1. Michael Heffernan Senior Client Advisor & Strategist
Austock Securities

2. Disclaimer General Disclaimer
This presentation has been prepared by Michael Heffernan of Austock Securities Limited ABN AFSL no (Austock).
The information in this presentation is based on data obtained from recognized statistical services, company presentations or communications or other sources believed to be reliable. However, Austock has not verified this information. Austock believes that the information in this presentation is accurate and reliable, but no warranties of accuracy, reliability or completeness are given (except insofar as liability under any statute cannot be excluded). Austock does not accept responsibility for any errors, omissions or negligence. Statements that are nonfactual in nature, including projections and estimates, assume certain economic conditions and industry developments and constitute only current opinions, all of which are subject to change.
General Advice Warning
This presentation may contain general advice about financial products which has been prepared without taking account of your objectives, financial situation or needs and, because of that, you should, before acting on the advice, consider the appropriateness of the advice, having regard to your objectives, financial situation and needs.
Disclosure of Corporate Involvement
In the last 12 months, Austock has been involved in publicly-announced transactions involving the payment of fees to Austock by the following corporate issuers which are referred to in this : SGX.

3. Michael Heffernan Talk to Australian Share Holders Association / ASX:
Wednesday 7 June 2006
“Is there a bear lurking behind a nearby bush”
“or where did the bear go?”

4. Wild Market Moves Since 11 May 2006 the ASX 200 Index is down 7%.
But since 31 December 2005 the Index is up 6%.

5. We’ve seen it before Market is driven by commodity prices. Volatile
Just like last year

6. Fundamentally we’re in good shape
But
Economy remains in good shape
Growth to slow and inflation to edge up interest rates probably stable

7. Stock Selection is the key
Careful stock selection therefore is more critical now than last year.
My Trifecta
lowish P/E
return on equity around 20%
strong future profit growth +20% next 3 years

8. No Crystal Balls
Few stocks meet all my criteria for every forecast year.
Hence the need for judgement

9. Stocks that meet criteria sometimes
2006
2007
2008
AQP
JBH
BHP
GTP
AWE
JHX
JBM
MRL
SGX
OXR
ORI
VBA
REB
RIN
RIO
ROC
WES
VGH
ZFX
WPL

10. My Best Overall
Best - My judgement because of reasons unique to each stock:
ASX
AMP Perpetual Trustees
BHP
Woodside Petroleum
Alumina
Zinifex
Telstra

11. More of my picks Others are: United Group Coates Hire Boom Logistics
Worley Parsons
Integrated Group
Australian World Wide Exploration
and yet 2 others are
Iress Technology
Computershare

12. If you want Portfolio Reviews
If investors would like Michael to review their portfolios
he would be pleased to do so.
Please send this form to:
Michael Heffernan
Austock Securities
PO Box 263
Collins Street West
Melbourne VIC 8007
OR ring and ask for Michael
Name:
Address:
Phone: