31273_JCF HK Prospectus_CHI 1900HKT.pdf

Transcription

1 PROSPECTUS 27 pte r, 2010

2 Janus Capital Funds plc Product Key Facts Janus Global Life Sciences Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

3 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in equity securities of companies located anywhere in the world and selected for their growth potential. Strategy The Fund will invest primarily in securities of companies that the relevant Sub-Investment Adviser believes have a life sciences orientation. Generally speaking, the life sciences relate to maintaining or improving quality of life. Thus, companies with a life sciences orientation include companies engaged in research, development, production or distribution of products or services related to health and personal care, medicine or pharmaceuticals. Such companies may also include companies that the relevant Sub-Investment Adviser believes have growth potential mainly as a result of particular products, technology, patents or other market advantages in the life sciences. The Fund will invest at least 25% of its total assets, in the aggregate, in the following industry groups: health care; pharmaceuticals; agriculture; cosmetics/personal care; and biotechnology. For purposes of this restriction, the Fund will rely mainly on industry group classifications published by Bloomberg L.P. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). No more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. 3. Industry Risk The Fund concentrates its investments in related industry groups. As a result, companies in the portfolio may share common characteristics and react similarly to market developments. As a result, changes in government funding or subsidies, new or anticipated legislative changes, or technological advances could affect the value of such companies. This Fund s returns, therefore, may be more volatile than those of a less concentrated portfolio.

4 4. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 5. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 6. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

5 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.5% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 3% 4% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

6 Janus Capital Funds plc Product Key Facts Janus Global Research Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc ( JCF ) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

7 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in common stocks selected for their growth potential. Strategy The Fund pursues its objective by investing in companies of any size and located anywhere in the world, from larger, well-established companies to smaller, emerging growth companies. It is expected that the Fund will be broadly diversified among a variety of industry sectors. The investment selection process currently employed by the Sub-Investment Adviser for the Fund is to select investments which are high conviction investment ideas in all market capitalisations, styles and geographies. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). No more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Small Capitalisation Securities The Fund may invest in companies of any size. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established. 3. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks.

8 4. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

9 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.25% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.75% 3.75% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

10 Janus Capital Funds plc Product Key Facts Janus Global Technology Fund 1 (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ). 1 This Fund is closed to new investments

11 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in equity securities of companies located anywhere in the world and selected for their growth potential. Strategy The Fund will invest primarily in securities of companies that the relevant Sub-Investment Adviser believes will benefit significantly from advances or improvements in technology. These are generally: (i) companies that the relevant Sub-Investment Adviser believes have or will develop products, processes or services that will provide significant technological advancements or improvements; or (ii) companies that the relevant Sub- Investment Adviser believes rely extensively on technology in connection with their operations or services such as but not limited to companies offering medical products and services, alternative energy equipment and services, or sophisticated industrial products. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). No more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 3. Industry Risk The Fund concentrates its investments in related industry groups. As a result, companies in the portfolio may share common characteristics and react similarly to market developments. As a result, changes in government funding or subsidies, new or anticipated legislative changes, or technological advances could affect the value of such companies. This Fund s returns, therefore, may be more volatile than those of a less concentrated portfolio.

12 4. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 5. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

13 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.5% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 3% 4% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

14 Janus Capital Funds plc Product Key Facts Janus US All Cap Growth Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc ( JCF ) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

15 Objective and Investment Strategy Objective To seek long-term growth of capital. Strategy The Fund pursues its objective by investing primarily in common stocks of US issuers of any size, which may include larger well-established issuers and/or smaller emerging growth issuers. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). No more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Small Capitalisation Securities The Fund may invest in companies of any size. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established. 3. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 4. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected.

16 5. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

17 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.25% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.75% 3.75% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

18 Janus Capital Funds plc Product Key Facts Janus US Balanced Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc ( JCF ) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

19 Objective and Investment Strategy Objective To seek long-term capital growth, consistent with preservation of capital and balanced by current income. Strategy The Fund pursues its objective by investing 35%-65% of its net asset value in securities of US companies selected mainly for their growth potential, such as common stocks, and 35%-65% of its net asset value in debt securities of US issuers selected mainly for their income potential, such as debt securities (including convertible and non-convertible corporate debt securities, fixed and floating rate bonds, zero-coupon and discount bonds, debentures, certificates of deposit, bankers acceptances, commercial paper and treasury bills, but excluding loan participations). The Fund may invest up to 25% of its net asset value in debt securities rated below investment grade. The Fund may invest (directly or indirectly) in such as futures, options and swaps and other financial derivative instruments ( FDI ) for investment purposes, subject to a limit of up to 10% of its net asset value. No more than 10% of the net asset value of the Fund may be invested in securities trade on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. 3. Loan Participations The Fund may invest in floating rate commercial loans arranged through private negotiations between a corporation or other type of entity and one or more financial institutions ( Lender ). Such investment is expected to be in the form of participations in, or assignment of, the loans, which may or may not be securitised ( Participations ). They are subject to the risk of default by the underlying borrower and in certain circumstances to the credit risk of the Lender if the Participation only provides for the Fund having a contractual relationship with the Lender, not the borrower. Thus, the Fund may not have any right of set-off against the borrower nor directly benefit from any collateral supporting the loan.

20 4. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 5. High Yield Securities The Fund may invest up to 25% of its net asset value in debt securities rated below investment grade. Investments in securities rated below investment grade may be considered more speculative than higher quality investments with respect to sensitivity to adverse changes in economic and political conditions, liquidity and volatility. 6. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

21 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.5% 3.5% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

22 Janus Capital Funds plc Product Key Facts Janus US Research Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

23 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in equity securities of US Companies selected for their growth potential. Strategy The Fund pursues its objective by investing primarily in equity securities of US companies selected for their growth potential. Eligible equity securities include US and non-us common stocks, preferred stocks, securities convertible into common stocks or preferred stocks, such as convertible preferred stocks, and other securities with equity characteristics. The Fund may invest in companies of any size. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 3. Small Capitalisation Securities The Fund may invest in companies of any size. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established. 4. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants.

24 Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 5. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

25 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.5% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 3% 4% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

26 Janus Capital Funds plc Product Key Facts Perkins US Strategic Value Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Perkins Investment Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

27 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in common stocks of US Companies with the potential for long-term growth of capital using a value approach. Strategy The Fund pursues its objective by investing primarily in common stocks of US companies with the potential for long-term growth of capital using a value approach. The value approach emphasises investments in companies the relevant Sub-Investment Adviser believes are undervalued relative to their intrinsic worth. The relevant Sub-Investment Adviser will typically seek attractively valued companies that are improving their free cash flow and improving their returns on invested capital. These companies may also include special situations companies that are experiencing management changes and/or are temporarily out of favour. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 3. Small Capitalisation Securities The Fund may invest in companies of any size. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established.

28 4. Special Situations This Fund may invest in special situations or turnarounds such as development of a new product, a technological breakthrough or management change. A Fund s performance could suffer if the anticipated development in a special situation investment does not occur or does not attract the expected attention. 5. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 6. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

29 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.5% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 3% 4% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

30 Janus Capital Funds plc Product Key Facts Janus US Twenty Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Dividend Policy: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

31 Objective and Investment Strategy Objective To seek long-term growth of capital by investing primarily in a core portfolio of common stocks of US issuers selected for their growth potential Strategy The Fund pursues its objective by investing primarily in a core portfolio of common stocks of US issuers selected for their growth potential. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). No more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 3. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 4. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets.

32 Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Annual Rate (% of the net asset value of each class) Class A 1.25% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.75% 3.75%

33 Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

34 Janus Capital Funds plc Product Key Facts INTECH US Risk Managed Core Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited INTECH Investment Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc US$2,500 US$100 B$acc Euro A acc 2, Dividend Policy: The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

35 Objective and Investment Strategy Objective To seek long-term growth of capital, by using a mathematical portfolio management process to construct an investment portfolio from a universe of equities and equity related securities within their objective benchmark indices. Strategy The Fund pursues its objective by investing at least 80% of its net asset value in equities and equity related securities of US companies whose market capitalisation is at least equal to the market capitalisation of one of the companies listed in the S&P 500 Index at the time of purchase. The Fund will not enter into financial derivative instruments ( FDI ) (other than for efficient portfolio management or hedging purposes), although warrants may be passively received by the Fund. The Fund pursues its goal by constructing portfolios of securities with higher average stock volatility than the S&P 500 Index and combining those securities in a manner that does not increase the overall portfolio volatility above that of the S&P 500 Index. More volatile stocks may tend to reside on the smaller cap end of the S&P 500 Index. The Sub-Investment Adviser approaches risk management from a perspective that evaluates risk relative to a direct investment in the S&P 500 Index. Risk controls are designed to minimise the risk of significant underperformance relative to the S&P 500 Index. The Sub-Investment Adviser applies a mathematical investment process to build a portfolio in a more efficient combination than the S&P 500 Index. The process seeks to capitalise on the natural volatility of the market by searching for stocks within the index that have high relative volatility (providing the potential for excess returns) but that essentially move in opposite directions or have low correlation to each other (providing the potential for lower relative risk). By constructing the portfolio in this manner and regularly rebalancing the portfolio to maintain potentially more efficient weightings, the Sub-Investment Adviser s mathematical investment process seeks to create a portfolio that, over time, produces returns in excess of the S&P 500 Index with an equal or lesser amount of risk. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Proprietary Trading Model Risk The Fund uses a proprietary mathematical process to implement its investment objective. This process does not guarantee any particular results. Additionally, the rebalancing techniques used by the Sub-Investment Adviser may result in a higher portfolio turnover rate and related expenses compared to traditional buy and hold or index fund strategies. A higher portfolio turnover rate increases the likelihood of higher gains or losses for investors.

36 3. Volatility Risk There is a risk that if INTECH s method of identifying stocks with higher volatility than the benchmark or its method of identifying stocks that tend to move in the same or opposite direction relative to each other (correlation) does not result in selecting stocks with continuing volatility or expected correlation, the Fund may not outperform the benchmark index. 4. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

37 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1% Class B Included in the Expenses below Nil 0.50% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.50% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2% 3% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

38 Janus Capital Funds plc Product Key Facts Janus Global Real Estate Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc A$inc US$2,500 US$100 B$acc B$inc Euro A acc 2, Dividend Policy: The inc share class will distribute dividends (if any) quarterly. The Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc ( JCF ) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ). Objective and Investment Strategy Objective To seek total return through a combination of capital appreciation and current income.

39 Strategy The Fund pursues its objective by investing primarily in securities of US and non-us companies engaged in or related to the property industry, or which own significant property assets. This may include investments in companies involved in the real estate business or property development, domiciled either inside or outside of the US, including real estate investment trusts (REITs) and issuers whose businesses, assets, products or services are related to the real estate sector. This may also include small capitalisation stocks, i.e. those whose market capitalisation, at the time of initial purchase, is less than the 12-month average of the maximum market capitalisation for the companies included in the Russell 2000 Index. In selecting the investments for the Fund, the Sub-Investment Adviser seeks to identify securities that have good management, strong balance sheets, above average investment growth in funds from operations and that trade at a discount to their assets underlying value. Funds from operations generally means a REIT s net income excluding gains or losses from debt restructuring and sales of property plus depreciation of real property. The percentage of the Fund s assets invested in common stocks and other property companies will vary and, depending on market conditions as determined by the Sub-Investment Adviser, the Fund may invest in short-term investment grade interest bearing securities, such as government securities, debt securities and/ or index/structured securities. The Fund may also invest in other types of securities including preferred stock, government securities, debt securities, warrants and securities convertible into common stock when the Sub- Investment Adviser perceives an opportunity for additional return from such securities. The Fund may also invest up to 10% of its net asset value in mortgage- and asset backed securities and collateralised mortgage obligations issued or guaranteed by any OECD government, its agencies or instrumentalities or by private issuers and which may be rated below investment grade by the primary rating agencies. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on emerging markets shall not exceed 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the offering document for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund seeks to maintain a diversified portfolio of investments. However, the Fund may be less diversified in its investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. 3. Industry Risk The Fund concentrates its investments in related industry groups. As a result, companies in the portfolio may share common characteristics and react similarly to market developments. As a result, changes in government funding or subsidies, new or anticipated legislative changes, or technological advances could affect the value of such companies. This Fund s returns, therefore, may be more volatile than those of a less concentrated portfolio. 4. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets.

40 5. Risks relating to REITs and other Property Related Companies The equity REITs and other property related companies may be affected by changes in the value of the underlying property owned by the trusts, while mortgage REITs and other property related companies may be affected by the quality of any credit they extend. In the event of a default by a borrower or lessee, the REIT/property related company may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments, and thus the value of the Fund may be affected. 6. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 7. Small Capitalisation Securities The Fund may invest in companies of any size. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established. 8. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

41 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1.25% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.75% 3.75% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

42 Janus Capital Funds plc Product Key Facts Janus US Flexible Income Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Dividend Policy: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc A$inc US$2,500 US$100 B$acc B$inc Euro A acc B inc 2, The inc share classes will distribute dividends (if any) monthly. This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

43 Objective and Investment Strategy Objective To obtain maximum total return, consistent with preservation of capital. Strategy The Fund will normally invest up to 80% of its net asset value (but at all times not less than two thirds of its net asset value) in income producing securities of US issuers. The Fund may invest in preferred stock, and all types of government securities and debt securities, including specifically debt securities that are convertible or exchangeable into equity securities and debt securities that carry with them the right to acquire equity securities as evidenced by warrants attached to or acquired with the securities. The Fund has no preestablished maturity or quality standards, and its average maturity and quality may vary substantially. The Fund may invest without limit in debt securities or preferred stock rated below investment grade or unrated debt securities of similar quality as determined by the relevant Sub-Investment Adviser and may have substantial holdings in such securities. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. 3. High Yield Securities The Fund is not subject to any limit on the percentage of debt securities or preferred stock rated below investment grade, which may be held in its portfolio, and it may have substantial holdings of such noninvestment grade securities.

44 Investments in securities below investment grade may be considered more speculative than higher quality investments with respect to sensitivity to adverse changes in economic and political conditions, liquidity and volatility. 4. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 5. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

45 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.5% 3.5% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

46 Janus Capital Funds plc Product Key Facts Janus US Short-Term Bond Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc A$inc US$2,500 US$100 B$acc B$inc Euro A acc 2, Dividend Policy: The inc share classes will distribute dividends (if any) monthly. This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc ( JCF ) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

47 Objective and Investment Strategy Objective To seek as high a level of current income as is consistent with preservation of capital. Strategy The Fund pursues its objective by investing primarily in short- and intermediate-term debt securities of US issuers. It is expected that the Fund s dollar-weighted average portfolio effective maturity will not exceed three years. Although it has no pre-established quality standards the Fund intends to invest primarily in short and intermediate-term investment grade debt securities. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. 3. Loan Participation The Fund may invest in floating rate commercial loans arranged through private negotiations between a corporation or other type of entity and one or more financial institutions ( Lender ). Such investment is expected to be in the form of participations in, or assignment of, the loans, which may or may not be securitised ( Participations ). They are subject to the risk of default by the underlying borrower and in certain circumstances to the credit risk of the Lender if the Participation only provides for the Fund having a contractual relationship with the Lender, not the borrower. Thus, the Fund may not have any right of set-off against the borrower nor directly benefit from any collateral supporting the loan.

48 4. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 5. High Yield Securities The Fund may invest up to 35% of its net asset value in debt securities rated below investment grade. Investments in securities below investment grade may be considered more speculative than higher quality investments with respect to sensitivity to adverse changes in economic and political conditions, liquidity and volatility. 6. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

49 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 0.65% Class B Included in the Expenses below Nil 0.50% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 1.9% 2.9% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

50 Janus Capital Funds plc Product Key Facts Janus US High Yield Fund (the Fund ) 8 June 2011 This document provides you with key information about the Fund. This document is a part and should be read in conjunction with and in the context of the prospectus for Janus Capital Funds plc dated 27 September 2010 (the Prospectus ). You should not invest in this product based on this document alone. Quick facts Investment Adviser: Sub-Investment Adviser: Custodian: Dealing Frequency: Base Currency: Currency of Share Classes & Minimum Investment: Dividend Policy: Janus Capital International Limited Janus Capital Management LLC, a US company (internal delegation) Brown Brothers Harriman Trustee Services (Ireland) Limited Daily (generally any day on which the New York Stock Exchange is open for business) US Dollar Class A and Class B Share Classes Initial Additional US Dollar A$acc A$inc US$2,500 US$100 B$acc B$inc Euro A acc B inc 2, The inc share classes will distribute dividends (if any) monthly. This Fund will not declare or make dividend payments on acc share classes. Financial Year End of the Fund: 31 December What is this product? The Fund is a sub-fund of Janus Capital Funds plc (JCF) which is an investment company with variable capital incorporated with limited liability in Ireland and established as an umbrella fund with segregated liability between Funds. JCF is regulated by the Central Bank of Ireland (formerly the Financial Regulator) (the Central Bank ).

51 Objective and Investment Strategy Objective The Fund s primary investment objective is to obtain high current income. Capital appreciation is a secondary objective when consistent with the primary objective. Strategy The Fund pursues its objectives by investing primarily in debt securities or preferred stock rated below investment grade or unrated debt securities of similar quality of US issuers as determined by the relevant Sub-Investment Adviser provided that at least 51% of its net asset value are invested in debt securities. The overall quality of the securities in this portfolio may vary greatly. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments ( FDI ), subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Central Bank (formerly known as the Financial Regulator). Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one emerging market and the aggregate amount of the Fund which may be invested in securities traded on the emerging markets is 20% of the net asset value of the Fund. What are the key risks? Investment involves risks. Please refer to the Prospectus for details including the risk factors. 1. Investment Risk There can be no assurance that the Fund will achieve its investment objective. The value of shares of the Fund and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, the Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. 2. Concentration of Investments The Fund will invest at least two thirds of its net asset value in debt securities or preferred stock rated below investment grade and may invest without limit in such securities. Investments in securities below investment grade may be considered more speculative than higher quality investments with respect to sensitivity to adverse changes in economic and political conditions, liquidity and volatility. 3. Loan Participation The Fund may invest in floating rate commercial loans arranged through private negotiations between a corporation or other type of entity and one or more financial institutions ( Lender ). Such investment is expected to be in the form of participations in, or assignment of, the loans, which may or may not be securitised ( Participations ). They are subject to the risk of default by the underlying borrower and in certain circumstances to the credit risk of the Lender if the Participation only provides for the Fund having a contractual relationship with the Lender, not the borrower. Thus, the Fund may not have any right of set-off against the borrower nor directly benefit from any collateral supporting the loan. 4. Liquidity Risk Some of the markets in which the Fund will invest are less liquid and more volatile than the world s leading stock markets and this may result in the fluctuation in the price of the shares. Certain securities may

52 be difficult or impossible to sell at the time that the seller would like or at the price that the seller believes the security is currently worth. 5. Interest and Credit Risk The debt or interest bearing component of this Fund, if any, depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of debt securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, the Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. 6. Risk of Investing in FDI The Fund may invest in FDIs for investment purposes. Given the leverage effect of FDIs, such investments may result in total or substantial loss. Examples of FDIs that the Funds may purchase from time to time include: futures, swaps, options and warrants. Use of FDIs may also involve other risks of loss, such as credit, currency, leverage, counterparty, liquidity, index, settlement default and interest risks. 7. Emerging Markets Risk The Fund may invest its assets in emerging markets. Investing in emerging markets involves greater risks of loss than investing in more developed markets due to, among other factors, currency and exchange control risks, political and economic risks, legal and regulatory risk and custodial risk. In addition, markets in emerging countries are generally less liquid and more volatile than developed markets. Is there any guarantee? The Fund does not have any guarantees. You may not get back the full amount of money you invest. What are the fees and charges? Charges which may be payable by you You may have to pay the following fees when dealing in the shares of the Fund. Subscription fee (% of the amount subscribed) Switching fee (Exchange Fee) Class A up to 6.25% Nil Class B Nil Redemption Fee Nil Nil Contingent Deferred Sales Charge (% of the lesser of the net asset value at the date of redemption or the original acquisition costs of the shares to be redeemed) Nil 4% (for holding period of less than 1 year) 3% (for holding period of 1 year and above but less than 2 years) 2% (for holding period of 2 years and above but less than 3 years) 1% (for holding period of 3 years and above but less than 4 years) nil (for holding period of 4 years and above) Nil

53 Ongoing fees payable by the Fund The following ongoing fees and expenses will be paid out of the Fund. They affect you because they reduce the return you get on your investments. Investment Management Fee The Fund pays to the Investment Adviser Custodian Fee Performance Fee Shareholder Service Fee The Fund pays to the Distributor Investors will usually be given not less than one month s notice to increase the above Total Fees and Expenses Limit referred to above. Where the increase results from an increase in the Investment Management Fees up to the stated maximum levels, three months prior notice will be given. Other fees You may have to pay other fees when dealing in the shares of the Fund. Annual Rate (% of the net asset value of each class) Class A 1% Class B Included in the Expenses below Nil 0.75% Distribution Fee The Fund pays to the Distributor Nil Up to 1% Expenses up to 0.75% The Fund pays a fee for administration, accounting, custody services as part of its expenses Total Fees and Expenses Limit 2.5% 3.5% Additional Information Applications for shares or requests for redemption or exchange of shares ( Orders ) can be sent to the Hong Kong Representative, which will endeavor to forward Orders received by 5:00 p.m. (Hong Kong time) on a business day to the Administrator as soon as practicable. Orders received by the Hong Kong Representative by such cut-off time and received by the Administrator in Dublin prior to the regular trading session of the New York Stock Exchange (normally 4:00 p.m. (New York time)) on the same day will be processed on that business day. Investors should note that the distributors may have earlier cut-off times. The net asset value per share of the Fund will be published daily in the Hong Kong Economic Times and the Standard. The Hong Kong Representative, Janus Capital Asia Limited, can be contacted at Suite , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong, telephone number (852) Important If you are in doubt, you should seek professional advice. The SFC takes no responsibility for the contents of this statement and makes no representation as to its accuracy or completeness.

54 Information Document Janus Capital Funds plc (the Company ) Important Notice to Residents of Hong Kong This information document forms part of and should be read in the context of and in conjunction with the prospectus dated 27 September 2010 (the Prospectus ). If you are in any doubt about the contents of this offering document, you should seek independent professional financial advice. Information for Hong Kong Investors The Securities and Futures Commission (the SFC ) does not take any responsibility as to the contents of this information document or the Prospectus. All terms used in this document shall bear the same meaning as in the Prospectus unless the context otherwise requires. The directors of the Company (the Directors ) and the Investment Adviser have taken all reasonable care to ensure the accuracy of the information contained in this document and the Prospectus at the date hereof and, having made all reasonable enquiries, to the best of their knowledge and belief, there are no other facts the omission of which makes misleading any statement herein, whether of fact or opinion. The Directors and the Investment Adviser accept responsibility accordingly. Subject to the investment polices set out in the Prospectus and the conditions and within the limits from time to time laid down by the Central Bank of Ireland ( Central Bank ) (formerly known as the Irish Financial Services Regulatory Authority) Janus Global Life Sciences Fund, Janus Global Research Fund, Janus Global Technology Fund, Janus US All Cap Growth Fund, Janus US Research Fund, Janus US Twenty Fund, Janus US Venture Fund, Perkins US Strategic Value Fund, Janus Global Growth Fund, Janus Global Real Estate Fund, Janus US Balanced Fund, Janus US Flexible Income Fund, Janus US High Yield Fund and Janus US Short-Term Bond Fund are permitted to use the expanded investment powers to invest in financial derivative instruments ( FDI ) for investment purposes based on the availability of investment powers under the UCITS Directive 2001/108/EC (as amended) which were not available under the UCITS Directive 85/611/EEC. The Company however confirms that notwithstanding the availability of investment powers under UCITS Directive 2001/108/EC (as amended), for so long as the Company remains authorised by the SFC and unless otherwise approved by the SFC, INTECH US Risk Managed Core Fund of the Company, which is available to Hong Kong retail investors as of the date of this information document, will not enter into FDI (other than for efficient portfolio management or hedging purposes), although warrants may be passively received by INTECH US Risk Managed Core Fund. Shareholder approval will be sought or, where such approval is not legally required, then prior notification of not less than 1 month will be given should the directors of the Company intend to make significant amendments in the investment objectives, policies and restrictions of INTECH US Risk Managed Core Fund in relation to investment in FDI. Prior approval will also be sought from the SFC. Authorisation in Hong Kong The Company is authorised by the SFC under Section 104(1) of the Securities and Futures Ordinance. SFC authorisation is not a recommendation or endorsement of the Company or the Funds nor does it guarantee the commercial merits of the Company or the Funds nor their respective performance. It does not mean the Company or the Funds are suitable for all investors nor is it an endorsement of their suitability for any particular investor or class of investors. Janus Global Research (ex-japan) Fund, Janus Global Strategic Income Fund, Janus Europe Fund, Janus Asia Fund, INTECH European Risk Managed Core Fund, INTECH Market Neutral Fund, Janus Extended Alpha Fund, Janus Global Research 130/30 Fund, Janus Emerging Markets Fund, Janus US Fund, Perkins Global Value Fund, Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund, Janus Global Fundamental Equity Fund and INTECH Global Risk Managed Core Fund referred to in the Prospectus, and Janus Investment Fund, Janus Adviser Series and Janus Aspen Series referred to on page 33 of the Prospectus are not authorised in Hong Kong and are not available to Hong Kong residents.

55 Hong Kong Representative The Hong Kong Representative of the Company (the Hong Kong Representative ) is Janus Capital Asia Limited of , ICBC Tower, Citibank Plaza, 3 Garden Road, Central, Hong Kong. The Hong Kong Representative is authorised to receive requests from Hong Kong residents for subscription, redemption, exchange and transfer of Shares. Requests will be forwarded to the Administrator in Dublin by the Hong Kong Representative as soon as possible after receipt. The Hong Kong Representative has, however, no authority to agree, on behalf of the Company, that requests will be accepted. Risk Management Process As some of the Funds will invest up to 10% of their net asset value in FDI for investment purposes, the Investment Adviser has prepared a risk management process (the Risk Management Process ) to effectively measure and manage the risks associated with the investment in FDI. The Risk Management Process has been put in place by the Investment Adviser to ensure the compliance of relevant laws and regulations for those Funds which may invest in financial derivative instruments and is summarised as follows: As set out more fully in the Prospectus, the Funds may engage in transactions in FDI for the purposes of the efficient portfolio management of the Funds and certain Funds may also use FDI for investment purposes. The risks relating to the Company s use of FDI include counterparty risk, credit risk, increased margin calls and unlimited risk of loss. Day-to-day monitoring and management of these risks and all other applicable risks is undertaken by the Investment Adviser together with the Sub-Investment Advisers in accordance with the Risk Management Process to the extent required under the UCITS Regulations. In using FDI for efficient portfolio management or investment purposes, the global exposure of a Fund to FDI will not exceed the net asset value of such Fund. JCM has established a Risk Committee that meets on a monthly basis to review the Fund s strategy and risk exposures. On a daily basis, to ensure the Fund stays within its investment guidelines, regulatory requirements and risk exposure limits, the Investment Adviser uses a fully automated system to monitor all active positions and provide warnings on any potential breaches of preset parameters. The Investment Adviser has also engaged an external service provider to provide a comprehensive risk reporting system which monitors certain risks such as portfolio risk, tracking error, concentration measure, risk aggregated across various categories such as equity sector, region, credit rating, and includes top ten lists of risk by security, summary of major price changes and weight changes, sensitivity analysis, liquidity analysis, Value-at-Risk with and without derivatives, stress test, backtest, and information relating to counterparties and issuers. The system uses various accepted methodologies for the calculation of the different risk measures, including mean-variance models, and both Historical and Monte Carlo simulations. All contracts considered by JCIL to be material for the Company will be reviewed with external legal advisers prior to their execution. The Investment Adviser has in place a risk based compliance monitoring program to monitor all operational risks related to the Risk Management Process. For further details regarding the risks associated with use of FDI by the Funds, please refer to Risk Factors and Special Considerations section of the Prospectus. If you wish to know more details about the Risk Management Process, you may request for a copy of the Risk Management Process from the Hong Kong Representative. To the best of the Investment Adviser s knowledge and belief, the Risk Factors and Special Considerations section in the Prospectus adequately discloses the risks of investing in the Funds. Risk of termination Each of the Funds may be terminated in certain circumstances which are summarised under the Termination sub-section under the Other Information section of the Prospectus. In the event of the termination of a Fund, such Fund would have to distribute to the Shareholders their pro rata interest in the assets of the Fund. It is possible that at the time of such sale or distribution, certain investments held by the relevant Fund might be worth less than the initial cost of such investments, resulting in a loss to the Shareholders. Moreover, any organisational expenses with regard to the relevant Fund that had not yet been fully amortised would be debited against the Fund s capital at that time.

56 Dealings in Shares by Hong Kong Investors How to Purchase Shares Hong Kong investors wishing to subscribe for Shares may contact the Hong Kong Representative. Currently, the following Classes of Shares of the following Funds are generally available for purchase in Hong Kong: Funds US Dollar Classes Euro Classes Janus Global Growth Fund** Janus Global Life Sciences Fund* Janus Global Research Fund* Janus Global Technology Fund* Janus US All Cap Growth Fund* Janus US Balanced Fund* Janus US Research Fund * Perkins US Strategic Value Fund* Janus US Twenty Fund* Janus US Venture Fund* INTECH US Risk Managed Core Fund* Janus Global Real Estate Fund* Janus US Flexible Income Fund* Janus US Short-Term Bond Fund* Janus US High Yield Fund* A$acc B$acc I$acc A$acc B$acc I$acc A$acc B$acc I$acc A$inc B$inc I$inc A$acc B$acc I$acc A$inc B$inc I$inc A$acc B$acc I$acc A$inc B$inc I$inc A acc I acc A acc I acc A acc I acc A inc B inc I inc A acc I acc A inc B inc I inc A acc I acc A inc B inc I inc * Hong Kong Investors should note that only certain Classes of Shares of these Funds are available for purchase as at the date of the Prospectus. Hong Kong Investors are requested to contact the Hong Kong Representative for a list of Funds and Classes of Shares available to them and to ensure that they only subscribe for the Classes of Shares available to them. ** This Fund will be available for purchase on such date as the Directors may determine and notify in advance to the Central Bank. Investors whose applications are accepted will be allotted Shares issued at an offering price equal to the net asset value per Share of the relevant Class of a Fund determined as of the Business Day on which the application is received and accepted increased by an initial sales charge for Class A Shares and Class I Shares, but not Class B Shares, as described in the Prospectus provided that such subscription is received by the Hong Kong Representative not later than 5:00 pm, Hong Kong time, on such Business Day and such request is received by the Administrator in Dublin prior to close of the regular trading session of the NYSE (normally 4:00 pm New York time) on the same calendar day. Applications received after that time will be processed on the next Business Day. The Hong Kong Representative will transmit all applications it receives to the Administrator as soon as practicable. An initial sales charge may also be imposed on the purchase of Class I Shares, as negotiated between the Company and the investor. The Company or the Distributor may, in their sole discretion, waive payment of the initial sales charge or reduce the initial sales charge payable by any investor.

57 Payment for Shares must be made in the currency corresponding to the currency of denomination of the Class of Shares being purchased (or such other currency as the Directors may from time to time determine). The Company at its sole discretion may determine to accept payment for Shares in a currency not matching the currency denomination of the Class of Shares being purchased. In such a case, the investor will directly bear any currency conversion costs, which will not be borne by the Funds. Payment for Shares of all Funds must be made within 3 Business Days after receipt and acceptance of a subscription order. Failure to submit payment within 3 Business Days may result in the order being cancelled and the investor shall be liable for any charges incurred by the Company resulting therefrom. No money should be paid to any intermediary in Hong Kong who is not licensed or registered to carry on Type 1 (Dealing in Securities) regulated activity under Part V of the Securities and Futures Ordinance. How to Redeem Shares Hong Kong investors wishing to redeem Shares may submit their redemption request to the Hong Kong Representative which will send such request to the Administrator in Dublin as soon as practicable. The redemption request must state the account number as registered with the Company, the Fund and the number or value of Shares to be redeemed. Redemption requests received by the Hong Kong Representative before 5:00 pm, Hong Kong time, on any Business Day and received and accepted by the Administrator prior to the Trade Cut-Off Times on a Business Day specified in the table below will be processed at the net asset value per Share determined on that Business Day. Redemption requests received after such time will be processed at the net asset value per Share determined on the next Business Day. Class B Shares may be subject to a contingent deferred sales charge ( CDSC ) if such Shares are redeemed within four years of purchase. The amount of CDSC will vary depending on the number of years from the time of purchase of the Shares until the time of redemption of such Shares. The Prospectus describes in detail how the CDSC is calculated. Redemption proceeds, net of all expenses, will be paid in the currency corresponding to the currency of denomination of the Class of the Shares being redeemed by wire. Investors who request that proceeds from redemption of Shares be paid in a currency not matching the currency denomination of the Class of Shares being redeemed, will directly bear any currency conversion costs, which will not be borne by the Funds. The Company is not required to pay redemption proceeds in any other currency. In the event that the value of the redemption proceeds is exceeded by the cost of dispatching, transmitting, effecting or otherwise making such payments, the Company shall be entitled to retain such redemption proceeds for the benefit of the remaining Shareholders provided that in no event shall the value of such redemption proceeds exceed US$20 in the case of Classes denominated in US Dollars or its equivalent in euro in the case of Classes denominated in euro. In the event that a redemption order received from a Shareholder representing 5% or more of a relevant Fund s net asset value, the Company may deduct from such redemption proceeds the transaction costs of the Fund disposing of portfolio securities to meet the redemption request if the Fund has net redemption on the relevant Business Day. The amount of costs which a redeeming Shareholder may bear depend on such factors as the value of the Shares being redeemed by the Shareholder, the type and the amount of securities in the relevant Fund s portfolio being realised, and the price at which such securities are realised in order to meet the redemption request. Class A and Class I Shares may be subject to an initial sales charge. Class A, Class B and Class I Shares redeemed, exchanged or transferred within 90 days of purchase may also be subject to a short term trading fee payable to the Company in an amount not to exceed 1.00% of the value of the Shares that are traded. Investors should refer to the Prospectus for further details. Proceeds of redemption requests will normally be wired to the Shareholder s predesignated bank account in accordance with the time frames set out in the table below and in any event within 14 calendar days after the date of acceptance of properly documented requests by the Administrator (including a fully completed original application form, including relevant anti-money laundering documentation) and the Shares have been properly settled in cleared funds. FUND TRADING CUT-OFF* SETTLEMENT** All Funds Close of the regular trading session of NYSE (normally 4:00 pm, New York time) T + 3 * The trading cut-off times relate to orders received and accepted on any Business Day; ** T relates to the Business Day on which such orders were received and accepted.

58 Mandatory Redemption of Shares Subject to the provisions of the Articles of Association of the Company and the circumstances as described in the section entitled SHORT TERM TRADING, MANDATORY REDEMPTION OF SHARES AND FORFEITURE OF DIVIDEND in the Prospectus, the Company shall be entitled to repurchase any Share of a Shareholder or any Share to which a person is entitled by transmission. How to Exchange or Transfer Shares Hong Kong investors may exchange Shares of one Fund for Shares of another Fund at relative net asset values provided, however, that Shares may be exchanged only for Shares of the same Class of another Fund, although the Class currency may differ, and may be exchanged for purposes of effecting a change in dividend policy applicable to the Shareholder s investment. Exchange requests will not however be processed until receipt and acceptance by or on behalf of the Administrator or the Company. Exchange requests may not be accepted if this would result in a Shareholder s holding being less than the minimum initial investment requirement in the Fund in which Shares are being redeemed and the Fund in which the Shares are being issued. In such cases, the Company may redeem the whole of that Shareholder s holding in such Fund or Class of Shares. Before doing so, the Company shall notify the Shareholder in writing and allow the Shareholder thirty days to purchase additional Shares to meet the minimum requirement. The Company reserves the right to vary or waive this policy at any time. Requests for exchange of Shares may be submitted to the Hong Kong Representative which will remit such requests to the Administrator as soon as practicable. The request for exchange must state the account number as registered with the Company, the name, currency of denomination and Class of the Fund in which the Shareholder currently holds shares, the name, currency of denomination and Class of the new Fund for which Shares are to be exchanged and the number or value of Shares to be exchanged. An exchange operates by way of redemption of the outstanding Shares and the issue of Shares in the new Fund. The exchange privilege is not intended to facilitate excessive and/or short-term trading. Shares exchanged (including cross currency exchanges) within 90 days of purchase may be subject to a short term trading fee payable to the Company in an amount not to exceed 1.00% of the value of the Shares that are traded. Requests for exchange of Shares received and accepted by the Administrator prior to the close of the NYSE on any Business Day will be effected at the net asset value of the Shares requested to be redeemed and the Shares requested to be issued on that Business Day provided such request is received by the Hong Kong Representative before 5:00 pm, Hong Kong time, on any Business Day and received and accepted by the Administrator prior to the close of the regular trading session of the NYSE (normally 4:00 pm, New York time). Exchange orders received and accepted after such time will be processed at the net asset value calculated on the next Business Day. Risk Managed Equity Funds (For the avoidance of doubt, the Risk Managed Equity Funds are Equity Investing Funds) The INTECH US Risk Managed Core Fund is a Risk Managed Equity Fund. The Risk Managed Equity Funds pursue their objectives by applying a mathematical portfolio management process to construct an investment portfolio from a universe of equities and equity related securities (including preference shares, convertible bonds (which may be rated below investment grade)) within their respective benchmark indices. The mathematical process uses the natural tendency of securities prices to vary over time (volatility) and the correlations of this volatility to determine the securities and their proportions in each of the Risk Managed Equity Funds portfolios. The Risk Managed Equity Funds do not seek to invest in warrants. However, a Fund may receive a warrant, for example through a corporate action. It is not intended that the Risk Managed Equity Funds will be leveraged through the use of warrants. Each of the Risk Managed Equity Funds pursues its goal by constructing portfolios of securities with higher average stock volatility than its respective benchmark index and combining those securities in a manner that does not increase the overall portfolio volatility above that of the benchmark index. More volatile stocks may tend to reside on the smaller cap end of the respective index. The relevant Sub-Investment Adviser approaches risk management from a perspective that evaluates risk relative to a direct investment in the benchmark index. Risk controls are designed to minimise the risk of significant underperformance relative to the respective benchmark index. The Sub-Investment Adviser applies a mathematical investment process to build a portfolio in a more efficient combination than the benchmark index. The process seeks to capitalise on the natural volatility of the market by searching for stocks within the index that have high relative volatility (providing the potential for excess returns) but that essentially move in opposite directions or have low correlation to each other (providing the potential for lower relative risk). By constructing the portfolio in this manner and regularly rebalancing the portfolio to maintain potentially more efficient weightings, the Sub-Investment Adviser s mathematical investment process seeks to create a portfolio that, over time, produces returns in excess of its benchmark index with an equal or lesser amount of risk.

59 Alternative Investment Funds The Janus Global Real Estate Fund* invests primarily in securities of companies located in the US or anywhere in the world engaged in or related to the property industry, or which own significant property assets including REITs and small capitalisation stocks. Investors are reminded to refer to the section in the Prospectus entitled Alternative Investment Funds for further details regarding the investment objective and policies of the Janus Global Real Estate Fund. *The Janus Global Real Estate Fund is neither authorised nor regulated by the SFC s Code on Real Estate Investment Trusts, but it is authorised under the SFC s Code on Unit Trusts and Mutual Funds. Such authorisation does not imply official approval or recommendation. The underlying REITs may not be necessarily authorised by the SFC. The dividend policy of the Janus Global Real Estate Fund does not represent the dividend policy of the underlying REITs. Hong Kong Tax Under current Hong Kong law and for so long as the Company maintains its authorisation with the SFC of Hong Kong under Section 104(1) of the Securities and Futures Ordinance, the Company will not pay Hong Kong tax on profits earned by the Company. Shareholders will not be subject to any Hong Kong tax on distributions from the Company or on capital gains realised on the redemption of Shares unless the acquisition, realisation or conversion of Shares is or forms part of a trade, profession or business carried on in Hong Kong. Shares will not attract Hong Kong estate duty. Furthermore, the Company has been advised that no Hong Kong stamp duty will be payable on the issue, transfer or conversion of Shares. The foregoing is given on the basis of the Company s understanding of present legislation and practice in Hong Kong. Shareholders should contact their own tax advisers should they require further tax information. Solicitors The solicitors to the Company in Hong Kong are Deacons, 5th Floor, Alexandra House, 18 Chater Road, Central, Hong Kong. Fees Payable by the Investor Class A Shares Class B Shares Class I Shares Initial sales charge (1)(2) up to 6.25% Nil up to 2.00% Contingent Deferred Sales Charge (3) Nil up to 4.00% Nil Short Term Trading Fee (4) up to 1.00% up to 1.00% up to 1.00% (1) Based on the amount subscribed. For Class I Shares, an initial sales charge, as negotiated between the Company and the investor, may be imposed. (2) In the case of US Dollar denominated Class A and Class B Shares, the minimum initial investment in each Fund is US$2,500 and the minimum subsequent investment is US$100. In the case of Euro denominated Class A and Class B Shares, the minimum investment in each Fund is 2,500 and the minimum subsequent investment is 100. The minimum initial investment in Class I$ Shares is US$1,000,000, and there shall be no minimum subsequent investment amount. The minimum initial investment in Class I Shares is 1,000,000, and there shall be no minimum subsequent investment amount. (3) As a percentage of the lesser of the net asset value at the date of redemption or the original acquisition cost of the Shares being redeemed and dependent upon the length of time such Shares were held. (4) Based on the value of the Shares traded, where such Shares are redeemed, exchanged or transferred within 90 days from the date of purchase and payable to the relevant Fund. Please note that Short Term Trading Fee is not currently being levied by the Company. Investors will be given 3 months notice or such shorter period as the SFC may determine, of any change in such situation.

60 Fees and Expenses Payable out of the Company s Assets Class A Shares Class B Shares Class I Shares Investment Management fees (1) * up to 1.50% up to 1.50% up to 1.50% Ongoing shareholder servicing fees (2) up to 0.75% up to 0.75% Nil Distribution fees (2) Nil up to 1.00% Nil Expenses** up to 0.75% up to 0.75% up to 0.25% Total Fees and Expenses Limit*** up to 3.00% up to 4.00% up to 1.75% (1) Payable monthly in arrears and calculated as an annual percentage of each Fund s average daily net assets attributable to such Shares. (2) The ongoing shareholder servicing fee is payable quarterly in arrears and the distribution fee is payable monthly in arrears. Calculated as an annual percentage of the relevant Fund s average daily net asset value attributable to each such Class. * The Investment Adviser has agreed to waive all or a portion of its investment management fee to ensure that a particular Fund s total fees (including all fees of the Administrator, the Custodian and any Company representatives in any jurisdiction) and out-of-pocket expenses in any fiscal year do not exceed a certain percentage of that Fund s average net assets attributable to each class of Shares of such Fund (being the total expense ratio for such class of Shares or TER ). Investors will usually be given not less than one month s notice to increase these expense limits, except where the increase results from an increase in investment management fees, in which case, three month s prior notice will be given. The above stated investment management fees are the current maximum chargeable levels and a shareholders meeting will be held to increase the investment management fee beyond these levels. ** The Fund will pay a monthly fee for administration, accounting and transfer agency services, or for custody services, respectively. The amount of such fee will vary depending on the net assets of a Fund. *** The total fees and expenses paid by a Fund in any month shall not exceed the Total Fees and Expenses Limit set out in the table above and stated in the Prospectus. The Company s establishment costs have been fully amortised. The costs of establishing the Funds have been discharged in accordance with the provisions of the Prospectus. Promotional and Advertising Expenses The Investment Adviser has undertaken that for so long as the Company is authorised pursuant to Section 104(1) of the Securities and Futures Ordinance, expenses arising out of any advertising or promotional activities in connection with the Company shall not be paid from the Company s assets in accordance with paragraph 6.18(b) of the SFC s Code on Unit Trusts and Mutual Funds. Cash Rebates and Soft Dollar Commissions No cash rebates will be retained by the Investment Adviser or any of its connected persons. Transactions carried out on behalf of the Company with the Investment Adviser or any of its connected persons will be conducted on an arm s length basis and would only be executed where the brokerage rates are not in excess of customary institutional full service brokerage rates. Repurchase Agreements, Reverse Repurchase Agreements, Mortgage Dollar Rolls and Securities Lending Agreements All incremental income from repurchase agreements, reverse repurchase agreements, mortgage dollar rolls and securities lending agreements will accrue to the respective Fund. The aggregate value of all loaned securities of a particular category (e.g. U.S. government treasury bills) held by a Fund, at any time outstanding, can be up to 100% of the market value of that category of securities held by that Fund. In participating in any securities lending programme, assets of the Company may be transferred to certain borrowers. Notwithstanding the requirement to receive collateral from any borrower, there are certain risks inherent in the lending of securities such as the default or failure of a borrower or securities lending agent. There is a risk that the value of the collateral may fall below the value of the securities on loan. In particular, there are certain market risks associated with the investment of any collateral received from a borrower which could result in a decline in the value of the invested collateral, resulting in a loss to the Company.

