Financial Services Guide

Friday July 30, 2010

This Financial Services Guide ("FSG") has been provided to you by Euroz Securities Limited ACN 089 314 983 ("Euroz"). In this FSG when the terms we, our or us are used, it means Euroz.

This FSG is dated 1 July 2008.

Purpose of this FSG
The purpose of this FSG is to provide you with information about:

  • our name and contact details;
  • the financial services we are authorised to provide and the fi nancial products to which those services relate;
  • the cost of any services that we provide;
  • any remuneration, commissions or other benefits that we, or any relevant person, may be paid in relation to the financial services we offer;
  • any relationships we have with any other organizations affiliated with us or with product issuers, which might influence us in providing financial services to you;
  • details of our internal and external complaints handling procedures and how you can access them;
  • our Privacy Policy;

so as to help you to decide whether to use the financial services that we offer.

Other documents you may receive from us
Where we, for the first time, provide personal financial product advice to you we will provide you with a Statement of Advice.

The Statement of Advice, sets out our advice, the basis upon which the advice has been given and information about any fees, commissions or other benefi ts or associations that will be received by us or apply with respect to the advice.

If we offer to issue or arrange for the issue of a financial product to you we will provide you with a Product Disclosure Statement ("PDS"). The PDS contains information about the particular product including the features, benefits, fees and risks associated with that product to assist you in making an informed decision.

Further market related advice
If we have provided a Statement of Advice to you and then at a later time provide further personal financial product advice we may not, in some circumstances, have to provide another Statement of Advice. In these circumstances, we will keep a record of the advice. You are entitled, within 90 days of the advice being given, to request a copy of this record from us. You may make your request either orally or in writing to your adviser.

Who are we?
Any financial services offered by us to you will be provided by representatives of Euroz. Euroz is licensed under the Corporations Act to provide these services to you and our Australian Financial Services Licence Number ("AFSL") is 243302.

Euroz is a wholly owned subsidiary of the ASX listed company, Euroz Limited and is part of a group of companies controlled by Euroz Limited.

Euroz is a Participant of the ASX Group.

What financial services and products do we offer?
Under our AFSL we are authorised to do the following:

  • provide financial product advice for the following classes of financial products:
    1. deposit and payment products limited to basic deposit products;
    2. derivatives limited to old law securities options contracts and warrants;
    3. debentures, stocks or bonds issued or proposed to be issued by a government;
    4. interests in managed investment schemes excluding investor directed portfolio services; and
    5. securities.
  • deal in a financial product by:
    1. issuing, applying for, acquiring, varying or disposing of a financial product in respect of the following classes of financial products:
      • deposit and payment products limited to basic deposit products;
      • derivatives limited to old law securities options contracts and warrants;
      • debentures, stocks or bonds issued or proposed to be issued by a government;
      • interests in managed investment schemes excluding investor directed portfolio services; and
      • securities.
    2. applying for, acquiring, varying or disposing of a fi nancial product on behalf of another person in respect of the following classes of products:
      • deposit and payment products limited to basic deposit products;
      • derivatives limited to old law securities options contracts and warrants;
      • debentures, stocks or bonds issued or proposed to be issued by a government;
      • interests in managed investment schemes excluding investor directed portfolio services;
      • securities; and
    3. underwriting:
      • interests in managed investment schemes;
      • an issue of securities; and
  • provide the following custodial or depository services:
    1. operate custodial or depository services other than investor directed portfolio services to retail and wholesale clients.

How to use our services
If you wish to execute transactions using our services, you can give us instructions by telephone or via e-mail sent to your advisor.

The receipt and execution of instructions received from you is subject to our Trading Terms and Conditions.

Euroz will not accept instructions from you to execute transactions on your behalf that are received by fax or post.

With respect to the execution of transactions on your behalf you can contact us by:

Telephone
+61 8 9488 1400

In person:
Level 14 The Quadrant
1 William Street Perth

Should you wish to contact us for reasons other than the execution of a transaction on your behalf you may, in addition to the methods set out above, contact us as follows:

By mail
PO Box Z5036
St Georges Terrace
Perth WA 6831

By fax
+61 8 9488 1477

By email
info@euroz.com.au

Fees payable for each service provided
Appendix A to this FSG sets out the current list of fees and charges that you will pay for our services.

Remunderation or other benefits received by Euroz with respect to the provision of Financial Services to you
All payments with respect to the fees and charges set out in Appendix A will initially be received by Euroz.

