Exclusionary Screen change

Pendal Multi-Asset Target Return Fund (APIR: PDL3383AU)

(the “Fund”)

The following information contains an important update to the Fund’s exclusionary screens disclosed in the Product Disclosure Statement dated 19 December 2024 for the Pendal Multi-Asset Target Return Fund (PDS) and should be read in conjunction with the PDS.

Effective from 30 June 2025, the Fund will introduce an additional exclusionary screen and not invest in companies or issuers directly involved in the supply of goods or services specifically related to controversial weapons.

In our view, this change ensures that the Fund is more closely aligned with investor expectations around responsible investing. 

Further, we have clarified the Fund’s definition of controversial weapons includes white phosphorus weapons.

Exclusionary Screens Effective 30 June 2025

Effective 30 June 2025, the section ‘Labour, Environmental, Social and Ethical Considerations’ in section 5 of the PDS is replaced with the following:

We do take environmental, social (including labour standards) and ethical considerations into account when making investment decisions. Sustainable investment practices are incorporated into the Fund by implementing exclusionary screens.

The Fund will not invest in companies or issuers directly involved in the following business activities:

• tobacco production (including e-cigarettes and inhalers);
• controversial weapons manufacture (including cluster munitions, landmines, biological or chemical weapons, nuclear weapons, depleted uranium weapons, blinding laser weapons, incendiary weapons, non-detectable fragments and white phosphorus weapons); or
• supply of goods or services specifically related to controversial weapons.

The Fund will also not invest in companies or issuers directly involved in the following activities, where such activities account for 10% or more of a company’s or issuer’s gross revenue:

• the production of alcohol;
• manufacture or provision of gaming facilities;
• manufacture of non-controversial weapons or armaments;
• manufacture or distribution of pornography;
• uranium mining for the purpose of nuclear power generation; or
• extraction of thermal coal and oil sands production.

Exclusionary screens are not applied to government securities, semi-government securities, supranational securities, cash or derivatives. The use of derivatives may result in the Fund having indirect exposure to the excluded companies or issuers.

All reasonable care has been taken to implement the Fund’s exclusionary screens to meet the criteria described above. We draw on internal and supplementary external research, believed to be accurate, to determine whether an investment is subject to the exclusionary screens. However, as the nature and conduct of businesses may change over time and publicly available financial or other information is not always comprehensive or up to date, we do not guarantee that the Fund will meet all of these criteria at all times.

We review investments subject to the exclusionary screens monthly and monitor the Fund’s compliance with its investment guidelines (including the exclusionary screens) daily. If we discover an investment no longer meets our criteria, we will divest the holding as soon as we consider appropriate, having regard to the interests of investors (and this will be on a case by case basis).