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First World Hybrid Real Estate PlcAccessed through a mandate with FIM Capital

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First World Hybrid Real Estate Plc (“FWHRE” or the "Fund") is a real estate investment company that invests in a combination of direct real estate and listed real estate investment trusts (“REITS”).

The objective of this Fund is to combine the benefits of direct and listed First World real estate to generate a reliable, predictable and growing income. With the majority of the return generated from the income yield, the investment outcome can be anticipated with a reasonable degree of certainty.

This reliable and predictable income is achieved by investing in a diversified portfolio of UK warehousing and regional offices where:

• The properties are well located in the United Kingdom and are not of a specialised nature.

• The tenants are large, multinational and/or listed companies with a Dun and Bradstreet 4A1 or 5A1 rating.

• A long term lease is in place.

• The tenant is responsible for all maintenance and insurance of each property.

• The lease has upwards only reversions.

• Growth in the net income will arise from any rental increase which are contained in the leases and upward rent adjustments in terms of the contractual lease reviews.

What is First World Hybrid Real Estate Plc?

Direct Real Estate Portfolio

• Liquid

• Priced on stock market, therefore more volatile pricing

• Diversified

• Liquid

Listed REITs

Cash

• Prime UK real estate, yielding approximately 6%

• Weighted average remaining lease term > 10 years

• Each property is independently appraised at least annually on a rolling basis, therefore less volatile pricing

FWHRE invests in a portfolio of primarily direct real estate, listed REITS and cash. The higher weighting in direct real estate can be attributed to the higher yields relative to listed real estate. The cash and REITs provide liquidity for redemptions.


Combine the Benefits of Direct and Listed First World Real Estate

LiquidityThe portfolio includes listed Real Estate Investment Trusts (REIT’s). These REIT’s are readily traded and sold on first world stock exchanges and hence provide reasonable liquidity for redemption requests. The cash and REITs provide liquidity, with cash managed to reasonable working capital levels to avoid unnecessary yield dilution.

Low VolatilityFWHRE property investment criteria should enhance the reliable and predictable nature of the income stream and because the direct real estate will be revalued at least annually on a rolling property basis, price volatility is likely to remain low.

FlexibilityAdjusting asset allocation to take advantage of the higher yields in either direct or listed real estate as listed prices move between premiums and discounts to net asset value, will enhance the investor’s overall return.

Enhanced Yield Resulting in Enhanced Returns

Positive LeverageA portion of the direct real estate is financed by debt resulting in positive leveraging due to the differential between the cost of financing (currently under 2.5%) and the yields offered by direct real estate. This enhances the yield of the portfolio. FWHRE limits debt to 50% of the value of the direct real estate. Including the listed REITS and cash, the leverage position is lower than 50% overall. FWHRE can manage the interest rate risk by potentially fixing the debt and/or reducing the debt ratio.

High Income ReturnWithout any price appreciation, the investor may achieve a return of approximately 5% per annum as a result of the dividend yield (before fees). The quality of the real estate and the tenants will ensure this outcome can be anticipated with a reasonable degree of certainty.

Regulated Environment

FWHRE is a Regulated Fund in the Isle of Man and is subject to the Isle of Man Collective Investment Schemes (Regulated Fund) Regulations 2010. It is managed by FIM Capital Limited (“FIM Capital”) who is regulated by the Isle of Man Financial Services Authority, and the FCA in the UK. FWHRE is listed on the Channel Islands Securities Exchange and is subject to the Exchange’s listing rules.

The fiduciary custodian of the Fund, EFG Fund Services, a division of EFG Wealth Solutions (Jersey) Limited, is licensed to act as a fiduciary custodian by the Jersey Financial Services Commission. The fiduciary custodian is responsible for ensuring that the Fund is being managed and operated in accordance with the Offering Document and regulation, as well for keeping the assets of the Fund in its safe custody.

Why First World Hybrid Real Estate Plc?


Asset SwapWhere investors have no further allowance to invest offshore, they can utilise Marriott’s asset swap capacity to invest in FWHRE. This facility is also available to trusts and companies wishing to invest into FWHRE.

