The 23rd Sub-Advised Funds Forum - FRA, LLC · The 23rd Sub-Advised Funds Forum Optimizing Returns...

April 18-19

The 23rd Sub-Advised Funds ForumOptimizing Returns via Successful Relationships and Strategies in Sub-Advised and Multi-Managed Funds

New York

Thank you for attending the conference!

Financial Research Associates is an accredited institution and we pride ourselves on the cutting edge presentations delivered at our

conferences. We make every effort to secure advance copies of these presentations for your continued review following the close

of the conference.

From time to time due to proprietary concerns or internal legal constraints, speakers are unable to submit presentations for

duplication and distribution. In this rare case, we encourage you to utilize the contact details provided in their biography to

request a single copy of the presentation.

If you have any additional questions or requests for information beyond what is in this document book, please feel free to contact

us at any time.

Thank You

Proudly Presents

Financial Research AssociatesProudly Presents

The 23rd Sub-Advised Funds Forum

April 18-19, 2017The Princeton Club, NYC

The 23rd

Sub-Advised Funds Forum PRESENTED BY FINANCIAL RESEARCH ASSOCIATES, LLC

April 18-19, 2017

NYC

DAY ONE Tuesday, April 18, 2017

12:00 – 1:00 Registration and Networking Lunch 1:00 – 1:10 Chairperson’s Welcome

Chairperson:

Timothy D. Paulin, CFA, Sr. VP, Investment Research and Product Management TOUCHSTONE INVESTMENTS

1:10 – 2:00 State of the Sub-Advised Industry – What and Where are the Market Trends?

Gene Liu, Principal GENESYS RESEARCH, INC.

Jeff Ulness, Managing Director, Client Relations EPOCH

2:00 – 2:50 Managed Risk Strategies Yesterday, Today and Tomorrow

Moderator: Bradley Jones, Vice President

AQR CAPITAL MANAGEMENT

Panelists:

David A. Weiss, CFA, VP, Head of Sub-Advisory Management

COLUMBIA THREADNEEDLE

Marci Green, Managing Director

GOLDMAN SACHS

- 2 -

Gordon Linke, Senior Vice President PIMCO 2:50 – 3:10 Refreshment break 3:10 – 4:00 How Are Investment Platforms Currently Utilizing ETFs and How Does It Impact Active

Management?

Moderator: James M. Dunham, Managing Director PERELLA WEINBERG PARTNERS

Panelists: Jeremy Held, CFA, Director of Research

ALPS ADVISORS

Todd Rosenbluth, Director of ETF and Mutual Fund Research CFRA Reginald M. Browne, Senior Managing Director - ETF Group CANTOR FITZGERALD Peg DiOrio, Head of Quantitative Equity VOYA INVESTMENT MANAGEMENT

4:00 – 5:00 Investment Manager Due-Diligence – Today’s Fundamentals of the Manager Selection

Process

Moderator:

Kenneth B. Beitler, CFA, Investment Specialist, Investment Strategies & Solutions METLIFE

Panelists:

Zoe Brunson, Senior Vice President, Investment Strategies ASSETMARK

Elizabeth Muirhead, CFA, Senior Analyst; Manager Oversight and Selection VANGUARD 5:00 – 6:00 Day One Sessions Adjourn; Networking Reception Immediately Follows

DAY TWO: Wednesday, April 19, 2017

8:00 – 9:00 Networking breakfast 9:00 – 9:10 Chairs Welcome & Day One Re-Cap

Chairperson:

Timothy D. Paulin, CFA, Sr. VP, Investment Research and Product Management TOUCHSTONE INVESTMENTS

- 3 -

- 4 -

9:10 – 10:00 Relevant Asset Allocation Trends - Where are the Areas of Interest among Investors?

Moderator: Monte Dop, Vice President PINEBRIDGE INVESTMENTS

Panelists:

Wayne A. Wicker, CFA, SVP & Chief Investment Officer ICMA-RC

Matthew Annenberg, Managing Director, Head of Multi-Asset Advisors PRINCIPAL GLOBAL ADVISORS

Matt Peden, CFA, Chief Investment Officer GUIDESTONE CAPITAL MANAGEMENT

Agam Sharma, Managing Director, Multi-Asset Investments PINEBRIDGE INVESTMENTS

10:00 – 10:50 The Next Hot Investment Product and Exploring the Dynamics between Product Innovation and Sub-Advisory

Moderator: Brian Bader, Senior Vice President, Client Service and Marketing AXIOM INVESTORS

Panelists:

Christopher E. Vella, CFA, Chief Investment Officer NORTHERN TRUST

Harold Singleton III, CFA, Vice President - Head of Manager Selection and Portfolio Construction LINCOLN FINANCIAL GROUP

10:50 – 11:10 Refreshment break

11:10 – 12:00 Retirement Vehicle Trends- Sub-Advisor Opportunities in CITs, Custom TDFs and DCIO Moderator: Jeff Strange, Managing Director

STRATEGIC INSIGHT

Panelists:

John Thompson, Partner and Head of Investment Solutions AON HEWITT INVESTMENT CONSULTING

Lee Freitag, Head of Investment Strategy, Retirement Solutions NORTHERN TRUST

Joel Lieb, Director of Advice – Defined Contribution SEI

Dear Participants

Dear Conference Participant:

On behalf of Financial Research Associates, I would like to cordially welcome you to this industry event.

We have developed this event based on extensive industry research, structuring the topics and gathering together the speaker faculty based on feedback from numerous industry participants. Our goal is to provide you with the most up-to-date industry information possible, along with top-notch networking opportunities. Every effort has been made on our part to obtain the speakers’ presentations to be included in the PDF link that you have received via email. If a speaker’s presentation is not included in the PDF link, we ask that you contact the speaker directly. If we have failed to meet your expectations in any way, please let us know by completing the evaluation form provided at this event. Of course, we would like to hear positive feedback as well!

We appreciate that you have chosen to spend your timeand training dollars with us, and we’re committed tosatisfying your informational needs. Again, welcome tothis event and thank you for your participation – wetruly value your business.

Additional Questions

If you have any additional questions orrequests for information beyond what is in thisdocument book, please feel free to contact us at

any time.

A link with final speaker presentations will beforwarded via email approximately

2 weeks after the conference.

Kelli BushHealthcare Education Associates

8430 Rea Rd, Suite BCharlotte, NC 28277

704-341-2377 Office704-341-2641 [email protected]

Gold Sponsors

Silver Sponsors

MULTI-ASSET l FIXED INCOME l EQUITIES l ALTERNATIVES

strategic-i.com

For more information, contact:

Austin Ulep+1 [email protected]

SI Research

Desktop ApplicationDelivering the most comprehensive subadvisory funds database available, the

Simfund SV desktop solution covers more than 350 managers/sponsors and

1000+ subadvisors and tracks more than $7.0T in Subadvised Assetswithin 5600 Portfolios across 7500 Mandates managed by una�liated

(third-party) and/or a�liated subadvisors.

Target Prime Opportunities

Easily Track Activity

Quickly Assess Top Players

Perform QualitativeMarket Analysis

Identify, Evaluate, and Price Relationships

•

•

•

Subadvisory Solutions

•

•

strategic-i.com

For more information, contact:

Austin Ulep+1 [email protected]

SI Research

Monthly & Quarterly ResearchStrategic Insight’s Subadvisory Solutions deliver the tools and research firms need to develop highly targeted strategies and perform competitive benchmarking across the subadvised market. Our research reports cover qualitative analysis on such topics as market movers, perspectives and opportunities, market share, regulation, and mandate changes.

Quarterly Subadvisory Report Overview of market share and mandate changes citing the largest movements among advisors and subadvisors.

Monthly Mandate Change ReportSummary of all mandate change activity including winners, losers and assets in motion.

Quarterly Data Book SeriesIncludes breakpoint fee schedules, market share and performance across 1, 3, 5 and 10 year periods.

•

•

Subadvisory Solutions

•

SI Research

Subadvisory 1Q 2017

This Quarter:

State of the Subadvised Variable Annuity Market

Regulation Impacting the Subadvised Landscape

Data Supplement

Bronze Sponsors

MountE verest.That’s E pic.E

E

Epoch Investment Partners has been a sub-advisor to mutual funds and variable annuities for more than 10 years and currently manages more than $25bn in U.S. and International equities for sub-advised clients.

Find out more, visit www.eipny.com

A Distinct Perspective on the Long-term Drivers of Shareholder Return.

That’s

Chairperson’s Welcome

Timothy D. Paulin, CFA, Sr. VP, Investment Research and Product Management

TOUCHSTONE INVESTMENTS

Senior Vice President Investment Research and Product Management

Tim Paulin, CFA, is Senior Vice President, Investment Research and Product Management

for Touchstone Investments and has more than 25 years of experience in the financial

industry. Tim and his team are responsible for identifying, engaging and monitoring

the investment managers that sub-advise current and prospective Touchstone mutual

funds. Prior to joining Touchstone in 2010, he was a Principal at Klein Decisions which

provides consulting services and develops dynamic decision making systems for

investment advisors and financial services firms. The majority of Tim’s career has focused

on wealth management and consulting services for private clients and institutions.

During a 10-year tenure with RBC Wealth Management in Minneapolis, Tim guided the

firm’s fee-based, packaged products and planning services businesses and oversaw

investment management research efforts. He began his career as a Financial Consultant,

Private Client Group at Merrill Lynch. Tim earned an MBA from Georgia State University

and a BBA, Finance, from the University of Georgia. He holds FINRA Series 6, 26 and 63

registrations and is a CFA charterholder.

Tim Paulin, CFA

800.638.8194 • TouchstoneInvestments.com

Touchstone Funds are distributed by Touchstone Securities, Inc.**A registered broker-dealer and member FINRA and SIPC

Touchstone is a member of Western & Southern Financial Group TSF-1971-PAULIN-1506

State of the Sub-Advised Industry – What and Where are the Market Trends?

Gene Liu, Principal GENESYS RESEARCH, INC.

