Investment-linked Funds

Transcription

1 Investment-linked Funds May 2011 This document is to be used in Hong Kong only and should be issued and read in conjunction with the Principal Brochure, which consists of the Annual Charges leaflet, Investment-linked Funds leaflet and Product Brochure. Hong Kong

2 Investment-linked Fund Information Friends Provident International Limited (FPIL) operates a range of investment-linked funds. The concept is simple: agreements have been set up with investment houses worldwide allowing us to link to specially selected underlying funds chosen on the basis of performance and investment expertise. FPIL has set up its own investment-linked fund which invests solely in such underlying fund, apart from a proportionately small amount which may be held as a cash balance. These investment-linked funds are intended for medium to long-term investment and can only be accessed using FPIL s investment-linked assurance schemes. These policies are also intended for medium to long-term investment and are not therefore designed for early surrender (see Policy information on page 19). Substantial surrender charges/penalties will be applied in the event of early surrender. There may also be restrictions on the amount of withdrawals available from a policy and you should refer to the relevant Principal Brochure for more information. A withdrawal charge of up to 7.5% of the amount of withdrawal may be applied. Our policyholders invest their premiums into FPIL s investmentlinked assurance schemes. According to policyholders chosen investment-linked funds, FPIL invests these premiums collectively in the underlying funds. Units are notionally allocated to your policy solely for the purpose of calculating the benefits which we will pay to you. FPIL is the absolute legal and beneficial owner of all the assets which relate to each investment-linked fund. Policyholders have no rights or entitlements to these underlying assets. The price of the FPIL investment-linked fund will be different from the underlying fund, but should move broadly in line with it. The underlying investments of the investment-linked funds are unit trusts authorized by the Hong Kong Securities and Futures Commission ( SFC ). Such authorization does not imply official recommendation. SFC authorization is not a recommendation or endorsement of a unit trust nor does it guarantee the commercial merits of a unit trust or its performance. It does not mean the unit trust is suitable for all investors nor is it an endorsement of its suitability for any particular investor or class of investors. Please note that an investment-linked fund available under FPIL s investment-linked assurance schemes may not be linked to a class (or classes) of the underlying fund that is offered to the public investors in Hong Kong. Therefore, you should note that, among others, the fees that are charged in respect of the underlying fund linked to this investment-linked fund may not be the same as the fees charged for a class of the underlying fund that is offered to the public investors in Hong Kong. For details, please refer to FPIL and your independent financial adviser. Units in the investment-linked funds are normally bought and sold using the bid (selling) price. However, some legacy products do contain a bid/offer spread - please refer to the individual product brochures for details. Please note that there are fees for the policy and investmentlinked funds that would in turn affect the return on your policy, which may be lower than the return on the underlying funds. Please refer to the corresponding prospectuses of the underlying funds, which will be made available by FPIL s Hong Kong office. These prospectuses will help you to understand the underlying funds, their investment objectives and strategies, the risks that may affect your investment, whether your financial goals are matched, etc. Please do not rely on these documents alone. We recommend that you discuss fully both the suitability of the investment-linked assurance schemes and the specific risks associated with your investments within these policies with your Financial Adviser before making any investment decisions. Investment-linked fund prices may go up and down depending upon the underlying investment performance or, where investments held within an investment-linked fund are not denominated in the currency of that investment-linked fund, simply because of movements in currency exchange rates. Where we publish performance information, the figures are quoted net of all underlying fund annual charges. However, past performance should not be viewed as an indication of future performance the value of your investment cannot be guaranteed and you may get back less than you paid in. Valuation frequency and availability of unit prices Valuations are carried out on all business days in Dorking (UK) as appropriate for the individual investment-linked fund. Unit prices are issued daily at approximately 5 p.m. (UK time). Please note that some underlying funds do not price on a daily basis any affected investment-linked funds have been clearly marked on page 5 of this document. Investment-linked fund price roundings In pricing each investment-linked fund in the FPIL investmentlinked fund range, we may reasonably round any calculations by an adjustment of not more than 0.1%. All rounding adjustments accrue to the benefit of the policyholders who invest in that investmentlinked fund. The offer price and the bid price are calculated each valuation day. The offer price is rounded up to three decimal places and the bid price is rounded down to three decimal places. Key to the symbols used in this leaflet Investment-linked funds deal on a daily basis except where indicated: 7 Deals weekly. a b The underlying fund of this investment-linked fund is authorized by SFC under the Code on Unit Trusts and Mutual Funds, but not authorized or regulated under the SFC Code on Real Estate Investment Trusts. Such authorization does not imply official recommendation. Whilst an absolute return fund aims to achieve absolute performance, there may be circumstances under which negative returns could be generated. Investors should therefore not interpret it to mean or imply that an absolute return is guaranteed. c Investment linked fund s dealing frequency will be changed from weekly to daily effective from 25 June Investment-linked Funds

