WAM ACTIVE LIMITED — Interim / Quarterly Report 2018

Feb 21, 2018

WAM ACTIVE LIMITED

ABN 49 126 420 719

Appendix 4D Half Year Report

for the half year ended 31 December 2017

Results for Announcement to the Market

All comparisons to the half year ended 31 December 2016

		$	up/down	% mvmt
Revenue from ordinary activities	4,753,328		up	68.1%
Profit from ordinary activities before income tax expense	3,283,317		up	85.0%
Net profit from ordinary activities after income tax expense	2,423,739		up	81.8%
		Franked amount		Tax rate for
Dividend information	Cents per share	per share		franking
2018 Interim dividend cents per share	2.85c	2.85c		30%
2017 Final dividend cents per share	2.75c	2.75c		30%
Interim dividend dates
Ex dividend date				12 April 2018
Record date				13 April 2018
Last election date for the DRP				17 April 2018
Payment date				27 April 2018

Dividend Reinvestment Plan

The Dividend Reinvestment Plan (‘DRP’) is in operation and the recommended fully franked interim dividend of 2.85 cents per share qualifies. Participating shareholders will be entitled to be allotted the number of shares (rounded to the nearest whole number) which the cash dividend would purchase at the relevant issue price. The relevant issue price will be at a 2.5% discount to the price, calculated as the VWAP (volume weighted average market price) of shares sold on the ASX on the ex date for the relevant dividend and the 3 trading days following that date.

	31 Dec 17	31 Dec 16
Net tangible asset backing (after tax) per share	$1.09*	$1.05

*The NTA figure is not adjusted for the options on issue with an exercise price of $1.14.

This report is based on the Half Year Financial Report which has been subject to independent review by the Auditors, Pitcher Partners. All the documents comprise the information required by Listing Rule 4.2A.This information should be read in conjunction with the 30 June 2017 Annual Financial Report.

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Financial Report For the half year ended 31 December 2017

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ABN 49 126 420 719

WAM Active Limited

WAM Active Limited (WAM Active or the Company) is a Listed Investment Company and is a reporting entity. It is primarily an investor in equities listed on the Australian Securities Exchange.

Directors

Geoff Wilson AO (Chairman) Matthew Kidman John Abernethy Kate Thorley Chris Stott

Company Secretary

Linda Vo

Investment Manager

MAM Pty Limited Level 11, 139 Macquarie Street Sydney NSW 2000 (part of Wilson Asset Management)

Auditor

Pitcher Partners

Country of Incorporation Australia

Registered Office

Level 11, 139 Macquarie Street Sydney NSW 2000

Contact Details

Postal Address: GPO Box 4658 Sydney NSW 2001 T: (02) 9247 6755 F: (02) 9247 6855

E: info@wilsonassetmanagement.com.au

• W: wilsonassetmanagement.com.au

Share Registry

Boardroom Pty Limited Level 12, 225 George Street Sydney NSW 2000 T: (02) 9290 9600 F: (02) 9279 0664

For enquiries relating to shareholdings, options, dividends (including participation in the dividend reinvestment plan) and related matters, please contact the share registry.

Australian Securities Exchange

WAM Active Limited Ordinary Shares (WAA) WAM Active Limited Options (WAAO) expiring 17 September 2018 $1.14 exercise price

Contents

Directors’ Report to shareholders	4
Auditor’s Independence Declaration	6
Statement of comprehensive income	7
Statement of financial position	8
Statement of changes in equity	9
Statement of cash flows	10
Notes to the financial statements	11
Directors’ Declaration	15
Independent Auditor’s Review Report	16

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WAM Active Limited wilsonassetmanagement.com.au 3 Half Year Report Dec 2017 ABN 49 126 420 719

Directors’ Report to shareholders for the half year ended 31 December 2017

The Directors present their report together with the financial report of WAM Active Limited for the half year ended 31 December 2017.

Directors

The following persons were Directors of the Company during the financial period and up to the date of this report:

Geoff Wilson AO (Chairman – Non-independent)

Matthew Kidman (Director – Independent) John Abernethy (Director – Independent) Kate Thorley (Director – Non-independent)

Chris Stott (Director – Non-independent)

Principal activity

The principal activity of the Company is investing in listed companies. The Company’s investment objectives are: to deliver a regular income stream of fully franked dividends; to provide a positive return with low volatility; and to preserve capital. No change in this activity took place during the period or is likely in the future.

