Quoted Property at a Discount Professional Adviser, Hottest of the Hot Conference Alex Ross, Senior Investment Fund Manager, Premier Pan European Property Share Fund October 2007 For professional adviser use only

2 UK Commercial Property Market Source: Datastream, IPD Monthly Index Property initial yields (RHS) vs 5 year swap rates (RHS) vs Spread (LHS)

3 UK Market Outlook: Prime v Secondary 2 Tier Market to emerge: Prime & Secondary Target Prime UK Commercial Property – avoid Secondary – Lack of risk premium ascribed to lower quality assets Prime fundamentals resilient: – Highly visible long term income with low voids ‐ Long leases (Typically 15 yrs, 5 yearly upward-only rent reviews) ‐ Anchored by blue chip tenants ‐ Long term income stream attracts non-debt financed investors (e.g. International Pension Funds)

4 Key Investment Criteria Prime Commercial Property Strongly financed: Fixed/Hedged finance costs Rental growth prospects Development pipelines substantially pre-let Valuation Metric: 12 & 18 month forward NAV Shares trading at Discounts to the forward NAV

5 Land Securities: Discount to Underlying Assets Source: Premier Fund Managers Ltd/Cazenove/Bloomberg 30/07/07

6 European Property Positive Yield Gap remains Index-linked lease structure provides strong inflation hedge Healthy rental growth to drive returns These attractive fundamentals driving investment demand German Property recovery – German REIT Legislation passed in March 2007 – German rents attractively placed in their cycle…

7 Cyclical Recovery in German Property Source: CB Richard Ellis, Lehman Brothers Prime Frankfurt Office Rents

8 Cyclical Recovery in German Property Source: Morgan Stanley Research, January 2007 Prime Office Rents in London, Paris & Frankfurt London City — Paris Frankfurt

9 Case Study – VIB Vermögen German Property company – Local niche operator Bavaria – Well connected localised management team – Market Cap €201m – 30 Properties: Vacancy <2% – Pipeline of property acquisitions valued at c€200m – Attractive yielding assets: Average rental yield of 7.5% – Average cost of debt 4.6%. 80% Fixed 5-10 years Source: VIB Vermögen AG

10 Case Study – VIB Vermögen Asset Examples 90,000 m² land 52,000 m² of lettable production halls and warehouses. 14,000 m² of the space newly constructed in Other buildings have been renovated. Fully let to well known production and logistics companies. Central Ingolstadt development Letable area of 7,300 m² Extension takes to 11,900 m² Acquired on a pre-let basis Anchored by EDEKA and ALDI Source: VIB Vermögen

11 Premier Pan Euro Property Share: Geographic Breakdown Source: Premier Fund Managers Ltd, data as at 1 st January 2006 and 28 th September 2007 September 2007January 2006

12 Important Information Risk of investments – Past performance is not a guide to the future. The price of shares and income from them may go down as well as up and you may get back less than you invested. Movements in exchange rates may also affect the value of the investment. Please remember that these investments are intended as long term investments. Details of the nature of the investment and the commitment required are described in the Simplified Prospectus document which is available on request. Reference to any particular stock does not constitute a recommendation to buy or sell the stock. Disclaimer – Whilst every effort has been made to ensure the accuracy of the information contained within this presentation, we regret that we cannot accept responsibility for any omissions or errors. This presentation is directed only at authorised financial advisers and professional investors and is not for public distribution. The information given and opinions expressed are subject to change and should not be interpreted as investment advice. Issued by Premier Portfolio Managers Ltd. Premier Portfolio Managers Ltd is a PEP and ISA manager and markets a number of Funds. Premier Fund Mangers Ltd manages these and other funds and provides discretionary portfolio management services. Both companies are authorised and regulated by the Financial Services Authority and are members of the Premier Asset Management Marketing Group CC