AMCBF1 - | - PORTFOLIO - | - ANNOUNCEMENTS - | - SHAREHOLDER INFORMATION

The Australian Masters Corporate Bond Fund No 1 ('AMCBF#1’) was established to provide Australian retail investors access to the Australian wholesale senior bond market through a simple, cost effective corporate structure. The Company raised $54.3 million through a prospectus raising completed in June 2008.

This Company provides access for Australian domiciled retail investors to an underlying portfolio of high ranking senior Australian corporate debt issued by quality Australian companies.

The Company is managed by Dixon Advisory & Superannuation Services Limited.
The Company employs a static, or ‘buy and hold’ portfolio management style, selecting a portfolio of high quality senior bonds denominated in Australian dollars and issued by Australian companies and generally holding these bonds until maturity.

Since June 2008, the Company assembled a portfolio of wholesale bonds from the 15 different issuers, some of which have already matured while the other bonds within the portfolio have staggered maturities ranging from less than one year to just under five years. For the bonds which have matured, proceeds are currently actively managed in cash investments. The aggregate purchase price of the bonds from the 15 different issuers totaled $50.5 million. At the time of purchase, the bonds had yields to maturity of between 8.59% to 10.65%.

The Company expects to continue to pay two fully franked dividends per year. The Company will seek Shareholder approval to execute capital returns from time to time, passing capital proceeds derived from the maturity of bonds back to investors.