Portfolio and Market Discussion Artisan Partners Developing World Team. Lewis Kaufman, CFA, Portfolio Manager. Artisan High Income Fund

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1 Artisan High Income Fund Portfolio and Market Discussion Artisan Partners Developing World Team Lewis Kaufman, CFA, Portfolio Manager For Institutional Investors Only Not for Onward Distribution

2 Artisan Partners Developing World Team Portfolio Manager Years of Investment Experience Lewis Kaufman, CFA 18 Associate Portfolio Managers Michael Roberge, CFA 9 Edward Su, CFA 12 Research Associate David Ng, CFA 5 ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 2

3 Investment Philosophy and Process Overview We seek to capitalize on opportunities in developing world economies by investing in companies that compound business value over a market cycle, while mitigating the volatility of returns ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 3

4 Stock Selection Overview Compounding Business Value We believe compounded business value drives long-term capital appreciation and seek to optimize our stock selection process for challenges unique to emerging markets investing Compounded business value Business Value Fundamental disruption Capital impairment Time For illustrative purposes only. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 4

5 Stock Selection Capital Impairment We emphasize financially sound, free cash-flow generative companies not predicated on financial leverage that are less likely to impair capital during periods of duress Higher risk of capital impairment Retail Large-format stores Growth consumes working capital Large up-front capex Banks Wholesale funded Fragmented market Leverage drives returns Lower risk of capital impairment Small format stores Leverage with suppliers generates working capital Minimal up-front capex Deposit funded Consolidated market Superior profitability drives returns For illustrative purposes only. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 5

6 Stock Selection Fundamental Disruption We prefer companies where changing business conditions are not disruptive to the trajectory of business value creation Types of Disruptive Risk Abrupt Change Immediate and permanent loss of value Our Emphasis Companies where value creation is not predicated on a single uncontrollable factor Cyclical Change Stagnation in business value through a cycle Companies with the resilience to compound business value through economic cycles Franchise Change Erosion of value proposition over time Companies with the potential to endure over a longer term investment horizon ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 6

7 Stock Selection Developing World Opportunities We aim to enhance our opportunity set by emphasizing companies and countries that benefit from rising domestic demand MSCI Emerging Markets Index South Korea Linked to Western demand, high domestic debt levels 15% of MSCI EM Index Artisan Developing World Domicile Flexibility Focus on economic exposure Enhance growth profile Exporters EM in domicile but not economically Prominent in MSCI EM Index Country Weightings Low penetration countries Select frontier market exposure Result: Lower growth opportunity set Result: Enhanced opportunity set Source: Artisan Partners/FactSet/MSCI. As of 31 Mar ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 7

8 Risk Management Overview Holistic Volatility Mitigation We aim to mitigate volatility inherent in the developing world by targeting multiple dimensions of risk Differentiated Correlation Profile Differentiated Currency Mix ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 8

9 Artisan Developing World Strategy Risk Management Differentiated Correlation Profile We employ a flexible opportunity set to reduce correlations and transcend limitations of index construction Less correlation with emerging markets fund flows Differentiated Correlation Profile Below-average volatility in multinational holdings Thoughtful capitalization exposure Artisan Developing World Strategy 22% 62% 16% Large Caps (More than $10B) Mid Caps ($3B - $10B) Small Caps (Less than $3B) Multinationals Source: Artisan Partners/FactSet/MSCI. As of 31 Mar Multinationals are companies domiciled in developed markets. The representative portfolio information is supplemental to the Artisan Developing World Composite presentation provided and individual accounts withinthecompositemay vary. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 9

10 Risk Management Differentiated Currency Profile We implement a repeatable framework for mitigating currency volatility Currency volatility influenced MSCI EM Index returns by 7% annually on average from Latin America Southern Asia EEMEA Northern Asia Brazil Mexico Chile Peru Argentina India Thailand Indonesia Philippines Malaysia South Africa Russia Turkey Poland UAE Saudi Arabia China South Korea Taiwan Source: Artisan Partners/FactSet/MSCI. Countries listed represent currencies in the developing world opportunity set and are not representative of portfolio exposure. MSCI EM total returns in USD and local terms from 31 Dec 2006 to 31 Dec ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 10

