EMERGING MARKETS EQUITY UNIT TRUST - St. James's...

EMERGING MARKETSEQUITY UNIT TRUST

FOR THE YEAR ENDING 31 MARCH 2015

I. S. Gascoigne D. J. Lamb

PricewaterhouseCoopers LLPAtria One144 Morrison StreetEdinburgh, EH3 8EXUnited Kingdom

United Kingdom

London, EC4V 4LAUnited Kingdom

RegistrarInternational Financial Data Services (UK) Limited

St. Nicholas LaneBasildon, SS15 5FS

IFDS House

(Authorised and regulated by the Financial Conduct Authority)


Independent Auditor

Prospectus and Manager's Reports

Copies of the up to date Prospectus (Scheme Particulars) and latest Manager's Report andFinancial Statements for the range of St. James's Place Unit Trusts can be requested from amember of the St. James's Place Partnership or, at any time during normal business hours, fromthe Administration Centre at PO Box 9034, Chelmsford CM99 2XA.Freephone: 0800 027 1031

(Authorised and regulated by the Securities and Exchange Commission)

Salt Lake CityUT 84108United States of America

160 Queen Victoria Street

TrusteeBNY Mellon Trust & Depositary (UK) Limited

3rd Floor505 Wakara Way


Investment Adviser Wasatch Advisors Inc.

Directors of the ManagerD. C. BellamyA. M. Croft

Freephone: 0800 027 1031

PO Box 9034, Chelmsford, CM99 2XA

St. James's Place Emerging Markets Equity Unit Trust

ManagerSt. James's Place Unit Trust Group Limited

United Kingdom

1

28/04/14 to 31/03/15

% change

+14.1+14.1

+14.0


Source: Lipper for Fund returns

REMEMBER THAT THE PRICE OF UNITS AND REVENUE FROM THEM MAY GO DOWN ASWELL AS UP. PLEASE BE AWARE THAT PAST PERFORMANCE IS NOT INDICATIVE OFFUTURE PERFORMANCE.

Income units (offer to offer)

Investment Adviser's Comments

The portfolio posted a healthy gain from its inception to the end of the reporting period,performing broadly in line with the MSCI Emerging Markets Index.

Accumulation units (offer to offer)

Our greatest detractor from performance for the period was Cemex Latam Holdings S.A., aColombian cement company that temporarily faced competition from imports. We sold hotel-casino stocks Galaxy Entertainment Group Ltd., Sands China Ltd. and Melco InternationalDevelopment Ltd. on a weakened outlook for tourism to Macau from mainland China.

We expect lower oil prices to continue benefiting emerging markets in several ways. First, webelieve the lower cost of imported oil will improve current-account deficits and help support thecurrencies of energy-importing countries such as India. Second, reduced government outlays forfuel subsidies will improve fiscal accounts. Third, the lower cost of energy should put downwardpressure on inflation.

Taken together, we anticipate these factors will make the bond markets of developing nationsmore appealing to foreign investors and help emerging markets attract the capital they need togrow. With the broad emerging-market universe attractively valued by historical standards, webelieve the investment opportunities in emerging markets are more compelling now than at anytime in the past several years.

Indices - actualMSCI Emerging Markets (Total Return)

Geopolitical conflict in Ukraine and related international sanctions impacted the economies ofRussia and its primary trading partners. Falling oil prices also hurt Russia - as well as other oil-exporting countries - but helped energy-dependent countries such as India. Expectations forfurther measures to stimulate the Chinese economy lifted shares in Beijing, and other Asianstocks rose in concert.

While our lack of investments in Russia helped performance, underweight positions in China andTaiwan were headwinds for the portfolio. India was the portfolio’s largest source ofoutperformance, as lower oil prices and political optimism boosted Indian stocks. Our stocksalso outperformed in Indonesia, Thailand and South Africa. The largest source ofunderperformance was our Hong Kong-based companies operating hotel-casinos in Macau.

Our two strongest contributors to performance for the period were Lupin Ltd. and MercadoLibreS.A. Lupin is an Indian manufacturer of generic drugs that continues to experience stronginternational demand. MercadoLibre hosts an online-commerce platform in Latin America and isbenefiting from the growing popularity of e-commerce throughout the region.

Wasatch Advisors Inc. 14 April 2015


Report of the Manager

The Trust's Performance

The performance of the Trust since its launch in April 2014 and over the period under review isshown below, together with figures for the most commonly quoted indices in comparablemarkets where the major proportion of the Trust has been invested.

During the period under review, 28 April 2014 to 31 March 2015, the St. James's PlaceEmerging Markets Equity Unit Trust Income unit offer price rose by 14.1% from 100.0p to114.1p and the Accumulation unit offer price (in which revenue is reflected in the price ratherthan distributed) rose by 14.1% from 100.0p to 114.1p.

The Manager's Report consists of Report of the Manager, The Trust's Performance, InvestmentAdviser's Comments, Risk and Reward Profile and Portfolio Statement.

