S T. J A M E S ’ S P L AC E

I S A D E TA I L S A N D K E Y F E AT U R E S

( I N C O R P O R AT I N G T H E S I M P L I F I E D P RO S P E C T U S )

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C O N T E N T S

Investment choice 2What is the historic performance? 2For what type of investor are the funds suitable? 2What are the Objectives and the Investment Policies of the Funds? 3Your investment 3What are the risks? 3What is the St. James's Place ISA? 5What is a unit trust? 6How do I buy units? 6What are the charges? 6Where can I find the price of my units in the unit trust ISA? 7When can I encash my unit trust ISA investment? 7What happens if I die? 7How are my investments taxed? 7Can I switch between different units and unit trusts and what are the charges for doing so? 8How will charges and expenses affect my investment – new lump sum investments? 8How will charges and expenses affect my investment 9– monthly investments?How much will the advice cost? 9How do I apply? 10Queries and complaints 10Financial Services Compensation Scheme 10Money Laundering Prevention 11The St. James’s Place Partnership 12Our Guarantee 12Further information on St. James’s Place Unit Trusts 13ISA Terms and Conditions 15

PAG E

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I N V E S T M E N T C H O I C E

• C AU T I O U S U N I T T RU S T

• C O R P O R AT E B O N D U N I T T RU S T

• E QU I T Y I N C O M E U N I T T RU S T

• E T H I C A L U N I T T RU S T

• FA R E A S T U N I T T RU S T

• G L O B A L U N I T T RU S T

• G R E AT E R E U RO P E A N P RO G R E S S I V E U N I T T RU S T

• I N T E R N AT I O N A L U N I T T RU S T

• N O RT H A M E R I C A N U N I T T RU S T

• P RO P E RT Y U N I T T RU S T

• T R AC K E R U N I T T RU S T

• U K & G E N E R A L P RO G R E S S I V E U N I T T RU S T

• U K G ROW T H U N I T T RU S T

• U K H I G H I N C O M E U N I T T RU S T

• WO R L DW I D E O P P O RT U N I T I E S U N I T T RU S T

• C O N T I N E N TA L E U RO P E A N U N I T T RU S T

Full details of the St. James’s Place range of funds can be found in the Fund Profile booklet, which mustbe read in conjunction with this document.

W H AT I S T H E H I S TO R I C P E R F O R M A N C E ?

Full details of each fund’s historic performance can be found in the Fund Profile booklet, whichmust be read in conjunction with this document.

F O R W H AT T Y P E O F I N V E S TO R A R E T H E F U N D SS U I TA B L E ?

The range of St. James’s Place unit trusts are all designed to be marketable to individual investors,primarily as a result of advice given by St. James’s Place Partners. The choice of specific fund(s)should be determined by the attitude to risk, the wish for income and/or growth, and the intendedlength of time for investment.

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W H AT A R E T H E O B J E C T I V E S A N D T H E I N V E S T M E N TP O L I C I E S O F T H E F U N D S ?

■ Full details of each fund’s Objectives and Policies can be found in the Fund Profile booklet,which must be read in conjunction with this document.

YO U R I N V E S T M E N T■ You invest a capital sum with us, in which case you have no further commitment.■ You can also invest by means of a regular monthly contribution; minimum and maximum limits

are set out on pages 5 and 6.There is no minimum term for which your contribution must bemaintained and there are no penalties for stopping your contributions.

■ You may invest by transferring the proceeds of an existing Mini or Maxi stocks and shares ISAfrom your current ISA Manager.

■ When transferring an ISA relating to the current tax year, you may make further contributionsif you have not already contributed the maximum allowable.

W H AT A R E T H E R I S K S ?■ The value of investments, and the income generated from them, can go down as well as up and

you could get back less than you invested.■ Investment performance, future tax treatment, or our charges may be different from that

assumed. In any of these events, this could lead to lower growth than illustrated.■ If you decide to withdraw from the investment within the 14 day cancellation period and there

has been a fall in investment values in the meantime, the amount you get back will be less thanyou contributed by the amount of that fall in value.

■ If you invest in a unit trust to meet a target benefit in the future, there is a risk, if payments arenot maintained or if markets underperform expectations, that the target benefit will not be achieved.

■ Inflation may reduce buying power over time.■ Rises and falls in the markets in which the schemes invest can affect performance. It can also

be influenced by other factors, including stock selection, asset allocation and sudden largewithdrawals.

■ Where a unit trust invests in unquoted stocks, or on smaller stock markets, there willpotentially be a greater risk than when investing in stocks and shares quoted on larger or moreestablished stock markets.

■ Where a unit trust invests in securities denominated in a currency other than sterling, there isa risk of currency fluctuations affecting investment performance.

■ St. James’s Place Unit Trust Group’s unit trusts currently invest in derivatives for the purposesof reducing risk, reducing cost and to hedge currency risk.

■ The Tracker Unit Trust may use derivatives to replicate the FTSE All-Share IndexTM

, therebyreducing the need to hold numerous small stocks.

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■ The Corporate Bond Unit Trust invests in a range of Government and Corporate Bonds. Theaverage credit quality is A - (Standard & Poor’s); no ‘junk’ bonds are held. Information on thefund’s duration may be found in the Fund Profile booklet which forms part of this document.

■ The Global Unit Trust, Worldwide Opportunities Unit Trust and the Continental EuropeanUnit Trust are permitted to invest in overseas and emerging markets. Investment in emergingmarkets may involve a higher risk due to the volatility of currency exchange rates, limitedgeographic focus, investment in a smaller number of issuers, political and economic instabilityand relative illiquid markets.These three unit trusts will only invest a small proportion of theirassets in emerging markets if the Manager considers the risks to be at an acceptably low level.

■ The Cautious Unit Trust also invests up to 5% of its value in European emerging markets.■ Property Unit Trust only – Liquidity: the sale of buildings and land can take several months. For this

reason the manager, in accordance with the objectives, intends to keep a proportion of the UnitTrust’s assets in property-related shares, units in other securities, as well as cash or deposits.

■ If you need to sell units of a particular unit trust back to us at a time when that fund isexperiencing net outflows of money, you should be aware that the price at which we will buythem back may be lower than at other times. This applies to any unit trust, but more so to theProperty Unit Trust.

