An opportunity to invest in global infrastructure ... - Macquarie

CF Macquarie Global Infrastructure Securities Fund
Product profile for investors
An opportunity to invest in global
infrastructure managed by a
market leader.
Introducing an opportunity to invest in the global
infrastructure sector via a specialised fund – the
CF Macquarie Global Infrastructure Securities
Fund (the Fund).
The Fund provides you with exposure to a global
portfolio of listed companies that are involved
in the ownership, management and operation of
infrastructure assets.
By investing in the Fund you can access the
long-term income returns typically offered by
infrastructure and improve diversification within
your exisitng portfolio.
What is infrastructure
Infrastructure can be defined as companies, facilities and
networks that provide essential services to the community such
as water, roads, airports and energy distribution.
Traditionally, the provision of infrastructure has largely been the
responsibility of the public sector. While demand for new and
upgraded infrastructure continues to grow, governments are
increasingly turning to the private sector to provide the capital
required to ensure that the growing demand for essential
services is met.
This trend towards privatisation has helped fuel the growth
of infrastructure as an asset class, providing investors with
an alternative investment opportunity. The universe of listed
infrastructure securities has grown quickly and there are now
approximately 700 listed infrastructure companies globally.
Why invest in infrastructure
Infrastructure assets typically exhibit the following desirable
characteristics:
——provide essential services to the community
——have a strategic competitive advantage as a result of
operating in locations or markets where there are few viable
alternatives, or under regulatory or legal frameworks such as
concession agreements and long-term contracts
——have sustainable and predictable cashflows over the long
term, that are often protected from the effects of inflation
through agreed pricing mechanisms.
Increasingly, investors are recognising that these investment
qualities have the potential to deliver sustainable, long-term
income with the potential for capital growth. Importantly,
infrastructure can also be a good source of diversification
within an existing investment portfolio helping to reduce overall
investment risk and volatility of returns.
Your investment decision
We strongly recommend you obtain independent financial advice
prior to investing in the CF Macquarie Global Infrastructure
Securities Fund to determine whether this investment suits your
financial needs and circumstances.
You should also thoroughly read and understand the investment
risks as set out in this brochure and both the Full and Simplified
versions of the Prospectus, before deciding whether to invest.
Both the Full and Simplified versions of the Prospectus can be
obtained by calling 0845 608 0948.
You must rely on your own examination of the legal, taxation,
financial and other consequences of an investment in the Fund,
including the merits of investing and the risks involved in light of
your own investment objectives.

Performance of global infrastructure securities
The chart below shows the average performance of the top 256
companies worldwide involved in the ownership, management
and operation of infrastructure assets. Performance is measured
by the Macquarie Global Infrastructure Index 1 (the Index).
Performance of the Macquarie Global Infrastructure Index
250
200
150
100
50
Introducing the CF Macquarie Global Infrastructure
Securities Fund
The CF Macquarie Global Infrastructure Securities Fund offers
investors an opportunity to gain exposure to the infrastructure
sector. The Fund invests in a diversified global portfolio of
typically 40 to 50 infrastructure securities.
The Fund's objective is to provide investors with a total return
over the medium to long term consisting of income and capital
growth. It may also be suitable for those who are seeking to
further diversify an existing portfolio comprised mainly of equity
and bond assets.
Regional and sector allocation
The portfolio construction process ensures diversification across
countries and sectors, with allocations amended on an ongoing
basis in order to achieve the Fund’s investment objectives. The
charts below show how the Fund was invested as at
31 December 2007.
0
2002 2003 2004 2005 2006 2007
Regional allocation
The chart above contains past performance information. Past
performance is not a reliable indicator of future performance
and the performance of the CF Macquarie Global Infrastructure
Securities Fund may differ materially from the performance of
the Index. The performance of individual securities both included
and not included in this Index may vary significantly from the
average performance shown. The Fund may and may not invest
in infrastructure securities included in the Index.
