Perpetual Limited · ASX:PPT

Perpetual — Investor Day (November 2019)

81 slides from Perpetual's investor day presentation, Nov 27, 2019

  1. Slide 1: ASX Announcement: Perpetual Investor Presentation

    Perpetual Limited ABN 86 000 431 827 Angel Place, Level 18, 123 Pitt Street ASX Announcement Sydney NSW 2000, For personal use only Australia 27 November 2019 Phone +61 9229 9000 www.perpetual.com.au Perpetual Investor Presentation Please find attached a copy of the investor presentation to be deliv

  2. Slide 2: Perpetual Limited Investor Day

    For personal use only PERPETUAL LIMITED INVESTOR DAY 27 November 2019 ABN 86 000 431 827

  3. Slide 3: Agenda

    AGENDA Speaker For personal use only Welcome & Andrew Ehlich 10.00-10.05 introduction General Manager Corporate Finance & Investor Relations Group overview Rob Adams 10.05-10.30 Chief Executive Officer & Managing Director Chris Green Chief Financial Officer Perpetual Rob Adams 10.30-11.15 Investment

  4. Slide 4: Group Overview & Strategy

    For personal use only GROUP OVERVIEW & STRATEGY ROB ADAMS CHIEF EXECUTIVE OFFICER AND MANAGING DIRECTOR 3

  5. Slide 5: Our purpose reflects our heritage and culture

    PERPETUAL OUR PURPOSE REFLECTS OUR HERITAGE AND CULTURE For personal use only Enduring prosperity Our We are proud of our past and passionate about purpose creating a sustainable future for our clients, people and the communities in which we operate Our Most trusted in financial services Recognised

  6. Slide 6: Overview: a trusted brand in core markets

    PERPETUAL OVERVIEW A TRUSTED BRAND IN CORE MARKETS For personal use only Perpetual Investments ▪ $26.1bn2 funds under management ▪ Highly regarded investments business seeking to add world-class investment capabilities to drive 28% sustained growth FY191 Net profit 47% Perpetual Private contribution

  7. Slide 7: Diversified sources of revenue across three divisions

    PERPETUAL’S REVENUE SOURCES DIVERSIFIED SOURCES OF REVENUE ACROSS THREE DIVISIONS For personal use only 10% Fiduciary & Advisory revenues Market revenues 12% 65% 35% FY191 41% Key Drivers Operating Key Drivers revenue • New clients contribution • PI Funds Under Management 13% • Market securitisation

  8. Slide 8: Executive Committee

    PERPETUAL EXECUTIVE COMMITTEE For personal use only Rob Adams Managing Director and Chief Executive Officer Joined Perpetual: 2018 Chris Green David Lane Richard McCarthy Sam Mosse Mark Smith Andrew Wallace Chief Financial Group Executive, Group Executive, Chief Risk Officer Group Executive, Chief O

  9. Slide 9: Strategic priorities: foundations for growth

    STRATEGIC PRIORITIES FOUNDATIONS FOR GROWTH For personal use only Create the Deepen our client relationships and improve our right environment for our people to thrive clients’ experience Promote a culture of innovation and empowerment to be nimble and increase productivity Be recognised as a leader

  10. Slide 10: Our Strategy

    OUR STRATEGY OUR PURPOSE OUR VISION OUR VALUES For personal use only Enduring Prosperity Most trusted in Financial Services Excellent, Integrity, Partnership CLIENTS PEOPLE SHAREHOLDERS Trusted brand and enduring Attract, develop and inspire the best Delivering sustainable quality growth relationshi

  11. Slide 11: Trust is earned

    For personal use only Trust is earned. Earn trust. Every action. Every day.

