SYNCHRONY (LU) FUNDS Mutual investment fund (fonds commun de placement) incorporated under Luxembourg law with multiple sub-funds

Transcription

1 Annual Report including the audited financial statements SYNCHRONY (LU) FUNDS Mutual investment fund (fonds commun de placement) incorporated under Luxembourg law with multiple sub-funds R.C.S. (Trade & Companies Registry) Luxembourg K935 Management company: GERIFONDS (Luxembourg) SA R.C.S. (Trade & Companies Registry) Luxembourg B

2 This report is an information document for unitholders. Subscriptions may only be accepted on the basis of the current issuing prospectus and key investor information document (KIID) accompanied by the latest annual report or semi-annual report if more recent. These documents will be sent free-of-charge to any person who requests them from the registered office of the Management Company. 43, Boulevard Prince Henri, L LUXEMBOURG.

3 SYNCHRONY (LU) FUNDS Contents Organisation... 3 General information... 5 Information on distribution of the Fund in Switzerland... 7 Report of the approved auditor...10 Consolidated statement of assets...13 Consolidated statement of operations and other changes in net assets...14 Synchrony (LU) World Bonds (CHF)...15 Statement of assets...15 Statement of operations and other changes in net assets...16 Statistics...17 Statement of securities portfolio and other net assets...18 Economic and geographic breakdown of securities portfolio...20 Synchrony (LU) World Bonds (EUR)...21 Statement of assets...21 Statement of operations and other changes in net assets...22 Statistics...23 Statement of securities portfolio and other net assets...24 Economic and geographic breakdown of securities portfolio...26 Synchrony (LU) World Bonds (USD)...27 Statement of assets...27 Statement of operations and other changes in net assets...28 Statistics...29 Statement of securities portfolio and other net assets...30 Economic and geographic breakdown of securities portfolio...32 Synchrony (LU) Balanced (EUR)...33 Statement of assets...33 Statement of operations and other changes in net assets...34 Statistics...35 Statement of securities portfolio and other net assets...36 Economic and geographic breakdown of securities portfolio...37 Synchrony (LU) Dynamic (EUR)...38 Statement of assets...38 Statement of operations and other changes in net assets...39 Statistics...40 Statement of securities portfolio and other net assets...41 Economic and geographic breakdown of securities portfolio...42 Synchrony (LU) World Equity (EUR)...43 Statement of assets...43 Statement of operations and other changes in net assets...44 Statistics...45 Statement of securities portfolio and other net assets...46 Economic and geographic breakdown of securities portfolio...47 Synchrony (LU) European Equity (EUR)...48 Statement of assets...48 Statement of operations and other changes in net assets...49 Statistics...50 Statement of securities portfolio and other net assets...51 Economic and geographic breakdown of securities portfolio...52 Synchrony (LU) Liquoptimum (CHF)...53 Statement of assets

4 SYNCHRONY (LU) FUNDS Contents (continued) Statement of operations and other changes in net assets...54 Statistics...55 Statement of securities portfolio and other net assets...56 Economic and geographic breakdown of securities portfolio...57 Synchrony (LU) Liquoptimum (EUR)...58 Statement of assets...58 Statement of operations and other changes in net assets...59 Statistics...60 Statement of securities portfolio and other net assets...61 Economic and geographic breakdown of securities portfolio...63 Synchrony (LU) Liquoptimum (USD)...64 Statement of assets...64 Statement of operations and other changes in net assets...65 Statistics...66 Statement of securities portfolio and other net assets...67 Economic and geographic breakdown of securities portfolio...69 Synchrony (LU) Swiss All Caps (CHF)...70 Statement of assets...70 Statement of operations and other changes in net assets...71 Statistics...72 Statement of securities portfolio and other net assets...73 Economic and geographic breakdown of securities portfolio...74 Synchrony (LU) Swiss Small & Mid Caps (CHF)...75 Statement of assets...75 Statement of operations and other changes in net assets...76 Statistics...77 Statement of securities portfolio and other net assets...78 Economic and geographic breakdown of securities portfolio...79 Synchrony (LU) High Dividend Europe Stocks...80 Statement of assets...80 Statement of operations and other changes in net assets...81 Statistics...82 Statement of securities portfolio and other net assets...83 Economic and geographic breakdown of securities portfolio...84 Synchrony (LU) High Dividend US Stocks...85 Statement of assets...85 Statement of operations and other changes in net assets...86 Statistics...87 Statement of securities portfolio and other net assets...88 Economic and geographic breakdown of securities portfolio...89 Synchrony (LU) Silk Road Zone Stocks...90 Statement of assets...90 Statement of operations and other changes in net assets...91 Statistics...92 Statement of securities portfolio and other net assets...93 Economic and geographic breakdown of securities portfolio...94 Notes to the financial statements...95 Additional information (unaudited) Information and documentation

5 SYNCHRONY (LU) FUNDS Organisation Management company: GERIFONDS (Luxembourg) SA 43, Boulevard Prince Henri L-1724 LUXEMBOURG (since 1 July 2017) 16, Rue Jean-Pierre Brasseur L-1258 Luxembourg (until 30 June 2017) Board of Directors of the management company Chairman Vice-Chairman Directors Christian Carron Director GERIFONDS SA Rue du Maupas 2 CH-1004 Lausanne Nicolas Biffiger Deputy director GERIFONDS SA Rue du Maupas 2 CH-1004 Lausanne Marc Aellen Deputy director BANQUE CANTONALE VAUDOISE Place St François 14 CH-1003 Lausanne Nicolaus P. Bocklandt Independent Director 6B, Route de Trèves L-2633 Luxembourg Bertrand Gillabert Deputy CEO GERIFONDS SA Rue du Maupas 2 CH-1004 Lausanne Directors of the Management Company Brahim Belhadj Benoît Paquay Daniel Pyc Investment manager BANQUE CANTONALE DE GENÈVE Quai de l Ile 17 CH-1204 Geneva Custodian and Administrative agent Banque et Caisse d Epargne de l Etat, Luxembourg 1, Place de Metz L-2954 Luxembourg 3

6 SYNCHRONY (LU) FUNDS Organisation (continued) Central Administration Transfer agent and registrar EUROPEAN FUND ADMINISTRATION S.A. Sub-delegated by Banque et Caisse d Epargne DE L ETAT, LUXEMBOURG 2, Rue d Alsace L-1122 Luxembourg Approved Audit Firm KPMG Luxembourg, Cooperative 39, Avenue John F. Kennedy L-1855 LUXEMBOURG Representative of the Fund in Switzerland GERIFONDS SA, Lausanne Rue du Maupas 2 CH-1004 Lausanne Fund paying agent Banque Cantonale Vaudoise in Switzerland Place Saint-François 14 CH-1003 Lausanne Distributor BANQUE CANTONALE DE GENÈVE, GENEVA (for Switzerland) Quai de l Ile 17 CH-1204 Geneva Correspondent and Representative of the Fund in France Société Générale Securities Services 29, Boulevard Haussmann F PARIS Representative of the Fund in Tressis, sociedad de valores, S.A. Spain Jorge Manrique 12 E MADRID 4

7 SYNCHRONY (LU) FUNDS General information SYNCHRONY(LU) FUNDS (the Fund ) is an open-ended Mutual Investment Fund (Fonds Commun de Placement) incorporated under Luxembourg law which invests its assets in transferable securities. The Fund was established in accordance with management regulations signed at the outset in Luxembourg on 12 November There are no limitations on the Fund s duration or size. The Fund s assets are managed for the account and in the exclusive interests of the unitholders by the Management Company GERIFONDS (Luxembourg) SA. SYNCHRONY(LU) FUNDS, as a Mutual Investment Fund governed by Part I of the amended Law of 17 December 2010 concerning undertakings for collective investment, does not have legal personality and is established in accordance with Directive 2009/65/EC as last amended. Its assets are the undivided joint property of the shareholders and are segregated from the assets of the management company, GERIFONDS (Luxembourg) SA. The Management Company was established on 15 March 2000 in the form of a joint stock company under Luxembourg law. Its fully paid-up share capital totals EUR 130,000 (one hundred and thirty thousand euros). The articles of association of the Management Company were amended for the last time on 28 May 2014 and published in the Mémorial, the Official Gazette of the Grand Duchy of Luxembourg, on 14 August All amendments to the management regulations are published in the Mémorial, the Official Gazette of the Grand Duchy of Luxembourg, and on the electronic platform In the event of a fundamental change, a notice to unitholders is published in the "Luxemburger Wort" and unitholders can consult the text of any changes at the registered offices of the custodian and of the Management Company as well as by contacting distributors and the representative in Switzerland. The accounts of the Fund are closed on 31 December of each year. The Fund publishes an annual report audited by the approved auditor at the end of each year ended 31 December, and an unaudited semi-annual report at the end of each half year. The prospectus, key investor information document (KIID) and management regulations along with the annual and semi-annual reports can be obtained free-of-charge from the Fund's Management Company, custodian, distributors and paying agents as well as from the representative in Switzerland. At the date of the financial statements, the Management Company managed the following undertakings for collective investment: - BCV FUND (LUX) - BCVs / WKB (LU) FUNDS - BPSA FONDS LUX - CRONOS FUNDS (LUX) - PIGUET GLOBAL FUND - PIGUET INTERNATIONAL FUND - PIGUET STRATEGIES - SYNCHRONY (LU) FUNDS SYNCHRONY (LU) FUNDS is a fund with multiple sub-funds ("umbrella fund") and, at the date of the financial statements, has fifteen sub-funds open for subscription: - Synchrony (LU) World Bonds (CHF) expressed in CHF - Synchrony (LU) World Bonds (EUR) expressed in EUR - Synchrony (LU) World Bonds (USD) (launched on 15 June 201 expressed in USD - Synchrony (LU) Balanced (EUR) expressed in EUR - Synchrony (LU) Dynamic (EUR) expressed in EUR - Synchrony (LU) World Equity (EUR) expressed in EUR - Synchrony (LU) European Equity (EUR) expressed in EUR - Synchrony (LU) Liquoptimum (CHF) expressed in CHF 5

8 SYNCHRONY (LU) FUNDS General information (continued) - Synchrony (LU) Liquoptimum (EUR) expressed in EUR - Synchrony (LU) Liquoptimum (USD) expressed in USD - Synchrony (LU) Swiss All Caps (CHF) expressed in CHF (launched on 15 June 2017) - Synchrony (LU) Swiss Small & Mid Caps (CHF) expressed in CHF (launched on 15 June 2017) - Synchrony (LU) High Dividend Europe Stocks expressed in EUR (launched on 15 June 2017) - Synchrony (LU) High Dividend US Stocks expressed in USD (launched on 15 June 2017) - Synchrony (LU) Silk Road Zone Stocks expressed in USD (launched on 15 September 2017) The Board of Directors decided to change the name of the following sub-funds with effect from 1 July 2017: Old name Synchrony (LU) Bonds (CHF) Synchrony (LU) Bonds (EUR) New name Synchrony (LU) World Bonds (CHF) Synchrony (LU) World Bonds (EUR) The Management Company only issues capitalisation units for each sub-fund and for which there are several unit classes that may be issued: - Class A: open to all investors, - Class I: reserved for institutional investors as well as for subscriptions in connection with a written management mandate controlled by the Banque Cantonale de Genève. As at the date of the financial statements, the following unit classes were no longer being offered to investors: Sub-fund Currency of the sub-fund Synchrony (LU) World Bonds (USD) USD A USD (launched on 15 June 2017) Synchrony (LU) Dynamic (EUR) EUR I EUR Synchrony (LU) World Equity (EUR) EUR I EUR Synchrony (LU) European Equity (EUR) EUR I EUR Synchrony (LU) Liquoptimum (CHF) CHF A CHF Synchrony (LU) Liquoptimum (EUR) EUR A EUR Synchrony (LU) Liquoptimum (USD) USD A USD Synchrony (LU) High Dividend US Stocks USD I USD (launched on 15 June 2017) Synchrony (LU) Silk Road Zone Stocks (launched on 15 September 2017) USD I USD The net asset value (NAV) is calculated every banking business day ( valuation day ) and dated the banking business day preceding the valuation day ( NAV date ). A banking business day is every business day in Luxembourg, with the exception of legal and bank holidays as well as 2 January, 1 August, Jeûne Genevois, 24 December (morning) and 31 December. Unit 6

9 SYNCHRONY (LU) FUNDS Information on the distribution of the Fund in Switzerland a) Representative The fund s representative in Switzerland is GERIFONDS SA, 2 Rue du Maupas, CH-1004 Lausanne. b) Paying Agent The Fund s paying agent in Switzerland is Banque Cantonale Vaudoise ("BCV"), Place Saint-François 14, CH-1003 Lausanne. c) Place of distribution of corporate literature The prospectus and the key investor information documents (KIID), the management regulations, and the annual and semi-annual reports may be obtained free-of-charge from the representative in Switzerland. d) Publications Publications relating to the Fund are posted, in Switzerland, on the electronic platform The issue and redemption prices and/or the net asset value, with the notice "excluding commissions", of all unit classes are published for each issue and redemption on the electronic platform The prices of the sub-funds are published daily. e) Payment of trailer fees and discounts The Management Company and its agents may pay trailer fees as compensation for the distribution of the Fund's units in Switzerland or from Switzerland. This compensation is used to pay for the following services: - providing its sales force and the process for the subscription of units in the Fund, - providing investors with the documentation relating to the Fund, - enforcing the requirement to list the investor's needs and the anti-money laundering regulation, - handling investors' requests or complaints, - implementing the duty of providing information on costs and remuneration associated with the Fund, - control and monitoring of any sub-distributors, - training measures for customer advisors. The trailer fees are not considered discounts, even if they are ultimately fully or partially paid out to investors. The beneficiaries of the trailer fees guarantee transparent publication and inform investors voluntarily and free-of-charge about the amount of compensation they could receive for distribution. Upon request, they communicate the amounts actually received for the distribution of the Fund to investors. The Management Company and its agents do not pay any discounts charged to the Fund for distribution in Switzerland or from Switzerland to reduce fees and expenses charged to investors. f) Place of execution and jurisdiction The place of execution and jurisdiction is the registered office of the representative for the Fund units distributed in Switzerland or from Switzerland. 7