Operating and financial review

Investment operations over the half year resulted in an operating profit before tax of $3,283,317 (2016: $1,775,071) and an operating profit after tax of $2,423,739 (2016: $1,332,878). The profit for the period is reflective of the sound performance of the investment portfolio over the six months to 31 December 2017, as well as the growth in assets in comparison to the prior period. The investment portfolio increased 11.2% in the six months to December 2017, outperforming the UBS Bank Bill Index which increased 0.9% and the S&P/ASX All Ordinaries Accumulation Index which rose 9.3%. The investment portfolio performance was achieved with an average cash weighting of 25.3%.

Under Accounting Standards, realised gains and losses on the investment portfolio and dividend income are added to or reduced by changes in the market value of the Company’s investments. This can lead to large variations in reported profits. We believe a more appropriate measure of the results is the change in Net Tangible Assets (NTA) per share and the fully franked dividends paid. This performance measure shows the change in the value of the assets that belong to the shareholders over the six month period.

WAM Active’s before tax NTA, after adjusting for dividends, increased 7.0% for the six months to 31 December 2017. This increase is after tax paid of 1.1 cents per share or 1.1%, with 2.75 cents of fully franked dividends being paid during the period. Corporate tax payments made throughout the period and performance fees accrued of 2.1% were the major items of difference between the investment portfolio performance of 11.2% and the net tangible asset performance. The franking credits attached to corporate tax payments are available for distribution to shareholders through fully franked dividends. Other items contributing to the change in the value of the assets during the period were management fees of 0.5% and other company related expenses of 0.6%, being offset by capital raising accretion of 0.1%.

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WAM Active Limited wilsonassetmanagement.com.au 4 Half Year Report Dec 2017 ABN 49 126 420 719

Director’s Report to shareholders for the half year ended 31 December 2017

The NTA before tax as at 31 December 2017 amounted to $1.11 per share (June 2017: $1.06). The NTA after tax was $1.09 per share (June 2017: $1.05). These figures are after 2.75 cents in fully franked dividends paid to shareholders during the period.

The total shareholder return for the Company for the period to 31 December 2017 was 6.2%. This was primarily driven by WAM Active’s investment portfolio performance during the period. This measure does not value the potential benefit of franking credits distributed to shareholders through fully franked dividends.

A final dividend of 2.75 cents per share fully franked was paid in the period to 31 December 2017 and an interim dividend of 2.85 cents per share fully franked has been declared by the Board and will be paid on 27 April 2018.

On 11 August 2016, the Company announced a one-for-one bonus option issue to all shareholders at no cost. A total of 34,992,362 options were allotted to shareholders on the 19 September 2016. The options have an exercise price of $1.14 per share and can be exercised at any time on or before 17 September 2018. The Board is committed to growing the Company to the benefit of all shareholders and the bonus option issue is an effective way to do so. As the Company’s size increases, on-market 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. The options are currently trading on the Australian Securities Exchange under the code WAAO.

As at 31 December 2017, 4,579,902 options had been exercised for a total consideration of $5,221,088, with the remaining balance of outstanding options being 30,412,460. Shareholders who exercise their options before 6 April 2018 will be eligible to receive the fully franked interim dividend of 2.85 cents per share.

Rounding of amounts to nearest dollar

In accordance with ASIC Corporations (rounding in Directors’ Reports) Instrument 2016/191, the amounts in the Directors’ Report have been rounded to the nearest dollar, unless otherwise indicated.

Auditor’s Independence Declaration

A copy of the Auditor’s Independence Declaration as required under Section 307C of the Corporations Act 2001 in relation to the review for the half-year is set out on page 6 of this financial report.

Signed in accordance with a resolution of the Board of Directors.

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Geoff Wilson AO Chairman

Dated in Sydney this 22[nd] day of February 2018

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WAM Active Limited wilsonassetmanagement.com.au 5 Half Year Report Dec 17 ABN 49 126 420 719

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Auditor’s Independence Declaration To the Directors of WAM Active Limited ABN 49 126 420 719

In relation to the independent auditor’s review for the half-year ended 31 December 2017, to the best of my knowledge and belief there have been:

• (i) no contraventions of the auditor independence requirements of the Corporations Act 2001; and

• (ii) no contraventions of any applicable code of professional conduct in relation to the review.

This declaration is in respect of WAM Active Limited during the period.

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Chris Chandran Partner

Pitcher Partners Sydney

22 February 2018

6

Pitcher Partners is an association of independent firms Melbourne | Sydney | Perth | Adelaide | Brisbane| Newcastle An independent member of Baker Tilly International

An independent New South Wales Partnership. ABN 17 795 780 962. Level 22 MLC Centre, 19 Martin Place, Sydney NSW 2000 Liability limited by a scheme approved under Professional Standards Legislation

Statement of comprehensive income for the half year ended 31 December 2017

Net realised and unrealised gains on financial assets Investment revenue Performance fees Management fees Directors fees Expenses paid on borrowed stock Custody fees ASX listing and chess fees Share registry fees Brokerage expense on share purchases Other expenses from ordinary activities Profit before income tax Income tax expense Profit after income tax attributable to members of the Company Other comprehensive income Other comprehensive income for the period, net of tax Total comprehensive income for the period Basic and diluted earnings per share	Note December 2017 $ December 2016 $
	4,005,981 1,712,811
	2 747,347 1,115,555
	(866,739) (457,102)
	(224,230) (197,745)
	(45,000) (45,000)
	(60,123) (27,080)
	(2,027) (1,534)
	(43,866) (44,413)
	(14,295) (17,197)
	(128,039) (141,527)
	(85,692) (121,697)
	3,283,317 1,775,071
	(859,578) (442,193)
	6 2,423,739 1,332,878
	- -
	2,423,739 1,332,878
	6.2 cents 3.8 cents

The accompanying notes form part of these financial statements.

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WAM Active Limited Half Year Report Dec 2017

wilsonassetmanagement.com.au 7 ABN 49 126 420 719

Statement of financial position as at 31 December 2017

Current assets Cash and cash equivalents Trade and other receivables Financial assets Total current assets Non-current assets Deferred tax assets Total non-current assets Total assets Current liabilities Financial liabilities Trade and other payables Current tax liabilities Total current liabilities Non-current liabilities Deferred tax liabilities Total non-current liabilities Total liabilities Net assets Equity Issued capital Profits reserve Accumulated losses Total equity	Note December 2017 $ June 2017 $
	5,937,684 11,396,915
	150,292 2,130,097
	7 39,770,206 32,564,997
	45,858,182 46,092,009
	22,675 26,026
	22,675 26,026
	45,880,857 46,118,035
	8,497 2,918,255
	1,209,176 1,956,648
	847,338 401,327
	2,065,011 5,276,230
	6,897 23,063
	6,897 23,063
	2,071,908 5,299,293
	43,808,949 40,818,742
	4 41,073,939 39,409,263
	5 4,052,769 2,727,238
	6 (1,317,759) (1,317,759)
	43,808,949 40,818,742

The accompanying notes form part of these financial statements.

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WAM Active Limited Half Year Report Dec 2017

wilsonassetmanagement.com.au 8 ABN 49 126 420 719

Statement of changes in equity for the half year ended 31 December 2017

Balance at 1 July 2016 Profit for the half year Transfer to profits reserve Other comprehensive income for the half year Transaction with owners: Shares issued via dividend reinvestment plan Shares issued via exercise of options Share issue costs (net of tax) Dividends paid Balance at 31 December 2016 Balance at 1 July 2017 Profit for the half year Transfer to profits reserve Other comprehensive income for the half year Transaction with owners: Shares issued via dividend reinvestment plan Shares issued via exercise of options Dividends paid Balance at 31 December 2017		Note Issued capital $ Accumulated losses $ Profits reserve $ Total equity $
		35,263,028 (1,317,759) 2,610,458 36,555,727
		- 1,332,878 - 1,332,878
		(1,332,878) 1,332,878 -
		- - - -
		4(b) 197,299 - - 197,299
		468,571 - - 468,571
		4(b) (48,992) - - (48,992)
		3(a) - - (887,832) (887,832)
		35,879,906 (1,317,759) 3,055,504 37,617,651
		39,409,263 (1,317,759) 2,727,238 40,818,742
		- 2,423,739 - 2,423,739
		5 (2,423,739) 2,423,739 -
		- - - -
		4(b) 219,400 - - 219,400
		4(b) 1,445,276 - - 1,445,276
		3(a) - - (1,098,208) (1,098,208)
		41,073,939 (1,317,759) 4,052,769 43,808,949

The accompanying notes form part of these financial statements.