ProbateDeath Bed DonationMarriott recommends the use of either a death bed donation and/or a joint account. A death bed donation takes effect on the day preceding the death of the deceased investor and is the legal mechanism for transferring ownership to surviving beneficiaries. As the investment is no longer owned by the original investor on the day of their death, the investment will not form part of an offshore estate for probate purposes.

From a South African tax perspective death bed donations are deemed to be dutiable property of the deceased estate* and therefore still attract estate duty. To avoid double taxation, however, they are excluded from donations tax**.

Joint Account HoldersAn investor may elect to open a joint account with another investor. In the event of the death of one joint holder, the whole of the portfolio will automatically vest in the joint surviving holder or holders. If a joint account investor elects a death bed donation, the donation has precedence and the investor will be deemed to have donated their investment the day before their death. The investor’s portion of the joint account will therefore be transferred to the listed beneficiaries effective the day before their death.

Joint accounts and death bed donations can be elected in the application form. Investors are encouraged to seek independent tax advice suitable to their personal circumstances.

Online Investment Statements and Investment Planning Tool

Additional Features

* in terms of Section 3(3)(b) of the South Africa Estate Duty Act** in terms of section 56(1) of the South African Income Tax Act

Investors will have secure online access to view their current portfolio valuations and detailed portfolio statements are also available for custom date ranges. The online investment planning tool provides you with an on-going indication of future income and capital values, adjusted for inflation.

Please see page 12 for additional Technical Information.


Real Estate OverviewDirect Real EstateThe direct real estate portfolio comprises 12 properties with a total value of over GBP60 million. The portfolio has a strong weighting to warehousing (predominantly distribution warehousing but also standalone retail warehousing) in addition to two regional office properties.

The properties are well let on fully repairing and insuring leases to strong tenants. All tenants have the highest possible Dun & Bradstreet rating of 5A1.

FWHRE targets a portfolio weighted average unexpired lease term (WAULT) of not less than 10 years - current WAULT is 12 years. No leases are subject to expiry or break within the next 5 years; and more than 75% of the leases only expire or break in more than 10 years’ time.

This together with the lease structure and the financial standing of the tenants enhances the predictability of future rental flows.

REITs FWHRE invests into substantial, diversified REITs to maintain liquidity. The REIT portfolio in FWHRE has geographical diversification, as well as sectoral diversification, with a spread in warehousing, retail and offices.

REITs contribute substantially to the liquidity of FWHRE in that they are readily traded on first world stock exchanges. The REITs chosen for FWHRE are all market leaders which are committed to dividend payments.

The current REIT portfolio is summarised in the table below:

Security Weighting Market Cap Index Property Sector Exposure

British Land 35% £7.1bn FTSE100 51% retail, 49% offices and residential

Hammerson 29% £4.5bn FTSE100 100% Shopping Centres, Retail Parks and Premium Outlets

Segro 36% £3.1bn FTSE350 100% Industrial (Warehousing/logistics)

Distribution Warehouse

Retail Warehouse

Regional Offices

>5 years and <10 years

>10 years and <15 years

>15 years

64%

22%14%

65%

16%

19%

Property Sector Type by ValueLT Target: 75% Warehousing, 25% Regional Offices

Lease Expiry Profile by ValueWAULT Target > 10 yrs, Actual >12 yrs

Portfolio Analysis:


Bidvest – Cannock, Birmingham

Matthew Clark – Runcorn, Liverpool

DPD – Snetterton, East Anglia

Sheffield Insulations – Cardiff, Wales

Booker Cash and Carry – Lincoln, Midlands

B&M Retail – Towcester, Northamptonshire

FPE Seals – Darlington, Durham

Keepmoat – Lakeside, Doncaster

Iron Mountain – Premier Park, Leeds

Wickes – Grimsby, East Lincolnshire

Vanquis Bank – Thames Gateway, Kent

Spectrum Brands – Wombourne, Wolverhampton4

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Property Locations

Direct Real Estate Holdings

Bidvest Food ServicesThis property, situated in what is known as the “Golden Triangle” for logistics and distribution real estate in the United Kingdom, has a lease with a Bidvest subsidiary, expiring on 13 October 2025. It is a modern industrial unit constructed in 2005 totalling 66 114 sq ft. Well located in Cannock’s prime distribution and logistics centre, it is in close proximity to occupiers such as Unilever, APC Overnight and DHL.