Jeff Ulness, Managing Director, Client RelationsEPOCH

Managed Risk Strategies Yesterday, Today and Tomorrow

Moderator:

Bradley Jones, Vice President AQR CAPITAL MANAGEMENT

Panelists:

David A. Weiss, CFA, VP, Head of Sub-Advisory Management COLUMBIA THREADNEEDLE

Marci Green, Managing Director GOLDMAN SACHS

Gordon Linke, Senior Vice President PIMCO

Marci Green Managing Director, Co-Head of Platform Solutions Group Goldman Sachs Asset Management

Marci co-heads the Platform Solutions Group within Goldman Sachs Asset

Management's US Third Party Distribution business. The group is responsible for

business development in the subadvisory, insurance, defined contribution, and hedge

fund-of-funds markets in North America. Prior to her current role, she held various

leadership roles within the Platform Solutions Group including head of Insurance

Solutions and head of Key Account Strategy for Variable Annuity & Defined

Contribution. Marci joined Goldman Sachs in 2004 as a relationship manager focused

on subadvisory and insurance clients. She was named managing director in 2012. Prior

to joining the firm, Marci worked at AllianceBernstein in the Subadvisory & Insurance

Group. She serves as a member of the Insured Retirement Institute’s Asset

Management Leadership Committee and is a past committee chairperson. Marci

earned a BBA in Business Management from the Goizueta Business School of Emory

University in 2000.

Gordon F. Linke

Mr. Linke is a senior vice president in the Newport Beach office and serves as the national sales

manager for PIMCO's variable annuity and sub-advised group. Prior to joining PIMCO in 2008,

he was with Barclays Global Investors for eight years, most recently managing relationships

with major financial institutions in ETFs. Additionally, he built and headed their sub-advised

business. Previously, he was a business development manager at Goldman Sachs Asset

Management in San Francisco. He has 35 years of investment experience and holds an MBA

from the Kellogg Graduate School of Management at Northwestern University and an

undergraduate degree from Bowdoin College.

Understanding Volatility Management

18 April 2017

Financial Research Associates

Investment professional use only – not to be shown or distributed to the public

1

The level of volatility can vary greatlyDEFINING VOLATILITY

Volatility is calculated from 2 April 2003 to 31 December 2016Source: Bloomberg, PIMCORefer to the Appendix for additional index and risk information.

0%

20%

40%

60%

80%

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Vo

lati

lity

(%)

Historical Volatility of S&P Index 3-month rolling volatility Average volatility

2

Expecting the unexpectedDEFINING VOLATILITY

As of 31 December 2015Source: PIMCOHypothetical example for illustrative purposes only. Not indicative of the past or future performance of any PIMCO product.

“Expected” occurrences of price declines are calculated by assuming a normal distribution with mean and standard deviation equal to the historical mean and standard deviation of daily S&P 500 price returns during the sample period. Before 1957, the S&P 90 is used for these calculations.Refer to the Appendix for additional hypothetical example, index and risk information.

567

201

89

509

30

1

- 100 200 300 400 500 600

-2.3%

-3.5%

-4.7%

Number of days

Pri

ce d

eclin

e

Large Price Declines in the S&P 500: Statistically "Expected" vs. Actual, 1928–2015 Expected Actual

3

Market shocks have been frequent and severe

Major Market Shocks (1982–present)

DEFINING VOLATILITY

As of 31 December 2015Refer to the Appendix for additional risk information.

1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2013

1987Black Monday

2011European debt crisis, Japanese earthquake

and tsunami

2001–2002Argentine default, dot-com bust, Enron

1982Mexican default

1989–1991United States

S&L crisis

1992–1993European monetary system crisis

1997–1998Asian financial crisis

2007–2009Global financial crisis

1994–1995Mexican peso crisis

1998Russian default and LTCM

1989–1991Latin American debt crisis

2013Fed triggers

taper fears

4

0%

10%

20%

30%

40%

50%

60%

70%

80%

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Stan

dar

d d

evia

tio

n o

f re

turn

s

Hypothetical Three-Month Rolling Volatility

31 December 1999 – 31 December 2016

S&P 500 Index60/40 Index¹60/40 Index with volatility management²

Smooth the ride

2000: Tech-bubble burst

2001: September 11th

2002: WorldCom Inc.’s bankruptcy

THE BENEFITS OF MANAGING VOLATILITY

Source: Bloomberg. Data from 31 Oct 2007–9 March 2009.Hypothetical example for illustrative purposes only. Not indicative of the past or future performance of any PIMCO product.

¹ 60% S&P 500 Index, 40% Barclays U.S. Aggregate Index.² 60% S&P 500 Daily Risk Control 15% Index, 40% Barclays U.S. Aggregate Index.Refer to the Appendix for additional chart and hypothetical example information.

2011: S&P downgrade of U.S. credit rating

2008: Financial crisis

5

The high cost of recovery

Regaining portfolio losses after a market crisis may cost more than you would expect

$100,000

$80,000

$70,000

$60,000

$90,000

Po

rtfo

lio v

alu

e

$70,000Diminished asset base

$100,000Initial portfolio value

Left tail eventcauses 30% loss

-30%

$100,000Restored portfolio value

43% gain needed to recover lost assets+43%

WHAT IT MEANS FOR INVESTORS

Hypothetical example for illustrative purposes only. Not indicative of the past or future performance of any PIMCO product.

Refer to the Appendix for additional hypothetical example, index and risk information.

6

Appendix

Past performance is not a guarantee or a reliable indicator of future results.

CHARTPerformance results for certain charts and graphs may be limited by date ranges specified on those charts and graphs; different time periods may produce different results.

HYPOTHETICAL EXAMPLEHypothetical example for illustrative purposes only. Hypothetical and simulated examples have many inherent limitations and are generally prepared with the benefit of hindsight. There are frequently sharp differences between simulated results and the actual results. There are numerous factors related to the markets in general or the implementation of any specific investment strategy, which cannot be fully accounted for in the preparation of simulated results and all of which can adversely affect actual results. No guarantee is being made that the stated results will be achieved.

INVESTMENT STRATEGYThere is no guarantee that these investment strategies will work under all market conditions or are suitable for all investors and each investor should evaluate their ability to invest long-term, especially during periods of downturn in the market.

RISKInvesting in the bond market is subject to risks, including market, interest rate, issuer, credit, inflation risk, and liquidity risk. The value of most bonds and bond strategies are impacted by changes in interest rates. Bonds and bond strategies with longer durations tend to be more sensitive and volatile than those with shorter durations; bond prices generally fall as interest rates rise, and the current low interest rate environment increases this risk. Current reductions in bond counterparty capacity may contribute to decreased market liquidity and increased price volatility. Bond investments may be worth more or less than the original cost when redeemed. Equities may decline in value due to both real and perceived general market, economic and industry conditions. Investing in foreign-denominated and/or -domiciled securities may involve heightened risk due to currency fluctuations, and economic and political risks, which may be enhanced in emerging markets. Derivatives may involve certain costs and risks, such as liquidity, interest rate, market, credit, management and the risk that a position could not be closed when most advantageous. Investing in derivatives could lose more than the amount invested.

Management risk is the risk that the investment techniques and risk analyses applied by PIMCO will not produce the desired results, and that certain policies or developments may affect the investment techniques available to PIMCO in connection with managing the strategy.

This material contains the current opinions of the manager and such opinions are subject to change without notice. This material has been distributed for informational purposes only and should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed. No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission. PIMCO is a trademark or registered trademark of Allianz Asset Management of America L.P. and Pacific Investment Management Company LLC, respectively, in the United States and throughout the world. ©2017 PIMCO.

INDEX DESCRIPTIONSBarclays U.S. Aggregate Index represents securities that are SEC-registered, taxable, and dollar denominated. The index covers the U.S. investment grade fixed rate bond market, with index components for government and corporate securities, mortgage pass-through securities, and asset-backed securities. These major sectors are subdivided into more specific indices that are calculated and reported on a regular basis.

The S&P 500 Index is an unmanaged market index generally considered representative of the stock market as a whole. The index focuses on the Large-Cap segment of the U.S. equities market.

S&P 500 Risk Control™ Indices rely on the existing S&P 500 methodology and overlay mathematical algorithms to control the index risk profiles at specific volatility targets. The indices dynamically rebalance exposure to maintain 5%,10%, 12%, or 15% volatility targets.

It is not possible to invest directly in an unmanaged index.

How Are Investment Platforms Currently Utilizing ETFs and How Does It Impact Active Management?

Moderator:

James M. Dunham, Managing Director PERELLA WEINBERG PARTNERS

Panelists:

Jeremy Held, CFA, Director of Research ALPS ADVISORS

Todd Rosenbluth, Director of ETF and Mutual Fund Research CFRA

Reginald M. Browne, Senior Managing Director - ETF Group CANTOR FITZGERALD

Peg DiOrio, Head of Quantitative Equity VOYA INVESTMENT MANAGEMENT

Investment Manager Due-Diligence – Today’s Fundamentals of the Manager Selection Process

Moderator:

Kenneth B. Beitler, CFA, Investment Specialist, Investment Strategies & Solutions METLIFE

Panelists:

Zoe Brunson, Senior Vice President, Investment Strategies ASSETMARK

Elizabeth Muirhead, CFA, Senior Analyst; Manager Oversight and Selection

VANGUARD

Kenneth Beitler is a former Investment Specialist in MetLife’s Investment Strategies & Solutions group, where he provided investment manager oversight and due diligence on a $75 billion separate account platform.

Prior to MetLife, Beitler was Vice President of Portfolio Analytics at AXA Equitable and Co-Portfolio Manager of several of the firm’s portfolios. He was also Director of Investments at Northstar Financial Services Ltd., where he managed fund selection and due diligence for the launch of a new product platform, as well as investment oversight of Northstar's general insurance account.

Beitler received a Bachelor of Science in Business Administration and a Master of Science in Industrial and Systems Engineering from the University of Florida, and a Master of Arts in Liberal Studies from New York University. He holds the Chartered Financial Analyst (CFA) designation, and is a member of the CFA Institute and the New York Society of Security Analysts.

5For Financial Advisor use only. Not intended for use with clients.