  12. Slide 12: Target Operating Model

    For personal use only TARGET OPERATING MODEL CHRIS GREEN CHIEF FINANCIAL OFFICER 11

  13. Slide 13: Target operating model: four focus areas

    TARGET OPERATING MODEL FOUR FOCUS AREAS TO SIMPLIFY AND POSITION THE BUSINESS For personal use only Client centric Decision making & Digital Centres of model accountability transformation excellence Single Perpetual view of products across: Centralise and Streamlined decision Investment making resul

  14. Slide 14: Strategy execution financial impacts

    PERPETUAL STRATEGY EXECUTION FINANCIAL IMPACTS For personal use only • Target operating model implementation spend of $18 million1 • Expected to deliver $18-23m in cost savings on an annualised basis2 • Full benefits expected to be realised from FY21 • BAU expense growth expected at the lower end of

  15. Slide 15: Perpetual Investments

    For personal use only PERPETUAL INVESTMENTS 14

  16. Slide 16: Investments

    PERPETUAL INVESTMENTS For personal use only Rob Adams Division overview CEO Strategic priorities Market context Team overview Michael O’Dea Benefits of a diversified portfolio & retirement Head of Multi-Asset solutions Amanda Gillespie Distribution footprint & capabilities General Manager - Perpetua

  17. Slide 17: Investments overview

    PERPETUAL INVESTMENTS OVERVIEW Capabilities For personal use only ▪ One of Australia’s longest standing and largest active investment managers $26.1 bn ▪ Diversified suite of capabilities spanning equities, fixed income and multi asset FUM1 ▪ 85% of flagship funds have outperformed benchmarks over p

  18. Slide 18: Evolution of product and services

    PERPETUAL INVESTMENTS EVOLUTION OF PRODUCT AND SERVICES For personal use only 1966 1991 1999 2002 2009 2015-17 2019 Industrial Share Perpetual Concentrated Ethical SRI Fund Early signatory of Best Fund Manager in Perpetual Credit Fund1 Investments Equity Fund the UN Principles 2015-2016 Income Trust

  19. Slide 19: Differentiated with capacity to grow

    PERPETUAL INVESTMENTS DIFFERENTIATED WITH CAPACITY TO GROW For personal use only ▪ $16.3bn FUM across 12 differentiated strategies Australian ▪ 6 Funds in 1st or 2nd quartile over 10 years1, 11 out of 12 products are rated Equities “Recommended” or above by one or more research houses ▪ 1 listed str

  20. Slide 20: Years of Perpetual investing through the cycle

    PERPETUAL INVESTMENTS 20 YEARS OF PERPETUAL INVESTING THROUGH THE CYCLE For personal use only 25x 25% Valuations Valuations Elevated Elevated 20% Commodity boom GFC Euro crisis 15% 20x 10% 1 Year Excess Return 5% P/E Ratio 0% 15x -5% Tech wreck -10% Performance QE Performance Challenged Challenged 1

  21. Slide 21: Increased focus and investment in asset management and distribution

    PERPETUAL INVESTMENTS INCREASED FOCUS AND INVESTMENT IN ASSET MANAGEMENT AND DISTRIBUTION CAPABILITIES For personal use only Contemporary and World-class investment Industry leading brand 1 capabilities 2 and distribution 3 efficient operating platform ▪ Dedicated focus on inorganic ▪ Head of Distri

  22. Slide 22: Highly regarded, well-resourced and experienced team

    PERPETUAL INVESTMENT HIGHLY REGARDED, WELL-RESOURCED AND EXPERIENCED TEAM For personal use only Rob Adams Business Management & Australian Equities Credit and Fixed Income Multi Asset Global Equities Strategy Paul Skamvougeras Michael Korber Michael O’Dea Garry Laurence Amanda Gillespie Vince Pezzul

  23. Slide 23: Opportunities across each capability

    PERPETUAL INVESTMENTS OPPORTUNITIES ACROSS EACH CAPABILITY For personal use only ▪ Near term performance improving ▪ Concentrated, benchmark ▪ Continued investment in unaware investment strategy Australian Global proprietary research ▪ Opportunity is large Equities Equities ▪ Disciplined approach to

  24. Slide 24: Managing risk, not avoiding risk, is the key in retirement

    For personal use only MANAGING RISK, NOT AVOIDING RISK, IS THE KEY IN RETIREMENT Michael O’Dea, Head of Multi Asset November 2019 23