Technical details:

Location: Cannock, Birmingham

Building use:

A single storey, purpose-built distribution warehouse (including ambient, cold and freezer storage) with two floors of ancillary office accommodation

Size of building: 66 114 square foot (site cover of 26%)

Tenant: Bidvest Food Services Limited (D&B 5A1)

Lease expiry date: 13 October 2025

Acquisition Yield: 7.8%

Type of lease:Fully repairing and insuring (i.e. tenant responsible for all operating costs), upwards only 5 yearly rental reviews

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Technical details:

Location: Snetterton, East Anglia

Building use:A single storey, modern distribution warehouse with two floors of ancillary office accommodation


Tenant: DPD Group UK Limited (D&B 5A1)

Lease expiry date: 9 May 2033



DPDThis property, situated adjacent to the A11 in Snetterton being 6 miles north east of Thetford and 20 miles west of Norwich, has a lease with DPD Group UK Ltd, expiring on 9 May 2033. DPD, is an international parcel delivery company owned by Geopost Ltd, and ultimately by the French Post Office, has more than 800 depots in more than 40 countries and is Europe’s leading business to business parcel delivery services. This brand new distribution shed of 37 242 sq ft has 26 level access doors and 5 dock levellers and delivers more than 12 000 parcels a day across East Anglia.

Technical details:

Location: Runcorn, Liverpool

Building use:A single storey, modern distribution warehouse with two floors of ancillary office accommodation


Tenant: Matthew Clark Wholesale Limited (D&B 5A1)

Lease expiry date: 6 December 2024

Acquisition Yield: 7%


Matthew ClarkThis property, situated in Runcorn in the Liverpool area in the United Kingdom, has a lease with Matthew Clark Wholesale Ltd, part of a London Stock Exchange listed group, expiring on 6 December 2024. The company is a UK based drinks distributor with over 1 200 employees and annual turnover in excess of £700 million. It is a modern distribution unit constructed in 2002 totalling 52 391 sq ft.


Booker Cash and CarryThe property is prominently located approximately 4 miles south west of the Lincoln city centre in the commercial area known as South West Quarter Business District and has a lease expiring on 13 March 2024. This business node has good access via the A46 to the A1 and the Lincoln City centre. The property comprises a modern warehouse used as a cash and carry operation by Booker Limited, a wholly owned subsidiary of Booker Group plc, which is listed on the London Stock Exchange. Booker is a long established business and the UK’s leading food wholesaler with over 500 000 customers including independent convenience stores, grocers, leisure outlets, pubs and restaurants.

Technical details:

Location Lincoln, Midlands

Building useA single storey, modern warehouse used as a cash and carry operation

Size of building 47 822 square foot (site cover of 39%)

Tenant Booker Limited (D&B 5A1)

Lease expiry date 13 March 2024

Acquisition Yield 6.8%

Type of leaseFully repairing and insuring (i.e. tenant responsible for all operating costs), upwards only 5 yearly rental reviews

Sheffield InsulationsThis property in Cardiff, situated in the capital city of Wales approximately 150 miles west of London, has a lease with SIG Trading Ltd, expiring on 28 August 2028. Trading as Sheffield Insulations this business is a British based leading supplier of building materials to the construction industry specialising in insulation and energy management, roofing and interior fit outs. The company’s ultimate parent company is SIG plc which has been trading for over 50 years. Situated just to the south east of the city centre in Southport Industrial Estate this port location is one of the main warehouse and industrial areas in the city of Cardiff. The property, constructed in 2003, comprises two modern warehouse terraces of steel portal frames and extends to a gross internal floor area of 55 552 sq ft.