In addition to the fees and charges set out in Appendix A, Euroz may also receive the payments set out below with respect to the provision of financial services to you.

Floats/New Issues/Placements
Euroz may receive a handling fee and/or an underwriting fee with respect to any floats/new issues/or placements that may be offered to you. The precise fee will be disclosed to you in the offer document that is given to you at the time that the offer is made but, in general, handling fees range from 0.01 % to 5 % of the amount subscribed for and underwriting fees range from 0.01 % to 5 % of the amount raised.

Managed investment products
Euroz may receive an initial fee as a result of you subscribing for a managed investment style product and may also receive trailing commissions. The precise fee will be disclosed to you in the relevant disclosure document but in general the initial fee will range between 0.01 % to 5 % and the trailing commissions will range between 0.01 % to 5 % for each year that you continue to own the product.

Margin lending
Euroz may receive trailing commissions if we arrange for you to enter into margin lending arrangement with a margin lender. These trailing commissions will be disclosed to you in the disclosure documents that will be provided to you at the time that you enter into the margin loan but in general these commissions will range from 0.01 % to 5 % of the amount borrowed by you.

Cash Management trust
If Euroz arranges for you to subscribe to a cash management trust, we may receive trailing commissions. These trailing commissions will be disclosed to you in the disclosure documents that will be provided to you at the time that you subscribe but in general these commissions will be between 0 and 40 basis points of the amount of funds invested by you.

Incentive payments
Some product issuers may offer incentives such as increased commissions or bonus payments that are determined according to the volume of products issued by them that are taken up by Euroz's clients. These type of payments vary considerably. Any payments of this type that are to be received by Euroz, will be disclosed to you.

Remuneration or other benefits received by employees and directors of Euroz with respect to the provision of Financial Services to you
The remuneration and other benefits received by employees and directors of Euroz with respect to the provision of financial services to you are as follows:

  • employees receive a base salary and employment related benefi ts plus a proportion of the brokerage generated by them. The proportion of brokerage income varies from 35% to 45% but employees will generally receive around 40% of the brokerage generated by them;
  • directors receive directors' fees, a salary plus employment related benefits, brokerage income (calculated in the same manner as for employees) and may also receive part of the payments/benefits referred to above (this is calculated on the same basis as for employees);
  • all directors and many employees of Euroz are shareholders of Euroz Limited. Dividend payments made by Euroz Limited to these employees and directors in their capacity as shareholders of Euroz Limited will, in part, derive from income generated by Euroz; and
  • directors and employees of Euroz may from time to time receive benefits from products issuers such as complimentary tickets to events or other forms of hospitality.

Associations with related and unrelated product issuers
The Euroz group of companies (of which Euroz is a part) includes companies that are product issuers.

Euroz conducts an extensive corporate advisory business (including corporate fundraising) and, as a result, has an ongoing business relationship (or the expectation of one) with many listed and unlisted companies and other types of businesses such as managed investment schemes.

Any relevant matters regarding these relationships will be disclosed to you.

Compensation Arrangements
Euroz has Professional Indemnity Insurance arrangements in place such that it satisfi es the requirements for compensation arrangements set out in s912B of the Corporations Act. These compensation arrangements will apply where a claim is made with respect to the conduct of a person who has ceased to be an employee and/or a representative of Euroz.

Complaints
If you are not satisfied with any aspect of the service that has been provided by us, you are entitled to complain. We have established procedures to ensure that all enquires and complaints are properly considered and dealt with.

Our complaint handling procedure is as follows:

  • if you are dissatisfid with any aspect of the service that has been provided to you please contact our Complaints Manager on +61 9 488 1400 or info@euroz.com.au;
  • if our Complaints Manager is unable to resolve your complaint to your satisfaction please contact our Chief Operating Officer on +61 9 488 1400 or info@euroz.com.au; and
  • if you are still not satisfi ed with the resolution of any complaint, you may complain in writing to The Financial Industry Complaints Service Limited ("FICS") of which Euroz is a member (membership number F-474). FICS can be contacted as below:

Financial Industry Complaints Service Limited
PO Box 579 Collins Street West, Melbourne VIC 8007
Telephone: 1300 780 808
Facsimile: (03) 9621 2291
Email: fics@fics.asn.au
Internet: www.fics.asn.au

How is my personal information dealt with?
The privacy of your personal information is important to us. Euroz has adopted the principles set out in the Privacy Act and for further details please refer to our Privacy Policy a copy of which will be provided to you upon your request.