MONTHLY MARKET MONITOR (M 3 ) January 2016

MONTHLY MARKET MONITOR (M 3 ) January 2016 February 1st, 2016 THE LATEST MONTHLY MARKET RETURNS FROM THE RICHARDSON GMP TEAM GLOBAL MARKETS AT A GLANCE Americas Level 1mo 3mo 6mo 12mo YTD BRIC Level 1mo 3mo 6mo 12mo YTD S&P/TSX Composite 12,822-1.4-5.2-11.4-12.6-1.4 Brazil 40,406-6.8-11.9-20.6-13.9-6.8 S&P/TSX Comp TR 40,404-1.2-4.4-9.9-9.9-1.2 Russia 745-1.6-11.9-13.2 1.1-1.6 S&P 500 1,940-5.1-6.7-7.8-2.7-5.1 India 24,871-4.8-6.7-11.5-14.8-4.8 S&P 500 Total Return 3,632-5.0-6.2-6.8-0.7-5.0 China 2,738-22.6-19.1-25.3-14.7-22.6 Dow Jones Ind Avg 16,466-5.5-6.8-6.9-4.1-5.5 NASDAQ Comp 4,614-7.9-8.7-10.0-0.5-7.9 MSCI Level 1mo 3mo 6mo 12mo YTD Mexico Bolsa 43,631 1.5-2.0-2.5 6.5 1.5 World 1,562-6.1-8.4-11.5-6.9-6.1 S&P/TSX Venture Composite 500-5.0-7.8-15.9-26.2-5.0 EAFE 1,591-7.3-10.2-15.3-10.7-7.3 Russell 2000 1,035-8.8-10.9-16.4-11.2-8.8 Emerging Markets 742-6.5-12.4-17.7-22.8-6.5 Europe Level 1mo 3mo 6mo 12mo YTD EURO STOXX 50 3,045-6.8-10.9-15.4-9.1-6.8 Foreign Indices in CAD$ 1mo 3mo 6mo 12mo YTD England (FTSE) 6,084-2.5-4.4-9.1-9.9-2.5 S&P 500-3.7 0.1-0.8 7.3-3.7 France (CAC 40) 4,417-4.7-9.8-13.1-4.1-4.7 S&P 500 Total Return -3.6 0.7 0.3 9.6-3.6 Germany (DAX) 9,798-8.8-9.7-13.4-8.4-8.8 EURO STOXX 50-5.6-5.9-10.3-3.7-5.6 Spain (IBEX) 8,816-7.6-14.9-21.2-15.3-7.6 MSCI World -4.7-1.7-4.8 2.7-4.7 MSCI EAFE -5.9-3.6-8.9-1.5-5.9 Asia Level 1mo 3mo 6mo 12mo YTD MSCI Emerging -5.1-6.0-11.4-14.9-5.1 Japan (Nikkei) 17,518-8.0-8.2-14.9-0.9-8.0 Hong Kong (Hang Seng) 19,683-10.2-13.1-20.1-19.7-10.2 Fixed Income 1mo 3mo 6mo 12mo YTD Australia (ASX 200) 5,006-5.5-4.5-12.2-10.4-5.5 FTSE TMX Universe Bond 0.39 1.63 0.08-0.68 0.39 Note: Returns are in local currency unless otherw ise indicated MARKET QUILT 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 YTD TSX Composite 30% 6% -14% -14% 24% 12% 22% 15% 7% -35% 31% 14% -11% 4% 10% 7% -11% -1% S&P 500 20% -10% -13% -23% 26% 9% 3% 14% 4% -38% 23% 13% 0% 13% 30% 11% -1% -5% NASDAQ 86% -39% -21% -32% 50% 9% 1% 10% 10% -41% 44% 17% -2% 16% 38% 13% 6% -8% U.S. Small Cap 20% -4% 1% -22% 45% 17% 3% 17% -3% -35% 25% 25% -5% 15% 37% 4% -6% -9% Europe 47% -3% -20% -37% 16% 7% 21% 15% 7% -44% 21% -6% -17% 14% 18% 1% 4% -7% Japan 37% -27% -24% -19% 24% 8% 40% 7% -11% -42% 19% -3% -17% 23% 57% 7% 9% -8% EAFE 25% -15% -23% -18% 35% 18% 11% 23% 9% -45% 28% 5% -15% 14% 19% -7% -3% -7% Emerging 