QIC Limited ACN 130 539 123 (“QIC”) is a wholesale funds manager and its products and services are not directly available to, and this document may not be provided to any, retail clients.  QIC is a company government owned corporation constituted under the Queensland Investment Corporation Act 1991 (QLD). QIC is also regulated by State Government legislation pertaining to government owned corporations in addition to the Corporations Act 2001 (Cth) (“Corporations Act”).  QIC does not hold an Australian financial services (“AFS”) licence and certain provisions (including the financial product disclosure provisions) of the Corporations Act do not apply to QIC. Other wholly owned subsidiaries of QIC do hold AFS licences and are required to comply with relevant provisions of the Corporations Act. QIC also has wholly owned subsidiaries authorised, registered or licensed by the United Kingdom Financial Conduct Authority (“FCA”), the United States Securities and Exchange Commission (“SEC”) and the Korean Financial Services Commission. For more information about QIC, our approach, clients and regulatory framework, please refer to our website www.qic.com or contact us directly.

To the extent permitted by law, QIC, its subsidiaries, associated entities, their directors, officers, employees and representatives (“QIC Parties”) give no warranty of any nature whatsoever in relation to the information contained in this document (“Information”) and disclaim all responsibility and liability for any loss or damage of any nature whatsoever (including without limitation any consequential loss) which may be suffered by any person directly or indirectly through the provision to, or use by any person of the Information, including whether that loss or damage is caused by any fault or negligence or other conduct of the QIC Parties or otherwise.  Accordingly, you should not rely on the Information in making decisions in relation to your current or potential investments. This Information is general information only and does not constitute financial product advice. You should seek your own independent advice and make your own independent investigations and assessment, in relation to it. In preparing this Information, no QIC Party has taken into account any investor’s objectives, financial situations or needs and it may not contain all the information that a person considering the Information may require in evaluating it. It should not be relied upon by investors. Investors should be aware that an investment in any financial product involves a degree of risk and no QIC Party, nor the State of Queensland guarantees the performance of any QIC fund or managed account, the repayment of capital or any particular amount of return. No investment with QIC is a deposit with or other liability of any QIC Party. The Information may be based on information and research published by others.  No QIC Party has confirmed, and QIC does not warrant, the accuracy or completeness of such statements.  Where the Information relates to a fund or services that have not yet been launched, all Information is preliminary information only and is subject to completion and/or amendment in any manner, which may be material and without notice. It should not be relied upon by potential investors.  The Information may include simulations, examples or opinions, or statements and estimates in relation to future matters, many of which will be based on subjective judgements, assumptions as to future events or circumstances, or proprietary internal modelling. No representation is made that such statements or estimates will prove correct. The reader should be aware that such Information is predictive in character and may be affected by inaccurate assumptions and/or by known or unknown risks and uncertainties and should independently investigate, consider and satisfy themselves in relation to such matters. Forecast results may differ materially from results or returns ultimately achieved.

Past performance is not a reliable indicator of future performance.

The Information is being given solely for general information purposes. It does not constitute, and should not be construed as, an offer to sell, or solicitation of an offer to buy, securities or any other investment, investment management or advisory services, including in any jurisdiction where such offer or solicitation would be illegal. This Information does not constitute an information memorandum, prospectus, offer document or similar document in respect of securities or any other investment proposal. The Information is private and confidential. It has not been and is not intended to be deposited, lodged or registered with, or reviewed or authorised by any regulatory authority in, and no action has been or will be taken that would allow an offering of securities in, any jurisdiction. Neither the Information nor any presentation in connection with it will form the basis of any contract or any obligation of any kind whatsoever. No such contract or obligation in connection with any investment will be formed until all relevant parties execute a written contract and that contract will be limited to its express terms.  QIC does not make any representation with respect to the eligibility of any recipients of the Information to acquire securities or any other investment under the laws of any jurisdiction. Neither the Information nor any advertisement or other offering material is or may be distributed or published in any jurisdiction, except under circumstances that will result in compliance with any applicable laws and regulations.

Investors or prospective investors should consult their own independent legal adviser and financial, accounting, regulatory and tax advisors regarding this Information and any decision to proceed with any investment in connection with the Information.

Your receipt and consideration of the Information constitutes your agreement to these terms.

This document contains Information that is proprietary to the QIC Parties.  Do not copy, disseminate or use, except in accordance with the prior written consent of QIC.

Disclaimer regarding forward-looking statements

This document contains forward-looking statements about climate-related targets, metrics, estimates and other matters. These are based on assumptions about future events or circumstances both within and beyond QIC’s control and should not be construed as guarantees, predictions or forecasts of future climate-related outcomes. Climate-related forward-looking statements are subject to known and unknown risks, uncertainties and other factors as at the date of this document.