■ The policies for managing the investment risks arising from market price changes, foreigncurrency fluctuations, interest rate changes and liquidity are set out in the full Prospectus, andin the Report and Accounts for each unit trust; both are available on request from the Manager.

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W H AT I S T H E S T. J A M E S ’ S P L AC E I S A ?■ An ISA is a tax-efficient savings plan which offers you a wide choice of possible investment options

from which to choose. It is managed in accordance with ISA regulations by the ISA Manager underterms and conditions agreed by the ISA Manager and the investor (see pages 15-16).

■ A current ISA may consist of either of the following investment types:■ Stocks and Shares (including unit trusts) ■ Cash

■ An ISA can be either a Mini or a Maxi ISA. A Mini ISA is made up of only one of the twocomponents listed above. If you subscribe to a Mini ISA, you may not also subscribe to a MaxiISA in that tax year. You may, however, subscribe to another Mini ISA containing the othercategory of investment. If you subscribe to a Maxi ISA, that is the only ISA you may subscribeto in that tax year. If you use the Feeder Facility, you will subscribe to a Maxi ISA.

■ Whether or not you subscribe to a Mini or Maxi ISA, you will be permitted to subscribe to aTESSA-only ISA.

■ A Maxi ISA must include the stocks and shares component, with or without the Cash components.■ The subscription limit for the Maxi ISA is £7,000 per tax year.■ The subscription limit for a Mini stocks and shares ISA is £4,000 per tax year.■ If you start investing monthly contributions in excess of £583.33 a month for a Maxi ISA, or

£333.33 a month for a Mini ISA, then the level of contribution will be reduced at the beginningof the next tax year to ensure your annual limit is not exceeded (unless you instruct us otherwise).

■ ISA stocks and shares investments can only be made by an individual aged 18 or over, who isresident and ordinarily resident in the UK. 16 and 17 year olds are permitted to invest up to£3,000 in either a cash Mini ISA or the cash component of a Maxi ISA.

■ The investor must be the beneficial owner of the ISA.■ You may transfer the proceeds of an existing ISA to a new ISA Manager. Subscriptions made in

the current tax year must be transferred in full, whereas subscriptions made in a previous taxyear may be transferred in full or in part.

■ ISA transfers may only be effected between ISA components of the same type, although thedesignation of Maxi or Mini is only important when transferring subscriptions made in thecurrent tax year. For example, current year subscriptions, into the stocks and shares componentof a Maxi ISA, may only be transferred to another stocks and shares Maxi ISA. Subscriptionsmade in previous tax years into a stocks and shares ISA may be transferred to the stocks andshares component of a Maxi or a Mini ISA.

■ St. James’s Place Unit Trust Group Limited offers both a Mini and Maxi ISA comprising only thestocks and shares component.

■ Contributions can be a capital sum (minimum £1,500), annual investments (minimum £1,500),or regular monthly amounts (minimum £100).

■ Investors can transfer the current year’s ISA subscriptions in whole, and/or previous years’ ISAcontributions in whole or in part to another ISA Manager.Transfers may only be made betweenISA components of the same type.

■ Investors can transfer, in full or in part, subscriptions made in previous tax years from anotherISA Manager, subject to a minimum of £1,500.

■ St. James’s Place Unit Trust Group Limited can only accept a transfer in respect of the currenttax year, subject to a minimum of £1,500, if you have not made contributions to the insuranceand/or cash component in the current year. Regular contributions will be accepted following thetransfer of a current year ISA, subject to a minimum of £1,500 per annum or £100 per month.

■ Following a transfer, St. James’s Place Unit Trust Group Limited will not accept payments of lessthan £100 from your former ISA Manager. We will instruct your former ISA Manager to repayamounts of less than £100 to you.

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W H AT I S A U N I T T RU S T ?■ A unit trust is a pool of assets, typically shares and bonds, held by an independent trustee on

behalf of investors. Each investor holds units in the unit trust and each unit of the same class isof equal value to all the other units.The price of the units is linked to the value of the assets inthe unit trust and total number of units in issue.

■ By pooling the capital of many investors, an individual investor can benefit from a wider spreadof different investments than could usually be achieved by investors acting on their own. Thiswider spread helps to reduce the short-term risk normally associated with equity investments.

■ You may elect to receive income payments in the form of dividend and interest distributions orthese can be reinvested automatically on your behalf to provide enhanced returns.

■ The Investment Manager of each of the individual unit trusts will make investments throughoutthe world, depending upon the investment aims of each individual unit trust.

■ Income generated from the stocks and shares held within the unit trust is accumulated by the UnitTrust Manager. In the case of Income Units (not available within all unit trusts), income is paid outto unit holders periodically, whilst in the case of Accumulation Units the income generated isretained within the unit trust and is reflected in an increase in the unit price.The distribution datesfor each unit trust are shown in the Prospectus, which is available from the ISA Manager.

■ The value of the individual units of a particular unit trust is dependent upon the value of theunderlying assets in that unit trust. Hence the value of units will fluctuate in line with thevalue of these assets.

H OW D O I B U Y U N I T S ?■ You can select from a range of unit trusts managed by different investment management companies.■ You can invest in the form of a capital sum, minimum £1,500 or as regular savings, minimum £1,500

annually or £100 monthly.■ Regular investments can be invested initially in Accumulation Units only.■ 100% of each investment is allocated to units.■ Applications submitted on paper will be dealt at the next Valuation Point (12 noon) after receipt at

the Administration Centre.■ Applications submitted electronically via a St. James’s Place Partner and using a Debit Card are

receivable immediately and will be dealt at the next Valuation Point.

W H AT A R E T H E C H A R G E S ?■ When you buy units, the maximum price that you pay is based on the notional cost of acquiring

the capital assets of the unit trust, divided by the number of units in issue to which the Manageradds an initial charge. The Offer price is the price per unit at which you would acquire thosecapital assets and the Bid price is the price per unit at which the underlying assets could berealised. The difference between the Bid price and the Offer price, known as the spread, isnormally 5.0% (3.9% for the Corporate Bond Unit Trust and the Tracker Unit Trust) andincorporates the initial charge.