10 SYNCHRONY (LU) FUNDS Operational Report of the Management Company Look back After a few atypical financial years dominated by the political events of 2016, the exchange rates of 2015 and even the liquidity crisis of 2014, the economy is rebalancing in 2017 both due to the stabilisation of prices and the synchronisation in business growth. All regions, sectors and economic players have benefited from this. And, when we announced last year that, the springboard launched by central banks would support strong growth which would rest mainly on businesses and their productivity resulting from innovation and investments in technology, we were forecasting the main engine for growth in In fact, this growth has been characterised by the return of investments in technological hardware (in particular semi-conductors) augmented by an acceleration in profitability. However, these tangible expenses favour a productive process (aimed at the optimal balance of quantity and quality) which feeds the profit margin and sets off a virtuous circle. The financial markets showed their appreciation of business in 2017 by recording exceptional performances: over 40% in some emerging stock markets, almost 20% in most of the developed markets (with Europe a little bit behind). The performance was not just exceptional in most regions but it was mostly recorded by the technology sector, in particular in the American and Asia-Pacific markets who are the undisputed leaders in semi-conductors. Against this background it was difficult for the other asset classes to approach these records even though corporate bonds did also achieve good performances in the face of government debt which was struggling with the continued normalisation of the US and a Europe restricted by negative interest rates. The synchronisation of economic activity and the corresponding stock market performance from 2017 will continue. In 2018, the investment cycle may continue for a few quarters without any tightness appearing. The cycle remains supported by relatively attractive financial conditions, improving profitability and opportunities, in particular in exports, augmented by a synchronised global cycle. The individual is benefiting from a dynamic employment market in most regions, with close to full employment in some regions. The realisation of growth in 2017 augmented job creation and reduced the unemployment rate pushing the US, Switzerland and Germany close to full employment. In the OECD, the increase in participation by those over 50 and women has helped job creation. These new players in a labour market with full employment has justified moderating salaries somewhat and there are weak inflation expectations. In this context, we do not expect much movement in interest rates: steady progress towards normalisation in the US and, in Europe, long-term rates will remain under the restriction of redemption by the ECB. The question of inflation will continue to be raised throughout the year even if demography and productivity gains may limit any runaway increases in salaries, which are the main source of inflation. With the conclusion of the currency war amongst the various liquidity policies, the central banks will be able to focus more on price and currency stability. It should be noted that the increasing normalisation of the economic and financial environment in Europe has enabled the euro to surmount political risks and extend more strongly towards its fundamental value. This movement may continue but it will be delayed by the monetary policy of the European Central Bank. 8

11 SYNCHRONY (LU) FUNDS Operational Report of the Management Company (continued) It is difficult to define a macro obstacle which is likely to stop the momentum in 2018: there is no imminent end to the cycle, nor is there any inflationary boom in sight, nor is there even any sign of an early increase in interest rates or a squeeze on liquidity may start to go up again in this steady upwards trend, without accelerating, but it would become a source for added value creation for businesses. We do not consider that either the weak volatility or the increased recovery of the stock markets will be sufficient to initiate major corrections in financial assets. Weak volatility and an increased recovery relies on balanced economic conditions and, in particular, on very favourable financing conditions, both in the banks doing the financing and in the capital markets. The monetary policies of the Fed and the ECB for 2018 should only change these conditions slightly. In regard to currencies, which are a source of financial volatility, there would need to be a major external geopolitical event which causes an accident which has a major effect on currencies or oil prices. The stock markets will continue, even at a more moderate rate, to be augmented by business profitability. In the absence of any predictable shock, for 2018 the allocation remains in favour of the creation of added value by businesses, in particular those which have production-oriented investment. Luxembourg, 30 January 2018 Board of Directors of the Management Company Note: The information in this report is provided for reference purposes on the basis of historical information and is not indicative of future performance. 9

12 KPMG Luxembourg, Cooperative 39, Avenue John F. Kennedy L-1855 Luxembourg Tel.: Fax: info@kpmg.lu Website: Report of the approved auditor To Unitholders of SYNCHRONY (LU) FUNDS Opinion We audited the financial statements of SYNCHRONY (LU) FUNDS and of each sub-fund (the "Fund"), including the statement of assets, the statement of securities portfolio and other net assets as of 31 December 2017, as well as the statement of operations and other changes in net assets for the financial year ended at that date, and the notes on the financial statements, including a summary of the key accounting policies. In our view, the accompanying financial statements give a true and fair view of the financial position of SYNCHRONY (LU) FUNDS and of each sub-fund as of 31 December 2017, as well as of their operating results and changes in net assets for the financial year then ended, in accordance with legal obligations and regulations in effect in Luxembourg governing the preparation and presentation of financial statements. Basis for the opinion We performed our audit in accordance with the law of 23 July 2016 concerning the audit profession (the "Law of 23 July 2016") and the International Audit Standards ("ISA") as adopted for Luxembourg by the Commission de Surveillance du Secteur Financier ("CSSF"). Our responsibilities under this law and standards are more broadly described in the section "Responsibilities of the approved auditor for the audit of the financial statements" in this report. We are also independent from the Fund in accordance with the Code of Ethics for Accountants from the International Ethics Standards Board for Accountants (the "IESBA Code") as adopted for Luxembourg by the CSSF as well as the ethics rules applicable to the auditing of financial statements; and we have complied with our other responsibilities under these regulations. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Other information The Board of Directors of the Management Company is responsible for other information. Other information is composed of information in the annual report, but does not include the financial statements and the report of our approved auditor on these financial statements. Our opinion of the financial statements does not apply to other information and we do not provide any guarantee as to this information. KPMG Luxembourg, Cooperative, a Luxembourg entity and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity. VAT no. LU R.C.S. Luxembourg B

13 Report of the approved auditor (continued) As for our audit of the financial statements, our role is to examine the other information and to determine whether there are any material differences between it and the financial statements or the information we acquired during the audit, or if the other information contains a material misstatement. If after doing so we conclude that there is a material misstatement in the other information, we are responsible for reporting this. We have nothing to report in this respect. Responsibilities of the Board of Directors of the Management Company The Board of Directors of the Management Company is responsible for the preparation and fair presentation of these financial statements, in accordance with the current laws and regulations governing the preparation and presentation of financial statements in Luxembourg as well as the internal controls it feels are necessary to enable the preparation of financial statements that are free of material misstatements, whether due to fraud or error. At the time of the preparation of the financial statements, it is the responsibility of the Board of Directors of the Management Company to assess the capacity of the Fund to continue its operations and to communicate, if necessary, any questions concerning the continuity of the operations and apply the going concern accounting principle, unless the Board of Directors of the Management Company intends to liquidate the Fund or cease trading, or if no other realistic solution is available. Responsibilities of the approved auditor for the audit of financial statements Our objectives are to obtain reasonable assurance that the financial statements as a whole are free from material misstatements arising from fraud or error, and to provide an approved auditor s report containing our opinion. Reasonable assurance is a high level of assurance which nevertheless does not guarantee that an audit carried out in accordance with the Law of 23 July 2016 and the ISA as adopted for Luxembourg by the CSSF is always able to detect any material misstatement which may exist. Misstatements may come from fraud or error and are considered to be material if, either individually or in the aggregate, it can be reasonably concluded that they influence the economic decisions made by users based on the financial statements. When conducting an audit carried out in accordance with the Law of 23 July 2016 and the ISA as adopted for Luxembourg by the CSSF, we exercise our professional judgment and take a critical approach throughout this audit. We also: Identify and assess the risk of material misstatements in the financial statements, whether due to fraud or error, design and perform audit procedures in response to those risks, and obtain sufficient and adequate audit evidence to provide a basis for our opinion. The risk of failing to detect a material misstatement arising from fraud is higher than the risk of failing to detect a material misstatement resulting from an error, because fraud may involve collusion, forgery, intentional omissions, misrepresentations, or overriding of internal controls. Obtain an understanding of internal controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund s internal controls. Evaluate the appropriateness of the accounting policies applied and the reasonableness of the accounting estimates made by the Board of Directors of the Management Company, along with an assessment of the financial statements they have provided. Conclude on the appropriateness of the use by the Board of Directors of the Management Company of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Fund s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor s report to the related 11

14 Report of the approved auditor (continued) disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor s report. However, future events or conditions may cause the Fund to cease to continue as a going concern. We evaluate the overall presentation, structure and content of the financial statements, including the disclosures provided in the notes, and whether the financial statements represent the underlying transactions and events properly so as to achieve a fair presentation. We communicate to those responsible for the government of the organisation, the scope and timing for the audit and our significant findings, as well as any significant internal control deficiency identified during the course of our audit. Luxembourg, 13 April 2018 KPMG Luxembourg, Cooperative Approved Audit Firm S. Smets 12

15 SYNCHRONY (LU) FUNDS Consolidated statement of assets (in EUR) Assets Investment portfolio at valuation value 424,358, Bank balances 14,645, Receivables from sales of securities 319, Receivables for the issue of units 532, Income receivable on the securities portfolio 2,654, Total assets 442,510, Liabilities Payables for the purchase of securities 426, Payables for the redemption of units 214, Payable fees 191, Total liabilities 832, Net assets at the end of the financial year 441,678,

16 SYNCHRONY (LU) FUNDS Consolidated statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Dividends, net 116, Interest on bonds and other securities, net 5,301, Bank interest 16, Other commissions received 7, Total income 5,442, Expenses Management Company fees 1,839, Transaction fees 92, Other administration costs 1, Subscription tax 13, Bank interest paid 69, Total expenses 2,016, Net investment income 3,426, Net realised gain/(loss) - on securities portfolio -1,523, on forward exchange contracts on currencies -70, Realised result 1,831, Net change in unrealised gains/(losses) - on investment portfolio 1,072, Results of operations 2,904, Issues 154,278, Redemptions ,80 Total changes in net assets 109,199, Total net assets at the start of the financial year 348,624, Revaluation difference -16,144, Total net assets at the end of the financial year 441,678,

17 Synchrony (LU) World Bonds (CHF) Statement of assets (in CHF) Assets Investment portfolio at valuation value 202,187, Bank balances 2,908, Receivables for the issue of units 114, Income receivable on the securities portfolio 852, Total assets 206,062, Liabilities Payables for the redemption of units 86, Payable fees 70, Total liabilities 157, Net assets at the end of the financial year 205,905, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in CHF) A 12, CHF ,286, I 2,011, CHF ,619, ,905,

18 Synchrony (LU) World Bonds (CHF) Statement of operations and other changes in net assets (in CHF) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 2,182, Total income 2,182, Expenses Management Company fees 771, Transaction fees 27, Bank interest paid 53, Total expenses 853, Net investment income 1,329, Net realised gain/(loss) - on securities portfolio -1,522, Realised result -193, Net change in unrealised gains/(losses) - on investment portfolio -654, Results of operations -847, Issues 48,114, Redemptions -20,945, Total changes in net assets 26,321, Total net assets at the start of the financial year 179,584, Total net assets at the end of the financial year 205,905,

19 Synchrony (LU) World Bonds (CHF) Statistics (in CHF) Total net assets Currency CHF 168,476, ,584, ,905, NAV per unit Currency A CHF I CHF Annual performance per unit (in %) Currency A CHF I CHF Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 7, , ,000 12, I 1,750, , ,398 2,011, TER per unit at 31/12/2017 (in %) A 0.80 I 0.40 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 17