2

per £1,000Invested

Offer Bid at 28/04/14p p p £

114.6 93.99 - -117.6 102.60 - -

per £1,000Invested

Offer Bid at 28/04/14p p p £

114.6 93.99 - -117.6 102.60 - -

Market NAV NAVof Class per Unit

£'000 p393,315 426 108.21

Market NAV NAVof Class per Unit

£'000 p128,257,849 138,782 108.21

March2015

Accumulation

Income

Units in Issue

Units in Issue

2015March

ended

ended

Net Asset Values

The record of net distributions paid per unit is shown below:

Net revenue distributed

20142015*

20142015*

Accumulation

Performance Record


The St. James's Place Emerging Markets Equity Unit Trust was first offered on 28 April 2014 at anoffer price of 100.00p per unit.

* To 31 March 2015

Risk and Reward Profile

Ongoing Charges Figure

The Ongoing Charges Figure ('OCF') is the total expenses paid by the Trust in the period,annualised against its average net asset value. It excludes the cost of buying or selling assets forthe Trust (unless these assets are shares of another trust). The OCF can fluctuate as underlyingcosts change.

The synthetic risk and reward indicator for the St. James’s Place Emerging Markets Equity UnitTrust, as disclosed in its most recent Key Investor Information Document (KIID), is a 6. It wascalculated using indicative performance data for the type of investments held, as the Schemeitself was only launched on 28 April 2014.

The Ongoing Charges Figure for the period ended 31 March 2015 was 1.98%. Please note thatthe Manager estimates that the Ongoing Charges Figure for this newly launched Scheme willnormally be 2.05%.

Unit Price History and Record of Net Distributions Paid

Income

Highest Lowest

Calendar yearper unit

Highest Lowestper unit

Calendar year

Net revenue distributed

3

Security Holdings

MarketValue£000

% ofNet

Assets

BRAZIL 11,051 7.93BB Seguridade 399,385 2,748 1.97Qualicorp 723,546 3,472 2.49Raia Drogasil 438,711 2,569 1.85WEG 339,500 2,262 1.62

INDIA 3,844 2.76Axis Bank GDR 128,142 3,844 2.76

INDONESIA 14,809 10.64Bank Negara Indonesia Persero 7,923,900 2,948 2.12Bank Rakyat Indonesia Persero 4,539,900 3,108 2.23Jasa Marga Persero 11,159,900 4,123 2.96Tower Bersama Infrastructure 9,607,800 4,630 3.33

MEXICO 13,499 9.69Compartamos 3,260,500 3,917 2.81Grupo Aeroportuario del Pacifico 903,300 4,026 2.89Grupo Financiero Interacciones 659,322 2,933 2.11Promotora y Operadora de Infraestructura 360,634 2,623 1.88

PERU 3,840 2.76BBVA Banco Continental 4,111,315 3,840 2.76

PHILIPPINES 19,848 14.27Bloomberry Resorts 16,504,900 2,605 1.87GT Capital Holdings 160,600 3,229 2.32GT Capital Rights 08/04/2015 153,400 - -International Container Terminal Services 3,181,200 5,193 3.73Metropolitan Bank & Trust 2,931,802 4,323 3.12Universal Robina 1,322,460 4,498 3.23

SOUTH AFRICA 9,773 7.02Discovery 505,200 3,475 2.50Discovery Rights 02/04/2015 45,083 86 0.06Life Healthcare 1,178,500 2,758 1.98Sanlam 794,400 3,454 2.48

SPAIN 3,138 2.25CEMEX LatAm 883,600 3,138 2.25

TAIWAN 2,670 1.92President Chain Store 526,190 2,670 1.92

THAILAND 7,581 5.45Bangkok Dusit Medical Services 6,022,123 2,463 1.77Kasikornbank 'A' Shares 1,076,400 5,118 3.68

TURKEY 6,172 4.43BIM Birlesik Magazalar 234,100 2,812 2.02Coca-Cola Icecek 296,600 3,360 2.41

UNITED ARAB EMIRATES 1,967 1.41National Bank of Ras Al-Khaimah 1,336,628 1,967 1.41

UNITED KINGDOM 12,725 9.14St. James's Place Money Market Unit Trust L Acc† 12,203,372 12,725 9.14

UNITED STATES 4,002 2.87MercadoLibre 48,712 4,002 2.87


Portfolio Statement

as at 31 March 2015

4

Security Holdings

MarketValue£000

% ofNet

Assets


Portfolio Statement (continued)

as at 31 March 2015

DERIVATIVES 1,797 1.30

Total Return SwapsMacquarie Total Return Swap Asian Paints 1% 18/05/2015

(4,063,279) 115 0.08

Macquarie Total Return Swap Glenmark Pharmaceuticals 1% 18/05/2015

(4,974,636) 854 0.62

Macquarie Total Return Swap Godrej Consumer Products 1% 18/05/2015

(1,184,249) (83) (0.06)

Macquarie Total Return Swap HCL Technologies 1% 18/05/2015

(4,691,864) (26) (0.02)

Macquarie Total Return Swap Idea Cellular 1% 18/05/2015

(2,909,519) 593 0.43

Macquarie Total Return Swap Indusind Bank 1% 18/05/2015

(4,876,077) 219 0.16

Macquarie Total Return Swap Lupin 1% 18/05/2015 (4,596,098) 125 0.09

Investment assets^ 116,716 83.84

Total other assets (net) 22,492 16.16

Net assets 139,208 100.00

^ Including investment liabilities of (£109K).