3 The Friends Provident International Limited Investment-linked Funds Charges Underlying Fund Charges As is common with this type of investment, the normal charges of the underlying assets also apply (i.e. initial charges and annual management fees). However, FPIL purchase underlying fund units at a discount, which is then passed on to the benefit of the policyholder. The underlying fund annual charges can vary between 0.1% and 3.35%, dependent upon the investment-linked funds chosen. Please refer to the Annual Charges leaflet for full detail. Closure of an investment-linked fund We will give you three months prior written notice if we decide to merge or terminate an investment-linked fund. If an investmentlinked fund is to be merged or terminated due to the decision of the underlying fund management house, we will give you prior written notice in compliance with relevant regulatory requirements. Advantages of the investment-linked fund range Specialist expertise Award-winning expertise from some of the world s leading investment managers. Investment management by specialists in specific areas, creating the potential to achieve even higher capital growth. Extensive choice Access to a wide range of geographic area, including all major and emerging markets. Wide range of investment vehicles to choose from - equity, bond, deposit, managed, thematic and alternative strategy investment-linked funds. Easy access Access to a range of investment-linked funds at low investment levels not normally available to individual investors. Flexibility Unlimited switching at any time. This facility allows you to change your investment risk profile or benefit from changing market opportunities. Please refer to the individual product brochures for details on charges and conditions, if any. Ability to construct a portfolio tailored to individual risk profiles. Evolving range The investment marketplace and our range of investment-linked funds are continually monitored to identify new investment opportunities. Investment-linked Funds Funds 3

4 Risk Factors Investment involves risks and each investment-linked fund will involve its own individual level of risk: Eq Where an underlying fund invests in equities, it entails risk, as individual stock prices can move up and down more dramatically than other forms of investment. Shares, when sold, may be worth less than their original cost and you may get back less than you paid in. Li Some underlying funds invest in asset classes that are considered illiquid, in that sometimes they may not be so easy to sell. It should be recognised that an investment in an investment-linked fund of this type may have liquidity constraints that may lead to delays in the sale of investment-linked fund units. FI Where an underlying fund invests in fixed interest securities the value can go up and down as interest rates change. For example, if interest rates rise, the value is likely to fall. B Some underlying funds invest in company bonds. High yielding bonds are usually lower grade. These carry an increased risk to both the income and capital value of the investment-linked fund - for example, if the company issuing the bond has financial difficulties and stops trading. Com Some underlying funds invest in commodity markets and investment values can move up and down sharply depending on levels of speculation and supply and demand. EM Where an underlying fund invests in emerging markets, investment values can move sharply down or up. These markets tend not to be so well regulated as developed markets and political unrest is more likely. D Many underlying funds can now use derivative instruments as an investment tool. A derivatives instrument normally is a contract between two or more parties and, used in underlying funds, derives its value based on the value of an underlying asset at a particular point in time. The main types of derivatives are futures, forwards, options and swaps, with these instruments generally being used to hedge (reduce) risk, but can also be used for speculative purposes (at increased risk). Losses can be greater than the money put into these instruments. Guide to the Risk/Reward Profile of FPIL s investment-linked funds on page 5 The Risk/Reward Profile is determined by FPIL from information provided by the underlying fund houses and is based on the following characteristics of the underlying fund: volatility; asset type; and geographical region. The information given in the Risk/Reward Profile is for reference only and the SFC has not assessed or approved it, nor has it verified the accuracy of such information. Grade 1: Grade 2: Grade 3: Grade 4: Grade 5: Investment-linked funds offering conservative return similar to money market rates. The underlying funds that these investment-linked funds invest in may be exposed to the following risk factors: FI, D. Low-risk investment-linked funds offering security and potential growth. The underlying funds that these investment-linked funds invest in may be exposed to the following risk factors: FI, B, D. These investment-linked funds take a balanced approach to investment by holding a diverse portfolio of assets. The underlying funds that these investmentlinked funds invest in may be exposed to the following risk factors: Eq, FI, B, D. A more focused asset exposure provides good growth potential with the risk of short-term volatility. The underlying funds that these investment-linked funds invest in may be exposed to the following risk factors: Eq, Li, FI, B, Com, EM, D. These aggressive investment-linked funds balance the risk of high volatility with the potential for high capital growth. The underlying funds that these investmentlinked funds invest in may be exposed to the following risk factors: Eq, Li, FI, B, Com, EM, D. 4 Investment-linked Funds

