Changes to emerging markets strategy in MLC’s Inflation Plus portfolios March 2017 This material is not for circulation to retail investors.

Important information This information is provided by MLC Investments Limited (ABN 30 002 641 661 AFSL 230705) as Responsible Entity and NULIS Nominees (Australia) Limited (ABN 80 008 515 633, AFSL 236465) as trustee of the MLC MasterKey and Fundamentals Super and Pension and MLC MasterKey Business Super products which are a part of the MLC Super Fund (ABN 70 732 426 024 (together “MLC” or “we”), all members of the National Australia Bank Limited (ABN 12 004 044 4397, AFSL 230 686) group of companies, 105–153 Miller Street, North Sydney 2060. An investment in any product offered by a member company of the National Australia Bank group of companies does not represent a deposit with or a liability of the National Australia Bank Limited (ABN 12 004 044 937) or its subsidiaries. This presentation has been prepared for licensed financial advisers only. This document must not be distributed to “retail clients” (as defined in the Corporations Act 2001 (Cth)) or any other persons. This information may constitute general advice. It has been prepared without taking account of an investor’s objectives, financial situation or needs and because of that an investor should, before acting on the advice, consider the appropriateness of the advice having regard to their personal objectives, financial situation and needs. Investors should obtain a Product Disclosure Statement or other disclosure document relating to any financial product which is issued by MLC, and consider it before making any decision about whether to acquire or continue to hold the product. A copy of the Product Disclosure Statement or other disclosure document is available upon request by phoning the MLC call centre on 132 652 or on our website at mlc.com.au. Past performance is not a reliable indicator of future performance. The value of an investment may rise or fall with the changes in the market. Any projection or other forward looking statement (‘Projection’) in this document is provided for information purposes only. No representation is made as to the accuracy or reasonableness of any such Projection or that it will be met. Actual events may vary materially. MLC relies on third parties to provide certain information and are not responsible for its accuracy. MLC is not liable for any loss arising from any person relying on information provided by third parties. While MLC has taken all reasonable care in producing this communication, subsequent changes in circumstances may occur and impact on its accuracy. The investment managers are current as at the date this communication was prepared. Investment managers are regularly reviewed and may be appointed or removed at any time without prior notice to you. The fund referred to herein is not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such fund. The funds affected by these changes The following funds are affected by the changes to the MLC Inflation Plus portfolios’ strategy. These funds appear on MLC’s platforms, in addition to a number of external platforms: MLC Inflation Plus Conservative Portfolio MLC Inflation Plus Moderate Portfolio MLC Inflation Plus Assertive Portfolio MLC Wholesale Inflation Plus Conservative Portfolio MLC Wholesale Inflation Plus Moderate Portfolio MLC Wholesale Inflation Plus Assertive Portfolio

What’s changed? We've removed Capital International, Inc (Capital) from the MLC Inflation Plus portfolios. Capital has managed the global emerging markets strategy for MLC since 2011. The portfolios now access emerging markets through our derivatives strategy using index futures. We’re maintaining the exposure to emerging markets and we’ve moved to 100% shares (from 50% fixed income and 50% shares).

Why we’re making these changes We actively manage our portfolios and work constantly to improve them. Capital’s investment process and philosophy have remained strong since we appointed them as a global shares manager in 1985. A key aspect of how we manage MLC Inflation Plus is our tight risk control.  Capital's approach to risk management is different to the approach we prefer for MLC Inflation Plus. For now, investing through derivatives allows us to flexibly and cost effectively make changes to our emerging markets exposure. However, we continue to research potential emerging markets managers.

How may clients benefit? These changes mean our portfolios will maintain an emerging markets exposure in a more cost effective manner. Emerging markets plays a return-seeking and diversification role in our portfolios. Due to the higher risks of investing in emerging markets, long-term return potential is higher than developed markets. Emerging markets has been an increasing contributor to global GDP relative to developed markets. Source: JANA Corporate Investment Services Limited and MSCI.

Emerging markets – a small but important allocation For now, the allocation to emerging markets will be moving to “Currency and derivative strategies” on the Fund Profile Tool. Target asset allocation: MLC Inflation Plus portfolios in MasterKey Super Fundamentals at 31 January 2017 MLC Inflation Plus: Conservative (%) Moderate (%) Assertive (%) Australian shares - 2 Defensive Australian shares 3 Global shares (unhedged)  - Global shares (hedged) Defensive global shares (unhedged) 12 20 37.5 Global private assets (hedged) 4 5 Emerging markets strategy (unhedged) 1 Global property securities (hedged) Enhanced cash 29 17 10 Australian non-government bonds (short maturity) 27 Australian inflation-linked bonds 6 Global bank loans Insurance-related investments (hedged) Low correlation strategy 8 Real return strategy (hedged) 9 11 14 Currency and derivative strategies 4.5 Borrowings Total 100% Source: JANA Corporate Investment Services Limited.

Are there fee implications? There’s a negligible change to overall fees from these changes. The fees relating to our emerging markets exposure will move from being a management fee to an indirect cost. The costs of investing in derivatives for emerging markets exposure are considered indirect costs. Investment fees are available in the Fund Profile Tool on mlc.com.au and mlcinvestmenttrust.com.au For further information regarding fees please refer to the product PDS.

What’s the communication plan? Date Audience Communication Location/medium Mid March Advisers & clients Economic and market update video and Q&A ENGAGE email from NAB AM, MLC News, NAB FP News Wrap and published on mlc.com.au, and nabam.nab.com.au and LinkedIn Commentaries Commentaries in the Fund Profile Tool will include an overview of changes reflected in the asset allocations dated 28 February Late March Advisers Strategy update presentation ENGAGE email from NAB AM, MLC News, NAB FP News Wrap and published on mlc.com.au and nabam.nab.com.au Late April Quarterly investment update (performance pack) Quarterly performance pack will include an overview of changes. Emailed to advisers in MLC News and published on mlc.com.au