■ Initial transfers into the Corporate Bond Unit Trust and Tracker Unit Trust, which have lowerinitial charges than our other unit trusts, will attract an initial charge of 1.25% if subsequentlyswitched to one of these other unit trusts.

■ Full details of charges can be found in the Fund Profile booklet, which must be read inconjunction with this document.

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W H E R E C A N I F I N D T H E P R I C E O F M Y U N I T S I N T H EU N I T T RU S T I S A ?■ The price of the units is published daily in the Financial Times and is also available to view on

www.sjp.co.uk.■ Alternatively, you can get an up-to-date valuation at any time, by contacting your St. James’s

Place Partner.

W H E N C A N I E N C A S H M Y U N I T T RU S T I S A I N V E S T M E N T ?■ You can encash all, or part, of your unit holding in your ISA at any time for the full Bid price of

the units, provided that your residual investment does not fall below the minimum of £500, inwhich case the total holding must be encashed.

W H AT H A P P E N S I F I D I E ?■ On death, the unit trusts held within the ISA no longer qualify for special ISA tax treatment and

the investment will be held in the unit trust account.■ We will await instructions from your Executors or Administrators as to whom the ownership of

the units should be transferred, or if the units should be sold.We will require Grant of Probateor Letters of Administration prior to effecting their instructions.

H OW A R E M Y I N V E S T M E N T S TA X E D ?

Please refer to the points below for how your investments are taxed.

W H I L E I N V E S T E D ■ The funds grow free of capital gains tax (CGT). Any dividends received from equity and

property unit trusts will be received net of a 10% tax credit, however, this is not reclaimable.Interest received from fixed interest investments is received free of income tax.

I N C O M E D I S T R I B U T I O N SNon Taxpayer■ You will have no further liability to income tax. The 10% income tax paid by the fund on UK

dividends cannot be reclaimed.Basic Rate Taxpayer■ You will have no further liability to income tax. Income payments from ISAs are disregarded

when assessing eligibility to age allowance.High Rate Taxpayer■ You will have no further liability to income tax.

O N D I S P O S A L ■ Any capital gains are free from CGT, however, if your ISA is disposed of after a loss, any fall in

value cannot be offset against future capital gains.

S TA M P D U T Y R E S E RV E TA X■ A Stamp Duty Reserve Tax (SDRT) charge of up to 0.5% is payable on the value of those units

which are redeemed by investors but which are not sold on to new investors. This cost iscurrently met from the assets of the fund.

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C A N I S W I T C H B E T W E E N D I F F E R E N T U N I T S A N D U N I TT RU S T S A N D W H AT A R E T H E C H A R G E S F O R D O I N G S O ?

■ Switching between Income Units and Accumulation Units within the same unit trust does notincur a charge.

■ Additional flexibility is provided by the ability to switch between unit trusts with a discountequivalent to the initial charge.This means that you can usually switch at no cost between ourunit trusts (1.25% if the switch is from the Corporate Bond Unit Trust or Tracker Unit Truststo any of the others or 0.15% if the switch is to the Corporate Bond Unit Trust or Tracker UnitTrusts from any of the others).

■ The switching and other charges are explained fully in the Prospectus (available on request fromthe ISA Manager).

H OW W I L L C H A R G E S A N D E X P E N S E S A F F E C T M YI N V E S T M E N T – N E W L U M P S U M I N V E S T M E N T S ?

The effect on an investment of £5,000, assuming growth of 7% a year, is set out below.The growth rateis not guaranteed. It is purely used for the purposes of demonstrating the effect of charges and expenseson an investment of £5,000. Please note that the figure of £5,000 has been used for illustration only.

T H I S TA B L E R E F E R S TO ‘ I N C O M E U N I T S ’O N T H E C O R P O R AT E B O N D U N I T T RU S T

AT E N D I N V E S T M E N T E F F E C T O F I N C O M E W H AT YO UO F Y E A R TO D E D U C T I O N S TO M I G H T G E T

DAT E TO DAT E DAT E B AC K

£ £ £ £1 £5,000 285 319 4,4703 £5,000 482 945 4,6205 £5,000 703 1,550 4,510

10 £5,000 1,390 3,010 4,240

The last line in the table shows that over 10 years the effect of the total charges and expenses couldamount to £1,390. Putting it another way, this would have the same effect as bringing the illustratedinvestment growth from 7% a year down to 4.9%. For the UK High Income Unit Trust theinvestment growth would reduce from 7% a year down to 4.4%, for the Equity Income Unit Trustthe investment growth would reduce from 7% a year down to 4.5% and for the Property Unit Trustthe investment growth would reduce from 7% a year down to 4.2%.

T H I S TA B L E R E F E R S TO ‘ AC C U M U L AT I O N U N I T S ’O N T H E U K & G E N E R A L P RO G R E S S I V E U N I T T RU S T

AT E N D I N V E S T M E N T E F F E C T O F W H AT YO UO F Y E A R TO D E D U C T I O N S M I G H T G E T

DAT E TO DAT E B AC K£ £ £

1 £5,000 355 4,9903 £5,000 604 5,5205 £5,000 908 6,100

10 £5,000 1,990 7,840

U N I T T RU S T R E D U C E D Y I E L D

Greater European Progressive Unit Trust 4.2%UK High Income Unit Trust 4.0%Corporate Bond Unit Trust 4.6%Equity Income Unit Trust 4.1%Ethical Unit Trust 4.2%Tracker Unit Trust 4.7%North American Unit Trust 4.3%International Unit Trust 4.2%

U N I T T RU S T R E D U C E D Y I E L D

Far East Unit Trust 4.3%Property Unit Trust 3.8%Worldwide Opportunities Unit Trust 3.7%UK Growth Unit Trust 3.7%Global Unit Trust 4.0%Cautious Unit Trust 3.7%Continental European Unit Trust 3.9%

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The last line in the table shows that over 10 years the effect of the total charges and expenses couldamount to £1,990. Putting it another way, this would have the same effect as bringing the illustratedinvestment growth from 7% a year down to 4.6%. For all other unit trusts, please see the table below.

