WAM ACTIVE LIMITED — Fund Information / Factsheet 2017

Mar 13, 2017

==> picture [208 x 37] intentionally omitted <==

Investment update As at 28 February 2017

==> picture [39 x 33] intentionally omitted <==

wilsonassetmanagement.com.au

Snapshot

Pre-tax net tangible assets

$1.07

Fully franked dividend yield

4.8%

Gross assets

$39.0m

Performance (p.a. since January 2008) 12.8%

ABN 49 126 420 719

WAM Active Limited

ASX code WAA Listed Jan 2008 Gross assets $39.0m Market cap $41.1m Share price (WAA) $1.15 Option price (WAAO) $0.044 NTA before tax $1.07 Shares on issue 35,711,407 Options on issue 34,566,549 Annualised fully franked 5.5c interim dividend (FY2017) Fully franked dividend yield 4.8%

Investment objectives

• Deliver shareholders a regular income stream via fully franked dividends

• Provide a positive return with low volatility, after fees, over most periods of time

• Preserve capital

Wilson Asset Management investment & management team

Geoff Wilson Chairman & Portfolio Manager

Kate Thorley Chief Executive Officer Chris Stott Chief Investment Officer & Portfolio Manager

Market overview

The S&P/ASX All Ordinaries Accumulation Index closed up 2.1% for the month. Company reporting season was the most positive for many years with a return to earnings growth, particularly in the resources sector. Overall, domestic economic conditions are improving, the housing market remains strong and the short-term outlook for the sharemarket is positive. However, our positive market outlook is tempered by the potential for further volatility caused by geopolitical risks over the calendar year.

Stock news

During the month, Woolworths Limited (ASX: WOW) announced its half year results, reporting sales growth in its Australian Food category of 2.8%, an increase from 1.9% on the prior corresponding period and in line with expectations. CEO Bradford Banducci has concentrated on improving the core grocery network, repairing operational issues and reinvesting in the store network, which have been instrumental to the company’s turnaround thus far.

Net tangible asset (NTA) figures

NTA before tax	107.10c
NTA after tax and before tax on unrealised gains	105.90c
NTA after tax	105.90c

The above figures are not adjusted for the 34,566,549 options on issue with an exercise price of $1.14.

Matthew Haupt Portfolio Manager

Martin Hickson Head of Trading Tobias Yao Senior Equity Analyst John Ayoub Senior Equity Analyst Oscar Oberg Senior Equity Analyst

Company overview

WAM Active Limited (ASX: WAA) is a listed investment company managed by Wilson Asset Management. Listed in January 2008, WAM Active provides investors with exposure to an active trading style with the aim of achieving a sound return with a low correlation to traditional markets.

Key dividend dates

Ex date 16 May 2017 Record date 17 May 2017 Last election date for DRP 19 May 2017 Payment date 26 May 2017 Last day to exercise options to be eligible for the dividend 11 May 2017

Performance

							Since
							Inception
Performance at	1	6	Fin	1	3 Yrs	5 Yrs	%pa
28 February 2017	Mth	Mth	YTD	Yr	%pa	%pa	(Jan-08)
WAA Investment Portfolio*	0.4%	4.3%	8.8%	18.0%	11.2%	13.4%	12.8%
S&P/ASX All Ordinaries	2.1%	6.2%	11.4%	21.3%	6.5%	10.2%	3.2%
Accumulation Index
Outperformance	-1.7%	-1.9%	-2.6%	-3.3%	+4.7%	+3.2%	+9.6%
UBS Bank Bill Index (Cash)	0.1%	0.9%	1.2%	2.0%	2.3%	2.7%	3.8%
Outperformance	+0.3%	**+3.4% **	**+7.6% **	+16.0%	+8.9%	+10.7%	+9.0%

*Investment performance and Index returns are before expenses, fees and taxes.

==> picture [60 x 11] intentionally omitted <==

wilsonassetmanagement.com.au Page 2 of 4 T +61 2 9247 6755

Investment update As at 28 February 2017

Growth of $10,000 investment since inception

WAM Active versus the Index

==> picture [468 x 220] intentionally omitted <==

----- Start of picture text -----

$25,000
$18,430
$20,000
$15,000 $13,937
$10,000
$5,000
$0
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
WAM Active S&P/ASX All Ordinaries Accumulation Index
----- End of picture text -----

Diversified portfolio

Diversified portfolio	Diversified portfolio
January 2017 February 2017 Investment type $m % $m %
Listed equities 22.7 58.4 22.8 58.6
Short portfolio (0.4) (1.1) (0.3) (0.9)
Fixed interest & cash 16.6 42.7 16.5 42.3
Gross assets $38.9m 100.0 $39.0 100.0
Total shares on issue 35,698,303 35,711,407*

*During the month, 13,104 options were exercised.

One-for-one option issue

In August 2016, the Company announced a one-for-one bonus option issue to all shareholders at no cost. Options entitle holders to purchase additional ordinary shares in WAM Active at the exercise price of $1.14 at any time on or before 17 September 2018. The options trade on the ASX under the code WAAO. The bonus option issue is an effective way to grow the Company and will deliver benefits to shareholders. As the Company’s size increases, onmarket liquidity for the shares is expected to increase. It will also increase the Company’s relevance in the market, improve the prospect of broker and research coverage, and gain interest from financial planners.

==> picture [60 x 11] intentionally omitted <==

wilsonassetmanagement.com.au Page 3 of 4 T +61 2 9247 6755

Investment update As at 28 February 2017

Top 20 holdings

Code Company HHV Hunter Hall Global Value Limited CYA Century Australia Investments Limited CVO Cover-More Group Limited TGG Templeton Global Growth Fund Limited AFY Afterpay Holdings Limited ALL Aristocrat Leisure Limited LLC Lend Lease Group HGG Henderson Group Plc WOW Woolworths Limited CPU Computershare Limited	Code Company
	MND Monadelphous Group Limited
	TWE Treasury Wine Estates Limited
	PMV Premier Investments Limited
	QBE QBE Insurance Group Limited
	RCR RCR Tomlinson Limited
	WIC Westoz Investment Company Limited
	MYX Mayne Pharma Group Limited
	AGF AMP Capital China Growth Fund
	REA REA Group Limited
	PIC Perpetual Equity Investment Company Limited

Fully franked dividends

On 15 February 2017, the Board announced a fully franked interim dividend of 2.75 cents per share, an increase on last year’s fully franked 2.5 cents per share interim dividend. The interim dividend will be paid on 26 May 2017 and will trade ex on 16 May 2017. The dividend reinvestment plan (DRP) is available to shareholders for the interim dividend. The dividend reinvestment plan will operate at a 2.5% discount. The last election date for the DRP will be 19 May 2017. Shareholders who exercise their options before 11 May 2017 will be eligible to receive the fully franked interim dividend.

Fully franked dividends since inception

==> picture [445 x 160] intentionally omitted <==

----- Start of picture text -----

Cents per share
10.0
8.0
6.0
4.0
2.0
0.0
2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17
Fully franked dividends Return of Capital
Annualised interim dividend
----- End of picture text -----

The Board is committed to paying an increasing stream of fully franked dividends to shareholders, provided the Company has sufficient profit reserves and franking credits, and it is within prudent business practices. Dividends are usually paid on a six-monthly basis and the dividend reinvestment plan is available to shareholders for both the interim and final dividend. The Company’s ability to generate franking credits is dependent upon the receipt of franked dividends from investments and the payment of tax.

==> picture [60 x 11] intentionally omitted <==

wilsonassetmanagement.com.au Page 4 of 4 T +61 2 9247 6755

Investment update As at 28 February 2017