Monthly Competitive Book...Popularity of Exchange Traded Funds (ETFs) in the Canadian market • 2014 has been the best year on record for the ETF market in Canada, with $10.3B in

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Monthly Competitive Book Prepared for Canadian Advisory Services

Global Product Management

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Please contact Jack Zhu at x117-2318

if you have any questions December 2014

FOR INTERNAL USE ONLY – NOT TO BE DISTRIBUTED OUTSIDE OF FRANKLIN TEMPLETON INVESTMENTS. These materials have been prepared for internal use by FTI personnel that offer, sell or otherwise provide information about FTI products and services to third parties. These materials may provide only certain limited information, and do not necessarily include all relevant information, about an FTI product or service. Consequently, FTI personnel using these materials should first review other relevant information to ensure a full understanding about the product or service being offered. Other relevant information includes but is not limited to prospectuses or other offering documents, shareholder reports, fact sheets, product profiles, any links to information included in these materials and other product- or service-specific information that is provided to third parties.

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INTERNAL USE ONLY DECEMBER 2014

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Table of Contents

SALES SUPPORT…................................................................................................................... 3 – 9

3-7

Franklin Quotential Portfolios V.S. CI Investments Portfolio Series

3 – 4

Investing in ETFs Versus a Portfolio of Actively Managed Funds

5 – 6

Winners and Losers from Oil Price Decline

7 – 8

Take a Fresh Look at the Franklin U.S. Core Equity Fund

9

COMPETITOR INTELLIGENCE.................................................................................................. 10 – 23

NEW FUNDS IN MORNINGSTAR................................................................................................

24

ECONOMIC SCORECARD………................................................................................................ 25 – 28

ASSET CLASS PERFORMANCE............................................................................................... 29 – 30

INDUSTRY FLOWS.................................................................................................................... 31 – 34

MORNINGSTAR RATINGS.........................................................................................................

35 – 43

INVESTMENT TERM GLOSSARY…………………………………………………………….....................

44

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Franklin Quotential Portfolios V.S. CI Investments Portfolio Series

Franklin Quotential and CI Investment Portfolio Series Overview

• Franklin Quotential program was launched in August 2002, a pioneer of its time as a one-stop-solution with options covering a range of client risk/return profiles. Over the last decade, Franklin Quotential program continued to focus on delivering superior long-term risk adjusted return, by investing across asset classes, regions and styles.

• Franklin Quotential portfolios are constructed to meet investors’ long-term risk/return profiles by adding value from 3 sources: the portfolios are constructed using FTS’ long-term capital market expectations; the portfolios can opportunistically adjust their asset allocation by +/-10% from their targets to avoid short-term risks and capitalize on opportunities; and the portfolios can benefit from the alpha generated by the underlying actively managed strategies of Franklin Templeton.

• CI Investment Portfolio Series first started with CI Portfolio Series Balanced fund in 1988. The majority of the funds in the family were launched in December of 2001.

• Franklin Quotential portfolios tend to be at lower risk level compare to CI Portfolio Series, because CI

Portfolio Series tend to have higher allocation to equity.

• Franklin Quotential portfolios offer tactical asset allocation overlay at asset class level, which CI

Portfolio Series does not.

• Franklin Quotential portfolios equity allocation are globally focused. CI Portfolio Series’ equity

allocations tend to be more U.S. equity.

• CI Portfolios Series tend to gravitate towards domestics fixed income, and Franklin Quotential

portfolios are able to leverage Franklin Templeton’s experience and experience in global fixed income

HIG

HL

IGH

TS

Source: Morningstar Direct, as of November 30th, 2014

Structural Differences: Franklin Quotential Program versus CI Investments Portfolio Series

Fund Name Equity Fixed Income Fund Name Equity Fixed Income

Franklin Quotential

Diversified Equity

100% (-10%) 0% (+10%) CI Portfolio Series

Maximum Growth

Fund

90% 10% (High

Yield)

Franklin Quotential

Growth

80% (+/-10%) 20% (+/-10%) CI Portfolio Series

Growth Fund

80% 20%

- - - CI Portfolio Series

Balanced Growth

Fund

75% 25%

Franklin Quotential

Balanced Growth


Balanced Fund

65% 35%

- - - CI Portfolio Series

Conservative

Balanced Fund

55% 45%

Franklin Quotential

Balanced Income


Conservative Fund

45% 55%

Franklin Quotential

Diversified Income


Income Fund

30% 70%

• CI Portfolio Series program does not implement tactical asset allocation at the asset class level. On the other hand, Franklin Quotential portfolios do have the flexibility to allocate assets among equity and fixed income, thus it is positioned to adapt o the prevailing market condition and risks.

• CI Portfolio Series program is generally at a higher risk level compare to its Franklin Quotential counterparts, especially at the lower risk spectrum. This had greatly benefited CI Portfolio Series over the equity market bull market from 2012 to 2014.

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Franklin Quotential Funds V.S. CI Investments Portfolio Series

Global Focus

• CI Portfolio Series program structurally has a higher focus on U.S. Equity than Franklin Quotential portfolios. Franklin Quotential Portfolios tend to be focused on global diversification. During a U.S. equity bull market, Franklin Quotential portfolios could lag behind CI Portfolio Series, but if U.S. equity enter into a bear market state then Franklin Quotential portfolios are positioned to capture opportunities globally. Currently, U.S. asset class is one of the most expensive equity asset class, which means that it is slowly becoming more unattractive. Franklin Quotential portfolios aim to be a long term investment solutions, despite having overweight in U.S. equity it still uphold its mandate being invested globally and reduce regional risks.

Source: Morningstar Direct, as of December 31st, 2014

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

FranklinQuotential Div

Eq Port A

CI PortfolioSeries

MaximumGrowth

FranklinQuotential

Growth Pt A

CI PortfolioSeries Growth

FranklinQuotential BalGrowth Port A

CI PortfolioSeries Balanced

Growth

CI PortfolioSeries Balanced

CI PortfolioSeries Cnsrv

Balanced

FranklinQuotential BalIncome Port A

CI PortfolioSeries Income

FranklinQuotential Div

Inc Port T A

CI PortfolioSeries

Conservative

U.S. Equity Allocation

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5


Popularity of Exchange Traded Funds (ETFs) in the Canadian market

• 2014 has been the best year on record for the ETF market in Canada, with $10.3B in net flows and

culminating in total AUM of $77B on December 31, 2014

• While ETFs have their place in financial services and this increased popularity may have been

supported by recent industry trends and upcoming regulatory changes in Canada (CRM2), ETFs also

have a number of unavoidable structural limitations

• Despite the fee differential and a challenging 2014 for a number of FTI funds, investing in a portfolio

of actively managed core FTI funds has historically offered enhanced returns and more conservative

volatility than a portfolio of widely distributed ETFs, resulting in a better investor experience and

enhancement in the advisor’s business growth and bottom line.

HIG

HL

IGH

TS

General benefits and limitations of ETFs

Benefits of ETFs:

• Cost: Inexpensive mean to invest in a broad market

• Pure Asset Classes: Possibility to isolate

investments in specific sectors, regions or assets

classes; portfolios are undiluted by the need to keep

cash to cover redemptions

• Liquidity: Traded on stock exchanges, through full

service or discount brokers

• Diversification: One-ticket access to an entire

market or a diversified portfolio of different markets

through a number of ETFs

• Shorting & Leveraging: Some ETFs provide

exposure to leveraged or inverted (shorting)

markets

Source: Investors Economics and National Bank Financials. Assets as of December 31 of each year. Asset Breakdown is as at November 30, 2014. *Including institutional pools and segregated accounts

• 2014 Growth in AUM was the best on record in Canada,

exceeding AUM growth in 2009

• $10.3B in net flows in 2014 (record year), equivalent to 16%

of starting assets. Close to 50% of net flows went into BMO-

sponsored ETFs ($5.1B)

• Total AUM of passive strategies in Canada adds up to $363B*

as of June 30, 2014 or 15% of total managed assets.

Asset Breakdown of ETFs

Limitations of ETFs:

• Performance lags: Consistently lagging the index/benchmark due

to management fees, tracking

errors, trading costs and compensation

• Limited transparency: With the popular use of derivatives to

duplicate returns, there is no complete clarity on the underlying

holdings with some ETFs

• Accessibility: Can only be purchased through IIROC licensed or

discount brokers, although there is work to potentially open ETFs

to MFDA dealers

• Trading risks:

o Thinly traded ETFs tend to have wide bid/ask spreads that

impact returns

o Studies show investors having the tendency to trade ETFs more

frequently than mutual funds, thereby undermining returns

• Limited purchase options: Limited to no corporate class option,

flexible series T, pricing flexibility, or dollar-cost-averaging

capabilities.

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6


Building a typical portfolio of ETFs vs. one of actively-managed Franklin Templeton Funds

• Portfolio Allocation: 60% equity and 40% fixed income, with appr. 60%/40% in CDN/Foreign exposure

• These ETFs were selected to meet similar investment as the broadly used indices representing major markets

• Largest ETFs by AUM were selected based on availability on the Canadian and US stock exchanges

• FTI Funds are represented by focus funds that are also core strategies representing major asset classes

• Series F was selected as it is the closest equivalent fee structure to that used in accounts holding ETFs

Allocation Asset Class Portfolio of ETFs MER Portfolio of FTI Funds (Series F) MER

30% Canadian equity iShares Core S&P/TSX Capped Composite (XIC) 0.27% Franklin Bissett Canadian Equity Fund 1.18%

10% US equity SPDR® S&P 500 ETF (SPY) 0.09% Franklin US Rising Dividend Fund 1.39%

20% Global equity iShares MSCI ACWI (ACWI) 0.50% Franklin Mutual Global Discovery Fund 1.46%

30% Canadian bonds iShares Canadian Universe Bond (XBB) 0.33% Franklin Bissett Bond Fund 0.81%

10% Global bonds SPDR® Barclays International Trs Bd ETF (BWX) 0.33% Templeton Global Bond Fund 1.63%

Weighted Average MER 0.32% Weighted Average MER 1.19%

Source: Morningstar Direct. As of Dec. 31, 2014. Start date is March 26, 2008 (most recent inception date of the ETFs/funds comprising these portfolios). benchmark referenced

for ratios is 60% S&P/TSX Composite TRI and 40% FTSE TMX Canada Universe Bond Index

Impact on advisors’ book of business and benefits of a portfolio of FTI-managed funds

Higher returns with lower volatility

1 Yr 3 Yrs 5 Yrs SI 3 Yrs 5 Yrs SI

ETF Portfolio 11.41 10.70 8.23 5.79 4.17 5.06 7.71

FTI Funds 9.38 11.70 9.55 7.35 4.04 4.97 6.95

Annualized Returns Standard Deviation

Alpha Beta Up Capture Down Capture

ETF Portfolio 1.56 0.77 89.6 76.6

FTI Funds 3.41 0.65 90.9 63.6

Additional Stats (since inception)

Observations:

• Despite underperforming by 203bps in the last year and an avg MER difference of 87bps, the portfolio of FTI funds outperformed

by 1.56% (annualized and net of fees) since inception or 9.7% cumulative, in the span of 6 years and 8 months.

• Absolute volatility as represented by standard deviation and sensitivity to market downturns (beta & downside capture ratio)

also give a clear advantage to investing in a portfolio of FTI funds

Assumptions:

• $20 million book of business (BoB) invested in the ETF

portfolio vs. a selected portfolio of FTI funds. Both

portfolios have the same allocation as the table above

• Projected returns equal to the since-inception annualized

returns listed in the table above (5.79% for the portfolio of

ETFs vs. 7.35% for the portfolio of FTI funds)

Trailers are based on 1% rate applied across monthly average of AUM. * Based on the actual historical monthly performance of both portfolios between April 1, 2008 and December 31, 2014.

Source: Morningstar Direct. Projected trailer fees are based on average annual value of book of business based on investments in the two portfolios.

Observations:

• Based on actual historical returns, the difference in the size

of the book is $2.8M if investing in a portfolio of FTI funds

versus the ETFs and $104k in added trailer fees.

• Applying the annualized returns experienced since April 1,

2008 and projecting it to 20 years, then the $20M in book of

business grows to over $68.6M if investing in the portfolio of

FTI funds vs. $51.1M in ETFs. Over $17M in difference.

• Cumulative trailers add up to $7.9M if investing in a portfolio

of FTI funds vs. $6.7M if investing in ETFs. A cumulative

difference of $1.26M in 20 years or average of $62.8k in

added trailer fees per year.

Some of the advantages of investing in a Portfolio of FTI Funds:

• Improved chances to outperform the market, combined with historically lower volatility should result in generally better investor

experience and improved business bottom line for advisors as opposed to employing ETFs.

• In an environment of historically low yields, contracted fixed income spreads and equity markets hitting record highs, bottom-up

security selection and active management should generally outperform and FTI, with the depth and breadth of its platform,

is well-positioned in such an environment

• A platform that offers multiple investment styles across different asset classes provides advisors with opportunities to outperform the

general market in different market cycles, including SMAs. As an example, we can complement/alternate the US equity exposure

with Franklin US Core Equity or Franklin Bissett US Focus funds, Global equity with Templeton Growth or Franklin World

Growth funds and Canadian equity with Franklin Bissett All Canadian Focus or Franklin Bissett Canadian Dividend funds.