QIC has prepared this document in good faith and based on its current knowledge and understanding of the potential climate-related impacts to its business. However, the impacts of climate change are inherently uncertain. Readers should not place undue reliance on climate-related forward-looking statements given the limitations identified above and throughout this document.  QIC reserves its right to change its views about its climate-related targets, metrics, estimates and other outcomes as new information, methodologies, technologies or other relevant matters emerge.

Disclaimer on uncertainties in climate modelling and data

QIC uses reasonable endeavours to ensure the information and modelling it relies on to make any climate-related forward-looking statements is current.  However QIC also acknowledges that there are a range of uncertainties involved in modelling climate‑related scenarios and impacts within and across investment classes. These uncertainties are a result of:

• limitations on, or a lack of, reliable emissions and other climate-related data;
• lack of standardised terminology;
• variables in methodologies; and/or
• the speed at which climate data, modelling and methodologies are evolving.

As a result, readers should not place undue reliance on climate-related forward-looking statements given these limitations. 

ESG

This Sustainability Report contains information about QIC Real Estate’s ESG goals, targets, intentions, or expectations, including for climate.  It is subject to change, and QIC Real Estate cannot guarantee it will meet any goals, targets, intentions, or expectations. ESG-related calculation, methodologies and data collection and reporting practices are evolving.  QIC Real Estate recognises that other asset managers may implement different frameworks, methodologies, and tracking tools.  Different measurement techniques can vary in precision and may result in materially different measurements. They are also subject to measurement uncertainties resulting from inherent limitations in the nature and methods used to collect, calculate and/or analyse ESG data. QIC is unable to guarantee that the steps it has taken (or steps taken by the third parties it relies on) to mitigate, prevent or otherwise address material ESG topics will be successful, completed as expected or at all, or will apply to or continue to be implemented in the future.

Any Environmental, Social, and Governance (“ESG”) measures, targets, programmes, commitments, incentives, initiatives, or benefits referenced in this Material are not being promoted to investors and do not bind any investment decisions or the management or stewardship of any funds advised or managed by QIC for the purpose of the Regulation (EU) 2019/2088 (“SFDR”) other than as specified in the regulatory disclosures made pursuant to SFDR. Any references to “sustainable investment”, "sustainability" or variations thereof in this Material are not intended to reflect the meaning of "sustainable investment" pursuant to Article 2(17), SFDR.

Certain information contained herein relating to ESG goals, targets, intentions, or expectations, including with respect to net zero carbon targets and related timelines, is subject to change, and no assurance can be given that such goals, targets, intentions, or expectations will be met. ESG-related calculation methodologies and data collection practices and the reporting thereof as a whole are evolving, and other asset managers are implementing different frameworks, methodologies, and tracking tools. The selection of such different but acceptable measurement techniques can result in materially different measurements. Further, these techniques are subject to measurement uncertainties resulting from inherent limitations in the nature and methods used to determine such data. The precision of different measurement techniques may also vary.

Any investment decision should take into account all the characteristics or objectives of the investment as described in the relevant private placement memorandum. The integration of material ESG factors into QIC’s investment process is subordinate to, and will not be prioritised over, QIC Real Estate’s duty to maximise risk-adjusted returns for investors.

Net Zero Carbon Emissions Target

The QIC Board has resolved to embark on a pathway to achieve portfolio scope 1 and 2 net zero carbon emissions by 2050 or sooner. To this end, QIC has become a signatory to the Net Zero Asset Managers (NZAM) Initiative. NZAM is a leading net zero coalition in the finance sector, committed to supporting the goal of net zero carbon emissions by 2050 or sooner.

Real Estate Net Zero Carbon Emissions Target

The Net Zero Carbon Emissions targets for QIC’s Real Estate investments, as set out in the QIC Real Estate ESG Report, apply to assets that are 100% owned and managed by QIC (making up the following percentages of each Fund's portfolio value at 30 June 2024 - QTCF: 90%, QPF: 88%, QARP: 100%, QACPF: 91%, QOF: 98%).

These include short term carbon emissions reduction targets  which rely on an increase in renewable energy consumption through onsite solar roll out and purchase of grid sourced renewable energy (QPF/QTCF: ~70%, QOF: ~60%, QARP: ~64%, QACPF: ~68%) and reduction in electricity consumption through efficiency upgrades (QPF/QTCF: ~25%, QOF: ~35% including efficiencies achieved to date (~26%), QARP: ~21%, QACPF: ~22%). Baselines: (QPF/QTCF: 2018, QOF: 2015, QARP: 2021, QACPF: 2021).

Carbon offsets will be purchased for residual emissions from sources with no existing fossil fuel free alternatives. Progress is quantified and receives limited independent assurance annually, in accordance with the Australian Standard on Assurance Engagements (ASAE3000). QPF, QTCF, QACPF, QARP and QOF are signatories to the World Green Building Council's Net Zero Carbon Buildings Commitment which includes a commitment to achieving net zero in carbon operational emissions (scopes 1 and 2) by 2028, as well as a commitment to net zero in embodied carbon emissions (scope 3) in all new developments and major renovations from 2030 onwards.