Investment Strategies Group

Zoë Brunson, CFASenior Vice President, Investment Strategies

Zoë Brunson oversees the Investment Strategies Group. She is responsible for overseeing all due diligence on investment partners on the AssetMark platform and the management of AssetMark’s turnkey platform solutions. She is a portfolio manager of the GuidePath Funds, Guided Portfolios (GPS Solutions and GPS Selection Solutions) and Market Blend Strategies.

Zoë has over 20 years experience and joined AssetMark in 2007. Previously Zoë was at Standard & Poor’s where she led the investment advisory services team responsible for manager due diligence and creation of multi-manager strategies.

Zoë holds a BSc (Hons) in Business Information Technology from Kingston University, UK. and the Chartered Financial Analyst (CFA) designation.

Elizabeth Muirhead, CFA, is a senior investment analyst in Vanguard Portfolio Review Department, where she is responsible for investment manager search, selection, and oversight. Before her current role, Ms. Muirhead was a project manager responsible for heading confidential projects and fund initiatives. She has also held various leadership positions in Vanguard Fund Financial Services, working with international fund analysis, fixed income security data and pricing, domestic equity accounting, and fixed income accounting.

Ms. Muirhead earned a B.S. in business administration with a concentration in finance from Millersville University. She is a member of the CFA Institute and Philadelphia Society of Analysts.

Elizabeth MuirheadSenior Investment AnalystPortfolio Review Department

Chairs Welcome & Day One Re-Cap

Timothy D. Paulin, CFA, Sr. VP, Investment Research and Product Management

TOUCHSTONE INVESTMENTS

Senior Vice President Investment Research and Product Management

Tim Paulin, CFA, is Senior Vice President, Investment Research and Product Management

for Touchstone Investments and has more than 25 years of experience in the financial

industry. Tim and his team are responsible for identifying, engaging and monitoring

the investment managers that sub-advise current and prospective Touchstone mutual

funds. Prior to joining Touchstone in 2010, he was a Principal at Klein Decisions which

provides consulting services and develops dynamic decision making systems for

investment advisors and financial services firms. The majority of Tim’s career has focused

on wealth management and consulting services for private clients and institutions.

During a 10-year tenure with RBC Wealth Management in Minneapolis, Tim guided the

firm’s fee-based, packaged products and planning services businesses and oversaw

investment management research efforts. He began his career as a Financial Consultant,

Private Client Group at Merrill Lynch. Tim earned an MBA from Georgia State University

and a BBA, Finance, from the University of Georgia. He holds FINRA Series 6, 26 and 63

registrations and is a CFA charterholder.

Tim Paulin, CFA

800.638.8194 • TouchstoneInvestments.com

Touchstone Funds are distributed by Touchstone Securities, Inc.**A registered broker-dealer and member FINRA and SIPC

Touchstone is a member of Western & Southern Financial Group TSF-1971-PAULIN-1506

Relevant Asset Allocation Trends - Where are the Areas of Interest among Investors?

Moderator:

Monte Dop, Vice President PINEBRIDGE INVESTMENTS

Panelists:

Wayne A. Wicker, CFA, SVP & Chief Investment Officer ICMA-RC

Matthew Annenberg, Managing Director, Head of Multi-Asset Advisors

PRINCIPAL GLOBAL ADVISORS

Matt Peden, CFA, Chief Investment Officer GUIDESTONE CAPITAL MANAGEMENT

Agam Sharma, Managing Director, Multi-Asset Investments

PINEBRIDGE INVESTMENTS

MONTE DOP Vice President PineBridge Investments, New York

Monte joined PineBridge’s Intermediary

Distribution Team in 2013, from Thornburg

Investment Management, where he served as

an Institutional Sales Associate from 2009-

2013. From 2004-2008 Monte was a

Research Analyst at AIG SunAmerica on their Manager Research Team. He

holds a B.A. from University of California-Santa Barbara, holds NASD

Series 7, 63, & 65 Licenses, and is a CFA Level III Candidate.

Investment Division

Wayne Wicker, CFA – Senior Vice President and Chief Investment Officer

Wayne Wicker is the Senior Vice President and Chief Investment Officer. In this capacity, he oversees assets under management and administration that exceed $49.4 billion as of July 31, 2016.

Mr. Wicker has more than 32 years of investment industry experience with equities, fixed income, and alternative investment portfolios.

Before coming to ICMA-RC in September 2004, Mr. Wicker served as Chief Investment Officer with The Colony Group in Boston, MA. Previously, he was employed as Managing Director and Senior Portfolio Manager with Cadence Capital Management, an institutional money manager in Boston. As a partner with Cadence Capital, he managed a $2.1 billion large cap growth equity fund.

Prior to that, Mr. Wicker served as the Director of Investment Strategy with the Howard Hughes Medical Institute in Bethesda, MD, where he was responsible for asset allocation and the development, implementation, and management of investment activities for the Institute’s $12 billion endowment. Mr. Wicker has also been employed with Dayton Hudson Corporation and with IDS Financial Services, both in Minneapolis, MN.

He has earned the Chartered Financial Analyst (CFA) designation and is a member of the CFA Society of Washington.

He holds two undergraduate degrees in Business Administration, Communications and Journalism as well as a Master’s degree in Business Administration.

Matthew Annenberg CFA ‐ Managing Director Investment Strategy & Research, Principal Portfolio Strategies

Principal Portfolio Strategies is a specialized boutique within Principal Global Investors that engages in

the creation of asset allocation solutions. Matthew joined the firm in 2012 and oversees the Investment

Strategy & Research team, which includes risk analytics and modeling, and economic research and

strategy. Matthew is also a portfolio manager on the Principal Lifetime Funds, a target date product.

Prior to joining the firm, Matthew served as a managing director at K2 Advisors, where he analyzed

Macro and Currency managers in a Fund‐of‐Funds setting. Prior to K2, Matthew ran Financial Markets

Advisory for the Americas at ABN AMRO Bank, assisting corporate and institutional clients with a range

of issues around funding, hedging and investment strategies. He received a bachelor's degree in

economics from Harvard College. Matthew holds the Chartered Financial Analyst designation and is a

member of NYSSA.

Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value

ANSHUL K. SHARMA, INVESTMENT STRATEGIST

© 2016 Bank of America Corporation. All rights reserved. ARRY83F3T / 3/2016

Global Wealth & Investment Management is a division of Bank of America Corporation (“BofA Corp.”). Merrill Lynch, Merrill Edge®, U.S. Trust, Bank of America Merrill Lynch and BofA® Global Capital Management are affiliated sub-divisions within Global Wealth & Investment Management.

Merrill Lynch makes available products and services offered by Merrill Lynch, Pierce, Fenner & Smith Incorporated (“MLPF&S”) and other subsidiaries of BofA Corp. Merrill Edge is available through MLPF&S, and consists of the Merrill Edge Advisory Center (investment guidance) and self-directed online investing. The Private Banking and Investment Group is a division of MLPF&S that offers a broad array of personalized wealth management products and services. MLPF&S is a registered broker-dealer, Member SIPC and a wholly owned subsidiary of BofA Corp. U.S. Trust, Bank of America Private Wealth Management operates through Bank of America, N.A., and other subsidiaries of BofA Corp. Bank of America Merrill Lynch is a marketing name for the Retirement Services business of BofA Corp. BofA® Global Capital Management Group, LLC (“BofA Global Capital Management”), is an asset management division of BofA Corp. BofA Global Capital Management entities furnish investment management services and products for institutional and individual investors.

Banking products are provided by Bank of America, N.A., and affiliated banks, Members FDIC and wholly owned subsidiaries of BofA Corp.

Investment products:

Anshul K. Sharma is a managing director and investment strategist within the Global Portfolio Solutions and Institutional Investments group for the Global Wealth & Investment Management (GWIM) division of Bank of America which includes Merrill Lynch Wealth Management and U.S. Trust, Bank of America Private Wealth Management. In this role, Anshul is responsible for managing the Alternative Investment Strategy suite of model portfolios and managed solutions, focusing primarily on investment philosophy and strategy selection. He is also a contributor to the investment thought leadership publications and has authored whitepapers focusing on the benefits of incorporating alternative investments into diversified portfolios, the importance of manager selection in the hedge fund space, and the features of market neutral investing.

At U.S. Trust, Bank of America Private Wealth Management, Anshul was responsible for developing U.S. Trust’s strategic asset allocation framework, capital market assumptions, and quantifying tactical asset allocation decisions. Previously, Anshul was an associate in the Research Investment Committee team at Merrill Lynch where he specialized in asset allocation modeling using alternative investments and contributed to commentary on alternative assets.

Prior to joining U.S. Trust, Anshul worked at RCM Capital Management in San Francisco, where he combined quantitative and fundamental analyses to help manage a domestic large-cap value equity portfolio. Anshul began his career as a proprietary equity trader with Momentum Securities in New York.

Anshul earned his B.S. degree in Computer Engineering from Lehigh University and earned an M.S. in Financial Engineering from the University of California, Berkeley.

The Next Hot Investment Product and Exploring the Dynamics between Product Innovation and Sub-Advisory

Moderator:

Brian Bader, Senior Vice President, Client Service and Marketing AXIOM INVESTORS

Panelists:

Christopher E. Vella, CFA, Chief Investment Officer NORTHERN TRUST

Harold Singleton III, CFA, Vice President - Head of Manager Selection and Portfolio Construction

LINCOLN FINANCIAL GROUP

Brian M. Bader

Partner/Senior VP/Client Service and Marketing, Axiom Investors, 2016-Present Principal & Head of Sales, Rainier Investment Management, Inc., 2007-2016 Senior VP, Head of Sub-Advisory and National Accounts, US Trust, 2003-2007 Director, Head of Sub-Advisory, Deutsche Asset Management, 1999-2003 VP, Business Manager for Equity Businesses, Bankers Trust, 1995-1999 Operations Manager, Bankers Trust, 1993-1999 Senior Consultant, Price Waterhouse Management Consulting, 1991-1993 Vice President, Citibank, 1987-1991 Manager, Mutual Fund Accountants, Bradford Trust Company, 1983-1987 B.S., Economics, cum laude, State University of NY at Albany

From its origins in 1998 as an investment advisor specializing in managing international equity portfolios, Axiom Investors has evolved into a global investment management firm. Axiom manages global, small cap and emerging market equities with a single guiding philosophy and consistent, disciplined investment process. Axiom identifies growing companies on the cusp of change whose potential is not recognized by the markets. Our experienced and successful investment team honed its rigorous, market-tested strategy through 10+ years of working side by side, testing and debating their best ideas to build conviction-weighted portfolios. Axiom strives to maintain a culture of excellence and uncompromising effort. Axiom serves our clients around the world in an open, accessible and responsive manner.