5 Investment-linked Funds: Risk/Reward Profile Grade 1 Investec GS Sterling Money Investec GS US Dollar Money JPMorgan USD Grade 2 Baring International Bond (EUR) Baring International Bond (USD) Fidelity Euro Bond Franklin US Government Invesco Bond Invesco Euro Corporate Bond Investec GS Global Strategic Income JPM Global Capital Preservation (USD) Mellon Global Bond (EUR) Mellon Global Bond (USD) Schroder Global Corporate Bond (EUR) Schroder Global Corporate Bond (USD) Schroder Global Managed Currency (EUR) Schroder Global Managed Currency (USD) Schroder Strategic Bond (EUR) Schroder Strategic Bond (USD) Templeton Global Bond (EUR) Templeton Global Bond (USD) Grade 3 Allianz RCM Oriental Income Baring High Yield Bond Investec GS Global Equity JPM Highbridge Statistical Market Neutral Principal Global Equity Schroder Asian Bond Absolute Return b Templeton Asian Bond (USD) Templeton Global Templeton Global Total Return (EUR) Templeton Global Total Return (USD) Grade 4 Aberdeen Global Asia Pacific Equity Aberdeen Global Chinese Equity Aberdeen Global Technology Allianz RCM Japan Allianz RCM Little Dragons Allianz RCM Total Return Asian Equity Amundi Aqua Global (Amundi Equity Global Aqua effective from 24 June 2011) Baring Asia Growth Baring Australia Baring Hong Kong & China BlackRock Japan Opportunities BlackRock US Flexible Equity BlackRock World Gold BNP Paribas Bond Best Selection World Emerging F&C Global Climate Opportunities Fidelity Euro Blue Chip Fidelity Global Property (EUR) a Fidelity Global Property (USD) a Fidelity Global Telecommunications First State Asian Equity Plus First State Greater China Growth Franklin Mutual European Henderson Horizon Asia-Pacific Property Equities a HSBC Hong Kong Equity Invesco Asia Infrastructure Invesco Asian Equity Invesco Global Health Care Invesco Global Small Cap Equity Invesco Global Technology Invesco UK Equity Investec GS Continental European Equity Investec GS Global Energy Investec GS Global Strategic Equity JF Eastern JF Pacific Securities M&G Global Basics M&G Global Leaders Martin Currie GF Asia-Pacific (EUR) Martin Currie GF Asia-Pacific (USD) Martin Currie GF Global Resources Principal European Equity Schroder Global Climate Change Equity Schroder Global Equity Yield (EUR) Schroder Global Equity Yield (USD) Schroder Global Property Securities (EUR) a Schroder Global Property Securities (USD) a Schroder Japanese Large Cap Schroder US Smaller Companies Value Partners High-Dividend Stocks 7 c Grade 5 Aberdeen Global Emerging Markets Smaller Companies Aberdeen Global Indian Equity Allianz RCM BRIC Equity Allianz RCM Emerging Asia Amundi ASEAN New Markets (Amundi Equity ASEAN effective from 24 June 2011) Baring Eastern Europe Baring Korea Feeder BlackRock New Energy BlackRock World Mining BNP Paribas Equity China DWS Global Agribusiness First State China Growth Henderson Horizon China HSBC Chinese Equity Invesco Emerging Markets Equity JF ASEAN JF Eastern Smaller Companies JF India JF Pacific Technology JF Taiwan JF Thailand Jupiter China Sustainable Growth Man AHL Diversified Futures Ltd 7 Parvest Equity Brazil Schroder Latin American Schroder Middle East Templeton BRIC Templeton Emerging Markets Templeton Latin America Investment-linked Funds Funds 5

6 FPIL s Investment-linked Funds authorized for sale to applicants in Hong Kong The underlying investments of the investment-linked funds are unit trusts authorized by SFC. Such authorization does not imply official recommendation. SFC authorization is not a recommendation or endorsement of a unit trust nor does it guarantee the commercial merits of a unit trust or its performance. It does not mean the unit trust is suitable for all investors nor is it an endorsement of its suitability for any particular investor or class of investors. Please refer to the corresponding prospectuses of the underlying funds, which will be made available by FPIL s Hong Kong office. Aberdeen Global Asia Pacific Equity UNDERLYING FUND NAME: Aberdeen Global Asia Pacific Equity Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: P65 The underlying fund s investment objective is long-term total return to be achieved by investing at least two-thirds of the underlying fund s assets in equities and equity-related securities of companies with their registered office in Asia Pacific countries (excluding Japan); and/or, of companies which have the preponderance of their business activities in Asia Pacific countries (excluding Japan); and/or, of holding companies that have the preponderance of their assets in companies with their registered office in Asia Pacific countries (excluding Japan). CURRENCY: US Dollars LAUNCH DATE: October 2006 Aberdeen Global Chinese Equity UNDERLYING FUND NAME: Aberdeen Global Chinese Equity Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: P33 The underlying fund s investment objective is long-term total return to be achieved by investing at least two-thirds of the underlying fund s assets in equities and equity-related securities of companies with their registered office in China; and/or, of companies which have the preponderance of their business activities in China; and/or, of holding companies that have the preponderance of their assets in companies with their registered office in China. CURRENCY: US Dollars LAUNCH DATE: March 2003 Aberdeen Global Emerging Markets Smaller Companies UNDERLYING FUND NAME: Aberdeen Global Emerging Markets Smaller Companies Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: R11 The underlying fund s investment objective is long-term total return to be achieved by investing at least two-thirds of the underlying fund s assets in equities and equity-related securities of Smaller Companies (defined for the purpose of this underlying fund as companies with a market capitalisation, in the base currency of the underlying fund, as at the date of investment, of under US$2.5 billion) with their registered office in an Emerging Market country; and/or, of Smaller Companies which have the preponderance of their business activities in an Emerging Market country; and/or, of holding companies that have the preponderance of their assets in Smaller Companies with their registered office in an Emerging Market country. CURRENCY: US Dollars LAUNCH DATE: April 2007 Aberdeen Global Indian Equity UNDERLYING FUND NAME: Aberdeen Global Indian Equity Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: P54 The underlying fund s investment objective is long-term total return to be achieved by investing at least two-thirds of the underlying fund s assets in equities and equity-related securities of companies with their registered office in India; and/ or, of companies which have the preponderance of their business activities in India; and/or, of holding companies that have the preponderance of their assets in companies with their registered office in India. CURRENCY: US Dollars LAUNCH DATE: March 2005 Aberdeen Global Technology UNDERLYING FUND NAME: Aberdeen Global Technology Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: J96 The underlying fund s investment objective is long-term total return to be achieved by investing at least two-thirds of the underlying fund s assets in equities and equity-related securities of companies involved in high technology industries; and/or, of companies which have the preponderance of their business activities in high technology industries; and/or, of holding companies that have the preponderance of their assets in companies involved in high technology industries. CURRENCY: US Dollars LAUNCH DATE: March 2000 Allianz RCM BRIC Equity UNDERLYING FUND NAME: Allianz RCM BRIC Equity AT Acc - USD INVESTMENT-LINKED FUND CODE: R62 The investment policy of the underlying fund is geared towards long-term capital growth by investing assets in global emerging equity markets, with the focus on Brazil, Russia, India and China. RISK-REWARD PROFILE: Grade 5 Currency: US Dollars Launch date: March Investment-linked Funds

