative Fund

Equity Funds

High Growth Fund

Growth Fund

Balanced Fund

LOwer HIgHer

8

We have engaged the services of specialist multi-manager National Corporate Investment Services Limited ABN 38 055 638 474, AFSL No . 230687 (‘NCIS’) . In this role, NCIS monitors the investment structure and performance of each of the Access Pre Select Investment Options with the exception of Access Pre Select Boutique Australian Equity investment option and recommends the percentage to invest in each asset class and with each underlying investment manager .

As markets and managers change over time we may alter the target asset allocations and underlying investment managers for the Pre Select Investment Options at our discretion . Current information can be obtained from your financial adviser or mlc .com .au .

Self SelectThe Self Select range of Investment Options is designed to be as individual as you are . This is ideal for individuals with specific needs . Self Select allows you and your financial adviser to further tailor your investments to suit your financial requirements and risk profile by selecting from a range of 18 single manager Investment Options .

Investment Option detailsThe following pages contain the descriptions of strategies for the Pre Select and Self Select range of Investment Options . With your financial adviser all you need to do is choose one or more Investment Option(s) that best suit your needs .

For information regarding the investment structure of the Investment Options please refer to the section titled ‘Investment structure’ on page 18 . The underlying investment managers are disclosed in the table on pages 9 to 17 . While this information is current as at the date shown, it may change from time to time . Current information can be obtained from your financial adviser or from our website mlc .com .au

For important updates on the underlying funds refer to the website as per the below links .

http://wealth .mlc .com .au/superannuation/investment_news

http://wealth .mlc .com .au/investment/investment_news

9

Access Cash Access Aviva Investors Premier Fixed Income

Access EQT PIMCO Global Bond

Strategy group Cash Fixed interest – Australian Fixed interest – international

Investment objective1

To achieve a return in the short term that is at least equal to that available in the short-term money market (before taking into account fees and taxes) .

To outperform the benchmark (75% UBS Australia Composite Bond Index and 25% Barclays Capital Global Aggregate Bond Index, hedged into AUD) over the recommended investor time horizon by investing in a broadly diversified portfolio of fixed income securities (both Australian and international) .

To achieve maximum total return by investing in global fixed interest securities and to seek to preserve capital through prudent investment management .

Strategy 2 Invests primarily in bank deposits and money-market 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 .

Seeks to enhance returns and improve diversification by including high yield fixed income securities and exposure to bonds issued by overseas governments .

Applies a wide range of diverse strategies including duration, credit analysis, relative value analysis, sector rotation and security selection .

Appropriate Investor

For both short and long-term investors seeking a low risk investment with regular income and capital preservation .

Investors seeking a relatively low risk investment providing income and some capital growth over the medium to longer term .

Investors who wish to have a broadly diversified exposure to international fixed interest markets .

Investor time horizon

At least one year Minimum three years Minimum three years


1 .35 1 .70 1 .80

Buy/sell spreads3 (%)

Nil 0 .30 0 .10

Asset allocation at 30 June 2010 (%)

Cash 100 .0 Cash 4 .2

Australian Fixed Interest 59 .2

International Fixed Interest 26 .4

High Yield Securities 10 .2



Underlying investment managers as at 31 August 2010

(For index investment options the market index is shown)

Antares Fixed Income Aviva Investors PIMCO

1 . The objectives are not a forecast or guarantee of the possible performance of the Investment Options in the future . These objectives should be read in conjunction with the risks outlined on pages 5 and 6 .

2 . This is the means by which Investment Options seek to achieve their investment objectives and the grounds on which the Investment Options’ objectives are set .

3 . For further information on fees and costs, please refer to the section titled ‘Fees and other costs’ on page 21 .

10

Access Pre Select Conservative

Access Pre Select Balanced Access Pre Select Growth

Access Pre Select High Growth

Access ING Tax Effective Income

Access Property Securities Index

Strategy group Diversified – income Diversified – balanced Diversified – growth Diversified – aggressive Diversified – growth Property – Australian listed


To provide medium-term returns higher than those generally associated with cash and fixed interest securities, while providing lower volatility in short-term investment returns than funds with a greater proportion of growth assets .

To provide medium to long-term returns that are generally higher than those achievable by investing in capital stable funds .

To produce higher returns than those expected from capital stable and balanced strategies over the long term

To provide higher returns than those expected from capital stable, balanced and growth strategies over the long-term .

The fund aims to provide income and achieve returns (before fees, charges, and taxes) that on average exceed inflation by at least 5 .0% per annum, over periods of 5 years or more .

To closely track the S&P/ASX 200 Property Accumulation Index with the aim of generating returns (before tax and fees and assuming income reinvestment) comparable to the listed property sector of the Australian share market, as measured by that benchmark .

Strategy 2 To invest a high proportion of assets in cash and fixed interest securities with the balance in growth assets . The likelihood of the portfolio incurring a negative return in any particular year is moderate .

To maintain 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 maintain 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 .

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 .

The fund invests in a diversified mix of Australian assets with a bias towards income producing growth assets . The fund is actively managed in accordance with ING Investment Management’s investment process .

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 Property Accumulation Index . All shares in this option are maintained within a very close margin to their weight in the index . The Investment Option predominantly invests in Australian property securities and therefore does not hedge currency risk .


Investors seeking stable returns . Investors who are not concerned about a moderate level of short-term volatility of returns .

Investors who feel comfortable with a higher than average degree of volatility in order to achieve long-term returns .

Investors seeking higher returns with a focus on long-term outcomes combined with little regard for short-term results, including a higher incidence of capital loss .

Investors with a long-term view seeking exposure to a diversified portfolio with an emphasis on growth assets, such as listed shares .

Investors with a long-term view seeking indirect exposure to property markets via property trusts listed on the Australian Securities Exchange .


Minimum three years Minimum five years Minimum six years Minimum seven years Minimum five years Minimum three to five years


1 .85 1 .90 1 .95 2 .10 2 .15 1 .65


0 .17 0 .24 0 .30 0 .35 Nil 0 .40


Cash 20 .3



Australian Property 3 .9

Australian Shares 12 .8

International Shares 12 .8

Cash 10 .2






Cash 2 .0






Cash 1 .1






Cash 0 .8




Cash 0 .20





AllianceBernstein, Antares Fixed Income, BlackRock AM, BlackRock IM, Colonial First State, Macquarie, Perennial, Perpetual, Vanguard, Capital International, Aviva Investors, Adam Smith




ING S&P/ASX 200 Property Accumulation Index




11

Access Pre Select Conservative

Access Pre Select Balanced Access Pre Select Growth

Access Pre Select High Growth

Access ING Tax Effective Income

Access Property Securities Index

Strategy group Diversified – income Diversified – balanced Diversified – growth Diversified – aggressive Diversified – growth Property – Australian listed


To provide medium-term returns higher than those generally associated with cash and fixed interest securities, while providing lower volatility in short-term investment returns than funds with a greater proportion of growth assets .

To provide medium to long-term returns that are generally higher than those achievable by investing in capital stable funds .

To produce higher returns than those expected from capital stable and balanced strategies over the long term

To provide higher returns than those expected from capital stable, balanced and growth strategies over the long-term .

The fund aims to provide income and achieve returns (before fees, charges, and taxes) that on average exceed inflation by at least 5 .0% per annum, over periods of 5 years or more .

To closely track the S&P/ASX 200 Property Accumulation Index with the aim of generating returns (before tax and fees and assuming income reinvestment) comparable to the listed property sector of the Australian share market, as measured by that benchmark .

Strategy 2 To invest a high proportion of assets in cash and fixed interest securities with the balance in growth assets . The likelihood of the portfolio incurring a negative return in any particular year is moderate .

To maintain 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 maintain 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 .

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 .

The fund invests in a diversified mix of Australian assets with a bias towards income producing growth assets . The fund is actively managed in accordance with ING Investment Management’s investment process .

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 Property Accumulation Index . All shares in this option are maintained within a very close margin to their weight in the index . The Investment Option predominantly invests in Australian property securities and therefore does not hedge currency risk .


Investors seeking stable returns . Investors who are not concerned about a moderate level of short-term volatility of returns .

Investors who feel comfortable with a higher than average degree of volatility in order to achieve long-term returns .

Investors seeking higher returns with a focus on long-term outcomes combined with little regard for short-term results, including a higher incidence of capital loss .

Investors with a long-term view seeking exposure to a diversified portfolio with an emphasis on growth assets, such as listed shares .

Investors with a long-term view seeking indirect exposure to property markets via property trusts listed on the Australian Securities Exchange .


Minimum three years Minimum five years Minimum six years Minimum seven years Minimum five years Minimum three to five years


1 .85 1 .90 1 .95 2 .10 2 .15 1 .65


0 .17 0 .24 0 .30 0 .35 Nil 0 .40


Cash 20 .3






Cash 10 .2






Cash 2 .0






Cash 1 .1






Cash 0 .8




Cash 0 .20









ING S&P/ASX 200 Property Accumulation Index

12

Access Macquarie Property Securities

Access CFS Colliers International Property Securities

Access Australian Shares Index

Access Pre Select Australian Equity Access Pre Select Boutique Australian Equity

Access Perpetual Geared Australian Equity

Strategy group Property – Australian listed Property – diversified Australian equities – growth Australian equities – growth Australian equities – growth Australian equities – growth


The fund aims to outperform the S&P/ ASX 200 Property Trust Accumulation Index over the medium to long term (before fees) .

