Whitefield Limited

Whitefield is one of Australia’s oldest listed investment companies. Founded in 1923, Whitefield provides shareholders with a diversified exposure to the industrial (non-resource) segment of the Australian share market.

Whitefield has generated significant returns for shareholders over many decades. An investment of $1,000 in Whitefield in 1970 would at 31 March 2010 be worth $104,207¹ after allowing for the payment and provision of income tax at company rates on all unfranked income and both realised and unrealised capital gains. This significant return reflects the benefits of long term investment in the Australian share market, which have included:

• (a)
  the benefit of compounding investment returns over many successive years and
• (b)
  long term growth in the earnings of Australian industrial companies from activity, reinvestment of earnings in productive capacity and inflation

Whitefield has also sought to manage its operations cost effectively, and to manage its investments using a disciplined and prudent investment strategy. As a result:

• (i)
  Whitefield has maintained a management expense ratio at or below 0.35% of investment assets for the majority of this time.
• (ii)
  The returns of Whitefield’s investment portfolio have exceeded the return of the All Industrials Accumulation Index over the last 20 years.

¹ Calculated on the basis of net asset backing plus dividends, assuming all dividends were reinvested.