7 Allianz RCM Emerging Asia UNDERLYING FUND NAME: Allianz RCM Emerging Asia A Dis - USD INVESTMENT-LINKED FUND CODE: J48 The investment objective is to achieve capital appreciation in the long-term. The underlying fund will seek to achieve its investment objective primarily through investment in the equity markets of the developing economies of Asia, within the framework of the investment principles. Currency: US Dollars Launch date: July 1996 Allianz RCM Japan UNDERLYING FUND NAME: Allianz RCM Japan A Dis - USD INVESTMENT-LINKED FUND CODE: R63 To achieve capital appreciation in the long-term. The underlying fund will seek to achieve its investment objective primarily through investment in the equity markets of Japan. CURRENCY: US Dollars LAUNCH DATE: March 2008 Allianz RCM Little Dragons Underlying fund name: Allianz RCM Little Dragons - AT - USD INVESTMENT-LINKED FUND CODE: J08 To provide investors with capital appreciation in the long term. The underlying fund will seek to achieve its investment objective by primarily medium to small cap equity market based investments related to Asian countries excluding Japan. CURRENCY: US Dollars LAUNCH DATE: August 1990 Allianz RCM Oriental Income UNDERLYING FUND NAME: Allianz RCM Oriental Income - AT - USD INVESTMENT-LINKED FUND CODE: P50 The underlying fund seeks to achieve capital growth in the long term by investing assets on equity and fixed income markets of the Asia Pacific region. RISK-REWARD PROFILE: GRADE 3 CURRENCY: US Dollars LAUNCH DATE: March 2005 Allianz RCM Total Return Asian Equity Underlying fund name: Allianz RCM Total Return Asian Equity - AT - USD INVESTMENT-LINKED FUND CODE: R44 The investment policy is geared towards long-term capital growth and income. The underlying fund will seek to achieve its investment objectives primarily through investment in the equity markets in the Republic of Korea, Taiwan, Thailand, Hong Kong, Malaysia, Indonesia, Philippines, Singapore and China or which derive a predominant portion of their revenue and/or profits from these countries. CURRENCY: US Dollars LAUNCH DATE: October 2007 Amundi Aqua Global (Effective from 24 June 2011, the investment-linked fund name will be changed to Amundi Equity Global Aqua.) Underlying fund name: Amundi Funds Aqua Global AE (Effective from 24 June 2011, the underlying fund name will be changed to Amundi Funds - Equity Global Aqua - AE.) INVESTMENT-LINKED FUND CODE: P98 The underlying fund seeks long-term capital growth by investing at least two thirds of the assets in equities of companies active in the water sector. CURRENCY: US Dollars LAUNCH DATE: April 2007 Amundi ASEAN New Markets (Effective from 24 June 2011, the investment-linked fund name will be changed to Amundi Equity ASEAN.) Underlying fund name: Amundi Funds ASEAN New Markets AU (Effective from 24 June 2011, the underlying fund name will be changed to Amundi Funds - Equity ASEAN - AU.) INVESTMENT-LINKED FUND CODE: R17 The underlying fund seeks long-term capital growth by means of investments in companies from ASEAN countries with a special focus on Vietnam (contingent on the development of Vietnam stock markets). CURRENCY: US Dollars LAUNCH DATE: May 2007 Baring Asia Growth UNDERLYING FUND NAME: Baring Asia Growth Fund - USD INVESTMENT-LINKED FUND CODE: J03 To provide long-term capital growth in the value of assets. The underlying fund will hold a diversified portfolio of equity investments in Asia including Hong Kong, India, Indonesia, Korea, Malaysia, the Philippines, Singapore, Taiwan and Thailand. CURRENCY: US Dollars LAUNCH DATE: August 1990 Baring Australia UNDERLYING FUND NAME: Baring Australia Fund - USD INVESTMENT-LINKED FUND CODE: M56 To achieve long-term capital growth in the value of assets. The policy of the underlying fund is to hold a diversified portfolio of quoted or traded equity investments in companies incorporated in Australia. CURRENCY: US Dollars LAUNCH DATE: April 1984 Baring Eastern Europe UNDERLYING FUND NAME: Baring Eastern Europe Fund - USD INVESTMENT-LINKED FUND CODE: P48 To achieve long term capital appreciation through investment in a diversified portfolio of securities of issuers located in or with a significant exposure to the emerging markets of Europe. CURRENCY: US Dollars LAUNCH DATE: December 2004 Investment-linked Funds Funds 7

8 Baring High Yield Bond UNDERLYING FUND NAME: Baring High Yield Bond Fund - USD INVESTMENT-LINKED FUND CODE: J27 To produce a high level of current yield in dollar terms, commensurate with an acceptable level of risk. Any capital appreciation will be incidental. The policy of the underlying fund is to invest in a combination of debt and loan securities (including credit linked securities) of corporations and governments (including any agency of government or central bank) of any member state of the Organisation for Economic Co-operation and Development ( the OECD ) and of any developing or emerging markets. RISK-REWARD PROFILE: GRADE 3 CURRENCY: US Dollars LAUNCH DATE: October 1995 Baring Hong Kong & China UNDERLYING FUND NAME: Baring Hong Kong China Fund - USD INVESTMENT-LINKED FUND CODE: M55 To achieve long-term capital growth in the value of assets. The policy of the underlying fund is to hold a portfolio of quoted or traded equity investments in companies incorporated in Hong Kong or China, or quoted or traded on any Hong Kong or China stock exchange, or in companies that have a significant proportion of their assets or other interests in Hong Kong or China. The Managers may also invest in companies incorporated in Taiwan or quoted on the Taiwan stock exchange. CURRENCY: US Dollars LAUNCH DATE: April 1984 Baring International Bond (EUR) UNDERLYING FUND NAME: Baring International Bond Fund - EUR INVESTMENT-LINKED FUND CODE: P87 To achieve an attractive level of