H OW W I L L C H A R G E S A N D E X P E N S E S A F F E C T M YI N V E S T M E N T – M O N T H LY I N V E S T M E N T S ?

The effect on a regular monthly contribution of £100, assuming growth of 7% a year, is set outbelow. The growth rate is not guaranteed. It is purely used for the purposes of demonstrating theeffect of charges and expenses on a contribution of £100 to the St. James’s Place ISA and has beenused for illustration only.

T H I S TA B L E R E F E R S TO R E G U L A R S AV I N G S O N T H E U K & G E N E R A L P RO G R E S S I V E U N I T T RU S T

AT E N D I N V E S T M E N T E F F E C T O F W H AT YO UO F Y E A R TO D E D U C T I O N S M I G H T G E T

DAT E TO DAT E B AC K£ £ £

1 1,200 73 1,170

3 3,600 304 3,690

5 6,000 668 6,490

10 12,000 2,360 14,800

The last line in the table shows that over 10 years the effect of the total charges and expenses couldamount to £2,360. Putting it another way, this would have the same effect as bringing the illustratedinvestment growth from 7% a year down to 4.2%. For all other unit trusts, please see the table below.

H OW M U C H W I L L T H E A DV I C E C O S T ?

Your adviser will give you a personalised illustration which includes details about the costs.The amount will depend on the size of your contribution and, in the case of regular savings, theperiod for which you make them. It will be paid for out of charges.

U N I T T RU S T R E D U C E D Y I E L D

Greater European Progressive Unit Trust 4.6%UK High Income Unit Trust 4.5%Corporate Bond Unit Trust 5.0%Equity Income Unit Trust 4.6%Ethical Unit Trust 4.7%Tracker Unit Trust 5.0%North American Unit Trust 4.8%International Unit Trust 4.7%

U N I T T RU S T R E D U C E D Y I E L D

Far East Unit Trust 4.8%Property Unit Trust 4.3%Worldwide Opportunities Unit Trust 4.1%UK Growth Unit Trust 4.1%Global Unit Trust 4.5%Cautious Unit Trust 4.1%Continental European Unit Trust 4.2%

H OW D O I A P P LY ?

■ You can apply to open an ISA with the St. James’s Place Unit Trust Group Limited by completingand returning the ISA application form. There is a separate application for ISA Transfersincorporating a Form of Authority for us to send to your existing ISA Manager to effect a transferto the St. James’s Place ISA. Please complete a separate Form of Authority for each existing ISAManager. If you wish to make further subscriptions to a current year ISA after it is transferred,you will need to complete an ISA Application Form as well as the ISA Transfer Form.

■ You can invest a capital sum with us, in which case you have no further commitment.■ You can also invest by means of a regular monthly contribution, minimum £100 and a maximum

depending on the type of ISA chosen. Each tax year, you may make a maximum monthlycontribution of £583.33 to a St. James’s Place Maxi ISA or a maximum monthly contribution of£333.33 to a St. James’s Place Mini ISA.There is no minimum term for which your contributionmust be maintained and there are no penalties for stopping your regular contributions.

■ Investments in the St. James’s Place ISA can only be made by an individual aged 18 or over and whois resident and ordinarily resident in the UK for tax purposes. There are concessions applying tocertain crown employees serving overseas and their spouses (see ISA Application Form). 16 and 17year olds are permitted to subscribe up to £3,000 a year in a cash Mini ISA or the cash componentof a Maxi ISA, but these are not currently offered by St. James’s Place Unit Trust Group.

■ You cannot apply to transfer a current year Maxi ISA if you have subscribed to a cash component.

QU E R I E S A N D C O M P L A I N T S

For further information, or if you wish to complain about any aspect of the service that you havereceived, please contact St. James’s Place Unit Trust Group Ltd at its Administration Centre at P.O. Box 9034, Chelmsford, Essex CM99 2XA, Freephone 0800 0271031 for a copy of ourinternal complaints brochure. Complaints that we cannot settle through that procedure may bereferred by you to the Financial Ombudsman Service, South Quay Plaza, 183 Marsh Wall,London, E14 9SR,Telephone No 0845 080 1800.

F I N A N C I A L S E RV I C E S C O M P E N S AT I O N S C H E M E

The Financial Services Compensation Scheme Limited (‘the Scheme’) is established under theFinancial Services and Markets Act 2000 as a ‘Rescue Fund’ for clients of authorised investment firmsthat have gone out of business. St. James’s Place Unit Trust Group Ltd will supply you with furtherdetails of the Scheme on written request to its Administration Centre at the address given above.Alternatively, you can visit the Scheme’s website at www.fscs.org.uk, or write to the Scheme at 7th Floor, Lloyds Chambers, Portsoken Street, London, E1 8BN or telephone them on 020 7892 7300.

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M O N E Y L AU N D E R I N G P R E V E N T I O NIn line with the FSA’s requirements in relation to the Money Laundering prevention requirements,the St. James’s Place Unit Trust Group must satisfy certain checks when applications are submittedfor Unit Trusts, ISAs and ISA or PEP Transfers.The following notes outline the types of informationwe may require to help us do so.

A P P L I C AT I O N S M A D E T H RO U G H S T. J A M E S ’ S P L AC E PA RT N E R S H I P :Members of the St. James’s Place Partnership carry out client identification for money launderingprevention purposes before applications are submitted to our Administration Centre and will adviseyou of the specific requirements in each case. If you have been unable to supply your Partner with anyidentification documents requested (such as those shown in Sections A and B below), we will processyour application at the next valuation point following receipt at the Administration Centre, but you willbe unable to effect any redemption of the units until client identification checks have been completed.

OT H E R A P P L I C AT I O N S :Applications for Unit Trusts, ISAs and ISA and PEP Transfers for values below £50,000 that aresubmitted direct to our Administration Centre will require no further identification documentsprovided that they are accompanied by a personal cheque drawn on a UK or EU bank from an accountbearing your name. Failing this (including PEP and ISA transfers where the funds are remitted fromthe existing provider) an application must be accompanied by original identification documents.

