3 MARCH, 2003 AIA-JF MPF FUND PERFORMANCE RANKS NUMBER ONE TWO YEARS IN A ROW (HONG KONG, 3 March 2003) American International Assurance (AIA) JF Asset Management Limited (JF) announces its number one ranking of the Growth Portfolio offered under the AIA-JF Premium MPF Scheme since inception. The accreditation comes into light with the recent publications of the HKIFA MPF Fund Performance Table, the Watson Wyatt MPF Performance Book and the Basic MPF Monitor released by the three authoritative third-parties namely the Hong Kong Investment Funds Association (HKIFA), Watson Wyatt (HK) Ltd. and Mercer Investment Consulting respectively. AIA-JF also topped the Mercer MPF Index by Mercer Investment Consulting as the Best Performer in the categories of Growth, Stable Growth and Capital Growth for 25 months since inception on 1 December 2000 till 31 December 2002. The outstanding performance, once again, leverages the powerful strategic partnership of AIA and JF, said Desmond Chan, Managing Director, AIA Pension and Trustee Co. Ltd. It not only testifies to our commitments to providing our clients with first-class services and investment expertise, but also stands a major milestone of AIA-JF being the prime MPF service provider in the industry. Gerry Ng, Head of Institutional Sales and Client Services of JF Asset Management Limited added, It is not an easy task to be ranked number one across three lifestyle funds, namely the Growth, Balanced and Conservative Portfolio, especially in such a difficult investment environment. Needless to say we are extremely proud to have been named the Best Performer. 1
AIA-JF conducts its Customer Satisfaction Survey twice a year to monitor the satisfaction level of its MPF customers relative to the MPF market as a whole. Results of the latest survey showed that AIA-JF has led in 7 out of 14 specific service attributes. The knowledgeability on products, administrative issues and easy accessibility of service staff stood out. The results also indicated that information sent to customers was easy to understand, clear and helpful. In addition, customers were highly satisfied with the user-friendliness of AIA-JF s Interactive Voice Response (IVR) System, Interactive Website and electronic payroll solution. The survey also unveiled that the choice of funds offered by AIA-JF matches the clients investment needs. MPF is a long-term investment, the preferred choice of customers lies upon companies which offer unmatched quality service and outstanding fund performance, commented Mr Chan. When MPF was first introduced back on 1 December 2000, we adopted a simple approach to familiarize the market with the system. We further cater to our customer needs by adding four new funds in March 2002. We strongly believe that being attentive to the needs of our customers, providing them with the right mix of investment choices coupled with the best quality service are our primary objectives. AIA Pension and Trustee Co. Ltd. has recently launched the Incentive Bonus Package to promote the enrolment of small-to-medium corporations in the AIA-JF Mandatory Provident Fund Scheme as well as the usage of electronic medium in contribution data submission. AIA-JF recorded over 400% increase in the members usage of electronic medium for submission of contribution data on a year-on-year comparison from last year. AIA American International Assurance Company, Limited (AIA) is Southeast Asia s largest life insurer, with branch offices and affiliated companies located in countries and jurisdictions including China, Hong Kong, Macau, Malaysia, Thailand, Singapore, 2
Brunei, Guam, Indonesia, Vietnam, Taiwan, the Philippines, Japan, Korea, Australia and New Zealand. The company has been assigned AAA financial strength and counterparty credit rating by global credit rating service Standard & Poor s. AIA is a wholly owned subsidiary of American International Group, Inc. (AIG), the world leader in insurance and the largest underwriter of commercial and industrial insurance in the United States. American International Group, Inc. (AIG) is the world s leading U.S.-based international insurance and financial services organization, the largest underwriter of commercial and industrial insurance in the United States, and among the top-ranked U.S. life insurers. Its member companies write a wide range of general insurance and life insurance products for commercial, institutional and individual customers through a variety of distribution channels in approximately 130 countries and jurisdictions throughout the world. AIG s global businesses also include financial services, retirement savings and asset management. AIG s financial services businesses include aircraft leasing, financial products, trading and market making, and consumer finance. AIG has one of the largest retirement savings businesses in the United States and is a leader in asset management for the individual and institutional markets, with specialized investment management capabilities in equities, fixed income, alternative investments and real estate. AIG s common stock is listed on the New York Stock Exchange, as well as the stock exchanges in London, Paris, Switzerland and Tokyo. AIA Pension and Trustee Co. Ltd. AIA Pension and Trustee Co. Ltd. (AIAPT), an affiliated company of AIA, specializes in trustee and retirement savings products and services. Together with AIA, the company has been providing pension products and services for over 28 years in Hong Kong. JF Asset Management Limited For over 30 years JF Asset Management (JFAM) has been at the forefront of investment in Asia. Founded and headquartered in Hong Kong, it has one of the largest investment teams in the region and is widely regarded as the Asia specialist. 3
JFAM forms a key part of JPMorgan Fleming Asset Management, one of the world's leading asset management companies, which has a global network of over 700 investment professionals located in 40 locations worldwide and assets under management of US$516 billion*. This enormous global investment capability is based on a strong local market presence across four regions - Asia, Europe, Japan and the US - and bringing together an incredible pool of specialist investment knowledge and expertise which further enhances its capabilities to provide its clients with the very best products. With its reputation for innovation and market leadership, JFAM is committed to helping investors reach their financial goals by providing them with a broad range of professionally managed funds, excellence in investment performance, and the highest quality of client service. JFAM's commitment and disciplined investment approach is recognised by investors worldwide. JFAM believes that assets are best managed by specialists located in the markets and regions in which they invest. Having over 700 investment professionals globally provides fund managers with direct access to local market knowledge. Moreover, through original research and company visits, the fund managers are able to identify those companies with superior long-term potential and those that can react quickly to market changes. This philosophy has proven extremely successful over the years, resulting in numerous performance awards and high ratings from independent agencies. * As at 31 December 2002 - End - 4
FACT SHEET AIA-JF Premium MPF Scheme HKIFA Monthly MPF Performance Table as at 29 November 2002 Watson Wyatt MPF Performance Book as at 31 December 2002 Mercer MPF Monitor as at 31 December 2002 Name of the Constituent Fund Ranking % Growth 1 Year Industry Average Ranking % Growth 1 Year Median Ranking % Growth 25 Months* Median Growth Portfolio 1 / 24-6.84% -10.16% 1 / 24-12.3% -15.1% 1 / 15-10.1% -15.9% Balanced Portfolio 3 / 30-0.97% -3.47% 3 / 29-2.5% -3.9% 1 / 13-3.0% -6.2% Conservative Portfolio 4 / 29 2.13% -0.16% 3 / 30 2.9% 1.8% 1 / 15-0.9% -2.2% Guaranteed Portfolio 7 / 33 1.5% -1.86% 7 / 32 1.5% 0% 2 / 16 3.1% -0.25% * 1 December 2000 to 31 December 2002 5