*Axiom Investors manages – Global Equity, Concentrated Global Equity, International Equity, International Small Cap Equity, Emerging Markets Equity, Emerging Markets World Equity and U.S. Small Cap Equity. And long/short strategies - International Equity (International Opportunity), International Micro-Cap and Global Micro-Cap.

1 Multi-Manager Solutions

Biographies

CHRISTOPHER E. VELLA, CFAChief Investment OfficerMulti-Manager SolutionsNorthern Trust

Christopher E. Vella, CFA, is Senior Vice President of Northern Trust's Multi-Manager Solutions Practice. He is Chief Investment Officer with responsibility for manager research and portfolio construction processes across Northern Trust's Multi-Manager Solutions Practice. He is responsible for the global manager research platform at Northern Trust, consisting of approximately $100B in assets across 200 investment strategies. He manages a team of more than 30 investment professionals across all traditional asset classes. The team covers external manager relationships on behalf of Northern Trust's private and institutional clientele.

Prior to joining Northern Trust in 2004, Mr. Vella was a founding member of Goldman Sach's external manager business which consists of institutional and private client assets. While at Goldman, he managed the international and emerging markets equity team. Prior to Goldman Sachs, Mr. Vella spent close to 6 years at SEI Investments working primarily on international equity and emerging markets equity manager research. He has over 20 years of manager research and multi-manager portfolio construction experience.

He received a B.S. magna cum laude in Finance with a minor in Applied Mathematics from Lehigh University and was elected into the Phi Beta Kappa honor society. He is a member of the New York Society of Financial Analysts. Mr. Vella is a CFA charterholder.

NTAC:4UC-11

HaroldSingletonIII,CFA

Harold Singleton III, Vice President, Head ofManager Selection and PortfolioConstruction, joined Lincoln Financial Group on July 7, 2014. Harold’s primaryresponsibilities include leadingan8‐person team inmanager selection, duediligenceandportfolioconstruction fora$150billion investmentplatformacrossAnnuity,LifeandRetirementPlanServicesproductlinescoveringallassetclasses,withaparticularfocusontheLincolnVariableInsuranceProducts(LVIP)funds. Haroldhasmorethan20yearsof industryexperience,havingheld rolesasan investmentanalyst,portfoliomanager, andmost recently, business leadership rolesbothdomestically and abroad.Prior to joining Lincoln, he was Managing Director, Head of Asset ManagementCompaniesandGlobalHeadofRetail&IntermediarySalesatPineBridgeInvestments(formerlyAIGInvestments).HaroldholdsaB.S. inChemicalEngineeringfromIllinoisInstituteofTechnology(IIT)andM.B.A.fromtheUniversityofChicagoBoothSchoolofBusiness,andisaCharteredFinancialAnalyst(CFA).HeisalsoSeries7andSeries24licensed.

Retirement Vehicle Trends- Sub-Advisor Opportunities in CITs, Custom TDFs and DCIO

Moderator:

Jeff Strange, Managing Director

STRATEGIC INSIGHT

Panelists:

John Thompson, Partner and Head of Investment Solutions AON HEWITT INVESTMENT CONSULTING

Lee Freitag, Head of Investment Strategy, Retirement Solutions

NORTHERN TRUST

Joel Lieb, Director of Advice – Defined Contribution SEI

Jeff Strange

Strategic Insight

Jeff serves as a Managing Director of U.S.

Research at Strategic Insight, where he

covers asset management and distribution

trends. In his role, he helps to lead SI's

research and advisory services focused on

the U.S. fund industry, with a specialized

coverage of the subadvisory market. Prior to

recently joining Strategic Insight, he was the

Director of Research at DST kasina and was

responsible for setting research direction

and managing the research team. For nearly

seven years, Jeff was at Cerulli Associates focusing on managed accounts research, including

extensive research on advisory platform design. He has also worked at Cole Real Estate, State

Street Research, and FleetBoston Financial. Jeff earned a BS from Georgetown University and is

a CAIA charterholder.

John Thompson, Jr.

John, partner and head of investment solutions for the

Institutional Advisory Solutions practice, manages asset

allocation portfolios for Aon Hewitt’s clients. He works with

clients to design model portfolios, analyze investment

strategies, and recommends changes in client products and

services and is a member of the U.S. Aon Hewitt Investment

Committee. With a focus on individual investors and

behavioral finance in addition to traditional institutional

quality asset allocation, he has constructed and oversaw the

development of several asset allocation programs.

Active in research, Mr. Thompson’s work has appeared in Financial Planning, International

Political Economy, and World Trade Magazine. Mr. Thompson is also a frequent speaker at

industry and client conferences. He lectures on asset allocation and alternative investments. He

has over 15 years of experience in the financial industry.

Prior to joining Aon Hewitt, John was a senior vice president and portfolio manager for

Morningstar Investment Management and Ibbotson. Prior to joining Ibbotson, he worked as an

international political risk analyst, specializing in South American markets, at Marvin Zonis &

Associates. Prior to MZ+A, he developed and underwrote property and casualty insurance

policies for the real estate industry at Aon Corporation.

John holds a bachelor’s degree in history from Truman State University. He also holds a master’s

degree in Latin American studies and master’s degree in business administration in finance and

international business from the University of Chicago. As a Fulbright and Rotary Scholar, John

conducted post-graduate research projects in Montevideo, Uruguay and Buenos Aires, Argentina.

Lee R. Freitag Senior Vice President Head of Investment Strategy, Retirement Solutions

Lee Freitag is a Senior Vice President and Head of Investment Strategy, Retirement Solutions at Northern Trust in Chicago. He is responsible for the development and positioning of investment solutions designed for defined contribution plans, including target retirement date investments. He is also responsible for partnering with the distribution and client service teams to ensure clients have access to the full suite of Northern Trust’s defined contribution expertise.

Previously, Lee was a senior product manager for liability driven investments and for taxable fixed income within Northern Trust Asset Management. Prior to this assignment, he was an investment consultant in the Global Family Office business, providing investment solutions to high net worth individual and families. In this position, Lee was responsible for consultative services such as asset allocation, and manager search and selection, for several wealth management relationships as well as the analysis and delivery of investment manager performance information.

Lee’s 25 years in the financial services industry include 24 years at Northern Trust, as well as prior experience at SEI. Lee received his B.S. in finance and his MBA in management accounting from DePaul University. He has attained his FINRA Series 7 and 63 registrations. Lee is an active member of the Defined Contribution Institutional Investment Association (DCIIA) where he serves as a member of the Executive Committee and as Vice Chairman of the Global Committee.

Joel Lieb Director of Defined Contribution Advice

Institutional Group – Advisory Team

Joel Lieb serves as Director of Defined Contribution Advice for SEI’s Institutional Group, where he is responsible for client recommendations and thought leadership on solutions for the defined contribution market. Joel works with corporate, 457(b) and multiemployer clients on plan design and investment implementation in addition to providing insights and guidance to SEI’s operating groups on defined contribution services. He also works on research and thought leadership related to SEI’s Defined Contribution Solution and monitors the efficacy of services being offered.

In his prior role, Joel was a Managing Director in SEI’s Investment Manager Services division for Collective Investment Trust (CIT) Advisory Services and was responsible for designing and implementing CIT operations for retirement plans in collaboration with SEI Trust Company. He has also served on the Investment Committee for SEI Trust Company. Joel’s other positions include a leadership role in SEI’s Portfolio Accounting Group within the Investment Manager Services division.

Bachelor of Science in Finance, St. Vincent College

Year started with SEI: 1989 Year started in investment industry: 1989

The Changing Face of Manager Research – How are Research Teams Adapting to Today’s Environment?

Moderator:

Sunita Advaney, Director, Sub-Advisory Investments PRINCIPAL GLOBAL INVESTORS

Panelists:

Brad Mook, CFA, Director, Manager Research SEI

Joseph Hunt, Director, Manager Research

PRUDENTIAL INVESTMENTS

Gina Toth, CFA, Executive Director, Portfolio Manager UBS ASSET MANAGEMENT

Sunita Advaney ‐ Director, Sub‐Advisory Business Development

Sunita Advaney is a Director for Sub‐Advisory business development at Principal Global Investors (PGI).

PGI is the asset management division of the Principal Financial Group. Sunita joined the firm in April

2014 and is responsible for developing the sub‐advisory efforts at PGI and its affiliates. Prior to her

current role, Sunita was a Director at Munder Capital Management, Wells Capital Management and VP

at Deutsche Asset Management. In all of these capacities, she was charged with building the Sub‐

Advisory and DCIO distribution channels. She has 17 years of industry experience developing various

institutional business lines. She received a bachelor's degree in International Business from Hofstra

University. She holds licenses for Series 3, 6, 63 and 7.

Gina Toth, CFA Portfolio Manager Executive Director

Gina Toth is a Senior Portfolio Manager within the Multi-Manager Solutions team, focusing on fixed income and multi-asset investment strategies. She is part of the team responsible for manager due diligence and selection, portfolio construction, risk management, investment oversight, and performance of multi-asset strategies. These investment strategies include both internal and external capabilities.

Gina has 23 years of investment industry experience. She joined UBS Asset Management in March 2013. Previously, she worked at AllianceBernstein as a Senior Portfolio Manager in New York and Sydney, specializing in multi-asset portfolios, asset allocation and custom solutions for the institutional, high-net worth and retail channels, encompassing both traditional and non-traditional asset classes. She also spent 14 years in New York and London as a fixed income portfolio manager for US and global portfolios. Gina earned a BS from the University of Michigan, and a MBA from the Johnson Graduate School of Management at Cornell.