To maximise the total return to the investor by investing in a broad selection of liquid global property investments from around the world .

To closely track the S&P/ASX 200 Accumulation Index with the aim of generating returns (before tax and fees and assuming income reinvested) comparable to the Australian sharemarket as measured by that benchmark .

To provide medium to long-term capital growth and income by primarily investing in a well diversified portfolio of Australian equities listed on the Australian Securities Exchange .

Seeks to outperform the S&P/ASX 300 Accumulation Index over rolling three-year periods .

Aims to enhance long-term capital growth through borrowing (gearing) to invest in quality industrial and resources shares and other securities .4

Strategy 2 The Fund provides access to a broad range of listed property securities by investing in securities directly and via other Macquarie managed funds . The Fund will predominantly have exposure to property securities listed on the Australian Securities Exchange . To increase diversification and with the aim of enhancing returns, a proportion of the Fund may have exposure to overseas listed property securities, listed property development companies and securities demonstrating similar investment characteristics to listed property securities such as infrastructure securities .

Invests in a range of global listed property securities identified from macroeconomic research focusing on geographic locations and sub-sectors of overseas property markets that are benefiting from strong fundamentals and bottom up research to source attractive securities .

Detailed risk analysis is used to design a portfolio of shares which provide the greatest likelihood of matching performance of the S&P/ASX 200 Accumulation Index . All shares in this option are maintained within a very close margin to their weight in the index . The Investment Option predominantly invests in Australian companies and therefore doesn’t hedge currency risk .

To invest in a variety of Australian companies whose share price is expected to appreciate over time . These investments are made through specialist Australian equity investment managers . The likelihood of this portfolio incurring a negative return in any particular year is high .

The Investment option is designed to provide investors with a ‘manage–the-manager’ Australian share portfolio utilising the investment manager expertise of boutique Australian share managers . The key to producing the best possible performance for investors is by selecting a small number of specialist active managers to run concentrated portfolios of securities that they believe have the most potential to out perform .

Perpetual researches companies of all sizes using consistent share selection criteria . Perpetual’s priority is to select those companies that represent the best investment quality and are appropriately priced . In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and in the case of industrial shares, recurring earnings .

The gearing level 5 is kept within pre-determined guidelines (0-60%) . Within these guidelines, Perpetual aims to ensure that the gearing level is maximized subject to the cost of borrowing being adequately covered by net income .


Investors with a long-term view seeking indirect exposure to property markets via property trusts generally listed on the Australian Securities Exchange .

Investors with a long-term view seeking to diversify their property investment portfolio through investment in overseas listed property securities .

Investors with a long-term view seeking exposure to the Australian listed sharemarket .

Investors looking for a portfolio of Australian equities who are comfortable with considerable medium-term fluctuations, including the risk of medium-term negative returns, and who are investing over a longer term .


Investors looking for long-term capital growth and income via exposure to a portfolio of geared Australian shares .


Minimum five years Minimum three to five years Minimum five years Minimum eight years Minimum eight years Minimum seven years


1 .90 2 .15 1 .65 2 .00 2 .25 1 .67(g), 4 .18 (n) 6


0 .60 0 .60 0 .40 0 .32 0 .60 0 .76


Cash 3 .2


Cash 2 .89

International Property 97 .11

Cash 0 .34



Cash 1 .0


Cash 1 .20



Cash 1 .72




Macquarie Colonial S&P/ASX 200 Accumulation Index

Adam Smith, BlackRock AM, Perpetual 4, Aviva Investors

JF Capital Partners, Ausbil Dexia, 452 Capital, Greencape Capital, Independent

Perpetual




4 . The underlying fund’s investment universe allows it to invest, directly or indirectly, in stocks listed or to be listed on sharemarket exchanges outside Australia . Exposure to stocks outside of Australia is limited to 20% and currency exposure is generally unhedged .

13

Access Macquarie Property Securities

Access CFS Colliers International Property Securities

Access Australian Shares Index

Access Pre Select Australian Equity Access Pre Select Boutique Australian Equity

Access Perpetual Geared Australian Equity

Strategy group Property – Australian listed Property – diversified Australian equities – growth Australian equities – growth Australian equities – growth Australian equities – growth


The fund aims to outperform the S&P/ ASX 200 Property Trust Accumulation Index over the medium to long term (before fees) .

To maximise the total return to the investor by investing in a broad selection of liquid global property investments from around the world .

To closely track the S&P/ASX 200 Accumulation Index with the aim of generating returns (before tax and fees and assuming income reinvested) comparable to the Australian sharemarket as measured by that benchmark .

To provide medium to long-term capital growth and income by primarily investing in a well diversified portfolio of Australian equities listed on the Australian Securities Exchange .

Seeks to outperform the S&P/ASX 300 Accumulation Index over rolling three-year periods .

Aims to enhance long-term capital growth through borrowing (gearing) to invest in quality industrial and resources shares and other securities .4

Strategy 2 The Fund provides access to a broad range of listed property securities by investing in securities directly and via other Macquarie managed funds . The Fund will predominantly have exposure to property securities listed on the Australian Securities Exchange . To increase diversification and with the aim of enhancing returns, a proportion of the Fund may have exposure to overseas listed property securities, listed property development companies and securities demonstrating similar investment characteristics to listed property securities such as infrastructure securities .

Invests in a range of global listed property securities identified from macroeconomic research focusing on geographic locations and sub-sectors of overseas property markets that are benefiting from strong fundamentals and bottom up research to source attractive securities .

Detailed risk analysis is used to design a portfolio of shares which provide the greatest likelihood of matching performance of the S&P/ASX 200 Accumulation Index . All shares in this option are maintained within a very close margin to their weight in the index . The Investment Option predominantly invests in Australian companies and therefore doesn’t hedge currency risk .

To invest in a variety of Australian companies whose share price is expected to appreciate over time . These investments are made through specialist Australian equity investment managers . The likelihood of this portfolio incurring a negative return in any particular year is high .

The Investment option is designed to provide investors with a ‘manage–the-manager’ Australian share portfolio utilising the investment manager expertise of boutique Australian share managers . The key to producing the best possible performance for investors is by selecting a small number of specialist active managers to run concentrated portfolios of securities that they believe have the most potential to out perform .

Perpetual researches companies of all sizes using consistent share selection criteria . Perpetual’s priority is to select those companies that represent the best investment quality and are appropriately priced . In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and in the case of industrial shares, recurring earnings .

The gearing level 5 is kept within pre-determined guidelines (0-60%) . Within these guidelines, Perpetual aims to ensure that the gearing level is maximized subject to the cost of borrowing being adequately covered by net income .


Investors with a long-term view seeking indirect exposure to property markets via property trusts generally listed on the Australian Securities Exchange .

Investors with a long-term view seeking to diversify their property investment portfolio through investment in overseas listed property securities .


Investors looking for a portfolio of Australian equities who are comfortable with considerable medium-term fluctuations, including the risk of medium-term negative returns, and who are investing over a longer term .


Investors looking for long-term capital growth and income via exposure to a portfolio of geared Australian shares .


Minimum five years Minimum three to five years Minimum five years Minimum eight years Minimum eight years Minimum seven years


1 .90 2 .15 1 .65 2 .00 2 .25 1 .67(g), 4 .18 (n) 6


0 .60 0 .60 0 .40 0 .32 0 .60 0 .76


Cash 3 .2


Cash 2 .89

International Property 97 .11

Cash 0 .34



Cash 1 .0


Cash 1 .20



Cash 1 .72




Macquarie Colonial S&P/ASX 200 Accumulation Index

Adam Smith, BlackRock AM, Perpetual 4, Aviva Investors

JF Capital Partners, Ausbil Dexia, 452 Capital, Greencape Capital, Independent

Perpetual

5 . The gearing level is the underlying fund’s borrowings divided by the total gross value of the assets . The gearing level will depend on the present levels and future expectation of the underlying fund’s net income (income after fees and expenses excluding franking credits) and the cost of borrowings . For more information about the underlying fund’s gearing strategy, see page 23 .

6 . The management cost is an estimated figure calculated on the gross (g) assets of the Investment Option (gross management cost) and net (n) assets of the Investment Option (net management cost) assuming (in both cases) a gearing ratio of 60% (see page 19 for information about gearing levels relevant to this Investment Option) . Gearing levels will vary from year to year . For example, if the average gearing level over the year is 50%, the gross management cost will be 1 .80% and the net management cost will be 3 .59% . If the average gearing level over the year is higher than 50%, the gross management cost will be lower and net management cost will be higher . The gross management cost percentage is lower than the net management cost percentage because the assets of the Investment Option used in calculating this figure includes assets purchased through borrowings . When comparing costs with other Investment Options, you should use the net management cost percentage as this represents the fees charged as a percentage of your investment .

14

Access Pre Select Australian Small Companies

Access Investors Mutual Australian Shares

Access Perpetual Industrial Access Aviva Investors High Growth Shares

Access Schroder Australian Equity Access International Shares Index

Strategy group Australian equities – smaller companies

Australian equities – imputation Australian equities – imputation Australian equities – growth Australian equities – growth International equities – global


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

Aims to provide investors with a total return that is superior to that provided by the S&P/ASX 300 Accumulation Index, over rolling 4-year periods .

Aims to provide long-term capital growth and income through investment in quality Australian industrial shares and other securities .

To significantly outperform the S&P/ASX 200 Accumulation Index over the long term by investing in a diversified portfolio of Australian Shares .