11 Artisan Developing World Strategy Risk Management Upside Capture, Downside Capture Upside Capture Average Up Month Downside Capture Average Down Month Artisan Developing World Strategy 374bps -347bps MSCI Emerging Markets Index 377bps -446bps Difference -3bps +99bps Source: Artisan Partners/MSCI. As of 31 Mar Past performance does not guarantee and is not a reliable indicator of future results. Gross-of-fees performance shown for the Composite. Current performance may be lower or higher than performance shown. Based on monthly returns beginning with July 2015, the first full month since inception. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 11

12 Artisan Developing World Strategy Portfolio Considerations Portfolio Maintenance Dynamic position sizing with attention to changing value; consideration of reinvestment risk Monitor for changing political or currency framework Frequent company touch points Portfolio Construction Parameters High conviction in top holdings, with risk-adjusted emphasis Maximum position size typically 5%* Attention to aggregate capital committed Outcome Orientation Measuring investment success across multiple dimensions Based on a model portfolio. Individual accounts may vary. *Limitations apply at the time of purchase. As to 75% of its total assets, the portfolio will not invest more than 5% of its total assets in the securities of a single issuer, nor acquire more than 10% of the voting securities of any single issuer. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 12

13 Artisan Developing World Strategy Investment Results Average Annual Total Returns Source: Artisan Partners/MSCI. Past performance does not guarantee and is not a reliable indicator of future results. Gross- and net-of-fees performance shown for the Composite. Net-of-fees composite returns were calculated using the highest model investment advisory fees applicable to portfolios within the composite. Current performance may be lower or higher than performance shown. Returns greater than one year are annualized unless otherwise noted. Composite inception: 1 Jul ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 13

14 Q&A

15 Biographies Artisan Partners Developing World Team Lewis S. Kaufman, CFA, is a managing director of Artisan Partners and founding portfolio manager of the Developing World team. In this role, he is the portfolio manager for the Artisan Developing World Strategy. Prior to joining Artisan Partners in February 2015, Mr. Kaufman was a managing director and portfolio manager for Thornburg Investment Management, where he managed the Developing World Strategy from its inception in 2009 through January Thornburg was named Emerging-Markets Equity Investment Manager of the Year by Institutional Investor for its Developing World Strategy in Mr. Kaufman also co-managed the International ADR Strategy from 2007 through 2013, after joining Thornburg in 2005 as an associate portfolio manager. Prior to joining Thornburg, Mr. Kaufman held various investment-related positions with Morgan Stanley and Citigroup. Mr. Kaufman graduated cum laude with a bachelor s degree in English from Colgate University and holds a master s degree in business administration from Duke University Fuqua School of Business. Michael F. Roberge, CFA, is an associate portfolio manager on the Artisan Partners Developing World Team. In this role, he conducts fundamental research as a generalist. Prior to joining Artisan Partners in March 2015, Mr. Roberge wasanequityresearchanalystforthedevelopingworld Strategy at Thornburg Investment Management. Prior to joining Thornburg, Mr. Roberge was a research associate at Brandes Investment Partners, where he covered domestic and international industrials. Mr. Roberge also interned as a global data analyst at Bloomberg LP. Mr. Roberge holds a bachelor s degree in business administration from Brigham Young University. Edward S. Su, CFA, is an associate portfolio manager on the Artisan Partners Developing World Team. In this role, he conducts fundamental research as a generalist. Prior to joining Artisan Partners in March 2015, Mr. Su was an associate portfolio manager for the Global Opportunities Strategy at Thornburg Investment Management. Mr. Su joined Thornburg in 2011 as an equity research analyst and was promoted to associate portfolio manager in Prior to joining Thornburg, Mr. Su was a research analyst at Crystal Rock Capital and before that was an associate at Devon Value Advisers. Mr. Su holds a bachelor s degree in business administration from the University of North Carolina atchapelhillandamaster s degree in business administration from the University of Chicago Booth School of Business. David Ng, CFA, is a research associate on the Artisan Partners Developing World Team. In this role, he conducts fundamental research as a generalist. Prior to joining Artisan Partners in January 2016, Mr. Ng was a senior fixed income and equity research associate at Dodge & Cox. Mr. Ng graduated Phi Beta Kappa from Stanford University and holds a bachelor s degree in economics. ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 15