Technical details:

Location: Cardiff, Wales

Building use: Two modern warehouse terraces


Tenant: SIG Trading Limited (D&B 5A1)

Lease expiry date: 28 August 2028




Technical details:

Location Towcester, Northamptonshire

Building useA single storey, modern stand alone retail warehouse


Tenant B & M Retail Limited (D&B 5A1)

Lease expiry date 28 September 2028

Acquisition Yield 6%

Type of leaseFully repairing and insuring (i.e. tenant responsible for all operating costs), upwards only 5 yearly rental reviews

B&M RetailThe property is prominently located in the out-of-town retail cluster of Towcester, an affluent market town in Northamptonshire approximately 10 miles south west of Northampton. The property is in close proximity to the roundabout junction of the A5 and A43, providing easy access to the M1. It comprises a standalone, modern, purpose built retail warehouse leased to B&M Retail Limited, which boasts 450 stores in the UK, has 20 000 employees and on average has 2.7m customer transactions per week. The company is a wholly owned subsidiary of the LSE listed and FTSE 250 member B&M European Value Retail S.A.

Technical details:

Location Darlington, Durham

Building useA single storey, modern warehouse with two floors of office space.


Tenant FPE Seals Limited (D&B 5A1)

Lease expiry date 31 August 2030


Type of lease

Fully repairing and insuring (i.e. tenant responsible for all operating costs). Subject to annual 2.5% fixed increases, compounded and effective 5 yearly

FPE SealsThe property is prominently located and forms part of the Yarm Road Interchange, a new high quality mixed use development. It is situated 2 miles east of the Darlington Town Centre and is adjacent to the Darlington Retail Park. It comprises a brand new, single storey modern warehouse with two floors of office accommodation. The property is leased to FPE Seals Limited, a subsidiary of the LSE listed and FTSE 250 member Diploma Group. FPE is a leading supplier of hydraulic and pneumatic seals for heavy mobile machinery and industrial equipment.


Technical details:

Location Premier Park, Leeds

Building useA single storey, warehouse with 2 floors of ancillary office accommodation.

Size of building71 186 square foot plus 3 125 sq ft external canopy area (site cover of 33%)

Tenant Iron Mountain UK Limited (D&B 5A1)

Lease expiry date 4 January 2030


Type of lease

Fully repairing and insuring (ie tenant responsible for all operating costs), subject to annual 2.5% fixed increases, compounded and effective 5 yearly.

Iron MountainThe property is located in Premier Park approximately 9 miles south of Leeds city centre and is adjacent to the M62 motorway, the principal route which links Leeds to Manchester with access to Junction 30 of the motorway in less than 1 mile. The M62 motorway links with the M1, A1 (M), M60 and M6 afford excellent transport throughout the UK. It is a modern unit, constructed in 2002 comprising 71 186 sq ft and benefits from an eaves height of 34 feet, 2 dock levellers and 4 level access loading doors. The property is leased to Iron Mountain UK Ltd, part of a global data storage business, expiring on 4 January 2030.

Technical details:

Location Lakeside, Doncaster

Building useHigh specification office accommodation over 3 floors, used as national headquarters.

Size of building17 557 square foot offices, 325 square foot balconies

Tenant Keepmoat UK Limited (D&B 5A1)

Lease expiry date3 February 2031, with tenant break in Feb 2028 subject to 12 months advance notice


Type of lease

Fully repairing and insuring (ie tenant responsible for all operating costs), with compounded RPI linked rent reviews, effective 5 yearly, Collared and Capped at 2% and 4% pa respectively

KeepmoatThe property is located on Lakeside Boulevard, Doncaster and is approximately 32 miles south east of Leeds. It is a modern office building, constructed in 2006, comprising 17 557 sq ft of high specification office accommodation with unobstructed views across the 50 acre lake. The property is leased to Keepmoat UK Ltd, and houses their UK headquarters. The lease expires in February 2031. Keepmoat is a national market leader in sustainable community regeneration, housing and responsive repairs to the UK housing industry.