Impact on Business Historical* Total at Yr 20 20-yr Avg

BoB - FTI Funds ($M) $32.2 $68.6 $40.8

BoB - ETFs ($M) $29.3 $51.1 $34.1

Trailers - FTI Funds ($k) $1,601 $7,918 $396

Trailers - ETFs ($k) $1,497 $6,662 $333

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Source: Bloomberg

7

Winners and Losers from Oil Price Decline

Global oil prices sharply declined by 50 percentage points over the

course of 2014. The fall from a 2014-peak of over US$110/barrel in

June to around US$56/barrel by end-December has triggered a broad-

based selloff of emerging-market assets, including currencies. A variety

of different reasons appear to have contributed to the downward

pressure on oil prices on both the supply and demand side. On the

supply side, technological innovations in drilling techniques have led to

an increase in output from non-OPEC nations and added inventory. At

the same time, OPEC has not yet taken steps to reduce member

country production. On the demand side, concerns regarding a

slowdown in global growth may have negatively influenced demand for

crude. If we look at the reduction in prices, we have seen both clear

winners and losers emerge. Commodity producers in which oil is the

main revenue source could face greater vulnerabilities and budgetary

stress. However, as most major economies are oil importers, this price

decline, in our view, is likely to add rather than subtract from global

growth; the effect of the decline in oil prices is comparable to a tax cut

for these economies. Nonetheless, the sharp decline has led to

volatility in asset prices and triggered broad-based fear across nearly

all emerging markets.

Chart 1: Brent Crude Price per Barrel (US$)

3 January 2014 – 31 December 2014

• If we look at the reduction in oil prices, we have seen both clear winners and losers emerge. Commodity producers in which oil is the

main revenue source could face greater vulnerabilities and budgetary stress. However, as most major economies are oil importers, this

price decline, in our view, is likely to add rather than subtract from global growth.

• In times of uncertainty and volatility, short-term panic and contagion have the potential to trigger broad-based selloffs across emerging

markets and risky assets, including currencies. We believe currencies of countries that have a diverse export base and a fiscal budget

supported by multiple revenue sources are likely to be more resilient and could potentially outperform those of countries highly reliant

on a single sector when volatility subsides and fundamental factors drive valuations.

• The fundamental outlook underpinning our currency positions has not changed; we expect the currencies of economies with relatively

strong growth and with more prudent policies to likely appreciate against the currencies of the G3 (i.e., the United States, the eurozone

and Japan) over the longer term. As part of the fundamental research process, our investment team assesses a country’s oil price

exposure and whether a country has multiple levers to deal with an oil price shock. We seek to avoid countries that we believe do not

have the ability to deal with declining oil prices, such as Venezuela, and have generally favored countries with strong fundamentals and

a broad mix of industries like Malaysia and Mexico. Moreover, a handful of Asian countries, from South Korea to India, are large oil

importers: A decline in oil prices would likely be favorable to their economies and current account dynamics.

HIG

HL

IGH

TS

Bifurcated Impact – Winners/Losers

We believe select countries that lack reserve funds and that rely heavily on oil to support state budgets and current account balances will likely suffer from lost

revenue and lower growth. Oil related revenues for the major oil-producing countries of Russia and Venezuela represent a significant portion of their

respective total fiscal revenue. These countries have already been facing deep economic problems and are likely to experience more strains should

depressed oil prices persist, with meaningful cuts to GDP (gross domestic product) possible. On the other hand, we believe the decline in oil prices is

potentially favorable for a host of net-energy importers ranging from developed nations such as Japan and certain European Union members to emerging

markets such as India and South Korea. The drop in prices also has the potential to bolster economic reform in certain economies. Recently, many emerging-

market countries, such as Malaysia and Indonesia, have moved toward cutting fuel subsidies while others, such as India and Egypt, have made similar policy

commitments to improve their public finances.

Commodity and Currency Volatility

In times of uncertainty and volatility, short-term panic and contagion have the potential to trigger broad-based selloffs across emerging markets and risky

assets, including currencies. The decline in oil price has placed downward pressure on foreign exchange markets, particularly those of countries dependent

on oil sales such as Russia (see chart below). We expect that currencies with strong ties to commodity prices will likely remain under pressure if softer oil

prices persist. However, we believe currencies of countries that have a diverse export base and a fiscal budget supported by multiple revenue sources are

likely to be more resilient and could potentially outperform those of countries highly reliant on a single sector when volatility subsides and fundamental factors

drive valuations.

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Portfolio Update

In the short term, the broad strengthening of the US dollar along with depreciating emerging-market currency movements from lower energy prices

and renewed concerns over global growth have weighed on Templeton Global Bond Fund’s performance. However, the fundamental outlook

underpinning our currency positions has not changed; we expect the currencies of economies with relatively strong growth and with more prudent

policies to likely appreciate against the currencies of the G3 (i.e., the United States, the eurozone and Japan) over the longer term. As part of the

fundamental research process, our investment team assesses a country’s oil price exposure and whether a country has multiple levers to deal with

an oil price shock. We seek to avoid countries that we believe do not have the ability to deal with declining oil prices, such as Venezuela, and have

generally favored countries with strong fundamentals and a broad mix of industries like Malaysia and Mexico. Moreover, a handful of Asian

countries, from South Korea to India, are large oil importers: A decline in oil prices would likely be favorable to their economies and current account

dynamics.

Strong Long-Term Performance

Amid the headline news and market noise, we encourage investors to be patient and maintain a longer-term focus. We believe the ability to

weather short-term volatility enables investors to achieve strong risk-adjusted performance that is based on underlying fundamentals. While

Templeton Global Bond Fund has underperformed in the short term, it outperformed its benchmark over the three-, five- and 10-year periods

ended 31 December 2014. Additionally, the fund ranked in the top half quartile of its Morningstar category over the three- and five-year periods

and the top quartile over the 10-year period.

Table 1: Fund Performance (Dividends Reinvested)* As of 31 December 2014

Chart 2: Russian Ruble Performance Indexed As of 31 December 2014

Inception Date 3 Mo 1 Yr 3 Yr* 5 Yr* 10 Yr*

Templeton Global Bond Fund – Series A (CAD) 15/7/1988 -1.42% 3.16% 4.49% 4.43% 4.58%

Morningstar Ranking 93 89 43 42 23

JP Morgan Global Government Bond Index (CAD) 2.70% 9.74% 3.47% 4.19% 3.01%

Morningstar Canada Global Fixed Income Category Average 1.31% 6.97% 4.79% 4.66% 3.36%

Excess return vs. JP Morgan Global Government Bond Index (CAD) -4.12% -6.58% 1.02% 0.24% 1.57%

Excess return vs. Morningstar Canada Global Fixed Income Category -2.73% -3.81% -0.30% -0.23% 1.22%

*Periods greater than one year are shown as average annual total returns. Past performance does not guarantee future results.

40

50

60

70

80

90

100

110

3/1/14 3/3/14 1/5/14 29/6/14 27/8/14 25/10/14 23/12/14(Index) RUB/USD – Price

31/12/14

Source: FactSet. See www.franklintempletondatasources.com for additional data provider information.

http://www.franklintempletondatasources.com/

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Source: Morningstar Direct, 2-year period ended 12/31/2014, data points calculated using USD returns

Source: FactSet, as of 12/31/2014

9

Take a Fresh Look at the Franklin U.S. Core Equity Fund

Meet the Management Team

• New lead portfolio manager Brent Loder, who has been a part of the

management team since 2009, took the helm in November 2012.

Brent joined Franklin Templeton in 2006 and has been part of the

Franklin Equity Group since then. His research responsibilities

include financial and business services companies.

• Since becoming lead portfolio manager on the U.S Core Equity

Fund, Brent has made a number of changes in the portfolio, paying

particular attention to the risk profile of each security, as well as risk

in the overall portfolio. The strategy has remained largely the same,

and the portfolio is differentiated from its S&P 500 Index.

• Effective September 1st, 2013, Chris Anderson joined Brent in

managing the fund as a backup PM. Chris has taken an active role

in portfolio management of the Fund, reexamining portfolio holdings

with a second pair of eyes and ensuring the investment theses

remain intact.

U.S. Core Equity Strategy

• The Fund utilizes a contrarian approach to invest in 30-40 of the

team’s highest conviction stocks within the U.S. equity universe. The

strategy is style- and benchmark-agnostic, and predominantly large

cap focused. In evaluating securities for portfolio consideration, the

portfolio manager pays particular attention to valuation, the firm’s

ability to generate free cash flow, and corporate governance.

• Risk is monitored on both the portfolio and individual stock level.

Stock-specific risk is managed as part of fundamental research, as

well as through position sizes , a strong sell discipline, and broad

industry diversification. In particular, the team aims to limit

duplicative end market exposures of portfolio companies.

Performance Drivers

• The U.S Core Equity Fund’s performance struggled during the 2H11-

1H12 period. Over the past two years, the markets’ continued shift

from risk-on/risk-off to fundamental drivers has supported a better

environment for this concentrated strategy, which is focused on

identifying individual securities that, in our view, represent the best

investment ideas in the broad U.S. equity market.

• Stock selection has been driving the Fund’s returns broadly across

sectors. In particular, new names like Valeant Pharmaceuticals

International have contributed over the past 2 years, helping the

Fund to achieve top-decile performance over this time frame.

• Looking forward, we would expect stock selection to continue to be

the primary driver of the Fund’s performance, particularly when

markets reward companies based on their underlying fundamentals.

We remain optimistic about longer-term prospects of the portfolio

holdings and the opportunities our bottom-up research continues to

uncover.

Differentiating Itself from its Benchmark…

…And a Compelling Risk Profile

• Since November 2012, when Brent Loder became lead portfolio manager, we’ve seen strong absolute and

benchmark- and peer-relative returns in the Franklin U.S. Core Equity Fund.

• While the strategy hasn’t changed significantly – utilizing an opportunistic, benchmark-agnostic and

concentrated approach to invest in 30-40 U.S. large cap stocks – Brent has made a number of changes

within the portfolio, as well as some modifications to the investment process, particularly in terms of risk

control.

• We believe the Franklin U.S. Core Equity Fund is a compelling offering with unique features that may be a

good compliment to Franklin’s various diversified offerings.

HIG

HL

IGH

TS

…Has Delivered Outperformance Relative to

the Index…

Source: FactSet, annualized attribution relative to S&P 500 Index by sector for the 2-year period ended 12/31/2014

Name Return St Dev Sharpe

Ratio Alpha

Up

Capture

Down

Capture

Franklin US Core Equity Series A 23.94 9.16 2.40 1.07 103.29 96.68

S&P 500 TR USD 22.68 8.50 2.46 0.00 100.00 100.00

Canada US Equity 18.74 9.67 1.83 -5.62 94.61 134.46

Top Ten - S&P 500 Top Ten - Focused Core

Name Weight Name Weight

Apple Inc. 3.55% Valeant Pharmaceuticals Intl, Inc. 5.45%

Exxon Mobil Corporation 2.15% Hartford Financial Svs Gr, Inc. 4.39%

Microsoft Corporation 2.10% Actavis Plc 4.03%

Johnson & Johnson 1.60% Equinix, Inc. 3.21%

Berkshire Hathaway Cl B 1.50% Adobe Systems Incorporated 3.20%

Wells Fargo & Company 1.42% Charles Schwab Corporation 3.19%

General Electric Company 1.39% MasterCard Incorporated Class A 3.19%

Procter & Gamble Co 1.35% Twenty-First Cent Fox Class B 3.14%

JPMorgan Chase & Co. 1.28% QUALCOMM Incorporated 3.05%

Chevron Corporation 1.16% Allergan, Inc. 3.01%

-2.00 -1.00 0.00 1.00 2.00 3.00

Health Care

Financials

Consumer Discretionary

Consumer Staples

Energy

Information Technology

Telecommunication Services

Utilities

Industrials

Materials

Cash & Other Net Assets

Stock Selection Sector Allocation

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10

Canadian Equities

Observations

Series A or Advisor Series, when available, was selected for each of the funds in the table. The trust version of these funds was selected, unless not available and otherwise indicated in the name.

Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P/TSX TR Composite. Funds with Canadian allocation < 90% fall into the Canadian Focus Equity category

Franklin Bissett Canadian Equity Fund:

• Four-star rated fund, leveraging the full Franklin Bissett analyst team

for dividend and non-dividend paying investment ideas

• 100% Canadian exposure for better complement to global equity

and FI exposure

• Focus on absolute, relative and risk-adjusted returns. Reflected in

the top 2 quartile performance throughout the last 10 years

• One of the top performers among leading competitor funds across 3

& 5 years

• Beta falling between 0.8 and 0.9 since the fund’s inception,

reflecting a focus of relative risk and volatility

• One of the leading funds in risk-adjusted returns as reflected by

Alpha, combined with conservative volatility as depicted by beta and

downside capture ratio

Franklin Bissett All Canadian Focus Fund:

• Four-star rated performance, with consistent top quartile

returns across the last 10 years (based on annualized returns)

• Canadian equity allocation with selected securities meeting

the team’s combination of proprietary blend of factors focusing

on growth, valuation, risk and predictability & momentum of

earnings

• Targeting above-average risk-adjusted returns with below-

average volatility, as depicted by the above-average alpha

and conservative beta and downside capture Outperforming

category average across 1, 3 & 5 years

• 100% Canadian exposure resulting in lower correlation to

global equity and FI exposure

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Alpha Beta Up Capt.Down

Capt.Alpha Beta Up Capt.

Down

Capt.

