Future Generation Australia (FGX) Investor Update summary

Investment performance and portfolio update

• Investment portfolio increased 20.8% over the past 12 months, outperforming the benchmark by 2.8%.

• Total shareholder return for the past 12 months was 22%, or 24.7% including franking credits.

• Share price as of 15 July 2025 was $1.515 per share.

• Portfolio adjustments, including three new fund managers, have contributed to recent strong performance.

• Dividends have been increased every year for the past six years, demonstrating model sustainability.

Dividend performance and shareholder returns

• Annualised fully franked interim dividend stands at 8.0 cents per share, with a yield of 5.3%.

• Grossed-up dividend yield, factoring in franking credits, is 7.6% based on a 30% tax rate.

• Dividend payments have shown consistent growth since inception, with a fully franked structure.

• Profit reserve is used to support consistent dividend payments, currently at AUD 0.69 per share.

• Special dividends are avoided to maintain tax efficiency and franking credit availability.

Portfolio construction and risk management

• Portfolio is diversified across fund managers, strategies, and geographies to reduce risk.

• Active management at both portfolio and manager level enables adaptation to volatile markets.

• Absolute return and long-short managers make up just under 20% of the portfolio, with flexibility to hold up to 20% cash.

• Investment committee can adjust asset allocations and manager selection as needed.

• Portfolio aims for less volatility and better returns than the market.