We can accept:

either a copy of an original document bearing a photograph from the following list, dated and certifiedunder signature as ‘a true copy of the original’ by a lawyer, banker, accountant or regulated individual:• Valid passport• Valid photo card driving licence (full or provisional)• National identity card (non-UK national)• Firearms certificate or Shotgun licence• Identity card issued by the Electoral Office of Northern Ireland

or, one document from column A and one document from column B below (original or certifiedas above):

A B

• Valid UK driving licence, old style • Instrument of a court appointment (such as Grant of Probate)

• Recent evidence of entitlement to • Current council tax demand letter or statement state or local authority funded benefit • Current bank statements or credit/debit(including housing benefit and council card statements, issued by a regulated financialtax benefit), tax credit, pension, sector firm in the UK, EU or comparableeducational or other grant jurisdiction (but not printed from the Internet)

• Utility bills (but not printed from the Internet)

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T H E S T. J A M E S ’ S P L AC E PA RT N E R S H I P

The St. James’s Place Partnership is an elite group, made up of many of the most experienced, ableand highly-regarded professionals working in financial services today.

The Partners – so called because of their common purpose and shared values – work from anetwork of offices across the UK. On average, they have 16 years’ experience in financial services:only a small proportion of financial advisers can meet our selection criteria.

O U R G UA R A N T E E

The St. James’s Place Group stands behind and guarantees the advice given by members of the St. James’s Place Partnership when recommending any of the products or services provided bycompanies within the St. James’s Place Group.

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FURTHER INFORMATION ON ST. JAMES’S PLACE UNIT TRUSTSP U R C H A S E A N D S A L E O F U N I T SThe Manager deals in units at a forward price, which means that the price for each type of unit is calculated at the valuation point immediatelyfollowing the receipt of valid instructions at the Administration Centre. The valuation point, ie when the units are priced, is at 12 noon.Instructions received after that time are dealt with on the following business day. Units are bought and sold on any business day between 09.00and 17.00 hours.

Valid instructions for investments in Units comprise a completed application form and payment in the form of a current dated cheque,made payable to SJPUTG Limited. Arrangements can be made with the Manager for payment by telegraphic transfer and unit allocation willtake place at the next valuation point following identification by the Manager of receipt of funds. Applications can also be submittedelectronically via those St. James’s Place Partners with the necessary access; these applications, together with payment by debit card, arereceivable immediately at the Administration Centre, and will be dealt at the next Valuation Point. Regular investments in unit trusts throughthe ISA Monthly Investment Plan are payable under a direct debit mandate and unit allocation takes place on the due date (except weekends orbank holidays). Direct debits which are returned by banks unpaid for reason ‘Refer to Drawer’ are not represented, and units are not allocatedto the account in respect of that month. The direct debit will be submitted in the next two following months. If, after three consecutive months,the payment request has been returned each time for the same reason, the Manager will suspend the direct debit authority and no furtherpayments will be requested. At each stage, the Manager will advise the client of the action taken. If the payment request was returned marked‘Mandate Cancelled’, the Manager will seek no further payments. Whilst no further payments are sought under direct debit mandates oncecancellation has been notified direct to us, there may be collection requests which have already been dispatched to the bank for investment.Provided the instruction to cancel is received before the due date, the amount collected will be returned in full.

Units will be registered once full registration details have been received and settlement completed. Registration may be delayed if clientidentification documents required for money laundering prevention purposes have not been received. Certificates are not issued for unittrust, ISA or PEP holdings. All clients will receive statements of holdings at six-monthly intervals as at 31 December and 30 June.

Payment will be issued in respect of the redemption (sale) of units by the close of the fourth business day after encashment of the units,or, if later, the time the Manager has all duly executed instruments and authorisations to effect transfer of title of the units. Redemptioninstructions must be signed by the unit holder and, in the case of joint accounts, by all of the holders, and can be given by letter or bycompletion of our standard Encashment Form, which will be issued on request. The Manager will accept encashment instructions byfacsimile but reserves the right to validate those instructions prior to the release of the encashment proceeds. The Manager will be unableto pay redemption proceeds to any third party. Clients may opt to have redemption monies paid to them by telegraphic transfer, but theextra cost of providing this service will be passed on.

Further information about telephone dealing is given below.

T H E M A N AG E R ’ S R I G H T TO R E J E C T O R D E L AY D E A L SIn accordance with the provisions contained within the [Unit Trust] Prospectus, the Manager is entitled to delay and/or reject any applicationfor a sale of units in circumstances where it has reasonable grounds to do so for example, if the Manager has reasonable grounds to believethat the processing of such application may result in a breach of any law or governmental regulation (or any interpretation of a law orregulation by a competent authority) of any country or territory. In such circumstances, the Manager will not be liable to you or to anythird party for any losses, costs, claims or expenses you or they may suffer or incur as a result of its delay or refusal to act.

In the event that the Manager delays and/or rejects any application for a sale of units, the Manager may hold the monies received fromyou for such period of time as is reasonably necessary for it to confirm whether or not it is able to act in accordance with your instructions.If the Manager decides to return your application, it will calculate any interest due to you between the date it received your application andthe date on which it decides to proceed. Depending on the type of investment concerned and the extent of the delay, the Manager mayincrease the number of units allocated by the value of the interest earned, or may remit that value by cheque to you.

C A N C E L L AT I O N R I G H T SYou have the right to cancel this Plan. Should you wish to exercise this right you may either write to us at ‘St. James’s Place Unit TrustGroup Ltd, P.O. Box 9034, Chelmsford, Essex CM99 2XA’ or once the application has been accepted complete and return the cancellationnotice provided. You will have 14 days in which to change your mind.

C H A R G E SFull details of the charges can be found in the Fund Profile booklet, which must be read in conjunction with this document.

F U RT H E R I N V E S T M E N T SAdditional investments in St. James’s Place unit trusts and ISAs require the completion of the relevant application form.

T E L E P H O N E C A L L SInstructions to switch holdings from one St. James’s Place Unit Trust to another St. James’s Place Unit Trust may be made by phone. Instructionsto redeem units will be accepted by phone, for processing at the next valuation point, and are subject to, in the case of sales, receipt of fundsand, in the case of redemptions, valid written instructions, which may be given by letter or by completion of our Encashment Form. In eachcase, the Manager must be satisfied that any client identification procedures have been satisfied prior to completion of the transaction.