income together with potential long-term growth in the value of assets. The policy of the underlying fund is to hold an internationally diversified portfolio of fixed interest securities. The portfolio may also, from time to time, include securities with floating interest rates. CURRENCY: Euro LAUNCH DATE: March 2007 Baring International Bond (USD) UNDERLYING FUND NAME: Baring International Bond Fund - USD INVESTMENT-LINKED FUND CODE: M57 To achieve an attractive level of income together with potential long-term growth in the value of assets. The policy of the underlying fund is to hold an internationally diversified portfolio of fixed interest securities. The portfolio may also, from time to time, include securities with floating interest rates. CURRENCY: US Dollars LAUNCH DATE: April 1984 Baring Korea Feeder UNDERLYING FUND NAME: Baring - Korea Feeder Fund INVESTMENT-LINKED FUND CODE: J46 The underlying fund is a feeder fund for the Baring Korea Trust. The investment objective of the underlying fund is to achieve longterm capital growth in the value of assets by investing in units of the Baring Korea Trust, an authorised unit trust constituted in the United Kingdom. The investment objective of the Baring Korea Trust is to achieve capital growth by investing directly or indirectly in securities of Korean companies or other entities or subsidiaries of Korean companies and securities listed or traded on the Korean securities market. CURRENCY: US Dollars LAUNCH DATE: July 1996 BlackRock Japan Opportunities UNDERLYING FUND NAME: BlackRock Global Funds - Japan Small & MidCap Opportunities Fund USD - Class A2 INVESTMENT-LINKED FUND CODE: P56 The underlying fund seeks to maximise total return. The underlying fund invests at least 70% of its total assets in the equity securities of small and mid capitalisation companies domiciled in, or exercising the predominant part of their economic activity in, Japan. Small and mid capitalisation companies are considered companies which, at the time of purchase, form the bottom 30% by market capitalisation of Japanese stock markets. CURRENCY: US Dollars LAUNCH DATE: March 2005 BlackRock New Energy UNDERLYING FUND NAME: BlackRock Global Funds - New Energy Fund USD - Class A2 INVESTMENT-LINKED FUND CODE: P69 The underlying fund seeks to maximise total return. The underlying fund invests globally at least 70% of its total assets in the equity securities of new energy companies. New energy companies are those which are engaged in alternative energy and energy technologies including renewable energy, alternative fuels, automotive and on-site power generation, materials technology, energy storage and enabling energy technologies. CURRENCY: US Dollars LAUNCH DATE: October 2006 BlackRock US Flexible Equity UNDERLYING FUND NAME: BlackRock Global Funds - US Flexible Equity Fund - Class A2 INVESTMENT-LINKED FUND CODE: J77 The underlying fund seeks to maximise total return. The underlying fund invests at least 70% of its total assets in the equity securities of companies domiciled in, or exercising the predominant part of their economic activity in, the US. The underlying fund normally invests in securities that, in the opinion of the investment adviser of the underlying fund, exhibit either growth or value investment characteristics, placing an emphasis as the market outlook warrants. CURRENCY: US Dollars LAUNCH DATE: March Investment-linked Funds

9 BlackRock World Gold UNDERLYING FUND NAME: BlackRock Global Funds - World Gold Fund Class - A2 INVESTMENT-LINKED FUND CODE: M82 The underlying fund seeks to maximise total return. The underlying fund invests globally at least 70% of its total assets in the equity securities of companies whose predominant economic activity is gold-mining. It may also invest in the equity securities of companies whose predominant economic activity is other precious metal or mineral and base metal or mineral mining. The underlying fund does not hold physical gold or metal. CURRENCY: US Dollars LAUNCH DATE: October 2003 BlackRock World Mining UNDERLYING FUND NAME: BlackRock Global Funds - World Mining Fund - Class A2 INVESTMENT-LINKED FUND CODE: P70 The underlying fund seeks to maximise total return. The underlying fund invests globally at least 70% of its total assets in the equity securities of mining and metals companies whose predominant economic activity is the production of base metals and industrial minerals such as iron ore and coal. The underlying fund may also hold the equity securities of companies whose predominant economic activity is in gold or other precious metal or mineral mining. The underlying fund does not hold physical gold or metal. CURRENCY: US Dollars LAUNCH DATE: October 2006 BNP Paribas Bond Best Selection World Emerging UNDERLYING FUND NAME: BNP Paribas L1 - Bond Best Selection World Emerging INVESTMENT-LINKED FUND CODE: P97 To increase asset value in the medium term. The underlying fund invests at least 2/3 of its assets in a limited number of bonds and debt securities or other securities issued by emerging countries (Chile, Korea, Hungary, Mexico, Poland, the Slovak Republic, the Czech Republic and Turkey, and the countries that do not belong to OECD) or by companies characterised by a strong financial structure and/or potential for profitable growth that have their registered offices or conduct a majority of their business activities in these countries, as well as in derivative financial instruments on this type of asset. CURRENCY: US Dollars LAUNCH DATE: April 2007 BNP Paribas Equity China UNDERLYING FUND NAME: BNP Paribas L1 - Equity China INVESTMENT-LINKED FUND CODE: P96 To increase asset value in the medium term. The underlying fund invests at least 2/3 of its assets in shares or other securities of companies that have their registered offices or conduct the majority of their business activities in China, Hong Kong or Taiwan and in derivative financial instruments on this type of asset. CURRENCY: US Dollars LAUNCH DATE: April 2007 DWS Global Agribusiness UNDERLYING FUND NAME: DWS Global Agribusiness - A2 share class INVESTMENT-LINKED FUND CODE: R12 The objective of the underlying fund is to gain the greatest possible return on investments. At least 70% of the underlying fund s assets (after deduction of the liquid assets) are invested in equities issued by foreign and domestic issuers operating in or profiting from the agricultural industry. CURRENCY: US Dollars LAUNCH DATE: April 2007 F&C Global Climate Opportunities UNDERLYING