MLN – June 2020 monthly update

1
A WORD FROM THE MANAGER
Marlin’s gross performance for May was +7.4%, while the
Adjusted NAV return for the month was 6.5%. These returns
were ahead of our global benchmark which gained 5.2%.
May saw a continuation of April’s rebound in global equity
markets. Covid-19 once again dominated the news, although
increasingly focus turned to relaxation of lockdown measures
from the health crisis.
Clearly, reopening is a positive. Economies can start to grow again,
albeit from very low levels, and jobs will be restored. How much of
a recovery and how soon are the obvious open questions. To date,
equity markets have found cause for optimism.
In the US, the S&P 500 climbed to end the month 4.8% higher
and is now just 10% below the February peak. US corporate
earnings reports for the first quarter of 2020 drew to a close in
May. Defensive sectors such as consumer staples, utilities and
healthcare were more resilient and had positive earnings growth.
High demand for technology driven by more people working from
home helped to keep earnings in the IT sector robust. Financials,
energy and consumer discretionary were the worst hit sectors.
European and Japanese stock markets, typically more cyclical,
also ended the month higher. Much of the attention in Europe
has been over a European Union wide recovery plan.
Emerging market equities lagged during May, returning 0.8% in
local currency. Reports of Covid-19 cases trending down in Asia
was offset by large increases in India and Brazil putting pressure
on their economies.
Portfolio Company Developments
Among companies reporting first quarter earnings in May were
brick and mortar retailers TJX (+7.5%) and Floor and Décor
(+22.6%). TJX, which has a third of stores open, provided
positive commentary on sales being higher than last year at
stores open longer than a week. With plenty of excess inventory
in the marketplace, TJX expects to be able to purchase
high quality brands at large discounts, passing savings onto
customers. Floor and Décor management struck an optimistic
tone on their earnings call with investors. The share price has
been well supported throughout the month as States across
America reopen. This culminated with a sharp rally at month end
on US house sale data that was much better than expected.
Shares in aircraft component manufacturer, Heico (+15%),
had a strong May. This was driven by both the rotation into
more cyclical names and better-than-expected earnings.
While revenue from Flight Support Group, which supplies
aftermarket parts to airlines fell 18% in the quarter on a
significant decrease in global air travel, the rest of the business
performed better than expected. The Electronic Technologies
Group grew 2% highlighting the more defensive nature
of its core defence and space customers. Despite lower
revenues overall, the impact on profit margins was muted as
the company did a good job of managing costs. While the
recovery in the aerospace sector will take time, management
is hopeful that May marks the bottom of the crisis. Heico
expects to benefit from the recovery as its lower priced aircraft
parts are increasingly attractive to cash-strapped airlines.
Lastly, management commented that the current environment
is creating opportunities to acquire other niche manufacturers,
which has been a key part of Heico’s long-term growth story.
During the month, Facebook (+10%) share price responded
positively to the launch of Facebook Shops. This pushes the
company further towards e-commerce. The development
gives the 160 million predominantly small and medium sized
businesses across Facebook’s platforms the ability to provide
a seamless shopping experience for the platforms 2 billion odd
members. Users will be able to discover new products through
business storefronts on Facebook and Instagram or buy
products seen in ads or stories without leaving the platform.
Facebook will charge a fee on each purchase, but the majority
of monetisation will come from driving more advertising.
E-commerce platform, Alibaba (-2.3%) underperformed for the
month despite strong earnings results. Revenue grew 22% in
the first quarter even as China was impacted by Covid-19. Sale
of physical goods on the Tmall ecommerce marketplace grew
10% as China’s lockdown accelerated e-commerce adoption,
especially in categories like online groceries. The company
noted that growth rates have now recovered to near pre-Covid
levels. However, this positive news was overshadowed by
increasing tensions between the US and China. In addition
to the ongoing discussions around trade, US legislators have
proposed tightening the rules around foreign company listings
on US stock exchanges, with a threat of delisting if the rules are
not adhered too. Alibaba is also listed on the Hong Kong Stock
1
Share Price Discount to NAV (including warrant price on a pro-rated basis and using NAV to four decimal places).
MONTHLY UPDATE
June 2020
MLN NAVWarrant Price
$
1. 0 5
$
0 .1 0
$
0.98
Share Price
DISCOUNT
1
4.4
%