61 Termination/Merger of a Fund For so long as the Company and any of its Funds are authorised in Hong Kong pursuant to Section 104(1) of the Securities and Futures Ordinance, Shareholders will be given 3 months notice, or such shorter period as the SFC may determine, in the event of termination or merger of a Fund or a share class. In the event of termination of a Fund, the unamortised organisational expenses will be borne by either the terminating Fund and/or the Investment Adviser. In the event of merger of a Fund with another Fund, the unamortised organisational expenses will be borne by the continuing Fund and /or the Investment Adviser. Simplified Prospectus Investors should note that in accordance with the requirements under the UCITS Regulations, a simplified prospectus of the Company ( Simplified Prospectus ) is available free of charge on request from the Administrator. The Simplified Prospectus must be read together with the Prospectus and this Important Notice to Residents of Hong Kong. The Simplified Prospectus contains key information about the Company and its Funds. Investors are reminded that investment involves risks. The performance figures for the Funds as stated in the Simplified Prospectus are calculated based on the net asset value of the relevant Fund. They are not indicative of future performance and investors may not get back the full amount invested. The Simplified Prospectus is not intended to be, and shall not in any event be interpreted as, an offering document of the Company in Hong Kong. Investors should read the latest Prospectus and this document before making any investment decision. Availability of Documents For as long as the Company maintains its authorisation with the SFC under Section 104(1) of the Securities and Futures Ordinance, copies of the following documents in relation to the Company may be inspected free of charge during usual business hours at the offices of the Hong Kong Representative (whose address is given above): (a) the Certificate of Incorporation and Memorandum and Articles of Association of the Company; (b) the Amended and Restated Investment Management Agreement between the Company and the Investment Adviser (as amended) pursuant to which the Investment Adviser was appointed to provide certain investment advisory and other related services; (c) the Investment Management Delegation Agreement between the Investment Adviser and Janus Capital Management LLC as the Sub-Investment Adviser (as amended); (d) the Investment Management Delegation Agreement, as amended by addendum, between the Investment Adviser and INTECH as the Sub-Investment Adviser (as amended); (e) the Investment Management Delegation Agreement between the Investment Adviser and Perkins, Wolf, McDonnell and Company, LLC as the Sub-Investment Adviser (as amended); (f ) the Distribution Agreement between the Company and the Distributor (as amended); (g) the Amended and Restated Administration Agreement between the Company, the Investment Adviser and the Administrator; (h) the Custodian Agreement, between the Company and the Custodian (as amended); (i) the latest published annual and semi-annual reports and audited and unaudited accounts of the Company; (j) the Agreement appointing the Hong Kong Representative to act as such; (k) the Support Services Agreement between the Company and Janus Capital Management LLC (as amended); and (l) the Risk Management Process.

62 Copies of the Prospectus, this information document, the Memorandum and Articles of Association of the Company and any annual and semi-annual reports may be obtained from the Hong Kong Representative free of charge. The annual and semi-annual reports are published in English only. Copies of the agreements listed above may be purchased at a reasonable charge. Publication of Prices Each Fund s latest available offer and redemption prices or net asset values of the Shares will be published daily in the Hong Kong Economic Times and the Standard. Complaints and Enquiries Handling Hong Kong investors may contact the Hong Kong Representative if they have any complaints or enquiries in respect of the Company and the Funds. Depending on the subject matter of the complaints or enquiries, these will be dealt with either by the Hong Kong Representative directly, or referred to the Investment Adviser for further handling. The Hong Kong Representative will revert and address the investor s complaints and enquiries as soon as practicable. 7 June 2011

63 Janus Capital Funds Plc PROSPECTUS 27 September 2010 This Prospectus relates to separate classes of shares of no par value ( Shares ) of Janus Capital Funds plc (the Company ). A separate prospectus is not being issued for each class of Shares. Shares are issued with respect to one of the following investment portfolios (each a Fund ) of the Company: EQUITY & BALANCED FUNDS Janus Asia Fund Janus Emerging Markets Fund Janus Europe Fund Janus Global Fundamental Equity Fund 1 Janus Global Growth Fund Janus Global Life Sciences Fund Janus Global Research Fund Janus Global Research (ex-japan) Fund Janus Global Technology Fund Janus US Fund Janus US All Cap Growth Fund Janus US Balanced Fund Janus US Research Fund Janus US Twenty Fund Janus US Venture Fund Perkins Global Value Fund Perkins US Strategic Value Fund RISK MANAGED EQUITY FUNDS (For the avoidance of doubt, the Risk Managed Equity Funds are Equity Investing Funds) INTECH European Risk Managed Core Fund INTECH Global Risk Managed Core Fund INTECH US Risk Managed Core Fund ALTERNATIVE INVESTMENT FUNDS (For the avoidance of doubt, the Alternative Investment Funds (other than the Janus Global Real Estate Fund) are Equity Investing Funds) INTECH Market Neutral Fund Janus Extended Alpha Fund Janus Global Research 130/30 Fund Janus Global Real Estate Fund FIXED INCOME FUNDS Janus Global High Yield Fund Janus Global Investment Grade Bond Fund Janus Global Strategic Income Fund Janus US Flexible Income Fund Janus US High Yield Fund Janus US Short-Term Bond Fund This Prospectus does not constitute an offer or solicitation by any person in any jurisdiction in which such offer or solicitation is unlawful, or in which the person making such offer or solicitation is not qualified to do so, or to anyone to whom it is unlawful to make such offer or solicitation. (An investment company with variable capital incorporated with limited liability in Ireland under registration number and established as an umbrella fund with segregated liability between Funds) 1 This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate the Fund.

64 Table of Contents Important Information... 1 Directory... 2 Summary The Company... 5 Investment Objectives and Policies of the Funds Equity Investing... 5 Equity Investment Strategy of the Sub-Investment Advisers Equity & Balanced Funds... 6 Risk Managed Equity Funds Alternative Investment Funds Income Investing Fixed Income Funds Use of Temporary Defensive Measures Investment Restrictions Types and Description of Financial Derivative Instruments Risk Factors and Special Considerations Portfolio Transactions Investment Decisions Brokerage and Research Services Conflicts of Interest Management and Administration of the Company The Directors Corporate Governance The Share Capital and the Shareholders The Funds and Segregation of Liability The Investment Adviser The Sub-Investment Advisers The Support Services Agent The Distributor The Administrator, Shareholder Servicing Agent and Company Secretary The Custodian The Offering Classes of Shares Initial Offers of Share Classes Excessive and/or Short Term Trading How to Purchase Shares Minimum Subscription Offer Price Information Required by the Administrator Initial Subscriptions Subsequent Subscriptions Trade Cut-Off and Settlement Times Subscription Order Processing Payment for Subscriptions Anti-Money Laundering Measures Personal Information EU Savings Directive How to Redeem Shares Cut-Off Times and Processing Redemption Order Processing Payment of Redemption Proceeds Information Required by Administrator Minimum Holdings Limitations on Redemptions Fees and Charges Short Term Trading, Mandatory Redemption of Shares and Forfeiture of Dividend How to Exchange or Transfer Shares Exchange of Shares Transfer of Shares Distribution Policies Accumulating (acc) Share Classes Distributing (dis or inc) Share Classes Tax Information United States Taxation Ireland Taxation Individual Investors EU Savings Directive Determination of Net Asset Value Valuation of Assets Publication of the Price of Shares Temporary Suspension of Valuation of the Shares and of Sales and Repurchases Portfolio Holdings Disclosure Policy Fees and Expenses Charging Structure Applicable to Different Share Classes Investment Management Fees Other Expenses Directors Fees Reports Other Information Termination Memorandum and Articles of Association Meetings Material Contracts Documents for Inspection Miscellaneous Definitions Appendix 1: Investment Techniques and Instruments Appendix 2: The Regulated Markets Appendix 3: Securities Ratings Appendix 4: Investment Restrictions... 65

65 Important Information Certain terms used in this Prospectus are defined in the section entitled Definitions. This Prospectus contains important information about the Company and the Funds and should be read carefully before investing. If you have any questions about the contents of this Prospectus, you should consult your stockbroker, bank manager, legal adviser, accountant or other financial adviser. This Prospectus is published pursuant to the UCITS Regulations. Statements made in this Prospectus, except where otherwise noted, are based on the law and practice currently in force in Ireland and are subject to changes therein. The distribution of this Prospectus and the offering of the Shares may be restricted in certain jurisdictions. Persons who receive this Prospectus should inform themselves of, and observe, all applicable laws and regulations of any relevant jurisdictions. The placement of a subscription order for Shares shall constitute an acknowledgment that the investor, including Institutional Investor and any Distribution Agent have so informed themselves and that the subscription order complies with all applicable restrictions. Prospective Shareholders should be aware that there can be no guarantee that the respective objectives of the Funds will be achieved and that the value of the Shares of any Fund, and the income earned on such Shares, may fall as well as rise. An investment in the Funds should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. There is no guarantee of future performance of any Fund, and the amount realised by a Shareholder on the redemption of Shares may be less than the original investment made. Subscriptions for Shares can only be made on the basis of this Prospectus. Neither the delivery of this Prospectus, electronically or otherwise, nor the issuance or sale of Shares is intended to create any implication that no change has occurred in the affairs of the Company since the date of this Prospectus or that the information contained in this Prospectus is correct as of any time subsequent to the date of this Prospectus. The application form, the latest annual report of the Company and any subsequent semi-annual report each form part of this Prospectus. However, potential investors should note that the auditors do not accept or assume responsibility to any person other than the Company, the Company s Shareholders as a body and any other person as may be agreed in writing by the auditors, for their audit work, their report or the opinions they have formed. Copies of such reports may be obtained by contacting the Administrator, a Distribution Agent or a Paying Agent. In the case of ambiguity, the English language version of this Prospectus will prevail. All disputes as to the terms hereof shall be governed by and construed in accordance with the laws of Ireland. To the best of the Directors knowledge and belief, the information in this Prospectus does not omit any material fact likely to affect the import of such information. The Directors have taken all reasonable care to ensure that the facts stated herein are true and accurate in all material respects. The Directors accept responsibility accordingly. The Company has been authorised by the Financial Regulator as a UCITS within the meaning of the UCITS Regulations. The authorisation of the Company is not an endorsement or guarantee of the Company by the Financial Regulator nor is the Financial Regulator responsible for the contents of this Prospectus. Authorisation of the Company by the Financial Regulator does not constitute a warranty by the Financial Regulator as to the performance of the Company and the Financial Regulator shall not be liable for the performance or default of the Company. Neither the admission of the Shares to the Official List nor to trading on the Main Securities Market of the Irish Stock Exchange nor the approval of any listing particulars pursuant to the listing requirements of the Irish Stock Exchange shall constitute a warranty or representation by the Irish Stock Exchange as to the competence of the service providers or of any other party connected with such Shares, the adequacy of information contained in the listing particulars or the suitability of these Shares for investment or for any other purpose. The Directors do not expect that an active secondary market will develop in the Shares on the Irish Stock Exchange. The Company has not been and will not be registered under the US Investment Company Act of 1940 (the 1940 Act ), as amended, or under any similar or analogous regulatory scheme enacted by any other jurisdiction except as described herein. None of the Shares have been or will be registered under the US Securities Act of 1933 (the 1933 Act ), as amended, or under any similar or analogous provision of law enacted by any other jurisdiction except as described herein. Except where specifically authorised by the Company, the Distributor or their respective agents, none of the Shares may be offered, sold, transferred or delivered, directly or indirectly, in the United States or to US Persons other than by JCM and its affiliates who may provide seed capital for the Funds. 1

66 Directory Directors Dennis Mullen Carl O Sullivan Peter Sandys Henric van Weelden Hans Vogel Registered Office 1 North Wall Quay Dublin 1 Ireland Independent Auditors Investment Adviser Sub-Investment Advisers PricewaterhouseCoopers Chartered Accountants One Spencer Dock North Wall Quay Dublin 1 Ireland Janus Capital International Limited 26th Floor, CityPoint 1 Ropemaker Street, London EC2Y 9HT United Kingdom Janus Capital Management LLC 151 Detroit Street Denver, Colorado United States of America INTECH Investment Management LLC ( INTECH ) CityPlace Tower, 525 Okeechobee Boulevard, Suite 1800 West Palm Beach, FL United States of America Perkins Investment Management LLC ( Perkins ) 311 S. Wacker Drive, Suite 6000, Chicago, Illinois 60606, United States of America Distributor Janus Capital International Limited 26th Floor, City Point 1 Ropemaker Street, London EC2Y 9HT United Kingdom Promoter Janus Capital International Limited 26th Floor, City Point 1 Ropemaker Street, London EC2Y 9HT United Kingdom Administrator, Shareholder Servicing Agent and Secretary Citi Fund Services (Ireland) Limited 1 North Wall Quay Dublin 1 Ireland Custodian Brown Brothers Harriman Trustee Services (Ireland) Limited Styne House Upper Hatch Street Dublin 2 Ireland Legal Advisers Arthur Cox Earlsfort Centre Earlsfort Terrace Dublin 2 Ireland Sponsoring Broker J & E Davy Davy House 49 Dawson Street Dublin 2 Ireland 2

67 Summary The information set out under this heading is a summary of the principal features of the Company, and should be read in conjunction with the full text of this Prospectus. The Company The Funds and Classes of Shares Listing on the Irish Stock Exchange The Company is a UCITS established as an umbrella investment company with segregated liability between Funds with variable capital incorporated in Ireland and regulated by the Financial Regulator. The Company provides investors with a choice of Funds offering distinct investment objectives and separate portfolios of assets. As at the date of this Prospectus, the Company has obtained the Financial Regulator s approval for the Funds listed in the table in the section entitled The Offering Classes of Shares. The table also indicates the Funds, which are available for purchase as at the date of this Prospectus. The Company may issue Shares in multiple Classes in respect of each Fund. Such Classes may be denominated in US Dollars, Euro or Pound Sterling. The initial offer period for the Class A$acc, B$acc, I$acc, Z$acc, A acc, I acc and Z acc of the Janus Emerging Markets Fund, Perkins Global Value Fund and Janus US Fund and Class A$acc, A$inc, B$acc, B$inc, I$acc, I$inc, Z$acc, A acc, A inc, B inc, I acc and I inc of the Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund are expected to commence at 3pm (Irish time) on 28 September 2010 and conclude at 4pm (New York time) on 30 September 2010 or such other dates as the Directors may determine and notify in advance to the Financial Regulator. Investors should note that, as at the date of this Prospectus, only certain Classes of Shares of the Funds are currently available for purchase. Furthermore, not all Funds or Classes of Shares are available in all jurisdictions and investors are requested to contact the relevant Distribution Agent for a list of Funds and Classes of Shares available to them. Class A, B, I and Z Shares will normally be listed on the Irish Stock Exchange. Investors should contact the Administrator for further information. Application has been made to The Irish Stock Exchange for the Class A$acc, B$acc, I$acc, Z$acc, A acc, I acc and Z acc of the Janus Emerging Markets Fund, Perkins Global Value Fund and Janus US Fund and Class A$acc, A$inc, B$acc, B$inc, I$acc, I$inc, Z$acc, A acc, A inc, B inc, I acc and I inc of the Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund to be admitted to the Official List and to trading on the Main Securities Market on The Irish Stock Exchange. This document comprises listing particulars for the purpose of the listing of the Class A$acc, B$acc, I$acc, Z$acc, A acc, I acc and Z acc of the Janus Emerging Markets Fund, Perkins Global Value Fund and Janus US Fund and Class A$acc, A$inc, B$acc, B$inc, I$acc, I$inc, Z$acc, A acc, A inc, B inc, I acc and I inc of the Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund. Application has been made to The Irish Stock Exchange for the Class A$acc, B$acc, I$acc, A$dis, B$dis, I$dis, A acc, B acc, I acc, A dis, B dis, I dis and Z$acc Shares of the Janus Asia Fund to be admitted to the Official List and to trading on the Main Securities Market on The Irish Stock Exchange. This document comprises listing particulars for the purpose of the listing of the Class A$acc, B$acc, I$acc, A$dis, B$dis, I$dis, A acc, B acc, I acc, A dis, B dis, I dis and Z$acc Shares of Janus Asia Fund. It is expected that the Class A$acc, B$acc, I$acc, Z$acc, A acc, I acc and Z acc of the Janus Emerging Markets Fund, Perkins Global Value Fund and Janus US Fund and Class A$acc, A$inc, B$acc, B$inc, I$acc, I$inc, Z$acc, A acc, A inc, B inc, I acc and I inc of the Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund will be admitted to the Official List and to trading on the Main Securities Market of The Irish Stock Exchange and dealings will commence on or about 30 September It is expected that the Class A$acc, B$acc, I$acc, A$dis, B$dis, I$dis, A acc, B acc, I acc, A dis, B dis, I dis and Z$acc Shares of the Janus Asia Fund will be admitted to the Official List and to trading on the Main Securities Market of The Irish Stock Exchange and dealings will commence on or about 30 September The launch and listing of various Classes within the Fund may occur at different times and therefore at the time of the launch of given Class(es) the pool of assets to which a given Class relates may have commenced to trade. For further information in this regard, the most recent interim and annual reports of the Fund will be made available to potential investors upon request. 3

68 Frequency of Subscriptions, Redemptions and Exchanges Unless otherwise determined by the Directors, subscriptions for and redemptions and exchanges of Shares may be made on any Business Day subject to the procedures described in the sections entitled How to Purchase Shares, How to Redeem Shares and How to Exchange or Transfer Shares. Minimum Subscriptions The following table sets out the minimum initial and subsequent subscriptions applicable to each Class within each Fund: Class Minimum Initial Subscription A$ US$2,500 US$100 B$ US$2,500 US$100 I$ US$1,000,000 US$N/A Z$ US$20,000,000 US$N/A A 2, B 2, I 1,000,000 N/A Z 15,000,000 N/A A 2, B 2, I 1,000,000 N/A Minimum Subsequent Subscription The Company and/or Janus Capital International Limited ( JCIL ) reserve the right to waive such minimums in whole or in part for certain types of accounts. Fees and Expenses Details of the fees and expenses attaching to an investment in a Fund (including initial sales charges, CDSCs, dealing charge, investment management fees and maintenance fees) are set out in the section entitled Fees and Expenses. A short term trading fee of up to 1% may be payable to the Company in respect of Shares that are redeemed or exchanged within 90 days of purchase. However, except for Class I and Class Z Shares, a Distribution Agent may charge customer service fees, redemption fees and/or exchange fees in connection with investments. Distribution Policies Investment Advice and Management Details of the distribution policy applicable to each Class of Shares are set out in the section entitled Distribution Policies. JCIL acts as investment adviser to the Company. The Investment Adviser has appointed Sub-Investment Advisers with responsibility for investing and managing the whole or part of the assets of the following Funds: Taxation 4 Sub-Investment Adviser Janus Capital Management LLC ( JCM ) INTECH Perkins Funds Janus Asia Fund, Janus Emerging Markets Fund, Janus Europe Fund, Janus Global Fundamental Equity Fund 1, Janus Global Growth Fund, Janus Global Life Sciences Fund, Janus Global Research Fund, Janus Global Research (ex-japan) Fund, Janus Global Technology Fund, Janus US Fund, Janus US All Cap Growth Fund, Janus US Balanced Fund, Janus US Research Fund, Janus US Twenty Fund, Janus US Venture Fund, Janus Global Real Estate Fund, Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund, Janus Global Strategic Income Fund, Janus US Flexible Income Fund, Janus US High Yield Fund, Janus US Short-Term Bond Fund, Janus Extended Alpha Fund and Janus Global Research 130/30 Fund INTECH European Risk Managed Core Fund, INTECH Global Risk Managed Core Fund, INTECH US Risk Managed Core Fund and INTECH Market Neutral Fund Perkins Global Value Fund and Perkins US Strategic Value Fund 1 This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate the Fund. A summary of the treatment of the Company for Irish tax purposes is set out in the section entitled Tax Information.

69 The Company General The Company is an investment company with variable capital incorporated in Ireland on 19 November 1998 under Registration No The Company has been authorised by the Financial Regulator as a UCITS pursuant to the UCITS Regulations. The Company has been structured as an umbrella fund with segregated liability between Funds so that separate Classes of Shares representing interests in different Funds may be authorised for issue from time to time by the Directors with the prior approval of the Financial Regulator. A separate portfolio of assets will be maintained for each Fund. The assets of each of the Funds will be invested in accordance with the investment objective and policies applicable to that Fund as disclosed in this Prospectus. The Company may issue multiple Classes in respect of each Fund upon prior approval of the Financial Regulator. A separate pool of assets shall not be maintained for each Class within the same Fund. Additional Funds may be established by the Company with the prior approval of the Financial Regulator. Investment Objectives and Policies of the Funds Investments made by each of the Funds will be in accordance with the UCITS Regulations. Certain investment restrictions contained in the UCITS Regulations are set forth below under the heading Investment Restrictions. Set forth below are the investment objectives and policies of each of the Funds. The investment objectives and policies of each Fund will be adhered to, and in the absence of any unforeseen circumstances, will not be altered for a period of three years following the admission of any Shares in that Fund to the Official List and to trading on the Main Securities Market of the Irish Stock Exchange. Any change in investment objectives and any material change in investment policies during or after this period will be subject to Shareholder approval. In the event of a change in investment objectives and/or investment policies, a reasonable notification period will be provided by the Company to enable Shareholders to redeem their Shares prior to implementation of these changes. Each Fund may invest up to 5% of its net asset value in the securities of other collective investment schemes within the meaning of Regulation 3(2) of the UCITS Regulations. Such investment includes investing in other Funds. However a Fund may not invest in another Fund which itself holds Shares in other Funds. Where a Fund invests in another Fund, the investing Fund may not charge an annual management and/or investment management fee in respect of the portion of its assets invested in the other Fund. Unless otherwise provided for in the investment objective and policies section for a Fund, a Fund may only invest in financial derivative instruments for efficient portfolio management purposes. Each Fund s investment in financial derivative instruments, as described in the Types and Description of Financial Derivative Instruments section herein, will be subject to the limits set out within that Fund s investment policy and the conditions and limits from time to time laid down by the Financial Regulator. There will be circumstances in which the Alternative Investment Funds, Equity & Balanced Funds, Janus Global Real Estate Fund, Fixed Income Funds and Risk Managed Equity Funds will be leveraged in using financial derivative instruments. The maximum amount of leverage which the Equity & Balanced Funds, Janus Global Real Estate Fund, Fixed Income Funds and Risk Managed Equity Funds can create through the use of financial derivative instruments is 100% of the net asset value of the Fund. However, Shareholders should note that, given the nature of financial derivative instruments and the fact that such instruments may be traded on margin, a relatively small adverse price movement in the underlying of a given financial derivative instrument may result in immediate and substantial movements in the exposure a Fund to that financial derivative instrument. In the event that any of the financial derivative instruments related exposure limits are exceeded for reasons beyond the control of a Fund, the Fund will remedy such situation as a priority, taking due account of the interests of its Shareholders. Equity Investing Each of the Equity & Balanced Funds (other than the Janus US Balanced Fund) and the Alternative Investment Funds (other than the Janus Global Real Estate Fund) may invest substantially all of their assets in common stocks and/or equity securities to the extent that the relevant Sub-Investment Adviser believes that the relevant market environment favours profitable investing in those securities. The INTECH Market Neutral Fund, Janus Extended Alpha Fund and Janus Global Research 130/30 Fund may invest directly in such common stocks or indirectly in such common stocks through the use of financial derivative instruments. The Janus US Balanced Fund may invest significantly in common stocks, consistent with the percentage limits outlined below, to the extent that the relevant Sub-Investment Adviser believes that the relevant market environment favours profitable investing in such securities. Other than as set forth below with respect to Janus Global Life Sciences Fund and Janus Global Technology Fund, securities are generally selected by the relevant Sub-Investment Adviser without regard to any defined industry sector or other similarly defined selection procedure, and none of the Funds intend to specialise in any particular industry sector. Realisation of income is not a significant investment consideration for the Equity & Balanced Funds (other than the Janus US Balanced Fund to the extent that it is invested in transferable securities referred to below under Income Investing ) and the Alternative Investment Funds (other than the Janus Global Real Estate Fund). The percentage of a Fund s assets invested in common stocks and/or equity securities will vary and, depending on market conditions as determined by the relevant Sub-Investment Adviser, each may hold ancillary liquid assets or short-term interest bearing securities in its portfolio, such as Government Securities or Debt Securities. Each of these Funds may invest to a lesser degree in other types of securities including preferred stock, Government Securities, Debt Securities, warrants and securities convertible into common stock when the relevant Sub-Investment Adviser perceives an opportunity for capital growth from such securities. Each of the Equity & Balanced Funds (other than the Janus Global Research Fund, Janus Global Research (ex-japan) Fund and the Janus US Balanced Fund) may invest up to 15% of its net asset value in Debt Securities (including high yield/high-risk bonds) or Government Securities rated below investment grade, the Janus Extended Alpha Fund may invest up to 35% of its net asset value in Debt Securities (including high yield/high-risk bonds) or Government Securities rated above, below or at investment grade, the Janus Global Research Fund, Janus Global Research (ex-japan) Fund and Janus Global Research 130/30 Fund may invest up to 30% of its net asset value in Debt Securities (including high yield/high-risk bonds) or Government Securities rated above, below or at investment grade and the Janus US Balanced Fund may invest up to 25% of its net asset value in Debt Securities or Government Securities rated below investment grade. Each of the Risk Managed Equity Funds, and the Alternative Investment Funds may also invest up to 10% of its net asset value in mortgage- and asset-backed securities issued or guaranteed 5

70 by any OECD government, its agencies or instrumentalities or by private issuers and which may be rated below investment grade by the primary rating agencies. Each Fund may invest directly or indirectly (i.e. through depositary receipts including American Depositary Receipts, European Depositary Receipts and Global Depositary Receipts) in the relevant markets. Each Fund may also invest up to 5% of its net asset value in zero coupon, pay-in-kind and Step Coupon Securities, and without limit in Index/ Structured Securities. Pay-in-kind bonds are bonds which may pay interest in the form of additional bonds of the same kind. Equity Investment Strategy of the Sub-Investment Advisers JCM generally takes a bottom-up approach to building portfolios. In other words, it seeks to identify strong businesses with sustainable competitive advantages and improving returns on capital. Those funds in the Equity & Balanced Funds category follow an investment strategy in which companies are considered principally on their own fundamental qualitative and quantitative characteristics. Commonly referred to as stock picking or bottom-up investing, portfolios of fundamental-based investment funds are built one security at a time following intensive in-house research into each company. Areas of research focus can include the company s management, financials, competitive strengths and weaknesses, earnings growth prospects and numerous other metrics. This approach rests on a belief that some companies have inherent strengths for creating shareholder value over time, have superior prospects to their peer groups and should therefore outperform even in challenging industry and economic circumstances. The purpose of a fundamental investment approach is to identify and invest in such companies. INTECH, the Sub-Investment Adviser for the Risk Managed Equity Funds and the INTECH Market Neutral Fund, applies a mathematical investment process to construct an investment portfolio for each Risk Managed Equity Fund. INTECH developed the formulas underlying this mathematical investment process. The mathematical investment process is designed to take advantage of market volatility (variation in stock prices), rather than using fundamental research or market/economic trends to predict the future returns of stocks. The process seeks to generate a return in excess of the relevant Risk Managed Equity Fund s or INTECH Market Neutral Fund s benchmark over the long term, while controlling the risk relative to the benchmark. Perkins, the Sub-Investment Adviser for the Perkins Global Value Fund and Perkins US Strategic Value Fund, focuses on managing diversified portfolios of high-quality, undervalued stocks with favourable risk/reward characteristics. Equity & Balanced Funds The Janus Asia Fund, Janus Emerging Markets Fund, Janus Europe Fund, Janus Global Fundamental Equity Fund 1, Janus Global Growth Fund, Janus Global Life Sciences Fund, Janus Global Research Fund, Janus Global Research (ex-japan) Fund, Janus Global Technology Fund and Perkins Global Value Fund may invest in any of the types of transferable securities set forth above under Equity Investing and which are traded on a Regulated Market subject to the following limits set out within each Fund s investment policy. The Janus US Fund, Janus US All Cap Growth Fund, Janus US Balanced Fund, Janus US Research Fund, Janus US Twenty Fund, Janus US Venture Fund and Perkins US Strategic Value Fund may invest in any of the types of transferable securities set forth above under Equity Investing subject to the following limits. It is anticipated that the Janus US All Cap Growth Fund, Janus US Balanced Fund, Janus US Research Fund, Janus US Twenty Fund, Janus US Venture Fund and Perkins US Strategic Value Fund will invest Primarily in securities of US Issuers or US Companies. It is anticipated that the Janus US Fund will invest principally in securities of US Issuers or US Companies. Each of the Janus US Research Fund and Perkins US Strategic Value Fund may invest up to 33% of their net asset value in the securities of non-us issuers and each of the Janus US All Cap Growth Fund, Janus US Balanced Fund, Janus US Twenty Fund and Janus US Venture Fund may invest up to 25% of its net asset value in the securities of non-us issuers. Generally, such non-us investments will be traded on Regulated Markets that are not considered Emerging Markets. Each of the Equity & Balanced Funds (other than the Janus US Balanced Fund) may invest up to 10% of its net asset value in mortgage- and assetbacked securities issued or guaranteed by any OECD government, its agencies or instrumentalities or by private issuers and which may be rated below investment grade by the primary rating agencies. In investing in Debt Securities, there is no limit on the amount that may be invested by the Janus US Balanced Fund in mortgage- and asset-backed securities issued or guaranteed by any OECD government, its agencies or instrumentalities or by private issuers, which may be rated below investment grade by the primary rating agencies, and subject to overall limit on the Fund in investing in US issuers and non-us issuers. In addition, the Janus US Balanced Fund may also invest in any of the types of transferable securities, and participations in or assignments of floating rate mortgages or other commercial loans, to the extent and as set forth below under Income Investing. Janus Asia Fund. The Fund s investment objective is to seek to achieve long-term growth of capital. It pursues its objective by investing principally in common stocks of companies of any size, from larger, well-established companies to smaller, emerging growth companies, which are domiciled in Asia, excluding Japan, or are conducting the predominant portion of their economic activities in one or more countries in Asia. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes, subject to the conditions and within the limits from time to time laid down by the Financial Regulator). Due to its exposure to Emerging Markets, an investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Janus Emerging Markets Fund. This Fund s investment objective is long-term growth of capital. Under normal circumstances, the Fund seeks to achieve its objective by investing principally in equity securities issued by companies incorporated or having their principal business activities in one or more Emerging Markets or companies which derive a significant proportion of their revenues or profits from one or more Emerging Markets or have a significant portion of their assets in one or more Emerging Markets. Due to its exposure to Emerging Markets, an investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes as described in the Types and Description of Financial Derivative Instruments section herein, subject to the conditions and within the limits from time to time laid down by the Financial Regulator) to gain or hedge exposure to the investments contemplated in these investment policies. 1 This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate the Fund. 6

71 Janus Europe Fund. The Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in common stocks selected for their growth potential. The Fund may invest in companies of any size from larger, well-established companies to smaller, emerging growth companies that are domiciled in or are conducting the predominant portion of their economic activities in Western, Central or Eastern Europe (EU and non-eu members) and Turkey. It is expected that the Fund will be broadly diversified among a variety of industry sectors. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other financial derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes, subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus Global Fundamental Equity Fund 1. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in common stocks with the potential for long-term growth of capital using a value approach. The value approach emphasises investments in companies located anywhere in the world that the relevant Sub-Investment Adviser believes are undervalued relative to their intrinsic worth. The relevant Sub-Investment Adviser measures value as a function of price/earnings ( P/E ) ratios and price/free cash flow. A P/E ratio is the relationship between the price of a stock and its earnings per share. This figure is determined by dividing a stock s market price by the company s earnings per share amount. Price/free cash flow is the relationship between the price of a stock and the company s available cash from operations minus capital expenditures. The relevant Sub-Investment Adviser will typically seek attractively valued companies that are improving their free cash flow and improving their returns on invested capital. These companies may also include special situations companies that are experiencing management changes and/or are temporarily out of favour. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. The Fund may invest in any of the types of transferable securities set forth above under Equity Investing provided the Regulated Market is not considered an Emerging Market. Janus Global Growth Fund. This Fund s investment objective is long-term growth of capital in a manner consistent with the preservation of capital. It pursues its objective Primarily through investments in common stocks of companies located anywhere in the world. The Fund has the flexibility to invest in companies and other organisations of any size, regardless of country of organisation or place of principal business activity. This Fund will invest Primarily in securities of issuers from at least five different countries, which may include the United States. However, country exposure is not subject to any percentage limits, and the Fund may from time to time have significant exposure to a single market, including the United States, if the relevant Sub-Investment Adviser believes that market and economic conditions in certain countries are not favourable for profitable investing. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. The Fund will limit its exposure to Emerging Markets in the aggregate to no more than 30% of its net asset value and will not invest more than 10% of its net asset value in any one Emerging Market. Janus Global Life Sciences Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in equity securities of companies located anywhere in the world and selected for their growth potential. The Fund will invest Primarily in securities of companies that the relevant Sub-Investment Adviser believes have a life sciences orientation. Generally speaking, the life sciences relate to maintaining or improving quality of life. Thus, companies with a life sciences orientation include companies engaged in research, development, production or distribution of products or services related to health and personal care, medicine or pharmaceuticals. Such companies may also include companies that the relevant Sub-Investment Adviser believes have growth potential mainly as a result of particular products, technology, patents or other market advantages in the life sciences. The Fund will invest at least 25% of its total assets, in the aggregate, in the following industry groups: health care; pharmaceuticals; agriculture; cosmetics/personal care; and biotechnology. For purposes of this restriction, the Fund will rely mainly on industry group classifications published by Bloomberg L.P. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus Global Research Fund. The Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in common stocks selected for their growth potential. The Fund may invest in companies of any size and located anywhere in the world, from larger, well-established companies to smaller, emerging growth companies. It is expected that the Fund will be broadly diversified among a variety of industry sectors. The investment selection process currently employed by the Sub-Investment Adviser for the Fund is to select investments which are high conviction investment ideas in all market capitalisations, styles and geographies. The Sub- Investment Adviser oversees the investment process, sets the criteria for asset allocation amongst the sectors (which criteria may change from time to time) and conducts fundamental analysis with a focus on bottom-up research, quantitative modelling, and valuation analysis. Using this research process, the stocks will be rated based upon attractiveness, comparing the appreciation potential of each of these high conviction ideas to construct a sector portfolio that is intended to maximise the best risk/reward opportunities. Securities may be sold when, among other things, there is no longer high conviction in the return potential of the investment or if the risk characteristics have caused a re-evaluation of the opportunity. Securities may also be sold from the portfolio to rebalance sector weightings. The Sub-Investment Adviser may at any time employ an alternative selection process consistent with the Fund s investment objective and policies. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities 1 This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate the Fund. 7

72 traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus Global Research (ex-japan) Fund. The Fund s investment objective is to seek to achieve long-term growth of capital. It pursues its objective by investing Primarily in common stocks of companies of any size and located anywhere in the world, excluding Japan, from larger, wellestablished companies to smaller, emerging growth companies. It is expected that the Fund will be broadly diversified among a variety of industry sectors. The investment selection process currently employed by the Sub-Investment Adviser for the Fund is to select investments which are high conviction investment ideas in all market capitalisations, styles and geographies (excluding Japan). The Sub-Investment Adviser oversees the investment process, sets the criteria for asset allocation amongst the sectors (which criteria may change from time to time) and conducts fundamental analysis with a focus on bottom-up research, quantitative modelling, and valuation analysis. Using this research process, the stocks will be rated based upon attractiveness, comparing the appreciation potential of each of these high conviction ideas to construct a sector portfolio that is intended to maximise the best risk/reward opportunities. Securities may be sold when, among other things, there is no longer high conviction in the return potential of the investment or if the risk characteristics have caused a re-evaluation of the opportunity. Securities may also be sold from the portfolio to rebalance sector weightings. The Sub-Investment Adviser may at any time employ an alternative selection process consistent with the Fund s investment objective and policies. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes, subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets shall not exceed 20% of the net asset value of the Fund. Janus Global Technology Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in equity securities of companies located anywhere in the world and selected for their growth potential. The Fund will invest Primarily in securities of companies that the relevant Sub-Investment Adviser believes will benefit significantly from advances or improvements in technology. These are generally: (i) companies that the relevant Sub-Investment Adviser believes have or will develop products, processes or services that will provide significant technological advancements or improvements; or (ii) companies that the relevant Sub-Investment Adviser believes rely extensively on technology in connection with their operations or services such as but not limited to companies offering medical products and services, alternative energy equipment and services, or sophisticated industrial products. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US Fund. This Fund s investment objective is long-term growth of capital. Under normal circumstances, the Fund seeks to achieve its objective by investing principally in common stocks of US Companies and US Issuers selected for their growth potential. Although the Fund may invest in companies of any size, it generally invests in larger, more established companies. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes as described in the Types and Description of Financial Derivative Instruments section herein, subject to the conditions and within the limits from time to time laid down by the Financial Regulator) to gain or hedge exposure to the investments contemplated in these investment policies. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US All Cap Growth Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in common stocks of US Issuers of any size, which may include larger wellestablished issuers and/or smaller emerging growth issuers. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US Balanced Fund. This Fund s investment objective is long-term capital growth, consistent with preservation of capital and balanced by current income. It pursues its objective by investing 35%-65% of its net asset value in equity securities of US Companies, such as common stocks, and 35%-65% of its net asset value in Debt Securities of US Issuers. This Fund may invest up to 25% of its net asset value in Debt Securities rated below investment grade. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US Research Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in equity securities of US Companies selected for their growth potential. Eligible equity securities include US and non-us common stocks, preferred stocks, securities convertible into common stocks or preferred stocks, such as convertible preferred stocks, and other securities with equity characteristics. The Fund may invest in companies of any size. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset 8

73 value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. The investment selection process currently employed by the Sub-Investment Adviser for the Fund is to select investments which are high conviction investment ideas in all market capitalisations, styles and geographies. The Sub- Investment Adviser oversees the investment process, sets the criteria for asset allocation amongst the sectors (which criteria may change from time to time) and conducts fundamental analysis with a focus on bottom-up research, quantitative modelling, and valuation analysis. Using this research process, the stocks will be rated based upon attractiveness, comparing the appreciation potential of each of these high conviction ideas to construct a sector portfolio that is intended to maximise the best risk/reward opportunities. Securities may be sold when, among other things, there is no longer high conviction in the return potential of the investment or if the risk characteristics have caused a re-evaluation of the opportunity. Securities may also be sold from the portfolio to rebalance sector weightings. The Sub-Investment Adviser may at any time employ an alternative selection process consistent with the Fund s investment objective and policies. Janus US Twenty Fund. This Fund s investment objective is long-term growth of capital. It seeks to achieve its objective by investing Primarily in a core portfolio of common stocks of US Issuers selected for their growth potential. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US Venture Fund. This Fund s investment objective is capital appreciation. It pursues its objective by investing at least half of its equity assets in equity securities of small sized US Companies. Small sized US Companies are those whose market capitalisations are less than US$1 billion or annual gross revenues are less than US$500 million. Companies whose capitalisations or revenues grow and thereby fall outside of these ranges after the Fund s initial purchase will still be considered small-sized. The Fund may also invest in larger companies with strong growth potential or larger, well-known companies with potential for capital appreciation. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Perkins Global Value Fund. This Fund s investment objective is long-term growth of capital. Under normal circumstances, the Fund seeks to achieve its objective by investing principally in common stocks of companies of any size located anywhere in the world whose stock prices the Sub-Investment Adviser believes to be undervalued. The Sub-Investment Adviser focuses on companies that have fallen out of favour with the market or that appear to be undervalued. The value approach emphasises investments in companies the relevant Sub-Investment Adviser believes are undervalued relative to their intrinsic worth. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes as described in the Types and Description of Financial Derivative Instruments section herein, subject to the conditions and within the limits from time to time laid down by the Financial Regulator) to gain or hedge exposure to the investments contemplated in these investment policies. Due to its exposure to Emerging Markets, an investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Perkins US Strategic Value Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing Primarily in common stocks of US Companies with the potential for long-term growth of capital using a value approach. The value approach emphasises investments in companies the relevant Sub-Investment Adviser believes are undervalued relative to their intrinsic worth. The relevant Sub-Investment Adviser measures value as a function of price/earnings (P/E) ratios and price/free cash flow. A P/E ratio is the relationship between the price of a stock and its earnings per share. This figure is determined by dividing a stock s market price by the company s earnings per share amount. Price/free cash flow is the relationship between the price of a stock and the company s available cash from operations minus capital expenditures. The relevant Sub-Investment Adviser will typically seek attractively valued companies that are improving their free cash flow and improving their returns on invested capital. These companies may also include special situations companies that are experiencing management changes and/or are temporarily out of favour. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Risk Managed Equity Funds For the avoidance of doubt, each of the Risk Managed Equity Funds is an Equity Investing Fund. The Risk Managed Equity Funds pursue their objectives by applying a mathematical portfolio management process to construct an investment portfolio from a universe of equities and equity related securities (including preference shares, convertible bonds (which may be rated below investment grade; see Appendix 3)) within their respective benchmark indices. The mathematical process uses the natural tendency of securities prices to vary over time (volatility) and the correlations of this volatility to determine the securities and their proportions in each of the Risk Managed Equity Funds portfolios. The Risk Managed Equity Funds do not seek to invest in warrants. However, a Fund may receive a warrant, for example through a corporate action. It is not intended that the Risk Managed Equity Funds will be leveraged through the use of warrants. Each of the Risk Managed Equity Funds pursues its goal by constructing portfolios of securities with higher average stock volatility than its respective benchmark index and combining those securities in a manner that does not increase the overall portfolio volatility above that of the benchmark index. 9

74 More volatile stocks may tend to reside on the smaller cap end of the respective index. The relevant Sub-Investment Adviser approaches risk management from a perspective that evaluates risk relative to a direct investment in the benchmark index. Risk controls are designed to minimise the risk of significant underperformance relative to the respective benchmark index. The Sub-Investment Adviser applies a mathematical investment process to build a portfolio in a more efficient combination than the benchmark index. The process seeks to capitalise on the natural volatility of the market by searching for stocks within the index that have high relative volatility (providing the potential for excess returns) but that essentially move in opposite directions or have low correlation to each other (providing the potential for lower relative risk). By constructing the portfolio in this manner and regularly rebalancing the portfolio to maintain potentially more efficient weightings, the Sub-Investment Adviser s mathematical investment process seeks to create a portfolio that, over time, produces returns in excess of its benchmark index with an equal or lesser amount of risk. Each of the Risk Managed Equity Funds seeks to achieve growth potential by investing in equities and equity related securities listed, traded or dealt in on Regulated Markets that are not considered Emerging Markets. INTECH European Risk Managed Core Fund. The Fund s investment objective is long-term growth of capital. It pursues its objective by investing at least 80% of its net asset value in equities and equity related securities of European companies whose market capitalisation is at least equal to the market capitalisation of one of the companies listed in the MSCI Europe Index at the time of purchase. INTECH Global Risk Managed Core Fund. The Fund s investment objective is long-term growth of capital. It pursues its objective by investing at least 80% of its net asset value in equities and equity related securities of companies located anywhere in the world whose market capitalisation is at least equal to the market capitalisation of one of the companies listed in the MSCI World Index at the time of purchase. INTECH US Risk Managed Core Fund. This Fund s investment objective is long-term growth of capital. It pursues its objective by investing at least 80% of its net asset value in equities and equity related securities of US Companies whose market capitalisation is at least equal to the market capitalisation of one of the companies listed in the S&P 500 Index at the time of purchase. Alternative Investment Funds For the avoidance of doubt, each of the Alternative Investment Funds is an Equity Investing Fund. The Alternative Investment Funds may invest in any of the types of transferable securities set forth above under Equity Investing and which are traded on a Regulated Market subject to the following limits set out within each Fund s investment policy. Each of the Alternative Investment Funds may invest in equities and equity related securities (including preference shares, convertible bonds (which may be rated below investment grade; see Appendix 3) and warrants). Each of the Alternative Investment Funds may hold long positions directly in equities or equity related securities or indirectly in such equities and equity related securities through the use of financial derivative instruments. The Funds will not directly short securities although they may hold short positions exclusively through financial derivative instruments. Financial derivative instruments include those which have equities or equity related securities as their underlying exposure, but the Funds may also invest in swaps, forwards (including futures), options and contracts for differences, and the Funds may also implement bought (long) and synthetic sold (short) positions through the use of such financial derivative instruments. In addition to using financial derivative instruments for investment purposes the Funds may also use financial derivative instruments for efficient portfolio management purposes, subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Each of the Alternative Investment Funds may have particularly volatile performance as a result of their investment policies. The above paragraphs do not apply to the Janus Global Real Estate Fund. INTECH Market Neutral Fund. This Fund s investment objective is to seek to achieve long term capital appreciation. It pursues its objective by investing at least 80% of its net asset value in the equities or equity related securities of US Companies whose market capitalisation is at least equal to the market capitalisation of one of the companies listed in the S&P 500 Index at the time of purchase or by investing indirectly in such equities and equity related securities through the use of financial derivative instruments. The INTECH Market Neutral Fund pursues its objective by constructing a portfolio of assets drawn from the investment universe described above, some of which have a positive ( long ) exposure and some of which have a negative ( short ) exposure. The Sub-Investment Adviser applies a mathematical investment process to build a portfolio that seeks to capitalise on the natural volatility of equities. The long component of the portfolio tends to comprise those stocks that have higher relative price volatility and lower correlation to other stocks in the investment universe; the short component tends to comprise equity related securities with lower relative volatility and higher correlation to other stocks in the investment universe. By constructing the portfolio in this manner and regularly rebalancing the portfolio to maintain potentially efficient weightings, the Sub-Investment Adviser s process seeks to create a portfolio that, over time, produces long term capital appreciation with controlled risk. The investment process attempts to minimise the total volatility of the portfolio consistent with achieving its investment objectives. Whilst there may be an offsetting effect of the long and the short component, there remains an inherent risk in the portfolio due to its investment in equities. The Fund generally intends to hold long positions up to 100% of the Fund s net asset value. The Fund also intends to hold short positions up to 100% of the Fund s net asset value. Although the Fund s long and short exposures may be outside of these targeted amounts from time to time and for extended periods of time, even during market conditions perceived to be normal, the Fund s total exposure will not exceed 200% of the Fund s net asset value. The Fund may create these positions synthetically through the use of index securities, such as certain eligible exchange-traded funds ( ETFs ) and index futures, options and swaps. The Fund seeks to achieve its investment objective by investing in equities and equity related securities listed, traded or dealt in on Regulated Markets that are not considered Emerging Markets or by investing indirectly in such equities and equity related securities through the use of financial derivative instruments. Janus Extended Alpha Fund. The Fund s investment objective is to seek to provide absolute returns over a full market cycle. It pursues its objective through a long-short strategy by holding positions Primarily in equities and equity related securities of companies of any size located anywhere in the world that are listed or traded on Regulated Markets (including Emerging Markets) or by investing indirectly in such equities 10

