Hagerty. “Oral History … Ferrari Bubble. ” Ken Gross. April 2022.

range. When you consider that

most segments in the car market continue to appreciate and those that had declines did not erase the recent gains, Hagerty's high returns reflect the inclusion of all the winning segments (hyper-appreciated commuter market, "specialised" collectible cars, and the top dollar, top specimen cars).

1,17

HAGI is comprised of 50 cars that represent the top dollar cars (+$1mm), including the analogue supercars (Ferrari F40s F50s) that are driving the most recent value growth. These are the cars that the Monterey auctions spotlights and the YOY results HAGI reported are riding the Monterey results wave (consider that in August when Monterey's auctions were on, HAGI reported a +8% MOM increase, while the quarter only grew +2.2%).

While HAGI's lowest priced top 10 vehicle (by index weight) has an average value of +$700k and all of HAGI's top 10 vehicles (by index weight, representing 95% of the index) are Ferrari's, the Fund's average vehicle value is $400k and Ferrari's only represent 50% of the fleet. 1,18

Suffice to say, the Mach 1 Fund is not as diverse (or speculative) as the Hagerty index, and not as top-end and Ferrari focussed as the HAGI index. But we pay particular attention to HAGI because as we explain elsewhere in this report, trends of these big dollar cars will trickle-down to the tier of vehicles the Mach 1 Fund owns. 1,19

FUNDS UNDER MANAGEMENT

FUM grew by +4% QOQ. The Fund's unit price at 30 June 2022 was $1.22930, or $1.20358 pro forma for fees accrued in July but related to FY22 results. The 30 Sep '22 unit price of $1.21239 represents a +1% QOQ and 11% YOY increase, pro forma for fees.

P R I C E

$100 NET RETURNS REBASED TO 100 1,2,4,20

$134 (Hagerty)

$121 (HAGI)

$111 (CTi Mach 1) $108 (Gold)

$97 (FSTE100)

$88 (ASX/S&P 200)