Min Raise
$200,000,000
Max Raise
$500,000,000
Estimated Close
2018-11-06
Issue Type
IPO
Lead Manager
Commonwealth Securities Ltd, National Australia Bank LTD, Crestone Wealth Management lTD
Type of Securities
Shares
Date First Lodged
28/09/2018
Offer Costs $
$7,875,959
Market Cap Max
$500,000,000
Key Executives
Chris Cuffe AO (Chairman), Guy Fowler (Director), Matthew Grounds (Director)
Company Address
Level 16, Chifley Plaza, 2 Chifley Square, Sydney, NSW 2000
Stockbroker's Snapshot
LIC with high conviction focus
Exchange
ASX
1st Day VWAP
0.246
Chairman's Letter

Dear Investor,
On behalf of the Directors of the Company, it is my pleasure to invite you to become a Shareholder in
Hearts and Minds Investments Limited (Company), a new listed investment company.
The Company has been established with the combined objective of providing a concentrated
Securities portfolio of the highest conviction ideas from leading Fund Managers, while also supporting
Australian medical research institutes.
The Company is seeking to raise up to $500,000,000 under the Offer and to obtain a listing on the
Australian Securities Exchange (ASX) under the code HM1.
We are delighted to advise that a number of parties (Cornerstone Family Investors) have already
committed to making an investment in the Company. The aggregate level of commitment from these
investors is over $150 million. We would particularly like to thank the Ainsworth; Cannon-Brookes;
Hamish Douglass; Gonski; Gwinnett; Hadley; Jackson and Farquhar; Karedis; Lew; Lowy; Myer; Packer;
and Stokes families along with the Paul Ramsay Foundation; The University of New South Wales and
The University of Sydney for their support.
Members of the Board and the Investment Committee and their associates are also committing over
$25 million to the Offer.
THE COMPANY’S INVESTMENT STRATEGY
The Company seeks to provide Shareholders with a compelling and attractive investment proposition
by creating a concentrated portfolio of long positions (Portfolio) in approximately 25 Australian and
international listed securities based on the highest conviction ideas from two groups:
– The Company will allocate 40% of the Portfolio based on the annual recommendations of
Fund Managers who present at the Sohn Hearts and Minds Investment Leaders Conference
(Conference Fund Managers). Whilst past performance is no guide to future performance, the
Company notes that a number of Fund Managers who have presented at previous Conferences
have provided investors with a number of recommendations which have performed positively
over the 12 months following that Conference.
– The Company will invest 60% of the Portfolio based on the highest conviction quarterly
recommendations of five leading Fund Managers (Core Fund Managers). These Fund Managers
include Caledonia, Cooper Investors, Magellan Asset Management, Paradice Investment
Management and Regal Funds Management.
The Investment Committee will be responsible, in conjunction with the CEO, for implementing the
Investment Strategy and managing the Portfolio.
In the Board’s view, the investment approach offers investors an opportunity to:
– capitalise on exposure to the highest conviction ideas, investment approach and expertise of each
Fund Manager, a number of whom are not otherwise readily accessible to retail investors;
– benefit from having a Portfolio that is not concentrated on the philosophy or investment thesis of just one
Fund Manager; and
– access a concentrated Portfolio of Australian and international listed securities which the Company believes
provides an opportunity to maximise shareholder returns over the long term (being five years or more).
THE COMPANY’S CHARITABLE GOAL
The Company will also seek to provide financial funding to leading Australian medical research organisations in
order to support the development of new medicine and drive a new generation of medical research in Australia.
The Company will seek to support medical research across a broad spectrum of human health conditions, from
heart disease to neurological disease and mental health issues.
In order to support its Charitable Goal, the Company will forego any investment fees and instead donate a Donation
Amount to the Designated Charities every six months.
The list of Designated Charities will include The Victor Chang Cardiac Research Institute (Victor Chang Institute)
together with the Black Dog Institute; The Brain and Mind Centre, Sydney University; The Charlie Teo Foundation;
The Children’s Hospital at Westmead – Pediatric Intensive Care Unit, Research; The Florey Institute of Neuroscience
& Mental Health; The Centre of Human Psychopharmacology, Swinburne University; Multiple Sclerosis Research
Australia Limited; Orygen and Royal Prince Alfred Hospital, research. These Designated Charities have been
nominated by the Core Fund Managers and the Board.
The Company, Fund Managers and a number of the key Service Providers have agreed to forego fees that they
would normally charge in relation to services provided to the Company.
The members of the Board and the Investment Committee have also agreed to waive any right to be paid director
and committee fees.
RISKS
You are encouraged to read the Prospectus carefully as it contains detailed information about the Company and the
Offer. It is particularly important for potential investors to review carefully the risks associated with an investment in
the Company. These are set out in detail in Section 6 of this Prospectus.
On behalf of the Board, I look forward to welcoming you as a Shareholder.
Yours sincerely
Chris Cuffe AO
Chairman