Ethical Investment Policy

Hunter Hall is committed to the concept of responsible investing and applies an Ethical Investment Policy to all products.The Ethical Investment Policy of the three Funds detailed in our Product Disclosure Statement involves applying a negative screen to potential investments which restricts investment in companies that derive revenues associated with the sale of armaments or tobacco, gambling, cruelty to animals, destruction of the environment and uranium mining.

The Ethical Investment Policy of the Value Growth Trust (VGT, Global Ethical Trust (GET) and Australian Value Trust (AVT) involves applying a negative screen to potential investments which seeks to avoid investment in companies that derive operating revenues from direct and material business involvement in the manufacture or sale of weapons and weapons components, tobacco manufacture, gambling outlets or systems, intensive animal farming, animal testing for cosmetics, activities that give rise to human rights violations, unremediated destruction of the environment and uranium mining and nuclear reactors.

In October 2007 Hunter Hall launched its first positively screened investment fund, the Hunter Hall Global Deep Green Trust (GDG), which in addition to applying the screen above, will focus investment in enterprises which are deemed to make a positive impact on the wellbeing of people, animals and the environment. Furthermore, the GDG will not invest in any company domiciled in any country involved in commercial whaling.

While the policies described above may seem straightforward, investors should be aware that from time-to-time borderline cases arise where it is unclear whether a potential investment should be rejected or not. In such cases the Directors of both Hunter Hall and Hunter Hall International Limited retain the right to exercise their collective judgment and will take the merits of the investment into account.

Acknowledging the difficulty with such borderline cases, Hunter Hall follows a policy of transparency in relation to investments and aims to provide as much information about the Funds' investments as possible to investors.

The Hunter Hall investment team continually monitors all investments in the Funds. In the event that the activities of an investee company change, or if additional information becomes available such that the investment is considered to breach the Ethical Investment Policy, the investment is disposed of as soon as practicable. When disposing of an asset under such circumstances Hunter Hall endeavors to dispose of the asset for the best price it reasonably can, taking into account liquidity and other market forces. It is possible therefore that disposal of such an investment could extend over a period of time.