Research methodologies and definitions of research recommendations

Allenby's equity research is based on a fundamental analysis of the companies covered whilst also taking into account the prevalent macroeconomic conditions. Our valuation methodology uses earnings multiples analysis and where appropriate, discounted cash flow valuation techniques.

Our equity research recommendations are benchmarked relative to the performance of the FT All-Share Index, are expected to be achieved within 12 months of publication of the research and have the following definitions:

• Buy - We expect outperformance of 10% or more
• Speculative Buy - Outperformance of 10% or more expected but note the associated higher risk
• Hold - We expect performance of +/- 10%
• Sell - We expect underperformance of 10% or more

Distribution of Ratings