To outperform the S&P/ASX 200 Accumulation Index over the medium to longer term (3 to 5 years) .

To closely track the MSCI World ex Australia Index with the aim of generating returns (before tax and fees and assuming income reinvested) comparable to the world sharemarkets as measured by that benchmark (unhedged) .

Strategy 2 To invest in a variety of Australian small companies considered to possess strong capital growth potential . These investments are made through specialist managers that exhibit varying investment approaches . The likelihood of this portfolio incurring a negative return in any particular year is very high

Invests in a diversified portfolio of quality Australian industrial and resource shares, where these shares are identified by the investment team as being undervalued .

Perpetual researches companies of all sizes using consistent share selection criteria . Perpetual’s priority is to select those companies that represent the best investment quality and are appropriately priced . In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and recurring earnings .

Uses a range of investment techniques (such as short selling, active trading and enhanced long positions) aimed at providing investors with the opportunity to enhance returns . The long and short positions provide investors with a gross exposure to the sharemarket of up to 150% . This trust is actively traded and returns are taxed on a revenue basis .

To invest predominantly in stocks characterised by strong returns on capital and a sustainable business franchise using a fundamental, bottom up, active management style .

Detailed risk analysis is used to design a portfolio of shares which provide the greatest likelihood of matching performance of the MSCI ex Australia Index . This Investment Option does not hedge currency risk .


Investors with a long-term view seeking exposure to smaller capitalisation securities listed on the Australian sharemarket and are comfortable with considerable medium-term fluctuations in returns .

Investors who are seeking a better than average return from a diversified managed portfolio of shares in Australian Companies .

Investors seeking long-term capital growth and income through exposure to Australian listed shares paying a relatively high level of franked dividends .


Investors predominantly seeking growth, but also accept that the value of their investment can change .

Investors with a long-term view seeking exposure to international shares and willing to accept negative returns from time to time for returns that can be expected to be higher than other asset classes over the longer term .


Minimum eight years Minimum five years Minimum five years Minimum five years Minimum three to five years Minimum five years


2 .25 2 .05 2 .05 2 .25

plus a performance fee equivalent to 20% of the performance of the underlying fund in excess of the index plus 5% p .a .

2 .15 1 .75


0 .54 0 .50 0 .30 0 .30 0 .60 0 .40


Australian Shares 100 .0 Cash 6 .23


Cash 2 .81




Cash 0 .6


Cash 1 .7


Cash 5 .10




Adam Smith, Aviva Investors Investors Mutual Perpetual Aviva Investors Schroder MSCI World ex Australia Index




15

Access Pre Select Australian Small Companies

Access Investors Mutual Australian Shares

Access Perpetual Industrial Access Aviva Investors High Growth Shares

Access Schroder Australian Equity Access International Shares Index

Strategy group Australian equities – smaller companies

Australian equities – imputation Australian equities – imputation Australian equities – growth Australian equities – growth International equities – global


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

Aims to provide investors with a total return that is superior to that provided by the S&P/ASX 300 Accumulation Index, over rolling 4-year periods .

Aims to provide long-term capital growth and income through investment in quality Australian industrial shares and other securities .

To significantly outperform the S&P/ASX 200 Accumulation Index over the long term by investing in a diversified portfolio of Australian Shares .

To outperform the S&P/ASX 200 Accumulation Index over the medium to longer term (3 to 5 years) .

To closely track the MSCI World ex Australia Index with the aim of generating returns (before tax and fees and assuming income reinvested) comparable to the world sharemarkets as measured by that benchmark (unhedged) .

Strategy 2 To invest in a variety of Australian small companies considered to possess strong capital growth potential . These investments are made through specialist managers that exhibit varying investment approaches . The likelihood of this portfolio incurring a negative return in any particular year is very high

Invests in a diversified portfolio of quality Australian industrial and resource shares, where these shares are identified by the investment team as being undervalued .

Perpetual researches companies of all sizes using consistent share selection criteria . Perpetual’s priority is to select those companies that represent the best investment quality and are appropriately priced . In determining investment quality, investments are carefully selected on the basis of four key investment criteria: conservative debt levels, sound management, quality business, and recurring earnings .

Uses a range of investment techniques (such as short selling, active trading and enhanced long positions) aimed at providing investors with the opportunity to enhance returns . The long and short positions provide investors with a gross exposure to the sharemarket of up to 150% . This trust is actively traded and returns are taxed on a revenue basis .

To invest predominantly in stocks characterised by strong returns on capital and a sustainable business franchise using a fundamental, bottom up, active management style .

Detailed risk analysis is used to design a portfolio of shares which provide the greatest likelihood of matching performance of the MSCI ex Australia Index . This Investment Option does not hedge currency risk .


Investors with a long-term view seeking exposure to smaller capitalisation securities listed on the Australian sharemarket and are comfortable with considerable medium-term fluctuations in returns .

Investors who are seeking a better than average return from a diversified managed portfolio of shares in Australian Companies .

Investors seeking long-term capital growth and income through exposure to Australian listed shares paying a relatively high level of franked dividends .


Investors predominantly seeking growth, but also accept that the value of their investment can change .



Minimum eight years Minimum five years Minimum five years Minimum five years Minimum three to five years Minimum five years


2 .25 2 .05 2 .05 2 .25

plus a performance fee equivalent to 20% of the performance of the underlying fund in excess of the index plus 5% p .a .

2 .15 1 .75


0 .54 0 .50 0 .30 0 .30 0 .60 0 .40


Australian Shares 100 .0 Cash 6 .23


Cash 2 .81




Cash 0 .6


Cash 1 .7


Cash 5 .10




Adam Smith, Aviva Investors Investors Mutual Perpetual Aviva Investors Schroder MSCI World ex Australia Index

16




Access Perpetual International Share Access Platinum International

Strategy group International equities – global International equities – global International equities – global International equities – global International equities – global


To provide medium to long-term capital growth by primarily investing in a well diversified portfolio of equities listed on stock exchanges around the world .

To provide long-term capital growth and to outperform the Morgan Stanley Capital Inter-national World Index (Net Dividends Reinvested) in Australian dollar terms, after costs and over rolling five-year periods .

To provide investors with high capital growth over the medium to long term by seeking exposure to companies listed on securities exchanges around the world .

Aims to provide long-term capital growth through investment in international shares and other securities .

The fund aims to provide capital growth over the long-term through searching out undervalued listed (and unlisted) investments around the world .

Strategy 2 To invest predominantly in international equities through specialist 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 0% to 100% at our discretion .

To invest in a diversified portfolio of global shares in companies whose share prices appear undervalued relative to long-term earnings potential .

The investment strategy of the fund is to utilise Aberdeen’s proven investment philosophy and approach to invest primarily in a concentrated portfolio of global listed securities that have the potential for capital growth and increased earning potential .

Utilises a fundamental, bottom-up approach to stock selection focusing on quality companies (strong balance sheets, earnings visibility and competitive position) with attractive valuations within a global framework . Currency exposure may be hedged up to 30% of the value of the fund .

The portfolio will ideally consist of 100 to 200 securities that Platinum believes to be undervalued by the market . Cash may be held when undervalued securities cannot be found . Platinum may short sell securities that it considers overvalued . The portfolio will typically have 50% or more net equity exposure . Derivatives may be used for risk management purposes and to increase returns . The underlying value of the Derivatives may not exceed 100% of the Net Asset Value (NAV) of the fund and the underlying value of long stock positions and Derivatives will not exceed 150% of the NAV of the fund . Currency exposures are actively managed .


Investors seeking an investment in a diversified portfolio of overseas equities who are prepared to accept potential capital losses over the short-term from adverse movements in the price of equities as well as from currency fluctuations .

Investors prepared to accept a high level of volatility and risk as a trade-off for returns that might typically be expected to be above those returned by other asset classes over the longer term .



The fund may be suited to investors who believe in the long-term wealth creation potential of share investments; wish to achieve investment diversification by accessing international share market opportunities; and accept that returns over the shorter term may fluctuate and that returns may even be negative .


Minimum eight years Minimum five years Minimum five years Five or more years Five or more years


2 .15 2 .20 2 .20 2 .30 2 .70


0 .46 0 .40 0 .50 0 .50 0 .50


Cash 1 .1


Cash 0 .71


Cash 0 .93


Cash 0 .85


Cash 14 .4



This fund has a short position of 18 .6% individual shares and indices . The fund also has a 12 .8% exposure to Japanese Government Bonds .



AllianceBernstein, Capital International, BlackRock IM, Vanguard

AllianceBernstein Aberdeen PI Investment Management Limited 4 Platinum




4 . PI Investment Management Limited (PIIML) is a wholly owned subsidiary of Perpetual Limited and is based in Dublin, Ireland . PIIML is responsible for the management of global equities .

17




Access Perpetual International Share Access Platinum International

Strategy group International equities – global International equities – global International equities – global International equities – global International equities – global


To provide medium to long-term capital growth by primarily investing in a well diversified portfolio of equities listed on stock exchanges around the world .

To provide long-term capital growth and to outperform the Morgan Stanley Capital Inter-national World Index (Net Dividends Reinvested) in Australian dollar terms, after costs and over rolling five-year periods .

To provide investors with high capital growth over the medium to long term by seeking exposure to companies listed on securities exchanges around the world .

Aims to provide long-term capital growth through investment in international shares and other securities .

The fund aims to provide capital growth over the long-term through searching out undervalued listed (and unlisted) investments around the world .