All investments held are listed, unless otherwise stated.

Derivative contracts were traded on an eligible derivatives exchange.

Stocks shown as GDRs represent Global Depositary Receipts.

† During the period under review the Manager decided to place some of the sterling cash heldon deposit into the St. James’s Place Money Market Unit Trust in order to spread risk across anumber of institutions. The St. James’s Place Money Market Unit Trust is highly liquid and israted AAA by Standard & Poors. This investment is a related party.

5

Material Portfolio Changes

PurchasesCost

£000St. James's Place Money Market Unit Trust L Acc† 32,198International Container Terminal Services 5,155MercadoLibre 4,914Metropolitan Bank & Trust 4,735Kasikornbank 'A' Shares 4,689Qualicorp 4,489CEMEX LatAm 4,420Tower Bersama Infrastructure 4,250Compartamos 4,173Jasa Marga Persero 4,164

SalesProceeds

£000St. James's Place Money Market Unit Trust L Acc† 19,477Sino Biopharmaceutical 3,953MercadoLibre 1,628Banco Davivienda 1,536Melco International 1,478M Dias Branco 1,462Raia Drogasil 1,377Metropolitan Bank & Trust 1,294Bank Rakyat Indonesia Persero 1,244Abu Dhabi Commercial Bank 1,043

† This investment is a related party.


6

D. J. Lamb 3 June 2015

Directors' Certificate

This report is certified in accordance with the requirements of the rules in the Financial ConductAuthority's Collective Investment Schemes Sourcebook.

Directors AA. M. Croft London

The Manager is responsible for keeping proper accounting records and for the management ofthe Trust in accordance with its Trust Deed, Prospectus and the Rules. The Manager has ageneral responsibility for taking such steps as are reasonably open to it to prevent and detectfraud and other irregularities.

St. James's Place Emerging Markets Equity Unit TrustStatement of the Manager's Responsibilities in relation to the Financial Statements of the Trust

The rules in the Financial Conduct Authority's Collective Investment Schemes Sourcebook ("theRules") require the Manager to prepare Financial Statements for each annual accounting periodwhich give a true and fair view of the financial position of the Trust as at the end of the periodand of the net expenses and the net capital gains on the property of the Trust for the period thenended.

In preparing the Financial Statements the Manager is required to:

select suitable accounting policies and then apply them consistently;

make judgements and estimates that are reasonable and prudent;

comply with the requirements of the Statement of Recommended Practice relating toAuthorised Funds and the Trust Deed;

follow applicable UK Accounting Standards (UK Generally Accepted Accounting Practice);and

prepare Financial Statements on the going concern basis unless it is inappropriate topresume that the Trust will continue in operation.

7

London

3 June 2015


Statement of Trustee's Responsibilities

The Trustee is under a duty to take into custody and to hold the property of the Trust in trust forthe holders of units. It is also the duty of the Trustee to enquire into the conduct of the Managerin the management of the Trust and to ensure that the Trust is managed in accordance with allapplicable rules and restrictions in each annual accounting period, and to report thereon tounitholders.

Report of the TrusteeIn our opinion, the Manager has managed the Trust, in all material aspects, during the periodcovered by this Report in accordance with the investment and borrowing powers and therestrictions applicable to the Trust and otherwise in accordance with the provisions of the TrustDeed and the rules in the Financial Conduct Authority's Collective Investment Scheme provisionsof the Sourcebook.

For and on behalf of:BNY Mellon Trust & Depositary (UK) Limited

8

What an audit of financial statements involvesWe conducted our audit in accordance with International Standards on Auditing (UK and Ireland)(“ISAs (UK & Ireland)”). An audit involves obtaining evidence about the amounts and disclosuresin the financial statements sufficient to give reasonable assurance that the financial statementsare free from material misstatement, whether caused by fraud or error. This includes anassessment of:

whether the accounting policies are appropriate to the Trust’s circumstances and have beenconsistently applied and adequately disclosed;

the reasonableness of significant accounting estimates made by the Authorised FundManager; and

the overall presentation of the financial statements.

In addition, we read all the financial and non-financial information in the Annual Report (the “Annual Report”) to identify material inconsistencies with the audited financial statements andto identify any information that is apparently materially incorrect based on, or materiallyinconsistent with, the knowledge acquired by us in the course of performing the audit. If webecome aware of any apparent material misstatements or inconsistencies we consider theimplications for our report.