  25. Slide 25: Today's retirement challenge

    For personal use only TODAY’S RETIREMENT CHALLENGE 24

  26. Slide 26: The economic cycle is the oldest on record

    PERPETUAL INVESTMENTS THE ECONOMIC CYCLE IS THE OLDEST ON RECORD… For personal use only 12.0 10.0 8.0 Average 6.0 4.1 years 4.0 2.0 - 1900 1904 1906 1912 1914 1919 1921 1924 1927 1932 1938 1945 1949 1953 1958 1961 1970 1975 1980 1982 1991 2001 2009 Source: Bloomberg and the Reserve Bank of Australia

  27. Slide 27: But also the weakest

    PERPETUAL INVESTMENTS BUT ALSO THE WEAKEST… For personal use only Average annual growth by business cycle 8% 7.6% 7% 6% 5.6% 5.0% 5.1% 4.9% 5% 4.4% 4.3% 4.1% 4% 3.8% 3.8% 3% 2.5% 2.3% 2% 1949-53 1958-61 1970-74 1980-81 1990-00 2009-19 1946-48 1954-58 1962-69 1974-79 1982-90 2001-07 Source: Bloomberg

  28. Slide 28: Central banks have exhausted their firepower

    PERPETUAL INVESTMENTS WHILE CENTRAL BANKS HAVE EXHAUSTED THEIR FIREPOWER For personal use only 7% 6.50% 6% 5% 4% 2007 3% 2019 2% 1% 0% 0.75% -1% Cash 10-year Cash 10-year Cash 10-year Cash 10-year Cash 10-year Cash 10-year Cash 10-year rate yield rate yield rate yield rate yield rate yield rate yiel

  29. Slide 29: US bear markets over past years

    PERPETUAL INVESTMENTS US BEAR MARKETS OVER PAST 50 YEARS For personal use only 2007-09 2000-02 1990 1987 1980-82 1973-74 1968-70 Average 0% -10% -20% -20% -30% -27% -34% -40% -36% -39% -50% -49% -48% -60% -57% Source: Shiller Average time to recover losses - 16 months 28

  30. Slide 30: How have we responded?

    For personal use only HOW HAVE WE RESPONDED? 29

  31. Slide 31: What is Perpetual's Diversified Real Return Fund?

    PERPETUAL INVESTMENTS WHAT IS PERPETUAL’S DIVERSIFIED REAL RETURN FUND? For personal use only Investment Objective • To generate inflation plus 5%p.a. over rolling 5 year periods (before fees and taxes) with low levels of risk, to protect capital. Investment Philosophy • Valuation is the key driver

  32. Slide 32: The portfolio is built around investment questions

    THE PORTFOLIO IS BUILT AROUND 4 INVESTMENT QUESTIONS For personal use only Inflation Return Seeking What protects from inflation What has a high probability surprises over 5 year? of inflation + 5%? INFLATION RETURN PROTECTION SEEKING Diversifying Opportunities Downside Protection Are there uncorrel

  33. Slide 33: Stable characteristics; dynamic allocations

    STABLE CHARACTERISTICS; DYNAMIC ALLOCATIONS A PORTFOLIO DESIGNED FOR DIFFERENT MARKET CONDITIONS For personal use only MID CYCLE – FAIR VALUE MATURE BULL MARKET Exhibits similar Exhibits similar characteristics a characteristics a Balanced Fund, with Inflation Return Conservative Fund, Protection Se

  34. Slide 34: Cross asset implied volatility is extremely low

    CROSS ASSET IMPLIED VOLATILITY IS EXTREMELY LOW THEREFORE BOUGHT OPTIONS ARE CHEAP For personal use only Standard Deviation 7 CURRENT STANDARD DEVIATION 6 US Treasury Vol: -1.6 G7 FX Vol: -1.9 5 US Equity Vol: -0.7 Composite: -1.4 4 3 2 1 0 -1 -2 Source: Bloomberg and Perpetual Investments 33

  35. Slide 35: Active management

    PERPETUAL INVESTMENTS ACTIVE MANAGEMENT For personal use only Source: Morningstar Direct & Perpetual Investments 34

  36. Slide 36: Diversified Real Return Fund performance and volatility

    PERPETUAL DIVERSIFIED REAL RETURN FUND PERFORMANCE AND VOLATILITY AS AT 30 SEPTEMBER 2019 For personal use only Quality investment returns focus on maximising returns per unit of risk, not maximising returns by chasing risk PERFORMANCE Since 3 YEARS 4 YEARS 5 YEARS CYTD 1 YEAR % Inception^ %P.A. %P.

