Drapac Japan Fund

• Residential

Drapac launched the Drapac Japan Fund in June 2007 in order to provide investors with exposure to the Japanese residential real estate market which Drapac identified as a fundamentally undervalued asset class. The Fund was structured as an unlisted unit trust operating as a registered managed investment scheme with a mix of Australian domiciled trusts and Japanese corporate entities investing in Japanese property assets.

By the end of 2007 we started to experience the effects of the Global Financial Crisis (GFC), the availability of credit worldwide declined dramatically which impacted on the purchasing power of the Fund. Once it was determined that the Fund's strategy could not be implemented, Drapac sought to unwind the Fund's position in Japan and sought to wind up the investment structure. The Drapac Japan Fund has now been wound up and will be deregistered in late 2010.