20 Synchrony (LU) World Bonds (CHF) Statement of securities portfolio and other net assets (in CHF) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds CHF 2,250,000 ABB Ltd 2.25% Sen 11/ ,483, ,445, CHF 940,000 ABN AMRO Bank NV 2.5% EMTN Sen 11/10/07/2018 1,015, , CHF 3,000,000 Aduno Holding AG 1.125% Sen 14/ ,023, ,131, CHF 1,300,000 Akademiska Hus AB 0.25% EMTN Sen 15/ ,324, ,328, CHF 1,600,000 Akademiska Hus AB 2.25% EMTN Sen 11/22/02/2021 1,750, ,736, CHF 6,155,000 Amgen Inc 0.41% Sen 16/ ,203, ,239, CHF 5,875,000 Apple Inc 0.375% Sen 15/25/11/2024 5,994, ,005, CHF 1,895,000 ASB Finance Ltd London Branch 1.375% EMTN Ser 2 12/ ,983, ,928, CHF 3,735,000 AT&T Inc 1.375% Sen 14/04/12/2024 4,050, ,972, CHF 5,210,000 Banque Cantonale de Fribourg 1.125% 13/ ,191, ,538, CHF 5,710,000 BAT Intl Finance Plc 0.625% EMTN Sen 14/ ,670, ,824, CHF 5,200,000 BP Capital Markets Plc 1% Sen 14/28/08/2020 5,366, ,389, CHF 1,000,000 Bq Cantonale de Geneve 0.5% Sen 15/ ,000, ,026, CHF 3,400,000 Caisse des Dépôts et Consignat 0.3% EMTN Sen 17/12/11/2027 3,439, ,439, CHF 4,150,000 Caisse Franç de Fin Local 2.5% 09/02/05/2018 4,480, ,195, CHF 5,930,000 Caisse Refinancement Habitat 2.5% EMTN 11/29/03/2021 6,593, ,480, CHF 1,600,000 Canton de Geneve 1.25% Sen 12/ ,633, ,716, CHF 1,600,000 Canton de St Gall 3.125% 04/ ,850, ,724, CHF 2,000,000 Coca-Cola Co 0.25% Reg S Sen 15/ ,001, ,031, CHF 4,580,000 Coca-Cola Co 1% Reg S Sen 15/02/10/2028 4,815, ,931, CHF 4,550,000 Commonwealth Bank of Australia 0.4% EMTN Sen 17/25/09/2026 4,566, ,610, CHF 2,500,000 Coop-Gruppe Genossenschaft 0.25% Sen 15/ ,500, ,528, CHF 2,745,000 Cred Suisse Gr Fd (Guer) Ltd 0.625% EMTN Reg S 15/ ,769, ,786, CHF 1,320,000 Deutsche Bahn Finance GmbH 1.375% EMTN Sen 13/ ,428, ,431, CHF 5,550,000 DH Switzerland Fin SA 0.5% Reg S Sen 15/ ,607, ,652, CHF 4,165,000 EIB 1.625% Sen 11/23/11/2023 4,357, ,649, CHF 5,200,000 Electricité de France 0.65% EMTN Sen 16/ ,071, ,093, CHF 4,775,000 Eli Lilly & Co 0.15% EMTN Sen 16/ ,823, ,790, CHF 3,350,000 Eurofima 3.25% 03/28/12/2018 3,807, ,482, CHF 2,820,000 Export Import Bank Korea (The) 0.17% GMTN Sen 17/ ,787, ,780, CHF 2,500,000 Goldman Sachs Group Inc 1.25% EMTN Sen 14/ ,611, ,563, CHF 2,350,000 Holcim Overseas Finance Ltd 3.375% EMTN Sen 11/ ,763, ,615, CHF 4,450,000 HSBC Bank Plc 2.375% EMTN Sen 11/ ,774, ,486, CHF 440,000 IBRD 2.75% EMTN 09/ , , CHF 4,975,000 Korea Development Bank 1.375% EMTN Sen 13/02/07/2018 5,080, ,021, CHF 2,580,000 LafargeHolcim Ltd 2% MTN Sen 13/ ,731, ,774, CHF 5,845,000 Luzerner Kantonalbank 2.625% Sen 05/ ,581, ,347, CHF 4,425,000 Mc Donald's Corp 0.17% Ser GMTN 16/ ,440, ,418, CHF 3,860,000 Mondelez Intl Inc 1.125% Reg S Sen 15/ ,027, ,052, CHF 3,960,000 Natl Australia Bank Ltd 0.3% Sen 17/ ,983, ,985, CHF 2,210,000 Natl Australia Bank Ltd 1% EMTN Sen 14/10/12/2021 2,287, ,308, CHF 5,250,000 Nestle Holdings Inc 0.25% EMTN Tr 1 Sen 17/ ,250, ,276, CHF 5,000,000 Novartis AG 0.25% Sen 15/ ,032, ,056, CHF 3,750,000 Oesterreichische Kontrollbk AG 2.125% Sen 11/23/07/2019 4,073, ,919, CHF 6,000,000 Raiffeisen Schweiz Genossenschaft 2.125% 11/ ,427, ,171, CHF 3,875,000 Regie Auton Transports Paris 2.625% EMTN Sen 06/06/11/2019 4,283, ,107, CHF 2,475,000 Roche Kapitalmarkt AG 1% Sen 12/ ,529, ,505, CHF 1,600,000 SGS SA 1.375% Reg S Sen 14/ ,670, ,691, CHF 2,850,000 Shell Intl Finance BV 0.875% EMTN Sen 15/21/08/2028 3,018, ,013, CHF 2,480,000 Straumann Holding AG 1.625% 13/ ,601, ,569, CHF 1,400,000 Swisscom Ltd 2.625% Sen 10/ ,602, ,575, CHF 5,050,000 Total SA 1% EMTN Sen 14/ ,132, ,354, CHF 4,545,000 Vodafone Group Plc 0.625% EMTN Sen 17/15/03/2027 4,534, ,533, CHF 5,000,000 Westpac Sec NZ Ltd London Br 0.125% EMTN Sen 17/15/12/2022 5,014, ,026, Total bonds 198,544, ,682,

21 Synchrony (LU) World Bonds (CHF) Statement of securities portfolio and other net assets (in CHF) (continued) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Transferable securities traded on another regulated market Bonds CHF 4,480,000 Metropol Life Global Funding I 0.3% EMTN Ser144A 17/ ,493, ,505, Total bonds 4,493, ,505, Total securities portfolio 203,038, ,187, Bank balances 2,908, Other assets/(liabilities) 809, Total 205,905,

22 Synchrony (LU) World Bonds (CHF) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Health services 9.07 % Non-cyclical consumer durables 7.91 % Telecommunications services 4.89 % International institutions 4.17 % Industry 4.00 % Consumer durables 3.38 % Technology 2.92 % Special Purpose Vehicle (SPV) 2.75 % Energy 2.60 % Utilities 2.47 % Local public administrations 1.67 % Commodities 1.35 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Switzerland % United States Of America % France % United Kingdom % Australia 5.30 % Luxembourg 5.01 % South Korea 3.79 % Netherlands 1.92 % Austria 1.90 % Sweden 1.48 % Guernsey 1.35 % Bermuda 1.27 % Germany 0.69 % Total % 20

23 Synchrony (LU) World Bonds (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 111,152, Bank balances 2,428, Income receivable on the securities portfolio 1,123, Total assets 114,704, Liabilities Payables for the redemption of units 3, Payable fees 40, Total liabilities 43, Net assets at the end of the financial year 114,660, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 33, EUR ,571, I 1,037, EUR ,088, ,660,

24 Synchrony (LU) World Bonds (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 1,779, Total income 1,779, Expenses Management Company fees 426, Transaction fees 11, Other administration costs Bank interest paid 3, Total expenses 442, Net investment income 1,337, Net realised gain/(loss) - on securities portfolio -52, Realised result 1,284, Net change in unrealised gains/(losses) - on investment portfolio -1,139, Results of operations 145, Issues 36,671, Redemptions -16,653, Total changes in net assets 20,163, Total net assets at the start of the financial year 94,496, Total net assets at the end of the financial year 114,660,

25 Synchrony (LU) World Bonds (EUR) Statistics (in EUR) Total net assets Currency EUR 78,746, ,496, ,660, NAV per unit Currency A EUR I EUR Annual performance per unit (in %) Currency A EUR I EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 35, , , , I 848, , , ,037, TER per unit at 31/12/2017 (in %) A 0.80 I 0.40 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 23

26 Synchrony (LU) World Bonds (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds EUR 3,350,000 3M Co 1.5% EMTN Ser F 14/ ,448, ,514, EUR 2,500,000 ABB Finance BV 2.625% EMTN 12/ ,703, ,584, EUR 2,750,000 Anheuser-Busch InBev SA 0.8% EMTN Reg S Sen 15/ ,696, ,797, EUR 3,000,000 Apple Inc 1.625% Sen 14/10/11/2026 3,056, ,192, EUR 1,500,000 Bank Nederlandse Gemeenten NV 1.875% EMTN ,561, ,551, / EUR 2,000,000 Bank of Scotland Plc 4.5% EMTN Ser / ,431, ,315, EUR 500,000 Bk Arbeit Wirtsch Oest Post AG 1.875% Ser 24 12/ , , EUR 3,250,000 BMW Finance NV 1% EMTN Sen 15/21/01/2025 3,119, ,331, EUR 2,000,000 Bristol Myers Squibb Co 1% Sen 15/ ,037, ,026, EUR 1,800,000 Caisse d'amort de la Dette Soc 4% EMTN Sen 04/25/10/2019 2,116, ,946, EUR 1,600,000 Caisse Refinancement Habitat 1.375% 13/ ,628, ,651, EUR 3,000,000 Carlsberg Breweries A/S 2.5% EMTN Reg S Sen 14/ ,302, ,301, EUR 1,100,000 Cie de Financement Foncier 4.5% EMTN 03/16/05/2018 1,271, ,119, EUR 3,000,000 Coca-Cola Co 0.75% Sen 15/ ,992, ,050, EUR 3,000,000 Daimler AG 1.5% EMTN Reg S Ser 67 16/ ,119, ,138, EUR 2,550,000 Deutsche Bahn Finance GmbH 5% EMTN Ser 1 07/ ,035, ,762, EUR 1,350,000 EIB 4.625% EMTN Ser INTL 04/ ,627, ,507, EUR 3,000,000 Geberit International BV 0.688% Sen 15/ ,008, ,051, EUR 3,200,000 GlaxoSmithKline Capital Plc 1.375% EMTN Sen 14/ ,258, ,349, EUR 1,450,000 ING Bank NV 3.625% EMTN Reg S Ser / ,656, ,647, EUR 3,000,000 Kellogg Co 1.25% Sen 15/ ,013, ,027, EUR 2,000,000 KFW AG 2.5% EMTN 12/17/01/2022 2,199, ,218, EUR 2,000,000 Land Sachsen-Anhalt 1.625% 13/ ,033, ,160, EUR 1,225,000 Landwirtschaftliche Rentenbk 1.875% EMTN Ser1063 1,283, ,293, /11/05/2020 EUR 2,500,000 Linde AG 1.75% EMTN Sen 12/ ,645, ,626, EUR 1,600,000 Nederlandse Waterschapsbank NV 1.625% 12/ ,656, ,655, EUR 3,000,000 Nestle Finance Intl Ltd 2.125% EMTN Reg S Ser 74 3,290, ,234, /10/09/2021 EUR 2,000,000 Novartis Finance SA 0.125% Reg S Sen 16/ ,974, ,972, EUR 2,500,000 Oracle Corp 3.125% EMTN Sen 13/ ,943, ,926, EUR 2,500,000 Philip Morris Intl Inc 2.875% EMTN Sen 14/03/03/2026 2,866, ,841, EUR 3,000,000 Praxair Inc 1.5% EMTN Sen 14/ ,129, ,099, EUR 2,000,000 Procter & Gamble Co 4.875% Sen 07/ ,707, ,707, EUR 2,700,000 Sanofi SA1.5% EMTN Reg S Sen 15/ ,692, ,883, EUR 3,300,000 Schneider Electric SE 0.875% EMTN Sen 15/ ,332, ,326, EUR 1,550,000 Shell Intl Finance BV 4.375% EMTN 09/ ,785, ,576, EUR 2,750,000 Siemens Financieringsmaatsc NV 1.75% EMTN Sen 2,913, ,905, / EUR 3,000,000 Toyota Motor Cred Corp 0.75% EMTN Reg S Sen 15/ ,989, ,064, EUR 1,000,000 Unicredit SpA 4.375% EMTN Reg S Sen 09/ ,241, ,173, EUR 3,000,000 Unilever NV 0.5% Reg S Sen 15/ ,975, ,038, EUR 2,000,000 Vodafone Group Plc 0.5% EMTN Reg S Ser 63 16/ ,962, ,961, EUR 2,000,000 Volkswagen Bank GmbH 1.5% EMTN Sen 14/ ,062, ,035, EUR 2,000,000 Volkswagen Leasing GmbH 2.125% EMTN Reg S Sen 2,129, ,138, / EUR 3,750,000 Wells Fargo & Co 1% EMTN Reg S Sen 16/ ,752, ,692, EUR 3,000,000 Westpac Banking Corp 0.25% EMTN Reg S Ser ,985, ,995, / Total bonds 109,146, ,913,

27 Synchrony (LU) World Bonds (EUR) Statement of securities portfolio and other net assets (in EUR) (continued) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Transferable securities traded on another regulated market Bonds EUR 2,200,000 British Telecommunications Plc 1.125% EMTN Reg S 2,236, ,238, / Total bonds 2,236, ,238, Total securities portfolio 111,382, ,152, Bank balances 2,428, Other assets/(liabilities) 1,080, Total 114,660,

28 Synchrony (LU) World Bonds (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Non-cyclical consumer durables % Industry % Technology 5.33 % Health services 4.29 % Telecommunications services 3.66 % Consumer durables 2.74 % Commodities 2.70 % Local public administrations 1.88 % States and governments 1.70 % International institutions 1.32 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % Netherlands % Germany % France 9.54 % United Kingdom 8.60 % Luxembourg 5.86 % Denmark 2.88 % Australia 2.61 % Belgium 2.44 % Italy 1.02 % Austria 0.45 % Total % 26

29 Synchrony (LU) World Bonds (USD) Statement of assets (in USD) Assets Investment portfolio at valuation value 21,050, Bank balances 1,123, Income receivable on the securities portfolio 183, Total assets 22,356, Liabilities Payables for the redemption of units 7, Payable fees 8, Total liabilities 15, Net assets at the end of the financial year 22,341, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in USD) I 224, USD ,341, ,341,

30 Synchrony (LU) World Bonds (USD) Statement of operations and other changes in net assets (in USD) from 15 June 2017 to 31 December 2017 Income Interest on bonds and other securities, net 281, Bank interest 6, Total income 288, Expenses Management Company fees 41, Transaction fees 14, Subscription tax 1, Bank interest paid 1, Total expenses 57, Net investment income 230, Net realised gain/(loss) - on securities portfolio -1, Realised result 229, Net change in unrealised gains/(losses) - on investment portfolio -285, Results of operations -56, Issues 22,659, Redemptions -261, Total changes in net assets 22,341, Total net assets at the start of the financial year - Total net assets at the end of the financial year 22,341,

31 Synchrony (LU) World Bonds (USD) Statistics (in USD) Total net assets Currency USD 22,341, NAV per unit Currency I USD Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year I - 226, , , TER per unit at 31/12/2017 (in %) I * 0.41 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 29