FUND NAME: F&C - Global Climate Opportunities - Hong Kong Class A - USD INVESTMENT-LINKED FUND CODE: R49 The investment objective of the underlying fund is to achieve long term capital appreciation by investing at least two thirds of its total assets in equity and equity related securities (excluding convertible bonds and bonds with warrants) of companies, which have activities that fall within any market and part of whose business strategy falls predominately within technologies or strategies such as: Alternative Energy, Energy Efficiency, Sustainable Mobility, Waste, Advanced Materials, Forestry and Agriculture, Water, Acclimatisation and Supporting Services. CURRENCY: US Dollars LAUNCH DATE: March 2008 Fidelity Euro Blue Chip UNDERLYING FUND NAME: Fidelity Funds - Euro Blue Chip Fund - A - Acc - EUR INVESTMENT-LINKED FUND CODE: J84 The underlying fund invests principally in blue chip equities in those countries which are members of the Economic Monetary Union (EMU) and primarily denominated in Euro. CURRENCY: Euro LAUNCH DATE: February 1999 Fidelity Euro Bond UNDERLYING FUND NAME: Fidelity Funds - Euro Bond Fund - A - Acc - EUR INVESTMENT-LINKED FUND CODE: J87 The underlying fund invests primarily in bonds denominated in Euro. CURRENCY: Euro LAUNCH DATE: June 1999 Fidelity Global Property (EUR) a UNDERLYING FUND NAME: Fidelity Funds Global Property Fund A Acc - EUR INVESTMENT-LINKED FUND CODE: P79 The underlying fund aims to achieve a combination of income and long-term capital growth primarily from investments in securities of companies principally engaged in the real estate industry and other real estate related investments. RISK-REWARD PROFILE: Grade 4 Currency: Euro Launch date: March 2007 Investment-linked Funds Funds 9

10 Fidelity Global Property (USD) a UNDERLYING FUND NAME: Fidelity Funds - Global Property Fund A Acc - USD INVESTMENT-LINKED FUND CODE: P78 The underlying fund aims to achieve a combination of income and long-term capital growth primarily from investments in securities of companies principally engaged in the real estate industry and other real estate related investments. RISK-REWARD PROFILE: Grade 4 Currency: US Dollars Launch date: March 2007 Fidelity Global Telecommunications UNDERLYING FUND NAME: Fidelity Funds - Global Telecommunications Fund - A - Acc - EUR INVESTMENT-LINKED FUND CODE: J97 The underlying fund aims to provide investors with long-term capital growth, principally through investment in the equity securities of companies throughout the world which are involved in the development, manufacture or sale of telecommunications services or equipment. CURRENCY: Euro LAUNCH DATE: March 2000 First State Asian Equity Plus UNDERLYING FUND NAME: First State - Asian Equity Plus Fund - Class 1 - Acc INVESTMENT-LINKED FUND CODE: R30 The underlying fund aims to achieve long-term capital growth. The underlying fund invests primarily in securities in the Asia Pacific region (excluding Japan). Such companies will be selected on the basis of their high dividend yields and their potential for long term capital appreciation. CURRENCY: US Dollars LAUNCH DATE: October 2007 First State China Growth UNDERLYING FUND NAME: First State - China Growth Fund - Class 1 - Acc INVESTMENT-LINKED FUND CODE: R51 The underlying fund aims to achieve long-term capital growth. The underlying fund invests primarily in securities issued by companies with either assets in, or revenues derived from the People s Republic of China that are listed, traded or dealt in on Regulated Markets in China, Hong Kong, Taiwan, the U.S. or in a member state of the OECD. RISK-REWARD PROFILE: Grade 5 Currency: US Dollars Launch date: March 2008 First State Greater China Growth UNDERLYING FUND NAME: First State - Greater China Growth Fund - Class 1 - Acc INVESTMENT-LINKED FUND CODE: R31 The underlying fund aims to achieve long-term capital growth. The underlying fund invests primarily in securities issued by companies with either assets in, or revenues derived from, the People s Republic of China, Hong Kong, and Taiwan and which are listed, traded or dealt in on Regulated Markets in the People s Republic of China, Hong Kong, Taiwan, the U.S., Singapore, Korea, Thailand and Malaysia or in a member state of the OECD. CURRENCY: US Dollars LAUNCH DATE: October 2007 Franklin Mutual European UNDERLYING FUND NAME: Franklin Mutual - European Fund A - (acc) - EUR INVESTMENT-LINKED FUND CODE: P51 The underlying fund aims to achieve long-term capital appreciation by investing principally in equity securities of companies incorporated or having their principal activities in European countries that the investment manager of the underlying fund believes are available at prices less than their intrinsic value. CCURRENCY: Euro LAUNCH DATE: March 2005 Franklin US Government UNDERLYING FUND NAME: Franklin - US Government Fund A - (Mdis) - USD INVESTMENT-LINKED FUND CODE: M84 The underlying fund s investment objective is income and safety of principal, which it seeks to achieve primarily through a policy of investing in debt obligations issued or guaranteed by the United States of America government and its agencies. CURRENCY: US Dollars LAUNCH DATE: October 2003 Henderson Horizon Asia-Pacific Property Equities a UNDERLYING FUND NAME: Henderson Horizon Fund Asia-Pacific Property Equities Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: P61 The investment objective of the underlying fund is to seek long-term capital appreciation by investing at least 75% of its total assets in the quoted equities of companies or Real Estate Investment Trusts (or their equivalents) having their registered offices in the Asia-Pacific Region and listed or traded on a regulated market, which derive the predominant part of their revenue from the ownership, management and/or development of real estate in the Asia-Pacific Region. CURRENCY: US Dollars LAUNCH DATE: April Investment-linked Funds