For your protection, telephone calls to St. James’s Place Unit Trust Group (0800 027 1031) are recorded.

C L I E N T M O N E Y R E G U L AT I O N SInterest will not be paid in respect of client money, that is money held by us in a segregated account pending it's allocation to units, orpending release after a request to repurchase.T E R M S A N D C O N D I T I O N SThe full terms and conditions applicable to your unit trust contract with the Manager are contained in the Prospectus. This is updated on aregular basis and a copy is available from Partners or the Administration Centre.The annual and half yearly accounts for each unit trust issuedby the Manager also contain information about the unit trusts and are also available from Partners or the Administration Centre. There areseparate terms and conditions that apply in addition to ISA, ISA Transfer and PEP Transfer transactions, within the relevant Key Features.

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L AWThe Law of England and Wales will apply to your contract with the Manager and the Courts of England and Wales shall have exclusivejurisdiction. Nothing in any Key Features brochure,Terms and Conditions, or in the Prospectus creates any rights enforceable by any personother than the applicant or St. James’s Place Unit Trust Group Limited. It should be noted that the law and HM Revenue & Customs practiceincluding current tax reliefs may be subject to changes in the future which cannot be foreseen.

R E L E VA N T A D D R E S S E SSt. James’s Place Unit Trust Group Limited is a company incorporated under the Companies Acts 1948–1967 and is a company limited byshares. Head Office is St. James’s Place House, Dollar Street, Cirencester, Gloucestershire GL7 2AQ, United Kingdom,Tel 01285 640302.The address of its Administration Centre is P.O. Box 9034, Chelmsford, Essex CM99 2XA and complaints should be sent to that address.The Manager may also be contacted at the Head Office address. The Trustee of all the St. James’s Place Unit Trusts is The Bank of New YorkTrust and Depositary Company Limited, whose usual place of business is One Canada Square, London E14 5AL.

S T. J A M E S ’ S P L AC E R E C OV E RY U N I T T RU S TThis Trust is closed to new business. Regular premium clients are able to continue contributions to existing plans. It is not possible to increasecontributions to existing plans. For further information, please speak to your St. James’s Place Partner.

F T S E A L L - S H A R E I N D E XThe Schemes of the St. James’s Place Unit Trust Group are not in any way sponsored, endorsed, sold or promoted by FTSE International Limited(FTSE) or by the London Stock Exchange Plc (the Exchange) or by The Financial Times Limited (FT) and neither FTSE nor Exchange nor FTmakes any warranty or representation whatsoever, expressly or implicitly, either as to the results to be obtained from the use of the FTSE All-Share Index (the Index) and/or the figure at which the said Index stands at any particular time on any particular day or otherwise. The Indexis compiled and calculated by FTSE. However, neither FTSE nor Exchange nor FT shall be liable (whether in negligence or otherwise) to anyperson for any error in the Index and neither FTSE or Exchange or FT shall be under any obligation to advise any person of any error therein.

‘FTSE™’, ‘FT-SE®’ and ‘Footsie®’ are trade marks of The London Stock Exchange and The Financial Times Limited and are used byFTSE International Limited under licence. ‘All-Share’ is a trade mark of FTSE International Limited.R E G U L ATO RSt. James’s Place Unit Trust Group Limited is authorised and regulated by the Financial Services Authority of 25, The North Colonnade,Canary Wharf, London E14 5HS.

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I S A T E R M S A N D C O N D I T I O N SThe ISA Manager will manage your Individual Savings Account (ISA) on the terms and conditions set out in this Agreement (which includes thebrochure and your application form). This Agreement will come into force as soon as practicable after the date on which the ISA Managerreceives both your completed application form and payment at its Administration Centre. Payment will be recognised either on receipt of avalid cheque or on the date the first payment is due under a direct debit mandate or on identification of receipt of funds by telegraphic transfer.The ISA Manager reserves the right not to accept applications.

All sections of this Agreement apply to all ISAs managed by the ISA Manager.

S E C T I O N 1 – G E N E R A L1. The following definitions apply for the purpose of this Agreement:

ISA Manager St. James’s Place Unit Trust Group LimitedUnit Trust Manager St. James’s Place Unit Trust Group LimitedUnit Trust An authorised Unit Trust which is managed by the Unit Trust Manager.ISA Regulations The Individual Savings Account Regulations 1998 (as amended, replaced or supplemented from time to time)FSA The Financial Services Authority, 25 The North Colonnade, Canary Wharf, London E14 5HSConnected Company St. James’s Place plc and any of its subsidiaries from time to timeTax Year 6 April to 5 April in the next calendar year

2. You have the right to cancel this Agreement. Should you wish to exercise this right you may either write to us at ‘St. James’s Place UnitTrust Group Ltd, P.O. Box 9034, Chelmsford, Essex CM99 2XA’ or once the application has been accepted complete and return thecancellation notice provided. You will have 14 days in which to change your mind.If you take out a St. James’s Place stocks and shares ISA (Mini or Maxi) and then change your mind within the 14 day period, you mayexercise your right to cancel the whole contract. In this case you will be free to re-subscribe to any ISA within the same tax year.Alternatively, if you have chosen more than one fund in your ISA, you may cancel one or more fund holdings only. Subscriptionscancelled in this way may be re-subscribed in the same tax year, but only to your St. James’s Place ISA.

3. Your units in your ISA will be held for your beneficial ownership by the ISA Manager. Legal title to your investments will be held jointlyin your name and in the name of the ISA Manager. No certificates are issued by the ISA Manager or the Unit Trust Manager. The ISAinvestments must, and will remain, in the beneficial ownership of the ISA investors and must not be lent to third parties or used assecurity for a loan.

4. The ISA Manager will send you a copy of the half yearly reports and the annual reports and accounts of the unit trusts included in yourISA, and any other information issued generally to unit holders, and you will also receive a twice yearly statement of the units in yourISA and their valuation. Those statements will be prepared as at 30 June and 31 December. The ISA Manager will also, on your requestin writing, arrange for you to attend and vote at unit holders’ meetings. The ISA Manager will arrange for distributions of income fromthe units included in your ISA to be paid to you on the distribution payment dates or reinvested for the purchase of further accumulationunits depending on how you elect between income and accumulation units.

