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Goldman Sachs JBWere Keystone Funds – Series III

Overview

Providing economic exposure to the growth potential of a selection of investment themes, the Goldman Sachs JBWere Keystone Funds - Series III ('Keystone Funds') are managed funds that provide access to four different structured investment products that offer the safety of a 100% NAB Capital Guarantee*.

Four investment options

Investors can choose to gain exposure to these investment themes by investing in one, two, three or four of the following funds:

Goldman Sachs JBWere Food, Feed, Fuel II Keystone Fund

An investment in the Food, Feed, Fuel II Fund is designed to provide investors with an opportunity to capture the growth potential from four agricultural commodities: corn, wheat, sugar and soybean oil.

Goldman Sachs JBWere Sustainability Keystone Fund

An investment in the Sustainability Fund may suit investors seeking exposure to environmentally responsible investment strategies.

Goldman Sachs JBWere Global Equity Hindsight Keystone Fund

An investment in the Global Equity Hindsight Fund may suit investors seeking exposure to global markets (US, Europe and Asia) but are uncertain as to the equity markets that will outperform.

Goldman Sachs JBWere Commodity Hindsight Keystone Fund

An investment in the Commodity Hindsight Fund may suit investors seeking exposure to the global commodities markets (industrial metals, agriculture and energy) but are uncertain as to which commodity sectors will outperform.

Reasons to invest

Capital safety	Investments in the Keystone Funds are 100% capital protected through the provision of the NAB Capital Guarantee* if held until maturity (six years). This lets investors take advantage of potential market growth while remaining protected from loss of capital.
Choice	Investors can choose to gain exposure to one, two, three or all four international investment themes.
Simple access	The Keystone Funds provide simple access to a choice of investment themes that may be difficult for investors to access directly.
Growth potential	As investment returns are linked to the performance of the Keystone Funds' investment themes, investors have the opportunity to derive income returns at maturity should these themes experience growth.
Diversification	Investing in one or more of the Keystone Funds provides exposure to different assets, markets and return drivers.
Currency hedging	The Keystone Funds' underlying baskets are currency hedged eliminating the effect of foreign currency movements on the value of an investment up until maturity.

100% NAB Capital Guarantee*

The NAB capital guarantee is designed to provide you with a guarantee of your initial investment amount in the Keystone Funds. This means that, upon maturity (known as the Guarantee Effective Date), investors will be entitled to at least their initial investment amount – A$1.00 per unit.

For example, if you invest $10,000 your capital guaranteed amount would be A$10,000 upon maturity.

NAB 100% Investment Loan†

Gain exposure to some of the most popular current investment themes through investment in the Keystone Funds with no upfront capital required.

A NAB 100% Investment Loan is designed specifically for selected investments such as Keystone Funds. NAB provides 100% of the funds so you can invest in the Keystone Funds without any initial capital outlay. Invest in the Keystone funds using a NAB 100% Investment Loan and benefit from:

• No margin calls except where you fail to meet your interest payment obligations or the investment is sold or redeemed early.
• A range of interest rate options to meet your needs
• Potential tax efficiency as the loan interest may be tax deductible‡
• No application or ongoing service fees for individual and joint applications

Find out more

‡ Your tax position will depend on your personal circumstances. We recommend you seek advice from your financial or tax advisor in relation to your taxation position.

Fixed Participation Rates

Unlike some other investments where variable capital protection methods can lead to changing degrees of exposure to an investment, the Keystone Funds offer participation rates that are fixed on the issue date and do not vary during the term of the swap.

What is the participation rate?

The participation rate represents the degree to which a Keystone Fund participates in the performance of the underlying basket. For example, for a participation of 100%, a Keystone Fund would receive one-for-one exposure to the performance of the underlying basket.

	Underlying Basket	Indicative Participation Rate• [different symbol]	Participation Floor
Food, Feed, Fuel II Fund	S&P GSCI Biofuel Excess Return E40 Strategy	120%	100%
Sustainability Fund	S&P Global Eco Index	110%	100%
Global Equity Hindsight Fund	A selection of Asian, European and US share market indices	110%	100%
Commodity Hindsight Fund	A selection of indices covering three commodity sectors	105%	100%

• The Indicative Participation Rate is the rate that would have applied if the date of the Product Disclosure Statement ('PDS') were the issue date. The actual Participation Rate will be set on the Issue Date. It may be more or less than the Indicative Participation Rate shown but it will not be less than the Participation Floor. If an actual Participation Rate of the Participation Floor or above cannot be achieved for a particular Keystone Fund, the issue of Units may not proceed and your Investment Amount will be refunded without interest. See 'What is the Participation Rate?' on page 7 of the PDS for further details.
Suitable investors

Gaining exposure to some of the most popular investment themes with the safety of 100% capital protection may suit investors seeking:

• exposure to growth assets who do not want to worry about market volatility
• access to investment themes without the need to choose fund managers or individual securities
• the benefits of a 100% capital guarantee at maturity
• a six-year investment horizon, and/or
• portfolio diversification
  

Key dates

Offer Open Date 5 May 2008
Offer Close Date 27 June 2008
Issue Date 11 July 2008
Guarantee Effective Date 11 July 2014
Term 6 years


How to apply

Investors should obtain and consider the Goldmans Sachs JBWere Keystone Funds - Series III Product Disclosure Statement dated 24 April 2008 (PDS) for the offer in deciding whether the investment is appropriate for them and whether to acquire or hold units in the Keystone Funds.

