Pengana International Equities Ltd Registered · ASX:PIA
Pengana International Equities Ltd Registered — Pengana International Equities — Investor Presentation (September 2025)
19 slides from Pengana International Equities Ltd Registered's investor presentation, Sep 4, 2025
Slide 1: Proposed Portfolio Enhancements Through an Investment in Global Private Credit
For personal use only PENGANA INTERNATIONAL EQUITIES LIMITED (ASX: PIA) PROPOSED PORTFOLIO ENHANCEMENTS Through an investment in Global Private Credit Targeting a significant increase in dividends SEPTEMBER 2025
Slide 2: Important Information & Disclosures
IMPORTANT INFORMATION & DISCLOSURES This report has been prepared by Pengana Investment Management Ltd (ABN 69 063 081 612, Australian Financial Services Licence No. 219462) (“Pengana”). A Product Disclosure Statement (PDS) and Target Market Determination are available and can be obtained from our d
Slide 3: Agenda
For personal use only AGENDA GLOBAL PRIVATE CREDIT: 1 Structure, Benefits & Approach PROPOSAL OVERVIEW: 2 Mechanics, Benefits & Shareholder Value 3 Q&A PENGANA INTERNATIONAL EQUITIES LIMITED (ASX: PIA) | PAGE 3
Slide 4: What is Global Private Credit?
WHAT IS GLOBAL PRIVATE CREDIT? Individually customised non-bank loans to US and European mid-market companies, with seniority and security, that are held to maturity or refinanced For personal use only …and … that are Individually …by non- …to mid- … with managers or held to customised bank market s
Slide 5: Income Generating, Diversifying, Defensive
INCOME GENERATING, DIVERSIFYING, DEFENSIVE Attractive characteristics of Global Private Credit For personal use only Resilience When Income Effective It Matters Stability Diversification ✓ Performs when ✓ Reliable spread ✓ Lower others don’t through cycles correlation A strategic tool to reshape por
Slide 6: Resilience and Recovery Advantages
RESILIENCE AND RECOVERY ADVANTAGES Structural safeguards are in place across multiple dimensions Global Private Credit Asset Class Embedded Risk Controls and Recovery Advantages For personal use only USD$ Cumulative Default Rate USD$ Average Annual Recovery Rate 7.1% 84.5% 72.5% 60.3% 2.7% 2.1% Priv
Slide 7: Low Correlation, High Stability
LOW CORRELATION, HIGH STABILITY Global Private Credit adds uncorrelated returns and resilience to diversified investment portfolios For personal use only • Historically superior risk-adjusted Return vs. Volatility 15.2% returns combined with low correlations More efficient can make private credit an
Slide 8: Why Private Credit Outperforms
WHY PRIVATE CREDIT OUTPERFORMS Adding global private credit improves portfolio efficiency 12% • Global private credit has historically For personal use only enhanced the Sharpe ratio of diversified 10% portfolios. 8% Return • It has held up well during equity drawdowns, 6% offering downside protecti
Slide 9: Constructing Multi-Manager Portfolios
CONSTRUCTING MULTI-MANAGER PORTFOLIOS For personal use only Construct Diverse and Best In Class Flexibility to Manage Resilient Portfolios Managers Through Cycles • Contractual Yield – target • Manager Selection – • Dynamic Allocation – durable yield and a proven managers with select strategies that
Slide 10: Guiding Principles
GUIDING PRINCIPLES For personal use only Capital Preservation Focus on bilateral senior-secured lending, downside protection, and Comes First disciplined risk controls. Active Management Markets evolve, and we actively adjust allocations to manage risk and is Essential capture opportunity. Manager Q
Slide 11: Agenda
For personal use only AGENDA GLOBAL PRIVATE CREDIT: 1 Structure, Benefits & Approach PROPOSAL OVERVIEW: 2 Mechanics, Benefits & Shareholder Value 3 Q&A PENGANA INTERNATIONAL EQUITIES LIMITED (ASX: PIA) | PAGE 11
Slide 12: Understanding the Basics
UNDERSTANDING THE BASICS SIMPLISTIC ILLUSTRATION For personal use only PIA takes a loan from a global bank – A. at low interest rate; pays interest expense. • NAV of $200 • Debt raised of $100 at interest rate of 5% PIA invests bank loan proceeds into a A. Interest expense = $5 p.a. B. diversified G
Slide 13: PIA After Adoption of the Proposal
PIA AFTER ADOPTION OF THE PROPOSAL A dual-income portfolio blending capital growth and consistent yield For personal use only Shareholder NAV High-Quality Global Equities Managed by US-based Harding Loevner, $200 A US$43Bn1 global equities manager Diversified across 35-75 holdings $200 Capital Growt
Slide 14: Why It Makes Sense to Blend
WHY IT MAKES SENSE TO BLEND • New income stream from Global Private Credit For personal use only • Low volatility and low risk • Consistent and reliable income • Global private credit behaves differently to equities, offering low correlation and improved diversification • Strengthens the portfolio’s
Slide 15: Taking Advantage of Structural Benefits
TAKING ADVANTAGE OF STRUCTURAL BENEFITS Structure, scale, and alignment that other vehicles can’t match For personal use only PERMANENT CAPITAL PROFIT & FRANKING RESERVE Enables long-term allocations to illiquid, high-yielding Smooths distributions and supports consistency credit without liquidity m
Slide 16: Alignment and Structural Discipline
ALIGNMENT AND STRUCTURAL DISCIPLINE Designed to maximise shareholder value with high Target Returns Feature Detail For personal use only Maximising Shareholder Value Target Return of 4.5% p.a. above cost of debt Risk Sharing with PCG PCG covers cost of debt, receives returns above Target Return No B
Slide 17: An Alternative Source of Dividends & Yield
AN ALTERNATIVE SOURCE OF DIVIDENDS & YIELD Offering Australian Investors Diversification Beyond a Narrow Range of Opportunities For personal use only Fully Franked Dividends: ASX Weighted Dividend Yield1 • Diversification away from the highly concentrated local dividend market Other • Generates diff
Slide 18: Shareholder Benefits of the Proposal
SHAREHOLDER BENEFITS OF THE PROPOSAL Diversification into high quality GPC portfolio For personal use only Ability to take advantage of gearing at cheap rate Uplift in pre-tax returns equating to >2% of NAV A 56% increase in dividends to 8.4 cps; dividend yield of 8.9%1 Diversified source of fully f
Slide 19: Pengana International Equities Limited contact details
For personal use only PENGANA INTERNATIONAL EQUITIES LIMITED (ASX: PIA) PENGANA INVESTMENT MANAGEMENT LIMITED FOR MORE PENGANA CAPITAL ABN 69 ABN 30 063 103 081 LIMITED 800 612 568 CLIENT SERVICE T: +61 2 8524 9900 INFORMATION AFSL 219462 226566 E: [email protected] Suite 1, Level 27, pengan
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