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WAM Active Limited wilsonassetmanagement.com.au 9 Half Year Report Dec 2017 ABN 49 126 420 719

Statement of cash flows for the half year ended 31 December 2017

Cash flows from operating activities Proceeds from sale of investments Payments for purchase of investments Dividends received Interest received Other investment income received Management fees (GST inclusive) Performance fees (GST inclusive) Brokerage expense on share purchases (GST inclusive) Payments for administration expenses (GST inclusive) GST on brokerage expense on share sales Net GST received from the ATO Income tax paid Net cash used in operating activities Cash flows from financing activities Shares issued via exercise of options Dividends paid – net of reinvestment Share issue costs Net cash provided by/(used in) financing activities Net decrease in cash and cash equivalents held Cash and cash equivalents at the beginning of the half year Cash and cash equivalents at end of the half year Non-cash transactions: Shares issued via dividend reinvestment plan	December 2017 $ December 2016 $
	81,322,312 74,703,099
	(86,383,826) (82,720,274)
	489,060 524,779
	96,833 126,073
	144,458 396,883
	(237,307) (211,568)
	(734,975) (1,139,721)
	(137,393) (151,777)
	(234,802) (269,125)
	(8,090) (8,573)
	84,413 112,618
	(426,382) (163,147)
	(6,025,699) (8,800,733)
	1,445,276 468,571
	(878,808) (690,533)
	- (69,988)
	566,468 (291,950)
	(5,459,231) (9,092,683)
	11,396,915 15,974,380
	5,937,684 6,881,697
	219,400 197,299

The accompanying notes form part of these financial statements.

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WAM Active Limited Half Year Report Dec 2017

wilsonassetmanagement.com.au 10 ABN 49 126 420 719

Notes to the financial statements for the half year ended 31 December 2017

1. Summary of significant accounting policies

These condensed interim financial statements and notes for the half year represent those of WAM Active Limited.

The half year financial report was authorised for issue on 22 February 2018 by the Board of Directors.

Basis of preparation

The half year financial statements are general purpose financial statements that have been prepared in accordance with the requirements of the Corporations Act 2001 and Australian Accounting Standard AASB 134: Interim Financial Reporting, as appropriate for for-profit oriented entities. Compliance with AASB 134 ensures compliance with International Financial Reporting Standard IAS 34: Interim Financial Reporting.

The half year report does not include full disclosures of the type normally included in an annual financial report. It is recommended that the half year financial report be read in conjunction with the Annual Financial Report for the year ended 30 June 2017 and any public announcements made by the Company during the half year in accordance with continuous disclosure requirements arising under the Corporations Act 2001.

Except for cash flow information, the financial statements have been prepared on an accruals basis and are based on historical cost with the exception of certain financial assets and liabilities that have been measured at fair value.

In accordance with ASIC Corporations (rounding in financial reports) Instrument 2016/191, the amounts in the financial report have been rounded to the nearest dollar, unless otherwise indicated.

There are no new and revised accounting requirements significantly affecting the half year financial statements. The accounting policies have been consistently applied by the Company throughout the period and are consistent with those applied in the 30 June 2017 Annual Financial Report.

2. Investment revenue

Australian sourced dividends Interest Trust distributions Foreign sourced dividends Underwriting fees	December 2017 $ December 2016 $
	478,848 356,332
	99,664 113,200
	149,973 622,120
	17,460 19,570
	1,402 4,333
	747,347 1,115,555

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WAM Active Limited wilsonassetmanagement.com.au 11 Half Year Report Dec 2017 ABN 49 126 420 719