Strategy 2 To invest predominantly in international equities through specialist 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 0% to 100% at our discretion .

To invest in a diversified portfolio of global shares in companies whose share prices appear undervalued relative to long-term earnings potential .

The investment strategy of the fund is to utilise Aberdeen’s proven investment philosophy and approach to invest primarily in a concentrated portfolio of global listed securities that have the potential for capital growth and increased earning potential .

Utilises a fundamental, bottom-up approach to stock selection focusing on quality companies (strong balance sheets, earnings visibility and competitive position) with attractive valuations within a global framework . Currency exposure may be hedged up to 30% of the value of the fund .

The portfolio will ideally consist of 100 to 200 securities that Platinum believes to be undervalued by the market . Cash may be held when undervalued securities cannot be found . Platinum may short sell securities that it considers overvalued . The portfolio will typically have 50% or more net equity exposure . Derivatives may be used for risk management purposes and to increase returns . The underlying value of the Derivatives may not exceed 100% of the Net Asset Value (NAV) of the fund and the underlying value of long stock positions and Derivatives will not exceed 150% of the NAV of the fund . Currency exposures are actively managed .


Investors seeking an investment in a diversified portfolio of overseas equities who are prepared to accept potential capital losses over the short-term from adverse movements in the price of equities as well as from currency fluctuations .

Investors prepared to accept a high level of volatility and risk as a trade-off for returns that might typically be expected to be above those returned by other asset classes over the longer term .



The fund may be suited to investors who believe in the long-term wealth creation potential of share investments; wish to achieve investment diversification by accessing international share market opportunities; and accept that returns over the shorter term may fluctuate and that returns may even be negative .


Minimum eight years Minimum five years Minimum five years Five or more years Five or more years


2 .15 2 .20 2 .20 2 .30 2 .70


0 .46 0 .40 0 .50 0 .50 0 .50


Cash 1 .1


Cash 0 .71


Cash 0 .93


Cash 0 .85


Cash 14 .4



This fund has a short position of 18 .6% individual shares and indices . The fund also has a 12 .8% exposure to Japanese Government Bonds .



AllianceBernstein, Capital International, BlackRock IM, Vanguard

AllianceBernstein Aberdeen PI Investment Management Limited 4 Platinum

18

Section five

Investing in the Investment Options

How to investYou may only invest indirectly into the Investment Options, that is, through the Investment Service or the Super and Pension Service . This means you direct the operator of the Investment Service or the administrator/trustee of the Super and Pension Service to acquire units in each Investment Option on your behalf . As an indirect investor you may rely on and are authorised to use the information in this PDS to direct the operator of the Investment Service or the administrator/trustee of the Super and Pension Service to invest in each Investment Option on your behalf . To invest, simply complete the relevant form for the Investment Service or the Super and Pension Service . If you want to make an additional investment or withdraw from an Investment Option you will have to direct the operator or administrator/trustee to do so . The operator of the Investment Service and the administrator/trustee of the Super and Pension Service will provide confirmation of transactions, transaction statements, tax statements and financial reports .

Investment performance

Performance information for all Investment Options is available from:

■ your financial adviser

■ mlc .com .au

■ Client Services on 1300 428 482

Past performance should not be taken as an indication of future performance .

Investor rights

As an indirect investor, you are not a unit holder in the Investment Options . Instead, the operator of the Investment Service or the trustee of the Super and Pension Service is the direct unit holder . Accordingly, you do not acquire the rights of a unit holder of the Investment Options, or any direct interest in each of the Investment Options . Therefore:

■ you will not receive reports directly from the Investment Options, but you will get updates from the Investment Service or the Super and Pension Service through which you invest in the Investment Options

■ income distributions from each Investment Option are paid to the operator of the Investment Service or the trustee of

the Super and Pension Service and they will then allocate income to your account, less charges, in accordance with the relevant Offer Document

■ you do not vote at unit holder meetings of the Investment Options

■ there will be a time lag from when you request an investment or redemption and when it is processed

■ you do not have the right to request information from the Investment Options, though some requests may be met through the Investment Service or the Super and Pension Service

■ any complaints you have should be directed to the operator of the Investment Service or the administrator of the Super and Pension Service . For further information please refer to the section titled ‘Complaints’ on page 30

■ any cooling off rights will apply to your investment in the Investment Service or the Super and Pension Service, not to your investment in an Investment Option

DistributionsDistributions will contain net income, and may include assessable realised gains, foreign income, franked dividends and tax deferred income . For further information please refer to the section titled ‘Taxation of your investment’ on page 29 .

Each Investment Option distributes income at least annually within 90 days of the end of the relevant period . Distributions will be expressed as cents per unit . Except where the investment fund distributes income only by way of reinvestment back into the fund, distributions will be paid to your account by either the operator of the Investment Service or the administrator of the Super and Pension Service in accordance with the relevant Offer Document and any instructions you provide to either the operator or administrator . Your reporting rights and entitlements will be outlined in the relevant Offer Document .

Investment structureEach of the Investment Options is a separately registered managed investment scheme of which we are the Responsible Entity . We appoint various investment managers to manage the assets and Investment Options . These appointments are made either by investment management agreement or by

19

the Investment Option holding units in an underlying fund managed by the relevant underlying investment manager . In addition, the Investment Options also hold sufficient cash to provide liquidity to fund efficient operations .

Underlying investment managers in the Pre Select funds may be altered by us at our discretion . Where we make changes to underlying investment managers in the Self Select funds we intend to replace those managers with investment managers using similar investment styles . The underlying investment managers shown within the section titled ‘Investment Option details’ on pages 9 to 16 are only a guide and are correct as at the date shown . Material changes will be notified to the operator of the Investment Service or the administrator of the Super and Pension Service . The registered names and ARSNs of the Investment Options are listed on page 32 .

Access Perpetual Geared Australian Equity The Access Perpetual Geared Australian Equity Investment Option invests into Perpetual Wholesale Geared Australian Fund (‘Perpetual W Geared Aust Fund’) which utilises a gearing strategy with the aim of providing long term capital growth . In addition to invested funds, the Perpetual W Geared Aust Fund will borrow money to increase the size of its investment exposure . This strategy is referred to as ‘internal gearing’, i .e . the Perpetual W Geared Aust Fund itself borrows rather than the individual unit holder . As such, all obligations to the lender are met within the Perpetual W Geared Aust Fund .

The returns of an internally geared fund depend on the types of investments in the fund as well as the level of gearing and the costs of borrowing, including interest rates . A geared fund is considered to have a higher investment risk than an ungeared fund due to the magnification of gains and losses ie . gearing may enhance the returns of a fund in a rising market but may magnify the losses in a falling market .

The gearing of the Perpetual W Geared Aust Fund is managed by Perpetual Investment Management Limited (‘Perpetual Invest Mgmt Ltd’) using loan facilities which may be from a variety of sources (‘Lenders’), and may include companies associated with the Perpetual group . Where funds are borrowed from companies associated with the Perpetual group, the terms are set on a commercial basis . Lenders may receive interest payments and other fees appropriate for providing such facilities .

The Lenders may have the right to reduce the gearing level set for the Perpetual W Geared Aust Fund or terminate the lending facility . This means that the Perpetual W Geared Aust Fund may need to promptly reduce the gearing level by selling assets, which may force the sale at unfavourable prices . To control this risk, the Perpetual Invest Mgmt Ltd may establish alternate sources of funding to limit the exposure to any one lender .

The gearing level of the Perpetual W Geared Aust Fund will generally not exceed 60% and will change daily due to factors such as market movements, applications, redemptions

and changes to the level of borrowings . In certain circumstances, withdrawals in the Perpetual W Geared Aust Fund may be suspended by the Perpetual Invest Mgmt Ltd for instance, if the Perpetual W Geared Aust Fund’s gearing level exceeds 75% . If a suspension occurs, the gearing level will promptly be reduced to 60% or lower, which will lift the suspension . Withdrawal requests received by the Perpetual Invest Mgmt Ltd during the suspension will be processed using the exit price applicable after the suspension is lifted .

In the event of the Perpetual Invest Mgmt Ltd suspending withdrawals in the Perpetual W Geared Aust Fund, withdrawals from this Investment Option will also be suspended until the Perpetual Invest Mgmt Ltd lifts the suspension on the Perpetual W Geared Aust Fund (subject to any legislative requirements that may apply) . Withdrawal requests received by us during the suspension will be processed using the exit price applicable to this Investment Option after the suspension is lifted .

ReportingThe operator of the Investment Service and administrator of the Super and Pension Service will provide all relevant reports such as confirmation of transaction reports (daily), distribution statements (quarterly), tax statements and financial statements (annually) .

Your reporting rights and entitlements will be outlined in the Offer Document, you were given on becoming a member of the Service .

Entry pricesThe price of a unit is determined in accordance with the relevant Investment Option’s Constitution (‘Constitution’) and is based on the net asset value (assets less liabilities) of the Investment Option . It is calculated by dividing the net asset value by the number of units on issue . This price is then increased for the transaction costs (often referred to as transaction cost factors or buy spread) in buying assets for the Investment Option to determine the entry price . For further information on transaction cost factors or buy/sell spread costs, please refer to page 24 .

The investments of each Investment Option are normally valued each business day and entry unit prices are available from Client Services on 1300 428 482 . The method of valuing a particular investment depends on the type of investment .