• To download a copy of the PDS, click here
• To download a copy of the Product Profile, click here
• To request a hard copy of the PDS to be mailed to you, click here
• Call NAB on 1800 652 669;

Applications for units may only be made by completing and returning the Application Form attached, or accompanying, the PDS. Detailed instructions on how to complete the Application Form are set out in the PDS. The application form must be accompanied with payment (minimum application is $10,000). Payment must be in Australian currency and made by cheque.


Further Information

You must read the PDS in connection with the National Privacy Notification and Financial Services Guide.

• To download the National Privacy Notification, click here
• To download a copy of the Financial Services Guide, click here

You should read the PDS before deciding whether to acquire units in the Keystone Funds and take such independent advice as you think necessary to ensure that you understand the terms and conditions and risks of your investment in the Keystone Funds issued by Goldman Sachs JBWere Managed Funds Limited (ABN 63 005 885 567, AFSL 230 251) an Australian Financial Services License holder.



Disclaimer

* National Australia Bank Limited (ABN 12 004 044 937) (‘NAB’) will provide a 100% capital guarantee to unitholders who are invested in the Keystone Funds on the Guarantee Effective Date, subject to the terms and conditions referred to in 'About the NAB Capital Guarantee' on pages 18-21 of the Goldmans Sachs JBWere Keystone Funds – Series III Product Disclosure Statement dated 24 April 2008 (‘PDS’). The 100% capital guarantee does not apply to early withdrawals. The units are not deposits or other liabilities of NAB or of the Goldman Sachs JBWere Group. Neither NAB nor the Goldman Sachs JBWere Group guarantees the performance of the Keystone Funds.

Goldman Sachs JBWere Managed Funds Limited ABN 63 005 885 567, AFSL 230251 ('GSJBWMFL') is the issuer of units in the Keystone Funds. Before deciding whether or not to invest in any of the Keystone Funds, investors should first consider the PDS for the Keystone Funds which is available at www.nabCapital.com or by calling our Investor Service team on 1800 652 669. Units in the Keystone Funds are not available for purchase by investors in the United States, or any other US person. If you acquire units in any of the Keystone Funds, GSJBWMFL (as the manager of the Keystone Funds), Goldman Sachs JBWere Capital Markets Limited (as the swap counterparty), Goldman Sachs JBWere Pty Ltd (as a distributor of the Keystone Funds), other members of the Goldman Sachs JBWere Group of companies, and NAB (as the provider of the NAB Capital Guarantee, as well as a distributor of the Keystone Funds) may receive remuneration or other benefits, as specified on pages 26-29 of the PDS.

The information in this website is intended to be of general nature only. In preparing this website, we have not taken into account the investment objectives, financial situation or particular needs of any particular person. Accordingly, the information in this website should not be construed as personal financial product advice by NAB or any other company in the National Australia Bank Group, the Issuer, or any associate of the Issuer or any other person concerning an investment in the Keystone Funds. You should consider whether an investment in the Keystone Funds is appropriate in light of your own particular investment needs, objectives and financial circumstances and/or seek independent financial and taxation advice. You should also consider the key risks set out in the PDS. NAB believes the information contained in this website is correct and that any estimates, opinions, conclusions or recommendations contained in this website are reasonably held or made at the time of compilation and may be subject to change. However, no warranty is made as to the accuracy or reliability of any estimates, opinions, conclusions, recommendations (which may change without notice) and, to the maximum extent permitted by law, NAB disclaims all liability and responsibility for any direct or indirect loss or damage which may be suffered by any recipient through relying on anything contained in or omitted from this website.

Investment in the Keystone Funds is subject to investment risk, including possible delays in repayment and, except as provided in the NAB Capital Guarantee, loss of income and principal invested. None of the Goldman Sachs JBWere Group, the Goldman Sachs Group, Inc., Goldman, Sachs & Co., Goldman Sachs Asset Management, L.P., Goldman Sachs International and their respective subsidiaries (together ‘Goldman Sachs’) nor NAB or any other company in the National Australia Bank Group guarantees the performance or success of the Keystone Funds, the rate of return from or the repayment of investments in the Keystone Funds or in any way stand behind the capital value or performance of the units or the investments made by the Keystone Funds, except as provided in the NAB Capital Guarantee. The units are not deposits or other liabilities of NAB or of the Goldman Sachs JBWere Group. Neither GSJBWMFL nor the Keystone Funds are members of the National Australia Bank Group.

NAB has not caused or authorised the issue of the PDS and disclaims and takes no responsibility for any part of the PDS except those statements which the PDS states that it has consented to. NAB does not warrant or represent that the information in this website is free from errors or omissions or is suitable for your intended use.

Banking Code of Practice

NAB has adopted the Code of Banking Practice 2004 and the relevant provisions of the Code apply to the NAB Capital Guarantee (but not NAB’s other roles in the contracts with GSJBWMFL) if an investor is an individual or a small business customer (as defined in the Code). Unitholders can obtain from NAB upon request general descriptive information concerning NAB’s banking services and a copy of the Code of Banking Practice 2004.

†NAB 100% Investment Loan

A Product Disclosure Statement (CMA PDS) is available for the NAB 100% Investment Loan Cash Management Account (CMA). NAB is the issuer of the CMA and recommends you consider the CMA PDS before making any decisions regarding the NAB 100% Investment Loan . The CMA PDS is available at nabcapital.com/investmentloan or by calling NAB 100% Investment Loan Unit on 1800 652 669. This brochure is not a substitute for reading the NAB 100% Investment Loan Facility Terms or the CMA PDS. The NAB 100% Investment Loan Facility Terms are available from NAB on request. Loan applications are subject to approval.