Franklin Bissett Canadian Equity 2,797 9.21 14.44 10.47 6.0 0.8 99.8 50.2 3.7 0.9 98.4 73.4 100

Franklin Bissett All Canadian Focus 332 13.76 13.69 10.95 5.2 0.8 97.4 53.4 4.1 0.9 98.8 70.1 100

Canada Canadian Equity 9.40 11.26 7.36 2.3 0.9 95.0 74.5 0.3 0.9 92.8 90.0 96

Canada Canadian Focused Equity 9.46 13.27 8.26 4.7 0.8 94.3 52.9 0.9 0.9 89.4 82.8 63

AGF Canadian Large Cap Dividend 2,389 11.30 12.21 7.06 4.0 0.8 90.7 55.6 0.4 0.9 87.7 84.0 57

AGF Canadian Stock 1,537 2.98 8.98 3.84 0.0 0.9 80.6 71.1 -2.6 0.9 75.4 91.3 54

NB Canadian Equity Growth 813 11.50 7.84 3.95 -2.4 1.0 92.8 112.3 -3.7 1.1 94.6 121.2 100

Sionna Canadian Equity 553 5.29 9.06 6.46 -0.1 0.9 89.4 89.9 0.1 0.8 83.9 82.8 91

CI Canadian Investment 2,224 6.68 12.85 7.28 3.2 0.9 102.4 74.4 0.0 1.0 97.6 98.1 59

CI Harbour 3,281 5.46 8.60 5.11 -0.1 0.9 82.6 80.2 -1.7 0.9 83.7 93.9 66

Dynamic Power Canadian Growth 909 10.40 11.21 3.04 2.9 0.8 88.4 62.1 -4.7 1.1 91.2 123.6 55

Dynamic Value Fund of Canada 2,191 8.71 15.32 6.48 6.7 0.8 105.9 53.8 -0.9 1.0 101.2 110.7 45

Fidelity Canadian Disciplined Eq 2,397 14.14 12.14 7.75 2.9 0.9 96.5 69.5 0.3 1.0 99.2 96.9 91

Fidelity True North 5,107 13.21 14.30 8.97 7.0 0.6 90.2 30.1 2.6 0.8 89.0 70.3 92

Manulife Canadian Investment Class 433 14.69 16.48 12.40 8.6 0.7 97.6 21.9 6.2 0.7 93.5 49.7 100

Mac Ivy Canadian 1,154 11.23 12.79 9.32 6.8 0.5 76.5 16.6 5.0 0.5 63.8 25.9 52

RBC Canadian Equity 2,696 9.33 9.33 6.14 -0.7 1.0 95.8 101.1 -1.4 1.0 97.2 106.9 98

RBC O'Shaughnessy Canadian Equity 898 7.33 17.25 10.78 8.0 0.8 103.7 27.0 3.7 0.9 99.6 72.8 82

Trimark Canadian 1,363 -3.33 9.67 5.27 -1.6 1.2 113.6 136.6 -2.1 1.0 100.5 119.7 81

Fund NameAUM

($MM)

CDN

Alloc.

(%)

Performance (%) Three-Year Ratios Five-Year Ratios

INTERNAL USE ONLY


11

Canadian Dividends

Observations


Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P/TSX TR Composite.

Franklin Bissett Canadian Dividend Fund:

• Core dividend-focused fund with strong absolute and relative returns driven by income

and capital appreciation

• Multi-cap approach with tilt towards mid to large cap companies with a history of

growing dividends

• 100% Canadian equity exposure translates in tax efficient distributions

• Below average risk, with a defensive downside capture ratio and beta between 0.6 &

0.8

• Focus on yield and total returns, reflected in above average distribution rates in its

category & one of the highest LT Alpha

• Historically never paid to investors more than it earned in cash-flow from its

underlying investments (no ROC component in distributions)

DECEMBER 2014



Down

Capt.

Franklin Bissett Canadian Dividend 571 2.70 -0.05 8.12 8.18 0.3 0.8 76.1 71.5 2.6 0.7 78.6 59.8 100

CTG - Canadian Dividend & Income Equity 8.49 10.95 8.81 3.4 0.7 79.9 48.1 3.0 0.7 76.3 53.3 88

AGF Dividend Income 431 3.02 3.23 6.60 5.68 -2.5 0.9 79.9 98.5 -1.0 0.9 84.3 90.0 98

BMO Dividend Class ser H 171 2.43 13.09 12.39 8.62 5.4 0.6 81.2 31.8 2.9 0.7 79.2 57.2 75

CI Signature Dividend 1,436 1.28 11.58 12.31 8.98 6.8 0.4 71.5 10.6 4.6 0.5 64.2 29.4 36

Dynamic Dividend 586 1.63 12.84 11.76 10.57 5.9 0.5 71.0 16.1 5.7 0.5 72.5 30.1 72

Fidelity Dividend 1,853 0.44 9.41 9.50 8.34 4.9 0.4 55.8 8.3 4.0 0.5 60.1 28.1 71

IA Clarington Cdn Conservative Equity 876 1.44 5.07 6.76 7.20 -0.8 0.7 68.2 70.1 1.8 0.7 71.8 56.8 100

IA Clarington Canadian Dividend 725 0.00 8.80 10.22 7.43 1.9 0.8 87.2 71.2 1.3 0.8 84.8 76.2 86

Mackenzie Cdn Lg Cap Div 1,359 1.07 7.67 9.73 6.62 1.9 0.7 80.0 60.9 0.5 0.8 79.2 73.8 70

Manulife Canadian Stock 516 1.35 13.21 11.09 7.25 3.5 0.7 80.7 46.1 1.6 0.7 73.1 58.5 52

NEI Northwest Canadian Dividend 286 0.45 9.88 15.04 11.12 7.4 0.7 97.4 37.8 5.7 0.6 84.4 45.3 71

PH&N Dividend Income C 2,568 1.20 9.05 11.45 8.19 3.0 0.8 89.2 61.2 1.8 0.8 87.0 73.4 99

RBC Canadian Dividend Adv 17,238 0.93 12.14 13.39 9.74 5.4 0.7 91.1 42.8 3.7 0.7 86.9 60.5 95

Renaissance Canadian Dividend 794 2.62 6.94 9.13 7.42 0.8 0.8 83.1 75.1 1.2 0.8 84.6 76.0 100

Standard Life Canadian Div Growth 1,247 1.24 7.13 10.14 7.45 2.5 0.7 78.0 51.3 1.6 0.7 76.2 62.0 77

TD Dividend Growth 7,042 0.37 11.35 12.68 8.96 4.5 0.8 93.0 55.2 2.8 0.8 87.3 67.6 97

CDN

Alloc.

(%)

Fund NameAUM

($MM)

TTM

Yield


INTERNAL USE ONLY


12

Canadian High Dividends

Observations


Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P/TSX TR Composite.

Franklin Bissett Canadian High Dividend Fund:

• An income and growth equity strategy delivering sustainable high monthly income and

competitive risk-adjusted returns

• True multi-cap approach which complements mid/large cap exposure within any Canadian

portfolio

• 100% Canadian equity exposure translates in tax efficient distributions

• Outperforming the broad market (S&P/TSX Composite TRI) since inception, with less volatility

• Focus on yield and total returns. Reflected in one of the top distribution rates in Canadian equity

funds (excluding ROC) and competitive LT Alpha

• Distribution rates combined with capital appreciation for a hedge against inflation

DECEMBER 2014



Down

Capt.

Franklin Bissett Canadian High Dividend 705 5.53 -16.02 2.33 6.72 -5.6 0.8 56.4 99.0 1.0 0.8 78.9 72.5 100

CTG - Canadian Dividend & Income Equity 8.49 10.95 8.81 3.4 0.7 79.9 48.1 3.0 0.7 76.3 53.3 88

CTG - CanadianSmall/Mid Cap Equity 4.93 12.35 10.13 -0.7 1.0 97.2 102.1 0.5 1.0 104.0 102.3 96

BMO Growth & Income Mutual 419 4.56 5.27 8.78 9.39 0.5 0.8 77.0 65.6 3.3 0.8 87.9 65.2 100

BMO Monthly Dividend Ltd Mtl 809 4.51 4.31 4.67 5.59 1.2 0.3 33.7 17.3 3.1 0.2 35.6 10.5 96

BMO Monthly High Income II Mut 1,805 4.89 3.69 8.42 11.18 2.0 0.6 67.7 48.6 6.4 0.5 77.3 33.0 98

CI Canadian Dividend Growth 323 0.08 20.86 12.10 10.37 4.8 0.7 81.9 37.0 4.5 0.7 84.0 50.6 77

Dynamic Equity Income 1,857 4.05 7.65 8.21 11.13 2.7 0.5 58.2 29.7 6.6 0.5 71.6 24.1 75

Dynamic Small Business 553 1.25 8.55 7.89 10.15 1.8 0.6 57.6 32.2 5.3 0.6 71.5 31.9 81

Fidelity Dividend Plus 3,612 0.60 12.83 10.17 10.46 7.1 0.2 43.4 -28.4 6.3 0.4 61.8 13.2 63

IA Clarington Dividend Growth T6 1,392 0.96 10.05 5.06 11.95 92

IA Clarington Strategic Income Y 1,276 1.58 7.63 9.69 7.04 4.8 0.4 58.3 11.8 3.0 0.4 54.7 30.0 62

NEI Ethical Canadian Equity 760 4.23 7.70 13.32 9.31 6.2 0.6 85.3 30.3 3.7 0.7 79.3 51.6 97

RBC Canadian Equity Income Adv 4,004 3.90 9.72 11.56 13.72 3.0 0.8 88.7 58.6 7.1 0.8 99.1 48.5 91

Russell Canadian Dividend Pool 225 2.72 2.42 9.17 4.84 0.0 0.9 91.7 94.0 -1.9 0.9 85.3 98.6 79

Sentry Canadian Income 5,184 4.53 15.88 15.29 14.02 10.0 0.4 76.1 -13.6 9.4 0.5 77.6 10.6 63

Sentry Growth and Income 1,032 7.52 9.49 12.92 12.61 6.9 0.5 75.4 12.4 7.9 0.5 75.4 18.4 56

Standard Life Canadian Div Growth 1,247 1.24 7.13 10.14 7.45 2.5 0.7 78.0 51.3 1.6 0.7 76.2 62.0 77

CDN

Alloc.

(%)

Fund NameAUM

($MM)

TTM

Yield


INTERNAL USE ONLY


13

Canadian Small Caps


Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P/TSX Small Cap TR. Correlation data is based on MSCI World GR (Global Equity) & S&P/TSX Global Gold TR Index.

Observations

Franklin Bissett Small Cap Fund:

• 100% Canadian equity strategy, outperforming its

category average and the focused category across 3 & 5

years

• Benchmark agnostic, as reflected by its beta

• Outperforming most of its leading competitor funds on a 3

& 5 Yr basis

• In downturn periods, historically capturing lower losses

than the benchmark. Reflected in below-average

downside capture ratios

• Diversified through a minimum exposure to 5 GICS

sectors at any time. Currently exposed to 7 sectors

Franklin Bissett Microcap Fund:

• Four-star rated fund with top quartile performance across 5

& 10 years

• High alpha vs. its benchmark, while having below average

downside capture ratio across 3 & 5 years

• Outperforming its leading competitor funds on a 3 & 5-yr

basis

• Has one of the more competitive combinations of

upside/downside capture

• Diversified through a minimum exposure to 5 GICS sectors

at any time. Currently exposed to 7 sectors

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Std Dev Alpha Beta Up Capt.Down

Capt.Std Dev Alpha Beta Up Capt.

Down

Capt.

Franklin Bissett Small Cap 752 -5.16 15.27 11.29 11.5 13.4 0.6 103.2 35.9 13.5 8.6 0.7 88.7 50.1 100

Franklin Bissett Microcap 247 -12.72 14.58 17.88 12.9 12.9 0.7 109.9 45.9 13.8 14.6 0.6 98.4 32.9 100

Franklin Bissett Canadian High Dividend 705 -16.02 2.33 6.72 10.4 1.4 0.5 65.9 58.0 10.8 4.4 0.5 67.4 46.4 100

CTG - Canadian Small/Mid Cap Equity 4.93 12.35 10.13 10.6 8.0 0.6 87.0 45.4 12.7 5.3 0.7 82.9 58.0 96

CTG - Canadian Focused Small/Mid Cap Eq 6.15 11.84 8.17 10.8 9.8 0.5 81.7 30.6 13.0 4.0 0.6 73.3 54.0 66

AGF Canadian Small Cap 189 -1.87 3.87 4.22 9.9 2.7 0.6 74.3 59.2 12.3 1.7 0.7 79.2 71.3 99

AGF Canadian Growth Equity Class 375 -2.97 1.60 0.51 10.7 0.5 0.7 68.4 64.3 12.8 -2.1 0.7 69.9 78.3 95

CI Canadian Small/Mid Cap 473 3.07 9.79 9.59 8.7 8.3 0.5 80.0 36.8 10.6 6.8 0.6 80.1 47.9 70

Dynamic Power Small Cap 279 1.78 7.18 5.18 13.0 6.2 0.7 81.7 50.8 15.3 2.7 0.8 87.4 76.0 74

Dynamic Small Business 553 8.55 7.89 10.15 6.6 6.6 0.3 57.1 21.7 7.5 7.9 0.4 60.5 22.9 81

Fidelity Canadian Opportunities 785 9.06 11.45 9.15 5.6 9.8 0.3 52.1 -0.4 9.0 6.8 0.4 57.4 23.9 89

Fidelity Special Situations 834 9.45 21.70 13.65 10.2 19.0 0.4 95.3 -0.2 12.5 10.9 0.6 84.1 34.6 49

Fiera Capital Equity Growth 460 9.99 13.45 12.14 12.4 11.7 0.8 117.6 58.9 14.3 8.9 0.8 108.7 68.9 100

IA Clarington Canadian Small Cap 900 5.92 20.48 14.00 7.6 17.8 0.4 87.6 -3.2 8.5 11.4 0.4 67.5 14.0 98

Mackenzie Cdn Small Cap Value 278 3.12 12.99 9.66 12.1 11.4 0.7 110.3 53.4 14.5 6.9 0.8 97.2 66.8 99

Manulife Growth Opportunities 470 5.35 9.14 7.20 11.9 7.8 0.8 103.1 63.7 14.1 4.3 0.8 94.6 74.9 92

NEI Northwest Specialty Equity 195 -2.79 5.19 5.67 11.3 4.1 0.7 86.1 65.0 13.6 2.9 0.8 88.3 74.8 100

Renaissance Canadian Small Cap 230 2.33 5.21 6.97 13.5 4.2 0.8 88.9 67.7 14.8 4.1 0.9 91.3 72.2 98

Sentry Diversified Income 945 13.58 15.30 14.43 4.9 13.3 0.2 62.9 -6.5 6.4 11.9 0.3 58.4 1.6 63

Trimark Canadian Small Companies 685 9.16 17.48 12.32 11.9 15.5 0.5 94.2 16.9 12.9 9.9 0.5 80.6 36.4 46

Three-Year Ratios Five-Year Ratios CDN

Alloc.