5. All contributions to your ISA must be made by cheque, telegraphic transfer or direct debit mandate. Investments cannot be transferredinto your ISA. Subscriptions to your ISA will be invested in units at the forward offer price applicable to the contract.The ISA Managerwill operate the direct debit mandate for regular savers.

Corporate Bond Unit Trust only 6. The ISA Manager will make, on your behalf, all claims for tax relief in respect of your unit trust investments. An amount representing the tax

credit due on Income Units will be sent to you with your income distribution.The ISA Manager will be reimbursed for the relevant amountsrepresenting the tax credits when these are subsequently received from HM Revenue & Customs. Tax credits on Accumulation Units will beautomatically reinvested in additional units on your behalf.The ISA Manager will make claims, conduct appeals and agree on your behalfliabilities for, and reliefs from, tax in respect of your ISA.

7. The ISA Manager may employ agents in connection with the services it is to provide and may delegate all or any of its powers or dutiesto any delegate or delegates of its choice. The ISA Manager will ensure that any person to whom duties under this Agreement aredelegated, is competent to carry out those duties as far as practicable. The ISA Manager shall not be liable for the negligence ormisconduct of any such agent or delegates except where it has been negligent in its choice of such agent or delegate provided that thisclause shall not exclude or restrict any liability towards you to which the ISA Manager may be subject under the ISA Regulations, theFinancial Services and Markets Act 2000 or the FSA Rules.

8. This Agreement may be amended by the ISA Manager by written notice to you in order to comply with changes in the ISA Regulationsor to satisfy any other legal or regulatory requirements. The ISA Manager will notify you if, by reason of any failure to satisfy theprovisions of the ISA Regulations, your ISA has or will become void.

9. This Agreement may be terminated by you upon giving written notice to the ISA Manager. The ISA Manager may terminate thisAgreement upon giving you one month’s written notice or immediately upon giving you written notice where the ISA Manager has avalid reason, for example, any failure to satisfy the ISA Regulations, the units in the ISA will be transferred to a unit trust account inyour name, pending your further instructions.

10. The ISA ceases to be exempt from tax with effect from the date of death of an ISA investor and the ISA will therefore be terminatedimmediately upon receipt of written notification of the death. Any tax reclaimed after the death will be repayable to the HM Revenue& Customs.The ISA investments will be transferred, outside the ISA, to the order of an ISA investor’s personal representatives pendingreceipt of their further instructions. Notwithstanding the termination of the ISA status, the ISA Manager’s rights and powers underthese Terms and Conditions shall continue and shall bind the ISA investor’s personal representatives.

11. You will indemnify the ISA Manager against any expense (including any amount representing tax credits which has been credited toyour ISA and for which the ISA Manager has not been reimbursed in accordance with this Agreement) or liability incurred pursuant tothis Agreement unless due to the ISA Manager’s negligence.

12. In the event of any failure, interruption or delay in the performance of our obligations resulting from acts, events or circumstances notreasonably within our control, including, but not limited to, industrial disputes, acts or regulations of any governmental or regulatoryauthority or breakdown, failure or malfunction of any telecommunications or computer service or systems, we shall not be liable orhave any responsibility of any kind for any loss or damage thereby incurred or suffered by you but shall attempt to overcome suchcircumstances as quickly as possible.

13. Subject to the Financial Services and Markets Act 2000, the ISA Manager shall not be liable to you for any losses arising from thedepreciation in the value of the ISA investments (including, without limitation, depreciation resulting from capital loss or taxationliability) or for the acts or omissions of any third party whether or not such third party is acting as the ISA Manager’s agent except inso far as the same arises as a result of the ISA Manager’s fraud, wilful default or negligence.The ISA Manager shall not be liable for anydefault by any nominee appointed by it in connection with the ISA to be the registered holder or custodian of ISA investments, exceptwhere the ISA Manager has been negligent in its choice of such nominee or is in breach of the FSA Rules.

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14. The ISA Manager is regulated by the FSA in the conduct of its investment business. In the event of any complaint requiring to be made,please contact the ISA Manager at its Administration Centre at P.O. Box 9034, Chelmsford, Essex CM99 2XA, Freephone 0800 0271031for a copy of the internal complaints procedure. Details of complaints procedures and the Financial Services Ombudsman Scheme are givenon Page 11. The ISA Manager is covered by the Financial Services Compensation Scheme, details of which are provided on Page 11.

15. All communications to the ISA Manager should be sent in writing to St. James’s Place Unit Trust Group Limited, P.O. Box 9034,Chelmsford, Essex CM99 2XA. Please include your ISA reference number or National Insurance number in all communications. Allcommunications to you will be sent to the address notified by you to the ISA Manager.

16. This Agreement is governed by the law of England and Wales and is subject to the ISA Regulations and other applicable laws and rules.In the event of conflict between this Agreement and any such laws, regulations and rules, the latter shall prevail.

17. The Courts of England and Wales shall have exclusive jurisdiction in relation to this Agreement.18. Nothing in any Key Features document, Prospectus or these ISA Terms and Conditions, creates any rights enforceable by any person

other than the applicant and the ISA Manager.19. To obtain the proceeds of your ISA, you should write to the ISA Manager or complete an Encashment Form. The ISA Manager will

encash the units in your ISA on receipt of those instructions at the applicable bid price and issue a cheque for the proceeds within 4business days after the date of the encashment or, if later, of the date the ISA Manager has all duly executed instruments andauthorisations to effect the transaction. The ISA Manager will accept encashment instructions by facsimile but reserves the right tovalidate those instructions prior to the release of the encashment proceeds. A sale instruction which would leave the balance of theholding in a particular unit trust below the minimum level of £500 will result in the encashment of the entire holding in that unit trust.