75 and equity related securities through the use of financial derivative instruments. The allocation between long and short positions is a result of the investment process and may vary depending on a number of factors including market conditions. The Fund does not intend to be market neutral and consistent with a long/short strategy anticipates that it normally will hold a higher percentage of its assets in long positions than short positions. Subject to the limits on leverage in the Investment Restrictions section, it is intended that the Fund will be managed so that typically it will be 30-70% net long of the Fund s net asset value. The Sub-Investment Adviser emphasises long positions in companies with attractive price/free cash flow, which is the relationship between the price of a stock and a company s available cash from operations, minus capital expenditures. The Sub-Investment Adviser typically seeks attractively valued companies that are improving their free cash flow and returns on invested capital, which also may include special situations companies that are experiencing management changes and/or are currently out of favour. The Sub-Investment Adviser emphasises short positions in structurally disadvantaged companies operating in challenged industries with high valuations. The Sub-Investment Adviser will target short positions in companies with unsustainable cash generation, poor capital structure, returns below their cost of capital, and share prices that the Sub-Investment Adviser believes reflect unrealistic expectations of the company s future opportunities. The Sub-Investment Adviser may deploy unique strategies when shorting securities to minimise risk. For example, some investments may be held short to remove some of the market risk of a long position while accentuating the information advantage the Sub-Investment Adviser believes it has in a long position in the portfolio. An investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Janus Global Research 130/30 Fund. The Fund s investment objective is to seek to achieve long-term growth of capital. It pursues its objective by investing Primarily in equities and equity related securities of companies of any size located anywhere in the world that are listed or traded on Regulated Markets (including Emerging Markets) or by investing indirectly in such equities and equity related securities through the use of financial derivative instruments. It is expected that the Fund will be broadly diversified among a variety of industry sectors. The Sub-Investment Adviser for the Fund selects investments across all market capitalisations, styles, and geographies. The Sub-Investment Adviser oversees the investment process, sets the criteria for asset allocation amongst various industry sectors (which criteria may change from time to time) and conducts fundamental analysis with a focus on bottom-up research, quantitative modelling, and valuation analysis. Using this research process, the stocks will be rated based upon attractiveness, comparing the appreciation potential of each investment idea to construct a sector portfolio that is intended to maximise the best risk/reward opportunities, and which utilises the full spectrum of the Sub-Investment Adviser s research process. The Sub-Investment Adviser may at any time employ an alternative selection process consistent with the Fund s investment objectives and policies. The Fund will generally hold long positions equal in value to approximately 130% of the Fund s net asset value. Short positions will generally be equal in value to approximately 30% of the Fund s net asset value. The target proportion of long and short positions may vary up or down depending on a number of factors, including market conditions. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and no more than 20% of the net asset value of the Fund may be invested in aggregate in securities traded on the Emerging Markets. Janus Global Real Estate Fund. The Fund s investment objective is total return through a combination of capital appreciation and current income. It pursues its objective by investing Primarily in securities of US and non-us companies engaged in or related to the property industry, or which own significant property assets. This may include investments in companies involved in the real estate business or property development, domiciled either inside or outside of the US, including REITs and issuers whose businesses, assets, products or services are related to the real estate sector. This may also include small capitalisation stocks. Small capitalisation stocks are defined as those whose market capitalisation, at the time of initial purchase, is less than the 12-month average of the maximum market capitalisation for the companies included in the Russell 2000 Index. This average is updated monthly. REITs are pooled investment vehicles that invest in income producing real property or real property related loans or interests. REITs are generally classified as equity REITs, mortgage REITs or a combination of equity and mortgage REITs. Equity REITs invest their assets directly in real property and derive income primarily from the collection of rents. Equity REITs can also realise capital gains by selling properties that have appreciated in value. Mortgage REITs invest their assets in real property mortgages and derive income from the collection of interest payments. In selecting the investments for the Janus Global Real Estate Fund, the relevant Sub-Investment Adviser seeks to identify securities that have good management, strong balance sheets, above average investment growth in funds from operations and that trade at a discount to their assets underlying value. Funds from operations generally means a REIT s net income excluding gains or losses from debt restructuring and sales of property plus depreciation of real property. The percentage of Janus Global Real Estate Fund assets invested in common stocks and other property companies will vary and, depending on market conditions as determined by the Sub-Investment Adviser, the Funds may invest in short-term investment grade interest bearing securities, such as Government Securities or Debt Securities and/or Index/Structured Securities. The Fund may also invest in other types of securities including preferred stock, Government Securities, Debt Securities, warrants and securities convertible into common stock when the Sub-Investment Adviser perceives an opportunity for additional return from such securities. The Fund may also invest up to 10% of its net asset value in mortgage- and asset backed securities and collateralised mortgage obligations issued or guaranteed by any OECD government, its agencies or instrumentalities or by private issuers and which may be rated below investment grade by the primary rating agencies. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on Emerging Markets shall not exceed 20% of the net asset value of the Fund. The Fund may invest directly or indirectly (i.e. through depositary receipts including American Depositary Receipts, European Depositary Receipts and Global Depositary Receipts) in the relevant markets. 11

76 Income Investing Subject to its investment policies set forth below, each of the Fixed Income Funds may invest in a wide variety of income producing Government Securities and Debt Securities, Indexed/Structured Securities, mortgage-and asset-backed securities issued or guaranteed by any OECD government, its agencies or instrumentalities or by a private issuer (up to 25% of the net asset value of Janus US Short-Term Bond Fund, up to 30% of the net asset value for Janus Global Investment Grade Bond Fund and unlimited for the other Fixed Income Funds), zero-coupon, pay-in-kind (i.e., bonds which may pay interest in the form of additional bonds of the same kind) and Step Coupon Securities (up to 10% of the net asset value for Janus US Short-Term Bond Fund, up to 30% of the net asset value for Janus Global Investment Grade Bond Fund and unlimited for the other Fixed Income Funds), preferred stocks and income-producing common stocks (up to 10% of the net asset value for Janus Global Investment Grade Bond Fund and unlimited for the other Fixed Income Funds), REITs, convertible bonds i.e. Debt Securities that carry with them the right to acquire equity securities as evidenced by warrants attached to or acquired with such securities, or Debt Securities convertible into equity securities (up to 25% of the net asset value for Janus Global Investment Grade Bond Fund and unlimited for the other Fixed Income Funds). Subject to its investment policies set forth below, each of the Fixed Income Funds may invest in common stocks and other equity securities (such as securities convertible into common stocks) (subject to the limit above of up to 10% of the net asset value for Janus Global Investment Grade Bond Fund). Each Fund may invest directly or indirectly (i.e. through depositary receipts including American Depositary Receipts, European Depositary Receipts and Global Depositary Receipts) in the relevant markets. In addition each of the Fixed Income Funds may purchase participations in or assignments of floating rate mortgages or other commercial loans that are liquid and will provide for interest rate adjustments at least every 397 days and which may be secured by real estate or other assets. These participations may be interests in, or assignments of, the loan and may be acquired from banks or brokers that have made the loan or members of the lending syndicate. Such participations will not exceed 10% of the net asset value of the relevant Fund in the aggregate. Subject to its investment policies set forth below, Janus Global High Yield Fund, Janus Global Strategic Income Fund, Janus US Flexible Income Fund and Janus US High Yield Fund may each invest without limit in Debt Securities and preferred stock rated below investment grade. Janus US Short-Term Bond Fund may invest up to 35% of its net asset value in Debt Securities rated below investment grade. These Funds may also purchase defaulted securities if, in the opinion of the relevant Sub Investment Adviser, it appears likely that the issuer may resume interest payments or other advantageous developments appear likely in the near term. Subject to its investment policy set forth below, the Janus Global Investment Grade Bond Fund may invest up to 30% in money market instruments (including short term Debt Securities listed or traded on a Regulated Market with a remaining effective maturity of 397 days or less) and up to 25% in high yield securities ( junk bonds ) rated B or higher by Moody s or S&P or, if unrated, determined by the Investment Adviser to be of comparable quality. This Fund may continue to hold securities that are downgraded below investment grade after purchase but may not make additional purchases of such securities unless such purchases fall within the 25% junk bond limit set forth above. Fixed Income Funds The Fixed Income Funds may invest in any of the types of securities set forth under Income Investing above subject to the following limitations. Although it is anticipated that the Fixed Income Funds (other than the Janus Global 12 High Yield Fund, Janus Global Investment Grade Bond Fund and Janus Global Strategic Income Fund) will invest Primarily in securities of US Issuers, each Fixed Income Fund (other than Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund and Janus Global Strategic Income Fund) may invest up to 25% of its net asset value in the securities of non-us issuers. Except for the Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund and Janus Global Strategic Income Fund, generally such non-us investments will be traded on Regulated Markets that are not considered Emerging Markets. Janus Global High Yield Fund. This Fund s primary investment objective is to obtain high current income. Capital appreciation is a secondary objective when consistent with the primary objective. Capital appreciation may result, for example, from an improvement in the credit standing of an issuer whose securities are held by the Fund or from a general lowering of interest rates, or both. Under normal circumstances, the Fund pursues its investment objectives by investing principally in Debt Securities or preferred stock of issuers located anywhere in the world which are either rated below investment grade or if unrated are of a similar quality to below investment grade as determined by the relevant Sub-Investment Adviser The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes as described in the Types and Description of Financial Derivative Instruments section herein, subject to the conditions and within the limits from time to time laid down by the Financial Regulator) to gain or hedge exposure to the investments contemplated in these investment policies. Due to its exposure to below investment grade securities and Emerging Markets, an investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Janus Global Investment Grade Bond Fund. This Fund s investment objective is to maximise total return. Under normal circumstances, the Fund pursues its investment objective by investing principally in fixed or floating rate Investment Grade bonds of issuers located anywhere in the world. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes as described in the Types and Description of Financial Derivative Instruments section herein, subject to the conditions and within the limits from time to time laid down by the Financial Regulator) to gain or hedge exposure to the investments contemplated in these investment policies. No more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus Global Strategic Income Fund. This Fund s investment objective is to maximise risk-adjusted income and total return. It pursues its objective by investing at least 50% of its total asset value in a range of fixed income and Debt Securities of issuers located anywhere in the world, including issuers located in Emerging Markets. The Fund may further invest in preferred shares and income producing common stocks, convertible bonds, common stocks, REITs and other equity related securities. Investment in REITs will not impact on the liquidity of the Fund and its ability to meet redemption requests. The Fund has no pre-established maturity or quality standards, and its average maturity and quality may vary substantially. The Fund may invest without limit in Debt Securities or preferred stock rated below investment grade or unrated Debt Securities of similar quality as determined by

77 the relevant Sub-Investment Adviser and may have substantial holdings in such securities. The Fund may employ investment techniques and instruments, such as trading in futures, options and swaps and other financial derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) or for investment purposes, subject to the conditions and within the limits from time to time laid down by the Financial Regulator. The Fund may invest up to 30% of its net asset value in securities traded on Emerging Markets. No more than 10% of the net asset value of the Fund may be invested in securities traded on one Emerging Market. An investment in the Fund should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Janus US Flexible Income Fund. This Fund s investment objective is to obtain maximum total return, consistent with preservation of capital. Total return is expected to result from a combination of current income and capital appreciation, although income will normally be the dominant component of total return. Investments in income producing securities of US Issuers will normally make up 80%, but at all times not less than two thirds of the Fund s net asset value. The Fund may invest in preferred stock, and all types of Government Securities and Debt Securities, including specifically Debt Securities that are convertible or exchangeable into equity securities and Debt Securities that carry with them the right to acquire equity securities as evidenced by warrants attached to or acquired with the securities. The Fund has no pre-established maturity or quality standards, and its average maturity and quality may vary substantially. The Fund may invest without limit in Debt Securities or preferred stock rated below investment grade or unrated Debt Securities of similar quality as determined by the relevant Sub- Investment Adviser and may have substantial holdings in such securities. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US High Yield Fund. This Fund s primary investment objective is to obtain high current income. Capital appreciation is a secondary objective when consistent with the primary objective. Capital appreciation may result, for example, from an improvement in the credit standing of an issuer whose securities are held by the Fund or from a general lowering of interest rates, or both. This Fund pursues its objectives by investing Primarily in Debt Securities or preferred stock rated below investment grade or unrated Debt Securities of similar quality of US Issuers as determined by the relevant Sub-Investment Adviser provided that at least 51% of its net asset value are invested in Debt Securities. The overall quality of the securities in this portfolio may vary greatly. See Income Investing for more information on the rating of the issuers or guarantees of the debt securities. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Janus US Short-Term Bond Fund. This Fund s investment objective is to seek as high a level of current income as is consistent with preservation of capital. It pursues its objective by investing Primarily in short- and intermediate-term Debt Securities of US Issuers. It is expected that this Fund s dollar-weighted average portfolio effective maturity will not exceed three years. Although it has no pre-established quality standards this Fund intends to invest primarily in short and intermediate-term investment grade Debt Securities. The Fund may employ investment techniques and instruments for investment purposes, such as trading in futures, options and swaps and other financial derivative instruments, subject to a limit of up to 10% of its net asset value and subject to the conditions and within the limits from time to time laid down by the Financial Regulator. Subject to the above, no more than 10% of the net asset value of the Fund may be invested in securities traded on any one Emerging Market and the aggregate amount of the Fund which may be invested in securities traded on the Emerging Markets is 20% of the net asset value of the Fund. Use of Temporary Defensive Measures With respect to each Fund, in certain circumstances, on a temporary and exceptional basis, when the relevant Sub-Investment Adviser deems it to be in the best interests of Shareholders, the Fund may not adhere to its investment policies as disclosed in the relevant fund summary above. Such circumstances include, but are not limited to, (1) when the Fund has high levels of cash as a result of subscriptions or earnings; (2) when the Fund has a high level of redemptions; or (3) when the relevant Sub-Investment Adviser takes temporary action to try to preserve the value of the Fund or limit losses in emergency market conditions or in the event of movements in interest rates. In such circumstances, a Fund may hold cash or invest in money market instruments, short-term debt securities issued or guaranteed by national governments located globally; short-term corporate debt securities such as freely transferable including freely transferable promissory notes, debentures, bonds (including zero coupon bonds), convertible and non-convertible notes, commercial paper, certificates of deposits, and bankers acceptances issued by industrial, utility, finance, commercial banking or bank holding company organizations. The Fund will only invest in debt securities that are rated at least investment grade by the primary rating agencies. During such circumstances, the Fund may not be pursuing its principal investment strategies and may not achieve its investment objective. The foregoing does not relieve the Funds of the obligation to comply with the regulations set forth in Schedule I. Investment Restrictions Each of the Funds investments will be limited to investments permitted by the UCITS Regulations as set out in Appendix 4. If the limits contained in Appendix 4 are exceeded for reasons beyond the control of the Company or as a result of the exercise of subscription rights, the Company shall adopt as a priority objective for its sales transactions the remedying of that situation, taking due account of the interests of shareholders. In the case of a conflict between investment policies stated elsewhere in this Prospectus and the investment limits set out in the UCITS Regulations, the more restrictive limitation shall apply. As long as the Shares are listed on the Irish Stock Exchange, each Fund shall comply with the Irish Stock Exchange s investment restrictions, including a prohibition on the taking of legal or management control of any underlying issuer. Any change in the above investment restrictions shall be subject to the prior approval of the Financial Regulator. 13

78 A Fund may not borrow money, grant loans, or act as guarantor on behalf of third parties, except as follows: foreign currency may be acquired by means of a back-to-back loan; and borrowings not exceeding 10% of the total net asset value of a Fund may be made on a temporary basis and the assets of the Fund may be charged or pledged as security for such borrowings. Unless otherwise provided in the investment policy section for a Fund, the Sub-Investment Advisers may only employ investment techniques and instruments, such as trading in futures, options and swaps and other financial derivative instruments for efficient portfolio management (i.e. reduction of risk, reduction of costs, generation of additional capital or income for the Fund) and the Sub-Investment Adviser is required to comply with the conditions and limits from time to time laid down by the Financial Regulator. Where a Fund is permitted to invest in financial derivative instruments for investment purposes, the Sub- Investment Adviser is required to comply with any limits set out within that Fund s investment policy and the conditions and limits from time to time laid down by the Financial Regulator. The restrictions that apply to each of the Funds in respect of the use of financial derivative instruments for investment purposes is summarised below: Funds not permitted to invest in financial derivative instruments for investment purposes 14 Funds permitted to invest up to 10% of NAV in financial derivative instruments for investment purposes Funds permitted to invest more than 10% of NAV in financial derivative instruments for investment purposes subject to a leverage limit of 100% of NAV for such investments INTECH European Risk Managed Core Fund* Janus Global Fundamental Equity Fund** Janus Asia Fund INTECH Global Risk Managed Core Fund* Janus Global Growth Fund Janus Emerging Markets Fund INTECH US Risk Managed Core Fund* Janus Global Life Sciences Fund Janus Europe Fund Janus Global Research Fund Janus Global Research (ex-japan) Fund Janus Global Technology Fund Janus US Fund Janus US All Cap Growth Fund Perkins Global Value Fund Janus US Balanced Fund INTECH Market Neutral Fund Janus US Research Fund Janus Extended Alpha Fund Janus US Twenty Fund Janus Global Research 130/30 Fund Janus US Venture Fund Janus Global High Yield Fund Perkins US Strategic Value Fund Janus Global Investment Grade Bond Fund Janus Global Real Estate Fund Janus Global Strategic Income Fund Janus US Flexible Income Fund Janus US High Yield Fund Janus US Short-Term Bond Fund * The Risk Managed Equity Funds do not seek to invest in warrants. However, a Fund may receive a warrant, for example through a corporate action. It is not intended that the Risk Managed Equity Funds will be leveraged through the use of warrants. ** This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate this Fund. A description of the techniques and instruments which must be complied with and which are at present authorised by the Financial Regulator is set out in Appendix 1 and a list of the Regulated Markets on which such financial derivative instruments may be quoted or traded is set out in Appendix 2. Furthermore, new techniques and instruments may be developed which may be suitable for use by a Fund in the future and a Fund may employ such techniques and instruments subject to the prior approval of and any restrictions imposed by, the Financial Regulator. The Company shall supply to a Shareholder on request supplementary information in relation to the quantitative risk management limits applied by it, the risk management methods used by it and any recent developments in the risk and yield characteristics for the main categories of investment. The global exposure of a Fund is calculated using the commitment approach. The use of derivatives for investment purposes may create leverage. To the extent contemplated in the risk management process, leverage or risk created through the use of derivatives may be measured using either the commitment approach or Value at Risk ( VaR ) method. If the commitment approach is used, leverage of the Fund cannot exceed the total net asset value of the Fund. The commitment approach calculates leverage by measuring the market value of the underlying exposures of the derivative instruments referred to above. If instead, the VaR method is used for the Fund, where relative VaR is used, the daily relative VaR of the Fund may not exceed twice the daily VaR of a comparable derivative-free portfolio or benchmark. Where absolute VaR is used, the Investment Adviser may chose to use a time horizon up to 20 days in which case the absolute VaR of the Fund may not exceed 20% of the Fund s total net asset value. VaR is a statistical methodology that predicts, using historical data, the likely maximum daily loss that the Fund could lose. The VaR is calculated to a 99% confidence level, meaning that there is a 1% statistical chance that the daily VaR limit may be exceeded. For the purposes of efficient portfolio management, the Sub-Investment Advisers may purchase securities or utilise efficient portfolio management techniques and instruments on the basis that settlement monies in respect of subscription orders received and accepted on behalf of the Company will be received on or before the Settlement Time for the relevant Fund and such purchases may be made with settlement of such transactions taking place on or before such Settlement Time. The purchase of such securities or the utilisation of efficient portfolio management techniques and instruments will be taken into account when calculating the investment limits and limits on efficient portfolio management techniques and instruments imposed on a Fund.

79 The Company may also, for purposes of hedging (whether against market movements, currency exchange, or interest rate risks or otherwise) or for other efficient portfolio management purposes (provided they are in accordance with the investment objectives of the Fund), enter into repurchase and reverse repurchase agreements and securities lending arrangements subject to the conditions and limits set out in Appendix I. Types and Description of Financial Derivative Instruments Below are examples of the types of financial derivative instruments that the Funds may purchase from time to time: Options: Options are rights to buy or sell an underlying asset or instrument for a specified price (the exercise price) during, or at the end of, a specified period. The seller (or writer) of the option receives a payment, or premium, from the buyer, which the writer keeps regardless of whether the buyer uses (or exercises) the option. A call option gives the holder (buyer) the right to buy the underlying asset from the seller (writer) of the option. A put option gives the holder the right to sell the underlying asset to the writer of the option. Options can trade on exchanges or in the OTC market and may be bought or sold on a wide variety of underlying assets or instruments, including financial indices, individual securities, and other financial derivative instruments, such as futures contracts, foreign currencies, forward contracts, structured investments (derivative securities which are specifically designed to combine the characteristics of one or more underlying securities in a single note) and yield curve options. Options that are written on futures contracts will be subject to margin requirements similar to those applied to futures contracts. Futures: Futures contracts provide for the future sale by one party and purchase by another party of a specified amount of an underlying asset at a specified price, date, and time. Entering into a contract to buy an underlying asset is commonly referred to as buying a contract or holding a long position in the asset. Entering into a contract to sell an underlying asset is commonly referred to as selling a contract or holding a short position in the asset. Futures contracts are considered to be commodity contracts. Futures contracts traded OTC are frequently referred to as forward contracts. The Funds may buy or sell financial futures and forwards contracts, index futures and foreign currency forward contracts. The Funds may enter into futures contracts and related options. To the extent that futures and options trading occurs on behalf of the Funds in the United States, the Investment Adviser has claimed an exemption under Commodity Futures Trading Commission ( CFTC ) Rule 4.13(a)(4) from registration as a commodity pool operator as defined by the CFTC and the National Futures Association, which regulates trading in future markets in the United States. Therefore, the Investment Adviser is not required to deliver a CFTC compliant disclosure document and a certified annual report to Shareholders in the Funds. The CFTC rule requires, among other things, that all Shareholders in the Funds meet the criteria as specified in the rule and that a notice of exemption be filed with the National Futures Association. It also requires that Shares in the Funds be exempt from registration under the Securities Act of 1933 and be offered and sold without marketing to the public in the United States. Except where specifically authorised by the Company, the Distributor or their respective agents, none of the Shares may be offered, sold, transferred or delivered, directly or indirectly, in the United States or to US Persons other than by JCM and its affiliates who may provide seed capital for the Funds. Swaps: Swaps are contracts in which two parties agree to pay each other (swap) the returns derived from underlying assets with differing characteristics. Most swaps do not involve the delivery of the underlying assets by either party, and the parties might not own the assets underlying the swap. The payments are usually made on a net basis so that, on any given day, the Fund would receive (or pay) only the amount by which its payment under the contract is less than (or exceeds) the amount of the other party s payment. Swap agreements are sophisticated instruments that can take many different forms. Common types of swaps in which the Fund may invest include, for example interest rate swaps, total return swaps, total rate of return index swaps, credit default swaps, currency swaps, and caps and floors. Risk Factors and Special Considerations Investors attention is drawn to the following risk factors and other special considerations which may affect the Funds. This does not purport to be an exhaustive list of the risk factors relating to investment in the Funds and investors attention is drawn to the description of the instruments set out in the section entitled Investment Objectives and Policies. A. General Investment Risks Investment Risk. There can be no assurance that the Funds will achieve their investment objective. The value of Shares of the all Funds and the income from them may rise or fall, as the capital value of the securities in which the Fund invests may fluctuate. The investment income of a Fund is based on the income earned on the securities it holds, less expenses incurred. Therefore, a Fund s investment income may be expected to fluctuate in response to changes in such expenses or income. As a commission may be chargeable on the purchase of Class A and Class I Shares, a CDSC levied on redemptions of Class B Shares, a dealing charge levied on subscriptions, redemptions or exchanges of Class Z shares and all Share Classes of the Janus Emerging Markets Fund and a short term trading fee may be levied on redemptions of Class A, Class B and Class I Shares, the difference at any one time between the purchase and redemption price of Shares means that an investment should be viewed as a medium- to long-term investment. The INTECH Market Neutral Fund, Janus Extended Alpha Fund and Janus Global Research 130/30 Fund may have particularly volatile performance as a result of their investment policies. High Yield Securities. The Funds generally have no pre-established minimum quality standards and may invest in securities rated below investment grade by the primary rating agencies (BB or lower by Standard & Poor s and Ba or lower by Moody s; See Appendix 3). Janus Global High Yield Fund, Janus Global Strategic Income Fund and Janus US Flexible Income Fund are not subject to any limit on the percentage of Debt Securities or preferred stock rated below investment grade, which may be held in its portfolio, and it may have substantial holdings of such non-investment grade securities. Janus US High Yield Fund will invest at least two thirds of its net asset value in Debt Securities or preferred stock rated below investment grade and may invest without limit in such securities. Janus US Short-Term Bond Fund may invest up to 35% of its net asset value in Debt Securities rated below investment grade. Each of the Equity & Balanced Funds (other than the Janus Global Research Fund, Janus Global Research (ex-japan) Fund and the Janus US Balanced Fund) may invest up to 15% of its net asset value in Debt Securities rated below investment grade, the Janus Extended Alpha Fund may invest up to 35% of its net asset value in Debt Securities (including high yield/high-risk bonds) rated above, below or at investment grade, the Janus Global Research Fund, Janus Global Research (ex-japan) Fund and Janus Global Research 130/30 Fund may invest up to 30% of its net asset value in Debt Securities 15

80 (including high yield/high-risk bonds) rated above, below or at investment grade and the Janus US Balanced Fund may invest up to 25% of its net asset value in Debt Securities rated below investment grade. The Sub-Investment Advisers may determine whether securities with different ratings from more than one agency and unrated securities shall be included in the limits set forth above or whether they are the equivalent of investment grade securities. An investment in a Fund that invests more than 30% of its net asset value in Debt Securities rated below investment grade should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. The value of securities rated below investment grade is generally more dependent on the ability of an issuer to meet interest and principal payments (i.e., credit risk) than is the case for higher quality securities. Issuers of such instruments may not be as strong financially as those issuing instruments with higher credit ratings. Investments in such companies may therefore be considered more speculative than higher quality investments. Issuers of lower rated securities will be more vulnerable to real or perceived economic changes, political changes or adverse developments specific to the issuer. Adverse publicity and investor perceptions, as well as new or proposed laws, may also have a greater negative impact on the market for lower quality securities. High yield debt securities frequently have call or redemption features that would permit an issuer to repurchase the security from a Fund. If a call were exercised by the issuer during a period of declining interest rates, a Fund may have to replace such called security with a lower yielding security, thus decreasing the net investment income to a Fund. High-yield securities may experience reduced liquidity. This may affect the value of these securities, make the valuation and sale of these securities more difficult and may result in greater volatility in these securities. Counterparty and Settlement Risk. The Company will be exposed to a credit risk on parties with whom it trades and will also bear the risk of settlement default. Counterparty risk involves the risk that a counterparty or third party will not fulfil its obligations to the Fund. A Fund may be exposed to counterparty risk through investments such as repurchase agreements, debt securities and financial derivative instruments, including various types of swaps, futures and options. The Investment Adviser or the relevant Sub-Investment Adviser may instruct the Custodian to settle transactions on a delivery free of payment basis where they believe that this form of settlement is appropriate. Shareholders should be aware, however, that this may result in a loss to a Fund if a transaction fails to settle and the Custodian will not be liable to the Fund or to Shareholders for such a loss, provided the Custodian has acted in good faith in making any such delivery or payment. A default may arise in relation to the institution with which cash is deposited by a Fund, the counterparty to an over-the-counter derivatives contract or repurchase or reverse repurchase agreement with a Fund may be unable or unwilling to make timely principal, interest or settlement payments, or otherwise to honour its obligations. In the event of the bankruptcy, or insolvency or financial difficulty of a counterparty, client money rules may not afford sufficient protection in relation to the cash deposited by a Fund with a third party. Similarly, the assets of a Fund may not be adequately segregated or ring-fenced from those of the counterparty or the counterparty s other clients. A Fund may experience delays or other difficulties in: recouping any cash deposited, or collateral or margin posted, with a counterparty, retrieving any securities lent to a counterparty or liquidating positions held with, or securities issued by, a counterparty. Furthermore, the enforcement of any netting, set-off or other rights may involve significant delays and expense and there is no guarantee that any such enforcement efforts would be successful. Risks of Investing in Financial Derivative Instruments. Financial derivative instruments, in general, involve special risks and costs and may result in losses to the Funds. The successful use of financial derivative instruments requires sophisticated management, and the Funds will depend on the ability of the Sub-Investment Advisers to analyse and manage derivatives transactions. The prices of financial derivative instruments may move in unexpected ways, especially in abnormal market conditions. In addition, correlation between the particular derivative and an asset or liability of the Funds may prove not to be what the Sub-Investment Advisers expected creating conceptually the risk of unlimited loss. Some financial derivative instruments are leveraged and therefore may magnify or otherwise increase investment losses to the Funds. Increased margin calls and unlimited risk of loss are also risks which may arise through the use of financial derivative instruments. Some Funds, such as the INTECH Market Neutral Fund, Janus Extended Alpha Fund and Janus Global Research 130/30 Fund, may hold short positions on securities exclusively through the use of financial derivatives instruments; and the risks inherent in the investment strategies of those Funds are not typically encountered in more traditional long only funds. Other risks arise from the potential inability to terminate or sell financial derivative instruments positions. A liquid secondary market may not always exist for the Funds, financial derivative instruments positions at any time. In fact, many over-the-counter instruments will not be liquid and may not be able to be closed out when desired. Over-the-counter instruments such as swap transactions also involve the risk that the other party will not meet its obligations to the Funds. The participants in over-the-counter markets are typically not subject to credit evaluation and regulatory oversight as are members of exchange based markets, and there is no clearing corporation which guarantees the payment of required amounts. This exposes the Funds to risk that a counterparty will not settle a transaction in accordance with its terms and conditions because of a dispute over the terms of the contract (whether or not bona fide) or because of a credit or liquidity problem, thus causing the Funds to suffer a loss. The Funds use of derivative contracts involves risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments. First, changes in the value of the derivative contracts in which the Funds invest may not be correlated with changes in the value of the underlying asset or if they are correlated, may move in the opposite direction than originally anticipated. Second, while some strategies involving financial derivative instruments may reduce the risk of loss, they may also reduce potential gains or, in some cases, result in losses by offsetting favourable price movements in portfolio holdings. Third, there is a risk that financial derivative instruments contracts may be mispriced or improperly valued and, as a result, the Funds may need to make increased cash payments to the counterparty. Finally, derivative contracts may cause the Funds to realize increased ordinary income or short-term capital gains (which are treated as ordinary income for Federal income tax purposes) and, as a result, may increase taxable distributions to shareholders. Derivative contracts may also involve legal risk and other risks described in this Prospectus, such as credit, currency, leverage, liquidity, index, settlement default and interest risk. Leverage Risk. With certain types of investments or trading strategies, relatively small market movements may result in large changes in the value of 16

81 an investment. Certain investments or trading strategies that involve leverage can result in losses that greatly exceed the amount originally invested. Liquidity Risk. Some of the markets in which the Company will invest are less liquid and more volatile than the world s leading stock markets and this may result in the fluctuation in the price of the shares. Certain securities may be difficult or impossible to sell at the time that the seller would like or at the price that the seller believes the security is currently worth. Index Risk. If a derivative is linked to the performance of an index, it will be subject to the risks associated with changes to that index. If the index changes, the Fund could receive lower interest payments or experience a reduction in the value of the derivative to below what the Fund paid. Certain indexed securities, including inverse securities (which move in the opposite direction to the index), may create leverage, to the extent that the increase or decrease in value at a rate that is a multiple of the changes in the applicable index. Synthetic Short Sales Risk. Certain Funds may sell securities short synthetically through the use of financial derivative instruments. Synthetic short sales are speculative transactions and involve special risks, including a greater reliance on the ability to anticipate accurately the future value of a security. A Fund will suffer a loss if it synthetically sells a security short and the value of the security rises rather than falls. A Fund s losses are potentially unlimited in a synthetic short sale transaction. A Fund s use of synthetic short sales may involve leverage risk. Swaps. Swap agreements entail the risk that a party will default on its payment obligations to a Fund. If the other party to a swap defaults, a Fund would risk the loss of the net amount of the payments that it contractually is entitled to receive. Swap agreements also bear the risk that a Fund will not be able to meet its obligation to the counterparty. There is no assurance that swap counterparties will be able to meet their obligations pursuant to swap contracts or that, in the event of default, a Fund will succeed in pursuing contractual remedies. A Fund thus assumes the risk that it may be delayed in or prevented from obtaining payments owed to it pursuant to swap contracts. A Fund s use of swaps may involve leverage risk. When-issued, Delayed-Delivery and Forward Commitment Securities. Each Fund may purchase securities on a when-issued, delayeddelivery or forward commitment basis for the investment purposes or efficient portfolio management. Purchase of securities on such basis may expose a Fund to risk because the securities may experience fluctuations in value prior to their actual delivery. Purchasing securities on a when-issued, delayeddelivery or forward commitment basis can involve the additional risk that the yield available in the market when the delivery takes place may be higher than that obtained in the transaction itself. There is also a risk that the securities may not be delivered and that the Fund may incur a loss. Mortgage Dollar Rolls. Mortgage dollar rolls involve an agreement to purchase or sell a mortgage related security in the future at a pre-determined price and the Company will be unable to exploit market movements in the price of the particular security in respect of which a mortgage dollar roll transaction has been executed. Mortgage dollar rolls are also subject to the risks identified in the section headed Counterparty and Settlement Risks above. Warrants. Certain of the Funds such as the Fixed Income Funds and the Janus Global Real Estate Fund may acquire warrants representing more than 5% of their respective net asset value. An investment in the Funds should not constitute a substantial proportion of an investment portfolio and may not be appropriate for all investors. Small Capitalisation Securities. Many attractive investment opportunities may be smaller, start-up companies offering emerging products or services. Smaller or newer companies may suffer more significant losses as well as realise more substantial growth than larger or more established issuers because they may lack depth of management, be unable to generate funds necessary for growth or potential development or be developing or marketing new products or services for which markets are not yet established and may never become established. In addition, such companies may be insignificant factors in their industries and may become subject to intense competition from larger or more established companies. Securities of smaller or newer companies may have more limited trading markets than the markets for securities of larger or more established issuers, and may be subject to wide price fluctuations. Certain of the Funds may invest in securities of smaller or newer companies which are not traded on a Regulated Market subject to the investment restrictions specified in this Prospectus. Investments in the companies described above tend to be more volatile and somewhat more speculative. Portfolio Turnover. Certain of the Funds may enter into short term securities transactions for various reasons resulting in increased portfolio turnover. Portfolio turnover is affected by market conditions, changes in the size of the Fund, the nature of the Fund s investment and the investment style of the personnel at the Investment Adviser and the Sub-Investment Adviser. Increased portfolio turnover may result in higher costs for brokerage commissions, dealer mark-ups and other transaction costs and may result in taxable capital gains. Higher costs associated with increased portfolio turnover may offset gains in the Fund s performance. Indexed/Structured Securities. These are typically short to intermediate term debt securities whose value at maturity or interest rate is linked to currencies, interest rates, equity securities, indices, commodity prices or other financial indicators. Such securities may be positively or negatively indexed (e.g. their value may increase or decrease if the reference index or instrument appreciates). Indexed/structured securities may have return characteristics similar to direct investment in the underlying instruments and may be more volatile than the underlying instruments. A Fund bears the market risk of an investment in the underlying instruments, as well as the credit risk of the issuer. Structured Investments. A structured investment is a security having a return tied to an underlying index or other security or asset class. Structured investments generally are individually negotiated agreements and may be traded over-the-counter. Structured investments are organised and operated to restructure the investment characteristics of the underlying security. This restructuring involves the deposit with or purchase by an entity, such as a corporation or trust, or specified instruments (such as commercial bank loans) and the issuance by that entity or one or more classes of securities ( structured securities ) backed by, or representing interests in, the underlying instruments. The cash flow on the underlying instruments may be apportioned among the newly issued structured securities to create securities with different investment characteristics, such as varying maturities, payment priorities and interest rate provisions and the extent of such payments made with respect to structured securities is dependent on the extent of the cash flow on the underlying instruments. Because structured securities typically involve no credit enhancement, their credit risk generally will be equivalent to that of the underlying instruments. Investments in structured securities are generally a class of structured securities that is either subordinated or unsubordinated to the right of payment of another class. Subordinated structured securities typically have higher yields and present greater risks than unsubordinated structured securities. Structured securities are typically sold 17

82 in private placement transactions and there currently is no active trading market for structured securities. Investments in government and government-related restructured debt instruments are subject to special risks, including the inability or unwillingness to repay principal and interest, requests to reschedule or restructure outstanding debt and requests to extend additional loan amounts. Structured investments include a wide variety of instruments such as inverse floaters and collateralised debt obligations. Loan Participations. The Funds may invest in floating rate commercial loans arranged through private negotiations between a corporation or other type of entity and one or more financial institutions ( Lender ). Such investment is expected to be in the form of participations in, or assignment of, the loans, which may or may not be securitised ( Participations ). The Participations shall be liquid and will provide for interest rate adjustments at least every 397 days. They are subject to the risk of default by the underlying borrower and in certain circumstances to the credit risk of the Lender if the Participation only provides for the Fund having a contractual relationship with the Lender, not the borrower. In connection with purchasing Participations, the Funds may have no right to enforce compliance by the borrower with the terms of the loan agreement relating to the loan nor any rights of set-off against the borrower. Thus, the Funds may not directly benefit from any collateral supporting the loan in which they have purchased Participations. The Funds will purchase such Participations only through recognised, regulated dealers. Currency Conversion and Hedging. The US Dollar Classes (A$acc, A$inc and A$dis, B$acc, B$inc and B$dis, I$acc, I$inc and I$dis) of the Funds are denominated in US Dollars, the Euro Classes (A acc, A inc, B acc, B inc, I acc and I inc) are denominated in Euro and the Pound Sterling Classes (A dis, B dis and I dis) are denominated in Pound Sterling. However, each Fund, other than the Janus Europe Fund and INTECH European Risk Managed Core Fund generally operates the investment portfolio in US Dollars. The Janus Europe Fund and INTECH European Risk Managed Core Fund generally operate their investment portfolio in Euro. As long as a Fund holds securities or currencies denominated in a currency other than the denomination of a particular Class, the value of such Class may be affected by the value of the local currency relative to the currency in which that Class is denominated. The Company intends to use currency hedging techniques to remove the currency exposure against the U.S. Dollar/Euro as applicable in order to limit currency exposure between the currencies of a Fund s investment portfolio and the Base Currency of a Fund but this may not be possible or practicable in all cases. In order to limit currency exposure between the currency of Share Classes (other than the Class Z$acc and Z acc Shares) and the U.S. Dollar/Euro as applicable, hedged currency Share Classes may be created. The relevant currency of the Share Class may be hedged provided that (1) it is in the best interests of the Shareholders to do so; (2) the over-hedged position will not exceed 105% of the net asset value of the Share Class. If on an exceptional basis the level of currency exposure hedged exceeds 105 per cent. of the net asset value of the Share Class as a result of market movements in the underlying investments of the relevant Fund or trading activity in respect of the Shares of the Fund, the Company shall adopt as a priority objective the managing back of the leverage to 100 per cent. taking due account of the interests of the Shareholders; and (3) over or under hedged positions will not be carried forward from month to month. Otherwise, a US Dollar Class, Euro Class or Pound Sterling Class will not be leveraged as a result of the transactions entered into for the purposes of hedging against the exposure of the US Dollar, Euro or Pound Sterling to the US Dollar/Euro as applicable. While the Company will attempt to hedge against this currency exposure, there can be no guarantee that the value of the US Dollar Classes, Euro Classes or Pound Sterling Classes will not be affected by the value of the US Dollar, Euro or Pound Sterling relative to the US Dollar/Euro as applicable. Any costs related to such hedging shall be borne separately by the relevant Class of Shares. All gains/losses which may be made by any Class of any Fund as a result of such hedging transactions shall accrue to the relevant Class of Shares. The use of class hedging strategies may substantially limit holders of Shares in the relevant Class from benefiting if the currency of that Class falls against that of the U.S. Dollar, Euro and/or the currency in which the assets of the Fund are denominated. Nothing herein shall limit a Fund s ability to hold ancillary liquid assets (subject to the investment restrictions described in the section entitled, Investment Restrictions ) or to use any of the techniques or instruments for efficient portfolio management as described in Appendix 1 under Protection Against Exchange Rate Risks. The following additional risks can occur from foreign exchange exposure: (i) basis risk the price fluctuation of currency forward contracts does not perfectly offset the price fluctuation of the currency; (ii) rounding US Dollar exposure of the Euro/ Pound Sterling class may not be exactly 100% hedged each business day as it is impossible to hedge against current day market movements until after the valuation point: (iii) timing hedging is designed to work over time and should not be analysed over short time periods in isolation; and (iv) shareholder transactions flows into and out of Euro/ Pound Sterling classes will generally result in a requirement to increase or reduce the currency forward contract. When this additional trade is executed at a rate different from the forward rate at valuation point, the total hedging performance is impacted. When new flows occur in the Fund, they need to be invested as close as possible to the close of trading on trade date of the shareholder transaction. Concentration of Investments. Each of the Funds seeks to maintain a diversified portfolio of investments. However, certain of the Funds may be less diversified in their investments than other Funds. Increased concentration of investments by a Fund will increase the risk of that Fund suffering proportionately higher loss should a particular investment decline in value or otherwise be adversely affected. Umbrella Structure of the Company and Cross-Liability Risk. Each Fund will be responsible for paying its fees and expenses regardless of the level of its profitability. The Company is an umbrella fund with segregated liability between Funds and under Irish law the Company generally will not be liable as a whole to third parties and there generally will not be the potential for cross liability between the Funds. Notwithstanding the foregoing, there can be no assurance that, should an action be brought against the Company in the courts of another jurisdiction, the segregated nature of the Funds would necessarily be upheld. In addition, whether or not there is a cross-liability between Funds, proceedings involving the Fund could involve the Company as a whole which could potentially affect the operations of all Funds. Income Equalisation. All Funds operating an income or distributing share class intend to operate income equalisation. Income equalisation prevents the dilution of current shareholders earnings by applying a portion of the proceeds from Shares issued or redeemed to undistributed income. When Shares are purchased or redeemed the price may include an element of income. Equalisation is this element of income paid out to shareholders who have purchased or redeemed during this period. 18

