1. Rensburg Sheppards Inheritance Tax Planner presented by Barry Anysz Divisional Director AIM Division

2. 1 Rensburg Sheppards Investment Management “It’s possible to take advantage of tax relief to save Inheritance Tax by investing in companies quoted on the London Stock Exchange’s junior market, the Alternative Investment Market (AIM)” “That might well be so, but how does the potential 40% saving compare with the risks involved?” The Proposition

3. 2 Rensburg Sheppards Investment Management Alternative Investment Market founded in 1996 Positioned as the junior market to the Full List Intended to help fill the ‘equity gap’ Lighter regulation tailored to Smaller Companies Jan 2010 LSE stats: 1,277 companies with 239 non-UK Often referred to as ‘Venture Capital with a Quote’ Background to AIM

4. 3 Rensburg Sheppards Investment Management Business Property Relief (BPR) applies to ‘unquoted companies’ which include AIM companies Qualifying AIM investments are exempt from Inheritance Tax via this Relief, provided that the stock has been held for 2 years and at the time of death Replacement provision allows for the reinvestment of the proceeds from one qualifying stock into another Qualifying stocks have to be UK trading companies AIM and Business Property Relief

5. 4 Rensburg Sheppards Investment Management Assuming Estate includes an equity portfolio of £600,000 AIM and IHT Planning The possible savings * Excludes Independent Financial Advisor commission

6. 5 Rensburg Sheppards Investment Management Launched in January 2002 capitalising on extensive experience of AIM and tax based products The team comprises: Barry Anysz - set up VC/AIM division in 1988 André Winter - joined 1998, previously E&Y and 3i Nigel Hilton – 25 years market dealing experience End Q4 2009: £55m managed for over 500 clients Also manage Rensburg AIM VCT with NTA of £20m Rensburg Sheppards IHT Planner (RSITP)

7. 6 Rensburg Sheppards Investment Management Our stock selection criteria focus on: BPR qualifying status with PwC advising Experienced management teams Companies with distinctive capabilities Proven financial track record, including dividends Sound Balance Sheet with low finance risk Liquidity in the shares Overall, a long term ‘Buy and Hold’ strategy RSITP Investment Policy

8. 7 Rensburg Sheppards Investment Management May Gurney plc Construction services company with long term highways maintenance and infrastructure contracts Floated on AIM in 2006 2009 revenues of £470m and a pre-tax profit of £5.2m Market cap £137m ( 8 April 2010) RSITP Stocks

9. 8 Rensburg Sheppards Investment Management RWS Holdings plc A leading global supplier of intellectual property support services centred on patent translations Floated on AIM in 2003 2009 revenues of £55m and a pre-tax profit of £14.5m Market cap of £160 million (8 April 2010) RSITP Stocks

10. 9 Rensburg Sheppards Investment Management Direct contact with senior management Meetings or conference calls after results Initial and periodic update site visits Regular contact with stock analysts Daily monitoring of stock news-flow Networking with other institutional shareholders Annual check of Business Property Relief RSITP Investment Process Active Management

11. 10 Rensburg Sheppards Investment Management * Returns shown do not include Business Property Relief Q4 2009 Report Performance Benchmark / Period-5 yrs-12mQ4 09 IHT Planner clients*+17.9%+34.5%+6.7% FTSE All Share (total return)+36.8%+30.1%+5.5% FTSE Aim All Share-31.2%+68.1%+1.6% FTSE Small Cap (total return)-2.2%+57.7%-7.7%

12. 11 Rensburg Sheppards Investment Management Key List Trading Results EPS Tracker Source: Rensburg Sheppards Investment Management Ltd

13. 12 Rensburg Sheppards Investment Management Model index underlying P/E and proxy EPS Source: Rensburg Sheppards Investment Management Ltd

14. 13 Rensburg Sheppards Investment Management Returning to the initial Proposition Should only be seen as a part of overall IHT planning It also needs to be viewed as a long term investment Key Risks Higher risk investment Individual stock volatility Two year wait for BPR Key Attractions Potential 40% IHT saving Retain control over funds ‘Smaller companies effect’

15. 14 Rensburg Sheppards Investment Management An AIM portfolio can be an integral part of IHT Planning IHT sheltering in 2 years and retained control of assets Provides exposure to ambitious smaller quoted companies which have already established growth credentials Need to look at overall portfolio return as there will be marked individual stock volatility, up and down Commercial proposition with 40 % BPR ‘margin of safety’ Summary and Conclusions

16. 15 Rensburg Sheppards Investment Management Registered Office Quayside House Canal Wharf Leeds LS11 5PU Telephone+44 (0)113 245 4488 Facsimile+44 (0)113 245 4488 Email info.leeds@rensburgsheppards.co.uk Web www.rensburgsheppards.co.uk Group Offices Belfast Cheltenham Edinburgh Farnham Glasgow Leeds Liverpool London Manchester Reigate Sheffield Member firm of the London Stock Exchange. Member of Euronext.liffe. Authorised and regulated by the Financial Services Authority. Rensburg Sheppards Investment Management Limited is registered in England. Registered No. 2122340. Disclaimer The rules of our Regulator requires us to make clear to any reader that the illustrative suggestions, as to stock selection and strategy, which are contained within this document are not intended as, and must not be relied upon as being, recommendations or advice given by Rensburg Sheppards Investment Management Limited. The investment comments are provided solely for the purposes of demonstrating the manner in which Rensburg Sheppards Investment Management Limited would be likely to approach such matters on behalf of a new client. Specific proposals would be created in each case, which would take account of both the investment objectives and the financial circumstances of the client.