Global Outlook – How are International Sub-Advised Opportunities Shaping Up?

Jag Alexeyev, Founder IMPACTVESTING LLC

Stéphane Corsaletti, Founder and CEO

ABN AMRO Investment Solutions

Laurent H. Auchlin, Manager Selection Expert COPTHALL PARTNERS

Nils Bolmstrand, CEO

NORDEA ASSET MANAGEMENT

Jag Alexeyev Founder, Impactvesting LLC

Jag is the Founder of Impactvesting LLC, a research and advisory firm that helps asset managers expand in three core areas: (1) global fund distribution (2) non‐US sub‐advisory, and (3) ESG strategies, impact investing, and sustainability.

In the field sustainable investments, he helps asset managers respond to the growing demand for ESG integration, social impact funds, and low carbon strategies. He provides an expert perspective on carbon footprint analysis, portfolio de‐carbonization, and managing the investment risks related to climate, carbon, and stranded assets.

Jag is an affiliate of the Global Footprint Network’s Finance for Change initiative, director of their working group on carbon disclosure and climate risk in sovereign debt, and a director of Fossil Free Indexes LLC, a provider of investment solutions aligned with a low carbon economy. He has a Bachelor’s degree from Harvard and a Master’s from the London School of Economics.

Formerly he was Senior Managing Director and Head of Global Research for Strategic Insight, where he founded and led the group’s international research and consulting business. During the past 20 years, he has advised the executives of more than 100 investment management firms on market strategy, product innovation and global distribution. He built SIMFUND Global, a business intelligence solution for analyzing fund trends in Europe and Asia.

Jag has authored thought leadership studies on liquid alternatives and global asset management for Brown Brothers Harriman, SEI Investments, the Association of the Luxembourg Fund Industry, and the European Fund and Asset Management Association.

www.Impactvesting.com

Twitter: @impactvesting

4/18/2017

1

@impactvesting

Opportunities in European Sub-Advisory

Jag AlexeyevFounder

www.impactvesting.com

@impactvesting

@impactvesting @impactvesting

• Faster rate than the broader European fund industry which grew 13% p.a.

1

Sub-Advised AUM grew 17% p.a. since 2010

Sub-Advised Fund Assets € Billion

25 31 41 5374 8242

6071

87

104120

82

97

125

154

184186

0

50

100

150

200

250

300

350

400

450

2011 2012 2013 2014 2015 2016

Equity

Bond

Allocation

Other

4/18/2017

2


• Flows reached €140 billion from 2011-15, >10% of total industry

• 2016 even harder for wider active funds business in Europe

2

At least €160 Billion Inflow in Next 4 Years?

Sub-Advised Fund Net Flows and Forecast € Billion

17

23

44

38

21

16

3337

43

52

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

FORECAST

@impactvesting @impactvesting 3

Increasing Demand for Sub-Advisory

Regulation and market forces reshape economics of wealth management

UK RDR

Dutch ban on rebates MIFID II across Europe

• Margin pressure• Distributors seek to

recapture revenue streams

4/18/2017

3


Assets 12/16 €B

Net Flow 5 Years €B

1 St. James's Place 79* 21

2 Mediolanum 34 12

3 Russell 26 3

4 Nordea 23 12

5 UBS 19 11

6 Generali 14 12

7 Länsförsäkringar 14 3

8 SEI 14 10

9 ABN AMRO 14 11

10 Deutsche AM 10 5

4

Leading Sponsors of Sub-Advised Funds

Source: Impactvesting LLC, Morningstar Inc.

*Data includes only registered investment funds except for SJP which includes all product wrappers, not including certain Life and Pension portfolios


Where are the sub‐advisory opportunities?

5

Mapping the Opportunity

Swiss local bank network €3 bn

Danish bank €8 bn

Swedish insurance €14 bn

Finnish cooperative bank €3 bn

Italian advisor network €4 bn

UK alts platform €4 bn

UK IFA network €5 bn

Diverse range of financial institutions using sub‐advisors

Italian wealth manager €8 bn

Italian co‐op credit banks €3 bn

Swiss private bank €2 bn

Danish pension fund €4 bn

4/18/2017

4


Selected sub-advisory arrangements in Europe

6

Buyer Preferences: Specialists vs. Global Brand Names

AegonAshburtonDoublelineCapitalFourClarivestCohen & SteersDoubeLineEagle AssetItauLoomis SaylesMackayShieldsPGIMT. Rowe Price+many more…

Advent CapitalAcadianAlbermarleBanca IfigestEiffelSeixScout

AegonAlgebrisAXA IM

BlackRockBNP Paribas

CarmignacDeutsche

FidelityFranklin Templeton

Goldman Sachs Invesco

JPMorganLegal & GeneralMorgan Stanley

MuzinichPIMCO

PGITrea

DelawareIncome Partners

JennisonNeuberger Berman

SandsWellsCap

William Blair


Evolution of a Multi-Manager

AlgerAristotleBabsonBernsteinBlackrockBrown AdvisoryCapital InternationalEden TreeEdinburgh PartnersHendersonHermesInsightInvestecKempenLoomis SaylesMatthewsNatixisNumericParnassusPioneerPrincipalPzenaRobeco Boston PartnersSchrodersTCWVerrrazzanoWellingtonWilliam Blair

Paris

Amsterdam

Milestones

1998: Fund of funds2006: Multi-manager profile funds2007: Equity fund of mandates2009: Bond fund of mandates2010: Target date 2012: Risk profile funds, 1st single manager sub-advised fund2013: 15 single manager funds, some with exclusivity

Fund of funds, fund of mandates, single and multi-manager, target/profile funds

4/18/2017

5


Core Active Equity, High Yield, Global Diversification

Allocation19%

Global Equity14%

Europe Equity13%

US Equity9%

Bond High Yield7%

Bond Europe/UK5%

Bond Global5%

Alternative4%

Emerging Equity

4%

Bond US4%

Other Bond7%

Other Equity6%

Other3%

Sub-Advised Fund Assets by Investment Category

• Product mix reflects broader industry demand

• Demand for high quality actively-managed talent

• Continue to benefit equity and bond specialists, especially in capacity-constrained segments

• Increasing use of non-traditional, unconstrained, multi-sector/asset, high conviction


What do Buyers Want?

• Clarity of investment process and performance

• Quality of management

• Ownership structure

• Ability to customize strategies (tracking error targets, exclusions, overlays… but at what cost?)

• Local presence, service and support

• Capacity and ability to service multiple markets or globally (Asia?)

• Competitive pricing and fees

• Access to portfolio managers

• Thought leadership, product ideas

• Risk management

• ESG professionalism

4/18/2017

6


Analysis and Insights for Business Development

• Covering €415 billion of sub-advised fund assets

• Profiles of 30 leading sub-advisory buyers

• Which managers are getting the business, and how?

• Investment strategies in demand

• New funds and product development themes

• Performance analysis and sub-advisory replacement targets


Europe, Japan, Asia, Australia, Latam and Canada:

IMPACTVESTING LLC+1 (347) 746‐9895 [email protected] www.Impactvesting.com

The Growing Demand for Multi-Asset Products

Rob Balkema, CFA, Portfolio Manager, Multi-Asset Solutions RUSSELL INVESTMENTS

Nathan Thooft, CFA, Senior Managing Director, Asset Allocation

MANULIFE ASSET MANAGEMENT

James Macey, CFA, Senior Vice President, Portfolio Manager FRANKLIN TEMPLETON

B.A., Economics, Harvard UniversityCFA Charterholder, CFA InstituteMember, CFA Society of Seattle

Senior Portfolio Manager, Multi-Asset SolutionsRussell Investments

Rob Balkema, CFA

Rob has primary responsibility for managing Russell Investments’ US Retail and Institutional Multi-Asset Solutions, including the firm’s traditional target risk balanced funds, outcome oriented portfolios, target date, and investment outsourcing mandates. In this role, he leads the team which integrates the firm’s equity, fixed income, real asset, and alternatives capabilities globally. He is tasked with creating strategic asset allocations for the portfolios, selecting managers or passive alternatives to populate asset classes, integrating the firm’s capital market insights, and positioning the total portfolio in order to help clients achieve their objectives. Rob has deep experience researching and managing both traditional and non-traditional assets from his 10 years in the industry, all of which are with Russell Investments.

Previously, Rob was a senior analyst in the investment process and risk group for the investment division at Russell Investments. In this role, Rob focused on improving the measurement, evaluation, and enhancement of Russell’s portfolio management practice.

From 2006 until 2009, Rob was a member of the global equity team in multiple capacities. He was responsible for evaluating asset management firms worldwide that offer global, international and emerging market equity mandates and supported portfolio managers in the structuring and monitoring of Russell’s global equity strategies.

Rob holds a B.A. in Economics from Harvard College and is a member of the CFA® Society of Seattle. He also serves on the board of Covenant House NY, a non-profit organization charged with serving NY homeless youth.

For Institutional Use Only. Not for distribution to the public.

Biographies

1

Nathan Thooft, CFA, is a senior managing director, senior portfolio manager and co-head of Portfolio Solutions Group (PSG) North America at Manulife Asset Management. PSG is responsible for the development and growth of Manulife’s asset allocation solutions for individual and institutional investors in the US, Canada and Asia. Nathan leads fundamental researchefforts for PSG and has responsibility for the day-to-day portfolio management of Manulife’s Lifestyle (target-risk) and Lifecycle (target-date) Portfolios, as well as a wide array of PSG’s other strategic, tactical and absolute return multi-asset class portfolios. During his time with Manulife, Nathan has served in many senior asset allocation and research roles spanning Canada, Asia and the US. Nathan leads PSG's proprietary asset class return forecasting process and the implementation of asset class and strategy views.