83 Fair Value Pricing. Details of the method of calculation of the net asset value per Share of a Fund are set out in the section of the Prospectus entitled Determination of Net Asset Value. If a security is valued using fair value pricing in order to adjust for stale pricing which may occur between the close of foreign exchanges and the relevant Valuation Point, a Fund s value for that security is likely to be different than the last quoted trade price for that security. The following Funds regularly use systematic fair valuation: Janus US All Cap Growth Fund, Janus US Balanced Fund, Janus Global Fundamental Equity Fund 1, Janus Global Life Sciences Fund, Janus Global Real Estate Fund, Janus Global Research Fund, INTECH Global Risk Managed Core Fund, Janus Global Technology Fund, Janus Europe Fund and Janus US Twenty Fund. However, other Funds may use systematic fair valuation from time to time. Taxation Risk. Each of the Funds may invest in securities that produce income that is subject to withholding and/or income tax. Shareholders and potential investors are advised to consult their professional advisers concerning possible taxation or other consequences of subscribing, holding, selling, converting or otherwise disposing of Shares in the Funds. A summary of some of the US and Irish tax consequences applicable to the Company is set out in the section entitled Tax Information. However Shareholders and potential investors should note that the information contained in that section does not purport to deal with all of the tax consequences applicable to the Company or all categories of investors, some of whom may be subject to special rules. Subscription Default Risk. Each Fund will bear the risk of subscription default. For the purposes of efficient portfolio management, the Investment Adviser or the relevant Sub-Investment Adviser may purchase securities or utilise efficient portfolio management techniques and instruments on the basis that settlement monies will be received on the relevant settlement date. In the event that such settlement monies are not received by the Fund on or by the relevant settlement date, the Fund may have to sell such purchased securities or close out its position under such efficient portfolio management techniques which could result in a loss to the Fund notwithstanding that a subscriber who defaults in settling a subscription payment may be liable to the Fund for any such loss. Rounding. Cash dividends payable in respect of a particular distributing Class of Shares of a Fund will be rounded to the nearest two decimal places. Dividends reinvested in Shares of the relevant distributing Class of Shares in accordance with the procedures outlined in the section entitled Distribution Policies will be rounded to three decimal places. Expenses Associated with Investment in the Funds. Details of the fees and expenses payable out of the assets of the Funds and in respect of investments in the Funds are set out in the section entitled Fees and Expenses. Investors of Class Z Shares and all Share Classes in the Janus Emerging Markets Fund should note that a dealing charge may be charged on the subscription, redemption or exchanges of Shares. In other cases certain costs such as transaction costs associated with the acquisition of investments by a Fund following receipt and acceptance of subscription orders or with the disposal of investments by a Fund required to be made in order to satisfy redemption requests are borne by the Fund as whole and not by the particular investors subscribing for Shares or redeeming Shares in the relevant Fund. In addition investors should note that in the case of a redemption request with respect to Shares representing 5% or more of a Fund, the Company may deduct from such redemption proceeds the transaction costs of the Fund disposing of portfolio securities to meet the redemption request if the Fund has net redemptions on the relevant Business Day. Excessive and/or Short Term Trading. Prospective investors and Shareholders attention is drawn to the risks associated with excessive and/or short term trading. Please see Excessive and/or Short Term Trading for additional information. Securities Lending Arrangements. In participating in any securities lending programme, assets of the Company may be transferred to certain borrowers. Notwithstanding the requirement to receive collateral from any borrower, there are certain risks inherent in the lending of securities such as the default or failure of a borrower or securities lending agent. In addition, there are certain market risks associated with the investment of any collateral received from a borrower which could result in a decline in the value of the invested collateral, resulting in a loss to the Company. Special Situations. Certain of the Funds may invest in special situations or turnarounds such as development of a new product, a technological breakthrough or management change. A Fund s performance could suffer if the anticipated development in a special situation investment does not occur or does not attract the expected attention. B. Specific Fund Risks Industry Risk. Janus Global Life Sciences Fund concentrates its investments in related industry groups. As a result, companies in its portfolio may share common characteristics and react similarly to market developments. For example, many companies with a life science orientation are highly regulated and may be dependent upon certain types of technology. As a result, changes in government funding or subsidies, new or anticipated legislative changes, or technological advances could affect the value of such companies. This Fund s returns, therefore, may be more volatile than those of a less concentrated portfolio. Although Janus Global Technology Fund does not concentrate its investments in specific industries, it may invest in companies that react similarly to certain market pressures. For example, competition among technology companies may result in increasingly aggressive pricing of their products and services, which may affect the profitability of companies in the Fund s portfolio. In addition, because of the rapid pace of technological development, products or services developed by companies in the Fund s portfolio may become rapidly obsolete or have relatively short product cycles. This Fund s returns, therefore, may also be more volatile than a Fund that does not invest in similarly related companies. Janus Global Real Estate Fund concentrates its investments in companies engaged in or related to the property industry, or which own significant property assets. As a result, companies in its portfolio may share common characteristics and react similarly to market developments in the property industry. For example, the share price of REITs and other property related companies may fall because of a failure of borrowers to pay their loans and poor management. In addition, property values may fall due to increasing vacancies or declining rents resulting from economic, legal, cultural or technological developments. This Fund s returns, therefore, may be more volatile than those of a less concentrated portfolio. Risks relating to REITs and other Property Related Companies. The prices of equity REITs and other property related companies are affected by changes in the value of the underlying property owned by the REITs/ property related companies and changes in capital markets and interest rates. The prices of mortgage REITs and other property related companies are affected by the quality of any credit they extend, the creditworthiness of 1 This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate this Fund. 19

84 the mortgages they hold, as well as by the value of the property that secures the mortgages. Under certain tax legislation, REITs may avoid tax on the income they distribute if certain conditions are made. For example, under the US Internal Revenue Code of 1986, as amended (the Code ), a US REIT is not taxed in the US on income it distributes to its shareholders if it complies with several requirements relating to its organisation, ownership, assets and income and a requirement that it generally distribute to its shareholders at least 90% of its taxable income (other than net capital gains) for each taxable year. However the US REIT could fail to qualify for tax-free pass-through of income under, for example, the Code. Such a failure would result in the taxation of income of a disqualified US REIT s distributed income at the US REIT level. While the Janus Global Real Estate Fund will not invest in real property directly, the Fund may be subject to risks similar to those associated with the direct ownership of real property (in addition to securities market risks) because of its policy of concentrating its investments in the real estate industry. In addition to these risks, equity REITs and other property related companies may be affected by changes in the value of the underlying property owned by the trusts, while mortgage REITs and other property related companies may be affected by the quality of any credit they extend. Further, REITs and other property related companies are dependant upon management skills and generally may not be diversified. REITs and other property related companies are also subject to heavy cash flow dependency, defaults by borrowers and self-liquidation. There is also the risk that borrowers under mortgages held by a REIT/property related company or lessees of a property that a REIT/ property related company owns may be unable to meet their obligations to the REIT/property related company. In the event of a default by a borrower or lessee, the REIT/property related company may experience delays in enforcing its rights as a mortgagee or lessor and may incur substantial costs associated with protecting its investments. In addition to the foregoing risks, certain special purpose REITs/property related companies in which the Fund may invest may have their assets in specific real property sectors, such as hotel REITs/property related companies, nursing home REITs/ property related companies or warehouse REITs/property related companies, and are therefore subject to the risks associated with adverse developments in these sectors. The ability to trade REITs and other property related companies in the secondary market can be more limited than other stocks. For example, the liquidity of REITs on the major US stock exchanges is on average similar to trading small capitalisation stocks on the Russell 2000 Index. Emerging Market Risks. Certain of the Funds invest in Emerging Markets, with some Funds being permitted to invest up to 100% of its net asset value in such countries. Such investments in Emerging Markets may involve higher degrees of risk including, but not limited to: Non-US Dollar Currency Risk/non-Euro Currency Risk. A Fund, other than the Janus Europe Fund and the INTECH European Risk Managed Core Fund, may buy the local currency when it buys a security denominated in a currency other than the US Dollar and sell the local currency when it sells the security. Since each Fund s, other than the Janus Europe Fund and the INTECH European Risk Managed Core Fund base currency is the US Dollar, as long as a Fund holds a non- US Dollar denominated security, its value will be affected by the value of the local currency relative to the US Dollar. In the case of the Janus Europe Fund and the INTECH European Risk Managed Core Fund, these Funds may buy the local currency when it buys a security denominated in a currency other than the Euro and sell the local currency when it sells the security. Since the Fund s base currency is the Euro, as long as the Fund holds a non-euro denominated security, its value will be affected by the value of the local currency relative to the Euro. Political and Economic Risk. Investments in certain countries, particularly Emerging Markets, may be subject to heightened political and economic risks. In some countries, there is the risk that the government may take over the assets or operations of a company or that the government may impose taxes or limits on the removal of a Fund s assets from that country. Subject to the limitations on investments set forth above under Investment Objectives and Policies of the Funds, the Funds may invest in Emerging Markets. Emerging Markets involve risks such as immature economic structures, national policies restricting investments by foreigners, and different legal systems. The marketability of quoted shares in Emerging Markets may be limited as a result of wide dealing spreads, the restricted opening of stock exchanges, a narrow range of investors and limited quotas for foreign investors. Therefore, a Fund may not be able to realise its investments at prices and times that it would wish to do so. Some Emerging Markets may also have different clearance and settlement procedures, and in certain countries there have been times when settlements have been unable to keep pace with the volume of securities transactions, making it difficult to conduct transactions. Costs associated with transactions in Emerging Market securities are generally higher than those associated with transactions in developed country securities. Investment in securities issued by companies in Emerging Markets also be subject to dividend withholding or confiscatory taxes, currency blockage and/or trade restrictions. Regulatory Risk and Legal Framework. There may be less government supervision of markets in Emerging Markets, and issuers in such markets may not be subject to the uniform accounting, auditing, and financial reporting standards and practices applicable to issuers in the developed countries. There may be less publicly available information about issuers in Emerging Markets. The legislative framework in Emerging Markets for the purchase and sale of investments and in relation to the beneficial interests in those investments may be relatively new and untested and there can be no assurance regarding how the courts or agencies of Emerging Markets will react to questions arising from a Fund s investments in such countries and arrangements contemplated in relation thereto. Laws, orders, rules, regulations and other legislation currently regulating investment in an Emerging Market may be altered, in whole or in part, and a court or other authority of an Emerging Market may interpret any relevant or existing legislation in such a way that the investment contemplated is rendered illegal, null or void, retroactively or otherwise or in such a way that the investment of a Fund is adversely affected. Legislation regarding companies in Emerging Markets, specifically those laws in respect of the fiduciary responsibility of administrators and disclosure may be in a state of evolution and may be of a considerably less stringent nature than corresponding laws in more developed countries. Market Risk. Certain markets, particularly those of Emerging Markets, may be less liquid and more volatile than developed country markets. Such markets may require payment for securities before delivery and delays may be encountered in settling securities transactions. There may be limited legal recourse against an issuer in the event of a default on a debt instrument. 20

85 Custodial Risk. A Fund may invest in markets where custodial and/or settlement systems are not fully developed. There is no guarantee that any arrangements made, or agreement entered into, between the Custodian and any sub-custodian in such markets will be upheld by a court of any Emerging Market or that judgement obtained by the Custodian or the Company against any such sub-custodians in a court of any competent jurisdiction will be enforced by a court of an Emerging Market. Exchange Control Repatriation Risk. It may not be possible for a Fund to repatriate capital, dividends, interest and other income from a country in which an investment has been made or governmental consents may be required to do so. This can occur in the case of investments in Emerging Markets. A Fund could be adversely affected by delays in obtaining or the inability to obtain required governmental consents for the repatriation of funds or by any official intervention affecting the process of settlement transactions. Economic or political conditions can lead to the revocation or variation of a consent granted prior to an investment being made in any particular country or to the imposition of new restrictions. In addition to the risks disclosed above, investments in securities of Russian issuers may involve a particularly high degree of risk and special considerations not typically associated with investing in more developed markets, many of which stem from Russia s continuing political and economic instability and the slow paced development of its market economy. Investments in Russian securities should be considered highly speculative. Such risks and special considerations include: (a) delays in settling portfolio transactions and the risk of loss arising out of Russia s system of share registration and custody; (b) pervasiveness of corruption, insider trading, and crime in the Russian economic system; (c) difficulties associated with obtaining accurate market valuations of many Russian securities, based partly on the limited amount of publicly available information; (d) the general financial condition of Russian companies, which may involve particularly large amounts of inter-company debt; (e) the risk that the Russian tax system will not be reformed to prevent inconsistent, retroactive and/or exorbitant taxation or, in the alternative, the risk that a reformed tax system may result in the inconsistent and unpredictable enforcement of the new tax laws, and (f ) the risk that the government of Russia or other executive or legislative bodies may decide not to continue to support the economic reform programmes implemented since the dissolution of the Soviet Union. A risk of particular note with respect to direct investment in Russian securities is the way in which ownership of shares of companies is normally recorded. Ownership of shares (except where shares are held through depositories) is defined according to entries in the company s share register and normally evidenced by share extracts from the register or, in certain limited circumstances, by formal share certificates. However, there is no central registration system for shareholders and these services are carried out by the companies themselves or by registrars located throughout Russia. The share registrars are controlled by the issuer of the securities, and investors are provided with few legal rights against such registrars. The law and practice relating to registration of shareholdings are not well developed in Russia and registration delays and failures to register shares can occur, which could expose the Company to potential loss. The stock markets in mainland China are emerging markets which are undergoing rapid growth and changes. This may lead to trading volatility, difficulties in settlement and in interpreting and applying the relevant regulations. In addition, there is a lower level of regulation and enforcement activity in these securities markets compared to more developed international markets. There exist controls on foreign investment in China and limitations on repatriation of invested capital. Less audited information may be available in respect of companies or enterprises located in China. The securities industry in China is relatively young and it is not, therefore, possible to assess how well the Chinese stockbrokers and other intermediaries and regulatory authorities will perform their respective roles. The value of the investments may be affected by uncertainties arising from political and social developments in China or changes in Chinese law or regulations, in particular: (i) China is controlled by the Communist Party of China and its present rules and regulatory climate may change without advance notice; (ii) the legal system in China is underdeveloped by Western standards; and (iii) the Chinese economy is still undergoing restructuring from a system of rigid, centralised, planned economy to a mixed economy. It may be more difficult to obtain and/or enforce a judgment in a court outside the investor s home jurisdiction and even if a judgment is obtained in a court within the investor s home jurisdiction, such judgment may not be abided by outside the investor s home jurisdiction. Proprietary Trading Model Risk. The Risk Managed Equity Funds and INTECH Market Neutral Fund use a proprietary mathematical process to implement their respective investment objectives. This process does not guarantee any particular results. Additionally, the rebalancing techniques used by the Sub-Investment Adviser of these Funds may result in a higher portfolio turnover rate and related expenses compared to traditional buy and hold or index fund strategies. A higher portfolio turnover rate increases the likelihood of higher gains or losses for investors. There is a risk that if INTECH s method of identifying stocks with higher volatility than the benchmark or its method of identifying stocks that tend to move in the same or opposite direction relative to each other (correlation) does not result in selecting stocks with continuing volatility or expected correlation, the Funds may not outperform the benchmark index. In addition, others may attempt to utilise public information related to INTECH s investment strategy in a way that may affect performance. Interest Risk and Credit Risk. The performance of the Fixed Income (and the debt or interest bearing component of the Equity & Balanced Funds and Janus Global Real Estate Fund, if any) depends primarily on interest rate risk and credit risk. Interest rate risk is the risk that the value of a portfolio will fluctuate in response to changes in interest rates. Generally, the value of Debt Securities will tend to decrease in value when interest rates rise and increase in value when interest rates fall. Shorter term securities are less sensitive to interest rate changes than longer term securities, but they also usually offer lower yields. Subject to applicable maturity restrictions, each Fund will vary the average maturity of its portfolio based on a Sub-Investment Adviser s analysis of interest rate trends and other factors. Each of the Fixed Income Fund s net asset value per Share and yield (and that of the Debt Securities component of other Funds, if any) also depends, in part, on the quality of its investments, or credit risk. Credit risk is the risk that an issuer will be unable to make principal and interest payments when due. While US Government Securities generally are of the highest quality, Government Securities that are not backed by the full faith and credit of the US government and other Debt Securities, including those of non-us governments, may be affected by the creditworthiness of the issuer. The ratings of debt obligations by Standard & Poor s and Moody s are generally accepted measures of the credit risk of such securities; more information about Standard & Poor s and Moody s ratings is set forth in Appendix 3. In general, however, because Janus Global High Yield Fund, Janus Global Strategic Income Fund, Janus US High Yield Fund and Janus US Flexible Income Fund may invest significantly in Debt Securities and preferred stock rated below investment grade, their net asset value can be expected to fluctuate more than the other Fixed Income Funds. Distributions. Please note that the past distributions of each Share Class are not necessarily a guide to future distributions which may be made in relation to each Share Class. 21

86 Portfolio Transactions Investment Decisions Investment decisions for a Fund and for the other investment management clients of the Sub-Investment Advisers are made independently for each client. If, however, a number of accounts managed by the Sub-Investment Advisers are contemporaneously engaged in the purchase or sale of the same security, the orders may be aggregated and/or the transactions may be averaged as to price and allocated to each client in accordance with allocation procedures adopted by each of the Sub-Investment Advisers. Each of the Sub-Investment Advisers has adopted procedures that govern the allocation of IPOs among accounts. The procedures are designed to give portfolio managers flexibility in determining which accounts participate in IPOs based upon the portfolio manager s account management style and factors deemed relevant by the portfolio manager, which include but are not limited to an account s asset size, investment objective, available cash, risk profile and whether the account is of a size sufficient to permit the allocation of a meaningful investment position or is so large that an allocation would be de minimis. The practical effect of these procedures (coupled with the current market situation of IPOs generally being issued by companies with smaller capitalisation) is that most IPOs are allocated to small asset sized accounts where the size of the investment will be meaningful. Brokerage and Research Services Purchases and sales of securities on behalf of each Fund are executed by broker-dealers selected by the Sub-Investment Advisers. Broker-dealers are selected on the basis of their ability to obtain best price and execution for a Fund s transactions and recognising brokerage, research and other services provided to the Fund and to the Sub-Investment Advisers other clients. The Sub-Investment Advisers may also consider payments made by brokers effecting transactions for a Fund (1) to the Fund or (2) to other persons on behalf of the Fund for services provided to the Fund for which it would be obligated to pay. The Sub-Investment Advisers may also consider sales of Shares of a Fund or other fund advised by the Sub-Investment Advisers as a factor in the selection of broker-dealers to execute transactions. Soft dollar transactions occur when the Investment Adviser or a Sub- Investment Adviser uses certain investment research services, which assist in the management of the Funds portfolio investments, which are paid for by certain brokers. These services may include, for example, research and analysis of the relative merits of individual shares or markets or the use of computer and other information facilities. In return, the Investment Adviser or the relevant Sub-Investment Adviser places a proportion of business with these brokers including transactions relating to the Funds investments. Where the Investment Adviser or any of the Sub-Investment Advisers enters into soft commission arrangements they will ensure that (1) the broker or counterparty to the arrangement has agreed to provide best execution to the Company; (2) benefits provided under the arrangements assist in the provision of investment services to the Company; and (3) there is appropriate disclosure in the periodic reports issued by the Company as required by applicable law. In the US over-the-counter market, the Funds deal with responsible primary market makers unless a more favourable execution or price is believed to be obtainable. The Funds may buy securities from or sell securities to dealers acting as principal, except dealers with which its Directors are affiliated. Conflicts of Interest The Investment Adviser, Sub-Investment Advisers, Custodian, Distributor, Distribution Agents or Administrator may from time to time act as investment adviser, sub-investment adviser, custodian, administrator, company secretary, dealer or distributor in relation to, or be otherwise involved in, investment companies or collective investment schemes other than the Company which have similar investment objectives to those of the Company or any Fund. The Investment Adviser or the Sub-Investment Advisers may hold Shares in any Fund. In addition, JCM manages accounts which engage in short sales. The simultaneous management of long and short portfolios create potential conflicts of interest, including the risk that share sale activity could adversely affect the market value of long positions held by the Fund. It is, therefore, possible that any of them may, in the course of business, have potential conflicts of interests with the Company and a Fund. Each will, at all times, have regard in such event to its obligations to the Company and the Fund and will ensure that such conflicts are resolved fairly. In addition, any of the foregoing may deal, as principal or agent, with the Company in respect of the assets of a Fund, provided that such dealings are carried out as if effected on normal commercial terms negotiated at arm s length. Such dealings must be in the best interests of Shareholders. Conflicts of interest will be resolved fairly and in the best interests of Shareholders. Dealings will be deemed to have been effected on normal commercial terms negotiated at arm s length if: (1) a certified valuation of a transaction by a person approved by the Custodian as independent and competent is obtained; or (2) the transaction is executed on best terms on an organised investment exchange in accordance with the rules of such exchange; or (3) where (1) and (2) are not practical, the transaction is executed on terms which the Custodian is, or the Directors in the case of a transaction involving the Custodian are, satisfied are normal commercial terms negotiated at arm s length and are in the best interests of Shareholders. The Investment Adviser, the Sub-Investment Advisers, and/or their affiliates may invest in, directly or indirectly, or manage or advise other investment funds or accounts which invest in assets which may also be purchased or sold by the Company. Neither the Investment Adviser, the Sub-Investment Advisers, nor any of their affiliates is under any obligation to offer investment opportunities of which any of them becomes aware to the Company or to account to the Company in respect of (or share with the Company or inform the Company of ) any such transaction or any benefit received by any of them from any such transaction, but will allocate any such opportunities on an equitable basis between the Company and other clients. The Articles of Association provide that a Director may be a party to any transaction or arrangement with the Company or in which the Company is interested, provided that he has disclosed to the Directors the nature and extent of any material interest which he may have. A Director may not vote in respect of any contract in which he has a material interest. However, a Director may vote in respect of any proposal concerning any other company in which he is interested, directly or indirectly, whether as an officer or shareholder or otherwise provided that he is not the holder of 5% or more of the issued shares of any class of such company or of the voting rights available to members of such company. A Director may also vote in respect of (1) any proposal concerning an offer of shares in which he is interested as a participant in an underwriting or sub-underwriting arrangement; (2) the giving of any security, guarantee or indemnity to a third party relating to a debt obligation to the Company for which the Director has assumed responsibility in whole or in part; and (3) the giving of any security, guarantee or indemnity to the Director in respect of money lent by him to the Company or any of its 22

87 associated companies or obligations incurred by such Director at the request of or for the benefit of the Company or any of its associated companies. At the date of this Prospectus other than as disclosed below, no Director has any interest, beneficial or non-beneficial, in the share capital of the Company or any material interest in the Company or in any agreement or arrangement with the Company. Mr. van Weelden is an officer of JCM, which indirectly owns JCIL, and Mr. O Sullivan is a partner in the firm of Arthur Cox who act as solicitors to the Company. They may therefore benefit from the Company s contracts and any fees collected thereunder. Management and Administration of the Company The Directors The Directors are responsible for managing the overall business affairs of the Company. Under the Articles of Association, the Directors have delegated certain of their powers, duties, and functions to the Administrator, the Custodian, the Distributor, and the Investment Adviser. The Investment Adviser has in turn delegated the management of the assets and investments of each Fund to the relevant Sub-Investment Adviser. Consequently, all Directors act in a non executive capacity. The Directors and their principal occupations are listed below: Dennis Mullen is a US citizen. Mr. Mullen is a member of the board of trustees of three of the US mutual funds advised by JCM. He has served as a trustee of the Janus Investment Fund since 1971 and is currently chairman of this board, as well as the boards of Janus Aspen Series and Janus Adviser Series. He has served these US mutual funds in a variety of roles as a member or chairman of their audit, nominating and governance, brokerage and investment oversight committees. He has been a director of Red Robin Gourmet Restaurants, a restaurant chain based in the US and Canada, since December 2002 and was appointed Chairman and CEO in August Mr. Mullen held senior management positions, including Chief Executive Officer, for various public and private restaurant chains from 1973 until Carl O Sullivan is an Irish citizen. He is a partner in the firm of Arthur Cox where he specialises in financial services law. He qualified as a solicitor in 1983 and was employed as a solicitor with Irish Distillers Group Plc from 1983 to 1987 and Waterford Wedgwood Plc from 1987 to He joined Arthur Cox in He is a director of a number of companies operating in the International Financial Services Centre. Peter Sandys is an Irish citizen. He is co-founder and director of Seroba BioVentures Limited, which he established in Since 1998 Mr. Sandys has also been an independent company director consultant. Between 1989 and 1998 Mr. Sandys was managing director of ABN Amro Corporate Finance (Ireland) Ltd. Prior to joining ABN Amro Corporate Finance (Ireland) Ltd. he worked with both Ernst & Young and KPMG in accountancy and advisory services. Henric van Weelden is a Dutch citizen and is a United Kingdom resident. He joined Janus in September 2007 with more than 20 years of experience in the investment industry in London, New York, Frankfurt and Amsterdam. He joined from Watson Wyatt Limited, where between January 2001 and August 2007 he was a partner and head of European business development with responsibility for growing that firm s investment consulting business in continental Europe. Between January 1999 and January 2001 Mr. van Weelden was a partner and senior investment consultant with Watson Wyatt Limited. Prior to that, he spent eight years in a number of senior client servicing and marketing roles with Commerzbank International Capital Management both in New York and Frankfurt, ultimately as general manager of its New York office. Hans Vogel is a German citizen and is an Irish Resident. Since 1998 Mr. Vogel has been an independent non-executive director on the boards of a number of companies in the financial services industry in Ireland and abroad. He was Managing Director of Dresdner Bank (Ireland) plc, Dresdner Kleinwort Benson International Management Services Ltd. and Dresdner Asset Management Ireland Ltd. from 1995 to Mr. Vogel worked with Dresdner Bank AG from 1970, was the Managing Director of Dresdner Securities (Asia) Ltd. from April 1989 to July 1993 and the Managing Director of Asset Management Advisers of Dresdner Bank-Gesellschaft für Vermögensanlageberatung GmbH from August 1993 to June None of the Directors has had any convictions in relation to indictable offences, been involved in any bankruptcies, individual voluntary arrangements, receiverships, compulsory liquidations, creditors voluntary liquidations, administrations, company or partnership voluntary arrangements, any composition or arrangements with its creditors generally or any class of its creditors of any company where they were a director or partner with an executive function, nor has any had any public criticisms by statutory or regulatory authorities (including recognised professional bodies) nor has any Director ever been disqualified by a court from acting as a director of a company or from acting in the management or conduct of the affairs of any company. None of the Directors has entered into a service contract with the Company nor is any such contract proposed, and none of the Directors is an executive of the Company. The Company has indemnified the Directors for any loss or damages which they may suffer except losses or damages resulting from a Director s fraud, negligence, or wilful deceit. The Articles do not stipulate a retirement age for Directors and do not provide for retirement of Directors by rotation. The address of the Directors is the registered office of the Company. As of the date of this Prospectus, no Director has any direct or indirect interest, beneficial or non-beneficial, in the share capital of the Company or any material interest in any agreement or arrangement with the Company other than as disclosed under Portfolio Transactions Conflicts of Interest. Corporate Governance Composition of the Board It is the current intention of the Board to seek to appoint a majority of directors who are not directors, officers or employees of JCG or any of its subsidiaries. Board Meetings The Board of Directors meets regularly to review the business of affairs of the Company. The Board currently aims to meet at least four times in each calendar year. At each of the Board meetings reports are presented to the Directors by the various service providers to the Company for review. Annual General Meetings In each year the Company holds an annual general meeting of its Shareholders. All Shareholders are provided with at least 21 days advance notice of the meeting and are invited to attend either in person or by proxy. At the annual general meeting of the Company, the annual report of the Company for the most recent financial year is presented to the Shareholders and Shareholders are provided with the opportunity to vote in respect of certain matters 23

88 relating to the Company such as the re-appointment of the auditors of the Company and the re-election of directors appointed since the last annual general meeting of the Company was held. A summary of the voting rights and the procedures for general meetings (including the annual general meeting) is set out in the section of the Prospectus entitled Other Information Meetings. The Share Capital and the Shareholders The share capital of the Company shall at all times equal the combined net asset value of the Funds. Pursuant to the Articles of Association, the Directors are empowered to issue up to five hundred billion shares of no par value (being the authorised share capital) in the Company at the net asset value per Share on such terms as they thought fit. There are no rights of pre-emption upon the issue of Shares in the Company. Each of the Shares entitles the Shareholder to participate equally on a pro rata basis in the dividends and net asset value of the Fund in respect of which they are issued, save in the case of dividends declared prior to becoming a shareholder. The proceeds from the issue of Shares shall be applied in the books of the Company to the relevant Fund and shall be used in the acquisition on behalf of the relevant Fund of assets in which the Fund may invest. The records and accounts of each Fund shall be maintained separately. Each of the Shares entitles the Shareholder to attend and vote at meetings of the Company and of the Fund represented by those Shares. On a show of hands, each Shareholder present at meetings of the Company is entitled to one vote, and on a poll, every Shareholder present in person or by proxy shall be entitled to one vote in respect of each Share held by the Shareholder. Any resolution to alter the rights of the Shares requires the approval of three quarters of the holders of the Shares represented or present and voting at a general meeting duly convened in accordance with the Articles of Association. The Articles of Association of the Company empower the Directors to issue fractional Shares in the Company. Fractional Shares may be issued to the nearest three decimal places and shall not carry any voting rights at general meetings of the Company or of any Fund and the net asset value of any fractional Shares shall be the net asset value per Share adjusted in proportion to the fraction. Currently, there are 30,000 subscriber shares in issue. The subscriber shares entitle the shareholders holding them to attend and vote at all meetings of the Company, but do not entitle the holders to participate in the dividends or net asset value of any Fund or of the Company. The Funds and Segregation of Liability The Company is an umbrella fund with segregated liability between Funds and each Fund may comprise one or more Classes of Shares in the Company. The Directors may, from time to time, upon the prior approval of the Financial Regulator, establish further Funds by the issue of one or more separate Classes of Shares on such terms as the Directors may resolve. The Directors may, from time to time, in accordance with the requirements of the Financial Regulator, establish one or more separate Classes of Shares within each Fund on such terms as the Directors may resolve. The assets and liabilities of each Fund will be allocated in the following manner: (a) the proceeds from the issue of Shares representing a Fund shall be applied in the books of the Company to the Fund and the assets and liabilities and income and expenditure attributable thereto shall be applied to such Fund subject to the provisions of the Memorandum and Articles of Association; (b) where any asset is derived from another asset, such derivative asset shall be applied in the books of the Company to the same Fund as the assets from which it was derived and in each valuation of an asset, the increase or diminution in value shall be applied to the relevant Fund; (c) where the Company incurs a liability which relates to any asset of a particular Fund or to any action taken in connection with an asset of a particular Fund, such a liability shall be allocated to the relevant Fund, as the case may be; and (d) where an asset or a liability of the Company cannot be considered as being attributable to a particular Fund, such asset or liability, subject to the approval of the Custodian, shall be allocated to all the Funds pro rata to the net asset value of each Fund. Any liability incurred on behalf of or attributable to any Fund shall be discharged solely out of the assets of that Fund, and neither the Company nor any Director, receiver, examiner, liquidator, provisional liquidator or other person shall apply, nor be obliged to apply, the assets of any such Fund in satisfaction of any liability incurred on behalf of, or attributable to, any other Fund. There shall be implied in every contract, agreement, arrangement or transaction entered into by the Company the following terms, that: (i) the party or parties contracting with the Company shall not seek, whether in any proceedings or by any other means whatsoever or wheresoever, to have recourse to any assets of any Fund in the discharge of all or any part of a liability which was not incurred on behalf of that Fund; (ii) if any party contracting with the Company shall succeed by any means whatsoever or wheresoever in having recourse to any assets of any Fund in the discharge of all or any part of a liability which was not incurred on behalf of that Fund, that party shall be liable to the Company to pay a sum equal to the value of the benefit thereby obtained by it; and (iii) if any party contracting with the Company shall succeed in seizing or attaching by any means, or otherwise levying execution against, the assets of a Fund in respect of a liability which was not incurred on behalf of that Fund, that party shall hold those assets or the direct or indirect proceeds of the sale of such assets on trust for the Company and shall keep those assets or proceeds separate and identifiable as such trust property. All sums recoverable by the Company shall be credited against any concurrent liability pursuant to the implied terms set out in (i) to (iii) above. Any asset or sum recovered by the Company shall, after the deduction or payment of any costs of recovery, be applied so as to compensate the relevant Fund. In the event that assets attributable to a Fund are taken in execution of a liability not attributable to that Fund, and in so far as such assets or compensation in respect thereof cannot otherwise be restored to the Fund affected, the Directors, with the consent of the Custodian, shall certify or cause to be certified, the value of the assets lost to the Fund affected and transfer or pay from the assets of the Fund or Funds to which the liability was attributable, in priority to all other claims against such Fund or Funds, assets or sums sufficient to restore to the Fund affected, the value of the assets or sums lost to it. 24

89 A Fund is not a legal person separate from the Company but the Company may sue and be sued in respect of a particular Fund and may exercise the same rights of set-off, if any, as between its Funds as apply at law in respect of companies and the property of a Fund is subject to orders of the court as it would have been if the Fund were a separate legal person. Separate records shall be maintained in respect of each Fund. The Investment Adviser The Directors have appointed JCIL to be the Company s Investment Adviser under the terms and conditions of the Investment Management Agreement. JCIL shall, subject to the overall control and responsibility of the Directors, furnish investment management and related services to the Company. With the prior approval of the Financial Regulator, JCIL may delegate certain of its duties as set forth below. JCIL was incorporated in England and Wales in It is an investment adviser regulated by the FSA. JCIL is a wholly owned indirect subsidiary of JCM. As of 30 June 2010, JCM and its subsidiaries collectively had approximately US$147.2 billion in assets under management. Details of the fees payable by each of the Funds to JCIL are set out in the section entitled Fees and Expenses. The Investment Management Agreement provides that in the absence of wilful misfeasance, bad faith, negligence or fraud on the part of JCIL, neither JCIL nor any of its directors, officers, employees or agents shall be liable for any act or omission in the course of, or connected in any way with, rendering services under the Investment Management Agreement, or for any losses which may be sustained in the purchase, holding or sale of any of the investments of the Company. JCIL shall not be liable for indirect, special or consequential damages of any nature. The Company has agreed to indemnify JCIL and each of its directors, officers, employees and agents from and against any and all claims brought against, suffered or incurred by the Investment Adviser by reason of the performance or non-performance of JCIL s obligations and functions under the Investment Management Agreement unless such claims are due to the wilful misfeasance, bad faith, negligence or fraud on the part of JCIL in its performance or nonperformance of its obligations and functions under the Investment Management Agreement. The Company and JCIL have agreed that all liabilities of the Company arising under the Investment Management Agreement, of any and every nature whatsoever, shall be satisfied solely out of the assets of the relevant Fund, and that no director, officer, employee, agent, or shareholder of the Company shall be personally liable for any of the foregoing liabilities. The Investment Management Agreement may be terminated by either party on 90 days notice in writing to the other party. The Sub-Investment Advisers The Company, under the Investment Management Agreement, authorises the Investment Adviser at its own costs and expenses to engage one or more sub investment advisers for the purpose of assisting it with carrying out its duties and functions as investment adviser to the Funds, provided the appointments of such other sub-investment advisers are in accordance with the requirements of the Financial Regulator Notices. Under the terms of the Investment Management Agreement, the Investment Adviser, in such instances, shall remain responsible to the Company and the Funds for the performance of their obligations under such agreement. JCIL, pursuant to its Investment Management Agreement with the Company and in accordance with the requirements of the Financial Regulator, has appointed, and may appoint in the future, companies as sub-investment advisers to manage the Funds, including the sub-investment advisers identified below. Disclosure of any sub-investment advisers, other than those identified below, appointed by the Investment Adviser will be provided to Shareholders upon request and details thereof will be disclosed in the periodic reports to Shareholders. As at the date of this prospectus, JCIL has delegated to JCM responsibility for providing discretionary investment management and advisory services the whole or part of the assets of the Equity & Balanced Funds (except for the Perkins Global Value Fund, Perkins US Strategic Value Fund), the Alternative Investment Funds (except for the INTECH Market Neutral Fund) and the Fixed Income Funds pursuant to an Investment Management Delegation Agreement dated 17 August, 1999, as amended. JCM is registered as an investment adviser with the US Securities and Exchange Commission and has (together with its predecessors) been engaged in the financial services business since JCM currently provides investment advisory or sub-investment advisory services to US and International mutual funds (including funds with investment objectives and policies substantially similar to the objectives and policies of certain Funds), corporate, individual, retirement, and charitable accounts. JCM is a direct subsidiary of JCG, a publicly traded company with its principal operations in financial asset management businesses. JCG owns approximately 95% of JCM, with the remaining 5% held by Janus Management Holdings Corporation. As at the date of this prospectus, JCIL has delegated to INTECH responsibility for providing discretionary investment management and advisory services to the Risk Managed Equity Funds and the INTECH Market Neutral Fund pursuant to an investment management delegation agreement dated 6 January, 2003 as amended. INTECH has been in the investment advisory business since 1987 and serves as investment adviser or sub-adviser to a number of mutual funds, institutional investors and individually managed accounts. As of 30 June 2010, INTECH had assets under management of approximately US$39.8 billion. INTECH is ultimately owned by JCG. JCM, a direct subsidiary of JCG owns approximately 95% of the outstanding voting shares of INTECH. As at the date of this prospectus, JCIL has delegated to Perkins responsibility for providing discretionary investment management and advisory services to the Perkins Global Value Fund and Perkins US Strategic Value Fund pursuant to an investment management delegation agreement dated 11 July, Perkins serves as investment adviser or sub-adviser to a number of US domiciled mutual funds, institutional investors and individually managed accounts. Perkins is ultimately owned by JCG. JCM, a direct subsidiary of JCG, owns 78.4% of Perkins. As of 30 June 2010, Perkins had assets under management of approximately US $16.1 billion. The fees of the Sub-Investment Advisers are paid by JCIL and the Company does not pay any fees directly to them. JCIL has responsibility for and supervises the investment management services provided by the Sub- Investment Advisers. The Investment Management Delegation Agreements between JCIL and the Sub-Investment Advisers provide that in the absence of wilful default, bad faith, negligence or fraud on the part of a Sub-Investment Adviser, its officers, employees, or associates, a Sub-Investment Adviser shall not be responsible for any loss or damage which the Funds may sustain or suffer as a result of or in the course of the discharge of a Sub-Investment Adviser s duties. JCIL has agreed to indemnify the Sub-Investment Advisers against any and all claims and demands (including costs and expenses arising therefrom or incidental thereto) which may be made against a Sub-Investment Adviser as the result of, or in the course of, the discharge of its duties under the relevant Investment Management Delegation Agreement in respect of any loss or damage sustained or suffered or alleged to have been sustained or suffered otherwise than by reason of the wilful default, negligence or fraud on the part of a 25

90 Sub-Investment Adviser or its officers or employees or for such costs and expenses as are otherwise to be borne by a Sub-Investment Adviser under the terms of the relevant Investment Management Delegation Agreement. The Investment Management Delegation Agreements may be terminated by either party on 90 days notice in writing to the other party. The Support Services Agent The Company has appointed JCM to provide certain support services, including assisting the Company in relation to the registration of Funds for distribution, compliance matters and preparation of materials for meetings of the board of Directors, pursuant to the Support Services Agreement. In the absence of fraud, negligence, wilful misfeasance or bad faith on the part of JCM in the performance or non-performance of its obligations or duties hereunder, neither JCM nor any of its directors, officers, employees or agents shall be liable to the Company or the shareholders for any loss or damage suffered by the Company or the shareholders as a result of any act or omission of JCM. The Support Services Agreement may be terminated by either party upon written notice to the other party (1) in the event of the winding-up or the appointment of an examiner or receiver to the other party or upon the happening of a like event at the direction of an appropriate regulatory agency or court of competent jurisdiction; (2) where either party fails to remedy a material breach of the Distribution Agreement (if capable of remedy) within 30 days after service of notice by the other party requesting it to do so; or (3) where either party is no longer permitted to perform its obligations. The Distributor The Company has also appointed JCIL to act as Distributor to promote, market and otherwise assist in the distribution of and sale of Shares pursuant to the Distribution Agreement. Pursuant to the Distribution Agreement, the Distributor may appoint authorised Distribution Agents (who may be affiliates) to distribute Shares of the Funds. Unless authorised by the Company, the Distributor is prohibited from selling or offering Shares to US Persons, and is obliged to carry out its duties in accordance with applicable laws. The Distribution Agreement provides that the Company will indemnify and hold harmless the Distributor, its affiliates and any person acting on its behalf, but only to the extent assets are available in the Company, against any losses, claims, damages, or liabilities (or actions in respect thereof ), joint or several (the Covered Claims ), to which such person may become subject, insofar as the Covered Claims arise out of or are based upon an untrue statement or alleged untrue statement of a material fact contained in the Prospectus, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the statement therein, in light of the circumstances under which they are made, not misleading. The Company and the Distributor have agreed that all liabilities of the Company arising, directly or indirectly, under the Distribution Agreement, of any and every nature whatsoever, shall be satisfied solely out of the assets of the relevant Fund and that no Director, officer, employee, agent, or shareholder of the Company shall be personally liable for any of the foregoing liabilities. The Distribution Agreement may be terminated by the Company or the Distributor on not less than 90 days notice in writing to the other party. The Administrator, Shareholder Servicing Agent and Company Secretary Pursuant to the Administration Agreement, the Company has appointed Citi Fund Services (Ireland), Limited as the administrator, shareholder servicing agent and secretary of the Company and each Fund with responsibility for performing the day-to-day administration of the Company and each Fund, including the calculation of the net asset value of each Fund and of each Class of Shares, and related fund accounting services. The Administrator is a limited liability company incorporated in Ireland on 18 September, 1992 and was previously known as BISYS Fund Services (Ireland) Limited prior to being acquired by Citibank N.A. in July The Administrator (previously known as BISYS Fund Services (Ireland) Limited) is a wholly owned subsidiary of Citibank N.A. As of 28 February 2010 Citibank N.A. s funds under administration in collective investment schemes and managed accounts totalled approximately US$1.3 trillion. The Administrator will perform its obligations with reasonable care as determined in accordance with the standards and practices of professionals for hire providing services similar to the services in the jurisdiction(s) in which the Administrator performs services under the Administration Agreement. The Administrator will not be liable to the Company for damages or losses beyond the Administrator s reasonable control save for those resulting from the wilful misfeasance, fraud, bad faith or negligence of the Administrator or any Administrative Support Provider (as defined in the Administration Agreement) in the performance or non performance of their obligations or duties under the Administration Agreement or by reason of reckless disregard of its or their duties and obligations under the Administration Agreement. Except for any Liquidated Damages agreed by the parties related to an unexcused termination of the Administration Agreement, under no circumstances will either party be liable to the other party for special or punitive damages, or consequential loss or damage, or any loss of profits, goodwill, business opportunity, business, revenue or anticipated savings, in relation to the Administration Agreement, whether or not the relevant loss was foreseeable, or the party was advised of the possibility of such loss or damage or that such loss was in contemplation of the other party. The Company will indemnify out of the assets of the relevant Fund the Administrator (including without limitation each and any of its officers, directors, employees and agents) for, and will defend and hold the Administrator harmless from, all losses, costs, damages and expenses (including reasonable legal fees incurred by the Administrator or such person in any action or proceeding between the Administrator and the Company or between the Administrator and any third party arising out of or resulting from the performance of the Administration Agreement) (each referred to as a Loss ), imposed on, incurred by, or asserted against the Administrator in connection with or arising out of the following: (i) the Administration Agreement, except any Loss resulting from the wilful misfeasance, bad faith, fraud or negligence of the Administrator its officers, directors, employees or any Administrative Support Provider in the performance or non-performance of its duties under the Administration Agreement or failure to perform its obligations and duties under the Administration Agreement or their reckless disregard of their duties and obligations under the Administration Agreement; or (ii) any alleged untrue statement of a material fact contained in any communication or document intended for distribution to any Shareholder in connection with the offering or sale by the Company of securities, products or services (the Offering Document ) of the Company or arising out of or based upon any alleged omission to state a material fact required to be stated in any Offering Document or necessary to make the statements in any Offering Document not misleading, unless such statement or omission was made in reliance upon, and in conformity with, information furnished in writing to the Company by the Administrator or otherwise information which was provided to the Administrator for review and in respect of which the Administrator did not provide any comments for review. The Administrator will indemnify and keep indemnified the Company, its directors, officers employees, agents for, and will defend and hold the Company harmless from and against, all direct losses, costs, damages, charges, payments and expenses (including reasonable legal fees incurred by the Company in any 26