Exit pricesThe exit price of units in an Investment Option is calculated by dividing the net asset value (assets less liabilities) by the number of units on issue . The price is then decreased for the transaction costs in selling assets of the Investment Option to determine the exit price (often referred to as transaction cost factors or sell spread) . For further information on transaction cost factors or buy/sell spread costs please refer to pages 23-24 .

20

The investments of each Investment Option are normally valued each business day and exit unit prices are available from Client Services on 1300 428 482 . However, at times, the calculation of exit prices may be delayed for example, whilst calculating distributions at the end of each quarter . There may also be times where it is necessary to suspend unit pricing if we believe it is in the best interests of clients (eg . during periods of extreme market volatility) . The method of valuing a particular investment depends on the type of investment . At our discretion, redemptions may be made through the transfer of assets or Investment Option units .

Normally payments will be made within four business days to the operator of the Investment Service or the administrator of the Super and Pension Service . The timing for the processing and pricing of your application or withdrawal will also be subject to the rules of the Investment Service or the Super Service . Please refer to the Offer Document you were given on becoming a member .

Under each Constitution, where a redemption request relates to units having a total value greater than five per cent of the value of the Investment Option, we may incrementally pay redemptions over a period of up to 30 business days . Each Constitution also allows for some other potential circumstances where we may delay a redemption such as where in our opinion, it is unable to calculate a meaningful price based upon a correct valuation of the assets .

Unit pricing discretionsWe will exercise any discretion that we have under the Constitution for each scheme in relation to unit pricing in accordance with our Unit Pricing Discretions Policy . We will provide you with a copy of the Unit Pricing Discretions Policy at any time on request, at no charge . A copy of our policy is also available from mlc .com .au

Unit prices for Investment Options with multiple unit classesThe following Investment Options have multiple unit classes on issue:

■ Access Pre Select Conservative

■ Access Pre Select Balanced

■ Access Pre Select Growth

■ Access Pre Select High Growth

■ Access Pre Select Australian Equity

■ Access Pre Select Australian Small Companies

■ Access Pre Select International Equity

Only one class of units in each of these Investment Options is offered under this PDS . Other classes of units with different fee structures may be offered under other PDS’s .

For each of these Investment Options, the unit price for the Investment Option is calculated by dividing the net asset value (total assets less total liabilities) attributable to the Access Investment Option class by the number of units on

issue to investors in the Access Investment Option class at the time the unit price is calculated .

The entry price is calculated by adding the buy/sell spread to the unit price . The exit price is calculated by deducting the buy/sell spread from the unit price .

Year-end processingWe are required to perform a substantial amount of processing and calculations for the Investment Options following the end of each financial year (30 June) . This may cause delays in the determination of unit prices, the processing of application details (such as sending out confirmation statements), and in withdrawal processing and payments (including switches between funds) . Normal processing times may therefore be extended during the period following the end of the financial year .

Investment of application monies will not be delayed during this time .

21

Section six

Fees and other costs

This section shows fees and other costs that you may be charged . These fees and costs may be deducted from your money, from the returns on your investment or from the assets of the Investment Options as a whole .

Taxes are set out in another part of this document .

Fees are shown including Goods and Services Tax (‘GST’), Reduced Input Tax Credits (‘RITC’) and stamp duty unless otherwise stated .

You should read all the information about fees and costs because it is important to understand their impact on your investment .

Fees and costs for investing in an Investment Option through the Investment Service and the Super and Pension Service are set out on the next page .

Did you know?Small differences in both investment performance and fees and costs can have a substantial impact on your long term returns .

For example, total annual fees and costs of 2% of your fund balance rather than 1% could reduce your final return by up to 20% over a 30 year period (for example, reduce it from $100,000 to $80,000) .

You should consider whether features such as superior investment performance or the provision of better member services justify higher fees and costs .

You may be able to negotiate to pay lower contribution fees and management costs where applicable .

Ask the fund or your financial adviser.

To find out moreIf you would like to find out more, or see the impact of the fees based on your own circumstances, the Australian Securities and Investments Commission (ASIC) website (www .fido .asic .gov .au) has a managed investment fee calculator to help you check out different fee options .

22

Type of fee or cost Amount How and when paid

Fees when your money moves in or out of Investment options

Establishment Fee

The fee to open your investment

Nil Not applicable

Contribution Fee1,2

The fee on each amount contributed to your investment

Up to 4%

(Nil to $40 per $1,000) of the amount of each contribution .

The Contribution Fee is deducted from each amount you invest .5

Withdrawal Fee2

The fee on each amount you take out of your investment

Nil Not applicable

Termination Fee

The fee to close your investment

Nil Not applicable

Management Costs2 The fees and costs for managing your investment in a particular Investment Option .1

What you pay for specific Investment Options (excluding any Performance Fees) is shown in the table ‘Management Costs’ on pages 25 and 26 .

The Management Costs (excluding any Performance Fees)3 in relation to each Investment Option other than the Access Perpetual Geared Australian Equity Option, are up to 2 .70% per annum of your investment in each Investment Option (up to $27 per annum per $1,000) .

The Management Cost in relation to the Access Perpetual Geared Australian Equity Option is an estimated 4 .18% per annum of your investment or ($41 .80 per annum per $1,000) .4

Deducted on a proportionate basis before each unit price is calculated for each Investment Option and each underlying fund and paid to us on a quarterly basis .

Performance Fees (if applicable) charged by underlying investment managers are deducted on a proportionate basis before each unit price is calculated for each underlying fund .3

Service Fees Investment Switching Fee 2

The fee for changing Investment Options

Not applicable

1 . This fee includes an amount payable to your financial adviser . See ‘Additional explanation of fees and costs’ on page 22 .

2 . Transactions costs may apply, for further information refer to the section titled ‘Transaction costs’ on page 23 .

3 . This figure does not include any Performance Fees charged by underlying investment managers . It is not possible to provide a reliable estimate of Performance Fees as they are dependent on the future performance of the underlying fund(s) . Please refer to the section titled ‘Performance Fees’ on page 23 for further information regarding these fees .

4 . The management cost for the Access Perpetual Geared Australian Equity Investment Option is an estimated figure calculated on the net (n) assets of the Investment Option (net management cost) assuming a gearing ratio of 60% . The management cost calculated on a gross basis (g) gross management cost would be 1 .67% per annum also assuming a gearing ratio of 60% . The gross management cost percentage is lower than the net management cost percentage because the assets of the Investment Option used in calculating this figure includes assets purchased through borrowings . The gross management cost and net management cost will vary from year to year depending on the gearing levels during the year (see page 19 for information about the gearing levels relevant to this Investment Option) . When comparing costs with other Investment Options, you should use the net management cost percentage as this represents the fees charged as a percentage of your investment . For more information about the estimated management cost for this Investment Option, please refer to ‘Management Costs’ in the ‘Additional explanation of fees and costs’ which appear on page 26 and 27 .

5 . This fee together with Management Costs can be negotiated with your financial adviser .

Additional explanation of fees and costs

Contribution Fee

Depending on the agreement reached with your financial adviser, the maximum to be charged for the Contribution Fee is 4% of the amount invested into an Investment Option . This fee will be deducted at the time the amount is invested . This fee is not charged for switches between Investment Options .

When you do not provide us with a change to your Contribution Fee for additional investments, we will apply the same fees advised in your application form for the Investment Service or the Super and Pension Service . For details on how to complete the application form please refer to the relevant Offer Document .

Each Constitution allows a maximum Contribution Fee of 5% . The Responsible Entity has no present intention to increase the Contribution Fee . If the Responsible Entity increases the Contribution Fee, the percentage increase will not exceed the percentage increase in the Australian Bureau of Statistics’ weekly earnings index, and you will receive at least 30 days notice in writing of the increase .

23

Management CostsManagement Costs are the total of annual fees and costs for each Investment Option . What you pay for specific Investment Options (excluding any Performance Fees) as a percentage of the net asset value of the Investment Option is shown in the table ‘Management Costs’ on pages 30 and 31 . This table also shows the Management Costs (excluding any Performance Fees) for each Investment Option expressed as a dollar amount for each investment Option based on an investment of $50,000 .

The Management Cost for the Access Perpetual Geared Australian Equity Investment Option is expressed as a percentage of the average gross asset value of the Investment Option (gross management cost) during the financial year and a percentage of the average net asset value of the Investment Option (net management cost) during the financial year, assuming an average gearing ratio of 60%, which is the gearing ratio that this Investment Option will generally not exceed . The gross management cost percentage is lower than the net management cost percentage as the assets of the Investment Option used in calculating this figure include assets purchased through borrowings . When comparing costs with other Investment Options, you should use the net management cost percentage as this represents the fees charged as a percentage of your investment . The gross management cost and net management cost percentage will depend upon the average level of gearing of the underlying fund during the financial year and will fluctuate from year to year depending on the level of gearing . For more information about gearing levels see page 19 .

Management Costs include:

■ the amount of fees and costs of the underlying funds or external investment managers, and

■ the amount paid to us as Responsible Entity of the funds (‘Management Fee’) .

Management Costs do not include:

■ any Performance Fee which may be incurred (because this cannot be quantified in advance)

The Management Costs in the table on pages 25 and 26 include fees and expenses charged by the underlying funds, based on the Indirect Cost Ratio (‘ICR’) for each relevant underlying fund for the year ended 30 June 2010, as advised by the Responsible Entity of the underlying fund(s) for each Investment Option . For the Access Perpetual Geared Australian Equity Investment Option, this is the percentage marked as ‘n’ under Management Costs in the table which also includes fees and expenses charged by the underlying fund for the year ended 30 June 2010, as advised by the Responsible Entity of the underlying fund, but assumes a gearing ratio of 60%, which is the gearing level that the underlying fund will generally not exceed .