  37. Slide 37: Scenario analysis

    PERPETUAL INVESTMENTS SCENARIO ANALYSIS For personal use only ▪ Safe haven currencies – JPY & USD 6.0% ▪ Yield curve steepener trade ▪ Duration 4.0% ▪ Low equity weight ▪ Put options 2.0% ▪ Stock Selection Alpha 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% Diversified Real Return (16 October 2019) -12.0% Man

  38. Slide 38: Drawdowns have been fewer, shorter and shallower

    PERPETUAL INVESTMENTS DRAWDOWNS HAVE BEEN FEWER, SHORTER AND SHALLOWER For personal use only Perpetual 37 Perpetual Diversified Real Return Fund Manager 3 Manager 6 Manager 1 Manager 4 Manager 7 Manager 2 Manager 5 Manager 8 37

  39. Slide 39: Protecting our clients' retirement

    PROTECTING OUR CLIENTS’ RETIREMENT For personal use only 1. Future returns are primarily driven by the price you pay – we should prepare for lower returns 2. Comprehensive risk management – Diversification, Value and Quality are key elements to protect on the downside 3. Retain flexibility – the opp

  40. Slide 40: Positioned to solve for the retirement needs of our clients

    PERPETUAL INVESTMENTS POSITIONED TO SOLVE FOR THE RETIREMENT NEEDS OF OUR CLIENTS For personal use only There is a critical need for products that will deliver growth in retirement but protect on the downside … and this demand is only mounting Perpetual is optimally positioned to solve this need … i

  41. Slide 41: Well positioned for changing distribution landscape

    PERPETUAL INVESTMENTS WELL POSITIONED FOR CHANGING DISTRIBUTION LANDSCAPE For personal use only Diverging Digital Industry fund Shifting influence of technology & consolidation & customer gatekeepers platform growth preferences innovation Increased Advice industry Emergence of new transparency & fra

  42. Slide 42: Extensive reach across different channels

    PERPETUAL INVESTMENTS EXTENSIVE REACH ACROSS DIFFERENT CHANNELS Intermediary Institutional For personal use only Advisers 12,000+ advisers Distribution team of 34 with a true Shareholders & Platforms national footprint direct clients established and independents +75,000 clients +35 Perpetual • Chann

  43. Slide 43: Industry leading distribution to underpin sustainable growth

    PERPETUAL INVESTMENTS INDUSTRY LEADING DISTRIBUTION TO UNDERPIN SUSTAINABLE GROWTH For personal use only • Distribution will be a critical determinant of winners and losers in asset management • Perpetual’s Distribution capability has been built over decades and is underpinned by; • Strength and her

  44. Slide 44: Strategic priorities

    PERPETUAL INVESTMENTS STRATEGIC PRIORITIES For personal use only Our vision: Create a globally diversified platform for long-term growth in Perpetual Investments World class Industry leading Contemporary and investment brand and efficient operating capabilities distribution platform • Group Executiv

  45. Slide 45: Perpetual Private

    For personal use only PERPETUAL PRIVATE MARK SMITH GROUP EXECUTIVE 44

  46. Slide 46: Private

    PERPETUAL PRIVATE For personal use only Divisional overview 11.15 -11.45 Client segments & channels Professional Service Model Mark Smith Market growth trends Group Executive – Perpetual Private Strategic priorities & execution Adviser acquisition Priority Life acquisition Q &A 11.15 -11.45 45

  47. Slide 47: Tailored advice and wealth management in chosen segments

    PERPETUAL PRIVATE TAILORED ADVICE AND WEALTH MANAGEMENT IN CHOSEN SEGMENTS For personal use only Services ▪ Independent tailored holistic wealth advisory services $14.9bn FUA1 ▪ One of the largest Trustees of Native Title and Philanthropic funds ▪ Contemporary Professional Services Model (PSM) ▪ Net