32 Synchrony (LU) World Bonds (USD) Statement of securities portfolio and other net assets (in USD) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds USD 225,000 Alibaba Group Holding Ltd 3.6% Ser B 15/ , , USD 300,000 Amazon.com Inc 3.15% Sen Reg S 17/ , , USD 250,000 Amazon.com Inc 3.3% Sen 14/ , , USD 250,000 AP Moeller Maersk AS 3.75% Sen Reg S 14/ , , USD 300,000 Apple Inc 2.4% Sen 13/ , , USD 300,000 Asian Development Bank 1.875% MTN Ser , , / USD 375,000 AstraZeneca Plc 3.375% Sen 15/16/11/ , , USD 300,000 AT&T Inc 4.25% Sen 17/01/03/ , , USD 225,000 Berkshire Hathaway Inc 2.2% Sen 16/15/03/ , , USD 300,000 Berkshire Hathaway Inc 2.75% Sen 16/ , , USD 250,000 Caterpillar Inc 3.4% Sen 14/ , , USD 250,000 Chevron Corp 2.411% Sen 15/ , , USD 250,000 Cisco Systems Inc 2.6% Sen 16/ , , USD 225,000 Cisco Systems Inc 3% Sen 15/15/06/ , , USD 300,000 Citigroup Inc 2.7% Sen 16/ , , USD 325,000 Coca-Cola Co 2.25% Sen 16/01/09/ , , USD 300,000 Coca-Cola Co 2.875% Sen 15/27/10/ , , USD 250,000 Comcast Corp 3.3% Sen 17/ , , USD 200,000 Danaher Corp 3.35% Sen 15/ , , USD 200,000 Danone 2.947% Sen Reg S 16/ , , USD 300,000 EBay Inc 2.2% Sen 14/ , , USD 300,000 EIB 1.875% EMTN Ser 1949/0100 Sen Reg S 12/ , , USD 375,000 Eli Lilly & Co 2.75% 15/ , , USD 250,000 Export Import Bank Korea (The) 2.625% Sen 15/ , , USD 200,000 Fannie Mae 6.625% Sen 00/ , , USD 300,000 Federal Home Loan Bank Syst 2.5% Ser 8Y-2023 Sen 308, , / USD 200,000 Freddie Mac 6.75% Sen 00/ , , USD 300,000 General Electric Co 3.375% Sen 14/11/03/ , , USD 375,000 Gilead Sciences Inc 2.95% Sen 16/ , , USD 375,000 Goldman Sachs Group Inc 5.25% Sen 11/ , , USD 300,000 IADB 2.125% Ser 497 Tr 59 15/ , , USD 200,000 IBM Corp 1.875% Sen 12/01/08/ , , USD 200,000 Intel Corp 2.35% Sen 17/ , , USD 575,000 Intel Corp 2.875% Sen 17/11/05/ , , USD 300,000 JPMorgan Chase & Co Reg S Ser E 3.3% 16/ , , USD 375,000 Kellogg Co 2.65% Sen 16/01/12/ , , USD 300,000 KFW AG 2.375% Sen 11/ , , USD 300,000 Landwirtschaftliche Rentenbk 1.375% Sen 12/ , , USD 300,000 Landwirtschaftliche Rentenbk 2.375% Ser 1145 Sen 304, , / USD 250,000 Lowe's Companies Inc 3.375% Sen 15/ , , USD 250,000 Manitoba (Province of) 3.05% Ser GI Sen 14/ , , USD 250,000 MERCK & Co Inc 2.4% Sen 12/ , , USD 250,000 Microsoft Corp 1.625% Sen 13/ , , USD 325,000 Nestle Holdings Inc 2.375% EMTN Ser 176 Sen 17/ , , USD 300,000 Nike Inc 2.375% Sen 16/ , , USD 250,000 Novartis Capital Corp 3.4% Sen 14/ , , USD 200,000 NVIDIA Corp 3.2% Sen 16/ , , USD 375,000 Oracle Corp 3.4% Sen 14/ , , USD 250,000 Pepsico Inc 2.75% Sen 13/01/03/ , , USD 300,000 Private Export Funding Corp 3.55% Ser KK Sen 14/ , , USD 350,000 Procter & Gamble Co 2.7% Sen 16/02/02/ , , USD 200,000 Royal Bank Canada 2% Ser CB13 13/ , , USD 125,000 Starbucks Corp 2.7% Sen 15/15/06/ , , USD 200,000 Statoil ASA 2.25% Sen 14/ , , USD 300,000 Time Warner Inc 4.05% Sen 13/ , , USD 325,000 US 2.125% T-Notes Ser H 2024 Sen 17/ , ,

33 Synchrony (LU) World Bonds (USD) Statement of securities portfolio and other net assets (in USD) (continued) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets USD 300,000 US 2.125% T-Notes Ser S-2023 Sen 17/ , , USD 300,000 US 2.25% T-Notes Ser G /31/01/ , , USD 300,000 US 2.25% T-Notes Ser T /31/12/ , , USD 250,000 US 3.125% T-Notes Ser C / , , USD 250,000 US 3.625% T-Notes Ser B /15/02/ , , USD 400,000 US 5.25% T-Bonds 99/ , , USD 300,000 US 5.5% T-Bonds Sen 98/ , , USD 350,000 US 6% T-Bonds 96/15/02/ , , USD 300,000 US 6.125% T-Bonds 99/15/08/ , , USD 300,000 US 6.5% T-Bonds 96/15/11/ , , USD 300,000 US 6.625% 97/ , , USD 250,000 Verizon Communications Inc 3% Sen 14/01/11/ , , USD 250,000 Wal-Mart Stores Inc 2.55% Sen 13/ , , USD 300,000 Walt Disney Co 1.85% MTN Ser F Sen 16/ , , Total bonds 21,020, ,742, Transferable securities traded on another regulated market Bonds USD 300,000 US 2.75% T-Notes Ser B /15/02/ , , Total bonds 315, , Total securities portfolio 21,336, ,050, Bank balances 1,123, Other assets/(liabilities) 168, Total 22,341,

34 Synchrony (LU) World Bonds (USD) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) States and governments % Financial % Technology % Consumer durables % Non-cyclical consumer durables 9.98 % Health services 7.34 % Industry 4.61 % International institutions 3.99 % Telecommunications services 2.50 % Energy 2.02 % Local public administrations 1.14 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % Germany 4.02 % Canada 2.04 % United Kingdom 1.71 % Luxembourg 1.34 % Philippines 1.34 % Denmark 1.13 % South Korea 1.11 % Cayman (Islands) 1.04 % Norway 0.90 % France 0.87 % Total % 32

35 Synchrony (LU) Balanced (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 11,419, Bank balances 2,196, Receivables for the issue of units 329, Income receivable on the securities portfolio 29, Total assets 13,974, Liabilities Payables for the purchase of securities 97, Payables for the redemption of units 2, Payable fees 14, Total liabilities 114, Net assets at the end of the financial year 13,859, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 105, EUR ,915, I 8, EUR , ,859,

36 Synchrony (LU) Balanced (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 54, Bank interest 1, Other commissions received 1, Total income 57, Expenses Management Company fees 156, Transaction fees 3, Bank interest paid 4, Total expenses 164, Net losses on investments ,46 Net realised gain/(loss) - on securities portfolio 206, on currencies -31, Realised result 68, Net change in unrealised gains/(losses) - on investment portfolio 281, Results of operations 349, Issues 5,602, Redemptions -2,895, Total changes in net assets 3,056, Total net assets at the start of the financial year 10,803, Total net assets at the end of the financial year 13,859,

37 Synchrony (LU) Balanced (EUR) Statistics (in EUR) Total net assets Currency EUR 16,824, ,803, ,859, NAV per unit Currency A EUR I EUR Annual performance per unit (in %) Currency A EUR I EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 83, , , , I 8, , Synthetic TER per unit at 31/12/2017 (in %) A 1.77 I 1.12 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 35

38 Synchrony (LU) Balanced (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds EUR 1,000,000 Anheuser-Busch InBev SA 0.8% EMTN Reg S Sen 15/ ,026, ,017, EUR 1,000,000 BMW Finance NV 1% EMTN Sen 15/21/01/2025 1,022, ,025, EUR 350,000 Caisse Refinancement Habitat 1.375% 13/ , , EUR 350,000 EIB 1% EMTN Ser 1984/ / , , EUR 500,000 Eur Fin Stabil Facil 0.5% EMTN Ser 115 Sen Reg S 17/ , , EUR 350,000 LB Baden-Wuerttemberg 1.375% EMTN Reg-S Ser , , / EUR 350,000 Nederlandse Waterschapsbank NV 1.625% 12/ , , EUR 350,000 Nestle Finance Intl Ltd 1.25% EMTN Sen 13/ , , EUR 1,000,000 Toyota Motor Cred Corp 0.75% EMTN Reg S Sen 15/ ,028, ,021, Total bonds 5,396, ,358, Open-ended investment funds Investment funds (UCITS) CHF 530 Mirabaud Equities Swiss Small and Mid I Cap 170, , CHF 1,525 UBAM Swiss Equity I Cap 389, , , , EUR 20,000 Comgest Growth Plc Europe Fd Cap 363, , EUR 7,000 Investec Global Strateg Fd European Equity I Cap 168, , EUR 4,000 Janus Henderson Horizon Fd Pan European Small Co I2 Cap 220, , EUR 5,000 MainFirst Top European Ideas C Cap 306, , EUR 60 Mandarine Valeur I Cap 305, , EUR 160 Oyster European Selection I EUR Cap 190, , EUR 270 Uni-Global Equities Europe RA-EUR Cap 369, , ,923, ,230, USD 6,250 Comgest Growth Plc Emerging Mks I USD Cap 160, , USD 8,500 Comgest Growth Plc GEM Promising Co I Cap 114, , USD 1,550 Conventum Lyrical Fd I Cap 342, , USD 2,000 Edgewood L Select US Growth ZIC USD Cap 254, , USD 23,750 Fidelity Fds America Y-ACC-USD Cap 370, , USD 2,900 Iridian UCITS Fd Plc US Equity I USD Cap 278, , USD 1,250 Legg Mason Global Fds Plc Royce US Small Cap Opp Premier 186, , Cap USD 9,750 M&G Investments Fds (7) Gl Emerging Mks C USD Cap 208, , USD 300,000 Majedie Asset Mgt (Intl) Inv Fd Co Plc US Eq Z USD Cap 315, , USD 43,500 Threadneedle (Lux) US Contrarian Core Equities ZU USD Cap 483, , ,714, ,118, Total investment funds (UCITS) 5,198, ,060, Total securities portfolio 10,594, ,419, Bank balances 2,196, Other assets/(liabilities) 244, Total 13,859,

39 Synchrony (LU) Balanced (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Investment fund % Financial % Non-cyclical consumer durables 9.95 % International institutions 6.19 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Luxembourg % Ireland % Netherlands % United States Of America 7.37 % Belgium 7.34 % France 5.26 % Germany 2.54 % United Kingdom 1.72 % Total % 37

40 Synchrony (LU) Dynamic (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 6,963, Bank balances 978, Income receivable on the securities portfolio 10, Total assets 7,953, Liabilities Payables for the redemption of units 11, Payable fees 8, Total liabilities 20, Net assets at the end of the financial year 7,932, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 57, EUR ,932, ,932,

41 Synchrony (LU) Dynamic (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 18, Bank interest Other commissions received 1, Total income 20, Expenses Management Company fees 98, Transaction fees 3, Bank interest paid Total expenses 102, Net losses on investments -82, Net realised gain/(loss) - on securities portfolio 262, on currencies -26, Realised result 153, Net change in unrealised gains/(losses) - on investment portfolio 207, Results of operations 361, Issues 1,850, Redemptions -1,368, Total changes in net assets 844, Total net assets at the start of the financial year 7,088, Total net assets at the end of the financial year 7,932,

42 Synchrony (LU) Dynamic (EUR) Statistics (in EUR) Total net assets Currency EUR 5,210, ,088, ,932, NAV per unit Currency A EUR Annual performance per unit (in %) Currency A EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 54, , , , Synthetic TER per unit at 31/12/2017 (in %) A 2.01 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 40

43 Synchrony (LU) Dynamic (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds EUR 400,000 Anheuser-Busch InBev SA 0.8% EMTN Reg S Sen 15/ , , EUR 100,000 Caisse Refinancement Habitat 1.375% 13/ , , EUR 100,000 EIB 1% EMTN Ser 1984/ / , , EUR 300,000 Nestle Finance Intl Ltd 1.25% EMTN Sen 13/ , , EUR 300,000 Siemens Financieringsmaatsc NV 1.75% EMTN Sen 322, , / EUR 400,000 Toyota Motor Cred Corp 0.75% EMTN Reg S Sen 15/ , , Total bonds 1,655, ,646, Open-ended investment funds Investment funds (UCITS) CHF 450 Mirabaud Equities Swiss Small and Mid I Cap 157, , CHF 1,275 UBAM Swiss Equity I Cap 310, , , , EUR 15,500 Comgest Growth Plc Europe Fd Cap 298, , EUR 5,500 Investec Global Strateg Fd European Equity I Cap 130, , EUR 3,000 Janus Henderson Horizon Fd Pan European Small Co I2 Cap 165, , EUR 4,800 MainFirst Top European Ideas C Cap 294, , EUR 55 Mandarine Valeur I Cap 256, , EUR 150 Oyster European Selection I EUR Cap 165, , EUR 260 Uni-Global Equities Europe RA-EUR Cap 352, , ,663, ,949, USD 5,750 Comgest Growth Plc Emerging Mks I USD Cap 156, , USD 7,750 Comgest Growth Plc GEM Promising Co I Cap 108, , USD 1,375 Conventum Lyrical Fd I Cap 304, , USD 1,700 Edgewood L Select US Growth ZIC USD Cap 229, , USD 21,500 Fidelity Fds America Y-ACC-USD Cap 340, , USD 2,600 Iridian UCITS Fd Plc US Equity I USD Cap 251, , USD 950 Legg Mason Global Fds Plc Royce US Small Cap Opp Premier 121, , Cap USD 9,250 M&G Investments Fds (7) Gl Emerging Mks C USD Cap 194, , USD 260,000 Majedie Asset Mgt (Intl) Inv Fd Co Plc US Eq Z USD Cap 271, , USD 40,000 Threadneedle (Lux) US Contrarian Core Equities ZU USD Cap 443, , ,422, ,769, Total investment funds (UCITS) 4,552, ,317, Total securities portfolio 6,208, ,963, Bank balances 978, Other assets/(liabilities) -9, Total 7,932,