16 Artisan Partners Notes and Disclosures This section of this presentation contains information important to a complete understanding of the material presented. Please review it carefully. Artisan Partners is an independent investment management firm focused on providing high value-added, active investment strategies to sophisticated clients globally. Artisan Partners Limited Partnership (APLP) is an investment adviser registered with the US Securities and Exchange Commission (SEC). Artisan Partners UK LLP (APUK) is authorized and regulated by the Financial Conduct Authority and is a registered investment adviser with the SEC. APLP and APUK are collectively, with their parent company and affiliates, referred to as Artisan Partners herein. Form ADV: Additional information about APLP or APUK, the firms, its partners, ownership, investment strategies, fees and expenses and policies is contained in each firm s respective Form ADV. Each firm will supply a copy of its Form ADV upon request. Artisan Developing World Strategy International investments involve special risks, including currency fluctuation, lower liquidity, different accounting methods and economic and political systems, and higher transaction costs. These risks typically are greater in emerging markets. Such risks include new and rapidly changing political and economic structures, which may cause instability; underdeveloped securities markets; and higher likelihood of high levels of inflation, deflation or currency devaluations. Securities of small- and medium-sized companies tend to have a shorter history of operations, be more volatile and less liquid and may have underperformed securities of large companies during some periods. Composite Performance: All performance results are net of commissions and transaction costs, and have been presented gross or net of investment advisory fees. For performance presented net of fees, fees may be higher for certain pooled vehicles and the composite may include accounts with performance-based fees. Dividend income is recorded net of foreign withholding taxes on ex-dividend date or as soon after the ex-dividend date as the information becomes available to Artisan Partners. Interest income is recorded on the accrual basis. Performance results for the index include reinvested dividends and are presented net of foreign withholding taxes but, unlike the portfolio's returns, do not reflect the payment of sales commissions or other expenses incurred in the purchase or sale of the securities included in the indices. Unless otherwise indicated, the Artisan Strategy characteristics relate to that of an investment composite or a representative account managed within a composite. It is intended to provide a general illustration of the investment strategy and considerations used by Artisan Partners in managing that strategy. Individual accounts may differ, at times significantly, from the reference data shown due to varying account restrictions, fees and expenses, and since-inception time periods, among others. Where applicable, this information is supplemental to, and not to be construed with, a current or prospective client s investment account information. MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used to create indices or financial products. This report is not approved or produced by MSCI. Totals may not sum due to rounding. All data shown is in USD unless otherwise indicated. This material represents the views and opinions of Artisan Partners as of June 2017, are based on current market conditions, which will fluctuate, and are subject to change without notice. While the information contained herein is believed to be reliable, there is no guarantee to the accuracy or completeness of any statement in the discussion. This material is for informational purposes only and should not be considered as investment advice or a recommendation of any investment service, product or individual security. Any forecasts contained herein are for illustrative purposes only and are not to be relied upon as advice or interpreted as a recommendation. This material is for informational purposes only and shall not be construed as investment or tax advice. Prospective investors should consult their financial and tax adviser before making investments in order to determine whether an investment will be suitable for them. In no event shall Artisan Partners have any liability for direct, indirect, special, incidental, punitive, consequential (including, without limitation, lost profits) losses or any other damages resulting from the use of this material Artisan Partners. All rights reserved. This material is not for use by retail investors and may not be reproduced or distributed without Artisan Partners' permission. For Institutional Investors Only Not for Onward Distribution ARTISAN PARTNERS For Financial Advisor Use Only. Not for Distribution to the Public. 16