Independent Auditors' Report to the Unitholders of


Our opinion

In our opinion the financial statements, defined below:give a true and fair view of the financial position of the Trust as at 31 March 2015 and ofthe net expenses and the net capital gains of the scheme property of the Trust for the periodthen ended; and

have been properly prepared in accordance with United Kingdom Generally AcceptedAccounting Practice, the Statement of Recommended Practice for Authorised Funds, theCollective Investment Schemes sourcebook and the Trust Deed.

This opinion is to be read in the context of what we say in the remainder of this report.

What we have audited

The financial statements of St. James’s Place Emerging Market Equity Unit Trust (the “Trust”),which are prepared by St. James’s Place Unit Trust Group Limited (the “Authorised FundManager”), comprise:

the balance sheet of the Trust as at 31 March 2015;

the statement of total return of the Trust for the period then ended;

the statement of change in net assets attributable to unitholders of the Trust for the periodthen ended;

the notes to the Trust’s financial statements, which include a summary of significantaccounting policies and other explanatory information; and

the distribution tables.The financial reporting framework that has been applied in their preparation is applicable lawand United Kingdom Accounting Standards (United Kingdom Generally Accepted AccountingPractice), the Statement of Recommended Practice ‘Financial Statements of Authorised Funds’issued by the Investment Management Association (the “Statement of Recommended Practice forAuthorised Funds”), the Collective Investment Schemes sourcebook and the Trust Deed.

In applying the financial reporting framework, the Authorised Fund Manager has made a numberof subjective judgements, for example in respect of significant accounting estimates. In makingsuch estimates, they have made assumptions and considered future events.

9

(continued)

Independent Auditors' Report to the Unitholders of


Responsibilities for the financial statements and the audit

Our responsibilities and those of the Authorised Fund Manager

Chartered Accountants & Statutory AuditorsEdinburgh3 June 2015The maintenance and integrity of the St. James’s Place website is the responsibility of the Fund Manager; the work carried out by theauditors does not involve consideration of these matters and, accordingly, the auditors accept no responsibility for any changes thatmay have occurred to the financial statements since they were initially presented on the website.Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation inother jurisdictions.

PricewaterhouseCoopers LLP

Our responsibility is to audit and express an opinion on the financial statements in accordancewith applicable law and ISAs (UK & Ireland). Those standards require us to comply with theAuditing Practices Board’s Ethical Standards for Auditors.

This report, including the opinions, has been prepared for and only for the Trust’s unitholders as abody in accordance with paragraph 4.5.12 of the Collective Investment Schemes sourcebook andfor no other purpose.

We do not, in giving these opinions, accept or assume responsibility for any other purpose or toany other person to whom this report is shown or into whose hands it may come save whereexpressly agreed by our prior consent in writing.

Opinions on matters prescribed by the Collective Investment Schemes sourcebookIn our opinion:

we have obtained all the information and explanations we consider necessary for thepurposes of the audit; and

the information given in the Authorised Fund Manager’s Report for the financial period forwhich the financial statements are prepared is consistent with the financial statements.

Other matters on which we are required to report by exception

Propriety of accounting records and information and explanations received

Under the Collective Investment Schemes sourcebook we are required to report to you if, in ouropinion:

proper accounting records have not been kept; or

the financial statements are not in agreement with the accounting records and returns.

We have no exceptions to report arising from this responsibility.

As explained more fully in the Authorised Fund Manager’s Responsibilities Statement set out onpage 7, the Authorised Fund Manager is responsible for the preparation of the financialstatements and for being satisfied that they give a true and fair view.

10

Notes £000 £000

2 7,1953 7054 (1,088)6 -

(383)5 (87)

(470)

6,7256 5

6,730

£000 £000-

214,946

(82,770)

132,176302

6,730

139,208

Bid Offerp p

108.4 114.1108.4 114.1Accumulation units

Net capital gains

Statement of Total Return


Income

for the period 28 April 2014 to 31 March 2015

28/04/14 to 31/03/15


Revenue

Finance costs: Equalisation

Expenses

Total return before equalisation

Finance costs: Interest

Taxation

Net expenses after taxation

Change in net assets attributable to unitholders from investment activities

Statement of Change in Net Assets Attributable to Unitholders

Net expenses before taxation

28/04/14 to 31/03/15

Amounts receivable oncreation of units

Dilution levy charged

Opening net assets attributable to unitholdersMovement due to creation and cancellation of units:

Income units

Amounts payable on cancellation of units

The prices per unit as at 31 March 2015 (unaudited) were:

Closing net assets attributable to unitholders

Change in net assets attributable to unitholders from investment activities (see above)

11


31/03/15

Notes £000 £000

116,7168 3,1199 21,617

24,736

141,452

Creditors 110 (2,244)

(2,244)

139,208

Total liabilities

Total assets

Liabilities

Total other assets

as at 31 March 2015

Balance Sheet

Investment assetsAssets

DebtorsCash and bank balances

Net assets attributable to unitholders

12

1.

(a)

(b)

(c)

(d)

(e)

(f)

(g)

All expenses of the Trust are recognised on an accruals basis and are deducted fromrevenue with the exception of handling charges which is deducted from capital.