44 Synchrony (LU) Dynamic (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Investment fund % Financial % Non-cyclical consumer durables 9.04 % International institutions 1.27 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Luxembourg % Ireland % France 5.55 % United States Of America 5.15 % Belgium 5.13 % Netherlands 4.00 % United Kingdom 2.85 % Total % 42

45 Synchrony (LU) World Equity (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 6,818, Bank balances 364, Total assets 7,182, Liabilities Accrued expenses 10, Total liabilities 10, Net assets at the end of the financial year 7,172, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 46, EUR ,172, ,172,

46 Synchrony (LU) World Equity (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Interest on bank accounts Other commissions received 2, Total income 2, Expenses Management Company fees 111, Transaction fees 2, Bank interest paid Total expenses 114, Net losses on investments -111, Net realised gain/(loss) - on securities portfolio 250, on forward exchange contracts on currencies -5, Realised result 132, Net change in unrealised gains/(losses) - on investment portfolio 332, Results of operations 465, Issues 1,273, Redemptions -410, Total changes in net assets 1,328, Total net assets at the start of the financial year 5,844, Total net assets at the end of the financial year 7,172,

47 Synchrony (LU) World Equity (EUR) Statistics (in EUR) Total net assets Currency EUR 5,795, ,844, ,172, NAV per unit Currency A EUR Annual performance per unit (in %) Currency A EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 40, , , , Synthetic TER per unit at 31/12/2017 (in %) A 2.71 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 45

48 Synchrony (LU) World Equity (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Open-ended investment funds Investment funds (UCITS) CHF 565 Mirabaud Equities Swiss Small and Mid I Cap 178, , CHF 1,725 UBAM Swiss Equity I Cap 403, , , , EUR 21,500 Comgest Growth Plc Europe Fd Cap 406, , EUR 7,000 Investec Global Strateg Fd European Equity I Cap 165, , EUR 3,750 Janus Henderson Horizon Fd Pan European Small Co I2 Cap 206, , EUR 6,000 MainFirst Top European Ideas C Cap 367, , EUR 70 Mandarine Valeur I Cap 342, , EUR 200 Oyster European Selection I EUR Cap 221, , EUR 340 Uni-Global Equities Europe RA-EUR Cap 462, , ,172, ,538, USD 7,650 Comgest Growth Plc Emerging Mks I USD Cap 215, , USD 8,750 Comgest Growth Plc GEM Promising Co I Cap 111, , USD 2,000 Conventum Lyrical Fd I Cap 439, , USD 2,100 Edgewood L Select US Growth ZIC USD Cap 261, , USD 25,750 Fidelity Fds America Y-ACC-USD Cap 400, , USD 3,250 Iridian UCITS Fd Plc US Equity I USD Cap 312, , USD 1,150 Legg Mason Global Fds Plc Royce US Small Cap Opp Premier 160, , Cap USD 11,500 M&G Investments Fds (7) Gl Emerging Mks C USD Cap 240, , USD 325,000 Majedie Asset Mgt (Intl) Inv Fd Co Plc US Eq Z USD Cap 345, , USD 50,000 Threadneedle (Lux) US Contrarian Core Equities ZU USD Cap 557, , ,045, ,491, Total securities portfolio 5,800, ,818, Bank balances 364, Other assets/(liabilities) , Total 7,172,

49 Synchrony (LU) World Equity (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Investment fund % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Luxembourg % Ireland % France 5.98 % United Kingdom 3.91 % Total % 47

50 Synchrony (LU) European Equity (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 6,318, Bank balances 196, Receivables for the issue of units Total assets 6,516, Liabilities Payables for the redemption of units 10, Payable fees 9, Total liabilities 20, Net assets at the end of the financial year 6,496, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 38, EUR ,496, ,496,

51 Synchrony (LU) European Equity (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Dividends, net 2, Other commissions received 2, Total income 5, Expenses Management Company fees 99, Transaction fees Bank interest paid Total expenses 100, Net losses on investments -95, Net realised gain/(loss) - on securities portfolio 94, on currencies Realised result Net change in unrealised gains/(losses) - on investment portfolio 735, Results of operations 734, Issues 1,044, Redemptions -562, Total changes in net assets 1,216, Total net assets at the start of the financial year 5,279, Total net assets at the end of the financial year 6,496,

52 Synchrony (LU) European Equity (EUR) Statistics (in EUR) Total net assets Currency EUR 5,112, ,279, ,496, NAV per unit Currency A EUR Annual performance per unit (in %) Currency A EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A 35, , , , Synthetic TER per unit at 31/12/2017 (in %) A 2.78 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 50

53 Synchrony (LU) European Equity (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Open-ended investment funds Investment funds (UCITS) EUR 1,820 Alken Fd SICAV European Opportunities R Cap 303, , EUR 540 Digital Fds Stars Europe Acc Cap 307, , EUR 8,835 Janus Henderson Horizon Fd Pan European Small Co I2 Cap 231, , EUR 7,800 MainFirst Top European Ideas C Cap 481, , EUR 35 Mandarine Fds Unique Sm & Mid Caps Europe I Cap 420, , EUR 120 Mandarine Valeur I Cap 560, , EUR 2,625 Metropole Fds SICAV Selection W Cap 606, , EUR 1,260 Metzler Intl Inv Plc European Smaller Companies B EUR Dist 306, , EUR 575 Oyster European Selection I EUR Cap 662, , EUR 755 Uni-Global Equities Europe RA-EUR Cap 1,034, ,162, Total securities portfolio 4,913, ,318, Bank balances 196, Other assets/(liabilities) -19, Total 6,496,

54 Synchrony (LU) European Equity (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Investment fund % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Luxembourg % France % Ireland 6.14 % Total % 52

55 Synchrony (LU) Liquoptimum (CHF) Statement of assets (in CHF) Assets Investment portfolio at valuation value 3,201, Bank balances 2,001, Income receivable on the securities portfolio 18, Total assets 5,221, Liabilities Accrued expenses Total liabilities Net assets at the end of the financial year 5,221, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in CHF) I 52, CHF ,221, ,221,

56 Synchrony (LU) Liquoptimum (CHF) Statement of operations and other changes in net assets (in CHF) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 48, Total income 48, Expenses Management Company fees 5, Transaction fees Subscription tax Bank interest paid 11, Total expenses 17, Net investment income 31, Net realised gain/(loss) - on securities portfolio -56, on currencies Realised result ,72 Net change in unrealised gains/(losses) - on investment portfolio -2, Results of operations -28, Issues - Redemptions - Total changes in net assets -28, Total net assets at the start of the financial year 5,249, Total net assets at the end of the financial year 5,221,

57 Synchrony (LU) Liquoptimum (CHF) Statistics (in CHF) Total net assets Currency CHF 5,248, ,249, ,221, NAV per unit Currency I CHF Annual performance per unit (in %) Currency I CHF Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year I 52, , TER per unit at 31/12/2017 (in %) I 0.11 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 55

58 Synchrony (LU) Liquoptimum (CHF) Statement of securities portfolio and other net assets (in CHF) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds CHF 100,000 Amcor Ltd 2.125% EMTN Sen 12/ , , CHF 100,000 AT&T Inc 0.5% Sen 14/04/12/ , , CHF 100,000 Banco de Cred Inv SA CREDITO 0.25% Sen 15/ , , CHF 150,000 BAT Intl Finance Plc 0.625% EMTN Sen 14/ , , CHF 100,000 BNZ Intl Fding Ltd London Br 1.375% EMTN Sen 14/03/02/ , , CHF 100,000 BP Capital Markets Plc 0.75% Sen 14/ , , CHF 155,000 China Construction Bk Corp Ltd 1.375% EMTN Sen 14/ , , CHF 150,000 Cie de Financement Foncier 2.375% EMTN Sen 05/24/08/ , , CHF 150,000 Citigroup Inc 3% EMTN 07/21/03/ , , CHF 150,000 Cred Agricole SA London 1% EMTN Sen 14/08/10/ , , CHF 145,000 Cred Suisse Gr Fd (Guer) Ltd 0.625% EMTN Reg S 15/ , , CHF 150,000 Elsevier Finance SA 1% Sen 13/ , , CHF 100,000 Enel Finance Intl NV 3% EMTN Sen 11/ , , CHF 150,000 General Electric Co 4.5% EMTN Sen 08/ , , CHF 120,000 Goldman Sachs Group Inc 1.25% EMTN Sen 14/ , , CHF 100,000 Holcim Overseas Finance Ltd 3.375% EMTN Sen 11/ , , CHF 100,000 ING Bank NV 3% EMTN Sen 11/17/12/ , , CHF 100,000 Korea Development Bank 1% EMTN Sen 12/29/10/ , , CHF 200,000 Mondelez Intl Inc 0.08% Reg S Sen 16/26/01/ , , CHF 150,000 Natl Australia Bank Ltd 1% EMTN Sen 14/10/12/ , , CHF 100,000 Nestle Holdings Inc 2.625% EMTN Sen 07/ , , CHF 140,000 Philip Morris Intl Inc 0.75% Sen 14/16/12/ , , CHF 150,000 Teva Pharm Fin NL IV BV 0.125% Sen 16/ , , CHF 150,000 Westpac Sec NZ Ltd London Br 0.625% EMTN Sen 14/ , , Total securities portfolio 3,247, ,201, Bank balances 2,001, Other assets/(liabilities) 18, Total 5,221,

59 Synchrony (LU) Liquoptimum (CHF) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Non-cyclical consumer durables 8.49 % Industry 2.99 % Special Purpose Vehicle (SPV) 2.86 % Telecommunications services 1.94 % Commodities 1.93 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % United Kingdom % Netherlands 7.07 % Australia 4.93 % Hong Kong 3.03 % France 2.93 % Switzerland 2.91 % Guernsey 2.82 % Bermuda 2.13 % South Korea 1.94 % Chile 1.93 % Total % 57

60 Synchrony (LU) Liquoptimum (EUR) Statement of assets (in EUR) Assets Investment portfolio at valuation value 47,234, Bank balances 1,859, Income receivable on the securities portfolio 496, Total assets 49,590, Liabilities Accrued expenses 7, Total liabilities 7, Net assets at the end of the financial year 49,582, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) I 496, EUR ,582, ,582,

61 Synchrony (LU) Liquoptimum (EUR) Statement of operations and other changes in net assets (in EUR) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 996, Total income 996, Expenses Management Company fees 67, Transaction fees Other administration costs Subscription tax 4, Bank interest paid 2, Total expenses 75, Net investment income 920, Net realised gain/(loss) - on securities portfolio -929, Realised result -8, Net change in unrealised gains/(losses) - on investment portfolio -62, Results of operations -71, Issues 17,356, Redemptions -6,601, Total changes in net assets 10,684, Total net assets at the start of the financial year 38,898, Total net assets at the end of the financial year 49,582,

62 Synchrony (LU) Liquoptimum (EUR) Statistics (in EUR) Total net assets Currency EUR 26,393, ,898, ,582, NAV per unit Currency I EUR Annual performance per unit (in %) Currency I EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year I 388, , , , TER per unit at 31/12/2017 (in %) I 0.16 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 60

