Partial Franking Distribution Declared for CitiFirst Instalment MINIs (YM1JOB) with Record Date Set for 2 July 2026

Distribution Details and Partial Franking Information for YM1JOB Instalment MINIs

Citigroup Global Markets Australia Pty Limited, as the issuer of the YMAX CitiFirst Instalment MINIs (ASX code: YM1JOB), has formally declared a distribution amounting to 0.03510801 per unit. This distribution is partially franked, which may have tax implications for eligible Australian investors depending on their individual circumstances.

Partial franking indicates that only a portion of the corporate tax has been paid on the distribution, resulting in investors receiving a proportionate franking credit rather than a full credit. The exact franking percentage was not specified beyond the description "partially franked." Investors seeking detailed information on the franking credits should consult the full distribution statement or their financial adviser.

Alignment of Record Date and Ex-Distribution Date with Underlying YMAX BetaShares Fund

The record date and ex-distribution date for the YM1JOB CitiFirst Instalment MINIs have been set to coincide directly with those of the underlying YMAX BetaShares Australian Top 20 Equity Yield Maximiser Fund. The ex-distribution date is 1 July 2026, meaning purchases of YM1JOB on or after this date will not be entitled to the declared distribution. The record date is 2 July 2026, when eligible holders are officially recorded.

This synchronization reflects the product’s design, ensuring distributions pass through from the underlying fund to MINI holders in alignment with the fund’s own distribution timetable. This linkage is important for investors comparing distribution timing and amounts between direct fund ownership and Instalment MINI holdings.

Scheduled Payment Date of 16 July 2026 for Distribution to YM1JOB Holders

The Trustee will facilitate payment of the distribution to YM1JOB holders on or around 16 July 2026. Citigroup noted that this timing aims to coincide as closely as reasonably practicable with receipt of the distribution from the underlying YMAX BetaShares Australian Top 20 Equity Yield Maximiser Fund, indicating potential variability based on the underlying fund’s payment process.

The phrase "as reasonably practicable" introduces some flexibility in payment timing, which is typical in structured product documentation. While 16 July 2026 is the target date, any delay in the underlying fund’s distribution could affect payment timing to YM1JOB holders. No contingency plans for delays were disclosed in the announcement.

Understanding CitiFirst Instalment MINIs and Their Distinction from Direct Fund Ownership

CitiFirst Instalment MINIs are structured financial products issued by Citigroup Global Markets Australia Pty Limited that provide leveraged exposure to an underlying asset—in this case, units of the YMAX BetaShares Australian Top 20 Equity Yield Maximiser Fund. Investors pay a portion of the asset’s value upfront (the instalment), with the balance funded by a loan component. Returns and distributions are linked to the underlying asset’s performance and income.

Unlike direct ownership of YMAX BetaShares fund units, Instalment MINIs involve additional terms, fees, and obligations governed by Citigroup as issuer. Distribution entitlements flow through a Trustee mechanism, as outlined in this update. Prospective investors should review the product disclosure statement and understand risks, including the potential for amplified gains and losses relative to the underlying asset.

The Underlying Asset: YMAX BetaShares Australian Top 20 Equity Yield Maximiser Fund

The underlying asset is the YMAX BetaShares Australian Top 20 Equity Yield Maximiser Fund, managed by BetaShares. This fund invests in Australia’s twenty largest listed companies and employs a covered call strategy to enhance income generation. The fund seeks to deliver higher income yields than direct shareholding, potentially at the expense of some capital upside during strong market gains.

The distribution declared through the CitiFirst Instalment MINI corresponds to income generated by the underlying fund. Given the fund’s yield maximisation via options strategies, distribution amounts may vary depending on market conditions, option premiums, and dividend income from the top-20 holdings. No commentary was provided on future distribution outlooks beyond the current declaration.

Paul Kedwell Signs Off as Warrants and Structured Products Manager at Citigroup

This company update was signed by Paul Kedwell, Warrants and Structured Products Manager at Citigroup Global Markets Australia Pty Limited. The communication was submitted to the Australian Stock Exchange as a formal warrant report, fulfilling regulatory notification requirements regarding distribution terms for the listed structured product.

Citigroup Global Markets Australia Pty Limited holds an Australian Financial Services Licence (AFSL 240992) and is a participant of both the ASX Group and Cboe Australia. Operating from Sydney, the firm issues a range of structured products including MINIs, Trading Warrants, Turbos, Standard Finance Instruments (SFIs), and Instalments across Australian equities and other asset classes.

Investor Eligibility and Importance of the 2 July 2026 Record Date

To receive the declared distribution of 0.03510801 per unit, investors must be holders of YM1JOB as of the record date, 2 July 2026. Purchases made on or after the ex-distribution date of 1 July 2026 will not qualify for this distribution. The payment is expected on or around 16 July 2026.

Investors holding YM1JOB through custodians, brokers, or nominees should confirm with their service providers how distributions will be processed and credited. Considering ASX settlement conventions (typically T+2), trades to qualify for the record date must be executed before the ex-distribution date. Independent financial or taxation advice is recommended regarding the treatment of the partially franked distribution.

Regulatory Role of Warrant Reports Filed with the ASX

Issuers of listed warrants and structured products on the ASX, such as Citigroup Global Markets Australia, are required to file warrant reports notifying the exchange of material distribution events. This update satisfies that obligation for the YM1JOB Instalment MINIs ahead of the ex-distribution date.

Such filings are routine for major structured product issuers and do not typically indicate changes to product terms, the underlying fund’s investment strategy, or the issuer’s financial condition. Investors tracking CTW or other CitiFirst products may observe similar reports for various underlying assets and distribution periods throughout the year.

Market and Share Price Implications for YM1JOB

The immediate share price impact of this distribution announcement on YM1JOB was not evident from publicly available information at publication. However, it is standard for listed instruments to adjust in price around the ex-distribution date to reflect the removal of distribution entitlement, known as the ex-date price adjustment.

Investors monitoring YM1JOB in the secondary market should consider the ex-distribution date of 1 July 2026 when assessing price movements. Any price decline on or after this date may partly reflect the distribution entitlement removal rather than a fundamental change in the product’s value or the underlying fund’s performance. The next key event for YM1JOB holders is the anticipated distribution payment on or around 16 July 2026.