11 Henderson Horizon China UNDERLYING FUND NAME: Henderson Horizon - China Fund - A2 - Acc INVESTMENT-LINKED FUND CODE: R98 The investment objective of the underlying fund is to seek longterm capital appreciation through investment in securities listed primarily in China, Hong Kong and Taiwan. The investment manager of the underlying fund may also invest in companies incorporated elsewhere that have significant assets, business, production, trading activity or other interests in China, Hong Kong or Taiwan. At least two thirds of the total assets of the underlying fund will be invested in (i) companies having their registered office in China, Hong Kong or Taiwan (ii) companies with their registered office outside China, Hong Kong or Taiwan carrying out their business activities predominantly in China, Hong Kong or Taiwan, or (iii) holding companies, the interests of which are predominantly invested in companies with their registered office in China, Hong Kong or Taiwan. CURRENCY: US Dollars LAUNCH DATE: November 2009 HSBC Chinese Equity UNDERLYING FUND NAME: HSBC Global Investment Funds - Chinese Equity - AD - USD INVESTMENT-LINKED FUND CODE: J55 The underlying fund seeks long-term capital growth by investing primarily in a well diversified portfolio of investments in equity and equity equivalent securities of companies which have their registered office in, and with an official listing on a major stock exchange or other regulated market of the People s Republic of China ( China ), including Hong Kong SAR, as well as those companies which carry out a preponderant part of their business activities in China. CURRENCY: US Dollars LAUNCH DATE: January 1997 HSBC Hong Kong Equity UNDERLYING FUND NAME: HSBC Global Investments Funds Hong Kong Equity PD - USD INVESTMENT-LINKED FUND CODE: J56 The underlying fund seeks long-term capital growth by investing primarily in a well diversified portfolio of investments in equity and equity equivalent securities of companies which have their registered office in, and with an official listing on a major stock exchange or other regulated market of Hong Kong SAR as well as those companies which carry out a preponderant part of their business activities in Hong Kong SAR. CURRENCY: US Dollars LAUNCH DATE: January 1997 Invesco Asia Infrastructure UNDERLYING FUND NAME: Invesco Asia Infrastructure Fund A - Acc INVESTMENT-LINKED FUND CODE: R25 The underlying fund aims to achieve long-term capital growth from investments in a diversified portfolio of Asian securities of issuers which are predominantly engaged in infrastructure activities. CURRENCY: US Dollars LAUNCH DATE: May 2007 Invesco Asian Equity UNDERLYING FUND NAME: Invesco Asian Equity Fund C - Dis INVESTMENT-LINKED FUND CODE: J02 The objective of the underlying fund is to achieve long-term capital growth by investing in securities of Asian companies. It will invest mainly in shares of companies quoted on Asia s smaller stock markets. CURRENCY: US Dollars LAUNCH DATE: August 1990 Invesco Bond UNDERLYING FUND NAME: Invesco Bond Fund C - Dis INVESTMENT-LINKED FUND CODE: J01 The objective of the underlying fund is to achieve long-term returns through investment in fixed interest and floating rate securities while maintaining a high income yield. CURRENCY: US Dollars LAUNCH DATE: August 1990 Invesco Emerging Markets Equity UNDERLYING FUND NAME: Invesco Emerging Markets Equity Fund C - Dis INVESTMENT-LINKED FUND CODE: J38 The objective of the underlying Fund is to achieve long-term capital growth through investment in companies in emerging markets. For the purposes of the underlying fund, the Manager has defined the emerging markets as all the countries in the world other than all Western European countries (other than Greece and Turkey), the USA, Canada, Japan, Australia and New Zealand. Investments may be made by the fund manager of the underlying fund in Hong Kong reflecting its inextricable link with mainland China and its leverage to this country s growth. CURRENCY: US Dollars LAUNCH DATE: October 1995 Invesco Euro Corporate Bond UNDERLYING FUND NAME: Invesco Euro Corporate Bond Fund A - Acc INVESTMENT-LINKED FUND CODE: P74 The underlying fund is invested to achieve, in the medium to long term, a competitive overall investment return in Euros with relative security of capital in comparison to equities. RISK-REWARD PROFILE: Grade 2 Currency: Euro Launch date: March 2007 Invesco Global Health Care UNDERLYING FUND NAME: Invesco Global Health Care Fund C - Dis INVESTMENT-LINKED FUND CODE: J57 The objective of the underlying fund is to achieve long-term capital growth by investing in healthcare companies throughout the world. The underlying fund manager will invest principally in four different sectors of the healthcare market, these being pharmaceuticals, biotechnology, healthcare services and medical technology and supplies. CURRENCY: US Dollars LAUNCH DATE: January 1997 Investment-linked Funds Funds 11

12 Invesco Global Small Cap Equity UNDERLYING FUND NAME: Invesco Global Small Cap Equity Fund C - Dis INVESTMENT-LINKED FUND CODE: M87 The objective of the underlying fund is to achieve long-term capital growth through a portfolio of investments in international securities. The investment adviser of the underlying fund intends to invest primarily in equity and equity related securities of smaller companies, which are quoted on the world s stock markets. CURRENCY: US Dollars LAUNCH DATE: April 1986 Invesco Global Technology UNDERLYING FUND NAME: Invesco Global Technology Fund C - Dis INVESTMENT-LINKED FUND CODE: J58 The objective of the underlying fund is to achieve long-term capital growth by investing in technology companies throughout the world. For the purposes of the underlying fund, a technology company is one which operates in fields such as information processing (including computer systems, software development, communication systems and instrumentation development), telecommunications, information services, internet related technology and services, medical and healthcare technology and general electronics. CURRENCY: US Dollars LAUNCH DATE: January 1997 Invesco UK Equity UNDERLYING FUND NAME: Invesco - UK Equity Fund C - Dis INVESTMENT-LINKED FUND CODE: J73 The objective of the underlying fund is to achieve capital growth by investing in securities of UK companies. CURRENCY: US Dollars LAUNCH DATE: August 1997 Investec GS Continental European Equity UNDERLYING FUND NAME: Investec Global Strategy Fund - Continental European Equity Fund - A - Acc - USD INVESTMENT-LINKED FUND CODE: J36 The underlying fund aims to achieve capital growth by investing mainly in continental European-quoted equity instruments of companies domiciled in, or established in another country but carrying out their business activities predominantly in, continental Europe, including those of France, Germany, Spain, Italy and Switzerland. CURRENCY: US Dollars LAUNCH DATE: October Investment-linked Funds Investec GS Global Energy UNDERLYING FUND NAME: Investec Global Strategy Fund - Global Energy Fund - A - Acc - USD