as at 31 May 2020

2
SECTOR SPLIT
as at 31 May 2020
KEY DETAILS
as at 31 May 2020
FUND TYPE
Listed Investment Company
INVESTS IN
Growing international companies
LISTING DATE
1 October 2007
FINANCIAL YEAR END
30 June
TYPICAL PORTFOLIO
SIZE
25-35 stocks
INVESTMENT CRITERIA
Long-term growth
PERFORMANCE
OBJECTIVE
Long-term growth of capital and
dividends
TAX STATUS
Portfolio Investment Entity (PIE)
MANAGER
Fisher Funds Management Limited
MANAGEMENT
FEE RATE
1.25% of gross asset value
(reduced by 0.10% for every
1% of underperformance
relative to the change in the
NZ 90 Day Bank Bill Index
with a floor of 0.75%)
PERFORMANCE
FEE HURDLE
Changes in the NZ 90 Day Bank
Bill Index + 5%
PERFORMANCE FEE
10% of returns in excess of
benchmark and high water mark
HIGH WATER MARK
$0.89
PERFORMANCE FEE CAP
1.25%
SHARES ON ISSUE
151m
MARKET CAPITALISATION
$148m
GEARING
None (maximum permitted 20% of
gross asset value)
27
%
CONSUMER
DISCRETIONARY
10
%
FINANCIALS
17
%

HEALTH CARE
24
%
INFORMATION
TECHNOLOGY
GEOGRAPHICAL
SPLIT
as at 31 May 2020
11
%
WEST
EUROPE
79
%
NORTH AMERICA
5
%
INDUSTRIALS
10
%

ASIA
The Marlin portfolio also holds cash.
14
%
COMMUNICATION
SERVICES
Exchange, which we think lowers the overall risk to the company.
We continue to closely follow any further developments on this
proposal and the wider US-China tensions.
Portfolio changes
We added Stone Co (+18.7%) to the portfolio in May. Stone is
a rapidly growing payment service provider in Brazil that allows
small merchants to accept digital payments in-store and online.
Stone was founded in 2012 by Andre Street and Eduardo
Pontes in response to deregulation in the Brazilian payments
market, which allowed competition with the two bank-owned
payment providers for the first time. Stone’s technology, service
and unique business model has proven disruptive and enabled
them to gain significant traction in only six years since the launch
of its service. They are now the largest independent payment
service provider in Brazil with 7% market share and grew
Ashley Gardyne
Senior Portfolio Manager
Fisher Funds Management Limited
payment volumes by 55% in 2019. Digital payment penetration
is still in its infancy in Brazil compared to other markets, but is
increasing rapidly. This shift is driven by the move away from
cash in physical stores and growth in e-commerce, two secular
trends which have recently accelerated as a result of Covid-19.
All considered we believe Stone is an attractive founder-led
business with many years of growth ahead.

3
MAY’S BIGGEST MOVERS in local currency terms
Typically the Marlin portfolio will be invested 90% or more in equities.
PAYPAL HOLDINGS
+26
%
DOLLAR TREE
+23
%
FLOOR & DÉCOR
HOLDINGS
+23
%
TYLER
TECHNOLOGIES
+19
%
5 LARGEST PORTFOLIO POSITIONS as at 31 May 2020
ALPHABET
7
%
FACEBOOK
7
%
PAYPAL HOLDINGS
6
%
MASTERCARD
5
%
SIGNATURE BANK
5
%
The remaining portfolio is made up of another 21 stocks and cash.
Nov
2007
Nov
2008
Nov
2009
Nov
2010
Nov
2011
Nov
2012
Nov
2014
Nov
2013
Share Price/Total Shareholder Return
Share PriceTotal Shareholder Return
Nov
2015
$
1.00
$
0.50
$
0.00
$
1.50
Nov
2016
Nov
2017
$
3.00
$
2.00
Nov
2018
$
2.50
Nov
2019
TOTAL SHAREHOLDER RETURN to 31 May 2020
PERFORMANCE to 31 May 2020
1 Month3 Months1 Year3 Years
(annualised)
5 Years
(annualised)
Company Performance
Total Shareholder Return+9.4%+2.6%+26.1%+19.1%+12.7%
Adjusted NAV Return+6.5%+6.7%+21.2%+14.8%+11.4%
Portfolio Performance
Gross Performance Return +7.4%+8.1%+24.7%+18.0%+15.1%
Benchmark Index^+5.2%(2.4%)+3.2%+5.5%+7.1%
^Benchmark index: World Small Cap Gross Index until 30 September 2015 & S&P Large Mid Cap/S&P Small Cap Index (50% hedged to NZD) from 1 October 2015
Non-GAAP Financial Information
Marlin uses non-GAAP measures, including adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return. The rationale for using such non-GAAP measures is as follows:
»adjusted net asset value – the underlying value of the investment portfolio adjusted for capital allocation decisions after expenses, fees and tax,
»adjusted NAV return – the net return to an investor after expenses, fees and tax,
»gross performance return – the Manager’s portfolio performance in terms of stock selection and currency hedging before expenses, fees and tax, and
»total shareholder return – the return combines the share price performance, the warrant price performance, the net value of converting any warrants into shares, and the dividends paid to shareholders. It
assumes all dividends are reinvested in the company’s dividend reinvestment plan, and that shareholders exercise their warrants, (if they were in the money) at warrant expiry date.
All references to adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return in this monthly update are to such non-GAAP measures. The calculations applied to non-GAAP
measures are described in the Marlin Non-GAAP Financial Information Policy. A copy of the policy is available at http://marlin.co.nz/about-marlin/marlin-policies/
STONECO
+17
%