(%)

Fund NameAUM

($MM)

Performance (%)

INTERNAL USE ONLY


14

Energy Equity

Observations


Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P/TSX Capped Energy TR Index

Franklin Bissett Energy Corporate Class:

• Four-star rated fund with top quartile ranking on 3 & 5-yr basis

• One of the highest Alpha and relative returns among its leading competitor funds

• Competitive upside capture ratios on 3 & 5 year basis

• Lower exposure to large energy explorers & producers and integrated energy companies

differentiates the fund from the benchmark and its main competitors

• All Canadian exposure for limited currency risk, complementing core global & US holdings

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Std Dev AlphaUp

Capture

Down

CaptureStd Dev Alpha

Up

Capture

Down

Capture

Franklin Bissett Energy CC 51 -26.68 0.18 10.06 22.6 5.1 137.1 116.1 22.8 13.6 132.0 80.7 100

CTG - Energy Equity -10.51 -0.52 2.73 17.7 3.1 98.6 84.8 19.2 5.8 102.8 79.5

AGF Canadian Resources Class 104 -13.42 -10.39 -5.21 18.1 -7.5 71.9 106.5 18.7 -2.5 80.8 92.1 79

Altamira Energy 11 -6.12 -3.04 0.41 15.9 -0.3 79.9 81.9 19.8 3.7 100.5 87.8 100

BMO Global Energy Cl Adv Sr 41 -7.01 10.19 8.76 20.7 13.8 139.6 80.3 20.6 11.7 123.8 78.1 100

Canoe Canadian Energy 227 -3.18 13.29 16.6 15.2 121.6 54.2 100

Canoe Energy Income 336 3.32 100

CI Signature Global Energy 101 -8.36 1.30 1.31 15.0 3.9 94.1 76.2 16.5 3.6 95.4 80.1 41

CIBC Energy 85 -10.41 -8.81 -5.28 20.2 -5.1 74.0 101.4 23.8 -1.0 100.0 108.7 57

Dynamic Energy Income 433 -5.00 -1.67 3.91 12.8 0.1 66.9 65.3 12.9 5.1 73.6 51.8 84

Dynamic Strategic Energy 26 3.14 5.86 4.64 15.1 8.2 92.6 57.2 16.2 6.7 90.4 63.7 90

Mackenzie Cdn Resource 850 -16.37 -7.12 -1.17 16.9 -4.4 79.8 98.9 20.2 2.1 97.6 91.1 56

Manulife Glbl Natural Resources 2 -0.34 -12.64 -6.06 15.8 19.0 9

RBC Global Energy Adv 275 -9.86 -2.11 1.23 16.2 0.7 85.1 82.4 19.8 4.4 102.7 86.7 38

Sentry Energy Growth and Income 117 -16.82 -5.34 2.55 18.7 -1.8 83.9 94.8 17.6 5.0 89.1 70.1 100

TD Energy - A 152 -11.08 -0.43 -0.61 14.6 2.1 91.5 81.0 16.8 1.8 94.9 86.7 67

Trimark Resources 166 -5.70 -5.45 -3.08 20.5 -1.8 99.2 107.9 19.3 -0.3 90.4 92.2 79

CDN

Alloc.

(%)

Fund NameAUM

($MM)


INTERNAL USE ONLY


15

US Equities


Source: Morningstar Direct as of December 31, 2014. Ratios based on S&P 500 TR Index.

Franklin Bissett US Focus Corporate Class:

• Fund outperformed its category average on 1, 3 & 5-year basis (top percentile return in

2014 & 4th percentile for 2 YR returns)

• 100% US equity allocation with holdings meeting the team’s combination of proprietary

blend of factors focusing on growth, valuation, risk and predictability & momentum of

earnings

• Volatility below benchmark and category average, with one of the lowest standard

deviation, beta and down capture ratios

• When compared to its leading competitor funds, BUSFCC has one of the lowest

correlations to Canadian and global equities

Observations

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Std Dev Alpha BetaUp

Capture

Down

CaptureStd Dev Alpha Beta

Up

Capture

Down

Capture

Franklin Bissett US Focus CC 66 30.19 23.57 16.33 7.6 0.3 0.9 93.7 114.3 9.3 -0.8 1.0 96.2 108.1

CTG - US Equity 18.27 22.10 14.68 8.7 -5.6 1.1 91.3 165.6 10.7 -4.9 1.2 96.5 140.0

AGF American Growth Class 903 12.94 22.64 15.02 10.5 -7.3 1.3 95.5 196.4 11.4 -4.2 1.2 99.9 145.0

CI American Managers Corporate Class 488 15.77 21.77 13.63 8.0 -6.6 1.2 91.3 175.6 9.7 -5.4 1.1 92.8 139.4

CI American Value Corporate Class 804 21.18 22.15 14.21 7.5 -4.0 1.1 91.2 151.2 9.1 -3.7 1.1 92.2 127.2

Dynamic American Value 596 13.40 14.86 10.02 7.7 -9.1 1.0 62.7 102.2 10.1 -6.6 1.0 70.5 109.7

Dynamic Power American Growth 942 11.17 18.50 19.62 17.2 -6.6 1.1 87.3 298.0 16.8 2.5 1.0 105.4 92.1

Fidelity American Disciplined Eq 95 21.20 22.81 13.90 7.5 -3.5 1.1 93.8 158.2 9.6 -4.7 1.1 94.6 142.0

IA Clarington Sarbit US Growth Leaders 1,263 4.69 15.20 14.57 8.3 -13.6 1.3 74.7 282.4 12.0 -6.7 1.3 101.1 157.3

Mackenzie US Lg Cap Growth 264 20.69 22.43 14.45 8.7 -4.0 1.1 90.3 120.6 10.1 -4.0 1.1 91.9 121.8

Manulife US Opportunities 171 17.99 23.29 13.21 8.9 -6.6 1.3 96.8 180.6 12.4 -8.8 1.4 103.6 189.9

RBC O'Shaughnessy US Value Adv 2,011 10.73 22.47 17.57 10.5 -11.9 1.5 96.4 221.7 12.0 -4.9 1.4 109.9 143.4

Russell US Equity 68 17.52 21.59 14.13 7.6 -5.1 1.1 90.8 177.0 9.8 -5.0 1.1 97.0 147.7

Sentry US Growth and Income 2,477 19.55 22.45 8.0 -2.9 1.0 92.4 155.5

Trimark US Companies 284 25.64 25.07 8.3 -1.9 1.1 100.4 140.7

Fund NameAUM

($MM)


INTERNAL USE ONLY


16

Canadian Fixed Income (FBBF)

Observations


Source: Morningstar Direct as of December 31, 2014. Benchmark is DEX Universe Bond Index

Franklin Bissett Bond Fund:

• Multi-sector core+ Canadian fixed-income strategy pursuing higher yields while limiting volatility

• Above average yield and distribution rates

• Increased exposure to sectors not readily available to Canadian investors (High Yield, Bank Loans and

Global), leveraging the broader global fixed income teams and sector specialists

• Generates a yield above that of the benchmark, while maintaining lower duration

• Flexibility to invest/overweight in sectors that traditionally performed well in rising rate environment

• Has been generally outperforming its main peers in the short and mid term

DECEMBER 2014

TTM YTM 1 Year 3 Yrs 5 Yrs Canada Gov. Corp OtherInvest.

Grade

High

Yield

Not

Rated

Franklin Bissett Bond 2,613 3.87 3.18 7.28 2.98 4.43 82 46.8 48.5 4.7 90 10 0

CTG - Canadian Fixed Income 2.53 2.51 6.93 3.18 4.44 94 33.7 44.8 21.6 97 2 1

AGF Canadian Bond 1,102 1.36 2.84 5.99 1.66 3.09 96 37.6 41.0 21.4 99 1 0

CI Signature Canadian Bond 2,689 2.00 2.54 7.68 2.96 4.41 90 45.3 34.8 19.9 99 0 0

Desjardins Enhanced Bond 3,120 2.14 2.87 6.98 2.47 4.52 73 43.9 33.0 23.1 99 0 0

Dynamic Advantage Bond 933 3.75 2.62 4.33 2.78 4.41 85 41.9 47.5 10.6 97 3 0

Dynamic Canadian Bond 1,722 2.48 2.37 4.55 2.21 3.83 95 53.9 34.9 11.3 100 0 0

Fidelity Canadian Bond 8,659 1.84 2.76 7.28 2.57 4.23 96 33.8 47.4 18.8 100 0 0

Fidelity Tactical Fixed Income 284 2.04 3.23 6.49 81 28.9 53.4 17.7

IA Clarington Bond 285 1.69 2.68 6.94 2.05 3.61 99 38.7 42.6 18.7 100 0 0

Mackenzie Cdn Bond 1,075 1.77 2.78 6.86 2.26 4.02 93 44.5 38.2 17.4 100 0 0

Manulife Bond Adv 1,175 1.79 2.79 7.04 2.64 3.83 90 34.6 45.8 19.6 100 0 0

NEI Canadian Bond 1,160 4.26 2.33 6.67 2.08 3.77 96 53.0 40.7 6.3 100 0 0

PIMCO Canadian Total Return Bond 65 2.39 7.29 2.96 86 67.5 17.1 15.4

TD Canadian Bond 10,756 2.23 2.42 7.00 2.59 4.35 99 38.1 53.2 8.8 100 0 0

TD Canadian Core Plus Bond 9,116 1.69 2.62 6.91 3.42 4.86 91 36.8 55.4 7.8 99 1 0

Trimark Canadian Bond 1,155 1.70 2.77 6.79 2.71 4.08 89 40.9 51.6 7.5 98 2 0

Fund NameAUM

($MM)

Yield (%) Performance (%) Allocation (%)

INTERNAL USE ONLY


17

Canadian Fixed Income (FBCoBF)

Observations


Source: Morningstar Direct as of December 31, 2014. Correlation to High Yield market is based on Credit Suisse High Yield Index.

Franklin Bissett Corporate Bond Fund:

• A fixed income fund focusing on Corporate bonds for long-term enhanced risk-adjusted

returns

• Increased exposure to sectors not readily available to Canadian investors (High Yield,

Bank Loans, CMBS), leveraging the broader global fixed income teams and sector

specialists

• Complementing core Canadian fixed income allocations with a higher alpha solution

• Top quartile performance on 3 year basis, and outperforming its category average

across 3 & 5 years

• Above average distribution rates, with yield above its benchmark while maintaining a

similar duration levels

DECEMBER 2014

TTM YTM 1 Year 3 Yrs 5 Yrs Canada Gov. Corp OtherInvest.

Grade

High

Yield

Not

Rated

Franklin Bissett Corporate Bond 194 4.00 3.74 5.86 3.78 4.49 73 5.3 88.2 6.5 83 17 0

CTG - Canadian Fixed Income 2.53 2.51 6.93 3.18 4.44 94 33.7 44.8 21.6 97 2 1

Altamira Corporate Bond Adv 632 1.92 3.21 5.67 3.43 91 4.0 91.3 4.7 97 3 1

Beutel Goodman Corp/Prov. Actv Bd B 153 2.88 2.63 5.75 2.00 100 2.6 82.3 15.1 100 0 0

Canso Corporate Bond 718 2.61 7.35 5.95

Dynamic Advantage Bond 933 3.75 2.62 4.33 2.78 4.41 85 41.9 47.5 10.6 97 3 0

Dynamic Aurion Total Return Bond 782 4.94 2.89 8.01 3.10 74 17.2 49.4 33.4 99 1 0

Fidelity Corporate Bond 161 2.22 3.86 6.36 3.74 77 8.7 85.6 5.7 98 2 0

IA Clarington Tactical Bond 22 0.00 0.76 1.35

NexGen Corporate Bond Registered 14 2.28 3.57 5.13 95 3.0 85.2 11.9 96 4 0

Quadrus Corporate Bond (Portico) Q 191 1.57 2.95 5.06 2.74 3.79 93 3.3 95.8 1.0 100 0 0

Renaissance Corp Bond Capital Yield 3,828 0.09 4.26 4.93 3.96 4.67 83 6.7 87.6 5.6 97 3 1

Standard Life Corporate Bond 588 1.67 3.06 5.54 2.97 4.28 93 5.8 92.7 1.4 96 4 0

TD Corporate Bond Capital Yield 409 0.00 3.36 4.96 3.23 4.30 91 5.9 89.5 4.6 98 2 1

Fund NameAUM

($MM)

Yield (%) Performance (%) Allocation (%)

INTERNAL USE ONLY


18

Canadian Short-Term Bonds

Observations


Source: Morningstar Direct as of December 31, 2014.

Franklin Bissett Canadian Short Term Bond Fund:

• Competitive performance with above-average distribution rates

• Defensive fixed-income exposure in a rising interest rate

environment

• Multi-sector strategy with flexibility across FI sector and

geographic allocation

• Above average distribution rates and gross yield comparable to

the FTSE TMX Canada Universe Bond Index, with a duration

exposure lower by over 60%

• Outperforming its category average across 1 & 3 year basis

DECEMBER 2014

TTM YTM 1 Year 3 Yrs 5 YrsStd Dev

(3yr)

St Dev

(5yr)

CDN

Pctg

Avg Cr.