Previously, Nathan was vice president and director of investments, Investment Management Services (IMS), for John Hancock Financial, the US division of Manulife Financial Corp. Nathan was responsible leading manager research efforts, asset class research, and for the development and daily monitoring of investment platforms in the US and Asia. Prior to joining John Hancock, Nathan was a senior portfolio analyst within the investment management division of Fidelity Investments, where he was responsible for research and investment communications for the small- and mid-cap equity teams. Nathan also served as vice president, senior product consultant at RBC Wealth Management, a leading US broker dealer. In that role, he developed customized asset allocation and investment strategies, evaluated traditional and alternative investment managers, and consulted for a large national brokerage force. Nathan is a CFA charterholder, and he is a member of the Boston Security Analysts Society and the CFA Institute.

Education: University of Minnesota, BA, 2000; University of Minnesota, MBA, 2006

Joined Company: 2008

Began Career: 2000

JAMES MACEY, CFASenior Vice PresidentPortfolio ManagerFranklin Templeton SolutionsFranklin Advisers, Inc.New York, United States

James Macey is a senior vice president for Franklin Templeton Solutions. He is a co-manager on several US fund of fund products including Franklin Templeton Allocator Fund Series and Franklin LifeSmart Retirement Target Funds.

Prior to joining Franklin Templeton Investments in 2015, Mr. Macey was a portfolio manager at Allianz Global Investors where he was a co-lead manager for their target date and retirement income portfolios and was a portfolio manager for their multi-asset US 529 college-savings plans and mutual funds - including target risk and multi-asset real return. He also led the manager research and due diligence process for their multi-asset US team.

Mr. Macey holds an honors MSci degree in Astrophysics from University College London. He is a Chartered Financial Analyst (CFA) charterholder, a Chartered Alternative Investment Analyst (CAIA) charterholder and holds the Professional Risk Manager (PRM) Designation.

4/12/2017

1

The Growing Demand for Multi- Asset Products

Rob Balkema, CFA, Portfolio Manager, Multi‐Asset Solutions RUSSELL INVESTMENTS

Nathan Thooft, CFA, Senior Managing Director, Asset AllocationMANULIFE ASSET MANAGEMENT

James Macey, CFA, Senior Vice President, Portfolio ManagerFRANKLIN TEMPLETON

Rob Balkema, CFA, Portfolio Manager, Multi‐Asset Solutions RUSSELL INVESTMENTS

4/12/2017

2

How did we get here?THE EVOLUTION OF MULTI-ASSET

Before1969

One bank manages everything.

Evolution One

Model Strategies. Static equity and bonds, but open architecture.

Era of institutional investing consulting begins.

1969 1985 1997

Evolution Two

Single NAV ‘balanced funds’

2000’s

Evolution Three

Wave of outcome-oriented products like Target Date

Today

Evolution Four

Purpose-built, flexible structure, dynamic funds: Income, Volatility protection, etc.

3

Why is Multi-Asset in Demand?

Organizations are resource constrained

Realities of today’s environment

Return assumptions are low, yet return requirements remain high

Investors want more certainty than they can afford

Features of multi-asset

› Assets aligned with client objectives› Extended asset classes

› Risk management across asset classes› Wider array of strategies with diversification

attributes

› Plan sponsors focused on key decisions› Opportunistic portfolio tilts

4

4/12/2017

3

FINANCIAL PROFESSIONAL USEONLY

Who is using these products?Multi-Asset in many cases are ‘solution’ products

Am I creating the basis for financial security in the future?

Will I be able to maximize my standard of living in the future?

DISCIPLINED GROWTH

TAX-MANAGED PRECISION

RESPONSIBLE INCOME

PRESERVE WEALTH EXTEND WEALTH

Will I have a flexible, sustainable, consistent sourceof income?

BUILD WEALTH

5

IMPORTANT: This chart is for illustrative purposes only. The projections or other information generated by this analysis regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results. Source: Russell Investments. See Methodology slide for more details.

2%

1%

0%

3%

4%

5%

6%

7%

8%

0% 1% 2% 3% 4% 5% 6% 7% 8% 9%

Exp

ecte

dT

ota

l P

ort

foli

oR

etu

rn

Expected Portfolio Yield

Portfolio 1 - 1 line

Yield is higher than total return

Total return is higher than yield

Mixed high yield/ global credit

(irresponsible)Free yield portfolio (efficient)

9%

Responsible yield

Designing for an income preference

FINANCIAL PROFESSIONAL USEONLY6

4/12/2017

4

7

Nathan Thooft, CFA, Senior Managing Director, Asset AllocationMANULIFE ASSET MANAGEMENT

4/12/2017

5

Portfolio Solutions Group Current 5-YearAsset Class Forecasts

4.0 3.83.2

6.45.7

4.9

4.04.4

5.5

2.7

7.5 7.5

5.65.1

6.6

1.6

3.0

4.3 3.7

0

-2

-4

2

4

6

8

US

Larg

eC

ap

US

Mid

Cap

US

Sm

allC

ap

CA

DLa

rge

Cap

CA

DS

mal

lCap

EA

FE

Larg

e C

ap

EA

FE

Sm

allC

ap

Wor

ld

Eur

ope

Japa

n

AC

Asi

a E

x Ja

pan

Em

ergi

ng

Mar

kets

US

RE

ITs

Glo

balR

EIT

s

Glo

balN

atur

al

Res

ourc

es

US

Inve

stm

ent

Gra

de B

onds

US

Hig

h Y

ield

Bon

ds

US

Ban

kLo

ans

US

TIP

S

Em

ergi

ng

Mar

kets

Deb

t

Ret

urn

(%)

Asset Class Expected Return Components – First Quarter 2017

10

Asset Class

Income Return Growth Valuation Currency Return Price Return Total Return (USD)

Source: Portfolio Solutions Group, February 28, 2017. Note: Model inputs are factors in Manulife Asset Management research and are not meant as predictions for any particular asset class, mutual fund or investment vehicle. Components not represented in the chart of zero or negligiblevalues.

For Institutional/Investment Professional Use Only.Not for distribution to the public.PRS.359262 9

Broad market exposure

Developed market equities

High quality fixed income

Index or closet index portfolios

For Institutional/Investment Professional Use Only.Not for distribution to the public.MSTR.327874

Relative risk and return focus

“Style Box” investing

Lower tracking error portfolios

Traditional Markets

TraditionalInvestmentApproaches

Alternative Markets

“Niche”, non-mainstream marketexposures

Typically provide additional diversification

Commodities

Commodity Equities

ListedInfrastructure

Global Real Estate

AlternativeInvestmentApproaches

“Unconstrained” portfolios

Multi-asset or Multi-sector strategies

May involve shorting

High tracking error portfolios

Absolute Return

Strategies

Absolute Return Focus

Long-Short Currency

Equity Market Neutral

Global Macro

Defining Alternatives

For illustrative purposesonly.

Most investors have varying definitions as to what strategies are considered alternatives

The universe of alternative assets has and will likely continue to evolve as new products and strategies are introduced

EXAMPLES OF:

10

4/12/2017

6

Drivers of Multi-Asset Growth

Active Manager Underperformance by Category

Popularity of multi-asset products has grown significantly since the financial crisis at the expense of more traditional asset classes

– Multi-asset AUM has grown 179%1 since 2007 relative to 31% for the combination of U.S. Large Cap Equity and U.S. Core Fixed Income2

McKinsey & Co. Inc. projects that multi-asset class strategies should experience net inflows of $1.2 trillion over the next five years3

The shift in corporate retirement plans has led to more people managing their own retirement

Traditional active managers have struggled to outperform, leading to investors seeking alpha elsewhere

1eVestment, U.S. TAA, U.S. Balanced and Target DateUniverses2eVestment, U.S. Large Cap Equity and U.S. Core Fixed Income Universes 3-Source: McKinsey & Co. Inc., Pension and Investments

450

400

350

300

250

200

150

100

50

-Jan-98 Jan-00 Jan-02 Jan-04 Jan-06 Jan-08 Jan-10 Jan-12 Jan-14 Jan-16

# o

fP

lan

s

Retirement Plans of Fortune 500 CompaniesFundName 1-Year 3-Year 5-Year 10-

YearU.S. Large Blend 75.6% 95.4% 86.0% 78.2%

U.S. Large Value 78.4% 71.9% 72.2% 41.6%

U.S. Large Growth 79.6% 91.5% 80.6% 87.2%

U.S. Mid Blend 40.5% 71.3% 73.4% 66.7%

U.S. Mid Value 63.5% 89.8% 88.2% 74.1%

U.S. Mid Growth 69.4% 81.5% 78.6% 72.0%

U.S. SmallBlend 58.5% 53.5% 57.8% 60.2%

U.S. SmallValue 91.7% 72.3% 64.9% 30.6%

U.S. SmallGrowth 55.7% 65.8% 76.4% 63.0%

Foreign Large Blend 54.7% 60.4% 68.2% 61.8%

Diversified Emerging Markets 71.0% 57.0% 38.1% 58.7%

Intermediate-Term Bond 38.8% 65.2% 31.0% 51.0%

$1,600

$1,400

$1,200

$1,000

$800

$600

$400

$200

$0

For Institutional/Investment Professional Use Only.Not for distribution to the public.PRS.359262

2011 2012 2013 2014 2015 2016

AU

M($

,B

illi

on

s)

Growth in Multi-Asset AUM

Source: Morningstar,as of December 31, 2016

DB Pension Plans Traditional DB Plans Hybrid Pension Plans DC Plans

Source: Willis Towers Watson, as of December 31,2015

2007 2008 2009 2010Source: eVestment1, as of December 31,2016

11

0

Ind

exP

rice

Drivers of Growth in Absolute Return Strategies

Since the financial crisis, increased volatility has driven the desire for strategies that offer safety of capital

At the same time, bond yields are at all time lows

Absolute Return strategies offerreduced volatility along with thepotential for increased returns

18.0

16.0

14.0

12.0

10.0

8.0

6.0

4.0

2.0

-Mar-76 Mar-80 Mar-84 Mar-88 Mar-92 Mar-96 Mar-00 Mar-04 Mar-08 Mar-12 Mar-16

Rea

lized

Ret

urn

(%,

ann

ual

ized

)

Barclays US Aggregate Bond Index:The current yield is the best predictor of expected long-term returns for bonds

Barclays US Aggregate Bond Index Yield-to-Worst

Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13 Dec-14 Dec-15

VIX IndexSource:Bloomberg


Realized 10-Year Return (Lagged 10 Years, Annualized) Current Yield to Worst

Source:Bloomberg

Market Volatility

80

70

60

50

40

30

20

10

Source: Cerulli Associates,2013.