Notes to the Financial Statements


Listed investments have been valued at bid market value at 12.00 midday on 31 March2015, net of any accrued interest which is included in the Balance Sheet as a revenuerelated item.

Transactions involving foreign currencies are converted at the rate ruling on the date of thetransaction.

Deferred tax is provided for on the liability method on all timing differences. A deferred taxasset is only recognised to the extent that a timing difference will be of future benefit.

Distribution policy

Valuation of investments

Provision is made for corporation tax at the current rate on the excess of taxable revenueover allowable expenses.

The Financial Statements have been prepared under the historical cost basis, as modified bythe revaluation of investments, in compliance with the Financial Conduct Authority'sCollective Investment Schemes Sourcebook. They have been prepared in accordance withapplicable UK accounting standards and in accordance with the Statement ofRecommended Practice (SORP) for Financial Statements of Authorised Funds issued by theIMA in October 2010 (IMA SORP 2010).

Accounting and Distribution policies

Basis of accounting

Dividends receivable from equity investments are credited to the revenue account when theinvestments are first quoted ex-dividend. Interest on deposits is accounted for on anaccruals basis. Revenue from other authorised collective investment schemes is recognisedwhen the investments are quoted ex-dividend. Management fee rebates from underlyingfunds will be taken to revenue or capital depending on the treatment adopted in theunderlying funds. Management fee rebates received from the St. James's Place MoneyMarket Unit Trust are recognised as revenue on an accruals basis and form part of thedistribution. Returns on total return swap contracts with resets is split between capital andincome at the reset dates depending on the length of contract and market volatility.

Revenue

Taxation

Foreign exchange

The manager has chosen to pay all revenue less revenue expenses and taxation as a finaldistribution at the end of the accounting period. In the case of income unitholders this willbe paid as a distribution. In the case of accumulation unitholders the distribution will bereinvested.

Assets and liabilities have been translated into sterling at the exchange rates prevailing atthe Balance Sheet date.

Over the Counter (OTC) derivatives, including Total Return Swaps, are held at fair value.Data from a primary source (Markit) will initially be used in valuing derivatives. Howevertolerance checks are also performed between valuations derived from different sources inorder to validate the calculated valuations, detect any potential discrepancies and, ifappropriate, select a secondary or tertiary price for use in the valuation instead.

UK dividend revenue is disclosed net of any related tax credit. Overseas dividends continueto be disclosed gross of any foreign tax suffered, the tax element being separately disclosedin the tax note.

Authorised unit trusts are valued at cancellation price for funds managed by the managerand a bid price for all other funds. Suspended, delisted, unquoted or manually pricedsecurities are valued by the manager taking into account, where appropriate, latest dealingprices, financial performance and other relevant factors.

Expenses

13


(continued)Notes to the Financial Statements

(h)

(i)

(j)

2.28/04/14 to

31/03/15£000

2,52883

4,655(71)

7,195

3.28/04/14 to

31/03/15£000

44Overseas dividends 576Distributions from Regulated Collective Investment Schemes Interest distributions 4Bank interest 15Interest on capital 48Management charge rebate on underlying holdings 19Swap income (1)

705

4.28/04/14 to

31/03/15£000

707

5

Audit fee 9Investment administration fee 8

32332

13

376

1,088

Non-derivative securities

Net capital gains

Special dividends

Special dividends are treated as revenue or a repayment of capital reflecting the facts ofeach particular case.

Derivatives

Trustee's fee

UK dividends

Payable to the Manager

Revenue

Other expenses

Swap contractsCurrency gains

Handling charges

Management charge

Expenses

Total revenue

Safe custody fee

Legal fees

Equalisation

Equalisation applies only to units purchased during the distribution period. It is the accruedrevenue element of the purchase price of all such units and is refunded to holders of theseunits as a return of capital. Being capital it is not liable to income tax, but must be deductedfrom the cost of units for capital gains tax purposes.

The Trust may enter into permitted transactions such as derivative contracts or forwardforeign currency transactions. Where these transactions are used to protect or enhancerevenue, the returns are included within net revenue in the Statement of Total Return.

Where the transactions are used to protect or enhance investments, the returns are treatedas capital and included within gains/losses on investments in the Statement of Total Return.Any open positions in these type of transactions at the period end are included in theBalance Sheet at their mark to market value.

Net capital gains

Total expenses

ADR Issuance fee

Advisory Fee

Payable to the Trustee

14



5.28/04/14 to

31/03/15£000

(a)87

(b)

(383)

(77)

(9)(115)202

87(1)

87

(c)

(d)

6.

Equalisation and interest

28/04/14 to 31/03/15

£000Final distribution -

1(6)

(5)-

(5)

7.28/04/14 to

31/03/15£000(470)465

(5)

Factors that may affect future tax charges

There is no provision required for deferred taxation at the balance sheet date.

Foreign tax expensed

Current tax charge for period (note 5a)

At the period end, after offset against revenue taxable on receipt, there is a potentialdeferred tax asset of £202,244 relating to surplus management expenses. No deferred taxasset was recognised in the current period as it was considered unlikely the Trust wouldgenerate sufficient taxable profits in the future to utilise these amounts.

Authorised Unit Trusts are exempt from tax on capital gains, therefore any capital return isnot included in the above reconciliation.

Deferred taxation:

Net expenses before taxation

Irrecoverable overseas tax

Effects of:UK dividends not subject to corporation tax

Factors affecting current tax charge for the period:

The tax assessed for the period is equal to the standard rate of corporation tax in the UK foran authorised unit trust of 20%. The differences are explained below:

Movement in excess management expensesNon taxable foreign dividends

Corporation Tax at 20%

Movement between net revenue / (expenses) and net equalisation

Net revenue/(expense) after taxation

Total finance costs

Finance costs

The Equalisation takes account of revenue received on the creation of units and revenuededucted on the cancellation of units and comprises:

Deduct: Revenue received on creation of units

Deficit transferred to capital

Add: Revenue deducted on cancellation of units

Analysis of charge in period:

Interest

Net Equalisation for the period

Net Equalisation for the period

Taxation

Irrecoverable overseas tax

15



8.31/03/15

£0002,893

21691

3,119

9.31/03/15

£00021,589

28

21,617

10.31/03/15

£0002,114

130

2,244

11.

12.

13.

Total creditors

Accrued expenses

Related party transactions

Cash and bank balances

St. James's Place Unit Trust Group Limited and BNY Mellon Trust & Depositary (UK) Limitedtogether with their associates are related parties and regarded as controlling parties byvirtue of having the ability to act in respect of operations of the Trust.

The Manager's service charge paid to St. James's Place Unit Trust Group Limited is shown innote 4 and details of the value of units created and cancelled by St. James's Place Unit TrustGroup Limited are shown in the Statement of Change in Net Assets Attributable toUnitholders. The net balances due from St. James's Place Unit Trust Group Limited at theperiod end in respect of these transactions was £2,892,315.

Creditors

The rules in the Scheme Documents set out the financial instruments in which the Trust mayinvest. The Trust's use of financial instruments during the period satisfies theserequirements.

Cash (including overdrafts) and short-term debtors and creditors that arise directly from itsoperations; and

Derivatives and other financial instruments

Trustee's fees and interest payable to BNY Mellon Trust & Depositary (UK) Limited and theirassociates are shown in notes 4 and 6 respectively. The net balances due from BNY MellonTrust & Depositary (UK) Limited and their associates at the period end in respect of thesetransactions was £nil.

Income tax recoverable

Purchases awaiting settlement

Cash and bank balances: Sterling

Total cash and bank balances

The Manager, St. James's Place Unit Trust Group Limited, is a subsidiary of St. James's PlaceWealth Management Group plc ('SJPWMG'). Two fellow subsidiaries of SJPWMG, St.James's Place International plc and St. James's Place UK plc, invest some of their life andpension policyholders' funds into the St. James's Place Emerging Market Equity Unit Trust.The value of these investments at the period end was £93,535,028.

Cash and bank balances: Overseas

Capital commitments and contingent liabilities

On 31 March 2015, the Trust had no capital commitments and no contingent liabilities.

Equity shares and units in collective investment schemes.

Derivatives which the Trust may enter into (principally total return swaps) for investmentpurposes as well as managing the market risk arising from the Trust's investment activities(and related financing).

Dilution levy receivableAccrued revenueAmounts receivable for creation of units

Debtors

In accordance with the investment objectives, as stated on page 20, the Trust held certainfinancial instruments. These comprise:

Total debtors

16



14.

(a)

(b)

Initial and ongoing due diligence of Investment Adviser investment and risk managementprocedures – including on site reviews;

Periodic reviews of the investments held by the Trust and their compliance with investmentobjectives and liquidity requirements; and

The revenue and capital value of the Trust’s investments can be significantly affected bycurrency translation movements as a proportion of the Trust’s assets and revenue aredenominated in currencies other than sterling, which is the Trust’s functional currency. Theoverall currency exposure for this fund is reduced by the open forwards exposure.

Foreign currency risk

The Manager’s objectives in managing investment risk are to ensure that the investmentprofile of the Trust is consistent with its stated investment objectives and risk profile, and toensure appropriate liquidity. Day to day responsibility for managing investment risk isdelegated to the Investment Adviser, who is required to manage the Trust in accordancewith FCA regulations, the Prospectus and the terms of their Investment ManagementAgreement with the Manager. The Manager monitors the activities of the InvestmentAdviser, through a variety of mechanisms including the following:

The main risks arising from the Trust's financial instruments are market price risk, foreigncurrency risk, interest rate risk, credit risk and liquidity risk. The Manager's policies formanaging these risks are summarised below. These policies have remained unchangedsince the beginning of the period to which these financial statements relate.

Movements in exchange rates affect revenue received.