Middle East
1.59%
Asia Pacific
12.68%
UK
5.94%
Cash
13.67%
Australia
21.55%
North America
21.03%
Europe
20.52%
South America
3.02%
Portfolio manager outlook
Infrastructure securities have performed well over the last
five years, however more recently the asset class has been
influenced by volatility in global equity markets.
While the near-term outlook for the sector remains cautious,
the Portfolio Manager believes that recent events have created
an opportunity for the Fund to invest in high-quality stocks at
attractive prices. Importantly, the underlying fundamentals of
the sector are supported by the ongoing, long-term need for
significant private investment.
The Portfolio Manager expects key themes in 2008 will include
ongoing investment in the infrastructure projects around
the world, further government privatisations and new initial
public offerings. The substantial capital raised by dedicated
infrastructure investment funds in recent years is also expected
to have a positive impact.
Sector allocation
Other
2.20%
Water
5.93%
Toll roads and
transportation
23.82%
Cash
13.67%
Airports
6.46% Diversified
7.76%
Electric utility
5.40%
Pipelines
19.12%
Electric and gas distribution
8.80%
Electric generation
3.36%
Electric transmission
3.65%
1 Source: Bloomberg, the index used is FTSE Macquarie Global Infrastructure Main Local TR Index in GBP from 30 April 2002 - 31 December 2007.

Investment strategy
Macquarie believes that superior performance comes from a
systematic, bottom-up approach to identifying long-term value
in infrastructure companies. To implement this approach we
use a disciplined investment process to analyse companies and
determine the quality of the assets they own, operate or manage,
including their future cash flow and growth prospects.
Portfolio manager
The Fund is managed by Justin Lannen
who has 10 years of investment experience,
including seven years in the infrastructure
and utility sectors. Justin works closely with
the Chief Investment Officer of Macquarie's
infrastructure securities business, Jon Fitch,
who has 20 years of experience.
“
Our performance comes from an in-depth
understanding of the global infrastructure industry combined
with our strict stock selection criteria.
”
Investment team
Our investment team consists of four portfolio managers and
seven analysts dedicated to researching the global listed
infrastructure securities universe and constructing well diversified
portfolios.
We currently manage 15 global infrastructure securities portfolios
for retail and institutional clients in the UK, US, Canada, Australia
and Asia totalling more than £1.7 billion 2 of funds under
management.
Key features – retail asset class
Justin Lannen
Portfolio Manager
Launch date 3 22 June 2007
Launch price £1.00
Fund structure FSA-authorised UK OEIC
Initial charge 4.5%
Annual charge 1.6%
Type of share class Income and Accumulation
Distribution dates November (Interim) and May (Full)
Base currency Sterling
Typical number of 40 – 50
holdings
Minimum investment £1,000
level
PEP/ISA qualifying Yes
Price information www.investmentuk.org
SEDOL
B1W2BX0 (Acc), B1W28Q2 (Inc)
How to invest
If you are interested in investing the Fund, contact your financial
adviser. Alternatively, you can invest directly by calling 0845 608
0948.
What are the risks of investing
Any stock market investment involves risk and before deciding
to invest, it is important you understand the risks of investing.
The key risks of investing are set out below. Details of all risks
can be found in the full Prospectus and should be read carefully.
Market fluctuations
The value of investments and the income derived from them
may fall as well as rise and investors may not recoup the original
amount invested in the Fund. There is no assurance that the
investment objective of the Fund will actually be achieved.
Performance risk
There is no guarantee of the performance of your investment
and you may get back less than you put in. Past performance
of infrastructure securities or the infrastructure market is not a
guide to future returns.
Infrastructure specific risks
As the Fund will primarily invest in infrastructure securities, it
will be more susceptible to adverse economic or regulatory
occurrences affecting the industry compared to an investment
company that does not invest in a single industry.
