Merrill Lynch Investment Managers Recognised for Oustanding Innovation

Sydney, 2 June 2006 – Merrill Lynch Investment Managers (MLIM) has been recognised for outstanding innovation by independent funds management researcher, Rainmaker.

The Merrill Lynch Customised Portfolio Service received the most innovative product award in the Rainmaker Marketing Execellence Awards 2006 which were presented last night.

In addition, Vincent Lo Blanco, MLIM's Head of Investment Consultants and Research Houses, received the Business Development Manager of the Year Award, chosen by industry researchers.

MLIM Managing Director and Co-CIO, Mr Maurice O’Shannassy, said he was pleased MLIM had been independently acknowledged for innovation in a competitive marketplace.

" Our commitment is to provide the best for investors across our range of investment portfolios, with in-depth company research backing an experienced team who have the expertise to maintain superior relative returns where long–term investment fundamentals are imperative," he said.

"The Merrill Lynch Customised Portfolio Service has received strong support from financial advisers since being launched as a pioneer in Separately Managed Accounts (SMAs) in Australia late last year with Count Financial and Tolhurst Noall among leading financial advisory groups who have become key clients. "

He said the Customised Portfolio Service, partnering Praemium’s SMA platform, is accessible to advisers via the web who are able to establish individual accounts for their clients which blend together professionally managed models.

" Clients have the advantages of being able to retain beneficial ownership of their shares and enjoy significant tax advantages compared to managed funds, this being achieved at a similar or lower price to a traditional managed fund.

" As Rainmaker has recognised with our innovative SMA approach, we studied what worked offshore and set about building a capability that was appropriate in our market. I believe what we have here is a highly attractive way of making investment expertise available to investors."

Merrill Lynch is one of the world’s leading wealth management, capital markets and advisory companies, with offices in 36 countries and territories and total client assets of approximately A$2.24 trillion. As an investment bank, it is a leading global trader and underwriter of securities and derivatives across a broad range of asset classes and serves as a strategic advisor to corporations, governments, institutions and individuals worldwide. Through Merrill Lynch Investment Managers, the company is one of the world’s largest managers of financial assets. Firmwide, assets under management total A$734 billion as at 31st December 2005. For more information on Merrill Lynch, please visit www.ml.com.