64% -32% -5% -8% 52% 22% 30% 29% 36% -54% 74% 16% -20% 15% -5% -5% -17% -7% Canadian Short Bonds 4% 7% 9% 4% 4% 4% 2% 4% 5% 8% 2% 2% 3% 1% 1% 1% 1% 0% Canadian Long Bonds -6% 13% 5% 11% 8% 10% 15% 3% 5% 12% -5% 12% 20% 5% -9% 17% 6% 2% US Short Bonds 3% 8% 8% 6% 2% 1% 2% 4% 7% 7% 1% 2% 2% 0% 0% 1% 1% 1% US Long Bonds -9% 20% 4% 17% 2% 8% 6% 2% 10% 25% -13% 10% 29% 4% -13% 25% -1% 5% Gold 0% -5% 2% 25% 19% 6% 18% 23% 31% 6% 24% 30% 10% 7% -28% -2% -10% 5% S&P/TSX Venture 4% 63% 4% 23% 34% -5% -72% 91% 50% -35% -18% -24% -25% -24% -5% Note: Returns are in local currency terms

SECTOR PERFORMANCE (local returns) TSX Sector S&P 500 Sector Performance 1mo 3mo 6mo 12mo YTD Weight Performance 1mo 3mo 6mo 12mo YTD Weight Materials -2.0-5.5-11.0-34.4-2.0 9.0 Materials (US) -10.6-14.1-15.1-18.3-10.6 2.6 Energy 0.5-9.0-14.1-23.7 0.5 19.1 Energy (US) -3.1-13.4-14.4-22.1-3.1 6.5 Industrials -3.1-6.7-11.5-14.4-3.1 7.5 Industrials (US) -5.8-7.3-6.5-6.8-5.8 9.9 Consumer Disc -6.5-14.5-17.8-9.7-6.5 7.6 Consumer Disc (US) -5.2-8.3-7.4 6.1-5.2 13.1 Consumer Staples 1.8 4.4 2.6 9.8 1.8 5.6 Consumer Staples (US) 0.4 1.7 1.1 5.6 0.4 11.8 Health Care -9.3 5.4-59.2-35.7-9.3 2.8 Health Care (US) -7.7-6.7-13.0-4.0-7.7 14.5 Financials -1.6-4.4-5.1-1.2-1.6 37.6 Financials (US) -9.0-9.6-13.6-5.5-9.0 15.4 Info Tech -3.6 4.7 0.9 4.9-3.6 3.0 Info Tech (US) -4.9-6.6-3.6 3.2-4.9 20.4 Telecom Svs 3.5-4.4-0.4-3.2 3.5 5.2 Telecom Svs (US) 5.5 5.9 4.2 6.0 5.5 2.6 Utilities 5.8 5.0 1.5-8.3 5.8 2.6 Utilities (US) 4.9 3.9 3.4-6.1 4.9 3.2 COMMODITIES Energy Level 1mo 3mo 6mo 12mo YTD Precious Metals Level 1mo 3mo 6mo 12mo YTD Nat Gas (US/MMBtu) $2.30-2.8-8.2-26.1-29.3-2.8 Gold (US/oz) $1,116 5.2-2.3 1.7-13.0 5.2 WTI Crude (US/bbl) $33.62-11.9-31.3-34.0-42.6-11.9 Silver (US/oz) $14.24 3.2-8.8-4.0-18.0 3.2 Gasoline (USd/gal) 113.23-12.8-20.0-24.4-29.0-12.8 Grains Heating Oil (USd/gal) 107.87-6.1-31.4-35.5-41.5-6.1 Corn (US/bu) $3.72 3.7-2.7 0.3 0.5 3.7 Industrials Wheat (US/bu) $4.79 2.0-8.2-4.0-4.7 2.0 Aluminum (US/lb) $0.69 0.8 2.8-7.3-19.6 0.8 Soybeans (US/bu) $8.82 1.3-0.2-10.0-8.2 1.3 Nickel (US/lb) $3.90-2.4-14.7-22.5-43.8-2.4 Livestock Copper (US/lb) $2.07-3.1-10.8-12.8-17.0-3.1 Hogs (US/lb) $0.71 7.2 4.9-0.7-1.9 7.2 Lead (US/lb) $0.78-4.2 1.4 0.9-7.6-4.2 Cattle (US/lb) $1.34-2.9-5.7-8.6-9.9-2.9 Tin (US/lb) $6.74 2.0-1.0-8.9-21.9 2.0 Soft Commodities Zinc (US/lb) $0.74 0.9-5.1-15.3-23.6 0.9 Cocoa (US/MT) $2,761-14.0-15.4-14.4 3.4-14.0 Lumber (US/1000bf) $240-6.7-5.2-4.6-25.3-6.7 Sugar (USD/lb) $13.14-13.8-9.5 6.0-21.1-13.8 Cotton (USD/lb) 61.13-3.4-3.0-4.8-3.4-3.4 FCOJ (USD/lb) $132.40-8.5-0.9 3.2-7.2-8.5 Coffee (USD/lb) $116.35-8.2-6.4-11.9-33.7-8.2 CURRENCIES AND BONDS Canadian Yields Current -1mo -3mo -6mo -12mo EFFAS Gov Bonds 1mo 3mo 6mo 12mo YTD 3M T-bills 0.46 0.51 0.44 0.40 0.59 All 0.99 2.22 1.33 0.38 0.99 2-yr Govt Bonds 0.42 0.48 0.58 0.41 0.39 1-5 years 0.26 0.65 0.34 0.73 0.26 5-yr Govt Bonds 0.68 0.73 0.88 0.77 0.60 5-10 years 1.18 2.41 1.93 1.68 1.18 10-yr Govt Bonds 1.23 1.39 1.54 1.44 1.25 10+ years 2.16 4.96 2.63-0.71 2.16 30-yr Govt Bonds 2.04 2.15 2.30 2.13 1.83 Currency Levels Current -1mo -3mo -6mo -12mo U.S. Yields Canadian Spot 1.3976 1.3839 1.3080 1.3091 1.2732 3M T-bills 0.31 0.16 0.07 0.06 0.00 Cdn - Euro 0.6610 0.6655 0.6947 0.6955 0.6958 2-yr Treasury Bonds 0.77 1.05 0.72 0.66 0.45 Cdn - Australian 1.0105 0.9915 1.0712 1.0463 1.0117 5-yr Treasury Bonds 1.33 1.76 1.52 1.53 1.15 Euro - US 1.0831 1.0862 1.1006 1.0984 1.1291 10-yr Treasury Bonds 1.92 2.27 2.14 2.18 1.64 Yen - US 121.14 120.22 120.62 123.89 117.49 30-yr Treasury Bonds 2.74 3.02 2.92 2.91 2.22 British Pound - US 1.4244 1.4736 1.5428 1.5622 1.5060 Trade Weighted Dollar 99.61 98.63 96.95 97.34 94.80 Blended Benchmark Returns (S&P/TSX Composite TR and FTSE TMX Universe Bond) 1mo 3mo 6mo 12mo YTD 75% TSX TR / 25% Bonds -0.78-2.91-7.42-7.58-0.78 60% TSX TR / 40% Bonds -0.54-2.00-5.92-6.20-0.54 30% TSX TR / 70% Bonds -0.08-0.19-2.92-3.44-0.08

Long Term Returns (local annualized) YTD 1yr 2yr 3yr 5yr 7yr 10yr 15yr S&P/TSX Comp (price) -1.4-12.6-3.2 0.4-1.1 5.7 0.7 2.1 S&P/TSX Total Return -1.2-9.9-0.3 3.4 1.9 8.9 3.6 4.7 S&P/TSX VENTURE COMP IDX -5.0-26.2-27.5-25.8-26.2-7.8-15.1 S&P 500 (price) -5.1-2.7 4.3 9.0 8.6 13.0 4.2 2.4 S&P 500 Total Return -5.0-0.7 6.5 11.3 10.9 15.4 6.5 4.4 NASDAQ (price) -7.9-0.5 6.0 13.7 11.3 17.7 7.2 3.5 Europe EURO STOXX 50-6.8-9.1 0.5 4.1 0.6 4.5-1.9-3.0 S&P Europe 350-6.3-8.1 2.5 5.5 3.8 8.2 0.4-0.7 England (FTSE) -2.5-9.9-3.3-1.0 0.7 5.6 0.5-0.2 France (CAC 40) -4.7-4.1 3.0 5.8 2.0 5.8-1.1-2.0 Germany (DAX) -8.8-8.4 2.6 8.0 6.7 12.3 5.6 2.5 Spain (IBEX) -7.6-15.3-5.7 1.8-4.0 0.6-2.3-0.9 Asia Japan (NIKKEI) -8.0-0.9 8.4 16.3 11.3 11.9 0.5 1.6 Hong Kong (Hang Seng) -10.2-19.7-5.5-6.0-3.4 5.8 2.3 1.3 Australia (ASX 200) -5.5-10.4-1.8 0.9 1.0 5.1 0.2 2.7 BRIC Brazil -6.8-13.9-7.9-12.2-9.5 0.4 0.5 5.7 Russia -1.6 1.1-24.3-22.8-16.8 4.8-5.5 10.2 India -4.8-14.8 10.1 7.7 6.3 14.9 9.6 12.4 China -22.6-14.7 16.0 4.7-0.4 4.7 8.1 1.9 MSCI World -6.1-6.9-1.1 3.6 3.6 9.3 1.8 1.5 EAFE -7.3-10.7-6.9-1.9-1.3 5.2-1.1 0.4 Emerging Markets -6.5-22.8-11.0-11.4-7.9 4.9-0.5 4.6 Bonds All Government Bonds 1.0 0.4 4.7 3.4 4.3 4.0 4.6 5.4 FTSE TMX Universe Bond 0.4-0.7 5.0 4.0 5.0 5.4 Long Term Returns (C$ annualized) YTD 1yr 2yr 3yr 5yr 7yr 10yr 15yr S&P 500 (price) -3.7 7.3 17.3 22.1 16.1 15.1 6.4 1.9 S&P 500 Total Return -3.6 9.6 19.7 24.7 18.6 17.6 8.7 3.9 NASDAQ (price) -6.5 9.8 19.2 27.4 19.1 19.8 9.4 3.0 Europe EURO STOXX 50-5.6-3.7 1.2 8.2 2.7 3.9-1.0-2.4 S&P Europe 350-5.2-2.6 3.2 9.7 5.9 7.5 1.3-0.1 England (FTSE) -4.5-5.9 1.0 6.9 5.2 7.3 0.3-0.8 France (CAC 40) -3.5 1.6 3.7 10.0 4.1 5.2-0.2-1.4 Germany (DAX) -8.4-2.9 3.3 12.3 8.9 11.7 6.6 3.1 Spain (IBEX) -6.5-10.2-5.1 5.8-2.0 0.0-1.4-0.3 Asia Japan (Nikkei) -7.3 6.1 12.0 18.7 10.2 9.2 2.2 0.9 Hong Kong (Hang Seng) -9.2-11.8 5.8 5.2 3.3 7.7 4.3 0.9 Australia (ASX 200) -6.8-9.9-0.7-0.7 0.9 8.6 1.5 4.0 BRIC Brazil -6.9-36.2-19.6-22.1-18.7-5.5-3.3 Russia -0.5 11.5-14.9-13.5-11.0 6.8-3.6 India -5.7-14.0 18.8 11.4 5.1 11.7 7.2 China -22.5-10.5 24.9 15.2 6.6 7.1 12.5 MSCI World -4.7 2.7 11.1 16.1 10.8 11.3 3.9 1.1 EAFE -5.9-1.5 4.6 9.9 5.6 7.2 0.9 0.0 Emerging Markets -5.1-14.9 0.1-0.8-1.5 6.9 1.5 4.1 Bonds All Government Bonds 1.7 5.7 5.2 7.4 6.4 3.4 5.6 5.9

11700 12200 12700 13200 13700 14200 14700 8/18/15 9/2/15 9/17/15 10/2/15 10/17/15 11/1/15 11/16/15 12/1/15 12/16/15 12/31/15 1/15/16 S&P TSX Composite 1.18 1.23 1.28 1.33 1.38 1.43 1.48 USD/CAD 26 31 36 41 46 51 56 WTI Crude 1850 1900 1950 2000 2050 2100 2150 S&P 500 1.00 1.02 1.04 1.06 1.08 1.10 1.12 1.14 1.16 1.18 EUR/USD 26 31 36 41 46 51 56 61 66 Brent Crude 2750 2850 2950 3050 3150 3250 3350 3450 3550 3650 3750 Euro Stoxx 1.4 1.42 1.44 1.46 1.48 1.5 1.52 1.54 1.56 1.58 1.6 GBP/USD 1.7 1.9 2.1 2.3 2.5 2.7 2.9 3.1 3.3 3.5 Natural Gas 16000 17000 18000 19000 20000 21000 22000 Nikkei 0.65 0.66 0.67 0.68 0.69 0.7 0.71 0.72 0.73 0.74 0.75 AUD/USD 1000 1020 1040 1060 1080 1100 1120 1140 1160 1180 1200 Gold 4400 4500 4600 4700 4800 4900 5000 5100 5200 NASDAQ 90 92 94 96 98 100 102 U.S. Dollar Index World Equities Currencies Commodities 13.00 13.50 14.00 14.50 15.00 15.50 16.00 16.50 Silver

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