Owners, managers and operators of infrastructure assets may
be subject to a variety of factors that may adversely affect
their business or operations, including (without limitation):
high interest costs in connection with capital construction
programs, a change in the number of users of the product/
service, high leverage, costs associated with environmental and
other regulations, the effects of economic slowdown, surplus
capacity, increased competition from other providers of services,
uncertainties concerning energy costs (among other things), the
effects of energy conservation policies and other factors.
They may also be affected by or subject to regulation by
various government authorities, service interruption due to
environmental, operational or other mishaps, the imposition of
special tariffs and changes in tax laws, regulatory policies and
accounting standards and general changes in market sentiment
towards infrastructure assets.
These factors may affect the value of infrastructure securities
which may in turn impact the income and capital returns of the
Fund.
2 As at 31 December 2007.
3 Launch date defined as final day of fixed offer period on 22 June 2007.

Important information
Investments in the CF Macquarie Global Infrastructure Securities Fund (the Fund) are not deposits with or other liabilities of Macquarie Bank
Limited ABN 008 583 542, or any entity in the Macquarie Group, and are subject to investment risk, including possible delays in repayment
and loss of income and capital invested. None of Macquarie Bank Limited, nor any other member company of the Macquarie Group
guarantees any particular rate of return or the performance of the Fund, nor do they guarantee the repayment of capital from the Fund. The
Macquarie Group comprises Macquarie Group Limited and its worldwide affiliated entities.
Past performance information
This document contains past performance information. Past performance is not a reliable indicator of future performance. The value of
investments and the income from them can fall as well as rise and investors may not get back the amount originally invested.
Forward-looking statements
This document may contain forward-looking statements and estimates (“Forward Statements”). No representation is made or will be made
that any Forward Statements will be achieved or will prove to be correct. Actual future results and operations could vary materially from the
Forward Statements.
Confidentiality
This document is provided on a strictly confidential basis for your benefit only and must not be disclosed to any other party without the
prior written consent of Macquarie Capital (Europe) Limited. If you are not the intended recipient, you are not authorised to use or rely on
this information in any way.
Limitation of liability
This document has been prepared in good faith and is based on information obtained from sources believed to be reliable but no
independent verification has been made, nor is its accuracy or completeness guaranteed. To the extent permitted by law, Macquarie
Capital (Europe) Limited does not give any warranty of reliability, accuracy or completeness of the information contained in this document
and does not accept any responsibility in any way (including negligence) for errors in, or omissions from, the information in this document.
No advice
None of the information in this document takes into account the personal objectives, financial situation or needs of any potential investor.
Accordingly, each potential investor must read the Simplified and Full Prospectus and make their own independent assessment before
deciding whether to invest in the Fund.
Information only/no offer
This document has been provided for your information only and is not an expression of opinion or recommendation, nor is it intended as an
offer or solicitation for the purchase of any shares in the Fund. This document should not therefore be read in substitution for the Simplified
or Full Prospectus.
Potential conflict of interest
Macquarie Capital (Europe) Limited, its associates, officers or employees may have interests in the assets which the Fund will invest in from
time to time, by acting in various roles including as investment banker, underwriter or dealer, holder of principal positions, broker, lender or
adviser and may receive fees, brokerage or commissions for acting in those capacities.
Issued by
Macquarie Capital (Europe) Limited (Company No. 03704031), City Point, 1 Ropemaker Street, London, EC2Y 9HD. Authorised and
regulated by the Financial Services Authority. Authorised Corporate Director is Capita Financial Managers Limited, Beaufort House, 15 St
Botolph Street, London, EC3A 7HH.
A copy of the Simplified and Full Prospectus can be obtained by calling 0845 608 0948. Telephone calls may be monitored.
Further information
General enquiries
0845 608 0948
ukfm@macquarie.com
www.macquarie.co.uk/fm
Dealing instructions
0845 608 0948
0113 224 6001/02
ordergroup@capitafinancial.co.uk
LON OEIC INFRA RETAIL 02/08