WAM ACTIVE LIMITED — Net Asset Value 2016

Jan 13, 2016

AS AT 31 DECEMBER 2015

Investment Update & Net Tangible Assets Report

Performance

Performance
						Since
Performance at 31 December 2015	1 Mth	Fin YTD	1 Yr	3 Yrs %pa	5 Yrs %pa	Inception %pa (Jan-08)
WAA Investment Portfolio*	1.3%	14.4%	19.3%	14.7%	11.8%	13.2%
S&P/ASX All Ordinaries Accumulation Index	2.6%	0.4%	3.8%	9.3%	6.5%	2.1%
Outperformance	-1.3%	+14.0%	+15.5%	+5.4%	+5.3%	+11.1%
UBS Bank Bill Index	0.2%	1.1%	2.3%	2.6%	3.4%	4.1%
Outperformance	+1.1%	+13.3%	+17.0%	+12.1%	+8.4%	+9.1%

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

Net Tangible Assets (NTA) figures

NTA before tax	104.53c
NTA after tax and before tax on unrealised gains NTA after tax	104.88c 104.84c***

These figures are after the payment of $412k (1.2 cents per share) in tax during the month. ***Includes tax assets of 0.35 cents per share. Includes the net effect of 0.35 cents of tax assets and 0.04 cents of tax liabilities per share.

Market overview

In December 2015 the S&P/ASX All Ordinaries Accumulation Index climbed 2.6% to close the calendar year up a lacklustre 3.8%. The index was in negative territory for the first half of the month as global equity and commodity prices collapsed and the market factored in expectations of a United States rate increase, which came to fruition on 16 December. After early signs of strong Christmas spending, the market rallied in the final two weeks of the month rising almost 8%.

Australian employment data released in December was very strong, pointing to an increase of 71,000 jobs in November – one of the largest rises on record. However, the Federal Government released a downbeat mid-year economic and fiscal outlook (MYEFO), which saw Federal deficit projections downgraded by $26 billion to $108 billion over the next four years.

The Australian equities market has experienced a negative start to 2016 driven by renewed concerns around global growth, in particular out of China.

Our conservative cash weighting enables us to preserve capital in times of heightened volatility and provide the flexibility to pursue opportunities that arise.

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WAM Active Limited

WAM Active Limited
ASX Code	WAA
Listed	Jan 2008
Gross assets	$37.7m
Market cap	$37.4m
Share price	$1.07
NTA before tax	$1.05
Shares on issue	34,909,728
Fullyfranked final dividend(FY2015)	2.5c

Investment objectives

• Deliver a regular income stream via fully franked dividends

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

• Preserve capital

Company overview

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

Investment & Management Team

Geoff Wilson Chairman/Portfolio Manager

Kate Thorley Chief Executive Officer/ Company Secretary

Chris Stott Chief Investment Officer/ Portfolio Manager

Matthew Haupt Portfolio Manager

Martin Hickson Senior Equity Analyst/Dealer

Tobias Yao Equity Analyst

James McNamara Communications Manager

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AS AT 31 DECEMBER 2015

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Investment Update & Net Tangible Assets Report

Diversified portfolio

Diversified portfolio
November 2015 Investment Type $m %	December 2015
	$m %
Listed Equities 32.3 85.3	30.2 79.1
Fixed Interest & Cash 5.6 14.7	8.0 20.9
Long Portfolio 37.9 100.0
	38.2 100.0
Short Portfolio (0.3) (0.9)
	(0.5) (1.3)
Gross Assets $37.6m
	$37.7m*
Total shares on issue 34,909,728
	34,909,728

*This figure is after the payment of $412k (1.2 cents per share) in tax during the month.

Top holdings

Top	holdings
		Market	Market Value
Code	Company	Value	as % Gross
		$	Assets
HHV	Hunter Hall Global Value Limited	2,610,573	6.9%
CYA	CenturyAustralia Investments Limited	1,494,762	4.0%
MYR	Myer Holdings Limited	1,253,294	3.3%
TWE	Treasury Wine Estates Limited	1,207,384	3.2%
MYX	Mayne Pharma Group Limited	1,140,274	3.0%
AOG	Aveo Group	1,056,044	2.8%
SGF BGA	SG Fleet GroupLimited Bega Cheese Limited	1,009,004 876,663	2.7% 2.3%
DMP	Domino's Pizza Enterprises Limited	858,165	2.3%
IPP	iProperty Group Limited	814,980	2.2%
NUF	Nufarm Limited	809,867	2.2%
JBH	JB Hi-Fi Limited	808,675	2.1%
SUL	Super Retail GroupLimited	802,842	2.1%
NAB ALL	National Australia Bank Limited Aristocrat Leisure Limited	793,596 791,857	2.1% 2.1%
PPT	Perpetual Limited	760,068	2.0%
VED	Veda Group Limited	729,772	1.9%
GJT	Galileo Japan Trust	706,418	1.9%
TGG	Templeton Global Growth Fund Limited	617,747	1.6%
HGG	Henderson Group PLC	600,172	1.6%

Sector allocation

20.9% -1.3% 29.9% 1.0% 0.1% 2.1% 5.7% 6.2% 18.1% 7.1% 8.9% Financials 29.9% Consumer Discretionary 18.1% Consumer Staples 8.9% Industrials 7.1% Information Technology 6.2% Health Care 5.7% Materials 2.1% Energy 1.0% Telecommunication Services 0.1% Short Stock -1.3% Cash and Fixed Interest 20.9%

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Investment Update & Net Tangible Assets Report AS AT 31 DECEMBER 2015

Dividends

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On 30 October 2015, the Company paid a fully franked final dividend for FY15 of 2.5 cents per share. The Directors intend to pay an interim dividend in FY2016, which will be announced with the release of WAA’s half year results in February 2016, provided the Company has sufficient profit reserves and franking credits, and it is within prudent business practices. The Company’s ability to generate franking credits is dependent upon the receipt of franked dividends from investments and the payment of tax. 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.

WAM Active dividends since inception

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Cents per share
12.0
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
Return of Capital Fully franked dividends
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