INVESTSMART GROUP LIMITED — Share Issue/Capital Change 2007

Mar 15, 2007

Fat Prophets Australia Fund Ltd ACN 111 772 359 Level 33 2 Park St Sydney NSW 2000 02 8258 0015 fatfund@fatprophets.com.au

Notice of Share Cancellation

Following the recent on-market buy-back of 605,448 ordinary shares for \$617,843.04 (including brokerage) and the subsequent cancellation of these shares, the issued capital of Fat Prophets Australia Fund Limited is now 31,137,569 ordinary shares at a paid up value of \$31,142,237.11. Refer to the accompanying Form 484 for further details.

Clare Porta Company Secretary

16 March 2007

Electronic Lodgement

Document No. 7E1043018

Lodgement date/lime: 18-03-2007 13:18:41 Reference lo: 74802851

Form 484 Corporations Act 2001

Change to company details

Company details	Company name FAT PROPHETS AUSTRALIA FUND LIMITED Australian Company Number (ACN) 111 772 359
Lodgement details	Who should ASIC contact if there is a query about this form?
	Name Clare Therese PORTA

Signature

This form must be signed by a current officeholder of the company.

I certify that the information in this form is true and complete Name Clare Therese PORTA Capacity Secretary Signature

Date signed 16-03-2007

C1 Cancellation of shares

Reason for cancellation	Shares cancellation details Reason for cancellation ss.257H(3) Share buyback - Other buy-back type. A form 280 or 281 must be lodged at least 14 days, and no more than 1 year before the share buy-back can take place
						The cancelled shares are listed below:
	Share class code	Number of shares lcanceiled.	Amount paid (cash or otherwise)
		ORD	605448	617843.04
	Earliest Date of cancellation	15-03-2007

C3 Change to share structure

The updated details for this changed share class are shown in the table below.

IShare class lcode	Full title if not standard	Total number Total amount Total amount lof shares	paid on these unpaid on Ishares	these shares
ORD	IORDINARY SHARES	31137569	31142237.11	10.00
Earliest date of change	15-03-2007