Slide 1: FY2019 Annual General Meeting
Netwealth E FY2019 Annual 4 General Meeting | Q Finda client — t=) Jane Flowers, Total Balance $437,789.45 wen ByAsset Class ~ T expandall Cash account $15,180.32 347% ‘Australian Equities 735% $119,739.06 $79893.80- National Australia Bank L... NAB 004% Price Value $29.83, $105,240.24 $76,448.91 =
Slide 2: Our purpose
>» Ourpurposeis = (©) - To enable pe - see wealth differe ~ and discover a| FOr p
Slide 3: Important notice and disclaimer
Important notice and disclaimer General Information only Information provided is general information presented in a summary format as at 12 November 2019, and is therefore not necessarily complete. This presentation is for informational purposes only and is not to be telied upon as advice to investo
Slide 4: Chairman's address
Chairman's address = Jane Tongs For personal use o 4 | netwealth = FY2019 AGM Presentation
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Slide 7: Agenda
Agenda Jane Tongs Chairman Michael Heine Joint Managing Director Matt Heine Joint Managing Director 7 ~~ ‘| netwealth == FY2019 AGM Presentation 1. Chairman's address 2. Joint Managing Directors’ address 3. Formal business
Slide 8: The foundations of Netwealth's success is our culture
The foundations of Netwealth’s success is our culture Our Board Our values The Board is committed to acting + Curious ethically, transparent and accountable. + Optimistic Our strategy to provide best in class products and services Best-in-class technology Market leading, home grown platform, agile a
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| Jal [= ASX200 $36.0M' $23.3B FUA nl : k & Dividend121cps_ #1 platform’ 2,579 1. Underlying NPAT has been prepared to exclude non recurring expenses for FY2019 and consistent with pro forma calculations for FY2018. A reconciliation is provided in the Annual Report Presentation Appendix. 9 | netweal
Slide 10: Delivered strong growth and achieved our key strategic objectives for FY2019
Delivered strong growth and achieved our key strategic objectives for FY2019 Total income growth of 18.6% $98.8M “ $83.3M FY2018 FY2019 EBITDA' growth of 22.9% al $52.0M $42.3M FY2018 FY2019 10 | netwealth = — FY2019 AGM Presentation Record annual FUA net inflows of $4.3B ($4.8B 12 months to 30 Sep
Slide 11: Our people
Our people The key to our success Staff Recognition Community involvement 11 | netwealth FY2019 AGM Presentatio Training programmes Security Diversity, inclusion & gender equality Our clients
Slide 12: Living our purpose with the community
Living our purpose with the community Netwealth’s purpose of ‘enabling people to see wealth differently and discover a brighter future’ shines through our community partnerships ~~ 8 71 5 1 88 For the 24 year, Netwealth teamed up with Swinburne University SWIN 3 ti and design studio MASS for the 'Th
Slide 13: Remuneration report
Remuneration report Under Item 2 in the business of the meeting Davyd Lewis will present briefly on the remuneration report. * Focus of the Board is to align the effort of management and all staff with the needs of users, to the benefit of all stakeholders + Netwealth's primary focus is on long term
Slide 14: Board renewal
Board renewal + Jane Tongs will not be re standing for re-election when her term ends in 2021 * Board is focused on having Directors with the right skills and culture for our company — refreshed in 2019 the Board skills matrix — to reflect skills we need now and skills that will assist our growth —
Slide 15: Joint Managing Directors' address
Joint Managing 2 Directors’ address © Michael Heine & Matt Heine For personal use 15 | netwealth = FY2019 AGM Presentation
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= $25.3B FUA <al $4.8B 16 | netwealth — FY2019 AGM Presentation = $4.48 FUM al $1.1B
Slide 17: Financial highlights FY2019
Financial highlights FY2019 Revenue, profit and margin growth continued al ola ll $98.8M $52.0M' 52.6%! $36.0M! Revenue EBITDA EBITDA margin NPAT $49.5M! 14.8 cents! Dividend121 Recurring rev Operating net cash flow pre tax EPS cps High % of recurring platform revenue Interim idend 5.5 cps ividend 6
Slide 18: Shift in industry platform flows
Shift in industry platform flows Led by Netwealth, the trend of specialist platforms dominating market net inflows continued Market share net funds flows in dollar value (12 month rolling) Source: Strategic Insight; Master Trusts, Platforms & Wraps (Dec 13- Jun 19) 40 $31.2 B 30 20 $11.1B $10.48 $1.
