Smart Bitcoin ETF — Interim / Quarterly Report 2025

May 8, 2025

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Smart Bitcoin ETF

Fund update for the quarter ended 31 March 2025

This fund update was first made publicly available on 1 May 2025.

What is the purpose of this update?

This document tells you how the Smart Bitcoin ETF has performed and what fees were charged. The document will help you to compare the fund with other funds. Smartshares Limited prepared this update in accordance with the Financial Markets Conduct Act 2013. This information is not audited and may be updated.

Description of this fund

The Smart Bitcoin ETF invests in the iShares Bitcoin Trust ETF and seeks to reflect generally the performance of the price of bitcoin.

Total value of the fund $22,805,978 The date the fund started 24 October 2024

What are the risks of investing?

Risk indicator for the Smart Bitcoin ETF[1 ]

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The risk indicator is rated from 1 (low) to 7 (high). The rating reflects how much the value of the fund’s assets goes up and down. A higher risk generally means higher potential returns over time, but more ups and downs along the way.

To help you clarify your own attitude to risk, you can seek financial advice or work out your risk profile at sorted.org.nz/tools/investor-profiler.

Note that even the lowest category does not mean a risk-free investment, and there are other risks that are not captured by this rating.

This risk indicator is not a guarantee of a fund’s future performance. The risk indicator is based on the returns data for 5 years to 31 March 2025. While risk indicators are usually relatively stable, they do shift from time to time. The risk indicator will continue to be updated in future fund updates.

See the Product Disclosure Statement for the Smart Exchange Traded Funds – Global Series for more information about the risks associated with investing in this fund.

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How has the fund performed?[2 ]

Past year Annual return Not applicable (after deductions for charges and tax) Annual return Not applicable (after deductions for charges but before tax) Relevant index annual return 21.61% (reflects no deduction for charges and tax)

The relevant index annual return is based on the annual return of the CME CF Bitcoin Reference Rate - New York Variant (NZD). Additional information about the relevant index is available in the 'Other Material Information' document on the offer register at disclose-register.companiesoffice.govt.nz.

What fees are investors charged?

Investors in the Smart Bitcoin ETF are charged fund charges. Based on the Product Disclosure Statement dated 10 October 2024, these are expected to be:

	% per annum of fund’s net asset value
Total fund charges	0.55%
Which are made up of:
Total management and administration charges	0.55%
Including:
Manager’s basic fee	0.49%
Other management and administration charges	0.06%3

Investors may also be charged individual action fees for specific actions or decisions (for example, withdrawing from or switching funds). See the Product Disclosure Statement for the Smart Exchange Traded Funds – Global Series for more information about those fees.

The fees set out above include GST where applicable.

Small differences in fees and charges can have a big impact on your investment over the long term.

Example of how this applies to an investor

Tara had $10,000 in the fund on 24 October 2024 and did not make any further contributions. On 31 March 2025, Tara received a return after fund charges were deducted but before tax of $2,141 (that is 21.41% of Tara's initial $10,000). This gives Tara a total return after tax of $2,061 for the period.

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What does the fund invest in?[4]

Actual investment mix

This shows the types of assets that the fund invests in.

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Cash and cash equivalents:
0.04%
New Zealand fixed interest:
0.00%
International fixed interest:
0.00%
Australasian equities:
0.00%
International equities:
0.00%
Listed property:
0.00%
Unlisted property:
0.00%
Commodities:
0.00%
Other:
99.96%
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Target investment mix

This shows the mix of assets that the fund generally intends to invest in.

Asset Category	Target Asset Mix
Cash and cash equivalents	-
New Zealand fixed interest	-
International fixed interest	-
Australasian equities	-
International equities	-
Listed property	-
Unlisted property	-
Commodities	-
Other	100.00%

Top 10 investments[ 5 ]

Name	% of fund’s net asset value	Type	Country	Credit rating (if applicable)
ISHARES BITCOIN TRUST ETF	99.95%	International equities	United States
NZD CASH ACCOUNT (ANZ BANK)	0.27%	Cash and cash equivalents	New Zealand	AA-
USD CASH ACCOUNT (BNP PARIBAS)	0.17%	Cash and cash equivalents	United States	AA-

The top 10 investments make up 100.39% of the fund’s net asset value.

Currency hedging

As at 31 March 2025 the fund's exposure to assets denominated in foreign currencies was 99.07%, of which 104.03% was hedged. This means the fund's unhedged foreign currency exposure was 0.00% of the net asset value of the fund. See the current Statement of Investment Policy and Objectives on the scheme register at disclose-register.companiesoffice.govt.nz for more information on the fund's currency hedging strategy.

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Key personnel

This shows the directors and employees who have the most influence on the investment decisions of the fund:

Key personnel	Key personnel	Key personnel	Key personnel	Key personnel	Key personnel
This shows the directors and employees who have the most influence on the investment decisions of the fund:
	Name	Current position	Time in current position	Previous or other current position	Time in previous or other current position
	Guy Roulston Elliffe	Director	9 years and 4 months	Corporate Governance Manager - ACC (current position)	9 years and 11 months
	Stuart Kenneth Reginald Millar	Chief Investment Officer - Smartshares	5 years and 10 months	Head of Portfolio Management - ANZ Investments	6 years and 4 months
	Anna Lennie Scott	Chief Executive Officer - Smartshares	1 year and 6 months	Chief Operating Officer and Director - Hobson Wealth	5 years and 2 months
	Alister John Williams	Director	9 years and 4 months	Investment Manager - Trust Management	5 years and 4 months

Further information

You can also obtain this information, the Product Disclosure Statement for the Smart Exchange Traded Funds – Global Series, and some additional information from the offer register at discloseregister.companiesoffice.govt.nz.

Notes

• 1 Relevant index returns (as well as actual returns) have been used to complete the risk indicator, as the fund has not been in existence for 5 years. As a result, the risk indicator may provide a less reliable indicator of the potential future volatility of the fund. The risk indicator for the fund uses 4 years and 7 months of relevant index returns.

• 2 The annual return of the CME CF Bitcoin Reference Rate - New York Variant (NZD) has been used as the relevant index because there is no appropriate market index for funds that invest into singular assets, such as bitcoin. A relevant index may provide a less reliable indicator of future performance than an appropriate market index.

• 3 These charges refer to the normal fund operating costs that are charged to the fund. For disclosure purposes, supervisor, audit and legal costs are not included in the manager's basic fee, but are included in the other management and administration charges. Some of these are fixed costs so the amount shown can range from 0% up to the total fund charges depending on the total value of the fund.

• 4 The 'other' category refers to an investment in underlying funds that seek to reflect generally the performance of the price of bitcoin, and that may directly hold bitcoin as an underlying asset.

• 5 The top 10 investments listed in the table exclude current assets and current liabilities, and as a result do not sum to 100%.

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