Investment Approach

The Fund will initially be invested on an approximately equally weighted basis in the common shares of the five largest Australian banks: Australia and New Zealand Banking Group, Commonwealth Bank of Australia, Macquarie Group Limited, National Australia Bank and Westpac Banking Corporation.

Each month the Manager may sell call options on approximately, and not more than, 25% of the common shares of each Bank held in the Portfolio. The Manager intends that such options will be sold at a strike price that is ‘‘at-the-money’’ (that is at or close to the current market price of the bank shares held in the portfolio).