Update No. 66 – 30/06/12

Please find attached the Shareholder Letter for the 2012 financial year.  Please note the value per share is unaudited at this stage, it will appear with the asterisk below until such time as our external auditors give us permission to declare the figure final.  We find that over the last 12 months, we have managed to exceed the performance of our benchmark by a modest 1.73%, by a slightly more impressive 3.67% over the last 6 months and since inception we have exceeded our benchmark by a far more impressive 13.45%.  We hope this annualised outperformance of 8.78% (since inception) can continue over the coming months and years, and if we can attain this level of performance in a rising market, we will be particularly pleased, given our target is 3 – 5% outperformance.

As my time has been spent wrapping up end of financial year matters, I will provide food for thought via a 42 year old work by Milton Friedman, which reminds us of the true responsibility of the corporation, in less than 3000 words, it eloquently and succinctly reminds us the true role of a business, maximising shareholder returns, whilst operating within the legislated and morally expected rules of the society in which it exists.  Please enjoy, as I have done many times “The Social Responsibility of Business is to Increase its Profits” – Tony Hansen 30/06/12.

*Unaudited figure to be confirmed externally

EGP Fund No. 1 Pty Ltd. Up by 6.99%, leading the benchmark by 3.67% since January 1^st. Since inception, EGP Fund No. 1 Pty Ltd is Up by 2.99%, leading the benchmark by 13.45% all-time (April 1^st 2011).