The ‘ICR’ is the fees and costs an investor would incur by investing through a managed fund over and above the costs of investing directly in the same underlying assets of the fund, calculated by dividing the total fees and expenses (excluding transaction costs of the fund for the year) by the net fund size over a financial year and expressing the figure as a percentage of the average net asset value of the fund .

We can increase the Management Costs for each Investment Option to a maximum of 3% p .a . (6% p .a . for the Access Perpetual Geared Australian Equity Investment Option) based

on the net management cost of the Investment Option inclusive of underlying investment managers’ fees and costs plus the amount of other expenses incurred by us in relation to the Investment Option, plus the value of any Performance Fees of the underlying fund(s) for the Investment Option . If we decide to increase the Management Costs for an Investment Option, we will advise you 30 days before the Management Costs are increased .

As the estimated Management Cost percentage for the Access Perpetual Geared Australian Equity Investment Option depends on the level of gearing from year to year, it may increase without prior notification to you .

Performance FeesA Performance Fee may be payable from an underlying fund of an Investment Option to its manager if the return for that underlying fund exceeds its performance hurdle .

At the date of this PDS the Access Aviva Investors High Growth Shares Investment Option invests into underlying funds that charge a performance fee .

Access Aviva Investors High Growth Shares Investment OptionPayment of the Performance Fee for the underlying fund for this Investment Option is based on a performance hurdle of the S&P/ASX 200 Accumulation Index plus 5% per annum .

A Performance Fee of 20% of the underlying fund’s performance above this hurdle will be payable from the underlying fund to its manager, Aviva Investors .

The Performance Fee is calculated each ASX trading day . It accrues daily, is reflected in the Investment Option’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 Aviva Investors High Growth Shares 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 .

Transaction costs (buy/sell spread)For some of the Investment Options, in addition to Management Costs and Performance Fees, there may be a price difference between the buying and selling unit prices (‘buy/sell spread’) . This represents a cost imposed by the underlying investment manager for buying and selling units in the investment product . The buy/sell spread is designed to protect existing unit holders from the transaction expenses such as brokerage and settlement costs from redemptions and new applications . The buy/sell spread usually does not exceed 2% and is generally less than 0 .5% of the unit price . The buy/sell spread applies each time you buy or sell the Investment Option .

The buy/sell spread for each Investment Option is shown in the table on the next page . The buy/sell spreads shown in this PDS are a guide only . The buy/sell spreads may be varied without notice to take into account changes in transactional expenses . If we receive both a buy and sell request for the same Investment Option, we may net off the transactions and retain the spread .

24

Buy/sell spreads

Total%

Buy%

Buy$Per $1,000 transaction

Sell%

Sell$Per $1,000 transaction

Cash

Access Cash Nil Nil 0 .00 Nil 0 .00

Fixed Interest


0 .300 .10

0 .15Nil

1 .500 .00

0 .150 .10

1 .501 .00

Diversified


0 .170 .240 .300 .35Nil

0 .090 .130 .160 .19Nil

0 .901 .301 .60 1 .900 .00

0 .080 .110 .140 .16Nil

0 .801 .101 .401 .600 .00

Property


0 .400 .600 .60

0 .200 .300 .30

2 .003 .003 .00

0 .200 .300 .30

2 .003 .003 .00

Australian Equity

Access Australian Share IndexAccess Pre Select Australian EquityAccess Pre Select Boutique Australian EquityAccess Perpetual Geared Australian EquityAccess Pre Select Australian Small CompaniesAccess Investors Mutual Australian ShareAccess Perpetual IndustrialAccess Aviva Investors High Growth SharesAccess Schroder Australian Equity

0 .400 .320 .600 .760 .540 .500 .300 .300 .60

0 .200 .160 .300 .380 .270 .250 .300 .150 .30

2 .001 .603 .003 .802 .702 .503 .001 .503 .00

0 .200 .160 .300 .380 .270 .25Nil0 .150 .30

2 .001 .603 .003 .802 .702 .500 .001 .503 .00


Access International Shares IndexAccess Pre Select International EquityAccess AXA Global Equity ValueAccess Aberdeen Actively Hedged International Equities FundAccess Perpetual International ShareAccess Platinum International

0 .400 .460 .400 .500 .500 .50

0 .200 .260 .200 .250 .500 .25

2 .002 .602 .002 .505 .002 .50

0 .200 .200 .200 .25Nil0 .25

2 .002 .002 .002 .500 .002 .50

25

Other expensesUnder each Constitution, we are entitled to be reimbursed from each Investment Option for expenditure incurred . Such expenditure includes, but is not limited to:

■ legal and audit fees

■ GST

■ bank fees

■ other government taxes and charges

■ custodian fees

■ other fees incurred in administering each Investment Option .

At present, we do not, and do not intend to, deduct any expenses from each Investment Option and will pay these costs from our Management Fees . If this changes in the future, you will receive 30 days prior written notice of the change .

Investment switching

Switching charges

There is no charge for switching . However, you may incur other expenses applicable to each transaction, for example buy/sell spreads and withdrawal fees .

Other charges permitted by the ConstitutionsEach Constitution allows for additional charges to be imposed . The charges are an early withdrawal fee (maximum of 5%), and an exit fee (maximum of 5%) . We have no present intention to impose these charges . If we subsequently decide to impose the charges you will be given 30 days prior written notice .

Adviser remuneration

Payment to your financial adviser

Your financial adviser may receive payment (‘remuneration’) for the sale of this product . Payments to your financial adviser are made from the Contribution Fee and Management Costs and do not constitute any additional charge to your account .

The remuneration that may be paid to your financial adviser includes the Up-front remuneration (paid out of the Contribution Fee) and the Ongoing remuneration (paid out of our Management Costs) that we deduct from your investment on a monthly basis .

Financial adviser remuneration

Up-front remuneration Ongoing remuneration p.a.

Up to 4 .29% of each of your investments (as agreed with your financial adviser)

Up to 0 .60% p .a . of your balance in each Investment Option

All figures are GST-inclusive .

You and your financial adviser can negotiate an applicable rate of remuneration . The maximum amounts payable are 4 .29% on contributions and 0 .60% per annum of the Management Costs for Ongoing remuneration .

If your financial adviser chooses not to take some or all of the remuneration, then the fee that you are charged is reduced, as the difference will be credited back to your selected Investment Options . Please refer to the relevant Offer Document for more information regarding this process .

During any period where there is no financial adviser servicing your account, the Up-front remuneration and Ongoing remuneration that you previously agreed to be paid to your financial adviser will be retained by us . This means that your fee structure will remain in place until you appoint a new financial adviser and agree to a new fee structure .

Additional benefits to financial advisers

In return for their promotion and marketing of the Investment Options, we may pay the financial adviser group of whom your financial adviser is an authorised representative, remuneration based on the overall volume of business the group generates with us . Part of this remuneration may be passed onto your financial adviser by the financial adviser group . Any such remuneration is not an additional charge to you . We may also provide your financial adviser and/or financial adviser group with non-monetary benefits (such as airfares, accommodation, conferences, technical support, etc) known as alternative forms of remuneration . Your financial adviser should provide you with a Financial Services Guide and/or Statement of Advice, which will provide more specific details on such remuneration and non-monetary benefits .

We are required to comply with the Financial Services Council and Financial Planning Association Industry Code of Practice on Alternative Forms of Remuneration in the Wealth Management Industry (‘the Code’) . The Code requires us to maintain a register that records forms of alternative remuneration, which we pay to distributors of our products or we receive from providers of products made available through us . Registers are required to be maintained by investment managers, platform providers, financial adviser groups and representatives . A copy of our register may be accessed by contacting Client Services on 1300 428 482 .

Other fee information

Goods and Services Tax (‘GST’)

GST does not apply to your investment as it is a financial supply that is input taxed . However, GST will apply to fees and charges on services provided to you .

We are entitled to claim Reduced Input Tax Credits (‘RITC’) of 75% of the GST remitted to the Australian Taxation Office (‘ATO’) on most of the services provided . This means the net impact of the GST on most fees and charges is 2 .5% (10% less 7 .5%) . You will receive the benefit of any RITC Navigator can claim in the form of a credit to the selected Investment Options .

26

Fee examples

Example of annual fees and costs for the Access Pre Select Growth Investment Option

This table gives an example of how the fees and costs in the Access Pre Select Growth Investment Option for this product can affect your investment over a 1 year period . You should use this table to compare this product with other managed investment products .

Example – the Access Pre Select Growth Investment Option Balance of $50,000 with total contributions of $5,000 during the year

Contribution Fees 0% – 4% For every $5,000 you put in, you will be charged between $0 and $200

Plus Management Costs Up to 1 .95% And, for every $50,000 you have in the fund you will be charged up to $975 each year

Equals Cost of fund If you had an investment of $50,000 at the beginning of the year and you put in an additional $5,000 during that year, you would be charged fees of:

up to $1,175*

What it costs you will depend on the fees you negotiate with your fund or financial adviser.

* Additional fees and costs may apply . The above example does not include the effect of transaction costs (buy/sell spread) that may apply as described in this “Fees and other costs” section .