INVESTMENT-LINKED FUND CODE: P47 The underlying fund aims to achieve capital growth by investing in the equity instruments of internationally quoted companies throughout the world involved in the exploration, production or distribution of oil, gas and other energy sources. In addition, investments may also be made in companies which service the energy industry. CURRENCY: US Dollars LAUNCH DATE: December 2004 Investec GS Global Equity UNDERLYING FUND NAME: Investec Global Strategy Fund - Global Equity Fund - A - Acc - USD INVESTMENT-LINKED FUND CODE: J06 The underlying fund aims to achieve capital growth by primarily investing in shares of companies on a global basis. RISK-REWARD PROFILE: GRADE 3 CURRENCY: US Dollars LAUNCH DATE: August 1990 Investec GS Global Strategic Equity UNDERLYING FUND NAME: Investec Global Strategy Fund - Global Strategic Equity Fund - A - Acc - USD INVESTMENT-LINKED FUND CODE: J74 The underlying fund aims to provide long-term capital growth primarily through investment in equities of listed companies from around the world, which are expected to enhance underlying profitability and shareholder value through operational or structural improvements to their businesses. CURRENCY: US Dollars LAUNCH DATE: August 1997 Investec GS Global Strategic Income UNDERLYING FUND NAME: Investec Global Strategy Fund - Global Strategic Income Fund - A - Acc - USD INVESTMENT-LINKED FUND CODE: J43 The underlying fund has, as its primary objective, the generation of a high level of current income by means of investment in high yielding fixed and floating rate securities of varying maturities denominated in a spread of the world s major and minor traded currencies. CURRENCY: US Dollars LAUNCH DATE: February 1996 Investec GS Sterling Money UNDERLYING FUND NAME: Investec Global Strategy Fund Sterling Money Fund - A INVESTMENT-LINKED FUND CODE: M65 The underlying fund aims to give holders of the relevant Shares access to income at wholesale Eurocurrency market interest rates in Sterling. Effective from 1 July 2011, the underlying fund objective will be changed to The underlying fund aims to give holders of the relevant Shares access to income at wholesale Eurocurrency market interest rates in Sterling. This underlying fund is a short term money market fund and while the underlying fund aims to preserve capital, this is not guaranteed. RISK-REWARD PROFILE: GRADE 1 CURRENCY: Sterling LAUNCH DATE: February 1987

13 Investec GS US Dollar Money UNDERLYING FUND NAME: Investec Global Strategy Fund US Dollar Money Fund - A INVESTMENT-LINKED FUND CODE: M66 The underlying fund aims to give holders of the relevant Shares access to income at wholesale Eurocurrency market interest rates in US Dollars. Effective from 1 July 2011, the underlying fund objective will be changed to The underlying fund aims to give holders of the relevant Shares access to income at wholesale Euromoney market interest rates in US Dollars. This underlying fund is a short term money market fund and while the underlying fund aims to preserve capital, this is not guaranteed. RISK-REWARD PROFILE: GRADE 1 CURRENCY: US Dollars LAUNCH DATE: February 1987 JF ASEAN UNDERLYING FUND NAME: JF ASEAN Fund INVESTMENT-LINKED FUND CODE: R08 The underlying fund aims to provide long-term capital growth by investing primarily in companies of countries which are members of the Association of South East Asian Nations (ASEAN). CURRENCY: US Dollars LAUNCH DATE: April 2007 JF Eastern UNDERLYING FUND NAME: JF Eastern Fund INVESTMENT-LINKED FUND CODE: J34 The investment policy of the underlying fund is to provide investors with long term capital growth by investing primarily in the securities of companies in the Asia-Pacific region, excluding Japan and Australia. CURRENCY: US Dollars LAUNCH DATE: October 1995 JF Eastern Smaller Companies UNDERLYING FUND NAME: JF Eastern Smaller Companies Fund INVESTMENT-LINKED FUND CODE: P66 The investment policy of the underlying fund is to provide investors with long term capital growth by investing primarily in the securities of small to medium sized companies in the Asia-Pacific region, excluding Japan and Australia. CURRENCY: US Dollars LAUNCH DATE: October 2006 JF India UNDERLYING FUND NAME: JF India Fund INVESTMENT-LINKED FUND CODE: J30 The investment policy of the underlying fund is to provide investors with long-term capital growth through a portfolio consisting primarily of securities linked to the Indian economy. These include, but are not restricted to, securities traded on the stock exchanges of India and the rest of the Indian sub-continent including Pakistan, Bangladesh and Sri Lanka. CURRENCY: US Dollars LAUNCH DATE: December 1993 JF Pacific Securities UNDERLYING FUND NAME: JF Pacific Securities Fund INVESTMENT-LINKED FUND CODE: J32 The investment policy of the underlying fund is to provide investors with long term capital growth by investing primarily in the securities of companies in the Asia-Pacific region, including Japan, Australia and New Zealand. CURRENCY: US Dollars LAUNCH DATE: April 1994 JF Pacific Technology UNDERLYING FUND NAME: JF Pacific Technology Fund INVESTMENT-LINKED FUND CODE: J95 The investment policy of the underlying fund is to provide long-term capital growth through a portfolio consisting primarily of securities of technology companies in the Pacific region, including Japan. CURRENCY: US Dollars LAUNCH DATE: March 2000 JF Taiwan UNDERLYING FUND NAME: JPMorgan Funds JF Taiwan - A - (acc) INVESTMENT-LINKED FUND CODE: R09 The investment policy of the underlying fund is to provide long-term capital growth by investing primarily in Taiwanese companies. CURRENCY: US Dollars LAUNCH DATE: April 2007 JF Thailand UNDERLYING FUND NAME: JF Thailand Fund INVESTMENT-LINKED FUND CODE: J47 The investment policy of the underlying fund is to provide investors with long-term capital appreciation through a portfolio consisting primarily of securities of companies based or operating principally, in Thailand. CURRENCY: US Dollars LAUNCH DATE: July 1996 JPM Global Capital Preservation (USD) UNDERLYING FUND NAME: JPMorgan Investment Funds Global Capital Preservation Fund A - (Acc) - USD INVESTMENT-LINKED FUND CODE: R89 The investment objective of the underlying fund is to achieve, over a medium-term horizon (2 to 3 years), a return in excess of its cash benchmark from a portfolio of securities, globally, using derivative strategies where appropriate. CURRENCY: US Dollars LAUNCH DATE: August 2009 Investment-linked Funds Funds 13