Wickes Building SuppliesThe property is located at a very prominent position on the major route into Grimsby from the West, is modern having been developed to Wickes requirements in 2015, comprises 27 061 sqft of ground floor retail warehouse, office areas and a mezzanine provided by Wickes at their cost per their standard specifications. The property is let to Wickes Building Supplies Limited on a 20 year lease expiring 30 April 2035. Wickes, part of the Travis Perkins group of companies, has a business focus on DIY stores, home improvement and garden centre retailing. Travis Perkins plc is listed on the LSE and has a market capitalisation value exceeding £4.5bn.

Technical details:

Location Grimsby, East Lincolnshire

Building useA single storey, modern stand alone retail warehouse with office and mezzanine areas

Size of building27 061 square foot (including mezzanine areas) (site cover of 28%)

Tenant Wickes Building Supplies Limited

Lease expiry date30 April 2035, with tenant break in April 2030 subject to 6 months advance notice


Type of leaseFully repairing and insuring (ie tenant responsible for all operating costs), upwards only 5 yearly rental reviews capped at 3.0% pa compound

Vanquis BankThe property known as Compass South is a modern office building located in Chatham Maritime, a prominent Thames Gateway office location south-east of London. The property comprises 32 890 sqft of office accommodation over three floors and was recently completely refurbished to high quality tenant specifications. The property is let to Portal Chatham LLP but occupied by the guarantor, Vanquis Bank, on a lease expiring on 3rd September 2031, with a tenant break in September 2026, providing a minimum 10 year unexpired lease term. Vanquis Bank, is a strong D&B 5A1 covenant and a subsidiary of Provident Financial.

Technical details:

Location Chatham, Thames Gateway, Kent

Building use Office

Size of buildingBuilding comprises 32 890 sqft office accommodation together with a link block of 688 sqft

Tenant Vanquis Bank Ltd.

Lease expiry date3rd September 2031, with tenant break in September 2026


Type of lease

Fully repairing and insuring (ie tenant responsible for all operating costs). Rent subject to fixed uplift at review based on 2.5% per annum compounded.


Spectrum BrandsThe property is well located in Wombourne Enterprise Park, Wombourne, which lies on the West Midlands and Staffordshire border, 15 miles west of Birmingham and 6 miles south of Wolverhampton. This modern, high specification property was constructed in 2005 as a national distribution facility and comprises 131,984 sqft of ground floor warehouse and ancillary offices. The property is let to Spectrum Brands UK Limited on a 25 year lease expiring 28 January 2030, offering more than 13 years of unexpired lease term. Spectrum Brands UK Limited is a wholly owned subsidiary of Spectrum Brands Holdings, which is listed on the NYSE. Spectrum Brands Holdings has a global footprint with a presence in 6 continents selling leading brands such as Russell & Hobbs, Black and Decker and Remington in 160 countries. 2015 sales were in excess of $4bn.

Technical details:

Location Wombourne, Wolverhampton

Building useA single storey modern distribution warehouse with ancillary office accommodation


Tenant Spectrum Brands (UK) Limited (D&B 5A1)

Lease expiry date 28 January 2030, with no tenant break


Type of leaseFully repairing and insuring (ie tenant responsible for all operating costs), upwards only 5 yearly rental reviews


Service ProvidersFund Manager: FIM Capital Limited (“FIM”)

FIM was established in January 2006. FIM manages portfolios for private clients, institutions, trusts and corporations from its offices in the Isle of Man. FIM operates a pooled arrangement for holding client cash in accordance with the Isle of Man Financial Services Authority Financial Services Rule Book.

Jurisdiction: Isle of Man Regulatory Status: Licensed by the Isle of Man Financial Services Authority (FSA) and authorised and regulated by the

Financial Conduct Authority in the UK. Registered Office: IOMA House, Hope Street, Douglas, Isle of Man, IM1 1AP

Intermediary: Marriott Asset Management (Pty) Ltd (“Marriott”)Marriott is an independent boutique of the Old Mutual Investment Group. Marriott operates in South Africa, and internationally in the Isle of Man and Ireland. Marriott is registered in South Africa and is licensed to carry out investment business by the Financial Services Board.