91 action or proceeding between the Company and any third party) arising out or resulting from the Administrator s wilful misfeasance, bad faith, fraud or negligence in connection with its performance or non-performance of their duties and obligations services under the Administration Agreement or by reason of their reckless disregard of their duties and obligations under the Administration Agreement. The Administration Agreement will begin on 27 September 2010 and have an initial term of 3 years from this date (the Initial Term ) and will thereafter continue in effect indefinitely unless it is terminated as follows. Either party may terminate the Administration Agreement by giving the other party 6 months written notice or by mutual agreement of the parties. Either party may terminate the Administration Agreement with cause on at least thirty (30) days written notice to the other party if: (i) the other party has materially breached any of its obligations under the Administration Agreement (for purposes of this paragraph, material breach shall include circumstances specified in the service level agreement as constituting a material breach, which may be in a single instance or persistent over time); provided, however, that (I) the termination notice will describe the breach, and (II) no such termination will be effective if, with respect to any breach that is capable of being cured prior to the date set forth in the termination notice such date to be not less than 30 days from the date of the termination notice, the breaching party has reasonably cured such breach; or (ii) a final, unappealable judicial, regulatory or administrative ruling or order in which the party to be terminated has been found guilty of criminal or unethical behaviour in the conduct of its business. The Administration Agreement may be terminated by either party immediately in the event of: (a) the winding up of or the appointment of an examiner or receiver or liquidator to the other party or on the happening of a like event whether at the direction of an appropriate regulatory agency or court of competent jurisdiction or otherwise; or (b) the other party no longer being permitted or able to perform its obligations under the Administration Agreement pursuant to applicable law or regulation; or (c) any of the representations, warranties or covenants contained in the Administration Agreement cease to be true or accurate in any material respect in relation to the party notified. The Company may terminate the Administration Agreement immediately in the event of: (A) a change in the controlling interest in the voting share capital of the Administrator or its ultimate parent company where such change results directly from a restructuring of Citigroup Organisation (as defined in the Administration Agreement) initiated by and under the direction of an appropriate regulatory agency or court or commission of competent jurisdiction or which is conducted in order to separate the business of Citigroup Organisation between separate entities in anticipation of any such restructuring as notified by the Administrator to the Company and which materially and adversely affects the Administrator s ability to perform its obligations under the Administration Agreement. For the avoidance of doubt, the Company shall not be entitled to exercise its termination rights under (A) if the change in the controlling interest in the voting share capital of the Administrator or its ultimate parent company results from a restructuring of Citigroup Organisation made in the normal course of events; or (B) the short term issuer credit rating of the ultimate parent of the Citigroup Organisation falls below at least two of the following credit ratings: P-2 in the case of Moody s Investor Services Inc., A-2 in the case of Standard & Poor s Corporate or F1 in the case of Fitch Ratings Limited. If the Company has terminated the Administration Agreement without cause during the Initial Term, the Company will pay the Administrator out of the assets of the Company as liquidated damages for such default an amount equal to US$4.5 million if the Administration Agreement is terminated within the first eighteen (18) months of the Initial Term and an amount equal to US$4.5 million as adjusted by the Fraction if the Administration Agreement is terminated within the remaining eighteen 18 months of the Initial Term ( Liquidated Damages ). The Fraction means a fraction having a numerator equal to the number of calendar days remaining in the Initial Term as at the effective date of the termination of this Agreement and a denominator equal to the total number of calendar days in the last eighteen (18) months of the Initial Term. In the event the Company or more than 50% of the Funds are merged into another legal entity pursuant to any form of business reorganisation or the Company or more than 50% of the Funds are liquidated during the Initial Term, the parties acknowledge and agree that the liquidated damages provision set forth above shall be applicable in those instances in which Administrator is not retained to provide services substantially consistent with the Administration Agreement but if the merger or liquidation is of more than 50% of the Funds, and not the Company as a whole, the Liquidated Damages shall be reduced in proportion to the percentage of the previous six (6) months fees attributable to the relevant Funds; provided, however, the Liquidated Damages shall not apply so long as any such merger or liquidation is not made (regardless of the reason for such merger or liquidation) in accordance with any express or tacit plan, understanding or arrangement whereby the assets of the Company or the relevant Funds are designed or intended to migrate, directly or indirectly, to another investment company or other investment vehicle affiliated with the Company, its Investment Adviser or the Investment Manager. No termination Liquidated Damages will apply in the event that the Company or more than 50% of the Funds merge or are liquidated and the assets are migrated to another investment company or investment vehicle affiliated with the Company, its Investment Adviser, or the Investment Manager and Administrator is unwilling to provide services consistent with the Administration Agreement to the resulting investment company or investment vehicle. The Custodian Brown Brothers Harriman Trustee Services (Ireland) Limited has been appointed to act as Custodian pursuant to the Custodian Agreement. The Custodian was incorporated in Ireland as a limited liability company on 29th March, The Custodian is a subsidiary of Brown Brothers Harriman & Co. and as of 31 December 2009 has shareholder equity in excess of US$1.5 million. The principal activity of the Custodian is to act as custodian and trustee of collective investment schemes. The Custodian Agreement contains detailed provisions as to the responsibilities of the Custodian and provides that the Custodian will be liable to the Company and the shareholders for any loss suffered by them as a result of the Custodian s unjustifiable failure to perform or its improper performance of its obligations. Notwithstanding the foregoing, the Company will indemnify the Custodian, its Directors, officers, and executives from and against all losses which the Custodian may suffer or incur in acting as Custodian, other than by reason of its unjustifiable failure to perform or its improper performance of its obligations. The Company and the Custodian have agreed that all liabilities of the Company arising under the Custodian Agreement shall be satisfied solely out of the assets of the Company, and that no Director, officer, employee, agent, or shareholder of the Company shall be personally liable to the Custodian for any of the foregoing liabilities provided that in no event shall the Company be obliged to satisfy liabilities arising as a result of the Custodian s unjustifiable failure to perform its obligations or its improper performance of them. The Custodian will not be personally liable for any taxes or other governmental charges imposed upon or in respect of the investments or upon the interest thereon. The Custodian Agreement may be terminated by either the Custodian or the Company giving not less than 90 days written notice to the other party. Either party may terminate the Custodian Agreement immediately in the event that: (1) the other party shall go into liquidation other than a voluntary liquidation for the purpose of reconstruction or an examiner or receiver is appointed to the other party or upon the happening of a like event 27

92 whether at the direction of an appropriate regulatory agency or court of competent jurisdiction; (2) the other party fails to remedy a breach of the Custodian Agreement within 30 days of being requested to do so; or (3) or if the Custodian is no longer permitted to act as custodian or trustee by the Financial Regulator. The Custodian shall continue in office until a successor is appointed. If no successor custodian is appointed within 90 days of the service of notice of termination, the Company shall serve notice on all Shareholders of its intention to repurchase all Shares outstanding on a date specified in such notice, which shall not be less than 30 days nor more than 90 days after the date of service of such notice, and the Financial Regulator shall be requested to revoke the authorisation of the Company. In such case, the Custodian s appointment shall not terminate until revocation of the Company s authorisation by the Financial Regulator. Under the terms of the Custodian Agreement, the Custodian has full power to utilise sub-custodians to hold the assets of the Company. The liability of the Custodian will not be affected by the fact that it has entrusted to a third party some or all of the assets in its safe-keeping. The Company and the Custodian acknowledge that the Financial Regulator considers that, in order for the Custodian to discharge its responsibility under the Regulations, the Custodian must exercise care and diligence in choosing and appointing a third party as safe-keeping agent so as to ensure that the third party has and maintains the expertise, competence and standing appropriate to discharge the responsibilities concerned. The Custodian must maintain an appropriate level of supervision over the safe-keeping agent and make appropriate inquiries from time to time to confirm that the obligations of the agent continue to be competently discharged. This does not purport to be a legal interpretation by the Financial Regulator of the Regulations and the UCITS Directive. The Offering Classes of Shares General The Company issues Shares in multiple classes in respect of each Fund. Such classes may be denominated in US Dollar, Euro or Pound Sterling. The following is a summary as at the date of this Prospectus of: (i) the Funds and Classes of Shares approved by the Financial Regulator, and (ii) the Funds which are available for purchase: Funds and Classes of Shares approved by the Financial Regulator as at the date of this Prospectus* Fund Category Funds US Dollar Classes Euro Classes Pound Sterling Class Funds available for purchase as at the date of this Prospectus* Equity & Balanced Funds Risk Managed Equity Funds (For the avoidance of doubt, these funds are Equity Investing Funds) Janus Asia Fund** Janus Europe Fund* Janus Global Fundamental Equity Fund # Janus Global Growth Fund** Janus Global Life Sciences Fund* Janus Global Research Fund* Janus Global Research (ex-japan) Fund** Janus Global Technology Fund* Janus US All Cap Growth Fund* Janus US Balanced Fund* Janus US Research Fund* Janus US Twenty Fund* Janus US Venture Fund* Perkins US Strategic Value Fund* Janus Emerging Markets Fund* Janus US Fund* Perkins Global Value Fund* INTECH European Risk Managed Core Fund** INTECH Global Risk Managed Core Fund* INTECH US Risk Managed Core Fund* A$acc B$acc I$acc Z$acc*** A$dis B$dis I$dis A$ acc B$ acc I$ acc Z$ acc A$acc B$acc I$acc Z$acc*** A$dis B$dis I$dis A acc B acc I acc Z acc*** A acc I acc Z acc A acc B acc I acc A dis B dis I dis A dis B dis I dis Janus Asia Fund Janus Europe Fund Janus Global Fundamental Equity Fund # Janus Global Life Sciences Fund* Janus Global Research Fund Janus Global Research (ex-japan) Fund Janus Global Technology Fund* Janus US All Cap Growth Fund Janus US Balanced Fund Janus US Research Fund Janus US Twenty Fund Janus US Venture Fund* Perkins US Strategic Value Fund Janus Emerging Markets Fund Janus US Fund Perkins Global Value Fund INTECH Global Risk Managed Core Fund INTECH US Risk Managed Core Fund 28

93 Funds and Classes of Shares approved by the Financial Regulator as at the date of this Prospectus* Fund Category Funds US Dollar Classes Euro Classes Pound Sterling Class Funds available for purchase as at the date of this Prospectus* Alternative INTECH Market Neutral Fund** Investment Funds Janus Extended Alpha Fund** (For the avoidance Janus Global Research 130/30 Fund** of doubt, these funds (other than Janus Global Real Estate Fund* the Janus Global Real Estate Fund) are Equity Investing Funds) Fixed Income Funds Janus Global High Yield Fund* Janus Global Investment Grade Bond Fund* Janus Global Strategic Income Fund** Janus US Flexible Income Fund* Janus US High Yield Fund* Janus US Short-Term Bond Fund A$acc B$acc I$acc Z$acc*** A$acc B$acc I$acc Z$acc*** A$inc B$inc I$inc A$acc B$acc I$acc Z$acc A$inc B$inc I$inc A$acc B$acc I$acc Z$acc*** A$dis B$dis I$dis A$acc B$acc I$acc Z$acc*** A$inc B$inc I$inc A acc B acc I acc A acc B acc I acc A inc B inc I inc A acc I acc A inc B inc, I inc A acc B acc I acc A inc B inc I inc A acc B acc I acc A inc B inc I inc A dis B dis I dis A dis B dis I dis A dis B dis I dis A dis B dis I dis Janus Global Real Estate Fund Janus Global High Yield Fund Janus Global Investment Grade Bond Fund Janus US Flexible Income Fund Janus US Short-Term Bond Fund * Applicants/Shareholders should note that only certain Classes of Share of these Funds are available for purchase as at the date of this Prospectus. Furthermore, not all Funds or Classes of Shares are available in all jurisdictions and Applicants/Shareholders are requested to contact the relevant Distribution Agent for a list of Funds and Classes of Shares available to them and to ensure that they only subscribe for the Classes of Shares available to them. ** These Funds are not available for purchase as at the date of this Prospectus. *** Class Z Shares are available only to Qualifying Institutional Investors. # This Fund is closed to new subscriptions (including conversions into the Fund) as it is intended to terminate this Fund. The various Classes of Shares differ primarily with respect to fee structures, payment of dividends and minimum subscription levels. See sections entitled Fees and Expenses, Distribution Policies, and Minimum Subscription for more information. Class Suitability Potential Shareholders should choose the Class that best suits their needs. When choosing a Class of Shares, potential Shareholders should consider the following:- (i) how much they plan to invest; (ii) how long they expect to own the Shares; 29

94 (iii) the expenses paid in respect of each Class; and (iv) whether they qualify for any reduction or waiver of sales charges. Potential Shareholders should consult their financial adviser to discuss which Class is most suitable for them. Potential Shareholders should also take note of the section entitled Fees and Expenses prior to choosing a Class of Shares. Initial Offers of Share Classes Where a Class of Shares in any Fund has not previously been issued or is being re-offered, then initial subscriptions for such Shares will be accepted: (i) on such date(s) to be determined by the Directors and notified in advance to the Financial Regulator; and (ii) the initial offer price and re-offer price for the Class A, Class B and Class I Shares shall be US$10 per share for Classes of Shares denominated in US Dollars and 10 per Share for Classes of Shares denominated in Euro and for the Class Z Shares shall be US$100 per share for Classes of Shares denominated in US Dollars and 100 per Share for Classes of Shares denominated in Euro. Alternatively, in the case of a Fund which already has one or more Classes of Shares in issue, the initial offer price per Share for subsequent Classes of Shares issued in respect of that Fund may be the net asset value per Share of such other Class of Shares of that Fund as may be determined by the Directors and notified in advance to the Financial Regulator and potential Shareholders. Excessive and/or Short Term Trading Investment in the Funds is intended for long-term purposes only. Excessive and/or short-term trading into and out of a Fund can disrupt portfolio investment strategies and may increase expenses, and negatively impact investment returns, for all shareholders, including long-term shareholders who do not generate these costs. The Company reserves the right to reject any purchase order (including exchange orders) by any Applicant or Shareholder for any reason without prior notice. For example, the Company may refuse a purchase order if the relevant Sub-Investment Adviser believes it would be unable to invest the money effectively in accordance with that Fund s investment policies or that Fund would otherwise be adversely affected due to the size of the transaction, frequency of trading or other factors. Transactions placed through the same Distribution Agent and/or Institutional Investor on an omnibus basis may be deemed a part of a group for purposes of these policies and may be rejected in whole or in part by or on behalf of the Company. Transactions accepted by a Distribution Agent or placed with the Company in violation of the Company s policies are not deemed accepted by the Company and may be cancelled or revoked by the Company on the next Business Day following receipt by the Company. Shareholders should be aware that there are practical restraints both in determining the policy which is appropriate in the interests of long term Shareholders, and in applying and enforcing such policy. For example, the Company cannot identify or detect excess and/or short term trading that may be facilitated by a Distribution Agent or made difficult to identify by the use of omnibus accounts by Distribution Agents that transmit purchase, exchange and redemption orders to the Company and hold Shares as nominee for underlying investors. Absent the intermediary providing certain trade information in relation to the intermediary s account, the Administrator and/ or the Company will not have access to relevant information to be able to monitor and detect potentially excessive and/or short-term trading in the intermediary s account(s). Accordingly, neither the Administrator nor the Company accepts any responsibility or liability should such activity occur through an intermediary s account, whether or not the intermediary takes steps to prevent it occurring or re-occurring. It shall be a matter for the intermediary to determine if the restrictions on trading are breached. The Company reserves the right to reject any purchase or exchange request for an intermediary s account(s) if excessive and/or short term trading is identified or suspected in respect of that intermediary s account in order to prevent disruption to the Fund. Also, Shareholders, including but not limited to fund of funds, asset allocation funds, structured products and unit-linked products will change the proportion of their assets invested in the Company or in Funds in accordance with their own investment mandate or investment strategies. The Company will seek to balance the interests of such Shareholders in a way which is consistent with the interests of long term Shareholders but no assurance can be given that the Company will succeed in doing so in all circumstances. Funds that invest in non-us issuers may have a greater risk exposure to excessive and/or short term trading. Shareholders may attempt to take advantage of anticipated price movements in securities held by a Fund based on events occurring after the close of a non US market that may not be reflected in the Fund s net asset value (referred to as price arbitrage ). Such arbitrage opportunities may also arise in Funds which do not invest in non-us securities, for example when trading in a security held by a Fund is suspended and does not resume prior to the time the net asset value of the Fund is next calculated (referred to as stale pricing ). The Company may employ the following measures to deter excessive and/or short term trading: (i) Fair value pricing The Administrator may utilise fair value pricing to adjust the net asset value per Share to seek to reflect more accurately the fair value of the Fund s investment at the point of valuation and as part of this process may use a systematic fair valuation model provided by an independent third party to value equity and/or fixed income securities in order to adjust for stale pricing and/or prevent price arbitrage which may occur between the close of foreign exchanges and the relevant Valuation Point. (ii) Limitation of the exchange privilege and round trips The exchange privilege is not intended to facilitate excessive and/or short-term trading. The Company at all times reserves the right to reject any exchange purchase for any reason without prior notice. Neither the Administrator nor the Company is able to monitor round trips in respect of intermediaries dealing through omnibus accounts and in such cases, it shall be a matter for the intermediary to monitor its account(s) to determine if the restrictions on trading are breached. A round trip is a redemption or exchange out of a Fund (by any means) followed by a purchase or exchange back into any Fund (by any means). The Company may limit the number of round trips carried out by a Shareholder, including an intermediary that holds Shares in an omnibus account. (iii) Short term trading Shares (other than the Class Z Shares) redeemed or exchanged (including cross currency exchanges) within 90 days of purchase may be subject to a short-term trading fee not exceeding 1.00% of the value of the Shares that are traded. Class Z Shares and all Share Classes in the Janus Emerging Markets Fund may be subject to a dealing charge, details of which are set out below under Fees & Expenses. The short term trading fee shall be 30

95 paid to the Company for the benefit of the relevant Funds and is designed to deter excessive and/or short term trading and to offset the brokerage commissions, market impact, and other costs associated with changes in the relevant Funds asset level and cash flow due to short term money movements in and out of such Funds. How to Purchase Shares Shares of each Fund are continuously offered in accordance with the sales charge structure described in the section entitled Fees and Expenses. Subscription orders may be placed by contacting the Distributor, the relevant Distribution Agent or the Administrator. Not all Funds and/or Classes of Shares may be offered through all Distribution Agents or in all jurisdictions. Applicants should ensure that they only subscribe for the Classes of Shares available to them. An application for Shares may only be made on the terms of the Prospectus. In particular, Class Z Shares are available only to Qualifying Institutional Investors. Investors in Class Z Shares should submit subscription orders to the Administrator by such time as agreed with the Distributor but in any event prior to the relevant Trade Cut-Off Times. The offering price per Share will be the net asset value per Share of the relevant Class plus any applicable initial sales charge and/ or dealing charge in the case of Class Z Shares and Share Classes in the Janus Emerging Markets Fund. The net asset value per Share of each Fund is made available on each Business Day at the offices of the Administrator, through Distribution Agents and other sources. Minimum Subscription The following table sets out the minimum initial and subsequent subscriptions applicable to each Class within each Fund: Class Minimum Initial Subscription Minimum Subsequent Subscription A$ US$2,500 US$100 B$ US$2,500 US$100 I$ US$1,000,000 US$N/A Z$ US$20,000,000 US$N/A A 2, B 2, I 1,000,000 N/A Z 15,000,000 N/A A 2, B 2, I 1,000,000 N/A A Shareholder s holding in a Fund is at all times subject to the minimum initial subscription, see section on Minimum Holdings on page 35 and 37. Under certain circumstances the Company and/or JCIL reserve the right to waive such minimums in whole or in part for certain types of accounts. Offer Price Shares are sold on each Business Day at an offering price equal to the net asset value per Share next determined after receipt and acceptance of a subscription order plus any applicable initial sales charge or dealing charge. Each Business Day shall be a dealing day (i.e., a day on which Shares can be subscribed for or redeemed). Information Required by the Administrator Subscription orders should be made in accordance with the procedures described below. All subscription orders (whether in respect of initial or subsequent investments) must include: Applicant/Shareholder s name Applicant/Shareholder s address, fax number, address (if a Shareholder has consented to the receipt of information by from the Company) to which the contract note is to be sent Relevant Fund name being subscribed for Class of Shares being subscribed for Currency denomination of the Class of Shares being subscribed for Amount of cash or Shares to be invested and must comply with the Trade Cut-Off Times and Settlement Times described below. 31

96 In addition, in the case of an application for Class Z Shares, applicants must confirm that they are Qualifying Institutional Investors and have an agreement in place with JCIL covering the charging structure relevant to the client s investment in such Shares. Initial Subscriptions Initial subscription orders made by a Distribution Agent or directly by Institutional Investors Initial subscription orders for Shares made by a Distribution Agent or an Institutional Investor may be made by submitting a completed application form to the Administrator. Application forms may be submitted by fax or, upon the prior approval of the Financial Regulator, other electronic means approved by the Company and the Administrator. The original duly completed application must be mailed to the Administrator immediately thereafter. No redemption proceeds will be paid to a Shareholder in respect of a redemption order (although subsequent transactions may be processed) prior to the receipt and acceptance of the original application form by or on behalf of the Administrator or the Company. Please refer to Table 1 on page 33 for Trade Cut-Off Times and Settlement Times. Initial subscription orders directly by individual investors Initial subscription orders for Shares made by individual investors by contacting the Administrator directly may be made by submitting a completed application form to the Administrator. Application forms may be submitted by fax. The original duly completed application must be mailed to the Administrator immediately thereafter. No redemption proceeds will be paid to a Shareholder in respect of a redemption order (although subsequent transactions may be processed) prior to the receipt and acceptance of the original application form by or on behalf of the Administrator or the Company. Individual investors who subscribe for Shares by contacting the Administrator directly must submit the application form and cleared funds representing the subscription monies to the Administrator by the Trade Cut-Off Times and Settlement Times specified in Table 2 on page 33. Initial subscription orders directly by Qualifying Institutional Investors Initial subscription orders for Shares made by Qualifying Institutional Investors by contacting the Administrator directly may be made by submitting a completed application form to the Administrator. Application forms may be submitted by fax. The original duly completed application must be mailed to the Administrator immediately thereafter. No redemption proceeds will be paid to a Shareholder in respect of a redemption order (although subsequent transactions may be processed) prior to the receipt and acceptance of the original application form by or on behalf of the Administrator or the Company. Qualifying Institutional Investors who subscribe for Shares by contacting the Administrator directly must submit the original application form and cleared funds representing the subscription monies to the Administrator by the Trade Cut-Off Times and Settlement Times specified in Table 3 on page 33. The Company reserves the right to reject any initial subscription by individual investors for any reason without prior notice. Subsequent Subscriptions Subsequent subscription orders placed by a Distribution Agent or directly by Institutional Investors Subsequent subscription orders (i.e., subsequent to an initial subscription for Shares) made by a Distribution Agent or directly by an Institutional Investor may be made to any Fund by submitting a subscription order to the Administrator in writing, by fax, or, upon the prior approval of the Financial Regulator, other electronic means approved by the Administrator and the Company or by contacting the Administrator by telephone by the Trade Cut-Off Time specified in Table 1 on page 33. Subsequent subscription orders by telephone will only be processed provided that the Shareholder name and account number, and the name, address, fax number and/or address (where a Shareholder has so consented to the receipt of information from the Company electronically) to which the contract note is to be sent corresponds to the information that is held for the Shareholder of record with the Administrator. Should the Shareholder designate that the contract note be sent to a name and/or address which is other than that of the Shareholder of record as registered with the Administrator, written confirmation of this change must be submitted by the Shareholder and received by the Administrator before the change will be processed. The subsequent subscription order will be accepted but the contract notes will continue to be addressed to the existing contact details until written confirmation of the change of the contact details from the Shareholder has been received. Subsequent subscription orders directly by individual investors Subsequent subscription orders made directly by individual investors shall be made by submitting a subscription order in writing to the Administrator by the Trade Cut-Off Time specified in Table 2 on page 33. Such subscription orders may be submitted by fax provided that cleared funds representing the subscription monies are received by the Company by the Settlement Time specified in Table 2 on page 33. Alternatively, an individual investor may make a subsequent subscription by including the information normally required when placing a subscription order with the Administrator (as specified in the section entitled Information Required by the Administrator on page 31) in the wire instruction submitted by that individual investor to his/her bank for the purposes of arranging the transfer of subscription monies to the Company. A confirmation of the wire instruction including all relevant information will be provided to the Administrator. Subsequent subscription orders by telephone or other electronic means will not be accepted by the Administrator from individual investors subscribing directly in the Funds. Subsequent subscription orders directly by Qualifying Institutional Investors Subsequent subscription orders made directly by Qualifying Institutional Investors shall be made by submitting a subscription order in writing to the Administrator by the Trade Cut-Off Time specified in Table 3 on page 33. Such subscription orders may be submitted by fax provided that cleared funds representing the subscription monies are received by the Company by the Settlement Time specified in Table 3 on page 33. Subsequent subscription orders by telephone or other electronic means will not be accepted by the Administrator from Qualifying Institutional Investors subscribing directly in the Funds. Trade Cut-Off and Settlement Times Subscription orders for Shares received and accepted by or on behalf of the Administrator or the Company prior to the Trade Cut-Off Times on a Business Day specified in the tables below will be processed at the offering price determined on that Business Day. Subscription orders to subscribe for Shares received by or on behalf of the Administrator or the Company after the Trade Cut-Off Time on the relevant Business Day will be processed at the offering price determined on the next Business Day. The tables below 32

97 also specify the relevant Settlement Times for each Fund. If payment for subscription orders is not received by the relevant Settlement Time, a subscription may be cancelled or the Shareholder may be charged interest on the outstanding subscription monies at normal commercial rates. In such an event, the Distribution Agent or the Shareholder may be held liable for any loss to the Fund. Table 1. Subscriptions made by a Distribution Agent or directly by Institutional Investors Fund Trade Cut-Off Time Settlement Time All Funds (other than Class Z Shares) Close of the regular trading session of NYSE (normally 4:00pm, New York time) T + 3 Table 2. Subscriptions made directly to the Administrator by individual investors Fund Trade Cut-Off Time Settlement Time All Funds (other than Class Z Shares) Close of the regular trading session of NYSE (normally 4:00pm, New York time) 3:30pm, London time on T Table 3. Subscriptions made directly to the Administrator by Qualifying Institutional Investors/Class Z Shares Fund Trade Cut-Off Time Settlement Time All Funds Class Z Shares Close of the regular trading session of NYSE (normally 4:00pm, New York time) 3:30pm, London time on T The Company reserves the right to change the Trade Cut-Off Times and/or Settlement Times by which a subscription order or payment is required to be received. Shareholders and the Financial Regulator will be notified in advance of any such change. Distributing classes of Shares will begin to accrue dividends from the relevant Settlement Time. Subscription Order Processing It is the responsibility of Distribution Agents to ensure that subscription orders placed through them are transmitted on a timely basis. The Company may reject any account application in whole or in part with or without reason. All notices and announcements to Shareholders are sent to the address provided in the account application by post, or where a Shareholder has so consented, electronically to the address provided in the account application or otherwise as agreed in writing with the Administrator. For those Applicants/Shareholders utilising clearing agents such as Euroclear or Clearstream, an application to subscribe, redeem, exchange or transfer Shares may not be recognised by the Administrator unless (in addition to the requirements to transact shares as set forth in this prospectus) the application is processed through the Administrator and all relevant counterparties to such applications are Distribution Agents and/or Institutional Investors approved by the Distributor. Only registered Shares will be issued and ownership of Shares will be reflected on the share register of the Company. A written contract note showing details of ownership, as recorded in the share register, will be issued to the Shareholder of record on the Administrator s books within seven Business Days of receiving cleared funds. It is the responsibility of Distribution Agents to ensure that such contract note are transmitted on a timely basis. Share certificates will not be issued. No Shares will be issued in bearer form. Shareholders should contact the Administrator in the event that any of the personal information provided by them in their application form, on the contract note or shareholder account statement becomes out-of-date or incorrect. The Company intends to issue fractional Shares to the nearest three decimal places. Fractional Shares will not carry any voting rights. Neither the Administrator nor the Company is able to monitor round trips in respect of intermediaries dealing through omnibus accounts, and in such cases, it shall be a matter for the intermediary to monitor its account(s) to ensure the restrictions on trading are not breached. A round trip is a redemption or exchange out of a Fund (by any means) followed by a subscription or exchange back into any Fund (by any means). The Company may limit the number of round trips carried out by a Shareholder including an intermediary that holds Shares in an omnibus account. Neither the Company nor the Administrator will be liable for fraudulent or erroneous subscriptions provided that they follow procedures established by them to determine the validity of subscription orders. Payment for Subscriptions The Company at its sole discretion may determine to accept payment for Shares in a currency not matching the currency denomination of the Class of Shares being purchased. Currency conversions will take place at the prevailing exchange rate available to the Administrator. In such a case, the Shareholder will directly bear any currency conversion costs, which will not be borne by the Funds. Currently, there is no intention to accept cheques in payment for subscription orders, although cheques may be accepted in the future. A Distribution Agent may charge its customers service fees in connection with subscriptions in the Funds and such fees shall be in addition to any sales charges or similar charges. The amount of such fees shall be agreed between the Distribution Agent and its customers and will not be borne by the Funds. 33

98 The Directors in their sole discretion on or with effect from any dealing day may issue shares on terms providing for settlement to be made by the vesting in the relevant Fund of any investments for the time being held or which may be held hereunder and in accordance with the provisions of the memorandum and articles of association. Anti-Money Laundering Measures Measures aimed at the prevention of money laundering may require an Applicant to provide verification of identity to the Administrator. This obligation is absolute unless the application is made via a recognised Distribution Agent and/or Institutional Investor. This exception will only apply if such Distribution Agent and/or Institutional Investor is within a country recognised by Ireland as having equivalent anti-money laundering regulations and is regulated for the purposes of any such regulations. Applicants will be notified if proof of identity is required. By way of example, an individual may be required to produce a copy of a passport or identification card duly certified by a public authority such as a notary public, the police or the ambassador in his country of residence, together with evidence of the Applicant s address, such as a utility bill and bank statement. In the case of corporate Applicants, this may require production of a certified copy of the certificate of incorporation (and any change of name), bylaws, memorandum and articles of association (or equivalent), and the names and addresses of all directors and beneficial owners. In order to invest in the Funds, Applicants must certify that they are not US Persons. Shareholders may be asked periodically to recertify that they are not US Persons. The Administrator reserves the right to request such documentation as is necessary to verify the identity of the Applicant. This may result in Shares being issued on a Business Day subsequent to the Business Day on which the Applicant initially wished to have Shares issued. No redemption proceeds will be paid to a Shareholder in respect of a redemption order (although subsequent transactions may be processed) prior to the receipt and acceptance of the original application form and all supporting anti-money laundering documentation by or on behalf of the Administrator or the Company. It is further acknowledged that the Administrator, in the performance of its delegated duties, shall be held harmless by the Applicant against any loss arising as a result of a failure to process the subscription order if such information has been requested by the Administrator has not been provided by the Applicant. Personal Information Personal information provided in any application form for Shares will be kept on the database of the Administrator. Upon an application for Shares, Applicants must consent, in accordance with the Data Protection Acts, 1988 and 2003 to the release of such information to the Company and to service providers appointed by the Company who may be situated outside of the European Union for purposes solely connected with the administration of the Company. EU Savings Directive Certain Applicants who are resident in an EU Member State or certain dependent territories of EU Member States or have identified themselves to the Company by means of a passport or other identity card issued by an EU Member State or certain dependent territories of EU Member States may be required to provide additional information/documentation in order to ensure compliance with the provisions of the EU Savings Directive. Generally, such information should include the tax identification number of the Applicant. Information obtained by or on behalf of the Company for the purposes of the EU Savings Directive will be reported to the Irish Revenue Commissioners (the Revenue Commissioners ) who may in turn report information relating to payments received by the relevant Shareholder from the Company to the taxation authority in the EU Member State or certain dependent territories of EU Member States in which the Shareholder is resident. Please also see EU Savings Directive disclosure under the Tax Information section for additional information in relation to these requirements. How to Redeem Shares Shares may be redeemed on any Business Day by the registered Shareholder at the net asset value per Share determined for that Business Day (and are subject to any applicable CDSC, dealing charge and short term trading fee that may apply) and in accordance with the procedures described below. Cut-Off Times and Processing Fund Trade Cut-Off Time Settlement Time All Funds Close of the regular trading session of NYSE (normally 4:00pm, New York time) T + 3 Redemption Order Processing Processing of redemption orders is subject to receipt and acceptance by or on behalf of the Administrator or the Company of a valid redemption order. Subject to the provisions set out under Limitations on Redemptions below, redemption orders received and accepted by or on behalf of the Administrator or by the Company prior to the Trade Cut-Off Time on a Business Day will be processed at the net asset value per Share determined on that Business Day. Redemption orders received after the Trade Cut-Off Time on a Business Day will be processed at the net asset value per Share determined on the next Business Day. 34

99 It is the responsibility of Distribution Agents to ensure that all redemption orders received by them are transmitted to the Administrator on a timely basis and in compliance with the Trade Cut-Off Times set out above. Redemption orders will only be accepted where subscriptions for those Shares being redeemed have been properly settled in cleared funds in accordance with the procedures outlined in the section entitled How to Purchase Shares above. The Company and the Administrator will not be liable for fraudulent or erroneous redemptions provided that they follow procedures established by them to determine the validity of redemption orders. Redemption orders are irrevocable unless the Company has suspended the determination of net asset value as described in this Prospectus, in which event the right of a Shareholder to have their Shares redeemed or exchanged will be similarly suspended. During the period of suspension a Shareholder may withdraw any pending redemption order, any such order to withdraw a redemption must be made in the same manner as redemption orders are submitted (as described in this section). A request to withdraw a redemption order will be effective only if actually received and accepted by or on behalf of the Administrator or the Company before the termination of the period of suspension. If the redemption order is not withdrawn in accordance with this procedure, the Shares that are the subject of the original redemption order shall be redeemed at the net asset value per Share next calculated following the end of the suspension. Payment of Redemption Proceeds Redemption proceeds, net of all expenses and deductions (if applicable), will normally be wired into the Shareholder s pre-designated bank account within the Settlement Times specified in the table above (and in any event within 14 days of receipt and acceptance of a redemption order) provided a fully completed original application form, including relevant anti-money laundering documentation, is held by the Administrator and the Shares have been properly settled in cleared funds. Distribution Agents are responsible for ensuring that redemption proceeds received by them are transmitted to Shareholders on a timely basis. Information Required by the Administrator Redemption orders must state: Shareholder name Shareholder address, fax number and address (if a Shareholder has consented to the receipt of information by from the Company) to which the contract note is to be sent Shareholder s account number Fund name being redeemed Class of Shares being redeemed Currency denomination of the Class of Shares being redeemed Number or value of Shares to be redeemed Redemption orders shall be submitted to the Administrator in writing, by fax (or other electronic means approved by the Administrator and the Company upon the prior approval of the Financial Regulator). Redemption by telephone or other electronic means will not be accepted by the Administrator from individual investors or Qualifying Institutional Investors. Institutional Investors and Distribution Agents may also request redemptions by telephone. Information relating to a redemption order made by telephone will be confirmed to the Shareholder over a recorded telephone line. Redemption orders received by telephone from Institutional Investors and Distribution Agents will only be processed provided that the Shareholder name and account number, and the name, address, fax number and/or address (where a Shareholder has so consented to the receipt of information from the Company electronically) to which the contract note is to be sent corresponds to the information that is held for the Shareholder of record with the Administrator. Should the Institutional Investor or Distribution Agent designate that the contract note be sent to a name and/or address which is other than that of the Shareholder of record registered with the Administrator, written confirmation of this change must be submitted by the Shareholder, and received by the Administrator, before the change will be processed. The redemption order will be accepted but the contract notes will continue to be addressed to the existing Shareholder of record until written confirmation of the change of the Shareholder s contact details has been received by the Administrator. Minimum Holdings If processing a redemption order would cause a Shareholder s holding in any Fund or Class of Shares to fall below the applicable minimum initial subscription amount, the Company or the Administrator may redeem the whole of that Shareholder s holding in such Fund or Class of Shares. Please refer to the section entitled Short Term Trading, Mandatory Redemption of Shares and Forfeiture of Dividend on page 36. Limitations on Redemptions The Company is entitled to limit the number of Shares of any Fund redeemed on any Business Day (including Shares redeemed as part of an exchange of Shares from one Fund to another) to 10% of the total number of Shares of that Fund in issue. In this event, all the relevant redemption orders will be scaled down pro rata to the number of Shares requested to be redeemed. Shares not redeemed, but which would otherwise have been redeemed, will be treated as if an order had been made to redeem them on the next Business Day and all following Business Days until the original redemption order has been satisfied in full. Shares so redeemed will be valued at the net asset value per Share prevailing on the Business Day on which they are actually redeemed (with redeeming Shareholders assuming the risks associated with any change in the net asset value per Share on such Business Days). On any Business Day, deferred redemption order will be satisfied in priority to later orders and in the chronological order that such orders were initially received. If orders for redemption are so deferred, the Administrator will inform the Shareholders affected. The Company, with the sanction of an ordinary resolution of the Shareholders of a Fund, may transfer assets of the Company to a Shareholder in satisfaction of a redemption order, provided that, (i) in the case of any redemption order with respect to Shares representing 5% or less of the share capital of the Company or of a Fund or (ii) with the consent of the Shareholder making a redemption order, assets may be transferred without the sanction of an ordinary resolution provided that the Directors shall deem it equitable and such distribution is not prejudicial to the interests of the remaining Shareholders. If the Shareholder making such redemption order so requests it, the Company may sell such assets and the proceeds of sale shall be transmitted to the redeeming Shareholder. Fees and Charges Shareholders should be aware that a Distribution Agent may charge customer service fees in connection with redemptions and Shareholders should consult their financial adviser for details. Such fees are not paid by the Funds and are a matter for agreement between Distribution Agents and their customers. Such fees (if applicable) are in addition to CDSC, dealing charge and short term trading fees that may apply as described in the Prospectus. 35

100 If a redemption order represents 5% or more of the net asset value of a Fund, the Company may deduct from the redemption proceeds the costs of the Fund disposing of portfolio securities to meet the redemption order, if the Fund has net redemptions on the relevant Business Day. If the cost of dispatching, transmitting or otherwise giving effect to payments of the redemption proceeds exceeds the value of the redemption proceeds the Company may retain such redemption proceeds for the benefit of the remaining Shareholders provided that in no event shall the value of such redemption proceeds exceed US$20 in the case of Classes denominated in US Dollars or its equivalent in Euro or Pound Sterling in the case of Classes denominated in Euro or Pound Sterling respectively. The Company is not required to pay redemption proceeds in a currency other than the currency of denomination of the Class of Shares redeemed. Shareholders who request that redemption proceeds be paid in a currency not matching the currency denomination of the Class of Shares redeemed will bear any currency conversion costs. Such currency conversion costs will not be borne by the relevant Fund. The Company will be required to deduct tax on redemption monies at the applicable rate unless it has received from the Shareholder a declaration in the prescribed form confirming that the Shareholder is not an Irish resident in respect of whom it is necessary to deduct tax. Short Term Trading, Mandatory Redemption of Shares and Forfeiture of Dividend The redemption right is not intended to facilitate excessive and/or short-term trading. Shares (other than Class Z Shares) redeemed within 90 days of purchase may be subject to a short-term trading fee not exceeding 1.00% of the value of the Shares that are redeemed in addition to any applicable CDSC. Class Z Shares and all Share Classes in the Janus Emerging Markets Fund may be subject to a dealing charge, details of which are set out below under Fees & Expenses. Shares which have been held the longest will always be redeemed or exchanged first. If the Shares are transferred to a different account registration, the Shares will retain their original purchase date for the short term trading fee purposes. Neither the Administrator nor the Company are able to monitor round trips in respect of intermediaries dealing through omnibus accounts, and in such cases, it shall be a matter for the intermediary to monitor its account(s) to determine if the restrictions on trading are breached. A round trip is a redemption or exchange out of a Fund (by any means) followed by a purchase or exchange back into any Fund (by any means). The Company may limit the number of round trips carried out by a Shareholder, including an intermediary that holds Shares in an omnibus account. If a redemption causes a Shareholder s holding in any Fund or Class of Shares to fall below the minimum initial subscription for such Shares, the Company or the Administrator may redeem the whole of that Shareholder s holding in such Fund or Class of Shares. Before doing so, the Company shall notify the Shareholder in writing and allow the Shareholder thirty days to purchase additional Shares to meet the minimum subscription requirement. The Company reserves the right to vary or waive this policy at any time. Shareholders are required to notify the Company in writing immediately in the event that they become US Persons or hold Shares for the account or benefit of US Persons, or otherwise hold Shares in breach of any law or regulation or otherwise in circumstances having or which may have adverse regulatory, tax, or fiscal consequences for the Company or its Shareholders as a whole. When the Directors become aware that a Shareholder (1) is a US Person or is holding Shares for the account of a US Person; or (2) is holding Shares in breach of any law or regulation or otherwise in circumstances having or which may have adverse regulatory, tax, or fiscal consequences for the Company or its Shareholders as a whole (including without limitation instances where a Shareholder has engaged in excessive and/or short term trading), the Directors may (1) direct the Shareholder to dispose of such Shares to a person designated by the Directors within 30 days of such direction at a sale price equal to the net asset value of the Shares as of the next Business Day after the date of the direction; or (2) redeem the Shares at the net asset value of the Shares as at the next Business Day after the date of notification to the Shareholder. Under the Articles of Association, any person who becomes aware that he is holding Shares in contravention of the above provisions and who fails to transfer, or deliver for redemption, his Shares pursuant thereto, must indemnify the Company from and against any claims, demands, proceedings, liabilities, damages, losses, costs, and expenses directly or indirectly suffered or incurred by the Company arising out of or in connection with the failure of such person to comply with such obligations. The Articles of Association provide that any unclaimed dividends shall be forfeited automatically after six years and on forfeiture will form part of the assets of the relevant Fund. The Company shall be entitled to repurchase any Share of a Shareholder or any Share to which another party is entitled by transmission in accordance with the provisions of the Articles of Association. The Company shall account to the Shareholder or to the other party entitled to such Share for the net proceeds of such repurchase by carrying all moneys in respect thereof to a separate interest bearing account which shall be a permanent debt of the Company and the Company shall be deemed to be a debtor and not a trustee in respect thereof for such Shareholder or other person. How to Exchange or Transfer Shares Exchange of Shares Generally, an exchange of Shares is only permissible between the corresponding Classes of Shares. A Shareholder of a Class of Shares in one Fund can exchange those Shares only for the corresponding Class of Shares of another Fund at relative net asset values, although the Class currency may differ. Exchanges may also be made for the purpose of effecting a change in the dividend policy applicable to the Shareholder s investment (e.g. between Classes A$dis and A$acc or between Classes B inc and B acc). Exchange orders may be made on any Business Day. Exchange orders will not be processed until receipt and acceptance by or on behalf of the Administrator or the Company. Cut-off times and processing Exchange orders must be received and accepted prior to the Trade Cut-Off Times specified in the tables on pages on each Business Day and if so accepted, Shares requested to be redeemed out of a Fund and the Shares to be issued as part of the exchange will be effected at their respective net asset values calculated on that Business Day. Exchange orders received and accepted after these deadlines will be processed at the net asset value calculated on the next Business Day. Fractional Shares may be received on an exchange. It is the responsibility of Distribution Agents to ensure all exchange orders received by them are delivered to the Administrator on a timely basis. 36

101 The Company reserves the right to reject any exchange order and, upon prior notice to Shareholders and the Financial Regulator, to modify or terminate the exchange privilege at any time. An exchange order will not be executed until any previous transaction involving the Shares to be exchanged has been completed and full settlement in respect of those Shares has been received by the Company by the relevant Settlement Time. Information required by the Administrator Exchange orders may be submitted to the Administrator in writing, by fax or other electronic means approved by the Administrator and the Company upon the prior approval of the Financial Regulator. When requesting an exchange, the Shareholder must provide the following information: Shareholder name and account number; Shareholder address, fax number and, address (if a Shareholder has consented to the receipt of information by from the Company), to which the contract note is to be sent; Fund name and the Class(es) of Shares and the currency denomination of the Shares to be exchanged; number or value of the Shares to be exchanged; and details of the Shares which the Shareholder wishes to receive in exchange for his original holding (i.e., name of Class and Fund and the currency denomination of the Shares to be issued to the Shareholder). Distribution Agents and Institutional Investors may also request exchanges by telephone. If an exchange order is made by telephone, this information will be confirmed to the Shareholder over a recorded telephone line. Exchange orders received by telephone will only be processed provided that the information provided (i.e. Shareholder name and account number, and the name, address, fax number and, where applicable, address to which the contract note is to be sent) corresponds to the information for the Shareholder of record as registered with the Administrator. Should the Shareholder designate that the contract note be sent to a name and/or address which is other than that of the Shareholder of record registered with the Administrator, written confirmation of this change must be submitted by the Shareholder and received by the Administrator before the change will be processed. The exchange order will be accepted but the contract notes will continue to be addressed to the Shareholder of record until written confirmation of the change has been received by the Administrator. The number of Shares issued upon exchange will be based upon the respective net asset values of Shares of the two relevant Funds on the Business Day on which the exchange order is effected and will be calculated as follows: where:- NS = NS = (PxQxR) V the number of Shares in the new Fund which will be issued; and P = the number of Shares in the original Fund which the Shareholder has requested be exchanged; and Q = the repurchase price per Share of the original Fund on the relevant Business Day; and R = if applicable, the relevant currency rate of exchange determined by or on behalf of the Company for converting the currency denomination of the Shares of original Fund into the currency denomination of the Shares of the new Fund; and V = the issue price of the Shares in the new Fund on the relevant Business Day. Minimum Holdings Exchange orders may not, at the Company s discretion, be accepted if this would result in a Shareholder s holding being less than the minimum initial subscription requirement in the Fund in which Shares are being redeemed and the Fund in which the Shares are being issued. In such cases, the Company may redeem the whole of that Shareholder s holding in such Fund or Class of Shares. Before doing so, the Company shall notify the Shareholder in writing and allow the Shareholder thirty days to purchase additional Shares to meet the minimum subscription requirement. The Company reserves the right to vary or waive this policy at any time. Excessive and/or Short-Term Trading The exchange privilege is not intended to facilitate excessive and/or shortterm trading. Shares (other than the Class Z Shares, where permitted) exchanged (including cross currency exchanges) within 90 days of purchase may be subject to a short-term trading fee not exceeding 1.00% of the value of the Shares that are traded. Class Z Shares and all Share Classes in the Janus Emerging Markets Fund may be subject to a dealing charge, details of which are set out below under Fees & Expenses. Neither the Administrator nor the Company are able to monitor round trips in respect of intermediaries dealing through omnibus accounts, and in such cases, it shall be a matter for the intermediary to monitor its account(s) to determine if the restrictions on trading are breached. A round trip is a redemption or exchange out of a Fund (by any means) followed by a purchase or exchange back into any Fund (by any means). The Company may limit the number of round trips carried out by a Shareholder, including an intermediary that holds Shares in an omnibus account. Please refer to the section on page 30 entitled Excessive and/or Short Term Trading for further details. Other Fees & Taxes Certain Distribution Agents may charge an exchange fee of up to 1% of the net asset value of the Shares being exchanged on exchanges of Class A Shares for the purposes of covering transaction costs in relation to such exchanges. Investors should consult their financial adviser for more information. Such exchange fees are not imposed by the Funds (or paid by the Funds) and are a matter for agreement between Distribution Agents and their customers. Such fees (if applicable) are in addition to CDSC, dealing charge and/or short term trading fees that may apply as described in the section of the Prospectus entitled Fees and Expenses below on page 44. The exchange of Shares may have tax consequences, and Shareholders should consult their tax adviser about the tax consequences of any exchange. The Company reserves the right to suspend the exchange privilege with respect to Shares of one or more Funds in the circumstances described in the section entitled Suspension of Net Asset Value Determination. Neither the Company nor the Administrator will be liable for a fraudulent or erroneous exchange of Shares provided that they follow procedures established by them to determine the validity of exchange orders. 37

