The Metope Property Income Prescient Fund is a listed property fund with a focus on delivering a high income yield. In order to achieve this, the portfolio will be invested in an actively managed and diversified portfolio of high yielding listed property stocks. The portfolio will not be constrained by a benchmark in determining suitable securities for inclusion, instead selecting investments based on the income yield offered. The portfolio's strategy is to identify listed property securities that offer a high income yield, derived primarily from rental income, and that is expected to grow in line with underlying rental escalations over the medium- to long term. In selecting securities within its investable universe, the portfolio aims to deliver, on aggregate, an income yield that is higher than the dividend yield of the FTSE/JSE All Property Index. The portfolio will offer a high level of diversification in its holdings in order to lower the risk of the portfolio not reaching its income target. The portfolio will balance the portfolio's aggregate income yield by investing in securities that offer a very high yield, which usually indicates a deep discount to NAV, but limited growth due to company-specific issues, with securities that offer a sector-related yield but stronger income growth prospects. The portfolio will invest predominantly in South African listed property securities, but may include offshore listed property securities provided that they offer a high yield that is comparable to those of locally listed securities, and provided that the portfolio is not subject to excessive currency risk that could result in a reduction of the portfolio's income yield. The portfolio may use derivatives to hedge foreign exchange risk from time to time when appropriate. The portfolio will invest at least 80% of the market value of the portfolio in securities listed in the FTSE/JSE Real Estate industry group or a similar sector of an international stock exchange. The investable universe includes listed property securities, including collective investment schemes in property, property loan stock, property debentures, REITS (real estate investment trusts), as well as money market instruments, listed property corporate debt, inflation linked bonds, fixed deposits and other interest-bearing securities. The portfolio may invest up to 5% of the market value in unlisted property investments. The portfolio may invest in listed and unlisted financial instruments as determined by legislation from time to time, in order to achieve the portfolio's investment objective. The portfolio will predominately invest in South African markets but is however permitted to include investments in offshore jurisdictions subject to the investment conditions determined by legislation from time to time. The portfolio may also include forward currency, interest rate and exchange rate swap transactions for efficient portfolio management purposes. The portfolio may apart from assets in liquid form also include participatory interests or any other form of participation in portfolios of collective investment schemes or other similar schemes. Where the aforementioned schemes are operated in territories other than in South Africa, participatory interests or any other form of participation in these schemes will be included in the portfolio only where the regulatory environment is to the satisfaction of the manager and trustee and is of a sufficient standard to provide investor protection at least equivalent to that in South Africa. Nothing in the supplemental deed shall preclude the manager from varying the ratios of securities, to maximise capital growth and investment potential in changing economic environments or market conditions or to meet the requirements, if applicable, of any exchange formally recognised in terms of legislation and from retaining cash or placing cash on deposit in terms of the Deed and any Supplemental Deeds thereto; provided that the manager shall ensure that the aggregate value of the assets comprising the portfolio shall consist of securities of the aggregate value required from time to time by the Act. The Trustee shall ensure that the investment policy set out in this supplemental deed, the Deed and in all Supplemental Deeds thereto is carried out. For the purpose of this portfolio, the manager in consultation with the Investment Manager shall reserve the right to close the portfolio to new investors on a date determined by the manager. This will be done in order to be able to manage the portfolio in accordance with its mandate. The manager may, once a portfolio has been closed, open that portfolio again to new investors on a date determined by the manager.

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