63 Synchrony (LU) Liquoptimum (EUR) Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds EUR 500,000 3M Co 1.875% Sen 13/ , , EUR 900,000 Amgen Inc 4.375% Sen 11/05/12/ , , EUR 750,000 AstraZeneca Plc 0.875% EMTN Ser 5 Sen Reg S 14/ , , EUR 500,000 AT&T Inc FRN Sen 14/ , , EUR 500,000 BHP Billiton Finance Ltd FRN EMTN Reg S Sen 15/ , , EUR 1,000,000 BMW Finance NV 0.125% EMTN Reg S Sen 16/ ,002, ,004, EUR 300,000 BMW Finance NV 3.625% EMTN 11/ , , EUR 700,000 BNP Paribas SA 2.5% EMTN Sen 12/23/08/ , , EUR 900,000 BP Capital Markets Plc 4.154% EMTN Ser 73 Sen 11/ ,017, , EUR 1,000,000 BPCE SA 0.625% EMTN Ser / ,015, ,014, EUR 1,000,000 Bq Fédérative du Crédit Mutuel 2% EMTN Ser / ,055, ,036, EUR 750,000 British Telecommunications Plc 0.625% EMTN Reg S 763, , /10/03/2021 EUR 1,000,000 Carlsberg Breweries A/S 2.625% EMTN 12/ ,070, ,041, EUR 300,000 Carrefour Banque FRN Sen 14/ , , EUR 1,000,000 Carrefour SA 4% EMTN 10/ ,112, ,090, EUR 1,000,000 CEZ AS 4.5% EMTN 10/ ,135, ,109, EUR 750,000 Citigroup Inc 5% Sen 04/02/08/ , , EUR 600,000 Coca-Cola Co FRN 15/ , , EUR 600,000 Continental AG 3% EMTN Sen 13/ , , EUR 1,000,000 Credit Suisse Intl 4.75% EMTN Sen 09/ ,131, ,077, EUR 400,000 Daimler AG 0.5% Sen EMTN 16/ , , EUR 666,000 Daimler AG 2.125% EMTN 12/ , , EUR 500,000 Dev Bank of Japan Inc 0.375% GMTN Sen 15/ , , EUR 828,000 Dongfeng Motor Intl Co Ltd 1.6% Reg S Sen 15/ , , EUR 1,000,000 Dover Corp 2.125% EMTN Sen 13/ ,064, ,057, EUR 500,000 E.On Intl Finance BV 5.75% EMTN 08/ , , EUR 500,000 ENI SpA 4% EMTN 10/ , , EUR 400,000 General Electric Capital Corp 1.625% EMTN Sen 13/ , , EUR 1,000,000 GlaxoSmithKline Capital Plc 0.625% EMTN Sen 14/02/12/2019 1,019, ,014, EUR 400,000 Goldman Sachs Group Inc 0.75% EMTN Reg S Sen 406, , / EUR 350,000 Goldman Sachs Group Inc 6.375% EMTN Sen 08/02/05/ , , EUR 900,000 Heineken NV 2.5% EMTN 12/ , , EUR 1,000,000 IBM Corp 1.875% Sen 13/06/11/2020 1,060, ,052, EUR 800,000 John Deere Bank SA 1.5% EMTN Reg S Ser 4 13/ , , EUR 750,000 JPMorgan Chase & Co 1.875% EMTN Sen 12/ , , EUR 500,000 Kering 1.875% EMTN Sen 13/ , , EUR 600,000 Korea Development Bank 1.5% EMTN Sen 13/ , , EUR 1,000,000 Korea Gas Corp 2.375% EMTN Reg S Sen 13/ ,056, ,028, EUR 500,000 Legrand SA 4.375% EMTN 11/ , , EUR 500,000 Linde AG 1.75% EMTN Sen 12/ , , EUR 500,000 LVMH Moët Hennessy L Vuit SE 1.75% EMTN Ser , , / EUR 1,000,000 Metropol Life Global Funding I 2.375% EMTN Reg S 1,062, ,044, / EUR 400,000 Morgan Stanley 2.25% Sen 13/ , , EUR 1,000,000 Pernod-Ricard SA 2% Sen 14/ ,062, ,048, EUR 500,000 Philip Morris Intl Inc 1.75% Sen 13/19/03/ , , EUR 1,000,000 Philip Morris Intl Inc 1.875% EMTN Sen 14/03/03/2021 1,056, ,052, EUR 500,000 Philip Morris Intl Inc 2.125% Sen 12/ , , EUR 600,000 RCI Banque 2.875% EMTN 13/ , , EUR 300,000 Royal Bank Canada FRN EMTN 15/ , , EUR 750,000 Sanofi 4.125% EMTN Reg S Ser 13 09/ , , EUR 500,000 Sanofi SA 0% EMTN Reg S Sen 16/05/04/ , , EUR 300,000 Santander UK Plc 1.75% EMTN Sen 13/15/01/ , , EUR 500,000 Schneider Electric SE 3.625% EMTN Ser 12 Sen 10/ , , EUR 600,000 Shell Intl Finance BV FRN EMTN Reg S Ser 19 15/ , , EUR 800,000 Standard Chartered Plc 1.625% EMTN Sen 13/ , ,

64 Synchrony (LU) Liquoptimum (EUR) Statement of securities portfolio and other net assets (in EUR) (continued) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets EUR 500,000 Telia Co AB 4% EMTN Ser 76 Sen Reg S 11/ , , EUR 700,000 Teva Pharmaceuticals Fin IV BV 2.875% EMTN 12/ , , EUR 1,000,000 Toyota Motor Cred Corp 1% EMTN Sen 14/ ,034, ,030, EUR 350,000 UBS AG London 0.5% EMTN Reg S Ser / , , EUR 1,200,000 Vinci SA 3.375% EMTN Sen 12/30/03/2020 1,314, ,291, EUR 600,000 Vodafone Group Plc 5% EMTN Sen 03/ , , EUR 900,000 Volkswagen Leasing GmbH 0.75% EMTN Reg S 15/ , , EUR 400,000 Volkswagen Leasing GmbH 3.25% EMTN 11/ , , EUR 1,000,000 Wells Fargo & Co FRN EMTN Reg S Sen 15/ ,003, ,006, Total bonds 46,626, ,724, Transferable securities traded on another regulated market Bonds EUR 700,000 BNZ Intl Fding Ltd London Br 1.25% EMTN Sen 13/ , , EUR 800,000 Danone 1.25% EMTN Sen 13/ , , Total bonds 1,537, ,510, Total securities portfolio 48,164, ,234, Bank balances 1,859, Other assets/(liabilities) 488, Total 49,582,

65 Synchrony (LU) Liquoptimum (EUR) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Non-cyclical consumer durables % Industry 8.99 % Health services 7.51 % Consumer durables 7.17 % Telecommunications services 4.94 % Utilities 4.31 % Technology 2.12 % Energy 1.11 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % France % United Kingdom % Germany 7.13 % Netherlands 6.88 % South Korea 3.29 % Czech Republic 2.24 % Denmark 2.10 % Hong Kong 1.69 % Luxembourg 1.63 % Curaçao 1.43 % Sweden 1.16 % Italy 1.11 % Japan 1.02 % Australia 1.01 % Canada 0.61 % Total % 63

66 Synchrony (LU) Liquoptimum (USD) Statement of assets (in USD) Assets Investment portfolio at valuation value 18,741, Bank balances 848, Receivables for the issue of units 102, Income receivable on the securities portfolio 106, Total assets 19,799, Liabilities Payables for the redemption of units 126, Payable fees 3, Total liabilities 130, Net assets at the end of the financial year 19,668, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in USD) I 192, USD ,668, ,668,

67 Synchrony (LU) Liquoptimum (USD) Statement of operations and other changes in net assets (in USD) from 1 January 2017 to 31 December 2017 Income Interest on bonds and other securities, net 374, Bank interest 8, Total income 383, Expenses Management Company fees 34, Transaction fees Other administration costs Subscription tax 1, Total expenses 36, Net investment income 346, Net realised gain/(loss) - on securities portfolio -97, on currencies Realised result 249, Net change in unrealised gains/(losses) - on investment portfolio -47, Results of operations 201, Issues 6,567, Redemptions -1,648, Total changes in net assets 5,120, Total net assets at the start of the financial year 14,547, Total net assets at the end of the financial year 19,668,

68 Synchrony (LU) Liquoptimum (USD) Statistics (in USD) Total net assets Currency USD 16,265, ,547, ,668, NAV per unit Currency I USD Annual performance per unit (in %) Currency I USD Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year I 143, , , , TER per unit at 31/12/2017 (in %) I 0.21 The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 66

69 Synchrony (LU) Liquoptimum (USD) Statement of securities portfolio and other net assets (in USD) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Bonds USD 500,000 Anheuser-Busch Inbev Fin Inc 2.15% Sen 14/ , , USD 400,000 Apple Inc 1% Sen 13/03/05/ , , USD 350,000 AT&T Inc 5.8% Sen 09/ , , USD 500,000 Baidu Inc 2.75% Sen 14/09/06/ , , USD 300,000 Bank of America Corp 6.5% Sen 98/ , , USD 500,000 BAT Intl Finance Plc 1.625% EMTN Reg S Sen 16/ , , USD 400,000 Berkshire Hathaway Fin Corp 2% Sen 13/ , , USD 600,000 BP Capital Markets Plc 1.676% Sen 16/03/05/ , , USD 300,000 Canadian Imp Bk of Commerce FRN Sen 16/ , , USD 300,000 Citigroup Inc FRN Sen 08/ , , USD 300,000 Commonwealth Bank of Australia FRN Reg S Sen 17/ , , USD 300,000 Cred Suisse Gr Fd (Guer) Ltd 2.75% Sen 16/ , , USD 300,000 Credit Suisse New York 1.75% Sen 15/ , , USD 300,000 Daimler Fin North America LLC FRN Sen Reg S 17/ , , USD 350,000 Electricité de France 2.15% Sen Reg S 14/ , , USD 400,000 Ford Motor Cred Co LLC 2.597% Sen 14/ , , USD 500,000 Ford Motor Credit Co LLC 2.375% 14/ , , USD 350,000 Goldman Sachs Group Inc FRN Sen 16/ , , USD 300,000 HP Inc FRN Sen 14/ , , USD 330,000 Hyundai Capital America Inc 2.5% Sen Reg S 16/ , , USD 400,000 IADB 1% EMTN Reg S Sen 03/ , , USD 300,000 Japan Bk for Intl Cooperation FRN Sen 13/ , , USD 400,000 JPMorgan Chase & Co 6.3% 09/ , , USD 300,000 JPMorgan Chase & Co FRN Sen 13/ , , USD 350,000 Korea National Oil Corp FRN MTN Ser 42 Sen Reg S 350, , / USD 250,000 Nestle Holdings Inc 1.375% EMTN Reg S Ser 69 13/ , , USD 200,000 Nissan Motor Acceptance Corp FRN Reg S Ser D 16/ , , USD 300,000 Novartis Sec Investment Ltd 5.125% Sen 09/ , , USD 500,000 Oracle Corp 2.375% Sen 13/15/01/ , , USD 300,000 Orange 5.375% Sen 09/ , , USD 400,000 Pepsico Inc 5% Sen 08/ , , USD 700,000 Pfizer Inc 2.1% Sen 14/15/05/ , , USD 400,000 Qualcomm Inc 1.85% Sen 17/ , , USD 500,000 Shell Intl Finance BV 4.3% 09/ , , USD 300,000 Siemens Financieringsmaatsc NV FRN Reg S Sen 17/ , , USD 400,000 Starbucks Corp 2% Sen 13/ , , USD 350,000 State Bank of India London FRN EMTN Sen Reg S 17/ , , USD 500,000 Tencent Holdings Ltd 3.375% EMTN Reg S Sen Tr 2 512, , / USD 300,000 Toyota Motor Cred Corp 1.45% MTN Ser B 15/ , , USD 300,000 Unilever Capital Corp 2.2% Sen 13/ , , USD 300,000 Verizon Communications Inc FRN Sen 13/ , , USD 400,000 Vodafone Group Plc 1.5% Tr 2 Sen 13/19/02/ , , USD 400,000 Volkswagen Gr of Am Fin LLC 2.45% B Sen Reg S 14/ , , Total bonds 16,361, ,230,

70 Synchrony (LU) Liquoptimum (USD) Statement of securities portfolio and other net assets (in USD) (continued) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Transferable securities traded on another regulated market Bonds USD 300,000 ANZ Banking Group Ltd FRN MTN Reg S Sen 15/ , , USD 300,000 Bq Féd du Crédit Mutuel FRN Sen Reg S 17/ , , USD 300,000 Deutsche Telekom Intl Fin BV FRN Sen Reg S 17/ , , USD 350,000 Exxon Mobil Corp FRN Sen 16/ , , USD 300,000 ING Bank NV FRN Reg S Sen 16/ , , USD 300,000 Natl Australia Bank Ltd FRN EMTN Sen Reg S 17/ , , USD 300,000 Royal Bank Canada FRN MTN Ser G 15/ , , USD 350,000 UBS AG Stamford FRN Ser / , , Total bonds 2,510, ,511, Total securities portfolio 18,871, ,741, Bank balances 848, Other assets/(liabilities) 78, Total 19,668,

71 Synchrony (LU) Liquoptimum (USD) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Technology % Telecommunications services 8.55 % Non-cyclical consumer durables 5.36 % Consumer durables 3.70 % Energy 3.57 % Health services 3.56 % International institutions 2.04 % Utilities 1.78 % Special Purpose Vehicle (SPV) 1.58 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % United Kingdom 9.36 % Netherlands 7.23 % Cayman (Islands) 5.12 % France 4.91 % Australia 4.59 % Canada 3.06 % South Korea 1.77 % Bermuda 1.58 % Japan 1.53 % Guernsey 1.53 % Total % 69

72 Synchrony (LU) Swiss All Caps (CHF) Statement of assets (in CHF) Assets Investment portfolio at valuation value 5,669, Bank balances 39, Total assets 5,709, Liabilities Accrued expenses 5, Total liabilities 5, Net assets at the end of the financial year 5,704, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in CHF) A 2, CHF , I 50, CHF ,411, ,704,

73 Synchrony (LU) Swiss All Caps (CHF) Statement of operations and other changes in net assets (in CHF) from 15 June 2017 to 31 December 2017 Income Dividends, net 3, Total income 3, Expenses Management Company fees 29, Transaction fees 3, Subscription tax Bank interest paid Total expenses 33, Net losses on investments -30, Net realised gain/(loss) - on securities portfolio 31, Realised result Net change in unrealised gains/(losses) - on investment portfolio 415, Results of operations 416, Issues 5,288, Redemptions - Total changes in net assets 5,704, Total net assets at the start of the financial year - Total net assets at the end of the financial year 5,704,

74 Synchrony (LU) Swiss All Caps (CHF) Statistics (in CHF) Total net assets Currency CHF 5,704, NAV per unit Currency A CHF I CHF Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A - 2, , I - 50, , TER per unit at 31/12/2017 (in %) A * 1.59 I * 1.01 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 72

75 Synchrony (LU) Swiss All Caps (CHF) Statement of securities portfolio and other net assets (in CHF) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Shares CHF 26 Belimo Holding AG Reg 104, , CHF 3,020 Co Financière Richemont SA 247, , CHF 790 Comet Holding AG Reg 94, , CHF 770 Daetwyler Holding AG 124, , CHF 540 Geberit AG Reg 241, , CHF 198 Givaudan SA Reg 410, , CHF 1,300 Idorsia Ltd Reg 29, , CHF 85 Interroll-Holding SA Reg 112, , CHF 320 Komax Holding AG Reg 88, , CHF 940 Lonza Group AG Reg 193, , CHF 6,490 Nestlé SA Reg 522, , CHF 6,530 Novartis AG Reg 511, , CHF 6,530 OC Oerlikon Corp Inc 81, , CHF 2,195 Roche Holding Ltd Pref 543, , CHF 1,185 Schindler Holding Ltd Partizipsch 241, , CHF 108 SGS SA Reg 251, , CHF 31 Sika AG 203, , CHF 1,440 Sonova Holding AG 232, , CHF 270 Straumann Holding AG Reg 145, , CHF 760 Swiss Life Holding Reg 248, , CHF 708 U-blox Hg AG Reg 133, , CHF 14,790 UBS Group Inc 236, , CHF 890 Zurich Insurance Group AG Reg 254, , Total securities portfolio 5,254, ,669, Bank balances 39, Other assets/(liabilities) -5, Total 5,704,