Jurisdiction: South AfricaRegulatory Status: Authorised Financial Services Provider (FSP 592) through the Financial Services Board (FSB)Registered Office: 2 Delamore Road, Hillcrest, KZN, 3610

Property Manager: Sequel Property Investments (Pty) Ltd Jurisdiction: South Africa Registered Office: Unit 7, 8 Richefond Circle, Ridgeside Office Park, Umhlanga, 4319

Auditor: KPMG Audit LLC Jurisdiction: Isle of Man Regulatory Status: Licensed by the Institute of Chartered Accountants in England & Wales Registered Office: Heritage Court, 41 Athol Street, Douglas, Isle of Man , IM1 1LA

Bankers: Barclays Bank Plc Jurisdiction: United Kingdom Regulatory Status: Authorised and regulated by the Prudential Regulation Authority and the Financial Conduct Authority Registered Office: Barclays Bank PLC, 5 North Colonnade, Canary Wharf, London, E14 4BB

Fiduciary Custodian: EFG Fund Services a division of EFG Wealth Solutions (Jersey) Limited Jurisdiction: Jersey Regulatory Status: Licensed by the Jersey Financial Services Commission under the Financial Services (Jersey) Law, 1998 (as

amended) to conduct funds services business including being custodian of collective investment schemes. Registered Office: PO Box 641, 1 Seaton Place, St Helier, Jersey, JE4 8YJ

Legal advisors: Callin Wild Jurisdiction: Isle of Man Professional Body: Isle of Man Law Society Registered Office: Bank Chambers, 15-19 Athol Street, Douglas, Isle of Man, IM1 1LB

Investment Surveyors: LMD Real Estate LtdJurisdiction: United KingdomRegulatory Status: Royal Institute of Chartered SurveyorsRegistered Office: 2nd Foor, 14 Cork Street, London W1S 3NS

Building & EnvironmentalSurveyors: Paragon Building Consultancy LtdJurisdiction: United KingdomRegulatory Status: Royal Institute of Chartered SurveyorsRegistered Office: 7 Swallow Place, London, W1B 2AG

Property Valuers: Cushman & Wakefield LLPJurisdiction: United KingdomRegulatory Status: Royal Institute of Chartered SurveyorsRegistered Office: 43-45 Portman Square, London, W1H 6LY

Debt Funders: Barclays Bank plcJurisdiction: United KingdomRegulatory Status: Financial Conduct Authority and Prudential Regulation AuthorityRegistered Office: 1 Churchill Place, Canary Wharf, E14 5HP

Property Legal Advisors: Olswang LLPJurisdiction: United KingdomRegulatory Status: Solicitors Regulation AuthorityRegistered Office: 90 High Holborn, London, WC1V 6XX


Key Individuals

*Member Royal Institute of Chartered Surveyors

Simon Pearse – Board Member, CEO – Marriott. BCom, MBA, DBA.

Simon is the CEO of Marriott and has been actively involved in the investment industry since 1992. He was instrumental in bringing the benefits of listed property to the private investor in South Africa. Simon spends his time between South Africa and the UK.

Russell Collister – Board Member, Director – FIM. BA (Hons), Fellow of the Securities Institute.

30 years of continuous experience in the investment management industry. Russell has a particular interest in the quoted property sector having worked as a property analyst managing specialist property and income funds. Russell is based in the Isle of Man.

Craig Ewin – Board Member, Director – Sequel. B Com Dip Acc CA(SA).

25 years experience in the acquisition, financing and management of properties for a variety of investors, including listed REIT portfolios where he has held both executive and non-executives roles. Craig spends his time between South Africa and the UK.

Mark Grace – Board Member, Director – Black Grace Cowley. BSc (Hons) MRICS

As a founding director of Black Grace Cowley, a leading multi-disciplinary firm of chartered surveyors, valuers, estate agents and property managers, Mark has over 30 years’ experience in both the residential and commercial property industry. Mark is based in the Isle of Man.