  48. Slide 48: Client segments and referral channels

    PERPETUAL PRIVATE CLIENT SEGMENTS AND REFERRAL CHANNELS For personal use only Channels • Accounting Alliance Partners • Law Firm Alliance Partners • Fordham • Direct • The Private Practice Sub-Segments • Estate Planning Legal Team • Existing clients • Trust Managers – beneficiaries Compensation trus

  49. Slide 49: Client case study

    PERPETUAL PRIVATE CLIENT CASE STUDY For personal use only WHY SHANNON HOW WE’VE HELPED CHOSE PERPETUAL: SHANNON Shannon was not prepared for his • Strategic financial plan new financial situation that • Insurance advice fundamentally changed from when • Investment advice and management he was traini

  50. Slide 50: Scaleable professional services model designed to support growth

    PERPETUAL PRIVATE SCALEABLE PROFESSIONAL SERVICES MODEL DESIGNED TO SUPPORT GROWTH For personal use only Segment based model allows for increased specialisation Improved engagement with clients Build leading referral channels Clearly defined career pathways Drive deep segment knowledge for salaried

  51. Slide 51: Client segmentation and service offering delivering diverse revenue streams

    PERPETUAL PRIVATE CLIENT SEGMENTATION & SERVICE OFFERING DELIVERING DIVERSE REVENUE STREAMS For personal use only Six consecutive years of Continued growth in non positive flows market revenue supported by Steady growth in market referral channel flows related revenue Funds under advice $b Non marke

  52. Slide 52: Opportunity for growth in business owners and established wealthy

    PERPETUAL PRIVATE OPPORTUNITY FOR GROWTH IN BUSINESS OWNERS AND ESTABLISHED WEALTHY For personal use only Business owners & Established wealthy Beneficiaries professionals Business owners and HNW individuals are set to Baby boomers retiring will Gen X and Millennials are set professionals make up ov

  53. Slide 53: Trusted partner in community and social segment

    PERPETUAL PRIVATE TRUSTED PARTNER IN COMMUNITY AND SOCIAL SEGMENT For personal use only Not for profit Philanthropy Native Title $305 billion1 15 million2 1213 In assets held by charities Australians donate money Charitable trusts receiving claim funds $13 billion2 $146 billion1 Was donated 2015-16

  54. Slide 54: Lead the market in advisory and professional services

    PERPETUAL PRIVATE LEAD THE MARKET IN ADVISORY AND PROFESSIONAL SERVICES IN OUR CHOSEN SEGMENTS For personal use only Accelerate growth Accelerate growth Future proof the 1 business 2 through adviser 3 through inorganic acquisition opportunities • PP’s strategy is designed to • Leverage the Professio

  55. Slide 55: Accelerating growth in advisers

    PERPETUAL PRIVATE ACCELERATING GROWTH IN ADVISERS For personal use only BUILD TRANSITION ONBOARD ACCELERATE PIPELINE ADVISERS CLIENTS GROWTH FY19 FY20 FY21 FY22 • 15 new advisers signed to date, a 20%+ increase in adviser pool • 7 have commenced with 8 to commence in 2H20 • Aligns with our Professio

  56. Slide 56: Track record of building new referral channels through acquisition

    PERPETUAL PRIVATE TRACK RECORD OF BUILDING NEW REFERRAL CHANNELS THROUGH ACQUISITION For personal use only FORDHAM THE TRUST COMPANY FINTUITION PRIORITY LIFE FY09 FY14 FY16 FY20 • Delivering integrated • Accelerated growth • Dedicated healthcare • New referral channel financial and tax Fordham of fi

  57. Slide 57: Acquires Priority Life

    PERPETUAL ACQUIRES PRIORITY LIFE ALIGNED SPECIALIST RISK ADVISORY BUSINESS For personal use only Quality HNW client base that aligns with segments ▪ Aligned to strategy to grow private client business nationally 2500 ▪ Represents new referral channel for national expansion clients including 700 ▪ 60

  58. Slide 58: Strategic priorities

    PERPETUAL PRIVATE STRATEGIC PRIORITIES For personal use only Our vision : Lead the market in advisory and professional services in our chosen segments Trusted Accelerate growth Accelerate brand with through adviser through inorganic strong acquisition opportunities reputation • National roll-out of