76 Synchrony (LU) Swiss All Caps (CHF) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Health services % Industry % Commodities % Financial % Non-cyclical consumer durables % Consumer durables 7.22 % Telecommunications services 2.38 % Technology 1.94 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Switzerland % Total % 74

77 Synchrony (LU) Swiss Small & Mid Caps (CHF) Statement of assets (in CHF) Assets Investment portfolio at valuation value 7,648, Bank balances 177, Receivables for the issue of units 12, Total assets 7,837, Liabilities Accrued expenses 6, Total liabilities 6, Net assets at the end of the financial year 7,831, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in CHF) A 5, CHF , I 63, CHF ,223, ,831,

78 Synchrony (LU) Swiss Small & Mid Caps (CHF) Statement of operations and other changes in net assets (in CHF) from 15 June 2017 to 31 December 2017 Income Total income 0.00 Expenses Management Company fees 35, Transaction fees 2, Subscription tax Bank interest paid Total expenses 40, Net losses on investments -40, Net realised gain/(loss) - on securities portfolio 16, Realised result -23, Net change in unrealised gains/(losses) - on investment portfolio 829, Results of operations 806, Issues 7,024, Redemptions - Total changes in net assets 7,831, Total net assets at the start of the financial year - Total net assets at the end of the financial year 7,831,

79 Synchrony (LU) Swiss Small & Mid Caps (CHF) Statistics (in CHF) Total net assets Currency CHF 7,831, NAV per unit Currency A CHF I CHF Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A - 5, , I - 63, , TER per unit at 31/12/2017 (in %) A * 1.61 I * 1.01 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 77

80 Synchrony (LU) Swiss Small & Mid Caps (CHF) Statement of securities portfolio and other net assets (in CHF) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Shares CHF 1,147 Autoneum Holding AG Reg 303, , CHF 140 Barry Callebaut AG Reg 196, , CHF 74 Belimo Holding AG Reg 299, , CHF 1,397 Bossard Holding AG 282, , CHF 646 Bucher Industries SA Reg 201, , CHF 62 Chocolade Lindt & Spruengli AG Partizsch 354, , CHF 1 Chocolade Lindt & Spruengli AG Reg 69, , CHF 1,863 Comet Holding AG Reg 221, , CHF 1,793 Daetwyler Holding AG 296, , CHF 229 Dormakaba Holding AG 196, , CHF 473 Emmi AG Reg 338, , CHF 1,013 Flughafen Zurich AG Reg 236, , CHF 5,180 Galenica SA Reg 242, , CHF 282 Georg Fischer SA Reg 267, , CHF 2,000 Idorsia Ltd Reg 45, , CHF 3,550 Implenia AG Reg 247, , CHF 1,046 Komax Holding AG Reg 288, , CHF 17,758 OC Oerlikon Corp Inc 220, , CHF 544 Schindler Holding Ltd 110, , CHF 1,308 Schindler Holding Ltd Partizipsch 271, , CHF 30 Sika AG 190, , CHF 2,150 Sonova Holding AG 348, , CHF 539 Straumann Holding AG Reg 294, , CHF 799 Tecan Group AG 147, , CHF 1,783 Temenos Group AG Reg 157, , CHF 822 U-blox Hg AG Reg 155, , CHF 1,455 Valiant Holding AG Reg 159, , CHF 805 Valora Holding AG Reg 250, , CHF 1,775 VAT Gr SA Reg 219, , CHF 1,837 Vifor Pharma AG Reg 206, , Total securities portfolio 6,818, ,648, Bank balances 177, Other assets/(liabilities) 5, Total 7,831,

81 Synchrony (LU) Swiss Small & Mid Caps (CHF) Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Industry % Health services % Non-cyclical consumer durables % Consumer durables % Technology 9.53 % Commodities 5.96 % Telecommunications services 2.01 % Financial 1.96 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) Switzerland % Total % 79

82 Synchrony (LU) High Dividend Europe Stocks Statement of assets (in EUR) Assets Investment portfolio at valuation value 6,583, Bank balances 36, Receivables from sales of securities 319, Income receivable on the securities portfolio 3, Total assets 6,942, Liabilities Payables for the purchase of securities 328, Payable fees 9, Total liabilities 337, Net assets at the end of the financial year 6,604, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in EUR) A 64, EUR ,505, I 1, EUR , ,604,

83 Synchrony (LU) High Dividend Europe Stocks Statement of operations and other changes in net assets (in EUR) from 15 June 2017 to 31 December 2017 Income Dividends, net 39, Total income 39, Expenses Management Company fees 49, Transaction fees 19, Subscription tax 2, Bank interest paid Total expenses 71, Net losses on investments -31, Net realised gain/(loss) - on securities portfolio 5, Realised result -25, Net change in unrealised gains/(losses) - on investment portfolio 68, Results of operations 43, Issues 6,562, Redemptions -1, Total changes in net assets 6,604, Total net assets at the start of the financial year - Total net assets at the end of the financial year 6,604,

84 Synchrony (LU) High Dividend Europe Stocks Statistics (in EUR) Total net assets Currency EUR 6,604, NAV per unit Currency A EUR I EUR Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A - 64, , I - 1, , TER per unit at 31/12/2017 (in %) A * 1.56 I * 1.02 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 82

85 Synchrony (LU) High Dividend Europe Stocks Statement of securities portfolio and other net assets (in EUR) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Shares EUR 2,390 Air Liquide SA 239, , EUR 1,530 Allianz SE Reg 278, , EUR 3,050 Anheuser-Busch InBev SA 303, , EUR 10,770 Atlantia SpA 283, , EUR 2,850 BASF SE Reg 249, , EUR 4,440 Daimler AG Reg 292, , EUR 3,690 Danone 249, , EUR 6,740 Deutsche Post AG Reg 234, , EUR 54,250 ENEL SpA 273, , EUR 6,810 Kone Oyj B 313, , EUR 1,970 Muenchener Rueckver AG REG 346, , EUR 16,650 Royal Dutch Shell Plc A 407, , EUR 10,110 Sampo Plc A 457, , EUR 6,030 Sanofi SA 493, , EUR 3,440 Schneider Electric SE 234, , EUR 8,720 SCOR SE 299, , EUR 2,150 Siemens AG Reg 258, , EUR 9,990 Total SA 446, , EUR 5,140 Unilever NV Certif of Shares 251, , Total shares 5,914, ,998, Closed investment funds EUR 9,010 Klepierre 327, , EUR 1,210 Unibail-Rodamco SE 272, , Total closed investment funds 599, , Total securities portfolio 6,514, ,583, Bank balances 36, Other assets/(liabilities) -15, Total 6,604,

86 Synchrony (LU) High Dividend Europe Stocks Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Financial % Industry % Energy % Non-cyclical consumer durables % Commodities 7.76 % Health services 6.56 % Real estate funds 5.00 % Consumer durables 4.76 % Utilities 4.21 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) France % Germany % Finland % Netherlands % Italy 8.50 % Belgium 4.30 % Total % 84

87 Synchrony (LU) High Dividend US Stocks Statement of assets (in USD) Assets Investment portfolio at valuation value 5,783, Bank balances 39, Income receivable on the securities portfolio 4, Total assets 5,827, Liabilities Accrued expenses 8, Total liabilities 8, Net assets at the end of the financial year 5,819, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in USD) A 53, USD ,819, ,819,

88 Synchrony (LU) High Dividend US Stocks Statement of operations and other changes in net assets (in USD) from 15 June 2017 to 31 December 2017 Income Dividends, net 70, Bank interest Total income 71, Expenses Management Company fees 43, Transaction fees 3, Subscription tax 2, Total expenses 48, Net investment income 22, Net realised gain/(loss) - on securities portfolio 35, Realised result 58, Net change in unrealised gains/(losses) - on investment portfolio 405, Results of operations 464, Issues 5,355, Redemptions - Total changes in net assets 5,819, Total net assets at the start of the financial year - Total net assets at the end of the financial year 5,819,

89 Synchrony (LU) High Dividend US Stocks Statistics (in USD) Total net assets Currency USD 5,819, NAV per unit Currency A USD Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A - 53, , TER per unit at 31/12/2017 (in %) A * 1.56 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 87

90 Synchrony (LU) High Dividend US Stocks Statement of securities portfolio and other net assets (in USD) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Shares USD 2,800 AbbVie Inc 201, , USD 10,260 AT&T Inc 390, , USD 360 BlackRock Inc 150, , USD 2,850 Chevron Corp 303, , USD 1,250 Clorox Co 172, , USD 8,755 Coca-Cola Co 395, , USD 3,350 Consolidated Edison of NY Inc 279, , USD 2,710 Emerson Electric Co 162, , USD 2,250 Exxon Mobil Corp 184, , USD 3,170 Garmin Ltd Reg 165, , USD 3,220 General Mills Inc 184, , USD 1,310 Johnson & Johnson 175, , USD 1,540 Kimberly-Clark Corp 195, , USD 3,950 Leggett & Platt Inc 200, , USD 1,700 Philip Morris Intl Inc 197, , USD 1,910 Polo Ralph Lauren Corp A 138, , USD 2,020 Procter & Gamble Co 179, , USD 9,250 Southern Co 472, , USD 1,800 T. Rowe Price Group Inc 130, , USD 3,940 Target Corp 224, , USD 8,720 Verizon Communications Inc 406, , USD 2,510 VF Corp 141, , Total shares 5,053, ,499, Closed investment funds USD 4,460 Welltower REIT Inc 324, , Total closed investment funds 324, , Total securities portfolio 5,377, ,783, Bank balances 39, Other assets/(liabilities) -3, Total 5,819,

91 Synchrony (LU) High Dividend US Stocks Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Non-cyclical consumer durables % Telecommunications services % Consumer durables % Utilities % Energy 9.36 % Health services 7.80 % Financial 6.43 % Real estate funds 4.89 % Technology 3.25 % Industry 3.25 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) United States Of America % Switzerland 3.25 % Total % 89

92 Synchrony (LU) Silk Road Zone Stocks Statement of assets (in USD) Assets Investment portfolio at valuation value 3,616, Bank balances 637, Receivables for the issue of units 10, Income receivable on the securities portfolio Total assets 4,264, Liabilities Accrued expenses 4, Total liabilities 4, Net assets at the end of the financial year 4,259, Allocation of net assets per unit class Unit class Number of units Currency unit NAV per unit in the currency of the unit class Net assets Per unit class (in USD) A 41, USD ,259, ,259,

93 Synchrony (LU) Silk Road Zone Stocks Statement of operations and other changes in net assets (in USD) from 15 September 2017 to 31 December 2017 Income Dividends, net 14, Bank interest 1, Total income 15, Expenses Management Company fees 12, Transaction fees 7, Subscription tax Bank interest paid Total expenses 21, Net losses on investments -6, Net realised gain/(loss) - on currencies -8, Realised result -15, Net change in unrealised gains/(losses) - on investment portfolio 101, Results of operations 86, Issues 4,173, Redemptions - Total changes in net assets 4,259, Total net assets at the start of the financial year - Total net assets at the end of the financial year 4,259,

94 Synchrony (LU) Silk Road Zone Stocks Statistics (in USD) Total net assets Currency USD 4,259, NAV per unit Currency A USD Number of units outstanding at the start of the financial year issued redeemed outstanding at the end of the financial year A - 41, , TER per unit at 31/12/2017 (in %) A * 1.49 * TER annualised The annual performance has been calculated for the past three financial years. For sub-funds / types of units launched or cancelled during the financial year, the corresponding annual performance was not calculated. Past performance is not indicative of current or future performance. Performance data does not reflect fees and charges received upon issue and redemption of fund units. 92

95 Synchrony (LU) Silk Road Zone Stocks Statement of securities portfolio and other net assets (in USD) Currency Nominal value/quantity Name Acquisition cost Market value % of total net assets Securities portfolio Transferable securities admitted to an official stock exchange listing Shares CHF 6,750 ABB Ltd Reg 167, , CHF 180 Panalpina Welttransport Hg AG Reg 24, , CHF 220 Schindler Holding Ltd Partizipsch 48, , CHF 60 SGS SA Reg 143, , CHF 490 Zurich Insurance Group AG Reg 146, , , , EUR 4,400 Deutsche Post AG Reg 194, , EUR 1,000 Euler Hermes Group 117, , EUR 4,110 Hamburger Hafen und Logis AG Reg 128, , EUR 340 SAP SE 37, , EUR 2,400 Schneider Electric SE 204, , EUR 275 Siemens AG Reg 38, , EUR 2,100 Tecnicas Reunidas SA 68, , , , HKD 370,000 Bank of China Ltd H 187, , HKD 90,000 China Com Serv Corp Ltd H 47, , HKD 305,000 China Railway Sign & Com Corp H Unitary 144A/Reg 230, , HKD 74,000 China Resources Cement Hgs Ltd 47, , HKD 170,000 CITIC Telecom Intl Hgs Ltd 50, , HKD 150,000 Cosco Shipping Ports Ltd 160, , HKD 190,000 Industr & Cial Bk of China Ltd H 144, , HKD 35,500 Kerry Logistics Network Ltd 49, , HKD 82,000 NWS Holdings Ltd 157, , HKD 324,000 People's Ins Cie Group China Ltd H 150, , HKD 307,000 Sinotrans Ltd H 152, , HKD 51,000 Sinotruk (Hong Kong) Ltd 66, , HKD 518,000 Tianjin Port Dev Holdings Ltd 84, , ,529, ,525, USD 475 Boeing Co (The) 122, , USD 5,000 General Electric Co 88, , USD 6,200 Hollysys Automation Tec Ltd 134, , USD 850 Honeywell Intl Inc 121, , USD 1,100 ManpowerGroup 128, , , , Total shares 3,444, ,545, Open-ended investment funds Investment funds (UCITS) USD 700 Synchrony (LU) Fds Liquoptimum (USD) I Cap 71, , Total investment funds (UCITS) 71, , Total securities portfolio 3,515, ,616, Bank balances 637, Other assets/(liabilities) 5, Total 4,259,