Notes to the financial statements for the half year ended 31 December 2017

3. Dividends

a) Ordinary dividends paid during the period

Final Dividend FY2017: 2.75 cents per share fully franked at 30% tax rate paid 27 October 2017 (Final dividend FY2016: 2.5 cents per share fully franked) b) Dividends not recognised during the period Since the end of the period the Directors have declared an interim fully franked dividend of 2.85 cents per share payable on 27 April 2018 (Interim dividend FY2017: 2.75 cents per share fully franked). 4. Issued capital a) Paid-up capital 40,268,018 ordinary shares fully paid (June 2017: 38,802,828) b) Ordinary shares Balance at the beginning of the period 197,403 ordinary shares issued on 27 October 2017 under a dividend reinvestment plan 1,267,787 ordinary shares issued from the exercise of options at $1.14 175,879 ordinary shares issued on 28 October 2016 under a dividend reinvestment plan 205,119 ordinary shares issued on 26 May 2017 under a dividend reinvestment plan 3,312,115 ordinary shares issued from the exercise of options at $1.14 Share issue costs (net of tax) At reporting date	December 2017 $ December 2016 $
	1,098,208 887,832
	December 2017 $ December 2016 $
	1,147,639 1,061,248
	December 2017 $ June 2017 $
	41,073,939 39,409,263
	December 2017 $ June 2017 $
	39,409,263 35,263,028
	219,400 -
	1,445,276 -
	- 197,299
	- 222,115
	- 3,775,813
	- (48,992)
	41,073,939 39,409,263

c) Options

On 11 August 2016, the Company announced a one-for-one bonus option issue to all shareholders at no cost. A total of 34,992,362 options were allotted to shareholders on the 19 September 2016. The options have an exercise price of $1.14 per share and can be exercised at any time on or before 17 September 2018. The options are currently trading on the Australian Securities Exchange under the code WAAO. As at 31 December 2017, 4,579,902 options had been exercised for a total consideration of $5,221,088, with the remaining balance of outstanding options being 30,412,460.

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WAM Active Limited Half Year Report Dec 2017

wilsonassetmanagement.com.au 12 ABN 49 126 420 719

Notes to the financial statements for the half year ended 31 December 2017

5. Profits reserve

5. Profits reserve
Profits reserve	December 2017 $ June 2017 $
	4,052,769 2,727,238

The profits reserve is made up of amounts transferred from current period profits which are preserved for future dividend payments.

Movement in profits reserve Balance at the beginning of the period Transfer of profits during the period Final dividend paid (refer to note 3a) Interim dividend paid (refer to note 3b) At reporting date	December 2017 $ June 2017 $
	2,727,238 2,610,458
	2,423,739 2,065,860
	(1,098,208) (887,832)
	- (1,061,248)
	4,052,769 2,727,238

6. Accumulated losses

Balance at the beginning of the period Profit for the period attributable to members of the Company Transfer to profits reserve At reporting date	December 2017 $ June 2017 $
	(1,317,759) (1,317,759)
	2,423,739 2,605,860
	(2,423,739) (2,605,860)
	(1,317,759) (1,317,759)

7. Financial instruments measured at fair value

AASB 13: Fair Value Measurement requires the disclosure of fair value information using a fair value hierarchy reflecting the significance of the inputs in making the measurements. The fair value hierarchy consists of the following levels:

Level 1: Quoted prices in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability either directly (as prices) or indirectly (derived from prices).

Level 3: Inputs for the asset or liability are not based on observable market data (unobservable inputs).

Included within Level 1 of the hierarchy are listed investments. The fair values of these financial assets and liabilities have been based on the closing quoted last prices at the end of the reporting period, excluding transaction costs.

In valuing unlisted investments, included in Level 2 of the hierarchy, valuation techniques such as those using comparisons to similar investments for which market observable prices are available or the last sale price have been adopted to determine the fair value of these investments.

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WAM Active Limited wilsonassetmanagement.com.au 13 Half Year Report Dec 2017 ABN 49 126 420 719

Notes to the financial statements for the half year ended 31 December 2017

7. Financial instruments measured at fair value (cont’d)

The following table presents the Company’s financial assets and liabilities measured and recognised at fair value at 31 December 2017:

31 December 2017 Financial assets Financial liabilities Total 30 June 2017 Financial assets Financial liabilities Total	Level 1 $ Level 2 $ Level 3 $ Total $
	39,593,726 176,480 - 39,770,206
	(8,497) - - (8,497)
	39,585,229 176,480 - 39,761,709
	Level 1 $ Level 2 $ Level 3 $ Total $
	32,005,726 559,271 - 32,564,997
	(2,918,255) - - (2,918,255)
	29,087,471 559,271 - 29,646,742

8. Segment reporting

The Company currently engages in investing activities, including cash, term deposits and equity investments. It has no reportable business or geographic segments.

9. Capital commitments

There were no capital commitments entered into by the Company before period end which settle after period end (June 2017: nil).

10. Contingent liabilities

There were no contingent liabilities for the company as at 31 December 2017 (June 2017: nil).

11. Events subsequent to reporting date

Since the end of the period, the Board declared an interim dividend of 2.85 cents per share fully franked to be paid on 27 April 2018.

No other matters or circumstance has arisen since the end of the period, other than already disclosed, which significantly affect or may significantly affect the operations of the Company, the results of those operations or the state of affairs of the Company in subsequent financial periods.

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WAM Active Limited wilsonassetmanagement.com.au 14 Half Year Report Dec 2017 ABN 49 126 420 719

Directors’ Declaration

The Directors of WAM Active Limited declare that:

1. The financial statements and notes, as set out on pages 7 to 14, are in accordance with the Corporations Act 2001, including:

2. a) complying with Australian Accounting Standard AASB 134: Interim Financial Reporting, the Corporations Regulations 2001 and other mandatory professional reporting requirements; and

3. b) giving a true and fair view of the financial position of the Company as at 31 December 2017 and of its performance for the half year ended on that date.

4. In the Directors’ opinion there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of the Board of Directors.

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Geoff Wilson AO Chairman

Dated in Sydney this 22[nd] day of February 2018

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WAM Active Limited wilsonassetmanagement.com.au 15 Half Year Report Dec 2017 ABN 49 126 420 719

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Independent Auditor’s Review Report to the Members of WAM Active Limited ABN 49 126 420 719

Report on the period of Half Year Financial Report

We have reviewed the accompanying half-year financial report of WAM Active Limited (“the company”) , which comprises the statement of financial position as at 31 December 2017, statement of comprehensive income, statement of changes in equity and statement of cash flows for the halfyear ended on that date, a summary of significant accounting policies, other selected explanatory notes and the directors’ declaration of the company.

Directors’ Responsibility for the period of Half Year Financial Report

The directors of the company are responsible for the preparation of the half-year financial report that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001 and for such internal controls as the directors determine is necessary to enable the preparation of the half-year financial report that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express a conclusion on the half-year financial report based on our review. We conducted our review in accordance with Auditing Standard on Review Engagements ASRE 2410: “ Review of a Financial Report Performed by the Independent Auditor of the Entity ”, in order to state whether, on the basis of the procedures described, we have become aware of any matter that makes us believe that the half-year financial report is not in accordance with the Corporations Act 2001 including giving a true and fair view of the company’s financial position as at 31 December 2017 and its performance for the half-year ended on that date; and complying with Accounting Standard AASB 134: “ Interim Financial Reporting ” and the Corporations Regulations 2001 . As the auditor of WAM Active Limited, ASRE 2410 requires that we comply with the ethical requirements relevant to the audit of the annual financial report.

A review of the half-year financial report consists of making enquiries, primarily of persons responsible for the financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Australian Auditing Standards and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

16

Pitcher Partners is an association of independent firms Melbourne | Sydney | Perth | Adelaide | Brisbane| Newcastle An independent member of Baker Tilly International

An independent New South Wales Partnership. ABN 17 795 780 962. Level 22 MLC Centre, 19 Martin Place, Sydney NSW 2000 Liability limited by a scheme approved under Professional Standards Legislation

Independent Auditor’s Review Report to the Members of WAM Active Limited ABN 49 126 420 719

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Independence

In conducting our review, we have complied with the independence requirements of the Corporations Act 2001 .

Conclusion

Based on our review, which is not an audit, we have not become aware of any matter that makes us believe that the half year financial report of WAM Active Limited is not in accordance with the Corporations Act 2001 , including:

• (i) giving a true and fair view of the company’s financial position as at 31 December 2017 and of its performance for the half-year ended on that date; and

• (ii) complying with Accounting Standard AASB 134: Interim Financial Reporting and Corporations Regulations 2001.

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Chris Chandran Partner

Pitcher Partners Sydney

22 February 2018

17

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wilsonassetmanagement.com.au info@wilsonassetmanagement.com.au Telephone. + 61 2 9247 6755 Level 11, 139 Macquarie Street Fax. +61 2 9247 6855 Sydney NSW 2000 Australia