Notes:

1 The Management Costs in the above table are estimated using the ICR for the Investment Option for the year ending 30 June 2010 as discussed on pages 26 and 27 under ‘Management Costs’ . For further information regarding ICRs please refer to page 23 of the PDS .

2 The Management Costs above are calculated based on the initial $50,000 only . Thus, the calculation ignores the effect of contributions and earnings on the account balance during the year . Therefore, the ‘Cost of fund’ in the example does not include the impact of cashflow movements during the year on Management Costs .

3 The example is based on the Investment Option which is a balanced Investment Option within the meaning of government regulations . Examples of the dollar amount of management costs applicable to other Investment Options based on an investment of $50,000 are shown on pages 26 and 27 .

Management Costs Management Costs Contribution Fee Total

% p.a. $ p.a. per $50,000 investment

% $ per $5,000 investment

$ p.a. per $50,000 investment

Up to Up to Up to Up to Up to

Cash

Access Cash 1 .35 675 0-4 0-200

875

Fixed Interest


1 .701 .80

850900

0-40-4

0-2000-200

1,0501,100

Diversified


1 .851 .901 .952 .102 .15

925950975

1,0501,075

0-40-40-40-40-4

0-2000-2000-2000-2000-200

1,1251,1501,1751,2501,275

Property


1 .651 .902 .15

825950

1,075

0-40-40-4

0-2000-2000-200

1,0251,1501,275

27

Management Costs (continued)

Management Costs Contribution Fee Total

% p.a. $ p.a. per

$50,000

% $ per $5,000

$ p.a. per

$50,000

Up to Up to Up to Up to Up to

Australian Equity

Access Australian Share IndexAccess Pre Select Australian EquityAccess Pre Select Boutique Australian EquityAccess Perpetual Geared Australian Equity 2

Access Pre Select Australian Small CompaniesAccess Investors Mutual Australian ShareAccess Perpetual IndustrialAccess Aviva Investors High Growth SharesAccess Schroder Australian Equity

1 .652 .002 .25

1 .67(g)4 .18(n)

2 .252 .052 .05

2 .251

2 .15

8251,0001,125

n/a2,0901,1251,0251,0251,1251,075

0-40-40-4

0-40-40-40-40-40-4

0-2000-2000-200

0-2000-2000-2000-2000-2000-200

1,0251,2001,325

2,2901,3251,2251,2251,3251,275


Access International Shares IndexAccess Pre Select International EquityAccess AXA Global Equity ValueAccess Aberdeen Activity Hedged International Equities FundAccess Perpetual International ShareAccess Platinum International

1 .752 .152 .202 .202 .302 .70

8751,0751,1001,1001,1501,350

0-40-40-40-40-40-4

0-2000-2000-2000-2000-2000-200

1,0751,2751,3001,3001,3501,550

Additional fees and costs may apply . The above examples do not include the effect of transaction costs (buy/sell spread) that may apply as described in this “Fees and other costs” section .

1 An additional Performance Fee may also be applicable, please refer to the section titled ‘Performance Fees’ on page 23 for further information .

2 The management cost for the Access Perpetual Geared Australian Equity Investment Option is calculated on the net (n) assets of the Investment Option (net management cost) assuming a gearing ratio of 60% . It is assumed that the balance of $50,000 for the purposes of this example is net assets, which if the gearing ratio is 60%, represents $125,000 of gross assets . This means that the gross management cost is applied to the $50,000 investment plus $75,000 in assets purchased through borrowings assuming the average gearing ratio is 60%, whereas the net management cost is an approximation of the figure that would apply to the $50,000 investment (ignoring any borrowings) . The gross management cost and net management cost will depend on the gearing level which will change from time to time (see page 19 for more information about gearing levels) . For example, based on the average gearing ratio of the underlying fund (52 .65%) for the year ended 30 June 2010, the gross management cost would be 1 .76% and the net management cost would be 3 .72% . The gross management cost percentage is lower than the net management cost percentage because the assets of the Investment Option used in calculating this figure include assets purchased through borrowings . When comparing costs with other Investment Options, you should use the net management cost percentage as this represents the fees charged as a percentage of your investment .

28

Section seven

Additional information

RisksEach fund has different types of risks . Some of the risks identified as being applicable to the various funds include:

Equity risk – the risk that the value of shares, expected dividends and associated franking credits will increase or decrease . Share markets can rise and fall in value because of influences on the total market as well as on individual stocks alone, creating gains and losses . These influences include the level of market risk, interest rates and inflation .

Interest rate risk – occurs when interest rates rise and fall, causing the capital value of the underlying securities to also rise and fall causing losses and gains .

Credit risk – the risk that the issuer of fixed interest securities does not meet its obligations to make a payment of interest or repayment of capital or other financial obligations .

Currency risk – where the underlying assets are denominated in currencies other than the Australian dollar, changes in the Australian dollar exchange rate will create gains or losses for a fund . Some investment managers actively manage their exposure to currency movements with the aim of enhancing returns or reducing the currency influence on returns, often referred to as hedging . It is important to identify the level of exposure to international investment and to make sure you are comfortable with the impact that the currency movements may have before you invest in a fund .

Regulatory risk – the value of some investments may be influenced by changes in government regulation and taxation .

Country risk – changing political or economic circumstances may influence the value of some investments . An example might be civil war or unrest causing deterioration in valuation of investments in that country .

Market risk – the risk associated with a general downturn in general economic conditions both inside and outside Australia . This includes a combination of other risks listed in this section .

Derivatives risk – derivatives are a common tool used to enhance returns or manage risk . Risks associated with derivatives might include the value of derivatives failing to move in line with the underlying asset, potential illiquidity of the derivative, not being able to meet payment obligations as they arise and counterparty risk .

Counterparty risk – All investments, borrowings and transactions (including buying and selling securities) involve a counterparty that is on the other side of the transaction eg . when buying a security, the counterparty is the seller . There is a risk that a counterparty may not be able to meet its obligations .

Agency risk – An agency exists where one party contracts with another to perform duties on its behalf . There is a risk that either of the contracting parties do not perform their duties . An investment manager is an example of an agent of Navigator .

Investment manager risk – A particular investment manager may be affected by an event such as the deterioration in their skill at selecting securities or changes to investment personnel .

Gearing risk – Gearing is where the investment fund borrows money so that is has a greater amount to invest . Gearing increases the volatility of a fund by magnifying gains and losses from investments . Therefore, a geared fund is considered to have a higher investment risk than a comparable fund that is not geared .

You should be aware that in extreme market conditions, asset values can fall dramatically in a short period of time . In such conditions, this could cause the value of a geared fund to fall to zero .

Administration risk – There is some risk that systems may cause a delay in the processing of transactions on your account .

29

Responsible EntityEach Investment Option is a separately registered managed investment scheme . We are the Responsible Entity of each Investment Option .

Our role as Responsible Entity includes:

■ acting in the best interests of unit holders

■ managing and investing each Investment Option’s property, and

■ ensuring each Investment Option’s property is managed and dealt with in accordance with the Constitution and the Corporations Act .

We are entitled to be indemnified from the assets of the Investment Options for any liability incurred in properly performing or exercising any of its powers or duties in relation to any of the Investment Options except to the extent the liability is caused by our negligence, breach of trust or fraud .

We may retire or be removed as Responsible Entity in accordance with the Corporations Act .

The ConstitutionsEach Investment Option is established under a Constitution . The Constitution for each Investment Option details unit holders’ rights in relation to investments in each Investment Option and together with the relevant law sets out the terms and conditions of operation of each Investment Option .

As you are an indirect investor, only the operator of the Investment Service or the trustee of the Super and Pension Service may exercise the rights set out in the Constitutions .

The Constitutions contain provisions governing:

■ the creation, issue, transfer and redemption of units in each Investment Option

■ our power to manage the assets of each Investment Option

■ the mechanisms for the valuation of the assets and units in each Investment Option

■ our obligation to collect and distribute income

■ our right to terminate an Investment Option by notice to unit holders

■ our ability to vary the Constitution subject to the Corporations Act and where the amendment is adverse to unit holders’ rights, to obtaining prior unit holder approval, and

■ the limitation on our liability to the extent of each Investment Option’s assets vested in it except for any liability which we incur as a result of our fraud, negligence, breach of trust or where we fail to show the degree of care and diligence required, having regard to the powers, authorities or discretions conferred on us by the Constitutions .

The Constitutions also provide for the establishment of compliance committees where less than 50% of our directors are external directors . Subject to the Corporations Act, we

may indemnify the members of a compliance committee from the assets of each Investment Option for all liabilities incurred by them, including paying for insurance premiums against any liability incurred by the person as a member of the compliance committee .

Related EntitiesNational Corporate Investment Services Limited ABN 38 055 638 674, AFSL No . 230687 (‘NCIS’) is the principal investment adviser for the Pre Select funds . In this role NCIS monitors the investment structure and the performance of the Pre Select funds with the exception of Access Pre Select Boutique Australian Equity investment option .

At the date of this PDS, one of the investment managers is Antares Fixed Income, a specialist team in nabInvest Capital Partners Pty Limited ABN 44 106 427 472, AFSL No . 308953 .

nabInvest Capital Partners Pty Limited and NCIS are part of the NAB Group .

The appointment of NCIS and nabInvest Capital Partners Pty Limited and all commercial dealings governing the relationship between us and these related parties have been negotiated on arms lengths terms . This includes fees paid by us for their services .

