AIMS PROPERTY SECURITIES FUND — Capital/Financing Update 2007

Dec 19, 2007

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20 December 2007

ASX Code : MPS SGX Code : MacCookPSF

Exchange Announcement

MacarthurCook Property Securities Fund acquires additional A$37 million investment portfolio

MacarthurCook Fund Management Limited, the responsible entity of the MacarthurCook Property Securities Fund (‘the Fund’, ASX code: MPS, SGX Code: MacCook), is pleased to announce the further expansion of the MPS portfolio via additional investment in a number of unlisted, wholesale and listed property trusts.

New Investments

The following new investments have been made, or were committed to be made, during the December 2007 quarter. The investments are forecast to return a weighted yield of over 10.30% pa, acquired at a weighted discount to NTA of approximately 4%.

Investee Fund	New	Total Investment
	Investment	With Manager
Reed Funds Management	$10.0m	$23.4m
APN Champion Fund*	$8.0m	$23.0m
MacarthurCook Industrial Property Fund	$4.5m	$33.9m
Rimcorp Industrial Property Trust #4	$3.0m	$3.0m
Other Unlisted Property Trusts/ Cash	$2.7m	$141.9m
Reckson NY Property Trust	$3.0m	$3.7m
Challenger Kenedix Japan Trust	$2.2m	$2.7m
Rubicon Japan Trust	$1.5m	$5.0m
Other Listed Property Trusts**	$2.1m	$28.8m
Total	**A$37.0m **	A$265.4m

• Pre-commitment to invest: **Market value at 30 November 2007.

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At 30 November 2007, the Fund had an unlisted property portfolio of A$223.8 million which, combined with a listed property trust portfolio of A$40.3 million, together with cash takes the total investment portfolio of MPS to approximately A$265.4 million.

The new investments were funded through the recent successful 1 for 3 renounceable rights issue. During the period, the Fund acquired unlisted investments that included funds managed by APN Funds Management (APN Champion Fund), Reed Funds Management (Reed Property Trust), MacarthurCook Fund Management (Macarthurcook Industrial Property Fund), Rimcorp Property Limited (Rimcorp Industrial Property Trust #4), Teys (Teys Strata Mortgage Trust) and Ray White Invest (Service Centre Trust).

Listed property trust acquisitions included Reckson NY Property Trust, Rubicon Japan Trust, Challenger Kenedix Japan Trust, Rubicon Europe Trust, Mirvac Industrial Trust and the Orchard Industrial Fund. These investments continue to build on the Fund’s investment strategy.

Increased Portfolio Diversification

By increasing the size of the Fund through capital raisings, such as the rights issue, the Responsible Entity has improved the diversification of the investment portfolio by investing in a broader range of funds, property managers, property sectors and individual properties. This strategy should lead to greater security of both capital value and income over the long term. The Responsible Entity will continue to seek opportunities to further diversify the portfolio where appropriate investment opportunities arise and the cost of new equity is appropriate.

Portfolio Details

The Fund’s investments are now diversified across 30 property investment managers and 51 listed and unlisted funds.

Manager Diversification as at 30 November 2007

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Mirvac
2% Other (11)
Australian Unity 11% MacarthurCook13%
2%
Stockland
2%
Investec
2% Orchard
Lend Lease 10%
3%
Elderslie
3%
MPG
3% APN
7%
Macquarie
3%
Rubicon
4% PFA
6%
Reed
4%
OFM MAB
4% 6%
ING
4% Centro Investa
5% 6%
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This diversity is further reflected in the range of funds and property sectors in which the Fund invests. The portfolio weighting across the different classes of property is carefully balanced to ensure the Fund continues to distribute a competitive, low risk level of income to unitholders.

The allocation of the Fund’s investments is dominated by the office, retail and industrial sectors as shown in the chart below. However, emerging sectors are also being chosen to further diversify the Fund. These emerging sectors include exposure to childcare, healthcare, service centre, accommodation and hotel assets. These non-traditional sectors are largely accessed via unlisted property funds, with the investments expected to deliver strong returns.