Disclaimer: The information in this update has been prepared as at the date noted on the front page. The information has been prepared as a general summary of the matters covered only, and it is by necessity
brief. The information and opinions are based upon sources which are believed to be reliable, but Marlin Global Limited and its officers and directors make no representation as to its accuracy or completeness.
The update is not intended to constitute professional or investment advice and should not be relied upon in making any investment decisions. Professional financial advice from an authorised financial adviser
should be taken before making an investment. To the extent that the update contains data relating to the historical performance of Marlin Global Limited or its portfolio companies, please note that fund
performance can and will vary and that future results have no correlation with results historically achieved.
Marlin Global Limited
Private Bag 93502, Takapuna, Auckland 0740
Phone: +64 9 484 0365 | Fax: +64 9 489 7139
Email: enquire@marlin.co.nz | www.marlin.co.nz
4
Computershare Investor Services Limited
Private Bag 92119, Auckland 1142
Phone: +64 9 488 8777 | Fax: +64 9 488 8787
Email: enquiry@computershare.co.nz | www.computershare.com/nz
ABOUT
MARLIN GLOBAL
Marlin is an investment company
listed on the New Zealand Stock
Exchange. The company gives
shareholders an opportunity to
invest in a diversified portfolio of
between 25 and 35 quality growing
international companies (excluding
New Zealand and Australia) through
a single, professionally managed
investment. The aim of Marlin
is to offer investors competitive
returns through capital growth and
dividends.
CAPITAL MANAGEMENT STRATEGIES
Regular Dividends
»Quarterly distribution policy introduced in August
2010
»Under this policy, 2% of average NAV is targeted
to be paid to shareholders quarterly
»Dividends paid by Marlin may include dividends
received, interest income, investment gains
and/or return of capital
»Shareholders who prefer to have increased
capital rather than a regular income stream have
the opportunity to participate in the company’s
dividend reinvestment plan (DRP)
»Shares issued to DRP participants are at a 3%
discount to market price
»Marlin became a portfolio investment entity on
1 October 2007. As a result, dividends paid to
New Zealand tax resident shareholders have not
been subject to further tax
Share Buyback Programme
»Marlin has a buyback programme in place allowing it (if it
elects to do so) to acquire its shares on market
»Shares bought back by the company are held as treasury
stock
» Shares held as treasury stock are available to be
re-issued for the dividend reinvestment plan
Warrants
»On 17 October 2019, a new issue of warrants (MLNWD)
was announced
»The warrants were issued at no cost to eligible
shareholders and in the ratio of one warrant for every four
Marlin shares held
»Exercise Price = $0.94 per warrant, to be adjusted
down for dividends declared during the period up to the
Exercise Date
»Exercise Date = 6 November 2020
»The final Exercise Price will be announced and an
Exercise Form will be sent to warrant holders in
September 2020

MANAGEMENT
Marlin’s portfolio is managed
by Fisher Funds Management
Limited. Ashley Gardyne (Senior
Portfolio Manager), Chris
Waters and Harry Smith (Senior
Investment Analysts) have prime
responsibility for managing
the Marlin portfolio. Together
they have significant combined
experience and are very capable
of researching and investing in
the quality global companies that
Marlin targets. Fisher Funds is
based in Takapuna, Auckland.

BOARD
The Manager has authority
delegated to it from the Board
to invest according to the
Management Agreement and
other written policies. The
Board of Marlin comprises
independent directors Alistair
Ryan (Chair), Carol Campbell,
and Andy Coupe; and non-
independent director Carmel
Fisher.