  59. Slide 59: Perpetual Corporate Trust

    For personal use only PERPETUAL CORPORATE TRUST RICHARD MCCARTHY GROUP EXECUTIVE 58

  60. Slide 60: Corporate Trust

    PERPETUAL CORPORATE TRUST For personal use only Divisional overview 11.45-12.15 Strategic priorities Debt Market Services ‘DMS’ Richard McCarthy Managed Fund Services ‘MFS’ Group Executive Perpetual Corporate Trust Data and Analytics Solutions ‘DAS’ Case study Q &A 12.15 - 12.30 59

  61. Slide 61: Leading fiduciary to debt capital markets and managed funds industry

    PERPETUAL CORPORATE TRUST LEADING FIDUCIARY TO DEBT CAPITAL MARKETS AND THE MANAGED FUNDS INDUSTRY For personal use only Capabilities ▪ Australian market leader in securitisation $779bn ▪ Australian market leader in managed fund services FUA1 ▪ Delivering RegTech solutions via business intelligence,

  62. Slide 62: Highly regarded, well-resourced and experienced team

    PERPETUAL CORPORATE TRUST HIGHLY REGARDED, WELL-RESOURCED AND EXPERIENCED TEAM For personal use only Richard McCarthy Group Executive Glen Dogan Rod Ellwood Vicki Riggio David Dee Sales Product & Marketing Debt Market Services Managed Fund Services Data and Analytics Solutions • Trustee • Wholesale

  63. Slide 63: Continue leadership position while delivering innovative RegTech solutions

    PERPETUAL CORPORATE TRUST CONTINUE LEADERSHIP POSITION WHILE DELIVERING INNOVATIVE REGTECH SOLUTIONS For personal use only Developing Invest in new products, Maintain & grow 1 leadership positions 2 innovative new client 3 markets and inorganic solutions opportunities ▪ Migrate core operating system

  64. Slide 64: Three growing lines of business

    PERPETUAL CORPORATE TRUST THREE GROWING LINES OF BUSINESS For personal use only Debt Market Services “DMS” ▪ 20+ years of delivering new products & services to the securitsation market ▪ Strong client relationships with Australian banks, international banks, non-banks and the new fintech/neo banks $

  65. Slide 65: Geographic spread of clients

    PERPETUAL CORPORATE TRUST GEOGRAPHIC SPREAD OF CLIENTS For personal use only Our clients include: • Domestic & global investment managers • Property and Infrastructure Investors • Pension and sovereign wealth funds • International banks • Australian banks • Non-bank lenders • Mutual banks • Domestic

  66. Slide 66: Debt Market Services: securitisation, our role

    DEBT MARKET SERVICES SECURITISATION – OUR ROLE For personal use only Perpetual as trustee issues the security and acts in the best interests of institutional investors Trustee Mortgage & Bundles Sells Issues interest repayments loans loans Securitisation bearing notes vehicle Borrower Financial Inst

  67. Slide 67: Debt Market Services revenue: key market drivers

    DEBT MARKET SERVICES REVENUE KEY MARKET DRIVERS EXPECTED TO SUPPORT GROWTH For personal use only Australian mortgage market DMS benefiting from growth of approaching $1.7 trillion1 Non ADI lending 1,689 $ Billions 1,640 1,563 $ Millions 1,465 1,364 $Billion 1,260 1,180 1,107 2012 2013 2014 2015 2016

  68. Slide 68: Debt Market Services revenue: FUA growth

    DEBT MARKET SERVICES REVENUE KEY MARKET DRIVERS EXPECTED TO SUPPORT GROWTH For personal use only FUA growth benefiting from both ADI and non-ADI lenders PCT SECURITISATION FUA AND REVENUE 600 40 35 500 Billions 30 Millions 400 25 300 20 480 428 436 435 15 200 380 307 10 259 100 217 5 - 0 2012 2013 2

  69. Slide 69: Managed Fund Services: PCT's role in managed investment schemes

    MANAGED FUND SERVICES PCT’S ROLE IN MANAGED INVESTMENT SCHEMES For personal use only Perpetual as Trustee or Responsible Entity ensures unitholders interests are protected and regulatory requirements are met Trust Deed, Investment Management and Service agreements Purchase / Hold units Investment in