96 Synchrony (LU) Silk Road Zone Stocks Economic and geographic breakdown of securities portfolio Economic breakdown (as a % of net assets) Industry % Financial % Technology 1.96 % Investment fund 1.68 % Telecommunications services 1.42 % Commodities 1.14 % Total % Geographic breakdown (by country of residence of the issuer) (in percentage of net assets) China % Switzerland % United States Of America % Hong Kong 9.54 % Germany 9.47 % France 8.22 % (British) Virgin Islands 3.24 % Cayman (Islands) 2.93 % Luxembourg 1.68 % Spain 1.57 % Bermuda 1.18 % Total % 94

97 SYNCHRONY (LU) FUNDS Notes to the financial statements Note 1 - Main accounting methods a) Presentation of the financial statements The Fund's financial statements are prepared in accordance with the current statutory and regulatory rules in Luxembourg relating to undertakings for collective investment, pursuant to the terms of the issue prospectus for the Fund and to the main accounting methods generally accepted in Luxembourg. A net asset value for each sub-fund was calculated as for information purposes and as part of the preparation of these financial statements. b) Valuation of assets The calculation was made on the basis of the last closing prices of all global stock markets available at the date of the financial statements or the last price available at the date of the financial statements. The securities, money market instruments, options and contracts admitted to or traded on a recognised stock exchange or on a regulated market are valued on the basis of the last price available at the date of the financial statements and if several markets exist, on the basis of the last known price of the stock exchange which constitutes the main market for the security in question, unless such prices are not representative. For unlisted marketable securities, as well as for listed marketable securities for which the last known price is not representative as well as money market instruments other than those listed on a regulated market, the valuation is based on the probable reasonable realisable value, estimated prudently and in good faith by the Management Company. Liquid assets are valued at their nominal value plus any interest that has accrued but is not yet due. Units of undertakings for collective investment are valued on the basis of the last available net asset value at the date of the financial statements or the last available closing price at the date of the financial statements. OTC derivative instruments are valued at fair value. c) Acquisition cost of the securities in the portfolio The acquisition cost of the securities of each sub-fund that are denominated in a currency other than the currency of the sub-fund is converted into this currency at the exchange rate prevailing on the date of purchase. d) Net realised gains and losses on the securities portfolio The realised gains and losses on the securities portfolio are determined on the basis of the average acquisition cost and are shown net in the statement of operations and other changes in net assets. e) Income on the securities portfolio Dividend income is recorded at the ex-date, net of any withholding tax. Interest income accrued and matured is shown net of any withholding tax. 95

98 SYNCHRONY (LU) FUNDS Notes to the financial statements (continued) f) Forward exchange contracts Unrealised net gains or losses are shown in the statement of assets. Net realised gains or losses and the net change in unrealised gains or losses are shown in the statement of operations and other changes in net assets. g) Conversion of foreign currencies Cash at banks, other net assets and the valuation of portfolio securities expressed in currencies other than the reference currency of the sub-fund are converted into this currency at the exchange rate prevailing on the date of the financial statements. Income and expenses expressed in currencies other than the reference currency of the sub-fund are converted into this currency at the exchange rate prevailing on the date of the transaction. Exchange gains or losses are recorded in the statement of operations and other changes in net assets. h) Consolidated financial statements The consolidated financial statements of the Fund are expressed in EUR and are equal to the sum of the corresponding items in the financial statements of each sub-fund converted to this currency at the exchange rates prevailing at the date of the financial statements. At the date of the financial statements, the exchange rate used for the consolidated statements is as follows: 1 EUR = CHF Swiss Franc USD US Dollar i) Revaluation difference The "Revaluation difference" section in the consolidated statement of operations and other changes in net assets represents the difference in the valuation of net assets of the sub-funds at the start of the year and the exchange rate applicable at the date of the financial statements. j) Transaction fees Transaction costs recorded under "Transaction fees" in the statement of operations and other changes in net assets mainly consist of brokerage fees borne by the Fund and transaction settlement fees paid to the custodian. Transaction fees relating to bonds are included in the investment acquisition cost. Note 2 - Management Company fees The sub-funds pay, in addition to brokerage fees and the usual banking fees payable on transactions in the sub-fund's securities portfolio, costs related to services for the calculation of trailer fees and expenses related to recovering taxes in favour of the sub-fund, a fee payable to the management company: Sub-fund Maximum rate p.a. Effective rate p.a. Synchrony (LU) World Bonds (CHF) Synchrony (LU) World Bonds (EUR) Class A Class I Class A Class I 1.00 % 1.00 % 1.00 % 1.00 % 0.80 % 0.40 % 0.80 % 0.40 % 96

99 SYNCHRONY (LU) FUNDS Notes to the financial statements (continued) Sub-fund Maximum rate p.a. Effective rate p.a. Synchrony (LU) World Bonds (USD) (launched on 15 June 2017) Synchrony (LU) Balanced (EUR) Class I 1.00 % 0.40 % Class A Class I 1.60 % 1.60 % 1.30 % 0.65 % Synchrony (LU) Dynamic (EUR) Class A 1.80 % 1.30 % Synchrony (LU) World Equity (EUR) Class A 2.00 % 1.70 % Synchrony (LU) European Equity (EUR) Class A 2.00 % 1.70 % Synchrony (LU) Liquoptimum (CHF) Class I 0.75 % 0.10 % Synchrony (LU) Liquoptimum (EUR) Class I 0.75 % 0.15 % Synchrony (LU) Liquoptimum (USD) Class I 0.75 % 0.20 % Synchrony (LU) Swiss All Caps (CHF) (launched on 15 June 2017) Synchrony (LU) Swiss Small & Mid Caps (CHF) (launched on 15 June 2017) Synchrony (LU) High Dividend Europe Stocks (launched on 15 June 2017) Synchrony (LU) High Dividend US Stocks (launched on 15 June 2017) Synchrony (LU) Silk Road Zone Stocks (launched on 15 September 2017) Class A (launched on 19 June 2017) Class I Class A Class I Class A Class I (launched on 24 October 2017) 1.80 % 1.30 % 1.80 % 1.30 % 1.80 % 1.30 % 1.50 % 1.00 % 1.50 % 1.00 % 1.50 % 1.00 % Class A 1.80 % 1.50 % Class A 1.80 % 1.50 % The fee is payable in twelfths for each unit class to the Management Company at the end of each month and is calculated on the basis of the value of the sub-fund's average monthly net assets. The Management Company shall cover the costs listed below for the sub-funds: - all taxes, - investment manager fees, - fees charged by the custodian bank, transfer agent and registrar, and administrative agent fees, - auditor fees, - costs of preparing and distributing the annual and semi-annual reports, - costs related to the use of names of indices or benchmarks, - costs of filing and publishing contracts and other documents relating to the Fund, including taxes for registration with all government authorities and all exchanges, - costs of preparing, translating, printing and distributing periodic publications and other documents required by law or by regulations, - costs of preparing and communicating information to unitholders, - fees for legal advisors and any other similar recurring taxes, - costs related to special measures, in particular studies, legal advice or procedures initiated for the protection of the shareholders; - fees related to the activities conducted by the official representative of the Fund in Switzerland and the payment service in Switzerland. The advertising costs and other expenses directly linked to the tender or distribution of shares, including the cost of printing and reproduction of documents used by distributors in connection with their business are not incurred by the Fund's sub-funds. 97

100 SYNCHRONY (LU) FUNDS Notes to the financial statements (continued) Note 3 - Management fee of target funds The management fee of target funds in which the Fund invests is up to 5% p.a. excluding any performance fee calculated on the net assets invested in the target funds. Note 4 - Rebate of management fees Rebates of management fees received by the Fund connected with its investments in UCITS or other UCIs are shown under the "Other fees received" heading in the statement of operations and other changes in net assets. Note 5 - Issue, redemption and conversion fees No subscription or redemption fee is applied for the sub-funds. For each sub-fund a sales fee of up to 3% and a conversion fee of up to 1% of the net asset value of a unit of the sub-fund are paid to the distributor. Note 6 - Subscription duty The Fund is governed by Luxembourg law. In accordance with law and regulations in force, the Fund is subject to a subscription duty of 0.05% per annum of its net assets for class A and 0.01% for class I, payable quarterly on the basis of the value of the net assets at the end of each quarter. In accordance with Article 175 a) of the amended law of 17 December 2010, the amount of net assets invested in the UCI already subject to subscription duty is exempt from this tax. For the following sub-funds, the Management Company covers the subscription duty: - Synchrony (LU) World Bonds (CHF) - Synchrony (LU) World Bonds (EUR) - Synchrony (LU) Balanced (EUR) - Synchrony (LU) Dynamic (EUR) - Synchrony (LU) World Equity (EUR) - Synchrony (LU) European Equity (EUR) The other sub-funds cover this duty. Note 7 - Total Expense Ratio ("TER") The TER presented in this financial statement's "Statistics" is calculated in accordance with the Guidelines on the calculation and disclosure of the Total Expense Ratio of collective investment schemes, issued on 16 May 2008 by the Swiss Funds & Asset Management Association "SFAMA", as amended on 20 April The TER is calculated for the 12 month-period preceding the date of these financial statements. Transaction fees are not included in the calculation of the TER. When a Fund invests at least 10% of its net assets in other funds publishing a TER, a (synthetic) compound TER of the fund of funds is calculated on the annual or half-yearly reporting date. This 98

101 SYNCHRONY (LU) FUNDS Notes to the financial statements (continued) corresponds to the total of the proportional TER for the various target funds, weighted according to their share of the fund s total net assets on the reference date, issuing and redemption commissions for the target funds actually paid and the TER of the umbrella fund minus any trailer fees collected by the target funds during the period under review. The synthetic TER is calculated on the basis of the information available at the time of the financial statements were prepared. Note 8 - Changes in the composition of the securities portfolio The changes in the composition of the securities portfolio during the reporting period are available upon request free of charge from the Fund s management company and from the depositary, the distributors and the payment domiciles of the Fund as well as from its representative in Switzerland, GÉRIFONDS SA, 2 Rue du Maupas, CH-1004 Lausanne. Note 9 - Cross investments In accordance with Article 181 (8) of the law of 17 December 2010 on undertakings for collective investment, as amended, the sub-fund Synchrony (LU) Silk Road Zone Stocks (launched on 15 September 2017) was invested in the following sub-fund as : Sub-funds Quantity Name Synchrony (LU) Silk Road Zone Stocks (launched on 15 September 2017) 700 Currency of the sub-fund Market value % of total net assets Synchrony (LU) Fds Liquoptimum (USD) I Cap USD 71, The consolidated statement of assets has not been adjusted to offset the impact of the above. 99

102 SYNCHRONY (LU) FUNDS Additional information (unaudited) 1 - Management of overall risk In accordance with the requirements of Circular CSSF 11/512, the Board of Directors of the Management Company must determine the Fund's overall risk, either using the commitment approach or the VaR approach. In terms of risk management, the Board of Directors of the Management Company chose to adopt the commitment approach as the means of determining the overall risk. 2 - Remuneration The European Directive 2014/91/EU amending Directive 2009/65/EC relating to undertakings for collective investment in transferable securities, which applies to the Fund, entered into force on 18 March Directive 2014/91/EU was transposed into national law with the Luxembourg law of 10 May As a result of this new regulation, the Fund is required to publish information in its annual report relating to the remuneration of the categories of employees identified within the meaning of the law. There are eight persons included in the remuneration policy as of 31 December The total remuneration for these people relating to the Fund is EUR 97,263 including EUR 80,602 of fixed pay and EUR 16,661 of variable remuneration during the financial year. Eight members of senior management are included within the remuneration policy. Amongst the eight members of senior management, two of them also have monitoring functions (one is the compliance officer and the other is a risk manager). The whole of the remuneration is allocated to senior management. The remuneration has been calculated on a prorata basis. No irregularities have been identified during the annual review. No material change to the remuneration policy was agreed during the year. More information on the remuneration policy may be obtained directly from the offices of GERIFONDS (Luxembourg) SA, 43, Boulevard Prince Henri, L-1724 LUXEMBOURG. 3 - Information relating to the transparency of securities financing transactions and the reuse of cash collateral (EU regulation 2015/2365, hereinafter "SFTR") At the date of the financial statements, the requirements of the SFTR publications did not apply to the Fund. No transaction within the framework of the SFTR regulations was carried out during the financial statements reporting period. 100

103 INFORMATION AND DOCUMENTATION Our Funds on: Website: Management Company 43, Boulevard Prince Henri L-1724 Luxembourg Tel.: Fax : INFORMATION AND DOCUMENTATION FOR INVESTORS IN SWITZERLAND Our Funds on: Website: info@gerifonds.ch and Fund paying agent in Switzerland Place Saint-François 14 Case postale 300 CH-1001 Lausanne Tel.: Fax : Fund representative in Switzerland Rue du Maupas 2 CH-1004 Lausanne Tel.: Fax :