DELIVERING OUTCOMES THAT MATTER PAUL BOYNTON CHIEF EXECUTIVE OF OLD MUTUAL ALTERNATIVE INVESTMENTS (PTY) LTD

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2 DELIVERING OUTCOMES THAT MATTER PAUL BOYNTON CHIEF EXECUTIVE OF OLD MUTUAL ALTERNATIVE INVESTMENTS (PTY) LTD

3 AGENDA The Alternatives Story Old Mutual s Experience Some investment stories

4 OLD MUTUAL ALTERNATIVES Large team of 50 Investment professionals with more than 500 years of combined investment expertise in Africa R52bn in assets under management Long track record with a history of delivering attractive, uncorrelated returns Private Equity Finance unlisted companies - unlock value Direct investments Funds of Funds Infrastructure Toll roads, Utilities, Renewable energy Railways Bridges Development Impact Affordable housing Education/ Schools 4

5 OLD MUTUAL ASSET ALLOCATION (DEC 2014) Asset Class Target Asset Allocations Expected Real Return Risk 10 year return Nominal SA Assets Equities 39.5% 5.5% 19% 17.5% Bonds 15.0% 3.0% 9% Money Market 6.5% 2.0% 1% Alternatives 7.5% 7.5% no greater than listed equities 19.5% Property 6.5% 4.5% 17% International Assets Equities 18.0% 4.5% 17% 12.3% Bonds 5.0% 1.5% 14% Alternatives 2.5% 6.5% no greater than listed equities 13.6% Total Alternatives 10% 18.5% TOTAL PORTFOLIO 15.1% 5 SA Inflation 6.1%

6 INVESTMENT RETURNS ON PRIVATE EQUITY & INFRASTRUCTURE CALPERS Since 1990 $bn OLD MUTUAL Since 2000 Rbn Amount invested in PE and Infrastructure funds 63 7 Amount invested in direct PE and infrastructure deals 11 Total Invested Amount of distribution received on all PE and Infrastructure investments Market value of remaining portfolio assets at 31 Dec Profit

7 IDEA S MANAGED FUND PERFORMANCE December % 22% 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 22.1% 19.3% 17.9% 18.4% 16.6% 16.1% 12.5% 12.2% 12.6% 12 months to date 5 Years Since Inception January 1999 Total Fund Fund Excl. Cash Inflation + 7% 7 Source: Old Mutual Investment Group

8 INVESTMENT STORY 1 RENEWABLES

9 COOKHOUSE Generation capacity (MW) Implied number of households powered per annum Implied carbon offset (tons per annum) Implied water saved (litres per annum) Local content expenditure to end Sep 2013 (Rm) Permanent jobs Construction jobs

10 LESEDI/LETSATSI Generation capacity (MW) Implied number of households powered per annum Implied carbon offset (tons per annum) Implied water saved (litres per annum) Local content expenditure to end Sep 2013 (Rm) Permanent jobs Construction jobs

11 11 IDEAS RENEWABLES FUND NORTHERN CAPE MW Lesedi 69 Kathu 75 Kalkbult 72 Herbert 20 Greefspan 10 Linde 38 De Aar 45 Droogfontein 45 Redstone 100 Kakamas 10 Loeriesfontein 140 Khobab 140 Noupoort 81 Perdekraal East 137 WESTERN CAPE MW Umoya 65 Kangnas 108 Aurora 10 Vredendal 10 Wind Solar PV Hydro Solar CSP 985MW 463MW 10MW 100MW Total 1500MW Generating Electricity 850MW FREE STATE MW Letsatsi 69 EASTERN CAPE MW Cookhouse 139 Jeffrey s Bay 138 Metrowind 27 Generating Electricity

12 INVESTMENT STORY 2 AFFORDABLE HOUSING

13 SAVANNA HOUSING DEVELOPMENT Number of housing units 18,399 Construction jobs 54,900 Permanent jobs 12,700 Economic Impact R28bn Number of schools 16 13

14 KARINO HOUSING DEVELOPMENT Number of housing units 1,744 Construction jobs 8,700 Economic impact R3.5bn 14

15 INVESTING TO MAKE A DIFFERENCE Renewable Energy R12bn Affordable housing R9bn Private Equity R5bn Gas Infrastructure/Power R1/2bn Public Private Partnerships R1/2bn Affordable Schooling R1bn 15 Financial Sector Charter R3bn Toll Roads R5bn

16 REGULATORY INFORMATION Old Mutual Alternative Investments (Pty) Limited Physical Address: Mutualpark, Jan Smuts Drive, Pinelands, 7405 Telephone number: Old Mutual Alternative Investments (Pty) Ltd (Reg No 2013/113833/07) (FSP 45255) is a licensed financial services provider, approved by the Registrar of Financial Services Providers ( to provide advisory and/or intermediary services in terms of the Financial Advisory and Intermediary Services Act 37, Old Mutual Alternative Investments (Pty) Ltd is a wholly owned subsidiary of Old Mutual Investment Group Holdings (Pty) Limited and is a member of the Old Mutual Investment Group. Investment portfolios are market-linked. Pooled products are either policy based, via a linked policy of insurance issued by Old Mutual Life Assurance Company of South Africa Ltd, which is a registered Long Term Insurer. Contractual rights and obligations of investors are set out in the relevant investor agreements and or mandates. Unlisted investments have short term to long term liquidity risks and there are no guarantees on the investment capital nor on performance. It should be noted that investments within the fund may not be readily marketable. It may therefore be difficult for an investor to withdraw from the fund or to obtain reliable information about its value and the extent of the risks to which it is exposed. Market fluctuations and changes in exchange rates as well as taxation may have an effect on the value, price, or income of investments and capital contributions. Since financial markets fluctuate, an investor may not recover the full amount invested. Past performance is not necessarily a guide to future investment performance. Old Mutual Investment Group is a member of the Old Mutual group. Accordingly, Old Mutual and Nedbank are related entities. We outsource investment administration of our local funds to Curo Fund Services, 50% of which is owned by the Old Mutual Investment Group. All inter-group transactions are done on an arms lengths basis. Personal trading by staff is restricted to ensure that there is no conflict of interest. All directors and those staff who are likely to have access to price sensitive and unpublished information in relation to the Old Mutual group are further restricted in their dealings in Old Mutual shares. All employees of the Old Mutual Investment Group are remunerated with salaries and standard incentives. Unless disclosed to the client, no commission or incentives are paid by the Old Mutual Investment Group to any persons other than its representatives. While all reasonable steps have been taken to ensure that the information in this document or website is accurate, the information is provided without any express or implied warranty. This document is for information purposes only and does not constitute or form part of any offer to issue or sell, or any solicitation of any offer to subscribe for or purchase any particular investment. This document is not an advertisement and it is not intended for general public distribution. The recipient is advised to assess the information with the assistance of an advisor if necessary, with regard to its compatibility with his/her own circumstances in view of any legal, regulatory, tax and other implications. The information herein does not constitute an offer to sell or a solicitation of an offer to buy any securities. This document is expressly not intended for persons who, due to their nationality or place of residence, are not permitted access to such information under applicable law. Old Mutual Investment Group has comprehensive crime and professional indemnity insurance which is part of the Old Mutual group cover. For more detail and information on how to contact us as well as on how to access information please visit 16