Slide 19: Significant market opportunity for growth
Significant market opportunity for growth Platform providers by FUA market share! Platform provider net funds flows? % market share (June 2019) $‘Billions (12 months to June 2019) #9 #1 82% ag, $4.38 $378 18.5% $10B $1.0B $1.08 go.gg 9.9% $0.28 -$1.4B “ 455 -$2.8B 28% | 96% “$3.38 5 a H & EB B B 6B!
Slide 20: Continuing growth momentum
Continuing growth momentum Netwealth’s annual growth of FUA at 29.9% for the year to June 2019 was nearly seven times the annual industry growth of 4.4%. mm UA ee FUM » ® Al Tl ee SEES Sg APES PE SP SMM Wy sions Fak Sok Source: Netwealth Consecutive years of FUA, FUM and member account growth 20 | n
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Slide 22: Netwealth adviser solution overview
Netwealth adviser solution overview Diverse product suite with a wide range of investment options for differing client segments Super Wealth Accelerator | Accelerator | Core || Insurance | | Plus l| Annuities | | Premium || Xwrap | Managed accounts | | Data feeds 22 | netwealth —FY2019 AGM Presentat
Slide 23: Strategic initiatives — evolving the revenue model
Strategic initiatives — evolving the revenue model “Software as a service” (SAAS) based subscriptions + extension of FUA & FUM revenue * Advice delivery is changing as consumers demand different engagement and service options Traditional platform revenue model Netwealth’s evolved SAAS-based revenue
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Slide 26: Questions from the floor
Questions from the floor
Slide 27: Formal business
For personal use only Formal business 27 ‘| netwealth = FY2019 AGM Presentation
Slide 28: Consideration of Netwealth Annual Reports
Item 1 Consideration of Netwealth Annual Reports To receive and consider the Financial Report, Directors’ Report and Auditor's Report for the financial year ended 30 June 2019. The Financial Report, Directors’ Report and Auditor's Report (the “Reports’) for the year ended 30 June 2079 will be laid b
Slide 29: Address by Chairman of the Remuneration Committee
Address by Chairman of the Remuneration Committee - Davyd Lewis * Short term incentives in the form of non-discretionary cash bonuses are generally limited to the sales and distribution team and the Joint Managing Directors. Netwealth only pays a discretionary cash bonus where the employee has made
Slide 30: Adoption of the Remuneration Report
Item 2 Adoption of the Remuneration Report To consider and, if thought fit, to pass the following resolution as an ordinary resolution of the Company: “That the Remuneration Report, which forms part of the Director's Report for the year ended 30 June 2079, be adopted” Proxy Votes Received For Open A
Slide 31: Re-election of Davyd Lewis as a director
Item 3 Re-election of Davyd Lewis as a director To consider and, if thought fit, to pass the following resolution as an ordinary resolution of the Company: “That Davyd Lewis, a non-executive director of the Company, and being eligible and offering himself for election, be re- elected as a director o
Slide 32: Election of Sally Freeman as a director
Item 4 Election of Sally Freeman as a director To consider and, if thought fit, to pass the following resolution as an ordinary resolution of the Company: “That Sally Freeman, being eligible and offering herself for election, be elected as a director of the Company” Proxy Votes Received For Open Aga
Slide 33: Joint Managing Director Long Term Incentive Award
Item 5 Joint Managing Director Long Term Incentive Award To consider and, if thought fit, to pass the following resolution as an ordinary resolution of the Company: “That for the purpose of ASX Listing Rule 10.14, approval is given to grant 132,373 Options to Mr Matthew Heine in accordance with the
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