Any payments from us to NCIS are paid from our own resources and are not an additional charge to investors of the funds .

Compliance plansAs registered schemes, each Investment Option is required to have a compliance plan . The compliance plan for each Investment Option describes the procedures we apply in operating each Investment Option to ensure compliance with the Corporations Act and each Constitution .

The compliance plans have been approved by our directors and lodged with the Australian Securities and Investments Commission . The compliance plans are audited annually by an external auditor .

Copies of the Constitutions and compliance plans are available free of charge upon request . Please contact Client Services on 1300 428 482 to obtain a copy .

Custody of the Investment OptionsWe have appointed a custodian to hold the assets of each Investment Option as our agent . Some of the functions carried out as custodian relate to safe keeping and valuation of assets, and the receiving and reporting of income . We may appoint a new custodian, provided any appointment complies with the appropriate regulatory requirements .

Any payments from us to the custodian are paid from our own resources and are not an additional charge to investors or the funds .

30

Borrowing limitationsWe have the power to borrow money, secured or unsecured, on the investments of any of the Investment Options having regard to our role as Responsible Entity . We do not generally intend to borrow but may do so in order to purchase and fund derivative cover during manager changes for the Investment Options .

Liability of unit holdersThe Constitutions seeks to limit the liability of the unit holder to monies invested in each of the Investment Options . However, it is not possible for us to give absolute assurance, as the ultimate liability of the unit holder is yet to be tested by the Australian courts .

Taxation of your investmentThe following information is a broad outline of the current taxation treatment of investments in the Investment Options and is current as of 1 August 2010 .

As each investor’s personal situation is unique, it is important you consult your professional adviser to assess your own taxation position .

As Responsible Entity of each Investment Option, it is our intention to distribute all net taxable income (including net capital gains) earned by each Investment Option . Therefore, under current Australian tax legislation, each Investment Option should not be liable for income tax . However, we have the ability to make deductions for tax from any proceeds payable from each Investment Option .

The net income of each Investment Option, whether paid out to you or reinvested in additional units, should be included as assessable income for tax purposes . Any net income earned in a financial year (regardless of when it is received or reinvested) should be included in unit holders’ taxation returns for that same year .

Residents who fail to supply the operator of the Investment Service with a valid tax file number may be subject to withholding tax on this income .

Capital Gains Tax (CGT)

The redemption of units will generally be treated as a disposal for tax purposes . Generally, profits arising from a disposal of units will be assessable as capital gains where the units were acquired for investment purposes . You may qualify for a discount on any capital gains you make on units held on your behalf for 12 months or more . Any capital loss arising from disposed units may be offset against capital gains arising in that year or in subsequent years .

Franked dividends

Dividends paid by Australian resident companies are subject to the imputation system of company tax . To the extent that each Investment Option receives income that includes franked dividends, the franking credits (representing tax already paid by the company paying the dividend) should flow through each Investment Option to you .

The Investment Service will advise you of your share of the franking credits in your Annual Tax Report which you must declare as income in your tax return . You may then receive a rebate that reduces the tax you pay on your total taxable income for the year . If you invest in the Super Service, your share of the franking credits will be taken into account in calculating the tax liability to be deducted from your account .

Non-resident taxation

If you are not an Australian resident and your investment is through a Investment Service, tax will normally be deducted from your distributions before they are paid to you or reinvested for you . Your investment may also be subject to tax in your country of residence and therefore you should obtain professional advice in this regard .

Foreign Income Tax Offsets

Where foreign tax is deducted from income or capital gains sourced from overseas investments, Australian resident investors may be able to claim a credit against their Australian tax liability .

Goods and Services Tax (’GST’)

The purchase and redemption of units in each Investment Option are not subject to GST .

Each Investment Option is registered for GST . The fees levied by us, as the Responsible Entity of each fund, are subject to GST .

Each Investment Option is eligible to claim a reduced input tax credit equal to 75% of the GST paid in respect of certain expenses, which we will pass on to investors .

Personal InformationThe Responsible Entity is a member of the NAB Group . NAB Group includes banking, financing, funds management, financial planning, superannuation, insurance, broking and e-commerce organisations . This statement is an outline of certain matters relating to the collection and handling of your personal information by NAB Group organisations .

Collecting your personal information

NAB Group organisations will collect personal information for the purposes of:

■ providing you with the relevant product or service (including assessing your application)

■ managing and administering the product or service

■ identifying you and protecting against fraud

■ verifying your authority to act on behalf of a customer

■ determining whether a beneficiary will be paid a benefit upon a person’s death (if applicable)

■ letting you know about products or services from across the NAB Group that might better service your financial, e-commerce and lifestyle needs or promotions or other opportunities in which you may be interested .

If you provide us with incomplete or inaccurate personal information, we may not be able to process your requests and applications or manage or administer your products or

31

services . It may also not be possible to tell you about other products or services from across the NAB Group that might better serve your financial, e-commerce and lifestyle needs .

Using and disclosing your personal information

NAB Group organisations may disclose your personal information to other organisations:

■ involved in providing, managing or administering the products and services the we offer, including third-party suppliers (eg . Printers, posting services), other NAB Group organisations, its advisers and loyalty and affinity program partners

■ who are your financial or legal advisers or representatives and their service providers

■ involved in maintaining, reviewing and developing our products, business systems, procedures and infrastructure including testing or upgrading our computer systems

■ involved in corporate re-organisation or involved in a transfer of all or part of the assets or business of the NAB Group organisation

■ involved in the payments system including financial institutions, merchants and payment organisations

■ which are the NAB Group’s organisations which wish to tell you about their products or services that might better serve your financial, e-commerce and lifestyle needs or promotions or other opportunities, and their related service providers, except where you tell the NAB Group not to

■ as required or authorised by law and /or where you have given your consent .

Your personal information may also be used in connection with such purposes . As the NAB Group operates throughout Australia and overseas, some of these uses and disclosures may occur outside your state or territory and outside Australia .

Gaining access to your personal information

Subject to some exceptions allowed by law, you can gain access to your personal information . If access is denied, you will be given reasons for this . For more information about your personal information and our Privacy Policy please contact Client Services on 1300 428 482 or visit mlc .com .au

ComplaintsYour Offer Document contains details of the complaints procedure for the Investment Service and Super and Pension Service .

Use of derivativesThe investment managers employed in the management of each Investment Option’s assets or underlying managed funds may utilise options, futures and other derivative contracts in the management of that Investment Option and that Investment Option’s assets respectively . For

information regarding the risks associated with derivatives refer to page 28 .

Except as described under authorised investments below, the investment managers will not utilise derivatives to leverage or gear an Investment Option or an Investment Option’s assets outside of the stated investment objectives of the underlying fund or investment manager .

Authorised investmentsTo achieve the stated investment objectives, the investment managers employed in the management of each Investment Option or underlying managed fund may invest in a broad range of assets and utilise derivatives including implementing currency hedging strategies .

Ethical considerationsWe have not taken into account any specific ethical, social, labour standards, or environmental considerations in regard to selecting or retaining underlying assets of the Investment Options . However, investment managers of the underlying managed funds may take these issues into account in the formulation of investment strategies .

Consents Each of the investment managers named in this PDS has given written consent to being named in this PDS and to the inclusion of statements made by it or based on statements made by it and at the date of this PDS these consents have not been withdrawn . None of these parties has authorised or caused the issue of this PDS .

32

Registered names of the Access Investment Options

Registered name ARSN1

Access Cash Access Fund No 1 114 703 329

Access EQT PIMCO Global Bond Access Fund No 4 114 703 696

Access Aviva Investor Premier Fixed Income Access Fund No 6 114 704 059

Access ING Tax Effective Income Access Fund No 9 114 704 424

Access CFS Colliers International Property Securities Access Fund No 10 114 704 504

Access Macquarie Property Securities Access Fund No 11 114 704 586

Access Property Securities Index Access Fund No 13 114 704 835

Access Investors Mutual Australian Share Access Fund No 14 114 704 915

Access Perpetual Industrial Access Fund No 15 114 704 997

Access Aviva Investor High Growth Shares Access Fund No 16 114 705 207

Access Schroder Australian Equity Access Fund No 17 114 705 412

Access AXA Global Equity Value Access Fund No 18 114 705 547

Access Aberdeen Activity Hedged International Equities Fund

Access Fund No 19 114 705 672

Access Perpetual International Share Access Fund No 20 114 705 725

Access Platinum International Access Fund No 21 114 706 400

Access International Shares Index Access Fund No 22 114 705 958

Access Pre Select Conservative Pre Select Conservative Fund 2 104 411 583

Access Pre Select Balanced Pre Select Balanced Fund 2 104 412 446

Access Pre Select Growth Pre Select Growth Fund 2 104 410 782

Access Pre Select High Growth Pre Select High Growth Fund 2 104 411 467

Access Pre Select Australian Equity Pre Select Australian Equity Fund 2 104 411 789

Access Pre Select Boutique Australian Equity Pre Select Boutique Australian Equity Fund 2 114 706 053

Access Pre Select Australian Small Companies Pre Select Australian Small Companies Fund 2 114 706 188

Access Pre Select International Equity Pre Select International Equity Fund 2 104 411 109

Access Australian Shares Index Australian Shares Index Fund 114 706 302

Access Perpetual Geared Australian Equity Access Fund No 25 128 677 305

1 Australian Registered Scheme Number

2 Multiple unit class Investment Option, refer to page 19 for further information .

MLC

_NA

003P

_101

0

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