Philip Scales – Board Member, Director – FIM. Fellow of the Institute of Chartered Secretaries and Administrators.

38 years experience working offshore in corporate, trust and third party administration. He holds a number of directorships of listed companies and collective investment schemes. Philip is based in the Isle of Man.

Neil Nothard – Board Member, COO – Marriott. BCom CA (SA).

Neil is the Chief Operating Officer of Marriott. He joined the group in 1987 as a chartered accountant and has held a variety of positions over the past twenty seven years. Neil is based in South Africa.

Roger Perkin – Director – Sequel Property Investments (Pty) Ltd. BA LLB, admitted attorney of the High Court.

20 years experience in the property industry, focusing on asset and fund management for various investment entities, including listed REIT portfolios. Roger is based in South Africa and travels to the UK regularly.

Peter Sparks – Director – Sequel Property Investments (Pty) Ltd. BSc (Hons) MTRP MRICS*.

20 years diverse property experience with a focus on acquisitions, disposals and property development activity for listed REIT portfolios where he held executive roles. Peter spends his time between South Africa and the UK.

Roger Young – International Partner – Cushman & Wakefield. BSc(Hons) MRICS. RICS Registered Valuer

Roger is a commercial property valuer based in London and head of Cushman & Wakefield’s business space valuation and advisory team. He has 17 years experience in the UK property market and is responsible for the independent valuations of FWHRE’s direct properties.

James Lindley Partner – Lindley Mortimer. BSc (Hons) MRICS*.

James is a property investment surveyor with 26 years post qualification experience. James is based in London.

Bruce Mortimer Partner – Lindley Mortimer. BSc (Hons) MRICS*.

Bruce is a property investment surveyor with 26 years post qualification experience. Bruce is based in London.

John Munday Managing Director – Paragon Building and Project Consultants. MRICS*.

John has 22 years industry experience and has been responsible for the building and environmental surveys of FWHRE's direct properties. John is based in London.

FWHRE Directorate

Property Managers and Other Services


Technical Information Summaryfor the FIM Capital Mandate

Minimum Investment Amount £25,000

Marriott Initial Fee 0%

Investment Management Fee

Costs are based on a sliding scale

depending on investment size.

Deducted from the income quarterly.

Investment amount Total fee per annum£25,000 – £49,999 0.75%£50,000 – £99,999 0.70%£100,000 – £249,999 0.65%£250,000 – £499,999 0.60%£500,000 – £999,999 0.55%£1m – £1,999,999 0.50%

> £2m 0.45%

Charges

• Additional costs are deducted from the Fund’s Net Asset Value (NAV) in respect of Fiduciary Custodian, Property Management, Audit and other services. Please see the Offering Document for more information.

• There are no brokerage fees or duties in purchasing units in FWHRE.

Financial Advisor Initial Fee Maximum 3%. Payments processed twice a month. Deducted from consideration received.

Financial Advisor Annual Advisor Fee Maximum 1% p.a. Paid quarterly in arrears. Deducted from income quarterly.

Income Payments Income reinvested or paid quarterly (Minimum payment of £400 applies.)

Client Reporting• Biannual Valuations (28 February & 31 August)

• Consolidated tax voucher and interest certificate annually

Weekly Pricing FWHRE is priced weekly, based on net asset value (as opposed to on a listed exchange). Shares can be purchased and redeemed weekly.

Tax Clearance:SARS permits an annual foreign investment allowance of R10 million for individuals, and an annual discretionary allowance of R1 million per year which does not require a tax clearance certificate.

If you have reached your individual limit for the year then you can make use of the Marriott asset swap capacity at no extra cost. Please contact the Communication Centre for more details.

Taxation of Income:The income received from FWHRE is considered a foreign dividend by the South African Revenue Service and as such is taxed at a maximum 15%. This is in most cases significantly lower than the marginal rates an investor would have to pay on local real estate income.