Movements in exchange rates affect the value of investments;

The Manager has identified three principal areas where foreign currency risk could impactthe Trust:

Movements in exchange rates affect short term timing differences; and

Risk management

The Trust may be subject to short term exposure to exchange rate movements, for instancewhere there is a difference between the date an investment purchase or sale is entered intoand the date when settlement of the proceeds occurs. When the Trust enters into such atransaction which will involve the buying or selling of foreign currency in order to complete,a foreign exchange contract is entered into as soon as possible after the initial transaction inorder to minimise the exchange rate risk.

Ongoing review of the investment performance of the Trust against appropriate benchmarks.

The Trust receives revenue in currencies other than sterling and movements in exchangerates can affect the sterling values of this revenue. The Trust converts all receipts of revenueinto sterling on or near the date of receipt, it does not however hedge or otherwise seek toavoid exchange rate risk on revenue accrued but not received.

Market price risk represents the potential loss the Trust might suffer through holding marketpositions in the face of price movements.

Market price risk

The Manager has delegated the investment management of the portfolio to an externalInvestment Adviser who determines the asset allocation and minimises the risk associatedwith particular countries or industry sectors, whilst continuing to follow the Trust’sinvestment objectives. The Manager has the responsibility for monitoring the portfolio toensure compliance with the investment objectives and that an acceptable risk and rewardprofile is maintained.

17



Monetary exposures

Non-monetary exposures Total

£000 £000 £00024,367 14,522 38,889

(35) 1,967 1,932(200) 11,051 10,851

(80) 3,138 3,058(199) 14,810 14,611(350) 13,500 13,150(100) 3,840 3,740(325) 19,849 19,524

- 2,670 2,670(150) 7,581 7,431

- 6,172 6,172(170) 7,846 7,676(269) 9,773 9,504

22,489 116,719 139,208

(c)

(d)

(e)

Credit risk

Certain transactions in securities that the Trust enters into expose it to the risk that thecounterparty will not deliver the investment (purchase) or cash (sale) after the fund hasfulfilled its responsibilities.

Credit risk occurs where there is a risk associated with the uncertainty of a counterparty’sability to meet its obligations. This risk for bonds and money market funds is managed byreviewing the counterparty’s credit rating, at the time of purchase and on an ongoing basis,and ensuring that the portfolio is sufficiently diversified. The impact of movements in creditrating and spread, and their effect on market prices, is considered to be part of market pricerisk, which is discussed above.

TWDTHBTRYUSDZAR

GBP

PENMXN

PHP

An analysis of monetary assets and liabilities for all currencies at the period end is shownbelow:

Net foreign currency assets31/03/15

AED

The external Investment Adviser selects acceptable counterparties through whichinvestments are bought and sold. The Manager has responsibility for monitoring the processby which these counterparties are selected to minimise risk.

The Trust’s investments and cash are held on its behalf by State Street Bank and TrustCompany (acting as agent), the custodian to the Trust, and its appointed sub custodians.Bankruptcy or insolvency of the custodian or its sub custodians may cause the Trust’s rightswith respect to securities to be delayed. This risk is managed through ongoing monitoringof the custodian and periodic reviews of its procedures for selecting and monitoring subcustodians, together with ad hoc reviews of custodian and sub custodian credit ratings.

BRL

Liquidity risk arises where liabilities cannot be met when they fall due or can only be met atan uneconomic price. For instance, this could arise if the Trust faces significant redemptionsin a short period of time. In order to manage this risk the manager monitors the Trust withthe aim of ensuring that it contains diversified liquid assets, that the Trust possessessufficient liquidity for the purpose of meeting the redemption of units, and that the Trust hassources of borrowing available to it.

Liquidity risk

IDR

Interest receivable on bank deposits or payable on bank overdraft positions will be affectedby fluctuations in interest rates.

COP

Currency

Interest rate risk

18



(f)

(g)

(h)

15.

28/04/14 to 31/03/15

28/04/14 to 31/03/15

£000 £000161,710 41,576276,418 281,077

438,128 322,653271 (42)

60 (19)

331 (61)

438,459 322,592

**Purchases and sales of swap contracts do not incur transaction costs and have beenincluded at the value of their exposure.

Total costs

Trades in the period before transaction costsCommissionsTaxes

Derivatives**

The use of derivatives may expose the Scheme to a higher degree of risk. For example theamount of initial margin is generally small relative to the size of the contract so thatexposure to investments is leveraged so that they are greater than the total net asset valueof the Scheme. A relatively small market movement may have a potentially larger impact onderivatives than on standard bonds or equities and leveraged positions can thereforeincrease the Scheme's volatility.

Maturity profile of financial liabilities

Derivative riskThe Manager may enter into derivatives transactions (including contracts for difference,forwards transactions, futures and options) for investment purposes and for efficientportfolio management purposes (including hedging). A relatively small market movementmay have a potentially larger impact on derivatives than on the underlying assets and theuse of derivatives can therefore increase the volatility of the value of units in the Scheme.However it is not anticipated that the use of derivatives will have a significant effect on therisk profile of the Scheme.

