FAQs

What is the difference between Issuer Sponsored and Chess Sponsored share holdings?

Argo shares can either be sponsored by Argo itself or by your broker. If your shares are sponsored by Argo, they are known as Issuer Sponsored and are held on the Issuer Sponsored Subregister. Issuer Sponsored shares have a Shareholder Reference Number (SRN) beginning with ‘I’ and can be traded through any broker.

However, if you have signed an agreement with your broker that the broker sponsors your shares, the shares are held on the Chess Subregister. You will have the same Holder Identification Number (HIN), starting with ‘X’, for all your various shareholdings sponsored with that broker.

Argo's share registry is managed by Computershare Investor Services Pty. Limited and most queries regarding your Argo shareholding can be resolved by accessing the website www.investorcentre.com or by telephoning 1300 350 716 (within Australia) or +61 3 9415 4296 (outside Australia).

For further information regarding Chess please refer to www.asx.com.au.

My address has changed – who do I notify?

If you are Chess Sponsored (Holder Identification Number (HIN) starting with ‘X’) you will need to advise your broker who will arrange for the change to be noted in the Company’s share register.

If you are Issuer Sponsored (Shareholder Reference Number (SRN) starting with ‘I’) you should visit the websitewww.investorcentre.com to update your details. Alternatively, you can write to Computershare Investor Services Pty. Limited with details of the change and which of your accounts it affects. Please include the signature of all holders/directors/trustees, as applicable.

Postal address is:

Computershare Investor Services Pty. Limited

GPO Box 2975

Melbourne VIC 3001

Facsimile number is:

1300 534 987

Can I check my Argo shareholding on-line?

You can view your shareholding on-line by visiting the Share Registry website www.investorcentre.com. You will need your Shareholder Reference Number (SRN) if you are Issuer Sponsored or your Holder Identification Number (HIN) if you are Chess Sponsored.

Registering your holding online also allows you to elect to receive correspondence from Argo electronically rather than by post.

How can I transfer my Argo shares off-market to someone else?

Standard Transfer forms can be downloaded from the Share Registry website www.investorcentre.com along with instructions for completing your transfer form. It is important to make sure that both the ‘buying’ and ‘selling’ parties to the transfer sign the form.

There will be a charge for processing an off-market transfer and the selling party will need to provide appropriate identification.

Please note that if one or both of the parties to the transfer are Chess Sponsored, you will need to contact your sponsoring sharebroker so that they can process the transfer through the Chess system.

More information can be obtained from Computershare on 1300 350 716 (within Australia) or +61 3 9415 4296 (outside Australia).

What is an LIC capital gain dividend and how do I treat it in my tax return?

As a result of lobbying by Argo and the Company’s shareholders, together with the efforts of the Australian Listed Investment Companies Association, the Federal Government removed the discrepancy in the tax treatment of capital gains made by listed investment companies as compared with capital gains made by managed funds and individuals.

When Argo pays dividends which are sourced from eligible capital gains, it will declare them as LIC capital gain dividends. Certain shareholders such as individuals, trusts and super funds can claim the applicable capital gain discount as though they had owned the stock themselves.

The dividend statement will clearly distinguish between the normal dividend and the LIC capital gain component, and will advise the required taxation disclosures.

If you would like further guidance, you can refer to the worked example on the Australian Tax Office’s website (search for ‘LIC dividend’ on www.ato.gov.au) or contact your accountant.

How is Argo different to a Managed Fund?

Argo is a Listed Investment Company (LIC) and its shares can be bought or sold on the Australian Securities Exchange. Unlisted managed funds however do not trade on a securities market and are open ended unit trusts. Investors buy or sell the units by directly applying to the manager.

We consider there to be a number of advantages of owning LICs rather than units in a managed fund. The ‘How to Invest’ section of this website outlines some of these advantages.

How do I purchase shares in Argo Investments Limited?

To purchase Argo shares, you deal through your sharebroker. If you do not currently have a sharebroker, the ASX (www.asx.com.au/prices/find-broker.htm) provides a service which can assist you in choosing a broker who can best attend to your requirements. In addition, most of the major banks have a sharebroking operation. The sharebroker will charge a brokerage fee each time a transaction takes place and therefore the larger the transaction, normally the smaller will be the brokerage in percentage terms. If you do not require advice, using an internet broker is usually more cost efficient than a full-service sharebroker. Argo does not charge entry fees to shareholders.

Are there any fees payable to Argo?

Argo is internally managed and does not charge fees to shareholders. The only charge incurred in owning Argo shares is that payable to the sharebroker for buying or selling the shares.

How do I sell my Argo shares?

To sell some or all of your Argo shares, you need to contact a sharebroker, who will arrange to sell your shares on the Australian Securities Exchange (ASX). If you do not currently have a sharebroker, the ASX provides a service which can assist you in choosing a broker who can best attend to your requirements (www.asx.com.au/prices/find-broker.htm). The sharebroker will charge a brokerage fee each time a transaction takes place and therefore, the larger the transaction, normally the smaller will be the brokerage in percentage terms. If you do not require advice, using an internet broker is usually more cost efficient than a full-service sharebroker. Argo does not charge exit fees to shareholders.

How much dividend income will I receive?

Argo pays dividends to its shareholders from the profit generated by its invesment portfolio.

As Argo pays out most of its profit in dividends, the amount of each dividend will fluctuate depending primarily on the amount of dividends and distributions paid to Argo by the companies and trusts in its portfolio. We do not provide a guidance on future dividend expectations, but the file below shows the history of Argo dividends since 1985.

How do I obtain copies of past dividend advices?

Recent dividend statements can be viewed online at www.investorcentre.com

You will need your Securityholder Reference Number (SRN) or Holder Identification Number (HIN) to access your holding if you have not already registered online with computershare.

If you require dividend statements prior to 30 June, 2012, you will need to contact Computershare using the details below. There will be a charge to reproduce older dividend statements or transaction histories.

Telephone 1300 350 716 (within Australia), +61 3 9415 4296 (outside Australia)

Facsimile 1300 534 987 (within Australia), +61 3 9473 2408 (outside Australia)

Postal Address GPO Box 2975, Melbourne VIC 3001

Does Argo itself invest in 'blue chip' Australian shares?

Argo invests in a portfolio of around 100 Australian companies and trusts, most of which are ranked in the top 200 entities by market capitalisation listed on the Australian Securities Exchange. The top 20 holdings in the portfolio make up over 60% of the company’s assets and a list of these 20 holdings can be found in the montlhy NTA results linked below.

Can I see Argo's portfolio of investments?

Argo releases its full investment portfolio once a year in the Annual Report and on the website. If you have not registered to receive a hard copy of the Annual Report each year, you can access it via the link below.

Argo is a long-term investor and not a trader, therefore the investment portfolio does not change dramatically from period to period.

The top 20 shareholdings account for approximately 60% of the value of the Company's investments. The list of the top 20 investments is updated monthly with the net tangible asset backing announcement to the Australian Securities Exchange.