General InformationRegistration, Nominees and Safe CustodyCertain investments in your portfolio may be registered in the name of nominee companies. Investments may also be registered in the name of appropriate eligible custodians, whose role it is to hold investments in safekeeping on your behalf, appointed by FIM Capital in accordance with the Isle of Man Financial Services Authority Financial Services Rule Book.

Foreign CurrenciesThe base currency of the portfolio is Sterling, however investments may be made in assets denominated in other currencies. In this case, movements in currency rates of exchange can have an unfavourable as well as favourable effect on the value of your portfolio.

ConfidentialityWe will use reasonable endeavours to ensure that all confidential information relating to you and your portfolio is kept confidential. However you authorise us to disclose information (confidential or not):

a) to our employees (or employees of our agents, nominees, custodians or other persons appointed by us in connection with your portfolio) on a need-to-know basis;

b) to the FSA and any other regulatory authority, to the extent that they are entitled to the information sought;c) otherwise as may be required by law, best investment business practice, industry regulations or codes of practice.

Forms required

• Application form (available on our website), including W-8BEN:

• Choose FWHRE under investment options.

Supporting documentation required

• KYC (know-your-client) documents for all investors including joint holders and alternative signatories. Please see the KYC list on our website for full details.

• Evidence of Identification (e.g. certified copy of ID Book or Passport, including copies of second

passport where there is dual nationality).

• Evidence of Permanent Residential Address (original or certified copy).

• Proof of banking details in the investor’s own name, dated within the last 12 months.

• We will require confirmation of how the applicant came about their wealth. For all significant investments we will require documentary evidence of the source of wealth.

Certification requirements:

• The application and KYC documents should be submitted as originals or certified copies of originals.

• All copy documents submitted to FIM must be suitably certified by an appropriate individual. The

certification must state that it is a true copy of the original and include the certifier’s full name

(printed) and their wet signature. It must also state the certifier’s capacity/position along with the

company name or stamp. The certification for identification documents must also confirm that the

photograph is a true likeness of the person.

• An appropriate individual, includes a lawyer, accountant, a notary public, a member of the judiciary,

a senior civil servant, a Consular Official at a British Embassy or Consulate, or a serving Police

Officer.

Payment

• Local SA bank account transfers to the offshore FIM Capital bank account should be made via SWIFT. Banking details are available on the application form and on our website.

• Should you require assistance in remitting your funds offshore, we are able to offer you the

independent services of Charter Forex. Please tick this option on the application form, and

complete the relevant mandate, or visit www.charterforex.com.

• Offshore bank account transfers to the FIM Capital bank account should be made in GBP Sterling.

First World Hybrid Real Estate Plc

Investment GuideIf you have any queries please contact the Communication Centre on 0800 336 555

Marriott Asset Management (Pty) Ltd. Marriott House

2 Delamore Road Hillcrest 3610

PO Box 2099 Hillcrest 3650 South Africa

Communication Centre 0800 336 555

Tel +27 (0)31 765 0700 Fax +27 (0)31 765 0790

Email [email protected] www.marriott.co.za

Investments of this nature are generally medium to long-term investments. The value of shares (units) may go down as well as up and past performance is not necessarily a guide to the future. Fluctuations or movements in exchange rates may cause the value of underlying international investments to go up or down. Unit trusts are traded at ruling prices and can engage in borrowing and scrip lending. Forward pricing is used. Commissions and incentives may be paid and if so, would be included in the overall costs. A schedule of fees and charges and maximum commissions is available on request from the company. If required, the portfolio manager may borrow up to 10% of the market value of the portfolio to bridge insufficient liquidity. Share (unit) prices are calculated on a Net Asset Value basis, which is the total value of all assets in the portfolio including any income accrual and less any permissible deductions from the portfolio. This portfolio may be closed in order to be managed in accordance with the mandate. FWHRE provides a reasonable but not absolute level of liquidity due to the inclusion of cash and listed REITS in addition to the direct real estate portfolio. Large redemption requests may therefore be delayed.

FIM CapitalIOMA House

Hope Street, Douglas, Isle of Man,British Isles, IM1 1AP

MA

RR

IOTT

201

611

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