There is no material difference between the value of the financial assets and liabilities, asshown in the Balance Sheet, and their fair values.

Total trades in the period after transaction costs

Purchases Sales

Non-derivative securities*

The Manager and Investment Adviser use a risk management process which enables them tomonitor and measure on a daily basis the risk of the Scheme's derivatives and forwardsposition and their impact on the overall risk profile of the Scheme. This process has beennotified to the FCA in accordance with COLL.

As at the accounting date the underlying exposure obtained through financial derivativeinstruments was £1,796,876. The counterparty is MacQuarie Securities Hong Kong Ltd.Collateral cost of £6,338,901 is in place.

All financial liabilities of the Trust at the period end are due to settle in one year or less, oron demand.

Portfolio transaction costs

Analysis of total trade costs.

Fair value of financial assets and liabilities

*This includes transactions in St. James Place Money Market Unit Trust which does not incurtransactions costs.

19

(a)

(b)

Management ChargesThe Trust Deed permits the following management charges which are receivable by theManager:

A Preliminary Charge of 5 per cent which is included in the offer price of the Units.

An Annual Management Charge at a rate of 1.32 per cent of the value of the Trust.

Income Distributions

The minimum lump sum investment is £1,500, thereafter the minimum additional investment is£1,000. The minimum monthly investment is £150 and the minimum monthly increment is £50.The minimum annual investment is £1,500 and the minimum annual increment is £500.

Minimum Investment

Income distributions are made annually on or before the 31 May.

Accumulation Distributions

Revenue due to accumulation unitholders is reflected in the price of their units.

A contract note confirming the subscription or redemption price and the number of unitsinvolved will be forwarded, together with a cancellation notice, where appropriate, on the nextbusiness day.

The most recent issue and redemption prices will be published on the Manager's website:www.sjp.co.uk and are available by calling the Administration Centre on 0800 027 1031.

Unit Dealings

Dealings on the Trust take place on a daily basis. Purchase or sale instructions can be made bytelephone or in writing to St. James's Place Unit Trust Group Limited, PO Box 9034, Chelmsford,CM99 2XA, United Kingdom, freephone: 0800 027 1031.

The Manager adopts a policy of forward pricing, i.e. the order will be transacted on the dealingday following receipt of the client's instructions, or if received before noon, on that dealing day.

In the case of telephone purchases of units from the Manager, settlement must be by return ofpost after receipt of the contract note. In the case of telephone redemptions, the proceeds willnot become payable until the receipt at the Administration Centre of a written request.

It is the Manager's intention that the assets of the Unit Trust will be invested so that the UnitTrust will be eligible for inclusion in an ISA.

St. James's Place Emerging Markets Equity Unit Trust is an authorised Unit Trust scheme undersection 243 of the Financial Services and Markets Act (2000) and is constituted by a Trust Deeddated 8 April 2014.


General Information

The Trust

The Unit Trust is subject to the rules of the Financial Conduct Authority's Collective InvestmentScheme Sourcebook and is classified as a UCITS Scheme.

The Trust Manager

The Manager of the Trust is St. James's Place Unit Trust Group Limited which is a member of theInvestment Association and is authorised and regulated by the Financial Conduct Authority.

Investment Objectives

The investment objective of the Scheme is to seek to achieve long-term capital appreciation.

The Scheme aims to achieve this objective by primarily investing into a focused portfolio of thesecurities of companies which are either listed on the exchanges of countries in emergingmarkets or which are economically exposed to emerging markets.

The Scheme is also permitted to invest in other types of transferable securities, UK and overseasfixed interest and index-linked securities, units and/or shares in collective investment schemes,money market instruments, deposits, cash and near cash, and derivatives and forwardtransactions for the purposes of efficient portfolio management (including hedging).

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General Information (continued)

Tax Vouchers

To calculate capital gains on accumulation units, the total amount of reinvested net revenue(shown on the annual tax credit vouchers) should be added to the base cost of the unitspurchased. Unitholders should consult their professional advisers for any advice regarding theirtax position.

Income unitholders that receive income distributions by direct credit and accumulationunitholders (where the distribution income is reinvested) receive an annual consolidated taxvoucher in May with all the relevant payment and tax information required to complete a taxreturn.

Tax vouchers will be enclosed if income unitholders receive payment by cheque.

Report

A report is sent semi-annually to all unitholders on or before 31 May and 30 November.

Capital Gains Tax

The Trust is not liable to tax on capital gains and any individual holding units will not be liable tocapital gains tax unless the total chargeable gains for the tax year 2015/2016 exceed £11,100(2014/2015 £11,000).

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St. James’s Place Unit Trust Group Ltd is authorised and regulated by the Financial Conduct Authority. St. James’s Place Unit Trust Group Ltd Registered Offi ce:

St. James’s Place House, 1 Tetbury Road, Cirencester, Gloucestershire, GL7 1FP, United Kingdom. Registered in England Number 947644.

Perivan Financial Print 236685 Emerging Markets Equity (5/15)

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