Quality

Avg

Duration

Franklin Bissett Canadian Short Term Bond 387 4.00 2.60 2.42 1.70 2.12 0.98 1.29 85 A 2.51

CTG - Canadian Short Term Fixed Income 1.80 1.76 2.35 1.68 2.18 0.92 1.16 97 A

AGF Short Term Income Class 31 0.00 1.22 1.05 0.77 0.62 0.53 66 AA 2.29

BMO Mortgage & Sh-Trm Inc Adv 430 1.27 1.86 1.67 1.21 1.65 0.96 1.20 100 AA 2.53

CI Signature Short-Term Bond 115 1.38 1.89 1.77 1.04 1.51 0.92 1.22 94 A 2.68

Fidelity Canadian Short-Term Bond 922 1.68 1.97 2.04 1.50 2.15 1.10 1.41 93 A 3.12

IA Clarington Short-Term Bond 31 1.33 1.90 1.93 0.93 1.11 100 A 2.84

Mackenzie Cdn Shrt-Trm Income 386 1.84 2.93 2.22 1.20 1.92 1.20 1.38 81 A 3.85

Manulife Short Term Bond 73 1.61 1.97 1.89 1.55 1.15 94 A 3.03

National Bank Mortgage 377 0.66 1.81 1.39 0.75 1.52 0.95 1.27 98 AA 2.67

National Bank Short Term Canadian Income 437 1.62 1.61 0.89 0.96 0.88 0.14 0.21 100 AA 0.40

PH&N Short Term Bond & Mortgage Adv 4,712 1.69 1.80 2.46 1.67 0.95 97 AA 2.60

RBC Canadian Short Term Income Adv 5,154 1.73 1.74 2.09 1.53 2.15 1.06 1.47 100 AA 2.58

Renaissance Short-Term Income 89 1.96 1.77 1.99 1.35 1.89 1.12 1.42 93 A 2.97

TD Short Term Bond 4,260 1.42 1.72 1.90 1.31 1.93 1.04 1.36 100 AA 2.82

Trimark Government Plus Income 121 0.39 1.76 0.94 0.78 1.55 0.86 1.23 91 AA 2.63

Performance (%) Volatility (%) Allocation

Fund NameAUM

($MM)

Yield (%)

INTERNAL USE ONLY


19

Canadian Neutral Balanced

Observations


Source: Morningstar Direct as of December 31, 2014. Ratios based on 55% S&P/TSX TR Composite & 45% DEX Universe Index

Franklin Bissett Canadian Balanced Fund :

• Four-star rated fund outperforming its category average on

3 & 5-yr basis

• A balanced fund investing primarily in Canadian equities

and fixed income, with added diversification through

investments in other FTI funds providing access to targeted

markets and sectors

• Flexible fund allocation to benefit from economic outlook

and market conditions

• Diversification across equity and fixed income countries,

sectors, market caps and credit quality

• Despite relative returns in 2014, competitive absolute and

risk-adjusted performance relative to leading peer funds

Franklin Bissett Strategic Income Fund :

• Combining Canadian equity and fixed income with global

fixed income for enhanced risk/return outcomes

• Flexible asset allocation aiming to generate competitive risk-

adjusted income opportunities and total return

• Above-average yield in its category (net of ROC) comprised

predominately of Canadian dividends for a maximized tax

efficient income

• Fixed income allocation leveraging the Canadian expertise

of the Franklin Bissett team, complemented by the breadth

and depth of FTI’s global fixed income platform

• Model portfolio has lower LT correlation to Canadian and

global equities, relative to the category average

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Std Dev Alpha Beta Std Dev Alpha Beta EquityCdn

Equity

Fixed

Income

Cdn Fix.

Income

Franklin Bissett Canadian Balanced 1,124 5.19 10.23 7.81 4.74 3.85 0.77 5.61 2.05 0.80 59 63 34 70

Franklin Bissett Strategic Income 118 -7.91 2.91 6.44 -3.25 0.82 53 100 40 35

CTG - Canadian Neutral Balanced 8.29 8.49 6.96 4.16 2.75 0.69 5.08 0.90 0.76 55 63 36 88

AGF Canadian Asset Allocation 733 7.12 9.30 5.59 4.67 3.48 0.70 5.31 0.63 0.69 60 59 22 96

AGF Traditional Balanced 280 7.23 6.91 3.53 5.82 -1.25 1.09 6.74 -3.15 1.00 61 99 36 86

CI Signature Canadian Balanced 1,946 10.67 9.77 6.90 4.52 3.51 0.76 6.41 0.34 0.95 53 45 29 89

Dynamic Blue Chip Balanced 943 10.74 9.18 6.97 4.77 4.59 0.51 5.92 1.53 0.76 65 15 32 95

Dynamic Power Balanced 1,058 7.64 8.39 4.51 5.58 1.87 0.82 7.74 -2.69 1.10 60 55 28 97

Fidelity Canadian Balanced 7,151 10.86 9.65 8.03 3.87 3.97 0.67 4.94 2.29 0.79 53 72 42 90

Fidelity Monthly Income 12,760 7.92 8.79 8.76 3.11 4.71 0.43 4.06 4.55 0.52 45 50 40 62

IA Clarington Canadian Balanced 955 6.25 9.01 7.31 4.22 3.73 0.62 4.59 2.60 0.62 59 97 34 98

IA Clarington Monthly Income Balanced T8 279 9.18 9.99 7.14 5.44 2.43 0.96 6.28 0.26 1.00 68 55 24 99

Invesco Canadian Balanced 858 7.94 9.69 6.37 4.74 3.09 0.81 5.68 0.59 0.82 57 55 36 87

Invesco Core Canadian Balanced 147 7.90 11.08 7.10 4.83 4.73 0.76 5.87 1.28 0.82 59 63 28 92

Mackenzie Strategic Income 2,643 5.69 7.04 7.92 3.92 1.78 0.63 5.20 2.44 0.75 49 49 46 49

Mackenzie Cdn Growth Balanced 402 18.26 14.02 6.73 5.33 7.63 0.72 6.78 1.20 0.78 64 62 34 84

Manulife Monthly High Income 9,538 16.48 13.22 9.83 3.68 9.07 0.38 4.28 5.84 0.47 65 56 20 85

Standard Life Monthly Income 827 8.33 7.92 7.06 4.58 1.96 0.74 4.80 1.91 0.70 67 76 24 77

Allocation (%)

Fund NameAUM

($MM)


INTERNAL USE ONLY


20

Equity Balanced

Observations


Source: Morningstar Direct as of December 31, 2014. Ratios based on 75% S&P/TSX TR Composite & 25% DEX Universe Index. Model portfolio based on 39% exposure to FBCEF, 35% to FBBF,

16.25% to FBSCF and 9.75% to FBMF

Franklin Bissett Dividend Income Fund:

• A four-star rated balanced fund, investing in Canadian

equities and fixed income, in addition to US equities for

broader income opportunities and sector diversification

• Multi-sector dividend-paying stocks, tilted toward large caps,

provide a defensive exposure to equity markets

• Consistent monthly distributions since inception, with

potential for top-ups

• Competitive performance relative to peers with below

average volatility and defensive beta

• Top quartile performance in its category across 5 years

Franklin Bissett Canadian All Cap Balanced Fund:

• A balanced fund leveraging the broad Franklin Bissett

opportunities across the cap spectrum in addition to dividend

and non-dividend paying equities

• A differentiated approach to balanced investments (true all

cap exposure with appr. 40% of equity allocated to

small/micro caps)

• Nimble and flexible strategy for better impact from high

conviction investments

• A true complement to global equity or global balanced

exposure

• Model portfolio showing competitive long-term returns,

exceeding pure equity mandates at reduced volatility

DECEMBER 2014

1 Year 3 Yrs 5 Yrs Std Dev Alpha Beta Std Dev Alpha Beta EquityCdn

Equity

Fixed

Income

Cdn Fix.

Income

Franklin Bissett Dividend Income 823 4.38 9.03 8.76 5.61 2.79 0.74 5.79 3.44 0.70 80.2 76 15.2 98

Franklin Bissett Can All Cap Bal 18 4.83 9.60 7.84 5.03 3.18 0.75 5.36 2.49 0.72 64.6 100 30.4 95

CTG - Canadian Equity Balanced 7.98 9.23 6.69 5.85 2.14 0.85 7.15 0.44 0.91 66.1 71 25.0 89

CTG - Global Equity Balanced 8.57 12.22 8.05 5.48 5.61 0.72 7.11 1.66 0.85 66.9 32 22.8 74

AGF Monthly High Income 1,084 1.11 5.46 7.17 6.08 -1.80 0.92 6.71 0.81 0.90 63.4 64 31.0 72

Sionna Canadian Balanced 100 6.39 8.21 6.05 4.87 1.63 0.79 5.37 0.66 0.74 64.0 64 30.0 99

CI Harbour Growth & Income 5,336 6.53 7.86 4.50 6.64 -0.08 1.01 8.26 -2.96 1.12 74.0 60 22.3 67

Dynamic Diversified Real Asset 102 9.92 -1.96 2.10 11.49 -14.12 1.72 11.74 -7.07 1.48 76.6 52 14.7 100

Dynamic Value Balanced 1,894 6.68 10.45 5.80 5.29 3.94 0.76 7.80 -1.24 1.04 63.7 45 30.0 70

NEI Ethical Balanced 262 6.74 3.28 2.49 5.28 -2.56 0.72 5.60 -2.80 0.75 54.3 62 44.4 81

Fidelity Canadian Asset Allocation 7,465 9.53 7.19 4.99 4.95 0.19 0.86 6.37 -1.67 0.97 61.7 73 26.6 84

IA Clarington Strategic Income Y 1,276 7.63 9.69 7.04 4.51 4.38 0.59 5.57 1.87 0.70 56.0 62 30.3 71

Mackenzie Ivy Cdn Balanced 994 11.11 10.79 7.96 4.94 4.84 0.67 5.18 3.10 0.63 72.5 59 24.0 81

Mackenzie Cdn All Cap Balanced 990 7.14 9.39 6.27 5.97 1.12 1.03 7.11 -0.88 1.05 64.9 98 33.8 81

Manulife Diversified Investment 1,157 11.13 13.12 9.57 4.08 7.82 0.53 5.22 4.74 0.61 65.0 31 30.9 100

Renaissance Canadian Balanced 353 6.58 8.74 6.21 5.88 0.94 0.97 6.96 -0.71 1.01 71.7 77 27.0 91

Trimark Income Growth 3,022 7.40 11.74 7.32 5.29 5.75 0.66 6.59 1.63 0.79 60.0 68 23.5 97

Trimark Select Balanced 944 10.61 11.82 7.24 6.40 4.45 0.87 7.81 0.40 0.99 69.6 60 22.8 100

Allocation (%)

Fund NameAUM

($MM)


INTERNAL USE ONLY


21

Global Fixed Income Balanced – Franklin Quotential Diversified Income

Global Equity – Franklin Quotential Diversified Equity


Source: Morningstar Direct as of December 31st, 2014.

YTD 1 Year 3 Yrs 5 Yrs 10 YrsStandard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Franklin Quotential Div Eq Port A 276 7.67 7.67 15.00 8.40 4.32 7.2 1.9 8.8 0.9 11.4 0.3

Canada Global Equity 9.94 9.94 16.51 9.82 4.93 7.8 2.0 9.9 1.0 12.1 0.3

AGF Elements Global Portfolio 190 7.88 7.88 12.33 6.21 7.1 1.6 9.1 0.6

CI Global 265 12.61 12.61 16.77 9.44 2.74 7.0 2.1 9.8 0.9 12.0 0.1

DMP Power Global Growth Class 17 8.67 8.67 17.58 13.20 15.7 1.1 17.0 0.8

Fidelity Global Growth Class Port Sr A 78 10.18 10.18 14.99 9.91 5.4 2.5 7.4 1.2

Manulife Global Focused 285 0.73 0.73 14.41 6.24 10.3 1.3 13.5 0.5

Meritage Global Equity Portfolio 168 6.53 6.53 15.84 9.55 7.6 1.9 8.9 1.0

Meritage International Equity Port 18 5.75 5.75 13.84 5.49 7.8 1.6 10.9 0.5

Russell Global Equity Pool Sr A 319 11.08 11.08 18.80 10.65 3.68 7.9 2.1 9.7 1.0 11.5 0.2

Russell LifePoints All Equity Port Sr B 69 10.08 10.08 14.04 8.17 3.99 7.1 1.8 10.2 0.7 12.0 0.2

SEI Global Growth 100 Class P 16 8.48 8.48 15.17 8.43 3.19 7.0 1.9 9.0 0.9 11.8 0.2

Templeton Growth A 1,613 8.96 8.96 19.14 10.54 4.31 8.8 2.0 11.0 0.9 12.2 0.3

Trimark Fund SC 2,885 10.02 10.02 17.16 11.75 5.07 6.7 2.3 7.8 1.4 12.0 0.3

Trimark Global Fundamental Equity 1,304 10.60 10.60 18.29 10.90 2.91 7.3 2.2 8.6 1.2 12.0 0.2

Ten-Year Ratios

Fund NameAUM

($MM)



Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Franklin Quotential Div Inc Port T A 1,443 5.43 5.43 5.97 5.99 4.57 2.8 1.8 2.9 1.7 4.6 0.6

Canada Global Fixed Income Balanced 8.19 8.19 7.30 6.43 4.81 3.1 2.0 3.6 1.6 5.3 0.6

AGF Elements Yield Portfolio 468 6.48 6.48 5.24 4.95 3.0 1.4 3.0 1.4

CI Portfolio Series Income 1,959 7.66 7.66 7.57 7.06 5.31 2.6 2.5 3.1 2.0 4.4 0.8

CI Select 80i20e Mgd Port Corp Cl A 447 6.16 6.16 7.46 5.93 2.5 2.5 3.0 1.7

Counsel Managed Yield Portfolio Series A 57 3.31 3.31 3.20 3.4 0.7

Fidelity Global Income Portfolio Sr A 225 9.28 9.28 8.36 6.81 3.4 2.1 4.0 1.5

Fidelity Income Portfolio Series A 403 9.17 9.17 7.54 6.49 3.1 2.1 3.5 1.6

Invesco Intactive Divers Income Port 439 6.93 6.93 4.42 4.85 3.5 1.0 3.4 1.2

Symmetry Cnsrv Port Cl A 320 6.36 6.36 6.57 5.40 2.9 1.9 3.3 1.4

Manulife Simplicity Conservative Port 414 7.30 7.30 5.19 4.74 2.6 1.6 2.6 1.5

Meritage Conservative Portfolio 140 5.84 5.84 4.92 4.44 2.4 1.6 2.4 1.5

SEI Income 20/80 Class P 139 6.42 6.42 4.70 4.92 3.81 2.5 1.5 2.4 1.7 3.8 0.5

SEI Income 30/70 Class P 74 6.71 6.71 5.80 5.29 3.85 2.7 1.8 2.8 1.6 4.4 0.5

TD Income Advantage Portfolio - A 6,325 6.86 6.86 4.65 4.93 4.36 2.4 1.6 2.1 1.9 3.5 0.7

Ten-Year Ratios

Fund NameAUM

($MM)


INTERNAL USE ONLY


22

Global Equity Balanced – Franklin Quotential Balanced Growth & Franklin Quotential Growth

Global Neutral Balanced – Franklin Quotential Balanced Income




Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Franklin Quotential Bal Growth Port A 2,665 7.38 7.38 9.47 6.56 4.54 5.0 1.7 5.7 1.0 8.2 0.4

Franklin Quotential Growth Pt A 497 7.63 7.63 11.43 7.01 4.13 6.2 1.6 7.4 0.9 9.9 0.3

Canada Global Equity Balanced 8.57 8.57 12.22 8.05 4.93 5.5 2.0 7.1 1.0 9.1 0.4

AGF Elements Growth Portfolio 427 7.63 7.63 10.50 6.13 5.5 1.7 6.9 0.8

CI Portfolio Series Balanced 3,315 8.84 8.84 11.05 7.67 5.28 4.3 2.2 5.8 1.2 7.5 0.5

CI Portfolio Series Balanced Growth 1,842 8.44 8.44 11.99 8.05 4.96 5.1 2.1 6.7 1.1 8.3 0.4

DynamicEdge Balanced Gr Port 536 6.86 6.86 10.09 6.85 4.9 1.8 6.5 0.9

DynamicEdge Growth Port 334 7.50 7.50 11.67 7.33 5.9 1.8 7.8 0.8

Fidelity Balanced Portfolio Series A 613 10.07 10.07 10.26 7.60 4.0 2.2 5.3 1.3

Fidelity Growth Portfolio Series A 185 10.90 10.90 13.94 9.56 4.8 2.6 6.6 1.3

Invesco Intactive Balanced Gr Port 1,506 6.79 6.79 6.28 5.62 4.8 1.1 5.5 0.9

Invesco Intactive Growth Portfolio 513 6.21 6.21 7.88 6.01 5.9 1.2 7.0 0.8

Symmetry Balanced Port Cl A 246 6.76 6.76 8.66 6.32 3.8 2.0 4.6 1.2

Symmetry Moderate Growth Port Cl A 258 7.04 7.04 10.26 6.86 4.8 1.9 6.0 1.0

Manulife Simplicity Growth Port 1,005 9.63 9.63 10.93 6.63 3.91 5.3 1.8 7.3 0.8 9.8 0.3

Marquis Balanced Growth Portfolio A 336 6.46 6.46 10.57 7.31 5.52 5.2 1.8 6.4 1.0 8.0 0.5

Meritage Balanced Portfolio 697 6.77 6.77 8.03 6.37 4.0 1.7 4.7 1.2

RBC Select Balanced Portfolio Sr A 15,684 9.99 9.99 10.53 7.18 5.03 4.0 2.3 5.0 1.2 6.6 0.5

Russell LifePoints Bal Growth Port Sr B 920 7.68 7.68 8.80 6.18 4.12 4.3 1.8 5.9 0.9 7.5 0.3

Russell LifePoints Balanced Port Sr B 245 7.39 7.39 7.71 5.77 3.7 1.8 4.9 1.0

Ten-Year Ratios

Fund NameAUM

($MM)



Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Franklin Quotential Bal Income Port A 1,212 6.86 6.86 7.54 5.90 4.30 3.8 1.7 4.1 1.2 6.3 0.4

Canada Global Neutral Balanced 8.71 8.71 9.63 7.27 4.86 4.4 2.0 5.3 1.3 6.8 0.5

AGF Elements Conservative Portfolio 264 6.66 6.66 6.58 4.83 3.3 1.7 3.4 1.2

CI Portfolio Series Cnsrv Balanced 920 8.71 8.71 10.16 7.46 5.03 3.8 2.3 4.9 1.3 6.6 0.5

CI Portfolio Series Conservative 1,222 8.06 8.06 8.77 6.98 5.01 3.3 2.3 4.2 1.5 5.8 0.6

CI Select 60i40e Mgd Port Corp Cl A 401 6.64 6.64 9.38 6.86 3.4 2.4 4.3 1.4

CI Select 70i30e Managed Port Corp Cl A 433 6.41 6.41 8.42 6.38 3.0 2.5 3.6 1.5

DynamicEdge Balanced Port 495 6.19 6.19 8.33 6.23 4.0 1.8 5.0 1.1

Invesco Intactive Balanced Gr Port 1,506 6.79 6.79 6.28 5.62 4.8 1.1 5.5 0.9

Invesco Intactive Balanced Income Port 818 6.98 6.98 4.78 5.12 3.9 1.0 4.2 1.0

Symmetry Balanced Port Cl A 246 6.76 6.76 8.66 6.32 3.8 2.0 4.6 1.2

Manulife Diversified Income Port 69 5.80 5.80 7.09 6.12 3.3 1.8 4.4 1.2

Manulife Leaders Balanced Income Port 13 7.55 7.55 6.95 4.72 3.1 1.9 4.7 0.8

Meritage Balanced Income Portfolio 508 7.09 7.09 6.84 6.66 3.2 1.8 3.6 1.6

Meritage Conservative Income Portfolio 326 5.30 5.30 3.31 4.49 2.4 1.0 2.3 1.5

Meritage Equity Income Portfolio 132 7.94 7.94 9.84 8.23 4.8 1.8 5.7 1.3

Meritage Moderate Income Portfolio 189 6.55 6.55 5.41 5.74 2.7 1.6 2.8 1.7

Russell LifePoints Bal Income Port Sr B 632 6.56 6.56 6.13 5.15 3.92 2.7 1.9 3.3 1.3 4.8 0.4

Ten-Year Ratios

Fund NameAUM

($MM)


INTERNAL USE ONLY


23

Tactical Balanced – Templeton Global Balanced

Global Fixed Income – Templeton Global Bond




Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Templeton Global Balanced Fd A 263 5.18 5.18 12.49 8.02 7.0 1.6 8.3 0.9

Canada Tactical Balanced 6.78 6.78 7.99 5.97 5.02 5.6 1.3 6.7 0.8 9.1 0.4

CI Harbour Growth & Income 5,336 6.53 6.53 7.86 4.50 5.08 6.6 1.0 8.3 0.5 9.7 0.4

CI Signature High Income 10,020 8.57 8.57 9.59 9.72 7.34 3.7 2.2 4.7 1.8 8.3 0.7

Fidelity Tactical Strategies Series A 39 7.18 7.18 9.27 4.0 2.0

IA Clarington Tactical Income Class A 161 2.92 2.92 5.26 4.5 1.0

Mackenzie Global Asset Strategy A 31 -5.14 -5.14

Mawer Balanced A 1,460 12.11 12.11 14.50 11.15 7.91 4.0 3.2 5.0 2.0 6.7 0.9

Standard Life Tactical Income A 67 4.67 4.67 7.69 5.57 5.4 1.2 5.7 0.8

Trimark Global Balanced 636 5.56 5.56 12.85 9.59 4.18 5.6 2.0 7.2 1.2 9.1 0.3

Ten-Year Ratios

Fund NameAUM

($MM)



Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Templeton Global Bond A 2,276 3.16 3.16 4.49 4.43 4.58 4.3 0.8 4.5 0.8 7.3 0.4

Canada Global Fixed Income 6.97 6.97 4.79 4.66 3.36 4.0 1.1 4.9 0.9 7.2 0.3

CI Signature Global Bond Class A 915 7.30 7.30 3.42 3.14 2.39 4.2 0.6 5.2 0.5 8.7 0.1

Fidelity Global Bond Series A 1,227 8.14 8.14 2.92 2.64 5.0 0.4 6.4 0.3

PIMCO Global Advantage Strategy Bond A 214 5.82 5.82 3.17 3.3 0.7

PIMCO Monthly Income A 6,546 6.63 6.63 12.03 4.3 2.5

RBC Global Bond Sr A 4,014 7.27 7.27 4.38 4.12 3.60 2.0 1.7 2.5 1.3 2.8 0.6

Ten-Year Ratios

Fund NameAUM

($MM)


Mutual Global Discovery


Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Standard

Deviation

Sharpe

Ratio

Franklin Mutual Global Discovery A 1,316 5.96 5.96 15.14 9.70 6.31 7.9 1.7 9.8 0.9 9.6 0.5

Canada Global Equity 9.94 9.94 16.51 9.82 4.93 7.8 1.9 9.9 1.0 12.1 0.3

Capital Group Global Equity-Canada A 3,096 10.45 10.45 19.47 11.92 6.46 6.9 2.5 9.3 1.2 11.1 0.5

CI Black Creek International Equity A 685 -2.28 -2.28 20.82 9.20 12.8 1.5 15.1 0.6

Dynamic Global Discovery 435 5.43 5.43 12.87 7.22 7.75 7.2 1.6 10.1 0.7 12.6 0.5

Fidelity Global Series A 722 10.40 10.40 16.47 8.33 2.52 6.8 2.2 9.6 0.8 11.9 0.1

Fidelity NorthStar Sr A 2,504 13.22 13.22 21.14 12.38 5.86 7.7 2.4 9.0 1.3 11.8 0.4

Mackenzie Cundill Value A 4,340 2.25 2.25 16.63 7.97 4.39 12.4 1.2 14.6 0.5 13.5 0.3

Mawer Global Equity A 789 14.47 14.47 21.52 14.53 6.5 2.9 8.7 1.5

Trimark Global Fundamental Equity 1,304 10.60 10.60 18.29 10.90 2.91 7.3 2.2 8.6 1.2 12.0 0.1

Ten-Year Ratios

Fund NameAUM

($MM)


INTERNAL USE ONLY


24

New Funds in Morningstar

Source: Morningstar Direct

Fund Name Firm Name Global Category

Allocation

2-Jan-15 Barometer Discp Leadership Bal Cl A Barometer Capital Management Inc. Moderate Allocation

29-Dec-14 IA Clarington Growth & Income A IA Clarington Investments Inc. Aggressive Allocation

12-Dec-14 NEI Global Strategic Yield A NEI Investments Moderate Allocation

1-Dec-14 Primerica Common Sense Asset Builder VII AGF Investments Target Date 2021-2045

1-Dec-14 Primerica Common Sense Strat Retire Inc AGF Investments Cautious Allocation

Equity

29-Dec-14 IA Clarington North American Opp Cl A IA Clarington Investments Inc. Canadian Equity Mid/Small Cap

Fixed Income

5-Jan-15 AGF Global Convertible Bond Ser F FE AGF Investments Inc. High Yield Fixed Income

Inception Date

INTERNAL USE ONLY


25

U.S. Macroeconomic Data Gross Domestic Product (GDP), Q/Q Annualized Return (%)

Personal Income & Expenditures Y/Y (%)

-4

-2

0

2

4

6

Q3:09 Q4:10 Q1:12 Q2:13 Q3:14

-5

0

5

10

Nov 09 Feb 11 May 12 Aug 13 Nov 14

Consumer Spending Personal Income % Y/Y

Non-farm Payrolls & Unemployment Rate

024681012

-1000

-500

0

500


Per

cen

t

Th

ou

san

ds

Non-Farm Payrolls Net Change

0

2

4

6


CPI Core CPI

Consumer Price Index, Y/Y (%)

-10

-5

0

5

10

15

Q3:09 Q4:10 Q1:12 Q2:13 Q3:14

Unit Labor Costs Productivity

Productivity & Unit Labor Costs, Q/Q Annualized Return (%)

U.S. Annualized Trade Deficit, % GDP

FINAL OUTPUT

Gross Domestic Product (GDP) Q4:13 Q1:14 Q2:14 Q3:14

Q/Q ar (% ) 3.5 -2.1 4.6 3.9

ECONOMIC INPUTS

CONSUMPTION/FINAL DEMAND

Income/Savings Jul 14 Aug 14 Sep 14 Oct 14

Consumer Spending, Y/Y (% ) 3.9 4.2 3.8 3.6

Personal Income, Y/Y (% ) 4.0 3.9 3.7 4.1

Savings Rate, (% ) 5.2 4.9 5.0 5.0

Employment Aug 14 Sep 14 Oct 14 Nov 14

Unemployment Rate (% ) 6.1 5.9 5.8 5.8

Participation Rate (% ) 62.8 62.7 62.8 62.8

Non-farm Payrolls (in thousands) 203 271 243 321

Jobless Claims, 4 wk average (in thousands) 303 295 279 -

Housing Jul 14 Aug 14 Sep 14 Oct 14

Existing Home Sales (in millions) 5.14 5.05 5.18 5.26

Y/Y Change (% ) -4.5 -5.3 -1.5 2.5

INVESTMENT

Corporate Earnings Q4:13 Q1:14 Q2:14 Q3:14

Earnings, Y/Y (% ) 20.7 11.2 17.8 13.8

Production & Utilization Aug 14 Sep 14 Oct 14 Nov 14

Industrial Production, Y/Y (% ) 4.3 4.5 4.5 5.2

Capacity Utilization (% ) 79.0 79.5 79.3 80.1

Non-Residential Fixed Investment Q4:13 Q1:14 Q2:14 Q3:14

Y/Y (% ) 4.7 4.7 6.8 7.2

INFLATION & PRODUCTIVITY

Inflation Indicators Jul 14 Aug 14 Sep 14 Oct 14

Personal Consumption Expenditure (PCE), Y/Y (% ) 1.6 1.5 1.4 1.4

Core PCE, Y/Y (% ) 1.5 1.5 1.5 1.6

Consumer Price Index (CPI), Y/Y (% ) 2.0 1.7 1.7 1.7

Core CPI, Y/Y (% ) 1.9 1.7 1.7 1.8

Producer Price Index (PPI), Y/Y (% ) 2.9 2.3 2.2 1.7

Core Producer Prices, Y/Y (% ) 1.9 1.9 2.1 2.1

Productivity Q4:13 Q1:14 Q2:14 Q3:14

Productivity, Q/Q annualized return (% ) 3.3 -4.5 2.9 2.3

Unit Labor Costs, Q/Q annualized return (% ) -1.3 11.6 -3.7 -1.0

FINANCIAL MARKETS

Valuation Q4:13 Q1:14 Q2:14 Q3:14

P/E S&P 500 16.0 17.31 17.35 17.75

Fed Funds Rate 0.25 0.25 0.25 0.25

BALANCE OF PAYMENTS

U.S. Monthly Trade Deficit Jul 14 Aug 14 Sep 14 Oct 14

(in USD billion) -40.7 -40.0 -43.6 -43.4

U.S. Current Account Deficit Q4:13 Q1:14 Q2:14 Q3:14

quarterly (in USD billion) -87.3 -102.1 -98.4 -100.3

annualized (% GDP) -2.3 -2.3 -2.3 -2.2

Source: Bloomberg, as of December 31st, 2014

-5

-4

-3

-2

-1

0

Q3 2009 Q3 2010 Q3 2011 Q3 2012 Q3 2013 Q3 2014

Sources: U.S. Census Bureau and Bureau of Economic Analysis, …

INTERNAL USE ONLY


26

Euroland Macroeconomic Data FINAL OUTPUT

Gross Domestic Product (GDP) Q4 13 Q1 14 Q2 14 Q3 14

GDP, Y/Y (% ) 0.4 1.1 0.8 0.8

Private Consumption, Y/Y (% ) 0.2 0.5 0.7 1.0

Gross Fixed Capital Formation, Y/Y (% ) -0.4 2.2 0.9 0.0

ECONOMIC INPUTS

Aug 14 Sep 14 Oct 14 Nov 14

Retail Sales Y/Y (% ) 1.6 0.4 1.6 1.5


Industrial Production, Y/Y (% ) -0.6 0.2 0.8 -0.4

INFLATION & WAGE PRESSURE

Inflation Indicators Sep 14 Oct 14 Nov 14 Dec 14

Consumer Price Index (CPI), Y/Y (% ) 0.3 0.4 0.3 -0.2

Core CPI, Y/Y (% ) 0.8 0.7 0.7 0.7

FINANCIAL MARKETS

Sep 14 Oct 14 Nov 14 Dec 14

Dow Jones EURO STOXX

50 Price Index EUR, Trailing P/E ratio 22.85 22.05 23.02 22.27

ECB Refinance Rate (% ) 0.05 0.05 0.05 0.05

10 Year Yield-German Bunds (% ) 0.95 0.84 0.70 0.54

BALANCE OF PAYMENTS

Trade Balance Sep 14 Oct 14 Nov 14 Dec 14

Billion Euro 18.20 23.65 19.95 0.00

-6.0-5.0-4.0-3.0-2.0-1.00.01.02.03.04.0

Q3 09 Q3 10 Q3 11 Q3 12 Q3 13 Q3 14

Eurozone Real GDP, Y/Y (%)

-1.0

0.0

1.0

2.0

3.0

4.0

Dec 09 Aug 11 Apr 13 Dec 14


CPI Core CPI

-1.0

-0.5

0.0

0.5

1.0

1.5

2.0

2.5

Q3 11 Q3 12 Q3 13 Q3 14

External Trade Balance, % of GDP


INTERNAL USE ONLY


27

Japan Macroeconomic Data

-12.0

-8.0

-4.0

0.0

4.0

8.0

12.0

Q3 09 Q3 10 Q3 11 Q3 12 Q3 13 Q3 14

Japan Real GDP, Q/Q ar (%)

-3

-2

-1

0

1

2

3

4

Nov 09 Jul 11 Mar 13 Nov 14


CPI CPI ex Fresh Food

-4.0

-3.0

-2.0

-1.0

0.0

1.0

2.0

Q3 11 Q3 12 Q3 13 Q3 14

Visible Trade Balance, % of GDP

FINAL OUTPUT


GDP, Q/Q annualized rate (% ) -1.5 5.8 -6.7 -6.7

Private Consumption, Q/Q annualized rate (% ) 0.5 9.7 -13.9 -13.9

Fixed Capital Formation, Q/Q annualized rate(% ) 4.1 27.2 -17.6 -17.6

ECONOMIC INPUTS

Aug 14 Sep 14 Oct 14 Nov 14


Industrial Production, Y/Y (% ) -3.3 0.8 -0.8 -3.7

Tertiary Index Y/Y (% ) -2.5 -0.7 -0.9 -1.9

Corporate Activities Q4 13 Q1 14 Q2 14 Q2 14

Corporate Profit Growth (% ) 26.6 20.2 4.5 4.5

Tankan quarterly survey (index level) 16 17 12 12

INFLATION

Inflation Indicators Aug 14 Sep 14 Oct 14 Nov 14

Consumer Price Index (CPI), Y/Y (% ) 3.3 3.2 2.9 2.4

CPI ex Fresh Food, Y/Y (% ) 3.1 3.0 2.9 2.7

FINANCIAL MARKETS


Nikkei 225, Trailing P/E Ratio 19.8 20.1 21.1 21.1

3 Month Yield-JGB's (% ) 0.000 0.001 -0.045 0.000

10 year Yield-JGB's (% ) 0.531 0.458 0.421 0.329

BALANCE OF PAYMENTS

Monthly Trade Balance Aug 14 Sep 14 Oct 14 Nov 14

(in billions of Yen) -852 -711 -767 -637

Current Account Balance Q4 13 Q1 14 Q2 14 Q2 14

% GDP 0.7 0.2 -0.1 -0.1


INTERNAL USE ONLY


28

China Macroeconomic Data

0

5

10

15

Q3 09 Q4 10 Q1 12 Q2 13 Q3 14

China Real GDP, Y/Y (%) FINAL OUTPUT


GDP, Y/Y (% ) 7.6 7.4 7.5 7.3

Urban Household Qtly Disposable Income/Capita (RMB) 6786.0 8155.0 6804.0 7085.0

Urban Fixed Assets Investment (Billion RMB) 19.6 17.6 17.3 16.1

ECONOMIC INPUTS


Retail Sales Y/Y (% ) 2304.2 2396.7 2347.5 -

Industrial Production, Y/Y (% ) 8.0 7.7 7.2 -

PMI 51.1 50.8 50.3 50.1

Q4 13 Q1 14 Q2 14 Q3 14


INFLATION & WAGE PRESSURE

Inflation Indicators Sep 14 Oct 14 Nov 14 Dec 14

Consumer Price Index (CPI), Y/Y (% ) 0.5 0.0 -0.2 0.3

Core CPI, Y/Y (% ) 1.5 1.4 1.3 1.3

FINANCIAL MARKETS


Shanghai Composite Index

50 Price Index RMB, Trailing P/E ratio 11.18 11.49 12.76 15.45

Central Bank Rate (% ) 6.00 6.00 6.00 6.00

10 Year Yield-China Bonds (% ) 4.07 3.83 3.55 3.65

BALANCE OF PAYMENTS

Trade Balance Sep 14 Oct 14 Nov 14 Dec 14

Billion USD 31.05 45.41 54.48 49.61


-2

-1

0

1

2

3

1/1/2012 9/1/2012 5/1/2013 1/1/2014 9/1/2014

PMI

CPI Core CPI

-40

-20

0

20

40

60

Q3 09 Q4 10 Q1 12 Q2 13 Q3 14

Trade Balance ($ Billion)

INTERNAL USE ONLY


29

Total Returns (as of December 31, 2014)


*All returns in CAD

Fixed Income Indexes YTD 3-Mth 6-Mth 1-Yr 3-Yr 5-Yr 10-Yr

Return Return Return Return Return Return Return

FTSE TMX Canada Universe 8.79 2.70 3.79 8.79 3.65 5.45 5.32

FTSE TMX Canada All Corp Bond TR 7.58 1.87 2.66 7.58 4.84 6.01 5.80

FTSE TMX Canada LT All Governments TR 17.88 5.69 8.27 17.88 4.47 8.70 7.27

FTSE TMX Canada Canadian Trsy Bill 30 Day 0.89 0.23 0.46 0.89 0.92 0.82 1.77

FTSE TMX Canada Canadian Trsy Bill 91 Day 0.91 0.22 0.47 0.91 0.98 0.89 1.93

FTSE TMX Canada ST Bond 3.06 0.92 1.29 3.06 2.27 3.00 3.84

FTSE TMX Canada MT Bond 9.16 2.69 3.56 9.16 4.32 6.29 5.90

FTSE TMX Canada LT Bond 17.48 5.25 7.65 17.48 5.06 9.04 7.42

Barclays US Agg Bond TR 15.52 5.50 10.88 15.52 7.17 6.55 4.35

Barclays Multiverse TR 9.53 2.44 4.04 9.53 5.43 4.93 3.40

Credit Suisse HY 11.04 2.00 4.94 11.04 12.64 10.87 6.96

JPM GBI Global Bench TR 10.25 3.01 3.64 10.25 5.60 5.65 3.78

Equity Indexes YTD 3-Mth 6-Mth 1-Yr 3-Yr 5-Yr 10-Yr


S&P/TSX Composite TR 10.55 -1.47 -2.05 10.55 10.22 7.53 7.60

S&P 500 TR 23.93 8.75 15.39 23.93 25.70 17.78 7.31

DJ Titans Global 50 TR 14.01 2.69 7.27 14.01 18.52 11.23 4.22

MSCI AC Asia Ex Japan GR 14.59 3.82 7.25 14.59 14.88 7.93 9.35

MSCI ACWI GR 14.14 4.18 6.91 14.14 19.75 11.95 6.29

MSCI BRIC GR 6.22 -0.55 1.06 6.22 7.20 0.32 9.67

MSCI EAFE GR 4.12 -0.02 -1.22 4.12 16.46 7.94 4.56

MSCI Europe GR 2.82 -0.82 -3.20 2.82 17.46 8.04 4.85

MSCI EM GR 7.03 -0.96 0.42 7.03 8.99 4.17 8.41

MSCI World GR 15.01 4.80 7.70 15.01 21.22 13.04 6.25

Russell 3000 Growth TR 22.58 9.00 15.37 22.58 25.53 18.22 8.13

S&P/TSX Capped Energy TR -16.34 -23.63 -32.60 -16.34 -3.37 -3.00 3.88

INTERNAL USE ONLY


30

Total Returns (as of December 31, 2014)


*All returns in CAD

MSCI World Sectors YTD 3-Mth 6-Mth 1-Yr 3-Yr 5-Yr 10-Yr


Consumer Discretionary 13.83 10.42 11.99 13.83 27.53 19.24 7.56

Consumer Staples 17.72 7.73 10.60 17.72 19.62 15.57 10.05

Energy -3.00 -11.00 -15.33 -3.00 7.23 6.29 6.50

Financials 13.01 5.23 8.52 13.01 25.22 10.42 1.24

Healthcare 29.40 6.87 16.10 29.40 29.87 19.28 9.72

Industrials 10.05 5.18 6.20 10.05 21.19 14.62 6.97

Information Technology 27.12 8.25 17.88 27.12 24.96 15.49 7.45

Materials 3.95 -0.95 -2.90 3.95 8.00 3.67 5.86

Telecommunications Services 7.80 1.73 4.40 7.80 17.00 12.04 5.89

Utilities 26.70 8.50 8.36 26.70 15.66 8.00 6.49

S&P/TSX Sectors YTD 3-Mth 6-Mth 1-Yr 3-Yr 5-Yr 10-Yr


Consumer Discretionary1 29.12 13.97 18.39 29.12 31.12 19.02 8.93

Consumer Staples1 49.09 20.16 35.15 49.09 31.20 21.60 10.31

Energy1 -4.82 -15.80 -21.37 -4.82 2.44 1.88 6.62

Financials1 13.80 1.93 4.64 13.80 18.27 12.17 9.10

Healthcare1 30.32 15.33 23.88 30.32 40.88 45.86 16.49

Industrials1 21.87 -0.50 8.90 21.87 24.54 18.65 12.83

Information Technology1 35.12 15.58 20.11 35.12 21.70 -5.42 -2.26

Materials1 -2.58 -7.07 -16.46 -2.58 -13.31 -6.86 3.80

Telecommunications Services1 15.53 10.80 9.95 15.53 13.38 17.38 11.31

Utilities1 16.08 5.04 5.46 16.08 4.98 7.84 8.62

INTERNAL USE ONLY


31

Top Ten and Bottom Ten Morningstar Categories Top Ten Morningstar Categories

Gross Sales

For more competitor analysis, visit our SharePoint:

http://sp.frk.com/teams/GlobalProdMgmt/Competitor%20Analysis/Forms/AllItems.aspx

Bottom Ten Morningstar Categories

Gross Sales

($CAD Millions)

Net Sales

($CAD Millions)

AUM ($CAD

Millions)

Curr.