Assets In Absolute Return Mutual Funds Have Grown Sharply Since 2006

12

4/12/2017

7

Asset Allocation of Corporate DC Funds

Source: Greenwich Associates 2016 U.S. Institutional Investors Study. “Other” includes real estate, traditional balanced, money market.

55%48%

41% 43% 45% 45% 42% 45% 47% 45%

8%

10%

7%8%

9% 8%8%

8%8%

7%

5%8%

9%10%

10% 10%9% 8%

8%8%

24% 19% 15%18% 13%

12%12%

11% 14%16%

17% 20%

2% 2%

12% 11% 12% 11%8%

1% 3% 1% 1%3% 5% 6% 8% 10%

16%

15% 16%

9%

2%

8%1%

10% 8%1%

8%1%

10%

0%

20%

30%

40%

50%

60%

70%

80%

90%

Corporate Funds’ Defined Contribution Asset MixTarget date funds now account for 20% of total DC assets

100%

% U

SC

orp

ora

teD

CP

lan

Ass

ets

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

U.S. Equities

Target Date

International Equities

Target Risk

Fixed Income

Other Investments

Stable Value, GICs, Balanced


13

Evolution of Multi-Asset Strategies

Source: GreenwichAssociates

From Legacy to “Next Gen”

“Next Gen” Product Characteristics

Absolute returns and outcome orien tation

Legacy Product Characteristics

Emphasis on market benchmark returns and “relative” performance

Focus on small number of traditional “core categories”

Narrow universe:• Domestic• Single-cap• Single sector

Focus on non-traditional, uncorrelated categories and productized solutions

Universe extension:• Global• All-cap• Multi-sector

Integrated multi-factor risk management• Decoupling of beta, alpha and liquidity

risk/return drivers• Volatility and risk targets• Looser benchmark constraints


14

4/12/2017

8

The Products-Solutions Spectrum

Source: GreenwichAssociates For illustrative purposesonly.

Multi-Asset /Allocation Funds Provider

(e.g., absolute return,target date, gauranteed

income, etc.)

Needs-Sensitive Parts Provider

Product Expertise

Pro

duct

Cen

tric

Clie

nt C

entr

ic

Asset/Risk AllocationExpertise

Products

Tailored Products

Packaged Outcome-Orientated Products

Holistic PortfolioSolutions

Parts Provider

LDI / OCIO /Risk Management Solutions Provider


15

James Macey, CFA, Senior Vice President, Portfolio ManagerFRANKLIN TEMPLETON

4/12/2017

9

Suitability vs. Fiduciary Standard

• Suitability: Broker-dealers were obligated to recommend suitable investments to retirement account investors

• Fiduciary: The DOL final regulations significantly expand the scope of communications (for both broker-dealers and investment advisers) that constitutes “investment advice” and give rise to

fiduciary status, meaning they must put the best interest of the investors first when overseeing their retirement accounts

• Shift to lower-cost investments and services

For Financial Professional Use Only | Not For Distribution To The Public

Department of Labor Final Regulations

17

There is no assurance that any solution or strategy will be successful, or that any client’s investment objective will be met. In addition, there can be no assurance that market or economic scenarios, risk/return expectations or models will prove to be accurate.


Seeking an external asset allocation expert to manage a suite of asset allocation model portfolios to meet the changing post-DOL landscape

Manage a menu of diversified models aligned to various client risk profiles.

Utilize a mix of active and passive funds from multiple asset managers to buildportfolios.

Provide ongoing active management, including cross- and intra-asset class investment views as well as corresponding tilts of underlying fund weightings.

Provide manager research on chosen underlying fund vehicles.

Provide ongoing communications and marketing support to keep salesforce informed on views and positions.

Cost considerations

Feasibility for low minimum accountsize

Sample Client Considerations

18

4/12/2017

10

Model Allocation Offering

Model Allocation Summary

*Subject to regulatoryapproval where applicable.There is no assurance that any solution or strategy will be successful, or that any client’s investment objective will be met. In addition, there can be no assurance that market or economic scenarios, risk/return expectations or models will prove to beaccurate.

Investment Framework• Multi-manager portfolios that include approved internal funds, external funds and ETFs

• Mix of Equity, Fixed Income, and Alternatives* asset classes

• Mix of actively managed funds and passive ETFs

• Mix of fund families and broad sampling of management styles

• Dedicated manager research professionals to provide vetting and selection

• Designed for use with retail and high net worth distribution channels

• Arms-length discretionary management of model allocations and underlying investment options

Asset Allocation


• Strategic Asset Allocation: Long-term; based on forward looking capital market expectations

• Tactical Asset Allocation: Opportunistic; models reviewed and adjusted monthly

19

Model Portfolios: Sample Asset Allocation Ranges

Representative allocation ranges are provided for illustrative purposes only. There is no guarantee that any model portfolios will be allocated in a similar manner. Please see Important Disclosures and Disclaimers at the end of this presentation which provide detailed information regarding information presented herein and are an integral part hereof.

Risk-Based Models

Conservative Moderate Growth

Franklin Templeton Model Allocation Portfolios

Target Allocation Ranges

Goals-Based Models

Income Rising Rates

Equity 10–30% 45–65% 60–80% 15-35% 25-45%

Fixed Income 70–90% 35–55% 20–40% 65-85% 45-65%

Alternatives — 0–5% 0–10% 0-10% 10-25%

For Financial Professional Use Only | Not For Distribution To The Public 20

4/12/2017

11

Disclosures

21

Investment Considerations


Any performance information shown is the strategy composite gross of fees, including advisory and investment management fees and other expenses an investor would incur, but net of transaction costs, unless otherwise noted. Past performance is not indicative of future results. Net performance results reflect the application of the highest incremental rate of the standard investment advisory or management fee schedule to gross performance results, unless otherwise indicated. Actual fees may vary depending on, among other things, the applicable fee schedule, portfolio size and/or investment management agreement. For example, if $100,000 were invested and experienced a 10% annual return compounded monthly for 10 years, its ending value, without giving effect to the deduction of advisory or investment management fees, would be $270,704 with annualized compounded return of 10.47%. If an advisory or investment management fee of 0.95% of the average market value of the account were deducted monthly for the 10-year period, the annualized compounded return would be 9.43% andthe ending dollar value would be $246,355. Unless otherwise noted, returns greater than one year are annualized; calendar year returns for each one year period end in December. Discrepancies may occur dueto rounding.

Any performance information shown is supplemental to the GIPS-compliant presentation. If performance information is shown, the GIPS-compliant presentation is included as a part of this information.

Any characteristics, guidelines, constraints or other information provided for this material is representative of the investment strategy and is provided for illustrative purpose only. They may change at any time and may differ for a specific account. The account presented was selected by the firm as a representative account that is deemed to best represent this management style. Each client account is individually managed; actual holdings will vary for each client and there is no guarantee that a particular client’s account will have the same characteristics as described herein. Any information about the holdings, asset allocation, or sector diversification is historical and is not an indication of future performance or any future portfolio composition, which will vary. Portfolio holdings are representative of the strategy, are subject to change at any time and are not a recommendation to buy or sell a security. The securities identified and described do not represent all of the securities purchased, sold or recommended for the portfolio. It should not be assumed that an investment in these securities or sectors was or will be profitable.

No investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment.

Diversification or asset allocation does not guarantee a profit nor protect against loss in any market. The indices referenced herein are broad-based securities market indices and used for illustrative purposes only. The indices cited are widely accepted benchmarks for investment performance within their relevant regions, sectors or asset classes, and represent non-managed investment portfolios. Although these indices are similar to the strategy’s objectives, there may be material differences including permitted holdings or investment strategies, which may impact returns. Broad-based securities indices are not subject to fees and expenses typically associated with managed accounts or investment funds. Investments cannot be made directly into an index. The performance of the indices represents unmanaged, passive buy-and-hold strategies, investment characteristics and risk/return profiles that differ materially from managed accounts or investment funds, and an investment in a managed account or investment fund is not comparable to an investment in such indices or in the securities that comprise the indices. Investments of the managed account or investment fund may be illiquid, making, at times, fair market valuation impossible or impracticable. As a result, valuation of the managed account or investment fund may be volatile, reducing the utility of comparison to any index whose underlying securities are priced according to market value, such as the indices. Investors should be aware that the managed account or investment fund may incur losses both when major indices are rising and when they are falling.

If derivatives are employed, note that investing in derivative instruments involves risks different from, or possibly greater than, the risks associated with investing directly in securities and other traditional investments and, in a down market, could become harder to value or sell at a fairprice.

Source for information shown is Manulife Asset Management, unless otherwise noted.

22

4/12/2017

12

Important Information


© 2017 Manulife Asset Management. All rights reserved. Manulife Asset Management, Manulife and the block design are trademarks of The Manufacturers Life Insurance Company and are used by it, and by its affiliates under license.

This confidential document is for the exclusive use of the intended institutional investor or their agents and may not be transmitted, reproduced or used in whole or in part for any other purpose, nor may it be disclosed or made available, directly or indirectly, in whole or in part, to any other person without our prior written consent.

Manulife Asset Management is the asset management arm of Manulife Financial Corporation ("Manulife"), a global organization that operates in many different jurisdictions worldwide. Manulife Asset Management’s diversified group of companies and affiliates provide comprehensive asset management solutions for institutional investors, investment funds and individuals in key markets around the world. Manulife Asset Management has investment offices in the United States, Canada, the United Kingdom, Japan, Hong Kong, and throughout Asia. Any private asset management activities described herein are conducted by various entities within the Manulife group of companies, including regulated insurance companies, investment advisors and other entities in the US, Canada and other jurisdictions. Capabilities may be aggregated across entities for illustrative purposes.