102 Transfer of Shares Transfers of Shares may be made through a Distribution Agent and shall be effected in writing in any usual or common form. Every form of transfer shall state the full name of the Shareholder transferring Shares (the transferor ) and the person receiving Shares (the transferee ) subject to the transferee being a Distribution Agent or otherwise at the Distributor s discretion. In the case of the transfer of Class Z Shares, the transferee must be a Qualifying Institutional Investor. The instrument of transfer of a Share shall be signed by or on behalf of the transferor and need not be signed by the transferee. The transferor shall be deemed to remain the holder of the Share until the name of the transferee is entered in the share register in respect thereof. The name of the transferee will not be entered in the share register until such time as the Administrator receives from the transferee, if required, a completed application form and all necessary documentation required to verify the identity of the transferee for the purposes of complying with applicable anti-money laundering requirements. A transferee may submit, if required, a completed application form by fax or other electronic means approved by the Company and the Administrator. However, no redemption proceeds will be paid to the relevant transferee in respect of a redemption order (although subsequent transactions may be processed) prior to the receipt and acceptance of the original application form and all supporting anti-money laundering documentation by or on behalf of the Administrator or the Company. Class B Shares transferred within four years of the date on which such Shares are issued may be subject to a charge, payable by the transferor, in the same manner as if those Shares were redeemed. The transferee may be subject to a charge if it disposes of the Class B Shares within four years of acquisition by transfer calculated at the same rate as if the transferee had acquired the Shares by subscription. The Directors may decline to register any transfer of Shares if any of the foregoing charges remain unpaid following such transfer. The transfer of Shares is not intended to facilitate excessive and/or short-term trading. In the event a Share (other than the Class Z Shares, where permitted) is transferred within 90 days of purchase, the transferor may be subject to a short-term trading fee not exceeding 1.00% of the value of the Shares that are traded. Class Z Shares and all Share Classes in the Janus Emerging Markets Fund may be subject to a dealing charge, details of which are set out below under Fees & Expenses. Similarly, the transferee may be subject to the same short-term trading fee if it disposes of the Shares within 90 days of acquisition by transfer. Please see the section on page 30 entitled Excessive and/or Short-Term Trading. Any such fee collected will be payable to the Company. The Company reserves the right to impose this fee for any Shareholder. The Company will be required to account for tax on the value of the Shares transferred at the applicable rate unless it has received from the transferor a declaration in the prescribed form confirming that the Shareholder is not an Irish resident in respect of whom it is necessary to deduct tax. The Company reserves the right to redeem such number of Shares held by a transferor as may be necessary to discharge any tax liability arising. The Company will not register a transfer of Shares without the prior approval of the Directors (or the Administrator acting on delegated authority) and, in any event, will not register such transfer until it receives a declaration as to the transferee s tax residency or status in the form prescribed by the Revenue Commissioners. Distribution Policies Class of Share Accumulating (acc) Share Classes A$acc, A acc, B$acc, B acc, I$acc, I acc, Z$acc, Z acc Distributing (dis or inc) Share Classes Equity & Balanced Funds, Risk Managed Equity Funds and Alternative Investment Funds with the exception of Janus Global Real Estate Fund A dis, A$dis, B dis, B$dis, I dis, I$dis Janus Global Real Estate Fund A$inc, A inc, B$inc, B inc, I$inc, I inc, A dis, B dis, I dis Fixed Income Funds with the exception of Janus Global Strategic Income Fund A$inc, A inc, B$inc, B inc, I$inc, I inc, A dis, B dis, I dis Janus Global Strategic Income Fund A$dis, A inc, A dis, B$dis, B inc, B dis, I$dis, I inc, I dis Frequency of Dividend Declaration Net Investment Income Net Realised Capital Gains Stable NAV Distribution Frequency Not applicable Not applicable Not applicable No Not applicable Annually or more frequently at the discretion of the Directors Annually or more frequently at the discretion of the Directors Included No Annually or more frequently at the discretion of the Directors Quarterly Quarterly Included No Quarterly Monthly Monthly Included No Monthly Monthly Monthly Included No Monthly In respect of each dividend declared, the Board of Directors may determine if, and to what extent, such dividend is to be paid out of net realised capital gains. 38

103 Accumulating (acc) Share Classes The Company will not declare or make dividend payments on any accumulating (acc) Class of Shares. All net income and net realised capital gains will not be distributed and will be reflected in the net asset value per Share. Distributing (dis or inc) Share Classes The distributing (dis or inc) share classes intend to declare and distribute dividends, which are comprised of net investment income as disclosed below. Any net capital gains realised (i.e. net capital gains less realised and unrealised losses) by the above Classes of Shares on sales of portfolio assets are declared and distributed periodically. Prior to the day that the distributions are declared, the undistributed net investment income and undistributed net realised capital gains will be retained and reflected in the net asset value of each Share Class. Net unrealised capital gains attributable to all distributing (dis or inc) Shares of the Funds will not be paid as dividends but will be retained and reflected in the net asset value per Share. The Directors intend to manage the dis Share Class of a Fund and the I inc Share Classes of the Fixed Income Funds so that certification as a distributing fund may be sought in the United Kingdom for these classes in respect of each accounting period (each financial year of the Company). As certification in respect of an accounting period may only be applied for retrospectively, there can be no guarantee that certification from Her Majesty s Revenue and Customs ( HMRC ) will be obtained. Neither can there be any guarantee or assurance that the law and regulations governing distributing status, or HMRC s interpretation of them, will remain the same. Where the above Classes of Shares operate equalisation, distributions made by such Classes of Shares will include an amount of income equalisation. This amount corresponds to the equalisation income included in the net asset value per Share of such Classes. Equity & Balanced Funds, Risk Managed Equity Funds and the Alternative Investment Funds (other than the Janus Global Real Estate Fund) Intend to declare and distribute dividends annually on or about 15 May, or on such other date or more frequently at the discretion of the Directors. Fixed Income Funds Intend to declare and distribute dividends monthly, normally on the fifteenth day of each month unless the fifteenth day is not a Business Day in which case the distribution will be made on the last Business Day before the fifteenth day of the month. Janus Global Real Estate Fund Intend to declare and distribute dividends at least quarterly, normally on 15 February, 15 May, 15 August and 15 November unless one of these days is not a Business Day in which case the distribution will be made on the last Business Day before the aforementioned dates. Applicants should indicate on their application form whether they prefer to receive dividends in cash or to have them automatically reinvested in additional Shares (of the Class in relation to which such distributions have been declared). If no choice is made on the application form, dividends will be automatically reinvested. The election can be changed by advising the Administrator in writing. Income distributions to Shareholders of distributing Class A$inc, A inc, B$inc and B inc Shares generally will be less than distributions to Shareholders of distributing Class I$inc and I inc Shares because of the maintenance fees paid with respect to Class A$inc, A inc, B$inc and B inc Shares. Income distributions to Shareholders of distributing Class B$inc and B inc Shares generally will be less than distributions to Shareholders of distributing Class A$inc and A inc Shares because of the distribution fees paid with respect to Class B$inc and B inc Shares. Tax Information The following is a general summary of the main Irish tax considerations applicable to the Company and certain investors in the Company who are the beneficial owners of Shares in the Company. It does not purport to deal with all of the tax consequences applicable to the Company or to all categories of investors, some of whom may be subject to special rules. For instance, it does not address the tax position of Shareholders whose acquisition of Shares in the Company would be regarded as a shareholding in a Personal Portfolio Investment Undertaking (PPIU). Accordingly, its applicability will depend on the particular circumstances of each Shareholder. The following does not constitute tax advice and Shareholders and potential investors are advised to consult their professional advisors concerning possible taxation or other consequences of purchasing, holding, selling, converting or otherwise disposing of the Shares under the laws of their country of incorporation, establishment, citizenship, residence or domicile, and in the light of their particular circumstances. United States Taxation The Company intends to conduct its activities in such a manner that neither it nor any Fund will be deemed to be engaged in a trade or business in the United States for US federal income tax purposes and, therefore, should not be subject to US federal corporate income tax. Each Fund may invest, however, in securities that produce income that is subject to US withholding and/or income tax. The following is only a summary of certain aspects of the Internal Revenue Code (the Code ), and is not intended to be a summary of all relevant US tax considerations. For US federal income tax purposes, a shareholder of the Funds who is a non-us Person will not be subject to US federal income taxation on distributions by a Fund in respect of the Shares or gains recognised on the sale, exchange or redemption of Shares, unless (1) distributions or gains on the Shares are attributable to an office or fixed place of business maintained by the shareholder in the United States; or (2) in the case of gains recognised by a non-resident alien individual, such non-resident alien individual is present in the United States for 183 days or more in the taxable year of the sale, exchange or redemption and has a tax home in the United States. Ireland Taxation The following statements on taxation are based on advice received by the Directors regarding the law and practice in force in Ireland at the date of this document. Legislative, administrative or judicial changes may modify the tax consequences described below and as is the case with any investment, there can be no guarantee that the tax position or proposed tax position prevailing at the time an investment is made will endure indefinitely. Taxation of the Company The Directors have been advised that, under current Irish law and practice, the Company qualifies as an investment undertaking for the purposes of 39

104 Section 739B of the Taxes Consolidation Act, 1997, as amended ( TCA ) so long as the Company is resident in Ireland. Accordingly, it is generally not chargeable to Irish tax on its income and gains. Chargeable Event However, Irish tax can arise on the happening of a chargeable event in the Company. A chargeable event includes any payments of distributions to Shareholders, any encashment, repurchase, redemption, cancellation or transfer of Shares and any deemed disposal of Shares as described below for Irish tax purposes arising as a result of holding Shares in the Company for a period of eight years or more. Where a chargeable event occurs, the Company is required to account for the Irish tax thereon. No Irish tax will arise in respect of a chargeable event where: (a) the Shareholder is neither resident nor ordinarily resident in Ireland ( Non-Irish Resident ) and it (or an intermediary acting on its behalf ) has made the necessary declaration to that effect and the Company is not in possession of any information which would reasonably suggest that the information contained in the declaration is not, or is no longer, materially correct; or (b) the Shareholder is Non-Irish Resident and has confirmed that to the Company and the Company is in possession of written notice of approval from the Revenue Commissioners to the effect that the requirement to provide the necessary declaration of non-residence has been complied with in respect of the Shareholder and the approval has not been withdrawn; or (c) the Shareholder is an Exempt Irish Resident as defined below and it (or an intermediary acting on its behalf ) has made the necessary declaration to that effect. In the absence of a signed and completed declaration or written notice of approval from the Revenue Commissioners, as applicable, being in the possession of the Company at the relevant time there is a presumption that the Shareholder is resident or ordinarily resident in Ireland ( Irish Resident ) or is not an Exempt Irish Resident and a charge to tax arises. A chargeable event does not include: any transactions (which might otherwise be a chargeable event) in relation to Shares held in a recognised clearing system as designated by order of the Revenue Commissioners; or a transfer of Shares between spouses and any transfer of Shares between spouses or former spouses on the occasion of judicial separation and/or divorce; or an exchange by a Shareholder, effected by way of arm s length bargain where no payment is made to the Shareholder, of Shares in the Company for other Shares in the Company; or an exchange of Shares arising on a qualifying amalgamation or reconstruction (within the meaning of Section 739H of the TCA) of the Company with another investment undertaking. If the Company becomes liable to account for tax on a chargeable event, the Company shall be entitled to deduct from the payment arising on that chargeable event an amount equal to the appropriate tax and/or, where applicable, to repurchase and cancel such number of Shares held by the Shareholder, as is required to meet the amount of tax. The relevant Shareholder shall indemnify and keep the Company indemnified against loss arising to the Company by reason of the Company becoming liable to account for tax on the happening of a chargeable event. 40 Deemed Disposals The Company may elect not to account for Irish tax in respect of deemed disposals in certain circumstances. Where the total value of Shares in the Company held by Shareholders who are Irish Resident and, who are not Exempt Irish Residents as defined below, is 10% or more of the net asset value of the Company, the Company will be liable to account for the tax arising on a deemed disposal as set out below. However, where the total value of Shares in the Company held by such Shareholders is less than 10% of the net asset value of the Company, the Company may, and it is expected that the Company will, elect not to account for tax on the deemed disposal. In this instance, the Company will notify relevant Shareholders that it has made such an election and those Shareholders will be obliged to account for the tax arising under the self-assessment system themselves. Further details of this are set out below under the heading Taxation of Irish Resident Shareholders. Irish Courts Service Where Shares are held by the Irish Courts Service the Company is not required to account for Irish tax on a chargeable event in respect of those Shares. Rather, where money under the control or subject to the order of any Court is applied to acquire Shares in the Company, the Courts Service assumes, in respect of the Shares acquired, the responsibilities of the Company to, inter alia, account for tax in respect of chargeable events and file returns. Exempt Irish Resident Shareholders The Company will not be required to deduct tax in respect of the following categories of Irish Resident Shareholders, provided the Company has in its possession the necessary declarations from those persons (or an intermediary acting on their behalf ) and the Company is not in possession of any information which would reasonably suggest that the information contained in the declarations is not, or is no longer, materially correct. A Shareholder who comes within any of the categories listed below and who (directly or through an intermediary) has provided the necessary declaration to the Company is referred to herein as an Exempt Irish Resident : (a) a pension scheme which is an exempt approved scheme within the meaning of Section 774 of the TCA, or a retirement annuity contract or a trust scheme to which Section 784 or Section 785 of the TCA, applies; (b) a company carrying on life business within the meaning of Section 706 of the TCA; (c) an investment undertaking within the meaning of Section 739B(1) of the TCA; (d) a special investment scheme within the meaning of Section 737 of the TCA; (e) a charity being a person referred to in Section 739D(6)(f )(i) of the TCA; (f ) a qualifying management company within the meaning of Section 739B(1) of the TCA; (g) a unit trust to which Section 731(5)(a) of the TCA applies; (h) a person who is entitled to exemption from income tax and capital gains tax under Section 784A(2) of the TCA where the Shares held are assets of an approved retirement fund or an approved minimum retirement fund;

105 (i) (j) a person who is entitled to exemption from income tax and capital gains tax by virtue of Section 787I of the TCA, and the Shares are assets of a PRSA; a credit union within the meaning of Section 2 of the Credit Union Act, 1997; (k) the National Pensions Reserve Fund Commission; (l) the National Asset Management Agency; (m) a company within the charge to corporation tax in accordance with Section 110(2) of the TCA (securitisation companies); (n) in certain circumstances, a company within the charge to tax under Case I of Schedule D in respect of payments made to it by the Company; or (o) any other person who is resident or ordinarily resident in Ireland who may be permitted to own Shares under taxation legislation or by written practice or concession of the Revenue Commissioners without giving rise to a charge to tax in the Company or jeopardising the tax exemptions associated with the Company. There is no provision for any refund of tax to Shareholders who are Exempt Irish Residents where tax has been deducted in the absence of the necessary declaration. A refund of tax may only be made to corporate Shareholders who are within the charge to Irish corporation tax. Taxation of Non-Irish Resident Shareholders Non-Irish Resident Shareholders who (directly or through an intermediary) have made the necessary declaration of non-residence in Ireland, where required, are not liable to Irish tax on the income or gains arising to them from their investment in the Company and no tax will be deducted on distributions from the Company or payments by the Company in respect of a repurchase, redemption, cancellation or other disposal of their investment. Such Shareholders are generally not liable to Irish tax in respect of income or gains made from holding or disposing of Shares except where the Shares are attributable to an Irish branch or agency of such Shareholder. Unless the Company is in possession of written notice of approval from the Revenue Commissioners to the effect that the requirement to provide the necessary declaration of non-residence has been complied with in respect of the Shareholder and the approval has not been withdrawn, in the event that a non-resident Shareholder (or an intermediary acting on its behalf ) fails to make the necessary declaration of non-residence, tax will be deducted as described above on the happening of a chargeable event and notwithstanding that the Shareholder is not resident or ordinarily resident in Ireland any such tax deducted will generally not be refundable. Where a Non-Irish Resident company holds Shares in the Company which are attributable to an Irish branch or agency, it will be liable to Irish corporation tax in respect of income and capital distributions it receives from the Company under the self assessment system. Taxation of Irish Resident Shareholders Deduction of Tax Tax will be deducted and remitted to the Revenue Commissioners by the Company from any distributions made by the Company (other than on a disposal) to an Irish Resident Shareholder who is not an Exempt Irish Resident, where payments are made annually or at more frequent intervals at the rate of 25% and, where payments are made less frequently at the rate of 28%. Tax will also be deducted by the Company and remitted to the Revenue Commissioners from any gain arising on an encashment, repurchase, redemption or other disposal of Shares by such a Shareholder at the rate of 28%. Any gain will be computed as the difference between the value of the Shareholder s investment in the Company at the date of the chargeable event and the original cost of the investment as calculated under special rules. Deemed Disposals Tax will also be deducted by the Company and remitted to the Revenue Commissioners in respect of any deemed disposal where the total value of Shares in the Company held by Irish Resident Shareholders who are not Exempt Irish Residents is 10% or more of the net asset value of the Company. A deemed disposal will occur on each and every eighth anniversary of the acquisition of Shares in the Company by such Shareholders. The deemed gain will be calculated as the difference between the value of the Shares held by the Shareholder on the relevant eighth year anniversary or, as described below where the Company so elects, the value of the Shares on the later of the 30 June or 31 December prior to the date of the deemed disposal and the relevant cost of those Shares. The excess arising will be taxable at the rate of 28%. Tax paid on a deemed disposal should be creditable against the tax liability on an actual disposal of those Shares. Where the Company is obliged to account for tax on deemed disposals it is expected that the Company will elect to calculate any gain arising for Irish Resident Shareholders who are not Exempt Irish Residents by reference to the net asset value of the Company on the later of the 30 June or 31 December prior to the date of the deemed disposal, in lieu of the value of the Shares on the relevant eight year anniversary. The Company may elect not to account for tax arising on a deemed disposal where the total value of Shares in the Company held by Irish Resident Shareholders who are not Exempt Irish Residents is less than 10% of the net asset value of the Company. In this case, such Shareholders will be obliged to account for the tax arising on the deemed disposal under the self assessment system themselves. The deemed gain will be calculated as the difference between the value of the Shares held by the Shareholder on the relevant eighth year anniversary and the relevant cost of those Shares. The excess arising will be regarded as an amount taxable under Case IV of Schedule D and will be subject to tax at the rate of 28%. Tax paid on a deemed disposal should be creditable against the tax payable on an actual disposal of those Shares. Residual Irish Tax Liability Corporate Shareholders resident in Ireland which receive distributions (where payments are made annually or at more frequent intervals) from which tax has been deducted will be treated as having received an annual payment chargeable to tax under Case IV of Schedule D from which tax at the rate of 25% has been deducted. Subject to the comments below concerning tax on a currency gain, in general, such Shareholders will not be subject to further Irish tax on payments received in respect of their holding from which tax has been deducted. A corporate Shareholder resident in Ireland which holds the Shares in connection with a trade will be taxable on any income or gains received from the Company as part of that trade with a set-off against corporation tax payable for any tax deducted from those payments by the Company. Subject to the comments below concerning tax on a currency gain, in general, non-corporate Irish Resident Shareholders will not be subject to further Irish tax on income arising on the Shares or gains made on disposal of the Shares, where the appropriate tax has been deducted by the Company from distributions paid to them. 41

106 Where a currency gain is made by a Shareholder on the disposal of Shares in the Company, the Shareholder will be liable to capital gains tax in respect of that gain in the year/s of assessment in which the Shares are disposed of. Any Irish Resident Shareholder who is not an Exempt Irish Resident and who receives a distribution from which tax has not been deducted (for example, because the Shares are held in a recognised clearing system) will be liable to account for income tax or corporation tax as the case may be on that payment. Where such Shareholder receives a gain on an encashment, redemption, cancellation or transfer from which tax has not been deducted, (for example, because the Shares are held in a recognised clearing system) the Shareholder will also be liable to account for income tax or corporation tax on the amount of the gain under the self-assessment system and in particular, Part 41 of the TCA. Shareholders who are individuals should also note that failure to comply with these provisions may result in them being subject to tax at their marginal rate (currently up to 41%) on the income and gains together with the health levy, surcharge, penalties, levies and interest. Overseas Dividends Dividends (if any) and interest which the Company receives with respect to investments (other than securities of Irish issuers) may be subject to taxes, including withholding taxes, in the countries in which the issuers of the investments are located. It is not known whether the Company will be able to benefit from reduced rates of withholding tax under the provisions of the double tax treaties which Ireland has entered into with various countries. However, in the event that the Company receives any repayment of withholding tax suffered, the net asset value of the Company will not be restated and the benefit of any repayment will be allocated to the then existing Shareholders rateably at the time of such repayment. Stamp duty On the basis that the Company qualifies as an investment undertaking within the meaning of Section 739B of the TCA, generally, no stamp duty will be payable in Ireland on the issue, transfer, repurchase or redemption of Shares in the Company. However, where any subscription for or redemption of Shares is satisfied by an in-kind or in specie transfer of Irish securities or other Irish property, Irish stamp duty might arise on the transfer of such securities or properties. No Irish stamp duty will be payable by the Company on the conveyance or transfer of stock or marketable securities of a company not registered in Ireland, provided that the conveyance or transfer does not relate to any immovable property situated in Ireland or any right over or interest in such property, or to any stocks or marketable securities of a company (other than a company which is an investment undertaking within the meaning of Section 739B of the TCA) which is registered in Ireland. Residence In general, investors in the Company will be either individuals, corporate entities or trusts. Under Irish rules, both individuals and trusts may be resident or ordinarily resident. The concept of ordinary residence does not apply to corporate entities. Individual Investors Test of Residence An individual will be regarded as resident in Ireland for a particular tax year if the individual is present in Ireland: (1) for a period of at least 183 days in any 42 one tax year; or (2) for a period of at least 280 days in any two consecutive tax years, provided that the individual is resident in Ireland for at least 31 days in each tax year. In determining days present in Ireland an individual is deemed to be present if the individual is in the country at the end of the day (midnight). If an individual is not resident in Ireland in a particular tax year the individual may, in certain circumstances, elect to be treated as resident. Test of Ordinary Residence If an individual has been resident for the three previous tax years then the individual will be deemed ordinarily resident from the start of the fourth year. An individual will remain ordinarily resident in Ireland until the individual has been non-resident for three consecutive tax years. Trust Investors A trust will generally be regarded as an Irish Resident where all of the trustees are resident in Ireland. Trustees are advised to seek specific tax advice if they are in doubt as to whether the trust is an Irish Resident. Corporate Investors A company will be Irish resident if its central management and control is in Ireland or (in certain circumstances) if it is incorporated in Ireland. For Ireland to be treated as the location of a company s central management and control this typically means Ireland is the location where all fundamental policy decisions of the company are made. All companies incorporated in Ireland are resident in Ireland for tax purposes except where: (i) the company or a related company carries on a trade in Ireland, and either the company is ultimately controlled by persons resident in EU member states (other than Ireland) or countries with which Ireland has a double tax treaty, or the principal class of the shares in the company or a related company is substantially and regularly traded on a recognised stock exchange in an EU member state or in a country with which Ireland has signed a double tax treaty; or (ii) the company is regarded as resident in a country other than Ireland and not resident in Ireland under a double tax treaty between Ireland and that other country. A company coming within either (i) or (ii) above will not be regarded as resident in Ireland unless its central management and control is in Ireland. Disposal of Shares and Irish Capital Acquisitions Tax (a) Persons Domiciled or Ordinarily Resident in Ireland The disposal of Shares by means of a gift or inheritance made by a disponer domiciled or ordinarily resident in Ireland or received by a beneficiary domiciled or ordinarily resident in Ireland may give rise to a charge to Irish Capital Acquisitions Tax for the beneficiary of such a gift or inheritance with respect to those Shares. (b) Persons Not Domiciled or Ordinarily Resident in Ireland On the basis that the Company qualifies as an investment undertaking within the meaning of Section 739B of the TCA, the disposal of Shares will not be within the charge to Irish Capital Acquisitions Tax provided that; the Shares are comprised in the gift or inheritance at the date of the gift or inheritance and at the valuation date;

107 the donor is not domiciled or ordinarily resident in Ireland at the date of the disposition; and the beneficiary is not domiciled or ordinarily resident in Ireland at the date of the gift or inheritance. EU Savings Directive Ireland has implemented the EC Council Directive 2003/48/EC on the taxation of savings income into national law. Accordingly, where the Administrator, paying agent or such other entity as could be considered to be a paying agent for these purposes, makes a payment of interest (which may include an income or capital distributions/dividends payment) on behalf of the Company or a Fund to an individual or to certain residual entities, resident in another EU Member State of the European Union (or certain associated and dependent territories of an EU Member State), it will be obliged to provide details of the payment and certain details relating to the Shareholders (including the Shareholder s name and address) to the Revenue Commissioners. The Revenue Commissioners in turn are obliged to provide such information to the competent authorities of the state or territory of residence of the individual or residual entity concerned. The Administrator, paying agent or such other entity considered to be a paying agent for these purposes shall be entitled to require Shareholders to provide any information regarding tax status, identity or residency in order to satisfy the disclosure requirements in this Directive and Shareholders will be deemed by their subscription for Shares in a Fund to have authorised the automatic disclosure of such information by the Administrator, Paying Agent or other relevant person to the relevant tax authorities. Determination of Net Asset Value The Administrator shall determine the net asset value per Share of each Fund at the Valuation Point. Any liabilities of the Company which are not attributable to any Fund shall be allocated pro rata amongst all of the Funds. Where a Fund is made up of more than one Class of Shares, the net asset value of each Class shall be determined by calculating the amount of the net asset value of the Fund attributable to each Class. The amount of the net asset value of a Fund attributable to a Class shall be determined by establishing the number of Shares in issue in the Class as at the most recent net asset value calculation and by allocating relevant fees and Class Expenses (as defined below) to the Class and making appropriate adjustments to take account of distributions paid out of the Fund, if applicable, and apportioning the net asset value of the Fund accordingly. The net asset value per Share of a Class shall be calculated by dividing the net asset value of the Class by the number of Shares in issue in that Class (adjusted to the nearest whole unit of the base currency) as at the most recent net asset value calculation immediately preceding the current calculation of the net asset value per Share. Class Expenses means the expenses of registering a Class in any jurisdiction or with any stock exchange, regulated market or settlement system and such other expenses arising from such registration and such further expenses howsoever arising as may be disclosed in the Prospectus. Valuation of Assets All of the Funds shall value securities held in their portfolios in accordance with the following procedures: Assets listed or traded on a Regulated Market or over-the-counter markets (other than those referred to below) for which market quotations are readily available shall be valued at the last quoted trade price as at the Valuation Point or, if unavailable or, in the opinion of the Administrator unrepresentative of fair market value, the latest middle market quotation (i.e., the mid price between the latest bid and offer prices) on the principal exchange in the market for such investment, provided that the value of the investment listed on a Regulated Market but acquired or traded at a premium or at a discount outside or off the relevant stock exchange or on an over-the-counter market may be valued, taking into account the level of premium or discount as at the date of valuation of the investment. If for specific assets, the latest available prices do not, in the opinion of the Administrator, reflect their fair value or if prices are unavailable, the value shall be calculated with care and in good faith by the Administrator (being a competent person), approved for that purpose by the Custodian, in consultation with the Investment Adviser or the relevant Sub-Investment Adviser on the basis of the probable realisation value for such assets as at the Valuation Point. Notwithstanding the foregoing, the Administrator may use a systematic fair valuation model provided by an independent third party to value equity securities and/or fixed income securities in order to adjust for stale pricing which may occur between the close of foreign exchanges and the relevant Valuation Point. If the assets are listed or traded on several Regulated Markets, the last quoted trade price or latest middle market quotation on the Regulated Market which, in the opinion of the Administrator constitutes the main market for such assets, will be used. In the event that any of the investments on the relevant Business Day is not listed or traded on any Regulated Market, such security shall be valued at the probable realisation value determined with care and in good faith by the Administrator (the Administrator being approved by the Custodian as a competent person for such purpose) in consultation with the Investment Adviser or the relevant Sub-Investment Adviser. Such probable realisation value will be determined: by using the original purchase price; where there have been subsequent trades with substantial volumes, by using the last traded price provided the Administrator in consultation with the Investment Adviser or the relevant Sub-Investment Adviser considers such trades to be at arm s length; where the Administrator in consultation with the Investment Adviser or the relevant Sub-Investment Adviser believes the investment has suffered a diminution in value, by using the original purchase price which shall be discounted to reflect such a diminution; or if the Administrator, in consultation with the Investment Adviser or the relevant Sub-Investment Adviser, believes a mid-quotation from a broker is reliable, by using such a mid-quotation or, if unavailable, a bid quotation. Alternatively, the Administrator, in consultation with the Investment Adviser or the relevant Sub-Investment Adviser, may use such probable realisation value estimated with care and in good faith as may be recommended by a competent professional appointed by the Administrator, the Investment Adviser, or the relevant Sub-Investment Adviser and approved for that purpose by the Custodian. Cash and other liquid assets will be valued at their face value with interest accrued, where applicable, to the Valuation Point. 43

108 Units or shares in collective investment schemes will be valued at the latest available net asset value or, if listed or traded on a Regulated Market, at the latest quoted trade price or a mid-quotation (or, if unavailable, a bid quotation) or, if unavailable or unrepresentative, the latest available net asset value as deemed relevant to the collective investment scheme. Exchange traded financial derivative instruments will be valued at the Valuation Point at the settlement price for such instruments on such market. Over-the-counter financial derivative instruments shall be valued daily using either the counterparty valuation or an alternative valuation, such as a valuation calculated by the Company or by an independent pricing vendor appointed by the Company provided the Company or other party has adequate human and technical means to perform the valuation and approved for that purpose by the Custodian. The counterparty to derivative instruments not traded on an exchange must be prepared to value the contract and to close out the transaction at the request of the Company at fair value. Where the counterparty valuation is used, the valuation must be approved or verified by an independent party who is approved for the purpose by the Custodian and who is independent of the counterparty at least weekly. The independent verification shall be carried out at least monthly. Where an alternative valuation is used, the Company shall follow international best practice and shall adhere to the principles on the valuation of over-the-counter instruments established by bodies such as IOSCO and AIMA such valuation shall be reconciled on a monthly basis to the valuation provided by the counterparty to such instrument. Where significant differences arise these will be promptly investigated and explained. Forward foreign exchange contracts shall be valued by reference to the price at which a new forward contract of the same size and maturity could be undertaken as of the close of business on the relevant dealing day. Any value expressed otherwise than in the base currency (whether of an investment or cash) and any non-base currency borrowing shall be converted into the base currency at the rate (whether official or otherwise) which the Administrator deems appropriate in the circumstances. The net asset value per Share shall be rounded upwards or downwards as appropriate to the nearest two decimal places. In the event of it being impossible or incorrect to carry out a valuation of a specific investment in accordance with the valuation rules set out above, or if such valuation is not representative of a security s fair market value, the Administrator is entitled to use other generally recognised valuation principles in order to reach a proper valuation of that specific instrument, provided that such method of valuation has been approved by the Custodian. In determining the value of the assets, there shall be added to the assets any interest or dividends accrued but not received and any amounts available for distribution but in respect of which no distribution has been made. Publication of the Price of the Shares Except where the determination of the net asset value has been suspended in the circumstances described below, the net asset value per Share shall be made available at the registered office of the Administrator on each Business Day and in the case of those Shares which are listed on the ISE, the net asset value per Share shall be notified to the ISE immediately upon calculation. In addition, the net asset value per Share shall be published on each Business Day on the JCIL website, details of which are available from your local representative. The net asset value per Share will also available through one or more of the following: Reuters, Bloomberg and Morningstar. This information is published for information only. It is not an invitation to subscribe for, repurchase or exchange Shares at that net asset value. Although the US Dollar Shares are denominated in US Dollars, the Euro Shares are denominated in Euro and the Pound Shares are denominated in Pound Sterling, the Company may make available Share price quotations in other currencies from time to time, such quotations shall be available on the basis of the rate of exchange available to the Administrator on the relevant dealing day. Temporary Suspension of Valuation of the Shares and of Sales and Repurchases The Company may temporarily suspend the determination of the net asset value and the sale or repurchase of Shares in any Fund during: any period (other than ordinary holiday or customary weekend closings) when any market is closed which is the main market for a significant part of the Fund s investments, or when trading thereon is restricted or suspended; any period when an emergency exists as a result of which disposal by the Company of investments which constitute a substantial portion of the assets of the Fund is not practically feasible; any period when for any reason the prices of any investments of the Fund cannot be reasonably, promptly, or accurately ascertained by the Fund; any period when remittance of monies which will, or may be, involved in the realisation of, or in the payment for, investments of the Fund cannot, in the opinion of the Directors, be carried out at normal rates of exchange; or any period when proceeds of the sale or repurchase of the Shares cannot be transmitted to or from the Fund s account. Any such suspension shall be published by the Company in such manner as it may deem appropriate to the persons likely to be affected thereby if, in the opinion of the Company, such suspension is likely to continue for a period exceeding 14 days. Any such suspension shall be notified immediately to the Financial Regulator and the ISE and in any event within the same Business Day of any such suspension. Shareholders shall assume the risk of any decrease in the net asset value of their Shares during any such suspension period. Where practicable, the Company shall take all reasonable steps to bring such suspension to an end as soon as possible. Portfolio Holdings Disclosure Policy The Funds portfolio holdings policy is designed to be in the best interest of the Funds and to protect the confidentiality of the Funds portfolio holdings. The full portfolio holdings for JCM and Perkins managed Funds shall generally be available quarterly, with a 30-day lag, on the JCIL website. The full portfolio holdings for INTECH managed Funds shall generally be available quarterly, with a 60-day lag, on the JCIL website. Any portfolio holdings information which may otherwise be provided on request shall be provided on a confidential basis. Fees and Expenses Charging Structure Applicable to Different Share Classes Class A Shares Initial Sales Charge An initial sales charge of up to 6.25% of the amount subscribed shall be payable in respect of subscriptions for Class A Shares. Any such sales charge 44

109 shall be payable to the Distributor or the Distribution Agents. In addition, the Distributor or Distribution Agent may, in its sole discretion, waive payment of the initial sales charge and reduce the initial sales charge payable by a subscriber for Class A Shares. No sales charge is imposed on Class A Shares purchased throughout the reinvestment of distributions on such Shares of any Fund which makes income distributions or capital gains distributions. In addition to the sales charges described above, a Distribution Agent may charge customer service fees, redemption fees and/or exchange fees in connection with subscribed Shares. Share Transaction Fees No CDSC is payable to the Distributor in respect of Class A Shares. Class A Shares redeemed or exchanged within 90 days of purchase may be subject to a short term trading fee not exceeding 1.00% of the value of the Shares traded. Dealing Charge Janus Emerging Markets Fund To protect the existing shareholders in the Janus Emerging Markets Fund a dealing charge of up to 1.00 per cent. of the value of the subscription, redemption, exchange or transfer (where permitted) may, at the sole discretion of the Investment Adviser and the Distributor, be deducted and retained by the Fund to cover the Company s estimate of the costs of acquiring or disposing of securities. Any such charge will be in addition to the offer price at which Class A Shares of the Janus Emerging Markets Fund will be issued and deducted from the redemption proceeds at which Class A Shares of the Janus Emerging Markets Fund are redeemed including the price of Class A Shares of the Janus Emerging Markets Fund issued or redeemed as a result of requests for conversion. Any such sum will be paid into the account of the Janus Emerging Markets Fund. Shareholder Service Fees Ongoing shareholder service fees are payable with respect to the assets of each Fund attributable to Class A Shares. A shareholder service fee with respect to Class A Shares is payable out of the assets of each Fund at the rate of 0.75% per annum (0.50% for the Risk Managed Equity Funds and the Janus US Short Term Bond Fund) of the Fund s average daily net asset value attributable to Class A Shares. The shareholder service fee is calculated and accrued daily and payable quarterly in arrears. The shareholder service fee compensates the Distributor for services provided and expenses incurred in promoting the sale of Class A Shares, which may include ongoing shareholder service payments to Distribution Agents or other parties whose customers maintain investments in Class A Shares, assistance in handling purchases, exchanges, and redemptions of Shares. Shareholder service fees shall be paid from that proportion of the Fund s net asset value attributable to Class A Shares and will not be used to finance up-front sales commission. All Class A Shareholders shall be entitled to the services in respect of which such fees are paid. The Distributor may reallow any part or all of the shareholder service fee to Distribution Agents or other third parties. Details of the shareholder service fee will be set out in the Company s annual and semi annual reports. Investment Management Fees Ongoing management fees are payable with respect to the assets of each Fund attributable to Class A Shares. The management fees compensate JCIL for investment advisory, management and other related services out of which JCIL pays the investment advisory fees of the Sub-Investment Advisers. JCIL may also re-allow a portion of its management fees to Distribution Agents or other third parties who assist JCIL in the performance of its duties or provide services, directly or indirectly, to the Company or its shareholders or otherwise as described in the following sections. Details of the investment management fees payable out of the assets of each Fund attributable to Class A Shares are set out below in the sections entitled Investment Management Fees below. Class B Shares Initial Sales Charge No initial sales charge is payable in respect of a subscription for Class B Shares. However, a Distribution Agent may charge customer service fees, redemption fees and/or exchange fees in connection with investments. Share Transaction Fees Class B Shares are subject to a CDSC if an investor redeems Shares within four years of purchase. Any such CDSC collected shall be payable to the Distributor. The amount of the CDSC will vary depending on the number of years from the time of purchase of the Shares until the time of redemption of such Shares. A Share is deemed to age one year on each anniversary of its date of purchase. The amount of the CDSC is calculated by applying the following percentages to an amount equal to the lesser of net asset value per Share at the date of redemption or the original cost of the Class B Shares to be redeemed. The following table sets forth the rate of CDSC applicable to redemptions of Class B Shares: Years Since Purchase CDSC Less than one year 4% One year and above but less than two years 3% Two years and above but less than three years 2% Three years and above but less than four years 1% Four years and above 0% There is no CDSC imposed on (1) the redemption of Class B inc or B dis Shares purchased through the reinvestment of distributions on Class B inc or B dis Shares of Funds making distributions or (2) the exchange of Class B Shares of one Fund for Class B Shares of another Fund, provided that in the case of an exchange described in clause (2), the Class B Shares received in the exchange will be deemed a continuation of the investment represented by the Class B Shares exchanged for purposes of computing the CDSC payable on a later redemption of the Class B Shares received in the exchange. In determining whether a CDSC is payable on any redemption, each Fund assumes for each shareholder that Shares not subject to any charge are redeemed first, followed by Shares held longest during the four-year period. The Distributor reserves the right to waive payment of a CDSC or reduce the amount of CDSC payable by any shareholder. Class B Shares redeemed or exchanged within 90 days of purchase may be subject to a short term trading fee not exceeding 1.00% of the value of the Shares traded. Dealing Charge Janus Emerging Markets Fund To protect the existing shareholders in the Janus Emerging Markets Fund a dealing charge of up to 1.00 per cent. of the value of the subscription, redemption, exchange or transfer (where permitted) may, at the sole discretion of the Investment Adviser and the Distributor, be deducted and retained by the Fund to cover the Company s estimate of the costs of acquiring or disposing of securities. Any such charge will be in addition to the offer price at which 45

110 Class B Shares of the Janus Emerging Markets Fund will be issued and deducted from the redemption proceeds at which Class B Shares of the Janus Emerging Markets Fund are redeemed including the price of Class B Shares of the Janus Emerging Markets Fund issued or redeemed as a result of requests for conversion. Any such sum will be paid into the account of the Janus Emerging Markets Fund. Shareholder Service Fees Ongoing shareholder service fees are payable with respect to the assets of each Fund attributable to Class B Shares. A shareholder service fee with respect to Class B Shares is payable out of the assets of each Fund at the rate of 0.75% per annum (0.50% for the Risk Managed Equity Funds and the Janus US Short Term Bond Fund) of the Fund s average daily net asset value attributable to Class B Shares. In addition, a distribution fee with respect to Class B Shares is payable out of the assets of each Fund at the rate of up to 1.00% per annum of the Fund s average daily net asset value attributable to Class B Shares. The shareholder service fee is calculated and accrued daily and payable quarterly in arrears. The shareholder service fee compensates the Distributor for services provided and expenses incurred in promoting the sale of Class B Shares, which may include ongoing shareholder service payments to Distribution Agents or third parties whose customers maintain investments in Class B Shares, assistance in handling purchases, exchanges, and redemptions of Shares. Shareholder service fees shall be paid from that proportion of the Fund s net asset value attributable to Class B Shares and will not be used to finance up-front sales commission. All Class B Shareholders shall be entitled to the services in respect of which such fees are paid. The Distributor may reallow any part or all of the shareholder service fee to Distribution Agents or other third parties. The distribution fee is calculated daily and payable monthly in arrears and is payable out of that proportion of each Fund s net asset value attributable to Class B Shares. The distribution fee compensates the Distributor for commissions it may pay to Distribution Agents selling Class B Shares. The Distributor may assign its right to receive any distribution fee or CDSC to third parties which provide funding for up-front commission payments paid to Distribution Agents at the time of the initial sale of Shares. Details of the shareholder service fee and the distribution fee will be set out in the Company s annual and semi annual reports. Investment Management Fees Ongoing management fees are payable with respect to the assets of each Fund attributable to Class B Shares. The management fees compensate JCIL for investment advisory, management and other related services out of which JCIL pays the investment advisory fees of the Sub-Investment Advisers. JCIL may also re-allow a portion of its management fees to Distribution Agents or other third parties who assist JCIL in the performance of its duties or provide services, directly or indirectly, to the Company or its shareholders or otherwise as described in the following sections. Details of the investment management fees payable out of the assets of each Fund attributable to Class B Shares are set out below in the section entitled Investment Management Fees. Class I Shares Initial Sales Charge Class I Shares are available to Institutional Investors and may be subject to an initial sales charge as negotiated with the investor, subject to a maximum charge of 2.00% of the amount subscribed. Share Transaction Fees No CDSC is payable to the Distributor in respect of Class I Shares. Class I Shares redeemed or exchanged within 90 days of purchase may be subject to a short term trading fee not exceeding 1.00% of the value of the Shares traded. Dealing Charge Janus Emerging Markets Fund To protect the existing shareholders in the Janus Emerging Markets Fund a dealing charge of up to 1.00 per cent. of the value of the subscription, redemption, exchange or transfer (where permitted) may, at the sole discretion of the Investment Adviser and the Distributor, be deducted and retained by the Fund to cover the Company s estimate of the costs of acquiring or disposing of securities. Any such charge will be in addition to the offer price at which Class I Shares of the Janus Emerging Markets Fund will be issued and deducted from the redemption proceeds at which Class I Shares of the Janus Emerging Markets Fund are redeemed including the price of Class I Shares of the Janus Emerging Markets Fund issued or redeemed as a result of requests for conversion. Any such sum will be paid into the account of the Janus Emerging Markets Fund. Shareholder Service Fees No shareholder service fees are payable in respect of the assets of a Fund attributable to Class I Shares. Investment Management Fees Ongoing management fees are payable with respect to the assets of each Fund attributable to Class I Shares. The management fees compensate JCIL for investment advisory, management and other related services out of which JCIL pays the investment advisory fees of the Sub-Investment Advisers. JCIL may also re-allow a portion of its management fees to Distribution Agents or other third parties who assist JCIL in the performance of its duties or provide services, directly or indirectly, to the Company or its shareholders or otherwise as described in the following sections. Details of the investment management fees payable out of the assets of each fund attributable to Class I Shares are set out in the section entitled Investment Management Fees below. Class Z Shares The Investment Adviser is entitled to an investment management fee which will be payable under a separate agreement with the Investment Adviser into which each investor must enter prior to their initial subscription for Class Z Shares in a Fund. Initial Sales Charge No Initial Sales Charge is payable in respect of Class Z Shares. Share Transaction Fees No CDSC is payable to the Distributor in respect of Class Z Shares. No short term trading fee is payable in respect of Class Z Shares. Dealing Charge To protect the existing shareholders a dealing charge of up to 1.00 per cent of the value of the subscription, redemption, exchange or transfer (where permitted) may, at the sole discretion of the Investment Adviser and the Distributor, be deducted and retained by a Fund to cover the Company s 46