Sector Allocation as at 30 November 2007

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Healthcare
5%
Childcare Other
Residential 4% 2%
(Aged/Comm.Living)
2%
Carpark/ Service Centre
2%
Office
35%
Hotel
3%
Industrial
15%
Retail
32%
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The Fund is also diversified across different geographic locations as shown in the chart below. A majority of the assets of the Fund’s investments are in Australia. The Australian assets are concentrated in New South Wales and Victoria (Sydney and Melbourne offering a broader selection of assets) with smaller investments in other states. The Fund’s international exposure is focused on the United States, with smaller investments in New Zealand, Europe and Japan.

Geographic Allocation as at 30 November 2007

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Europe
10%
Japan
3%
New South Wales
18%
New Zealand
1%
United States of America
12%
Tasmania
2%
Victoria
22%
South Australia
5%
Western Australian
4%
Australian Capital Territory
4% Queensland
19%
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Highlights of the Strong Growth Delivered in 2007 Annual Results

• Total Return of approx. 19% on the ASX for the year to 30 June 2007

• � Total Return of approx. 14% on the SGX for the six months to 30 June 2007

• Total Net Profit for the period to 30 June 2007 increased by 136% when compared to the previous year %.

• Earnings per unit (weighted basis) exceeded distributions made to unitholders by 169%, or 16.11 Australian cents per unit.

• Net Tangible Asset backing has grown by approx. 13% from $A 0.98 at 30 June 2006 to $A 1.11 per unit

• Distributions per unit for 2008 year were increased to A 10.5 cents

About the MacarthurCook Property Securities Fund

The MacarthurCook Property Securities Fund is listed on the ASX and SGX, and aims to provide investors with exposure to a broadly diversified, property-based investment portfolio, targeting a stable, predictable level of income with the opportunity for long term capital growth. The Fund has a market capitalisation of approximately A$190 million and has assets invested across 51 listed and unlisted property trusts managed by 30 real estate investment managers.

For further information, please contact: Mr Craig Turnbull Head of Real Estate Securities MacarthurCook Limited Ph: +613 9660 4555

About MacarthurCook:

MacarthurCook Limited (MCK) is an Australian Securities Exchange listed company with offices in Australia and Singapore, specialising in the investment management of direct property, real estate securities and mortgage assets.

MacarthurCook manages approximately $A1.5 billion on behalf of over 25,000 investors. MacarthurCook is a quality endorsed company (ISO 9001:2000 international standard accreditation), and is the investment manager for thirteen funds including: MacarthurCook Industrial REIT, MacarthurCook Industrial Property Fund, MacarthurCook Office Property Trust, MacarthurCook Retail Property Trust, MacarthurCook Diversified Property Income Fund, MacarthurCook Mortgage Fund, Advance Mortgage Fund, MacarthurCook Property Securities Fund, MacarthurCook Asian Real Estate Securities Fund, Advance Property Securities Fund, RMR Asia Pacific Real Estate Fund and RMR Asia Real Estate Fund.

The MacarthurCook Property Securities Fund is listed on the Australian Securities Exchange and the Singapore Securities Exchange. The MacarthurCook Asian Real Estate Securities Fund and the MacarthurCook Industrial Property Fund are listed on the Australian Securities Exchange. The MacarthurCook Industrial REIT is listed on the Singapore Securities Exchange. The RMR Asia Pacific Real Estate Fund and RMR Asia Real Estate Fund are listed on the American Stock Exchange.

The Company has approximately 1,000 shareholders, the largest of which are Ascalon Capital Managers Limited, an associate of the St George Banking Group with about 18 per cent, and MacarthurCook directors and senior executives, who hold 15 per cent.

In 2005, 2006 and 2007 BRW magazine named MacarthurCook as one of Australia’s fastest-growing companies in its Fast 100 list.