On your written request your ISA, with all the rights and obligations attaching to it, may be transferred to another ISA Manager. Transfersout will be effected within 7 days of receipt of written instructions. You can choose to transfer current year subscription in whole, and/orprevious years’ subscriptions in whole or in part to another ISA Manager at any time within timescales to be agreed. In order to effect atransfer out of part of your ISA, you must specify the name of the unit trust(s) and the number of units to be sold. Failure to specify thisinformation may lead to a delay in effecting the partial transfer out. A partial transfer out instruction which would leave the balance of theholding in a particular unit trust below the minimum level of £500 will result in the transfer out of the entire holding in that unit trust.

20. Your attention is drawn to the fact that the Unit Trust Manager is the same as the ISA Manager and accordingly that ISA investmentscomprise of units in a unit trust managed by the Unit Trust Manager and in respect of which the Unit Trust Manager will receivepayment. The Unit Trust Manager receives a initial charge when units are acquired for your ISA and periodic charges are also made onthe unit trust. Details of these charges are in the Prospectus and on Pages 8-10 of this brochure. The ISA Manager and its connectedcompanies receive no remuneration in connection with your ISA.

S E C T I O N 2 – I S A T R A N S F E R S I N1. Funds representing your existing subscriptions must be sent to us by cheque by your former ISA Manager. Units will be purchased in the

unit trusts which you have selected for your ISA at the price calculated at the valuation point immediately following receipt of funds at ourAdministration Centre.Arrangements may be made for payment by telegraphic transfer and unit allocation will take place on identificationof receipt of funds.

2. Payments made to us by a previous ISA Manager in respect of dividends received in the period following transfer, to which you are entitled,will only be accepted if in excess of £100. Your former ISA Manager will be instructed to return all payments of less than £100 to you.

S E C T I O N 3 – U N I T T RU S T I N V E S T M E N T S1. You may invest up to £7,000 in unit trusts through a Maxi ISA in any tax year; alternatively you may invest up to £4,000 in unit trusts through

a Mini ISA in any tax year.The minimum initial capital sum investment is £1,500 and any additional investment(s) must be for amount(s)not less than £500.

2. You may also invest by regular contributions of at least £100 per month.Any additions to regular contributions must be for amounts notless than £30. Investments into more than one unit trust are only allowed with a minimum monthly contribution of £100 per unit trust.

3. Units will be acquired for your ISA as soon as practicable after receipt of your cheque at the Administration Centre or, alternatively,after payment is due under a direct debit mandate, at the noon price on the appropriate day. Arrangements can be made with the ISAManager for payment by telegraphic transfer and unit allocation will take place at the valuation point next following identification bythe ISA Manager of receipt of funds. A Confirmation Notice will be sent to you as acknowledgement of your investment. No suchacknowledgement will be issued for subsequent investment under a direct debit mandate. Instead all such transactions will beconfirmed to you on your half yearly statement.

4. You may withdraw units from your ISA or sell units, in accordance with the rules of the unit trust as summarised in the unit trust Prospectus.You may discontinue regular contributions to your ISA either temporarily or permanently without penalty or without prejudice to thecontinuation of the ISA, provided a minimum of £500 has already been subscribed. For contributions less than this minimum you will berequested to redeem your total holding of units at the ruling bid price and the ISA Manager will forward the proceeds to you.

5. Your attention is drawn to the fact that the Unit Trust Manager is the same as the ISA Manager and accordingly that ISA investments compriseunits in a unit trust managed or advised by the Unit Trust Manager and in respect of which the Unit Trust Manager may receive payment.TheUnit Trust Manager receives a initial charge when units in its unit trusts are acquired for your ISA and periodic charges are also made on theunit trusts. Details of these charges are included in the unit trust Prospectus (and summarised in paragraph 6 below).The ISA Manager andits Connected Companies receive no remuneration in connection with your ISA.The Unit Trust Manager pays commission in respect of yourinvestment in the unit trusts at a rate of 3% (2% on the St. James’s Place Corporate Bond Unit Trust and the St. James’s Place Tracker UnitTrust) if made through an appointed representative.

6. Full details of the charges can be found in the Fund Profile booklet, which must be read in conjunction with this document.7. Copies of the Prospectus for the unit trusts are regularly updated and are available from the Unit Trust Manager on request.8. The Trustee for the unit trusts is The Bank of New York Trust and Depositary Company Limited, a company incorporated in England

and Wales under the Companies Act 1985. The Trustee’s registered office and its usual place of business is at One Canada Square,London E14 5AL.The ultimate parent company of the Trustee is Bank of New York, a company incorporated in New York, USA.TheAuditor of the Trusts is KPMG Audit PLC, of Saltire Court, 20 Castle Terrace, Edinburgh EH1 2EG. The standing independent valuerfor The Property Unit Trust is CB Richard Ellis Limited, St. Martin’s Court, 10 Paternoster Row, London, EC4M 7HP.

9. The unit trusts available are the St. James’s Place UK High Income Unit Trust, the St. James’s Place Equity Income Unit Trust, the St. James’s Place Corporate Bond Unit Trust, the St. James’s Place Cautious Unit Trust, the St. James’s Place UK & General ProgressiveUnit Trust, the St. James’s Place Greater European Progressive Unit Trust, the St. James’s Place International Unit Trust, the St. James’sPlace North American Unit Trust, the St. James’s Place Far East Unit Trust, the St. James’s Place Ethical Unit Trust, the St. James’s PlaceTracker Unit Trust, the St. James’s Place Property Unit Trust, the St. James’s Place UK Growth Unit Trust, the St. James’s Place GlobalUnit Trust, St. James’s Place Worldwide Opportunities Unit Trust, St. James’s Place Cautious Unit Trust and the St. James’s PlaceContinental European Unit Trust.

10. Interest will not be paid in respect of client money, that is money held by us in a segregated account pending it’s allocation to units, orpending release after a request to repurchase.

The St. James’s Place Group provides wealth management services.Members of the St. James’s Place Group are authorised and regulated by the Financial Services Authority.

The St. James’s Place Partnership and the title ‘Partner’ are the marketing terms used to describe the representatives of the St. James’s Place Group.

St. James’s Place Unit Trust Group Limited: Registered Office St. James’s Place House, Dollar Street, Cirencester, Gloucestershire, GL7 2AQ, United KingdomRegistered in England Number 947644

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