111 estimate of the costs of acquiring or disposing of securities. Any such charge will be in addition to the offer price at which Class Z Shares will be issued and deducted from the redemption proceeds at which Class Z Shares are redeemed including the price of Class Z Shares issued or redeemed as a result of requests for conversion. Any such sum will be paid into the account of the relevant Fund. Shareholder Service Fees No shareholder service fees are payable in respect of the assets of a Fund attributable to Class Z Shares. Investment Management Fees No investment management fees are payable out of the assets of the applicable Fund in respect of the Class Z Shares. Instead Class Z Shares are, inter alia, designed to accommodate an alternative charging structure whereby the investor is a Qualifying Institutional Investor. Investment Management Fees Each Fund shall pay JCIL an investment management fee in respect of the Class A, B and I Shares which is calculated daily and paid monthly in arrears pursuant to the following management fee schedule: Fund Equity & Balanced Funds Annual Percentage of a Fund s Net Asset Value for Class A and B Shares Annual Percentage of a Fund s Net Asset Value for Class I Shares Janus Asia Fund Janus Emerging Markets Fund Janus Europe Fund Janus Global Fundamental Equity Fund Janus Global Growth Fund Janus Global Life Sciences Fund Janus Global Research Fund Janus Global Research (ex-japan) Fund Janus Global Technology Fund Janus US Fund Janus US All Cap Growth Fund Janus US Balanced Fund Janus US Research Fund Janus US Twenty Fund Janus US Venture Fund Perkins Global Value Fund Perkins US Strategic Value Fund Risk Managed Equity Funds (for the avoidance of doubt, these funds are Equity Investing Funds) INTECH European Risk Managed Core Fund INTECH Global Risk Managed Core Fund INTECH US Risk Managed Core Fund Alternative Investment Funds (for the avoidance of doubt, these funds (other than the Janus Global Real Estate Fund) are Equity Investing Funds) INTECH Market Neutral Fund Janus Extended Alpha Fund Janus Global Research 130/30 Fund Janus Global Real Estate Fund

112 48 Fund Fixed Income Funds Annual Percentage of a Fund s Net Asset Value for Class A and B Shares Annual Percentage of a Fund s Net Asset Value for Class I Shares Janus Global High Yield Fund Janus Global Investment Grade Bond Fund Janus Global Strategic Income Fund Janus US Flexible Income Fund Janus US High Yield Fund Janus US Short-Term Bond Fund This Fund is closed to new subscriptions (including conversions into the Fund) as it is the intention to terminate this Fund. In respect of the Class Z Shares, the Investment Adviser is entitled to an investment management fee which will be payable under a separate agreement with the Investment Adviser into which each investor must enter (and maintain) prior to their initial subscription for Class Z Shares in the Fund. Performance Fees Janus Extended Alpha Fund For each calendar year, the Investment Adviser shall be entitled to a performance fee (the Performance Fee ) in respect of the Janus Extended Alpha Fund equal to 20% of the amount by which the Portfolio Return exceeds the Benchmark Return. The Performance Fee shall be payable out of the assets of the Fund and shall be calculated by the Administrator subject to the verification of the Custodian following the year end of the Fund and subject to the conditions below. (i) The Portfolio Return in any calendar year is calculated as a percentage movement from the Initial NAV per Share of the Fund for that calendar year to the Closing NAV per Share of the Fund for that calendar year. For the purposes of such calculation, the Initial NAV per Share shall be the net asset value per Share of the Fund (for the avoidance of doubt, after all previously accrued Investment Management Fees and Performance Fees have been paid) on the last Business Day for the previous calendar year and the Closing NAV per Share shall be the net asset value per Share of the Fund on the last Business Day for the relevant calendar year before any deduction has been made for the Investment Management Fees and Performance Fees for the relevant calendar year (but after deducting all other accrued fees for such calendar year). (ii) The Benchmark Return of the Fund in any calendar year shall be the 12 month London Interbank Offered Rate. The Investment Adviser may alter the benchmark of the Fund from time to time to any other benchmark which the Investment Adviser determines, in its sole discretion, is generally representative of the then current benchmark for the Fund. Shareholders in the Fund will be notified in advance of any such change and an amendment to the Prospectus will be issued at the time of such change. (iii) No Performance Fee will accrue until the start of the calendar year following the closing of the Initial Offer Period. (iv) Once payable in respect of a calendar year, a Performance Fee will not be affected by any losses experienced by the Fund in any subsequent period. (v) For the avoidance of doubt, the Performance Fee will only be paid in the event that the Portfolio Return exceeds the Benchmark Return for the relevant calendar year and any underperformance of the Portfolio Return in respect of the Benchmark Return in previous periods will be clawed back before the Performance Fee becomes due in subsequent periods. (vi) The Performance Fee will be calculated and accrue daily, based on net daily assets, and will be paid annually in arrears. Where Performance Fees are payable by the Fund these will be based on net realised and net unrealised gains and losses as at the end of each calculation period. As a result, Performance Fees may be paid on unrealised gains which may subsequently never be realised. Because the Performance Fee is based on the Fund s relative performance compared to the Benchmark Return (and not absolute performance), the Performance Fee could be earned even if the Fund s Shares lose value during the calendar year and in certain cases a Performance Fee might not be earned even if the Fund s Shares increase in value during the calendar year. The Investment Adviser may agree to pay to the Sub-Investment Adviser part or all of the Performance Fee as may be agreed in writing between the Investment Adviser and the Sub-Investment Adviser from time to time. Where the Company invests in the units of other collective investment schemes that are managed, directly or by delegation, by the Investment Adviser or by any other company with which the Investment Adviser is linked by common management or control, or by a direct or indirect holding of more than 10% of the capital or the votes, that management company or other company may not charge subscription, conversion or redemption fees and no management fee, or only a reduced management fee of a maximum of 0.25% on account of the Company s investment in the units of such other collective investment scheme. JCIL has agreed to waive all or a portion of its investment management fee to the extent necessary to ensure that the total fees (including all fees of the Administrator, the Custodian and any Company representatives in any jurisdiction, however, excluding the performance fee payable in relation to the Janus Extended Alpha Fund) and out-of-pocket expenses allocated to a Fund in any fiscal year do not exceed the percentage of average daily net assets attributable to each Class of Shares of such Fund as set out in the table below:

113 Fund Percentage of average daily Net Asset Value - Class A Shares Percentage of average daily Net Asset Value - Class B Shares Percentage of average daily Net Asset Value - Class I Shares Equity & Balanced Funds Janus Asia Fund Janus Emerging Markets Fund Janus Europe Fund Janus Global Fundamental Equity Fund Janus Global Growth Fund Janus Global Life Sciences Fund Janus Global Research Fund Janus Global Research (ex-japan) Fund Janus Global Technology Fund Janus US Fund Janus US All Cap Growth Fund Janus US Balanced Fund Janus US Research Fund Janus US Twenty Fund Janus US Venture Fund Perkins Global Value Fund Perkins US Strategic Value Fund Risk Managed Equity Funds (for the avoidance of doubt, these funds are Equity Investing Funds) INTECH European Risk Managed Core Fund INTECH Global Risk Managed Core Fund INTECH US Risk Managed Core Fund Alternative Investment Funds (for the avoidance of doubt, these funds (other than the Janus Global Real Estate Fund) are Equity Investing Funds) INTECH Market Neutral Fund Janus Extended Alpha Fund Janus Global Research 130/30 Fund Janus Global Real Estate Fund Fixed Income Funds Janus Global High Yield Fund Janus Global Investment Grade Bond Fund Janus Global Strategic Income Fund Janus US Flexible Income Fund Janus US High Yield Fund Janus US Short-Term Bond Fund This Fund is closed to new subscriptions (including conversions into the Fund) as it is the intention to terminate this Fund. In the case of the Class Z shares, JCIL has agreed that the total fees (including all fees of the Administrator, the Custodian and any Company representatives in any jurisdiction) and out-of-pocket expenses allocated to a Fund in any fiscal year will not exceed 0.15% of average daily net assets attributable to each Class Z Shares of such Fund. For the avoidance of doubt, this total fees and out-of-pocket expenses cap is exclusive of any fees paid by the Class Z Shareholder directly to JCIL as may be agreed from time to time. The Directors may raise these expense limits upon not less than one month s written notice to the Shareholders of any Fund. In such event, this Prospectus will be updated accordingly. JCIL reserves the right to make a retrocession of a portion of its investment management fee to the Company from time to time to lower the overall expense ratio payable by any Shareholder. In addition, JCIL shall be entitled to be reimbursed its out-of-pocket expenses. Where the total fees (including all fees of the Administrator, the Custodian and any Company representative in any jurisdiction) and out-of-pocket expenses allocated to a Fund (other than any of the Risk Managed Equity Funds, Janus Global Research Fund, Janus Global Research (ex-japan) Fund, Janus Global Real 49

114 Estate Fund, the Janus Global Strategic Income Fund, the Janus Europe Fund, the Janus Asia Fund, INTECH European Risk Managed Core Fund, INTECH Market Neutral Fund, Janus Extended Alpha Fund, Janus Global Research 130/30 Fund, Janus Emerging Markets Fund, Janus US Fund, Perkins Global Value Fund, Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund) in any fiscal year exceed the total expense limits set out above, the amount of such excess may be carried forward to succeeding fiscal years (together with the amount of any such unpaid excess relating to previous years) provided that such carry forward will be subject to the expense caps applicable in the relevant fiscal year. With respect to the Risk Managed Equity Funds, the Janus Global Research Fund, Janus Global Research (ex-japan) Fund, the Janus Global Real Estate Fund, the Janus Global Strategic Income Fund, the Janus Europe Fund, the Janus Asia Fund, INTECH European Risk Managed Core Fund, the INTECH Market Neutral Fund, Janus Extended Alpha Fund, Janus Global Research 130/30 Fund, Janus Emerging Markets Fund, Janus US Fund, Perkins Global Value Fund, Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund any fees and expenses incurred by that Fund in excess of the limit on such fees and expenses stipulated by the Directors, may not be carried forward to succeeding fiscal years and JCIL will waive such portion of its investment management fee in respect of such Fund to the extent necessary to ensure that the total expense limits for that Fund are not exceeded. Notwithstanding the foregoing, JCIL may, in its sole discretion, waive payment of the investment management fee or reduce the amount of such investment management fee at any time. In such event, the Company shall advise Shareholders of any such waiver or reduction in the next succeeding annual or semi-annual report to Shareholders. A waiver or reduction of the investment management fee will have a positive impact on the net asset value of the Fund to which the waiver or reduction applies. Conversely, the withdrawal of a waiver or reduction in the investment management fee by JCIL in respect of a particular Fund will have a negative impact on the net asset value of that Fund. Notwithstanding any payment of shareholder service fees and/or distribution fees to Distribution Agents or other third parties referred to above, from its own assets JCM and/or its affiliates may make payments based on gross sales, current assets or other measures to selected Distribution Agents that are or are expected to be instrumental in the acquisition or retention of shareholders for the Funds or otherwise. The amount of these payments is determined from time to time by JCM and/or its affiliates, may be substantial, and may differ for different Distribution Agents. Currently, these payments do not exceed 1% on current assets. In addition, these payments do not exceed an upfront commission on gross sales of up to 4% for Class B Shares. However, such payments may be subject to change. The minimum aggregate sales required for eligibility for such payments, and the factors in selecting the Distribution Agents to which they will be made, are determined from time to time by JCM and/or its affiliates. In addition, JCM and/or its affiliates may make payments from their own assets to Distribution Agents and other third parties (including Institutional Investors) that may relate to the provision of distribution or other services (such as recordkeeping, sub-accounting, transaction processing and/or other shareholder or administrative services) or otherwise. These payments may be in addition to any fees that may be paid by the Funds. The arrangements in relation to these payments and the terms are a matter for JCM and/or its affiliates on a negotiated basis and the Company will not thereby incur any obligation or liability whatsoever. The receipt (or prospect of receiving) payments described above may provide a Distribution Agent and its salespersons with an incentive to favour sales of Fund Shares over sales of other funds (or other investments) with respect to which the Distribution Agent does not receive such payments or receives them in a lower amount. These payment arrangements will not, however, change the price at which Shares are issued by the Fund or the amount that a Fund receives to invest on behalf of the investor. An investor may wish to consider such payment arrangements when evaluating any recommendations of the Funds. These fees may be in addition to fees paid from the Funds assets to these Distribution Agents, Institutional Investors or third parties. JCM and/ or its affiliates may also share certain marketing expenses with, or pay for or sponsor informational meetings, seminars, client awareness events, support for marketing materials or business building programmes for Distribution Agents or other third parties to raise awareness of the Funds. Other Expenses In addition to the investment management fee, shareholder service fees, distribution fees and Performance Fee specified above, each Fund also incurs all other expenses in connection with its operation and a portion of expenses incurred by the Company as a whole (allocated on the basis of each Fund s relative net asset value), including but not limited to the following expenses: (1) organisational costs, other than the costs of incorporation but including expenses relating to the authorisation of the Company, the negotiation and preparation of the contracts to which it is a party, the costs of printing this Prospectus and the fees and expenses of professional advisers in relation to its establishment; (2) all compensation of any Directors who are not affiliated with the Investment Adviser; (3) standard brokerage and bank charges incurred in respect of the Funds business transactions; (4) all fees due to the auditors and the legal advisers in respect of the Funds; (5) all expenses connected with publications and supply of information to Shareholders and potential shareholders; in particular certain website costs, the cost of translating, printing and distributing the annual and semi-annual reports, this Prospectus and any amendments thereto (including supplements to the prospectus and country specific addenda), application forms and any marketing materials; (6) all expenses involved in registering and maintaining the Company s registration with all governmental agencies and stock exchanges; (7) all taxes which may be payable on the assets, income and expenses chargeable to the Funds, including annual subscriptions taxes payable to all relevant regulatory authorities; (8) all expenses involved in convening the annual general meetings of Shareholders and periodic meetings of the Directors; (9) all fees of the Custodian and the Administrator; (10) the costs and expenses of JCM in providing support services; and (11) all expenses incurred in connection with the operation and management of the Company, including, without limitation to the generality of the foregoing the fees and out-pocket-expenses of all paying agents, correspondent banks and similar such representatives of the Company or other fees for clearing and settlement services and related account administration (including fees payable to clearing corporations such as the National Securities Clearing Corporation) in those jurisdictions in which the Company is registered for public distribution or otherwise, such fees and expenses to be at normal commercial rates. Furthermore, the Company will allocate to each Fund on a pro rata basis a portion of any expenses that it incurs that are not directly attributable to the operation of a specific Fund. For the avoidance of doubt, these expenses will be taken into account when calculating the total expense ratio for each Fund. 50

115 Organisational costs (other than the costs of incorporating the Company), have been fully capitalised and were amortised on a straight-line basis over the five-year period following the incorporation of the Company and, have been equally allocated to the Funds created at the time of incorporation of the Company. Costs and expenses incurred in relation to the creation of other Funds, including any new Funds, will be allocated to the relevant Fund and, depending on the materiality of such costs, shall either be written off in the accounting period in which they are incurred or will be amortised on a straight line basis over five years (or such shorter period as the Directors may determine). The cost of establishing the Janus Emerging Markets Fund, Janus US Fund, Perkins Global Value Fund, Janus Global High Yield Fund and Janus Global Investment Grade Bond Fund is expected to be approximately US$500,000. The Directors shall have discretion to determine the basis upon which any liability shall be allocated among the Funds (including conditions as to subsequent re-allocation thereof if circumstances so permit or require) and have the power at any time and from time to time to vary such basis and to charge expenses of the Company against the revenue of the Funds. Shareholders may be charged bank and other charges for special handling of account transactions if a shareholder requests special handling of funds from a Distribution Agent. Any fees payable will not be for the account of the Fund. Directors Fees The Articles of Association provide that the Directors shall be entitled to a fee by way of remuneration for their services at a rate to be determined from time to time by the Directors. As of the date of this prospectus, the aggregate amount of Directors remuneration in one year shall not exceed 300,000. Reports The fiscal year of each Fund will end on 31 December in each year. The annual report of the Company incorporating audited financial statements for each Fund will be published and sent to Shareholders no later than four months after the end of the fiscal year and at least 21 days before the Annual General Meeting of Shareholders. The Company will publish semi-annual unaudited financial reports for the period ending 30 June in each year, containing a list of each Fund s holdings and their market value at the end of the relevant half-year, which will be sent to Shareholders no later than two months after the end of such period. Where a Shareholder so consents the annual and semi-annual reports of the Company will be sent electronically to such Shareholder. In the absence of such consent these reports will be mailed to Shareholders at the address of each Shareholder registered with the Administrator. Other Information the redemption of the Shares, in which case Shareholders shall be deemed to have requested the redemption of the Shares within sixty days of such notice; or if, at any time following the initial offer period, the net asset value of the Company, any one Class of any one Fund or any one Fund shall on any dealing day within a period of one week is less than US$25,000,000 (or its equivalent in Euro or Pound Sterling), provided that notice of not less than four and not more than six weeks has been given to the Shareholders within four weeks of such period; or if no replacement custodian shall have been appointed during the period of 90 days commencing on the date the Custodian or any replacement thereof shall have notified the Company of its desire to retire as custodian or shall have ceased to be approved by the Financial Regulator. Where a redemption of Shares would result in the number of shareholders falling below seven or such other minimum number stipulated by statute or where a redemption of Shares would result in the issued share capital of the Company falling below such minimum amount as the Company may be obliged to maintain pursuant to applicable law, the Company may defer the redemption of the minimum number of Shares sufficient to ensure compliance with applicable law. The redemption of such Shares will be deferred until the Company is wound up or until the Company procures the issue of sufficient Shares to ensure that the redemption can be effected. The Company shall be entitled to select the Shares for deferred redemption in such manner as it may deem to be fair and reasonable and as may be approved by the Custodian. On a winding up of the Company or if all of the Shares in any Fund are to be redeemed, the assets available for distribution (after satisfaction of creditors claims) shall be distributed pro rata to the Shareholders in proportion to the number of the Shares held in that Fund. The balance of any assets of the Company then remaining not comprised in any of the other Funds shall be apportioned as between the Funds pro rata to the net asset value of each Fund immediately prior to any distribution to Shareholders and shall be distributed among the Shareholders of each Fund pro rata to the number of Shares in that Fund held by them. With the authority of a special resolution of the Shareholders, the Company may make distributions in specie to Shareholders. If all of the Shares are to be redeemed and it is proposed to transfer all or part of the assets of the Company to another company, the Company, with the sanction of a special resolution of Shareholders, may exchange the assets of the Company for Shares or similar interests in the transferee company for distribution among shareholders. If a Shareholder so requests the Company shall arrange to dispose of the investments on behalf of the Shareholder. The price obtained by the Company may be different from the price at which the investment was valued when originally purchased. Neither the Investment Adviser nor the Company shall be liable for any loss arising from such event. The transaction costs incurred in the disposal of such investments shall be borne by the relevant Shareholder. The assets available for distribution among the Shareholders upon termination shall be applied in the following priority: Termination All of the Shares or all of the Shares in a Fund may be redeemed by the Company in the following circumstances: if 75% of the holders of the Shares in value voting at a general meeting of the Company or a Fund, of which not more than six and not less than four weeks notice (expiring on a Business Day) has been given, approve (i) firstly, in the payment to the Shareholders of each Class of Share of each Fund of a sum in the base currency in which that Class of Share is denominated or in any other currency selected by the liquidator as nearly as possible equal (at a rate of exchange reasonably determined by the liquidator) to the net asset value of the Shares of such Class of Share held by such Shareholders respectively as at the date of commencement of the winding up provided that there are sufficient assets available in the relevant Fund to enable such payment to be 51

116 made. In the event that, as regards any Class of Share, there are insufficient assets available in the relevant Fund to enable such payment to be made, recourse shall be had to the assets of the Company not comprised within any of the Funds; (ii) secondly, in the payment to the holders of the subscriber shares of sums up to the amount paid thereon (plus any interest accrued) out of the assets of the Company not comprised within any Funds remaining after any recourse thereto under paragraph (i) above. In the event that there are insufficient assets as aforesaid to enable such payment in full to be made, no recourse shall be had to the assets comprised within any of the Funds; (iii) thirdly, in the payment to the Shareholders of any balance then remaining in the relevant Fund, such payment being made in proportion to the number of Shares held; and (iv) fourthly, in the payment to the Shareholders of any balance then remaining and not comprised within any of the Funds, such payment being made in proportion to the value of each Fund and within each Fund to the value of each Class of Share and in proportion to the net asset value per Share. Memorandum and Articles of Association The sole object of the Company, as set out in Clause 2 of the Memorandum and Articles of Association, is the collective investment in transferable securities and/or other liquid financial assets referred to in Regulation 45 of the UCITS Regulations of capital raised from the public and which operates on the basis of risk spreading. All Shareholders are entitled to the benefit of, are bound by and are deemed to have notice of, the provisions of the Memorandum and Articles of Association of Company, copies of which are available free of charge as detailed under the heading Documents for Inspection below. Meetings All general meetings of the Company or of a Fund shall be held in Ireland. In each year the Company shall hold a general meeting as its annual general meeting. The quorum for general meetings shall be two persons present in person or by proxy. Twenty-one days notice (excluding the day of posting and the day of the meeting) shall be given in respect of each general meeting of the Company. The notice shall specify the venue and time of the meeting and the business to be transacted at the meeting. A proxy may attend on behalf of any Shareholder. Notices of general meetings will be sent to Shareholders by post or, where the Shareholder has so consented, by electronic means. An ordinary resolution is a resolution passed by a plurality of votes cast and a special resolution is a resolution passed by a majority of 75% or more of the votes cast. The Articles of Association provide that matters may be determined by a meeting of Shareholders on a show of hands with one vote per Shareholder unless a poll is requested by five Shareholders or by Shareholders holding 10% or more of the Shares or unless the Chairman of the meeting requests a poll. Each Share (including the subscriber shares) gives the Shareholder one vote in relation to any matters relating to the Company which are submitted to Shareholders for a vote by poll. Material Contracts The following contracts have been entered into and are or may be material: Amended and Restated Investment Management Agreement dated 22 December 2005, as amended by supplemental agreements dated 28 September 2006 and side letter dated 30 October 2007, between the Company and the Investment Adviser pursuant to which Investment Adviser was appointed to provide investment advisory and other related services; Investment Management Delegation Agreement dated 17 August 1999 as amended by an amendment agreement dated 31 October 2007 and certain addenda dated 31 April 2006, 20 December 2007, 30 May 2008, 25 November 2008, 19 May 2009, 27 April 2010 and 27 September 2010, between the Investment Adviser and JCM pursuant to which JCM was appointed to provide certain investment management and advisory services to the Company; Investment Management Delegation Agreement dated 6 January 2003 as amended by certain addenda dated 22 December 2005 and 19 May 2009 and an amendment agreement dated 31 October 2007, between the Investment Adviser and INTECH pursuant to which INTECH was appointed to provide certain investment management and advisory services to the Company; Investment Management Delegation Agreement dated 11 July 2003, as amended by an amendment agreement dated 31 October 2007 and addendum dated 27 September 2010 between the Investment Adviser and Perkins pursuant to which Perkins was appointed to provide investment management and advisory services to the Company; Distribution Agreement dated 31 July 2001, as amended by a supplemental agreement dated 28 September 2006, between the Company and JCIL pursuant to which the Company appointed JCIL to act as distributor for the sale of Shares; Administration Agreement dated 27 September 2010, between the Company, the Administrator and Investment Adviser pursuant to which the Administrator acts as administrator, registrar and company secretary to the Company; Custodian Agreement dated 23 December 2002, as amended by a supplemental agreement dated 28 September 2006 and 20 December 2007 between the Company and the Custodian pursuant to which the Custodian was appointed as custodian of the Company s assets; Support Services Agreement dated 31 July 2001 as amended by side letter dated 21 March 2002, and a supplemental agreement dated 28 September 2006, between the Company and the Sub-Investment Adviser pursuant to which the Company appointed JCM to provide certain support services. Documents for Inspection Copies of the following documents may be inspected free of charge at the registered office of the Company at 1 North Wall Quay, Dublin 1, Ireland during normal business hours on any Business Day: the material contracts referred to above; the Certificate of Incorporation and Memorandum and Articles of Association of the Company; the UCITS Regulations and the notices issued by the Financial Regulator pursuant thereto; the Companies Acts and the Investment Funds, Companies and Miscellaneous Provisions Act, 2005; and a list of the other directorships and partnerships of each of the Directors together with an indication of whether or not the individual is still a director or partner. 52

117 Copies of any annual or semi-annual report and the Memorandum and Articles of Association of the Company may be obtained from the Administrator free of charge or may be inspected at the registered office of the Company during normal business hours on any Business Day and will be sent to shareholders and prospective investors upon request. Upon Shareholder approval, such documents may also be sent to the Shareholder electronically. Miscellaneous The Directors confirm and report that the Company was incorporated on 19 November The Company is not, and has not been since its incorporation, engaged in any legal or arbitration proceedings and no legal or arbitration proceedings are known to the Directors to be pending or threatened by or against the Company. There are no service contracts in existence between the Company and any of its Directors, nor are any such contracts proposed. Save as otherwise disclosed herein, none of the Directors nor any connected persons are interested in any contract or arrangement subsisting at the date hereof which is significant in relation to the business of the Company. At the date of this document, neither the Directors nor any connected persons have any direct or indirect interest in the share capital of the Company or any options in respect of such capital. No share or loan capital of the Company is under option or is agreed conditionally or unconditionally to be put under option. Save as otherwise disclosed herein, no commissions, discounts, brokerage, or other special terms have been granted by the Company in relation to Shares issued by the Company. The Company does not have, nor has it had since its incorporation, any employees or subsidiary companies. As of the date of this document none of the Janus Emerging Markets Fund, Janus US Fund, Perkins Global Value Fund, Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund have loan capital (including term loans) outstanding or created but unissued, and no outstanding mortgages, charges, debentures or other borrowings, including bank overdrafts and liabilities under acceptances or acceptance credits, hire purchase or finance lease commitments, guarantees or other contingent liabilities. Definitions In this Prospectus the following words and phrases shall have the meanings listed below:- Administration Agreement means the amended and restated administration agreement dated 27 September, 2010 between the Company, the Administrator and the Investment Adviser (as amended from time to time) pursuant to which the latter acts as administrator, registrar and secretary to the Company; Administrator means Citi Fund Services (Ireland), Limited or such other person from time to time appointed by the Company, in accordance with the requirements of the Financial Regulator, to act as administrator of the Company; Alpha means a measure of risk-adjusted return, or a measure of the difference between a portfolio s actual returns and its expected performance, given its level of risk as measured by beta; Applicant means an investor who is filling out the application form and making an initial subscription for Shares; Alternative Investment Funds means the INTECH Market Neutral Fund, Janus Extended Alpha Fund, Janus Global Research 130/30 Fund and Janus Global Real Estate Fund; Beta measures the volatility of a fund as compared to the overall market. A beta higher than 1.00 is considered to be more volatile than the overall market; a beta lower than 1.00 is considered to be less volatile; Board or Board of Directors means the board of directors of the Company; Base Currency means:- (i) in the case of the Janus Europe Fund and INTECH European Risk Managed Core Fund the Euro; and (ii) in the case of all other Funds the US Dollar; Business Day means any day on which the NYSE is open for business and:- (i) in the case of Shares denominated in Euro the European Central Bank is open for business; and (ii) in the case of Shares denominated in the Pound Sterling, the Bank of England and the UK Market are open for business; and (iii) in the case of the Janus Europe Fund, the European Central Bank and the UK Market are open for business; or any other day as the Investment Adviser may determine with the consent of the Administrator and the Custodian; CDSC means a contingent deferred sales charge; Class or class means any class of Shares in the Company; Company means Janus Capital Funds plc; Companies Acts means the Companies Acts, 1963 to 2005, Parts 2 and 3 of the Investment Funds, Companies and Miscellaneous Provisions Act 2006 and the Companies (Amendment) Act 2009, all statutory instruments which are to be read as one with, or construed or read together with or as one with, the Companies Acts and every statutory modification and re-enactment thereof for the time being in force; Courts Service means the Courts Service responsible for the administration of monies under the control or subject to the order of the Courts of Ireland; Custodian means Brown Brothers Harriman Trustee Services (Ireland) Limited or such other person from time to time appointed by the Company, in accordance with requirements of the Financial Regulator, to act as Custodian of the Company; Custodian Agreement means the Custodian Agreement dated 23 December 2002 between the Company and the Custodian (as amended from time to time) pursuant to which the latter acts as custodian in relation to the Company; Debt Securities means debt and debt-related securities including, but not limited to, convertible and non-convertible corporate debt securities, fixed and floating rate bonds, zero-coupon and discount bonds, debentures, certificates of deposit, bankers acceptances, commercial paper and treasury bills, but excluding loan participations; 53

118 Directors means the directors of the Company for the time being and any duly constituted committee thereof; Distribution Agent means brokers, dealers, banks, or other financial intermediaries authorised by way of an agreement with the Distributor to sell the Shares; Distribution Agreement means the Distribution Agreement dated 31 July 2001 between the Company and the Distributor (as amended from time to time) pursuant to which the latter acts as a distributor in relation to the Company; Distributor means Janus Capital International Limited or such other person from time to time appointed by the Company, in accordance with requirements of the Financial Regulator, to act as Distributor of the Company; Emerging Market means countries which are not included in the MSCI World index (which measures global developed market equity performance) and/or countries which are not included in the World Bank definition of high income OECD members; Equity & Balanced Funds means the Janus Asia Fund, Janus Emerging Markets Fund, Janus Europe Fund, Janus US Balanced Fund, Janus Global Fundamental Equity Fund1, Janus Global Growth Fund, Janus Global Life Sciences Fund, Janus Global Research Fund, Janus Global Research (ex-japan) Fund, Janus Global Technology Fund, Janus US Fund, Janus US All Cap Growth Fund, Janus US Research Fund, Janus US Twenty Fund, Janus US Venture Fund, Perkins Global Value Fund and Perkins US Strategic Value Fund; Equity Investing Funds means funds which invest all or a part of their assets in equity or equity related securities. As at the date of this Prospectus, such funds include the Equity & Balanced Funds, the Risk Managed Equity Funds and the Alternative Investment Funds (other than the Janus Global Real Estate Fund); EU means the European Union; EU Member State means a member state of the EU; EU Savings Directive means Directive 2003/48/EC as such may be amended from time to time; Euro or means the unit of the European single currency; Financial Regulator means the Irish Financial Services Regulatory Authority; Fixed Income Funds means the Janus Global High Yield Fund, Janus Global Investment Grade Bond Fund, Janus Global Strategic Income Fund, Janus US Flexible Income Fund, Janus US High Yield Fund and Janus US Short-Term Bond Fund; FSA means the Financial Services Authority in the United Kingdom; Funds means the Equity & Balanced Funds, the Risk Managed Equity Funds, the Alternative Investment Funds and the Fixed Income Funds and Fund means any one of the Funds; Government Securities means any transferable securities issued or guaranteed by any government, state, local authority or other political subdivision of a government, including any agency or instrumentality thereof; Indexed/Structured Securities means short to intermediate-term debt securities whose value at maturity or interest rate is linked to currencies, interest rates, equity securities, indices, commodity prices or other financial indicators. Such securities may be positively or negatively indexed (i.e., their value may increase or decrease if the reference index or instrument appreciates). Indexed/Structured Securities may have return characteristics similar to direct investment in the underlying instruments and may be more volatile than the underlying instrument. These instruments are generally structured by a broker/dealer and will trade through a broker/dealer. Such securities may be below investment grade. The Funds will not invest in Index/ Structured Securities which are leveraged. A Fund may only invest in Index/ Structured Securities which are freely transferable and which comply with the Financial Regulator s conditions and criteria for investment in such securities; Institutional Investor means an organisation such as a bank, insurance company, pension fund or other money manager that trade volumes of securities or other such investors as may be determined by the Company from time to time; Intermediary means an intermediary within the meaning of Section 739B(1) of the TCA, being a person who: a. carries on a business which consists of, or includes, the receipt of payments from an investment undertaking on behalf of other persons; or b. holds shares in an investment undertaking on behalf of other persons; Investment Adviser means Janus Capital International Limited or such other person from time to time appointed by the Company, in accordance with requirements of the Financial Regulator, to act as investment adviser of the Company; Investment Grade means an S&P rating which is higher than BB+ or the equivalent rating by any other internationally recognised statistical rating organisation or, if unrated, is deemed to be of comparable quality by the Investment Adviser; Investment Management Agreement means Amended and Restated Investment Management Agreement dated 22 December 2005, between the Company and the Investment Adviser (as may be amended from time to time) pursuant to which the Investment Adviser was appointed to provide investment advisory and other related services; IPO means the initial public offer; Ireland means the Republic of Ireland; Irish Person means a person who is Irish Resident or Ordinarily Resident in Ireland but who is not an Exempt Irish Investor; Irish Resident means unless otherwise determined by the Directors, any person resident in Ireland or ordinarily resident in Ireland other than an Exempt Irish Resident (as defined in the Taxation section of the Prospectus); Irish Stock Exchange means The Irish Stock Exchange Limited; JCG means Janus Capital Group Inc.; JCIL means Janus Capital International Limited; JCM means Janus Capital Management LLC; Moody s means Moody s Investors Services Inc; MSCI Europe Index SM is a free float-adjusted market capitalisation index that is designed to measure the equity market performance of developed markets in Europe; 54

119 MSCI World Index SM is a free float-adjusted market capitalisation index that is designed to measure global developed market equity performance; NYFRB means the New York Federal Reserve Bank; NYSE means the New York Stock Exchange; OECD means the Organisation for Economic Co-operation and Development ( Paying Agent means a paying agent appointed in connection with the distribution of the Shares; Pound Sterling means pound sterling, the lawful currency of the United Kingdom; Primarily means, when used in the description of the investment objectives and policies of a Fund, that such Fund will invest at all times at least two thirds of its total asset value (excluding cash and cash equivalents) in investments in the manner described; Qualifying Institutional Investor means an investor who has an agreement in place with JCIL covering the charging structure relevant to the investor s investment in Class Z Shares, at the time the relevant subscription order is received and which remains in place for the duration of the investor s investment; Regulated Market means a stock exchange or regulated market which is provided for in the Articles of Association of the Company, details of which are set out in Appendix 2; REIT means a real estate investment trust; Relevant Declaration means the declaration relevant to the shareholder as set out in Schedule 2B of the TCA. The Relevant Declaration for investors who are neither Irish Resident nor ordinarily resident in Ireland (or intermediaries acting for such investors) is set out in the Company s application form; Relevant Institution means an EU credit institution, a bank authorised in a member state of the European Economic Area ( EEA ) (Norway, Iceland, Liechtenstein), a bank authorised by a signatory other than an EU member state or member state of the EEA, to the Basle Capital Convergence Agreement of July 1988 (Switzerland, Canada, Japan, United States of America), or a bank authorised in Jersey, Guernsey, the Isle of Man, Australia or New Zealand; Relevant Period means a period of 8 years beginning with the acquisition of a Share by a Shareholder and each subsequent period of 8 years beginning immediately after the preceding relevant period; Risk Managed Equity Funds means the INTECH European Risk Managed Core Fund, INTECH Global Risk Managed Core Fund and INTECH US Risk Managed Core Fund; Russell 2000 Index means the index established to measure the performance of the 2,000 smallest companies at the annual reconstitution date in the Russell 3000 Index; Russell 3000 Index means the index that measures the performance of the 3,000 largest US Companies at the annual reconstitution date based on total market capitalisation, which represents approximately 98% of the investable US equity market; S&P 500/Citigroup Growth Index means the index which contains the full market cap of the S&P 500. The S&P/Citigroup multifactor methodology is used to score constituents, which are weighted according to market cap and classified as growth, value, or a mix of growth and value. The components of this index are weighted in favour of growth constituents. This index was formerly called the S&P 500/Barra Growth Index. S&P 500/Citigroup Value Index means the index which contains the full market cap of the S&P 500. The S&P/Citigroup multifactor methodology is used to score constituents, which are weighted according to market cap and classified as growth, value, or a mix of growth and value. The components of this index are weighted in favour of value constituents. This index was formerly called the S&P 500/Barra Value Index. Settlement Time means the time by which cleared funds representing subscription monies in respect of a subscription order must be received by the Company; Share or Shares means the shares of no par value of the Company; Shareholder, shareholder, or Shareholder of record means the holder of Shares as registered in the Company s share register; Sharpe Ratio means a risk-adjusted measure calculated to determine reward per unit of risk, using standard deviation and excess return. The higher the Sharpe Ratio, the better a fund s historical risk-adjusted performance; Standard & Poor s means Standard & Poor s Ratings Services; Standard Deviation means a measure of variability which is often used in the investment industry as an indicator of risk, and is calculated from the measurement of variance from the mean annual account return. A very high standard deviation indicates that the fund s range of performance has been very wide, indicating a greater potential for volatility; Step Coupon Securities means debt securities that trade at a discount from their face value and pay coupon interest, where the discount from the face value depends on the time remaining until cash payments begin, prevailing interest rates, liquidity of the security and the perceived credit quality of the issuer and the coupon rate is low for an initial period and then increases ( steps up ) to a higher coupon rate. Step Coupon Securities in which the Funds invest will be publicly traded in the United States; Sub-Investment Adviser means a sub-investment adviser appointed now or in the future by the Investment Adviser to provide advice in relation to the Fund provided that disclosure of any such sub-investment advisers appointed by the Investment Adviser will be provided to Shareholders upon request and details thereof will be disclosed in the periodic reports to Shareholders; Supra-national Organisations means the World Bank, the European Investment Bank, Euratom, the Asian Development Bank, the Inter-American Development Bank, the International Bank for Reconstruction and Development, the European Bank for Reconstruction and Development, the European Coal and Steel Community, the Nordic Investment Bank and such other additional supranational organisations as the Financial Regulator may authorise the Company to invest in; T means the Business Day on which a subscription or redemption order was received and accepted by the Administrator; Trade Cut-Off Time means the time by which subscription, redemption and exchange orders for Shares must be received and accepted by the Administrator on a Business Day in order to be processed at the relevant prices determined on that Business Day; UCITS means an Undertaking for Collective Investment in Transferable Securities as that term is used in the UCITS Regulations; 55

120 UCITS Regulations means the European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations 2003 as amended and any applicable notices or regulations issued by the Financial Regulator pursuant thereto and for the time being enforced; UK Equivalent Profits means broadly the taxable income of the Share Class as computed in accordance with United Kingdom corporation tax principles; UK Market means any day on which banks in the United Kingdom are open for business; United States means the United States of America, its territories or possessions, any state of the United States or the District of Columbia; US Companies means companies organised or performing a preponderant part of their business in the United States and whose securities are traded in the United States; US Dollars or US$ means U.S. dollars, the lawful currency of the U.S.; US Issuers means issuers (including US Companies) organised or performing a preponderant part of their business in the United States and whose securities are traded in the United States; US Person means: Any natural person resident in the United States; Any partnership or corporation organised or incorporated under the laws of the United States; Any estate of which any executor or administrator is a US Person; Any trust of which any trustee is a US Person; Any agency or branch of a foreign entity located in the United States; Any non-discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary for the benefit or account of a US Person; Any discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary organised, incorporated, or (if an individual) resident in the United States; and Any partnership or corporation if: Organised or incorporated under the laws of any foreign jurisdictions; and Formed by a US Person principally for the purpose of investing in securities not registered under the US Securities Act of 1933 (the 1933 Act ), unless it is organised or incorporated, and owned by, accredited investors (as defined in the 1933 Act) who are not natural persons, estates or trusts; Valuation Point means the close of the regular trading session of the NYSE (normally 4:00pm, New York time, Monday through Friday) on each Business Day. 56

121 Appendix 1: Investment Techniques and Instruments General Permitted Financial Derivative Instruments ( FDI ) 1. A Fund may invest in FDI provided that: (i) the relevant reference items or indices consist of one or more of the following: instruments referred to in paragraph 1 (i) (vi) of Financial Regulator Notice UCITS 9 including financial instruments having one or several characteristics of those assets; financial indices; interest rates; foreign exchange rates; currencies; and (ii) the FDI do not expose the Fund to risks which it could not otherwise assume (e.g. gain exposure to an instrument/issuer/ currency to which the Fund cannot have a direct exposure); and (iii) the FDI do not cause the Fund to diverge from its investment objectives; and (iv) the reference in (i) above to financial indices shall be understood as a reference to indices which fulfil the following criteria and the provisions of Guidance Note 2/07: (a) they are sufficiently diversified, in that the following criteria are fulfilled: (i) the index is composed in such a way that price movements or trading activities regarding one component do not unduly influence the performance of the whole index; (ii) where the index is composed of assets referred to in Regulation 45, its composition is at least diversified in accordance with Regulation 49A; (iii) where the index is composed of assets other than those referred to in Regulation 45, it is diversified in a way which is equivalent to that provided for in Regulation 49A; (b) they represent an adequate benchmark for the market to which they refer, in that the following criteria are fulfilled: (i) the index measures the performance of a representative group of underlyings in a relevant and appropriate way; (ii) the index is revised or rebalanced periodically to ensure that it continues to reflect the markets to which it refers following criteria which are publicly available; (iii) the underlyings are sufficiently liquid, which allows users to replicate the index, if necessary; (c) they are published in an appropriate manner, in that the following criteria are fulfilled: (i) 2. Credit Derivatives their publication process relies on sound procedures to collect prices and to calculate and to subsequently publish the index value, including pricing procedures for components where a market price is not available; (ii) material information on matters such as index calculation, rebalancing methodologies, index changes or any operational difficulties in providing timely or accurate information is provided on a wide and timely basis. Where the composition of assets which are used as underlyings by FDI does not fulfil the criteria set out in (a), (b) or (c) above, those FDI shall, where they comply with the criteria set out in Regulation 45(g), be regarded as financial derivative instruments on a combination of the assets referred to in Regulation 45(g)(I), excluding financial indices. Credit derivatives are permitted where: (i) they allow the transfer of the credit risk of an asset as referred to in paragraph 1(i) above, independently from the other risks associated with that asset; (ii) they do not result in the delivery or in the transfer, including in the form of cash, of assets other than those referred to in Regulations 45 and 46; (iii) they comply with the criteria for OTC derivatives set out in paragraph 4 below; (iv) their risks are adequately captured by the risk management process of the Fund, and by its internal control mechanisms in the case of risks of asymmetry of information between the Fund and the counterparty to the credit derivative resulting from potential access of the counterparty to non-public information on firms the assets of which are used as underlyings by credit derivatives. The Fund must undertake the risk assessment with the highest care when the counterparty to the FDI is a related party of the Fund or the credit risk issuer. 3. FDI must be dealt in on a Regulated Market. 4. Notwithstanding paragraph 3, a Fund may invest in FDI dealt in over-the-counter ( OTC derivatives ) provided that: (i) the counterparty is a credit institution listed in sub-paragraphs 1.4 (i), (ii) or (iii) of the Financial Regulator Notice UCITS 9 or an investment firm, authorised in accordance with the Markets in Financial Instruments Directive in an EEA Member State, or is an entity subject to regulation as a Consolidated Supervised Entity ( CSE ) by the US Securities and Exchange Commission; (ii) in the case of a counterparty which is not a credit institution, the counterparty has a minimum credit rating of A2 or equivalent, or is deemed by the Fund to have an implied rating of A2. Alternatively, an unrated counterparty will be acceptable where the Fund is indemnified against losses suffered as a result of a failure by the counterparty, by an entity which has and maintains a rating of A2; 57