These materials have not been reviewed by, are not registered with any securities or other regulatory authority, and may, where appropriate, be distributed by the following Manulife entities in their respective jurisdictions. Additional information about Manulife Asset Management may be foundat www.manulifeam.com.

Canada: Manulife Asset Management Limited, Manulife Asset Management Investments Inc., Manulife Asset Management (North America) Limited and Manulife Asset Management Private Markets (Canada) Corp. Australia and Hong Kong: Manulife Asset Management (Hong Kong) Limited. Indonesia: PT Manulife Aset Manajmen Indonesia. Japan: Manulife Asset Management (Japan) Limited. Malaysia: Manulife Asset Management Services Berhad. Thailand: Manulife Asset Management (Thailand) Company Limited. Singapore: Manulife Asset Management (Singapore) Pte. Ltd. Taiwan: Manulife Asset Management (Taiwan) Co. Ltd. United Kingdom: Manulife Asset Management (Europe) Limited which is authorised and regulated by the Financial Conduct Authority. United States: Manulife Asset Management (US) LLC, Hancock Capital Investment Management, LLC and Hancock Natural Resource Group, Inc. Vietnam: Manulife Asset Management (Vietnam) Company Ltd.

No Manulife entity makes any representation that the contents of this presentation are appropriate for use in all locations, or that the transactions, securities, products, instruments or services discussed in this presentation are available or appropriate for sale or use in all jurisdictions or countries, or by all investors or counterparties. All recipients of this presentation are responsible for compliance with applicable laws and regulations.

Any general discussions or opinions contained within this document regarding securities or market conditions represent the view of either the source cited or Manulife Asset Management as of the day of writing and are subject to change. There can be no assurance that actual outcomes will match the assumptions or that actual returns will match any expected returns. The information and/or analysis contained in this material have been compiled or arrived at from sources believed to be reliable but Manulife Asset Management does not make any representation as to their accuracy, correctness, usefulness or completeness and does not accept liability for any loss arising from the use hereof or the information and/or analysis contained herein. Information about the portfolio’s holdings, asset allocation, or country diversification is historical and will be subject to future change. Neither Manulife Asset Management or its affiliates, nor any of their directors, officers or employees shall assume any liability or responsibility for any direct or indirect loss or damage or any other consequence of any person acting or not acting in reliance on the information contained herein.

The information in this material may contain projections or other forward-looking statements regarding future events, targets, management discipline or other expectations, and is only as current as of the date indicated. The information in this material including statements concerning financial market trends, are based on current market conditions, which will fluctuate and may be superseded by subsequent market events or for other reasons. This material was prepared solely for informational purposes and does not constitute, and is not intended to constitute, a recommendation, professional advice, an offer, solicitation or an invitation by or on behalf of Manulife Asset Management to any person to buy or sell any security or to adopt any investment strategy, and shall not form the basis of, nor may it accompany nor form part of, any right or contract to buy or sell any security or to adopt any investment strategy. Nothing in this material constitutes investment, legal, accounting, tax or other advice, or a representation that any investment or strategy is suitable or appropriate to your individual circumstances, or otherwise constitutes a personal recommendation to you. Prospective investors should take appropriate professional advice before making any investment decision. In all cases where historical performance is presented, note that past performance is not indicative of future results and you should not rely upon it as the basis for making an investment decision.

In the United Kingdom and in the European Community the data and information presented is directed solely at persons who would be constituted as Professional Investors in accordance with the Markets in Financial Instruments Directive (2004/39/EC) as transposed into the relevant jurisdiction. In Switzerland, this presentation may be made available only to Qualified Investors as defined in the Swiss Collective Investment Schemes Act of 23 June 2006 (as amended). Further, the information and data presented does not constitute, and is not intended to constitute, "marketing" as defined in the Alternative Investment Fund ManagersDirective.

23

Important Information (continued)


Hong Kong: This material is provided to Professional Investors [as defined in the Hong Kong Securities and Futures Ordinance and the Securities and Futures (Professional Investor) Rules] in Hong Kong only. It is not intended for and should not be distributed to, or relied upon, by members of the public or retail investors. Neither Manulife AM Hong Kong nor any of its employees are licensed to deal as an estate agent with any property situated in HongKong.

China: No invitation to offer, or offer for, or sale of any security will be made to the public in China (which, for such purposes, does not include the Hong Kong or Macau Special Administrative Regions or Taiwan) or by any means that would be deemed public under the laws of China. The offering document of the subject fund(s) has not been submitted to or approved by the China Securities Regulatory Commission or other relevant governmental authorities in China. Securities may only be offered or sold to Chinese investors that are authorized to buy and sell securities denominated in foreign exchange. Prospective investors resident in China are responsible for obtaining all relevant approvals from the Chinese government authorities, including but not limited to the State Administration of Foreign Exchange, before purchasing an interest in the subject fund(s).

Korea: This material is intended for Designated Professional Investors under the Financial Investment Services and Capital Market Act ("FSCMA"). Manulife Asset Management does not make any representation with respect to the eligibility of any recipient of these materials to acquire any interest in any security under the laws of Korea, including, without limitation, the Foreign Exchange Transaction Act and Regulations thereunder. An interest may not be offered, sold or delivered directly or indirectly, or offered, sold or delivered to any person for re-offering or resale, directly or indirectly, in Korea or to any resident of Korea, except in compliance with the FSCMA and any other applicable laws and regulations. The term “resident of Korea” means any natural person having his place of domicile or residence in Korea, or any corporation or other entity organized under the laws of Korea or having its main office in Korea.

Singapore: This material is intended for Institutional Investors as defined in Securities and FuturesAct.

United States: Manulife Asset Management (US) LLC (“MAM US”) and Manulife Asset Management (North America) Limited (“MAM NA”) are indirect wholly owned subsidiaries of Manulife. They may provide advisory services, and may market such services, under the brand name “John Hancock Asset Management”, and MAM US may also use “Sovereign Asset Management.” These brand names may, as applicable, be described as “a division of” MAM US or MAM NA, but are not separate legal entities.

The distribution of the information contained in this presentation may be restricted by law and persons who access it are required to comply with any such restrictions. The contents of this presentation are not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to any applicable laws or regulations. By accepting this material you confirm that you are aware of the laws in your own jurisdiction relating to the provision and sale of the funds, portfolios or other investments discussed in this presentation and you warrant and represent that you will not pass on or utilize the information contained in the presentation in a manner that could constitute a breach of such laws by any Manulife Financial entity or any other person.

24

4/12/2017

13

Franklin Templeton Distributors, Inc. One Franklin Parkway

San Mateo, CA 94403-1906franklintempleton.com

FTS Model Alloc Pres 03/17For Financial Professional Use Only | Not For Distribution To The Public

All information herein contained is as of December 31, 2016 unlessotherwise indicated.

Important Legal Information

This document is intended to be for general information only and does not constitute legal or tax advice. It is intended solely to illustrate the general approaches and capabilities of various investment teams. It does not constitute or form any part of any offer of any interests or shares of any fund or an invitation to buy interests or shares of any fund, nor does it constitute any type of investment advice. Interests or shares of a fund are offered only through a fund’s offering documents, such as a confidential Private Placement Memorandum. Each prospective investor should read a fund’s offering documents carefully, including the risk factors summarized therein, and consult with his, her or its own legal, financial and tax advisors before making any investment decision. It is the responsibility of each person receiving a copy of this document to satisfy himself or herself as to the full observance of the laws of any relevant country. Nothing herein should be taken as an offer or solicitation of any type of securities or any investment management or advisory service. This information is considered proprietary and shall be treated as confidential. It shall not be distributed or otherwise communicated to third parties. While every effort has been made to ensure the accuracy of the information contained within these materials, we do not guarantee such accuracy.

25

IMPORTANT LEGALINFORMATION

This material is general in nature and is provided for informational and educational purposes only. Nothing herein shall be construed to constitute investment, legal, accounting or tax advice, or an investment recommendation within the meaning of federal, state, or locallaw.

Any views or opinions expressed in this material are those of the presenter and may not reflect the views of Franklin Templeton Investments (“FTI”) as a whole. FTI does not endorse or recommend any views or opinions expressed in thismaterial.

Information is current as of the date of this material and obtained from sources deemed reliable, but there is no representation or warranty as to its accuracy, completeness or reliability. Because market and economicconditions are subject to rapid change, the information, analysis and opinions provided in this material may change without notice, and FTI disclaims any responsibility for updating this material. FTI accepts no liabilitywhatsoever for any direct or indirect consequential loss arising from the use of, or any tax position taken in reliance on, any information, opinion or estimate herein.All financial decisions, strategies, and investments involve risks, including possible loss of principal, and may not achieve the desired results.

This document is intended to be for general information only and does not constitute legal or tax advice. It is intended solely to illustrate the general approaches and capabilities of various investment teams. It does not constitute or form any part of any offer of any interests or shares of any fund or an invitation to buy interests or shares of any fund, nor does it constitute any type of investment advice. Interests or shares of a fund are offered only through a fund’s offering documents, such as a confidential Private Placement Memorandum. Each prospective investor should read a fund’s offering documents carefully, including the risk factors summarized therein, and consult with his, her or its own legal, financial and tax advisors before making any investment decision. It is the responsibility of each person receiving a copy of this document to satisfy himself or herself as to the full observance of the laws of any relevant country. Nothing herein should be taken as an offer or solicitation of any type of securities or any investment management or advisory service. This information is considered proprietary and shall be treated as confidential. It shall not be distributed or otherwise communicated to third parties. While every effort has been made to ensure the accuracy of the information contained within these materials, we do not guarantee suchaccuracy.Copyright © 2017 Franklin Templeton Investments. All rightsreserved..


Risks | Important Legal Information

26

Date post:	19-Aug-2018
Category:	Documents
Upload:	tranxuyen
View:	215 times
Download:	0 times

The 23rd Sub-Advised Funds Forum - FRA, LLC · The 23rd Sub-Advised Funds Forum Optimizing Returns...

Documents