  70. Slide 70: Managed Funds Services: key market drivers supportive of growth

    MANAGED FUNDS SERVICES KEY MARKET DRIVERS HAVE BEEN SUPPORTIVE OF GROWTH For personal use only 10.2% growth in Australia’s 73% of MFS FUA comprises real Super pool attracting global investors assets Total Assets and 10-year CAGR ($USD billion) MFS FUA by asset class 10.2% Australia 7.7% US 4% 7% 7.1

  71. Slide 71: Managed Funds Services revenue growth

    MANAGED FUNDS SERVICES KEY MARKET DRIVERS ARE EXPECTED TO SUPPORT GROWTH For personal use only 24%1 growth in revenue supported by scale through acquisition and increased demand for outsourced RE services $60 MFS Revenue $50 $40 TrustCo Acquisition 24%1 Millions $30 $20 $10 $0 2012 2013 2014 2015 20

  72. Slide 72: Growing demand for data and insights

    DATA AND ANALYTICS SOLUTIONS GROWING DEMAND FOR DATA AND INSIGHTS “ For personal use only Australian business is expected to spend more than $65 billion on technology in 2019 as part of an ongoing transformation to ensure the nation can compete effectively in the globalised digital economy. The Aust

  73. Slide 73: Years of investment in data and analytics solutions

    DATA AND ANALYTICS SOLUTIONS 20 YEARS OF INVESTMENT IN DATA AND ANALYTICS SOLUTIONS For personal use only Vision to Commenced support clients Build of through a new Perpetual digital platform Appointed by Business majority of issuers Intelligence Invested in to conduct RBA reporting EVOLUTION OF OFF

  74. Slide 74: Delivering RegTech solutions utilising our unique data set

    DATA ANALYTICS SOLUTIONS DELIVERING REGTECH SOLUTIONS UTILISING OUR UNIQUE DATA SET For personal use only DATA AND ANALYTICS SOLUTIONS (DAS) Australian (Securitisation) Perpetual Perpetual Data Warehouse Roundtables Business Intelligence Regulatory and investor reporting Benchmarking and insights A

  75. Slide 75: Case study: Athena Home Loans

    DATA AND ANALYTICS SOLUTIONS CASE STUDY: ATHENA HOME LOANS For personal use only https://www.youtube.com/watch?v=9W6M_OftrBA 74

  76. Slide 76: RegTech with a difference

    DATA AND ANALYTICS SOLUTIONS REGTECH WITH A DIFFERENCE For personal use only DAS Revenue1 $m ✓ A 130 year business ✓ Trusted brand $12 35%1 ✓ Strong financial balance sheet $10 35%1 ✓ Deep client relationships $8 ✓ 20+ years of developing capabilities and $6 service offerings across a privileged $4

  77. Slide 77: Corporate Trust strategic priorities

    PERPETUAL CORPORATE TRUST STRATEGIC PRIORITIES For personal use only Our vision: the leading corporate fiduciary, reporting and RegTech business Leverage Invest in our existing strong market Continue to innovate business and consider position new horizons • Retain unmatched client • Improving client

  78. Slide 78: Trust is earned

    For personal use only Trust is earned. Earn trust. Every action. Every day.

  79. Slide 79: Appendices

    For personal use only APPENDICES 78

  80. Slide 80: Don't take our word for it

    PERPETUAL CORPORATE TRUST DON’T TAKE OUR WORD FOR IT For personal use only RED ZED: LA TROBE FINANCIAL: LIBERATING THE SELF EMPLOYED PARTNERS ON A PATH TO GROWTH https://youtu.be/3t5RPTSSe6c https://youtu.be/_fqw_9CB66s COLUMBUS CAPITAL: BRIGHTE CAPITAL: A SIX-YEAR VOYAGE WITH PERPETUAL BRIGHTE IDEA

  81. Slide 81: Disclaimer

    DISCLAIMER The information in this presentation is general background information about Perpetual Limited and its subsidiaries (Perpetual Group) and their activities and is current as at 27 November 2019. It is in summary form and is not necessarily complete. It should be read together with Perpetua

Perpetual — Investor Day (November 2019) on 6ix