122 (iii) risk exposure to the counterparty does not exceed the limits set out in paragraph 6 of the Financial Regulator Notice UCITS 9; (iv) the Fund is satisfied that the counterparty will value the transaction with reasonable accuracy and on a reliable basis and will close out the transaction at any time at the request of the Fund at fair value 2 ; and (v) the Fund must subject its OTC derivatives to reliable and verifiable valuation on a daily basis and ensure that it has appropriate systems, controls and processes in place to achieve this. Reliable and verifiable valuation shall be understood as a reference to a valuation, by the UCITS, corresponding to fair value which does not rely on market quotations by the counterparty and which fulfils the following criteria: (a) the basis for the valuation is either a reliable up-to-date market value of the instrument or, if such a value is not available, a pricing model using an adequate recognised methodology; (b) verification of the valuation is carried out by one of the following: (i) an appropriate third party which is independent from the counterparty of the OTC derivative, at an adequate frequency and in such a way that the Fund is able to check it; or (ii) a unit within the Fund that is independent from the department in charge of managing the assets and which is adequately equipped for such purpose. 5. Risk exposure to an OTC derivative counterparty may be reduced where the counterparty will provide the Fund with collateral and: (i) the collateral falls within the categories of permitted collateral set out in paragraph 5(i) (iv) and (vi) of UCITS 12; (ii) collateral is: marked to market daily; transferred to the trustee, or its agent; and immediately available to the Fund, without recourse to the counterparty, in the event of a default by that entity; (iii) in the case of non-cash collateral, the collateral: cannot be sold or pledged; has a minimum credit rating of A or equivalent; is held at the risk of the counterparty; and is issued by an entity independent of the counterparty; (iv) in the case of cash collateral, the collateral may not be invested other than in the following: deposits with relevant institutions, which are capable of being withdrawn within 5 working days; government or other public securities which have a minimum credit rating of A or equivalent; certificates of deposit issued by relevant institutions, which have a minimum credit rating of A or equivalent; repurchase agreements, in accordance with the provisions of UCITS 12, provided the collateral received under the agreements meets with the requirements of this paragraph; and/or daily dealing money market funds which have a minimum credit rating of AAA or equivalent. If investment is made in a linked fund, as described in paragraph 1.3.2, UCITS 9, no subscription, conversion or redemption charge can be made by the underlying money market fund. Invested cash collateral which is held at the credit risk of the Fund, other than cash collateral invested in government or other public securities or money market funds, must be diversified so that no more than 20% of the collateral is invested in the securities of, or placed on deposit with, one institution. Invested cash collateral may not be placed on deposit with, or invested in securities issued by the counterparty or a related entity. 6. Position exposure to the underlying assets of FDI, including embedded FDI in transferable securities or money market instruments, when combined where relevant with positions resulting from direct investments, may not exceed the investment limits set out in Appendix 4. This provision does not apply in the case of index based FDI provided the underlying index is one which meets with the criteria set out in Regulation 49A of the UCITS Regulations. 7. A transferable security or money market instrument embedding a FDI shall be understood as a reference to financial instruments which fulfil the criteria for transferable securities or money market instruments set out in UCITS 9 and which contain a component which fulfils the following criteria: (a) by virtue of that component some or all of the cash flows that otherwise would be required by the transferable security or money market instrument which functions as host contract can be modified according to a specified interest rate, financial instrument price, foreign exchange rate, index of prices or rates, credit rating or credit index, or other variable, and therefore vary in a way similar to a stand-alone derivative; (b) its economic characteristics and risks are not closely related to the economic characteristics and risks of the host contract; (c) it has a significant impact on the risk profile and pricing of the transferable security or money market instrument. 8. A transferable security or a money market instrument shall not be regarded as embedding a FDI where it contains a component which is contractually transferable independently of the transferable security or the money market instrument. Such a component shall be deemed to be a separate financial instrument. Cover Requirements 9. A Fund must ensure that its global exposure relating to FDI does not exceed its total net asset value. Global exposure is calculated taking into account the current value of the underlying assets, the counterparty risk, future market movements and the time available to liquidate the positions. A Fund may not therefore be leveraged in excess of 100% of its net asset value. 2 For the purposes of this paragraph, the reference to fair value shall be understood as a reference to the amount for which an asset could be exchanged or a liability settled between knowledgeable, willing parties in an arm s length transaction. 58

123 10. A transaction in FDI which gives rise, or may give rise, to a future commitment on behalf of a Fund must be covered as follows:- (i) in the case of FDI which automatically, or at the discretion of the Fund, are cash settled, a Fund must hold, at all times, liquid assets which are sufficient to cover the exposure. (ii) in the case of FDI which require physical delivery of the underlying asset, the asset must be held at all times by the relevant Fund. Alternatively a Fund may cover the exposure with sufficient liquid assets where: the underlying assets consists of highly liquid fixed income securities; and/or the Fund considers that the exposure can be adequately covered without the need to hold the underlying assets, the specific FDI are addressed in the risk management process, which is described in paragraph 11 below, and details are provided in the prospectus. Risk Management The Fund must employ a risk management process to enable it to accurately measure, monitor and manage the risks attached to FDI positions. 11. (i) A Fund must provide the Financial Regulator with details of its proposed, risk management process vis-à-vis its FDI activity. The initial filing is required to include information in relation to: permitted types of FDI, including embedded derivatives in transferable securities and money market instruments; details of the underlying risks; relevant quantitative limits and how these will be monitored and enforced; methods for estimating risks. (ii) Material amendments to the initial filing must be notified to the Financial Regulator in advance. The Financial Regulator may object to the amendments notified to it and amendments and/or associated activities objected to by the Financial Regulator may not be made. 12. A Fund must submit a report to the Financial Regulator on its FDI positions on an annual basis. The report, which must include information under the different categories identified in paragraph 11(i) above, must be submitted with the annual report of the Company. A Fund must, at the request of the Financial Regulator, provide this report at any time. A Fund s exposure to long and short derivative positions may be netted provided that:- both the long and short positions relate to the same underlying or, if not the same, in the case of underlying fixed income securities, (i) they bear a high degree of correlation in terms of price movement, and (ii) both are cash settled with the same currency exposure; the long and short derivative positions are sufficiently liquid and are marked to market on a daily basis; and in the event that one of the positions is exercised, arrangements are such that the Fund will have sufficient cover to fulfil its actual or potential obligations under the outstanding position. Repurchase Agreements, Reverse Repurchase Agreements, Mortgage Dollar Rolls and Securities Lending Agreements Repurchase agreements are transactions in which a Fund purchases securities from a bank or recognised securities dealer and simultaneously commits to resell the securities to the bank or dealer at an agreed-upon date and price reflecting a market rate of interest unrelated to the coupon rate of maturity of the purchased securities. A reverse repurchase agreement involves the sale of securities with an agreement to repurchase the securities at an agreed upon price, date and interest payment. Mortgage dollar rolls are transactions in which a Fund sells a mortgage related security to a dealer and simultaneously agrees to repurchase a similar security (but not the same security) in the future at a predetermined price. A Fund may also lend securities to a counterparty approved by the relevant Sub-Investment Adviser. (i) Techniques and instruments which relate to transferable securities or money market instruments and which are used for the purpose of efficient portfolio management shall be understood as a reference to techniques and instruments which fulfil the following criteria: (a) they are economically appropriate in that they are realised in a cost-effective way; (b) they are entered into for one or more of the following specific aims: (c) (i) reduction of risk; (ii) reduction of cost; (iii) generation of additional capital or income for the UCITS with a level of risk which is consistent with the risk profile of the UCITS and the risk diversification rules set out in Financial Regulator Notice UCITS 9; their risks are adequately captured by the risk management process of the UCITS, and (d) they cannot result in a change to the UCITS declared investment objective or add substantial supplementary risks in comparison to the general risk policy as described in its sales documents. (ii) Repurchase/reverse repurchase agreements ( repo contracts ), mortgage dollar rolls, and securities lending agreements may only be effected in accordance with normal market practice. (iii) Collateral obtained under a repo contract, mortgage dollar roll or securities lending agreement must be liquid and in the form of one of the following:- (a) cash; (b) government or other public securities; (c) certificates of deposit issued by relevant institutions; (d) bonds/commercial paper issued by relevant institutions or by non-bank issuers where the issue and issuer are rated A1 or equivalent; (e) letters of credit with a residual maturity of three months or less, which are unconditional and irrevocable and which are issued by relevant institutions; (f ) equity securities traded on a stock exchange in the EEA, Switzerland, Canada, Japan, the United States, Jersey, Guernsey, the Isle of Man, Australia or New Zealand. 59

124 (iv) Until the expiry of the repo contract, mortgage dollar roll or securities lending transaction collateral obtained under such contracts or transactions:- (a) must be marked to market daily; (b) must equal or exceed, in value, at all times the value of the amount invested or securities loaned; (c) must be transferred to the custodian, or its agent; and (d) must be immediately available to the Fund, without recourse to the counterparty, in the event of a default by that entity. Paragraph (c) is not applicable in the event that a Fund uses tri-party collateral management services of International Central Securities Depositaries and relevant institutions which are generally recognised as specialists in this type of transaction. The trustee must be a named participant to the collateral arrangements. (v) Non-cash collateral:- (a) cannot be sold or pledged; (b) must be held at the risk of the counterparty; and (c) must be issued by an entity independent of the counterparty. (vi) Cash collateral: Cash may not be invested other than in the following: (a) deposits with Relevant Institutions. (b) government or other public securities; (c) certificates of deposit as set out in paragraph (iii) (c) above; (d) letters of credit as set out in paragraph (iii) (e) above; (e) repurchase agreements, subject to the provisions herein; (f ) daily dealing money market funds which have and maintain a rating of AAA or equivalent. If investment is made in a linked fund, as described in paragraph 1.3, Financial Regulator Notice UCITS 9 issued by the Financial Regulator no subscription or redemption charge can be made by the underlying money market fund. In accordance with paragraph (i) (d) above, invested cash collateral held at the risk of the Fund, other than cash collateral invested in government or other public securities or money market funds, must be invested in a diversified manner. A UCITS must be satisfied, at all times, that any investment of cash collateral will enable it to meet with its repayment obligations. Invested cash collateral may not be placed on deposit with, or invested in securities issued by, the counterparty or a related entity. (vii) Notwithstanding the provisions of paragraph (iv) (d) above, a Fund may enter into securities lending programmes organised by generally recognised International Central Securities Depositaries Systems provided that the programme is subject to a guarantee from the system operator. the Fund is indemnified against losses suffered as a result of a failure by the counterparty, by an entity which has and maintains a rating of A2 or equivalent. (ix) The Fund must have the right to terminate the securities lending agreement at any time and demand the return of any or all of the securities loaned. The agreement must provide that, once such notice is given, the borrower is obligated to redeliver the securities within 5 Business Days or other period as normal market practice dictates. (x) Repo contracts, mortgage dollar rolls, stock borrowing or securities lending agreements do not constitute borrowing or lending for the purposes of Regulation 70 and Regulation 71 of the UCITS Regulations respectively. When-Issued, Delayed-Delivery and Forward Commitment Securities A Fund may invest up to 25% of its net asset value in securities purchased on a when-issued, delayed-delivery or forward commitment basis, that is, for delivery to the Fund later than the normal settlement date for such securities, at a stated price and yield. A Fund generally will not pay for such securities or start earning interest on them until they are received. However, when a Fund undertakes a when-issued, delayed-delivery or forward commitment purchase obligation, it immediately assumes the risks of ownership, including the risk of price fluctuation. Failure by the issuer to deliver a security purchased on a when-issued, delayed-delivery or forward commitment basis may result in a loss or missed opportunity to make an alternative investment. Protection Against Exchange Rate Risks A Fund may employ techniques and instruments intended to provide protection against exchange risks in the context of the management of its assets and liabilities. In this regard, a Fund may: utilise currency options; hedge exposure to one currency by entering into forward currency transactions in a related currency because of the institutional and expected future correlation between the two currencies; and utilise over-the-counter contracts. Protection Against Interest Rate Risks Without limiting any of the foregoing in this Appendix, a Fund may employ techniques and instruments intended to provide protection against interest rate risks in the context of the management of its assets and liabilities. In this regard, a Fund may utilise interest rate swaps and swap-related products, including but not limited to spread lock agreements. A spread lock agreement is a forward contract on a swap spread (the spread between yields used in a swap agreement). A Fund will not be leveraged or geared through the use of these agreements. (viii) The counterparty to a repo contract, mortgage dollar roll or securities lending agreement must have a minimum credit rating of A2 or equivalent, or must be deemed by the Fund to have an implied rating of A2. Alternatively, an unrated counterparty will be acceptable where 60

125 Appendix 2: The Regulated Markets With the exception of permitted investments in unlisted securities investment will be restricted to those stock exchanges and markets listed in the Prospectus. The Regulated Markets shall comprise: 1.1 any stock exchange in the European Union and also any investments listed, quoted or dealt in on any stock exchange in the US, Australia, Canada, Japan, New Zealand, Norway or Switzerland which is a stock exchange within the meaning of the law of the country concerned relating to stock exchanges; 1.2 the market organised by the International Capital Markets Association; NASDAQ: the market in US government securities which is conducted by primary dealers which are regulated by the Federal Reserve Bank of New York, the over the counter market in the US conducted by primary dealers and secondary dealers which are regulated by the US Securities and Exchange Commission and by the National Association of Securities Dealers Inc., and by banking institutions regulated by the US Comptroller of the Currency, the Federal Reserve System or Federal Deposit Insurance Corporation; the market conducted by listed money market institutions as described in the Financial Services Authority publication entitled The Regulation of the Wholesale Cash and OTC Derivatives Markets : The Grey Paper (as amended or revised from time to time); the over-the-counter market in Japan regulated by the Securities Dealers Association of Japan; AIM the Alternative Investment Market in the UK, regulated by the London Stock Exchange; the French Market for Titres de Creance Negotiable (over-the-counter market in negotiable debt instruments); NASDAQ Europe; the over-the-counter market in Canadian Government Bonds regulated by the Investment Dealers Association of Canada; SESDAQ in Singapore; and KOSDAQ in South Korea; 1.3 any of the following exchanges: Argentina Bahrain Bangladesh Bermuda Botswana Brazil Chile China Colombia Croatia Egypt Ghana Hong Kong The Buenos Aires Stock Exchange The Bahrain Stock Exchange The Dhaka Stock Exchange The Bermuda Stock Exchange The Botswana Stock Exchange The Rio de Janeiro Stock Exchange The Sao Paulo Stock Exchange The Santiago Stock Exchange The Shanghai Stock Exchange The Shenzhen Stock Exchange The Colombia Stock Exchange The Zagreb Stock Exchange The Varaždin Stock Exchange The Cairo and Alexandria Stock Exchange (CASE) The Ghana Stock Exchange The Stock Exchange of Hong Kong 61

126 India Indonesia Israel Jordan Kazakhstan Kenya Kuwait Lebanon Malaysia Mauritius Mexico Morocco Namibia Nigeria Oman Pakistan Panama Peru Philippines Qatar Russia Saudi Arabia Serbia Singapore South Africa The Stock Exchange of Ahmedabad The Bangalore Stock Exchange The Bombay Stock Exchange The Bhubaneswar Stock Exchange Association Ltd The Calcutta Stock Exchange The Cochin Stock Exchange The Coimbatore Stock Exchange Ltd The Delhi Stock Exchange Association Ltd The Gauhati Stock Exchange The Hyderabad Stock Exchange The Inter-connected Stock Exchange of India The Jaipur Stock Exchange The Ludhiana Stock Exchange The Madhya Pradesh Stock Exchange The Madras Stock Exchange The Magadh Stock Exchange Association The Mangalore Stock Exchange Ltd The Over-the-Counter Exchange of India The Stock Exchange of Mumbai (BSE) The National Stock Exchange of India (NSE) The Pune Stock Exchange The Saurashtra Kutch Stock Exchange Ltd The Uttar Pradesh Stock Exchange Association The Vadodara Stock Exchange Ltd The Jakarta Stock Exchange The Surabaya Stock Exchange The Tel Aviv Stock Exchange The Amman Stock Exchange Kazakhstan Stock Exchange The Nairobi Stock Exchange Kuwait Stock Exchange The Beirut Stock Exchange The Kuala Lumpur Stock Exchange The Stock Exchange of Mauritius The Mexican Stock Exchange The Casablanca Stock Exchange The Namibian Stock Exchange Nigerian Stock Exchange The Muscat Securities Exchange The Karachi Stock Exchange The Lahore Stock Exchange The Panama Stock Exchange The Lima Stock Exchange The Philippines Stock Exchange The Doha Stock Exchange The Moscow Interbank Currency Exchange The Russian Trading System The Saint Petersburg Stock Exchange The Saudi Stock Exchange The Belgrade Stock Exchange The Singapore Stock Exchange Limited (SGX) The Johannesburg Stock Exchange 62

127 South Korea Sri Lanka Swaziland Taiwan Thailand Turkey Ukraine United Arab Emirates Uruguay Venezuela Vietnam Zambia Zimbabwe The Korea Stock Exchange The Colombo Stock Exchange The Swaziland Stock Exchange The Taiwan Stock Exchange The Stock Exchange of Thailand The Istanbul Stock Exchange The PFTS Stock Exchange The Ukraine Stock Exchange The Abu Dhabi Securities Market The Dubai Financial Market The Dubai International Financial Exchange The Montevideo Stock Exchange The Electronic Stock Exchange of Uruguay The Caracas Stock Exchange The Vietnam Stock Exchange The Lusaka Stock Exchange The Zimbabwe Stock Exchange 1.4 for investments in financial derivative instruments:- (a) the market organised by the International Capital Markets Association; the over-the-counter market in the US conducted by primary and secondary dealers regulated by the Securities and Exchange Commission and by the National Association of Securities Dealers, Inc. and by banking institutions regulated by the US Comptroller of the Currency, the Federal Reserve System or Federal Deposit Insurance Corporation; the market conducted by listed money market institutions as described in the Financial Services Authority publication entitled The Regulation of the Wholesale Cash and OTC Derivatives Markets : The Grey Paper (as amended or revised from time to time); the over-the-counter market in Japan regulated by the Securities Dealers Association of Japan; AIM the Alternative Investment Market in the UK, regulated by the London Stock Exchange; the French Market for Titres de Creance Negotiable (over-the-counter market in negotiable debt instruments); the over-the-counter market in Canadian Government Bonds regulated by the Investment Dealers Association of Canada; and (b) American Stock Exchange, Australian Stock Exchange, Bolsa Mexicana de Valores, Chicago Board of Trade, Chicago Board Options Exchange, Chicago Mercantile Exchange, Copenhagen Stock Exchange (including FUTOP), Eurex Deutschland, Euronext Amsterdam, OMX Exchange Helsinki, Hong Kong Stock Exchange, Kansas City Board of Trade, Financial Futures and Options Exchange, Euronext Paris, MEFF Renta Fija, MEFF Renta Variable, Montreal Stock Exchange, New York Futures Exchange, New York Mercantile Exchange, New York Stock Exchange, New Zealand Futures and Options Exchange, OMLX The London Securities and Derivatives Exchange Ltd., OM Stockholm AB, Osaka Securities Exchange, Pacific Stock Exchange, Philadelphia Board of Trade, Philadelphia Stock Exchange, Singapore Stock Exchange, South Africa Futures Exchange (SAFEX), Sydney Futures Exchange, The National Association of Securities Dealers Automated Quotations System (NASDAQ); Tokyo Stock Exchange; TSX Group Exchange. These exchanges are listed in accordance with the requirements of the Irish Financial Services Regulatory Authority, which does not issue a list of approved exchanges. The aggregate amount of a Fund which may be invested in securities traded on the Karachi Stock Exchange and the Lahore Stock Exchange is 30% of the net asset value of that Fund. A definition of Emerging Market is included under the Definition section. 63

128 Appendix 3: Securities Ratings Explanation of Rating Categories The following is a description of credit ratings issued by two of the major credit rating agencies. Credit ratings evaluate only the safety of principal and interest payments, not the market value risk of lower quality securities. Credit rating agencies may fail to change credit ratings to reflect subsequent events on a timely basis. Although the relevant Sub-Investment Adviser considers security ratings when making investment decisions, it also performs its own investment analysis and does not rely solely on the ratings assigned by credit agencies. Standard & Poor s Rating Services Bond Rating Investment Grade Explanation AAA AA A BBB- Highest rating, extremely strong capacity to pay principal and interest. High quality, very strong capacity to pay principal and interest. Strong capacity to pay principal and interest, somewhat more susceptible to the adverse effects of changing circumstances and economic conditions. Adequate capacity to pay principal and interest, normally exhibit adequate protection parameters, but adverse economic conditions or changing circumstances more likely to lead to a weakened capacity to pay principal and interest than for higher rated bonds. Non-Investment Grade BB+, B, CCC, CC, C D Predominantly speculative with respect to the issuer s capacity to meet required interest and principal payments. BB lowest degree of speculation, C the highest degree of speculation. Quality and protective characteristics outweighed by large uncertainties or major risk exposure to adverse conditions. In default. Moody s Investors Service, INC. Bond Rating Explanation Investment Grade Aaa Aa A Baa Highest quality, smallest degree of investment risk. High quality, together with Aaa bonds, they compose the high-grade bond group. Upper medium grade obligations, many favourable investment attributes. Medium-grade obligations, neither highly protected nor poorly secured. Interest and principal appear adequate for the present but certain protective elements may be lacking or may be unreliable over any great length of time. Non-Investment Grade Ba B Caa Ca C More uncertain, with speculative elements. Protection of interest and principal payments not well safeguarded during good and bad economic conditions. Lack characteristics of desirable investment, potentially low assurance of timely interest and principal payments or maintenance of other contract terms over time. Poor standing, may be in default, elements of danger with respect to principal or interest payments. Speculative in a high degree, could be in default or have other marked shortcomings. Lowest-rated, extremely poor prospects of ever attaining investment standing. Unrated securities will be treated as non-investment grade securities unless a portfolio manager determines that such securities are the equivalent of investment grade securities. Split rated securities (securities that receive different ratings from two or more ratings agencies) are considered to be in the lower rated category. 64

129 Appendix 4: Investment Restrictions 1 PERMITTED INVESTMENTS Investments of a UCITS are confined to: 1.1 Transferable securities and money market instruments which are either admitted to official listing on a stock exchange in an EU Member State or non-eu Member State or which are dealt on a market which is regulated, operates regularly, is recognised and open to the public in an EU Member State or non-eu Member State. 1.2 Recently issued transferable securities which will be admitted to official listing on a stock exchange or other market (as described above) within a year. 1.3 Money market instruments, as defined in the Financial Regulator UCITS Notices, other than those dealt on a regulated market. 1.4 Units of UCITS. 1.5 Units of non-ucits as set out in the Authority s Guidance Note 2/ Deposits with credit institutions as prescribed in the Financial Regulator UCITS Notices. 1.7 Financial derivative instruments as prescribed in the Financial Regulator UCITS Notices. 2 INVESTMENT RESTRICTIONS 2.1 A UCITS may invest no more than 10% of net assets in transferable securities and money market instruments other than those referred to in paragraph A UCITS may invest no more than 10% of net assets in recently issued transferable securities which will be admitted to official listing on a stock exchange or other market (as described in paragraph 1.1) within a year. This restriction will not apply in relation to investment by the UCITS in certain US securities known as Rule 144A securities provided that: the securities are issued with an undertaking to register with the US Securities and Exchanges Commission within one year of issue; and the securities are not illiquid securities i.e. they may be realised by the UCITS within seven days at the price, or approximately at the price, at which they are valued by the UCITS. 2.3 A UCITS may invest no more than 10% of net assets in transferable securities or money market instruments issued by the same body provided that the total value of transferable securities and money market instruments held in the issuing bodies in each of which it invests more than 5% is less than 40%. This limitation does not apply to deposits and over the counter derivative transactions made with financial institutions. 2.4 The limit of 10% (in 2.3) is raised to 25% in the case of bonds that are issued by a credit institution which has its registered office in an EU Member State and is subject by law to special public supervision designed to protect bond-holders. If a UCITS invests more than 5% of its net assets in these bonds issued by one issuer, the total value of these investments may not exceed 80% of the net asset value of the UCITS. 2.5 Subject to the prior approval of the Authority, the limit of 10% (in 2.3) is raised to 35% if the transferable securities or money market instruments are issued or guaranteed by an EU Member State or its local authorities or by a non-member State or public international body of which one or more EU Member States are members. 2.6 The transferable securities and money market instruments referred to in 2.4. and 2.5 shall not be taken into account for the purpose of applying the limit of 40% referred to in A UCITS may not invest more than 20% of net assets in deposits made with the same credit institution. Deposits with any one credit institution, other than credit institutions authorised in the EEA or credit institutions authorised within a signatory state (other than an EEA Member State) to the Basle Capital Convergence Agreement of July 1988 and credit institutions authorised in Jersey, Guernsey, the Isle of Man, Australia or New Zealand, held as ancillary liquidity, must not exceed 10% of net assets. This limit may be raised to 20% in the case of deposits made with the trustee/custodian. 2.8 The risk exposure of a UCITS to a counterparty to an OTC derivative may not exceed 5% of net assets. This limit is raised to 10% in the case of credit institutions authorised in the EEA or credit institutions authorised within a signatory state (other than an EEA Member State) to the Basle Capital Convergence Agreement of July 1988 and credit institutions authorised in Jersey, Guernsey, the Isle of Man, Australia or New Zealand. 2.9 Notwithstanding paragraphs 2.3, 2.7 and 2.8 above, a combination of two or more of the following issued by, or made or undertaken with, the same body may not exceed 20% of net assets: investments in transferable securities or money market instruments; deposits, and/or risk exposures arising from OTC derivatives transactions The limits referred to in 2.3, 2.4, 2.5, 2.7, 2.8 and 2.9 above may not be combined, so that exposure to a single body shall not exceed 35% of net assets Group companies are regarded as a single issuer for the purposes of 2.3, 2.4, 2.5, 2.7, 2.8 and 2.9. However, a limit of 20% of net assets may be applied to investment in transferable securities and money market instruments within the same group A UCITS may invest up to 100% of net assets in different transferable securities and money market instruments issued or guaranteed by any EU Member State, its local authorities, non-eu Member States or public international body of which one or more EU Member States are members. 65

130 The individual issuers must be listed in the prospectus and may be drawn from the following list: OECD Governments (provided the relevant issues are investment grade), European Investment Bank, European Bank for Reconstruction and Development, International Finance Corporation, International Monetary Fund, Euratom, The Asian Development Bank, European Central Bank, Council of Europe, Eurofima, African Development Bank, International Bank for Reconstruction and Development (The World Bank), The Inter American Development Bank, European Union, Federal National Mortgage Association (Fannie Mae), Federal Home Loan Mortgage Corporation (Freddie Mac), Government National Mortgage Association (Ginnie Mae), Student Loan Marketing Association (Sallie Mae), Federal Home Loan Bank, Federal Farm Credit Bank, Tennessee Valley Authority. The UCITS must hold securities from at least 6 different issues, with securities from any one issue not exceeding 30% of net assets. 3 INVESTMENT IN COLLECTIVE INVESTMENT SCHEMES ( CIS ) 3.1 A UCITS may invest in CIS of the open-ended type if the CIS are within the meaning of Regulation 3(2) and are prohibited from investing more than 10 per cent. of net assets in other CIS. A UCITS may not invest more than 20% of net assets in any one CIS. 3.2 Investment in non-ucits may not, in aggregate, exceed 30% of net assets. 3.3 When a UCITS invests in the units of other CIS that are managed, directly or by delegation, by the UCITS management company or by any other company with which the UCITS management company is linked by common management or control, or by a substantial direct or indirect holding, that management company or other company may not charge subscription, conversion or redemption fees on account of the UCITS investment in the units of such other CIS. 3.4 Where a commission (including a rebated commission) is received by the UCITS manager/investment manager/ investment adviser by virtue of an investment in the units of another CIS, this commission must be paid into the property of the UCITS. 4 INDEX TRACKING UCITS 4.1 A UCITS may invest up to 20% of net assets in shares and/or debt securities issued by the same body where the investment policy of the UCITS is to replicate an index which satisfies the criteria set out in the Financial Regulator UCITS Notices and is recognised by the Authority. 4.2 The limit in 4.1 may be raised to 35%, and applied to a single issuer, where this is justified by exceptional market conditions. 5 GENERAL PROVISIONS 5.1 An investment company, or management company acting in connection with all of the CIS it manages, may not acquire any shares carrying voting rights which would enable it to exercise significant influence over the management of an issuing body. 5.2 A UCITS may acquire no more than: (i) 10% of the non-voting shares of any single issuing body; (ii) 10% of the debt securities of any single issuing body; (iii) 25% of the units of any single CIS; (iv) 10% of the money market instruments of any single issuing body. NOTE: The limits laid down in (ii), (iii) and (iv) above may be disregarded at the time of acquisition if at that time the gross amount of the debt securities or of the money market instruments, or the net amount of the securities in issue cannot be calculated and 5.2 shall not be applicable to: (i) transferable securities and money market instruments issued or guaranteed by an EU Member State or its local authorities; (ii) transferable securities and money market instruments issued or guaranteed by a non-eu Member State; (iii) transferable securities and money market instruments issued by public international bodies of which one or more EU Member States are members; (iv) shares held by a UCITS in the capital of a company incorporated in a non-eu Member State which invests its assets mainly in the securities of issuing bodies having their registered offices in that State, where under the legislation of that State such a holding represents the only way in which the UCITS can invest in the securities of issuing bodies of that State. This waiver is applicable only if in its investment policies the company from the non-eu Member State complies with the limits laid down in 2.3 to 2.11, 3.1, 3.2, 5.1, 5.2, 5.4, 5.5 and 5.6, and provided that where these limits are exceeded, paragraphs 5.5 and 5.6 below are observed; (v) shares held by an investment company or investment companies in the capital of subsidiary companies carrying on only the business of management, advice or marketing in the country where the subsidiary is located, in regard to the repurchase of units at unit-holders request exclusively on their behalf. 5.4 UCITS need not comply with the investment restrictions herein when exercising subscription rights attaching to transferable securities or money market instruments which form part of their assets. 66

131 5.5 The Authority may allow recently authorised UCITS to derogate from the provisions of 2.3 to 2.12, 3.1, and 4.2 for six months following the date of their authorisation, provided they observe the principle of risk spreading. 5.6 If the limits laid down herein are exceeded for reasons beyond the control of a UCITS, or as a result of the exercise of subscription rights, the UCITS must adopt as a priority objective for its sales transactions the remedying of that situation, taking due account of the interests of its unitholders. 5.7 Neither an investment company, nor a management company or a trustee acting on behalf of a unit trust or a management company of a common contractual fund, may carry out uncovered sales of: transferable securities; money market instruments; units of CIS; or financial derivative instruments. 5.8 A UCITS may hold ancillary liquid assets. 67

132 Janus Capital Funds Plc Janus Capital International Limited 26th Floor, Citypoint, 1 Ropemaker Street, London EC2Y 9HT United Kingdom Tel: london@janus.com Janus Capital Asia Limited , ICBC Tower, Citibank Plaza, 3 Garden Road, Central Hong Kong Tel: hongkong@janus.com Janus Capital International Limited Tokyo Branch Meiji Yasuda Seimei Building, 11th Floor, 1-1 Marunouchi 2-Chome, Chiyoda-ku, Tokyo, , Japan Tel japan@janus.com Janus Capital International Limited Milan Branch Via Camperio, Milano Italy Tel: milan@janus.com Janus Capital International Limited Munich Branch Niederlassung Deutschland Maximilianstr. 35a D Munich Germany Tel: munich@janus.com

133 Janus Capital International Limited 26th Floor, Citypoint, 1 Ropemaker Street, London EC2Y 9HT United Kingdom london@janus.com hongkong@janus.com Janus Capital International Limited Tokyo Branch Meiji Yasuda Seimei Building, 11th Floor, 1-1 Marunouchi 2-Chome, Chiyoda-ku, Tokyo, , Japan japan@janus.com Janus Capital International Limited Milan Branch Via Camperio, Milano Italy milan@janus.com Janus Capital International Limited Munich Branch Niederlassung Deutschland Maximilianstr. 35a D Munich Germany munich@janus.com

134

135 Euratom Eurofima Freddie Mac Ginnie Mae Sallie Mae Tennessee Valley Authority 30% (2) 10% 20% % // % / % (i) 10% (ii) 10% (iii) 25% (iv) 10% (ii) (iii) (iv) (i) (ii) (iii) (iv) (v)

136 / % % A % 5% 40% % 25%5% 80% % 35% % % 10% /20% 2.8 5% 10% % / % % % 65

137 STANDARD & POOR S RATING SERVICES AAA AA A BBB- BB+ B CCC CC C D BB C MOODY S INVESTORS SERVICES, INC. Aaa Aa A Baa Aaa Ba B Caa Ca C 64

138 Korea Colombo Swaziland Istanbul PFTS Abu Dhabi Dubai Dubai Montevideo Uruguay Caracas Lusaka Zimbabwe 1.4 (a) The Regulation of the Wholesale Cash and OTC Derivatives MarketsThe Grey Paper AIM Titres de Creance Negotiable (b) FUTOPEurex EuronextOMX EuronextMEFF Renta Fija MEFF Renta Variable SAFEX TSX Karachi Lahore30% 63

139 Ahmedabad Bangalore Bombay Bhubaneswar Calcutta Cochin Coimbatore Delhi Gauhati Hyderabad Inter-connected Jaipur Ludhiana Madhya Pradesh Madras Magadh Mangalore MumbaiBSE NSE Pune Saurashtra Kutch Uttar Pradesh Vadodara Jakarta Surabaya Tel Aviv Amman Kazakhstan Nairobi Kuwait Beirut Kuala Lumpur Mauritius Casablanca Namibian Nigerian Muscat Karachi Lahore Panama Lima Doha Moscow Interbank Currency Exchange - MICEX Russian Trading System Saint Petersburg (Belgrade) SGX Johannesburg JSE 62

140 NASDAQ The Regulation of the Wholesale Cash and OTC Derivatives MarketsThe Grey Paper AIM Titres de Creance Negotiable NASDAQ SESDAQ KOSDAQ 1.3 Buenos Aires Bahrain Dhaka Bermuda Botswana Rio de Janeiro Sao Paulo Santiago Colombia Zagreb Varaždin Cairo and Alexandria CASE Ghana 61

141 (iv) (a) (b) (c) (d) (c) (v) (a) (b) (c) (vi) (a) (b) (c) (iii) (c) (d) (iii) (e) (e) (f ) AAA (i)(d) A2 (ix) (x) % (vii) (iv)(d) (viii) A2 A2 60

142 10. (i) (ii) / (i) (ii) / (ii) (i) (ii) (i) (a) (b) (i) (ii) (iii) 9 (c) (d) (ii) / (iii) (a) (b) (c) (d) / A1 (e) (f ) 59

143 (iii) 9 6 (iv) 2 (v) UCITS (a) (b) (i) (ii) 5. (i) 125(i) (iv) (vi) (ii) (iii) A (iv) 5 A 12 / AAA % 6. 49A 7. 9 (a) (b) (c) % A 2 58

144 1. (i) 9 1(i) (vi) (ii) / / (iii) (iv) (i) 2/07 (a) (i) (ii) 45 49A (iii) 45 49A (b) (i) (ii) (c) (i) (ii) (a) (b) (c) 45(g) 45(g)(I) 2. (i) 1(i) (ii) (iii) 4 (iv) (i) 9 1.4(i) (ii) (iii) CSE (ii) A2 A2 A2 (iii) 57

145 56

146 MSCI World Index SM JCIL Z ( ) 2B ( ) (Basle Capital Convergence Agreement) 8 8 Russell 2000 Russell ,000 Russell ,000 98% 500/500 / 500/Barra 500/500 / 500/Barra Sharpe Sharpe Standard & Poor s Ratings Services T 55

147 Janus Capital International Limited MSCI World Index 1 () 20 ( ) 2003/48/EC FSA / / / / / / 739B(1) a. b. Janus Capital International Limited S&P BB+ ( ) JCGJanus Capital Group Inc. JCILJanus Capital International Limited JCMJanus Capital Management LLC Moody s Investors Services Inc. MSCI Europe Index SM 54

148 () Citi Fund Services (Ireland), Limited Alpha ( ) Alpha 130/30 Beta (i) (ii) (i) (ii) (iii) () Brown Brothers Harriman Trustee Services (Ireland) Limited 53

149 (ii) (i) (iii) (iv) / 45 75% 10% JCM JCM INTECH( ) INTECH Perkins Perkins JCIL JCIL JCM 1NorthWallQuay, Dublin 1, Ireland UCTIS 52

150 51 500, ,000 75% 25,000,000 (i)

151 () Alpha 130/30 JCIL JCIL JCIL / JCM / JCM / 1% B 4% JCM / JCM / / JCM / JCM / (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) JCM (11) 50

152 - A - B - I () Alpha / Z JCIL Z 0.15% Z JCIL JCIL JCIL () Alpha 130/30 49

153 A B I ZZ ( ) Alpha Alpha 20% ( ) (i) ( ) ) (ii) 12 (iii) (iv) (v) (vi) ( ) 10% 0.25% JCIL Alpha 48

154 Z Z ( Z) Z Z Z ()( ) AB I JCIL A B I () Alpha /

155 46 B B B B B B 0.75% 0.50% B B 1.00% B B B B B B B JCIL JCIL JCIL JCIL B I I 2.00% I90 I1.00% 1.00% I I I I I JCIL JCIL JCIL JCIL I Z Z Z Z Z () 1.00%

156 A A / A90 A1.00% 1.00% A A A A A A 0.75% 0.50% A A A A A JCIL JCIL JCIL JCIL A B B / B B B B 4% 3% 2% 1% 0% (1) B B B B (2) BB (2) B B 90B 1.00% 1.00% 45

157 ( ) IOSCO AIMA ( JCIL Reuters BloombergMorningstar JCM Perkins 30JCILINTECH 60JCIL A A6.25% 44

158 2003/48/EC / / 43

159 ( ) () ( )( 41) ( 41%) ( ) () 739B ( 739 B) (1) 183 (2) 280 ( 31 ) () (i) ( ) (ii) (i) (ii) (a) (b) 739B 42

160 (i) 787I (PRSA) (j) (k) (National Pensions Reserve Fund Commission) (l) (National Asset Management Agency); (m) ( ) 110(2) (n) DI (o) ( ) () 25% 28% 28% ( ) 10% () 28% () ( ) 10% D (Case IV of Schedule D) 28% ( ) D (Case IV of Schedule D) 25% () 41

161 739B (a) () ( ) (b) (c) ( ) ( ) ( ) / ( 739H ) / 10% 10% () ( ) (a) (b) 706 (c) 739B(1) (d) 737 (e) 739D(6)(f )(i) (f ) 739(B)(1) (g) 731(5)(a) (h) 784A(2) 40

162 () ( ) (/) I HMRC HMRC A A B B I I A A B B B B A A B B ( ) ( PPIU ) / (1) (2) 1997 ( )( ) 39

163 Z B B / 90(Z () ) 1.00% Z 9030 / () A A B B I I Z Z ( ) ( ) -A A B B I I - A A B B I I A B I - A A B B I I A B I A A A B B B I I I 38

164 / NS = (PxQxR) V NS = P = Q = R = V = / /90 (Z ()) 1.00% Z ( ) 30/ A 1% 44 / 37

165 5% 20 /90 (Z ) 1.00% Z ( ) (1) (2) / (1) (2) A A BB

166 ( ) 14 () / / / 36 10% (i) 5% (ii) 35

167 / / / ( ) T

168 1. (Z ) T (Z ) T 3. /Z - Z T / EuroclearClearstream / / ( ) 33

169 32 Z JCIL / /

170 / / Z Z ( Z) A 2, B 2, I 1,000,000 Z 20,000,000 A 2, B 2, I 1,000,000 Z 15,000,000 A 2, B 2, I 1,000, / JCIL / / / 31

171 30 (iii) (iv) (i) (ii)abi Z / / / / / / / / ( ) / / (i) / / (ii) / ( ) (iii) 90 (Z ) 1.00% Z

172 29 * * ** Alpha** 130/30** A B I Z *** A B I A B I * A B I Z *** A B I A B I A B I A B I * * A B I Z A B I A I A B I ** A B I Z *** A B I A B I A B I A B I * * A B I Z *** A B I A B I A B I A B I * / / ** *** Z # (i) (ii)

173 (2) (3) 3090 (i) (ii) * ** A A * * # ** * * ()** * * * * 20* * * * * * ** * * B I Z *** A B I A B I Z A B I Z *** A B I B I Z *** A I Z A B I A B I A B I # * () * 20 * 28

174 (30) (i) (I) (II) (ii) (a) (b) (c) (A) (A) (B) Moody sinvestorservicesinc. P-2Standard & Poor s Corporate A-2Fitch Ratings Limited. F1 450 (18) 450 (18) (18) 50% 50% 50% (6) 50% Brown Brothers Harriman Trustee Services (Ireland) Limited Brown Brothers Harriman & Co. 150 (1) 27

175 JCM JCM JCM JCM (1) (2) (3) JCIL Citi Fund Services (Ireland), Limited Citibank N.A.BISYSFundServices(Ireland)Limited BISYSFundServices(Ireland)LimitedCitibank N.A. Citibank N.A. 1.3 (i) (ii) 26

176 25 JCIL JCIL JCIL JCIL FSAJCIL JCM JCM 1,472 JCIL JCIL JCIL JCIL JCIL JCIL JCIL JCIL JCIL JCIL JCM JCIL () JCM JCM JCM JCM JCGJCG JCGJCM 95%5% Janus Management Holdings Corporation JCIL INTECH INTECH INTECH398INTECH JCG JCG JCMINTECH 95% JCIL Perkins Perkins Perkins JCG JCG JCM Perkins 78.4%Perkins 161 JCIL JCIL JCIL JCIL

177 24 5,000 30,000 (a) (b) (c) (d) (i) (ii) (iii) (i) (iii)

178 van Weelden JCM JCIL JCM O Sullivan Arthur Cox Dennis MullenMullenJCM Janus Investment Fund Janus Aspen Series Janus Adviser Series Red Robin Gourmet Restaurants Carl O SullivanArthur Cox Irish Distillers Group Plc Waterford Wedgwood Plc Arthur Cox Peter Sandys Seroba BioVentures Limited ABN Amro Corporate Finance (Ireland) Ltd. ABN Amro Corporate Finance (Ireland) Ltd. Ernst&Young KPMG Henric van Weelden van Weelden Watson Wyatt Limited van Weelden Watson Wyatt Limited Commerzbank International Capital Management Hans VogelVogel Dresdner Bank (Ireland) plc Dresdner Kleinwort Benson International Management Services Ltd. Dresdner Asset Management Ireland Ltd. Vogel Dresdner Bank AG Dresdner Securities (Asia) Ltd. Dresdner Bank-Gesellschaft für Vermögensanlageberatung GmbH JCG 21 23

179 / (1) (2) (1) (2) (3) JCM (1) (2) (3) (1) (2) / 5% 5% (1) (2) (3) 22

180 / (a) (b) (c) (d) (e) / (f ) (i) (ii) (iii) INTECH INTECH 21

181 20 90% / / / / / / / / Russell % / /

182 / Z 5% / / / B. / 1

183 A A A B B B I I I A A B B I I A B I / (ZZ ) / (1) (2) 105% 105% 100% (3) / / / / (i) (ii) (iii) (iv)

184 17 5% / /

185 16 / 25% 30% ( ) ( Alpha 130/30)

186 Commodity Futures Trading Commission CFTC 4.13(a)(4) CFTC National Futures Association CFTC CFTC (JCM ) A. AIB Z ABI Alpha 130/30 BBBa 35% () 15% Alpha 35% / () 130/30 30% 15

187 10% 10% 10% 100% * ** * * Alpha /30 * ** () 2020% 99% 1% 14

188 13 30% 10% 80% 10% 10% 20% 51% 10% 10% 20% 10% 10% 20% (1) (2) (3)

189 12 / 25% 30% 10% 30% 10% 25% 10% % 35% 30% %B 25% 25% 10% 20% 50%

190 11 ( ) / 30% - 70% / /( ) / 130/30 () / 130% 30% () 10% 20% Russell / / 10% 10% 10% 20%

191 () () 80% MSCI Europe Index 80% MSCI World Index 80% 500 ( ( ) ) () () () 80% 500 () () 100% 100% ( ) 200% ( ) Alpha 10

192 9 10% 20% / % 10% 20% % 10% 20% / / / 10% 10% 20%

193 8 20% () ( ) () / 10% 20% (i) (ii) 10% 10% 20% 10% 20% / 10% 10% 20% 35% 65% 35% 65% 25% 10% 10% 20% 10%

194 7 10% 20% 1 / / ( ) / 10% 10% 30% 10% 25% / Bloomberg L.P. 10% 10% 20% / 10% 10% 1

195 6 5% / JCM INTECH INTECH / Perkins 1 () % 20 25% () 10% 1

196 / 5% 3(2) / 100% Alpha 130/30 () 15% / Alpha35% / () 130/30 30% / 25% 10%

197 A 2, B 2, I 1,000,000 Z 20,000,000 A 2, B 2, I 1,000,000 Z 15,000,000 A 2, B 2, I 1,000,000 / Janus Capital International LimitedJCIL 90 1%IZ / JCIL Janus Capital Management LLC JCM INTECH Perkins 1 1 () 20 Alpha 130/30 4

198 3 A B I Z A I Z A A B B I I Z A A B I I ABIZ A B I Z A I Z A A B B I I Z A A B I I A B I Z A I Z A A B B I I Z A A B I I A B I A B I A B I A B I Z A B I A B I A B I A B I Z A B I Z A I Z A A B B I I Z A A B I I A B I A B I A B I A B I Z

199 Dennis Mullen Carl O Sullivan Peter Sandys Henric van Weelden Hans Vogel Janus Capital International Limited 26th Floor, City Point 1RopemakerStreet, LondonEC2Y9HT United Kingdom 1NorthWallQuay Dublin 1 Ireland PricewaterhouseCoopers Chartered Accountants One Spencer Dock North Wall Quay Dublin 1 Ireland Janus Capital International Limited 26th Floor, City Point 1RopemakerStreet, LondonEC2Y9HT United Kingdom Citi Fund Services (Ireland) Limited 1NorthWallQuay Dublin 1 Ireland Janus Capital International Limited 26thFloor,CityPoint 1 Ropemaker Street, London EC2Y 9HT United Kingdom Janus Capital Management LLC 151 Detroit Street Denver, Colorado United States of America INTECH Investment Management LLC ( INTECH ) CityPlace Tower, 525 Okeechobee Boulevard, Suite 1800 West Palm Beach, FL United States of America Brown Brothers Harriman Trustee Services (Ireland) Limited Styne House Upper Hatch Street Dublin 2 Ireland Arthur Cox Earlsfort Centre Earlsfort Terrace Dublin 2 Ireland J&EDavy Davy House 49 Dawson Street Dublin 2 Ireland Perkins Investment Management LLC ( Perkins ) 311 S. Wacker Drive, Suite 6000, Chicago, Illinois 60606, United States of America 2

200 1 UCITS (JCM )

201 /

202 1 20 Alpha 130/