BD

Rank

Prior

BD

Rank

Morningstar Category

Prior

12-mo

Ending

11/13

Curr. 12-

mo

Ending

11/14

%

Change

Prior 12-

mo

Ending

11/13

Curr. 12-

mo

Ending

11/14

$

Change

Nov

2014

1 1 Canadian Neutral Balanced 6,998 6,853 -2.1% 4,777 3,543 (1,234) 46,551

2 2 Global Neutral Balanced 4,969 5,503 10.7% 4,248 4,065 (184) 48,759

3 4 Global Equity 4,039 4,793 18.7% 844 1,083 239 37,797

4 6 Global Fixed Income 3,768 3,933 4.4% 2,691 1,555 (1,136) 10,190

5 5 High Yield Fixed Income 3,858 3,849 -0.2% 1,474 1,029 (446) 16,313

6 3 Canadian Focused Equity 4,126 3,626 -12.1% 546 (182) (727) 44,945

7 7 U.S. Equity 2,772 2,664 -3.9% 2,730 1,720 (1,010) 16,372

8 10 Global Equity Balanced 1,628 2,310 41.9% (218) 820 1,037 23,357

9 11 Global Fixed Income Balanced 1,496 2,000 33.7% 557 727 170 16,967

10 14 Canadian Fixed Income Balanced 1,301 1,758 35.1% 189 922 732 7,120

*Global Fixed Income – gross sales for 2012 do not include those from PIMCO. PIMCO gross sales figures are not available prior to 2013. **Competitor data includes estimates except at Quarter ends. Canadian Long-Term, retail Mutual Funds for Broker-Distributed Firms. November 2014 Top 10 CIFSC Categories ranked by Gross Sales Figures shown in $CAD Millions Category figures represent approximately 80-90% of the Broker-Distributed Channel Source: FT Internal, IFIC (Investment Funds Institute of Canada, Investor Economics, Morningstar

Gross Sales

($CAD Millions)

Net Sales

($CAD Millions) AUM ($CAD Millions)

Curr.

BD

Rank

Prior

BD

Rank


Prior 12-

mo

Ending

11/13

Curr.

12-mo

Ending

11/14

%

Change

Prior 12-

mo

Ending

11/13

Curr.

12-mo

Ending

11/14

$

Change

Nov

2014

33 31 2020 Target Date Portfolio 107 94 -11.8% 21 (26) (46) 858

34 34 2015 Target Date Portfolio 52 60 14.0% (43) (32) 11 535

35 33 Asia Pacific ex-Japan Equity 56 39 -30.6% (166) (65) 101 495

36 35 Greater China Equity 49 37 -24.0% (67) (59) 8 257

37 42 North American Equity 3 15 464.7% (11) (2) 9 85

38 37 Commodity 35 11 -68.8% 10 (11) (21) 110

39 41 Asia Pacific Equity 7 9 30.4% (25) (21) 4 165

40 40 Geographic Equity 8 9 4.4% (16) (16) 0 55

41 38 Preferred Share Fixed Income 20 8 -61.9% (69) (80) (11) 82

42 39 Financial Services Equity 9 6 -29.2% 3 (1) (4) 51

**Competitor data contains estimates except at Quarter ends. Canadian Long-Term, retail Mutual Funds for Broker-Distributed Firms November 2014 Top 10 CIFSC Categories ranked by Gross Sales Figures shown in $CAD Millions Category figures represent approximately 80-90% of the Broker-Distributed Channel Source: FT Internal, IFIC (Investment Funds Institute of Canada, Investor Economics, Morningstar

INTERNAL USE ONLY


32

Top Ten and Bottom Ten Morningstar Categories Top Ten Morningstar Categories

Net Sales

For more competitor analysis, visit our SharePoint:

http://sp.frk.com/teams/GlobalProdMgmt/Competitor%20Analysis/Forms/AllItems.aspx

Bottom Ten Morningstar Categories

Gross Sales

($CAD Millions)

Net Sales

($CAD Millions)

AUM ($CAD

Millions)

Curr.

BD

Rank

Prior

BD

Rank


Prior

12-mo

Ending

11/13

Curr. 12-

mo

Ending

11/14

%

Change

Prior 12-

mo

Ending

11/13

Curr. 12-

mo

Ending

11/14

$

Change

Nov

2014

1 2 Global Neutral Balanced 4,969 5,503 10.7% 4,248 4,065 (184) 48,759

2 1 Canadian Neutral Balanced 6,998 6,853 -2.1% 4,777 3,543 (1,234) 46,551

3 3 U.S. Equity 2,772 2,664 -3.9% 2,730 1,720 (1,010) 16,372

4 4 Global Fixed Income 3,768 3,933 4.4% 2,691 1,555 (1,136) 10,190

5 7 Global Equity 4,039 4,793 18.7% 844 1,083 239 37,797

6 5 High Yield Fixed Income 3,858 3,849 -0.2% 1,474 1,029 (446) 16,313

7 12 Canadian Fixed Income Balanced 1,301 1,758 35.1% 189 922 732 7,120

8 35 Global Equity Balanced 1,628 2,310 41.9% (218) 820 1,037 23,357

9 8 Global Fixed Income Balanced 1,496 2,000 33.7% 557 727 170 16,967

10 15 Global Small/Mid Cap Equity 949 1,441 52.0% 92 606 514 7,703

**Competitor data contains estimates except for Quarter ends. Canadian Long-Term, retail Mutual Funds for Broker-Distributed Firms November 2014 Top 10 CIFSC Categories ranked by Net Sales Figures shown in $CAD Millions Category figures represent approximately 80-90% of the Broker-Distributed Channel Source: FT Internal, IFIC (Investment Funds Institute of Canada, Investor Economics, Morningstar

Gross Sales

($CAD Millions)

Net Sales

($CAD Millions) AUM ($CAD Millions)

Curr.

BD

Rank

Prior

BD

Rank


Prior 12-

mo

Ending

11/13

Curr.

12-mo

Ending

11/14

%

Change

Prior 12-

mo

Ending

11/13

Curr.

12-mo

Ending

11/14

$

Change

Nov

2014

33 9 Canadian Focused Equity 4,126 3,626 -12.1% 546 (182) (727) 44,945

34 32 Canadian Dividend & Income 1,689 1,576 -6.7% (152) (278) (126) 13,477

35 36 Canadian Small/Mid Cap Equity 714 599 -16.1% (321) (322) (1) 6,292

36 38 Canadian Short Term Fixed Income 554 400 -27.8% (482) (329) 154 2,184

37 30 Emerging Markets Equity 564 391 -30.5% (116) (337) (221) 3,183

38 37 Tactical Balanced 647 726 12.1% (471) (350) 121 12,824

39 39 Natural Resources Equity 160 180 12.7% (679) (388) 292 1,824

40 40 Canadian Equity 1,414 1,273 -10.0% (790) (627) 163 14,651

41 41 Canadian Fixed Income 1,768 1,171 -33.8% (1,769) (900) 869 15,246

42 42 Canadian Equity Balanced 1,181 1,120 -5.1% (3,619) (2,461) 1,158 21,812

**Competitor data contains estimates except for Quarter ends. Canadian Long-Term, retail Mutual Funds for Broker-Distributed Firms November 2014 Top 10 CIFSC Categories ranked by Net Sales Figures shown in $CAD Millions Category figures represent approximately 80-90% of the Broker-Distributed Channel Source: FT Internal, IFIC (Investment Funds Institute of Canada, Investor Economics, Morningstar

INTERNAL USE ONLY


33

Long-Term Gross Sales Market Share Broker Distributed Firms (as of November 30, 2014)

*Dynamic was acquired by Scotiabank and is no longer included as part of the broker distributed industry.

Long-Term

Gross Sales Market Share

Manager Name

Prior 12-

mo

Ending

11/13

Curr. 12-

mo

Ending

11/14

PP

Change

Current

3-months

Fidelity Investments Canada ULC 22.2% 24.1% 1.9% 21.8%

Mackenzie Financial Corporation 12.7% 13.0% 0.3% 10.5%

Manulife Mutual Funds 12.4% 11.7% (0.7%) 11.3%

Sentry Investments 8.3% 8.8% 0.5% 8.3%

C.I. Investments 6.2% 6.5% 0.3% 7.5%

PIMCO Canada Corp. 6.4% 5.9% (0.5%) 7.8%

Franklin Templeton 5.5% 5.9% 0.4% 5.5%

IA Clarington Investments 6.5% 5.6% (0.9%) 6.2%

Mawer Investment Management 3.9% 3.7% (0.2%) 5.0%

AGF Investments Inc. 3.9% 3.6% (0.3%) 3.7%

Invesco Trimark Ltd. 4.5% 3.5% (1.0%) 5.0%

Northwest & Ethical Investments L.P. 2.6% 2.3% (0.3%) 3.0%

Capital Group 1.2% 1.4% 0.2% 1.0%

Counsel Portfolio Services Inc. 0.9% 1.0% 0.1% 1.0%

Bridgehouse Asset Managers 0.8% 0.9% 0.2% 0.9%

Norrep Funds 0.5% 0.6% 0.1% 0.3%

OceanRock Investments 0.4% 0.6% 0.2% 0.6%

Stone & Co. Limited 0.1% 0.1% 0.0% 0.1%

**Competitor data is available only on a Quarterly basis. Source: FT Internal, IFIC (Investment Funds Institute of Canada), Investor Economics. As of November 30th, 2014. Competitor assets and sales include all Canadian-based, Long-Term, Open-End mutual funds sold through the Broker-Distributed channel. Excludes institutional mutual funds. PIMCO began reporting sales data as of January 2013.

INTERNAL USE ONLY


34

Long-Term AUM Market Share Broker Distributed Firms (as of November 30, 2014)

**Competitor data is available only on a Quarterly basis. Source: FT Internal, IFIC (Investment Funds Institute of Canada), Investor Economics. As of October31st, 2014. Competitor assets and sales include all Canadian-based, Long-Term, Open-End mutual funds sold through the Broker-Distributed channel. Excludes institutional mutual funds.

Total Long-Term

AUM Market Share

Manager Name Nov 2013 Nov 2014 PP

Change

C.I. Investments 23.6% 25.6% 2.0%

Fidelity Investments Canada ULC 19.2% 19.3% 0.1%

Mackenzie Financial Corporation 13.1% 12.1% -1.0%

Manulife Mutual Funds 7.9% 8.2% 0.3%

Invesco Trimark Ltd. 7.7% 7.0% -0.7%

Franklin Templeton 6.5% 5.9% -0.6%

AGF Investments Inc. 5.6% 4.7% -0.9%

Sentry Investments 3.5% 4.1% 0.6%

IA Clarington Investments 4.1% 3.9% -0.3%

Mawer Investment Management 2.5% 3.0% 0.5%

PIMCO Canada Corp. 1.5% 1.7% 0.2%

Northwest & Ethical Investments L.P. 1.7% 1.6% -0.1%

Capital Group 0.8% 0.8% 0.1%

Counsel Portfolio Services Inc. 0.7% 0.7% 0.0%

Bridgehouse Asset Managers 0.8% 0.7% -0.1%

Norrep Funds 0.3% 0.3% 0.0%

OceanRock Investments 0.2% 0.2% 0.1%

Stone & Co. Limited 0.2% 0.2% 0.0%

INTERNAL USE ONLY


35

Breakdown of Competitor Morningstar Ratings Percent of Long-Term Assets by Morningstar Rating (as of 09/30/2014)

Competitor data is available only on a Quarterly basis. Source: IFIC, Morningstar Direct *Includes long-term assets for funds sold through the Broker-Distributed Channel **Percentages may not total100% due to unrated funds. *** Morningstar Data as of 09/30/2014 and using oldest share class.

Firm Rank 4- and 5-Star

Rated Funds

Morningstar Rating

5 4 3 2 1

Stone & Co. 1 94% 0.0% 94% 2% 4% 0%

Mawer 2 93% 79.8% 13% 7% 0% 0%

PIMCO 3 91% 91.2% 0% 9% 0% 0%

Capital Group 4 87% 0.0% 87% 1% 1% 0%

Sentry 5 66% 54.8% 12% 24% 1% 0%

Fidelity 6 55% 25.5% 30% 34% 3% 0%

Norrep Funds 7 54% 37.7% 16% 19% 16% 0%

Manulife 8 50% 39.6% 10% 11% 20% 1%

C.I. Investments 9 48% 27.0% 21% 35% 9% 4%

Northwest & Ethical 10 34% 12.2% 22% 25% 29% 4%

Franklin Templeton 11 32% 9.5% 23% 35% 30% 1%

Mackenzie 12 30% 0.0% 30% 49% 14% 3%

Invesco Trimark 13 28% 2.8% 25% 55% 13% 4%

Bridgehouse Asset Managers 14 14% 2.5% 11% 36% 38% 1%

AGF 15 13% 0.5% 13% 41% 24% 15%

Counsel 16 11% 3.2% 8% 75% 8% 0%

IA Clarington 17 8% 0.0% 8% 52% 19% 2%

Matrix 18 5% 5.0% 0% 2% 81% 7%

OceanRock 19 0% 0.0% 0% 44% 28% 27%

Brickburn Funds Inc. 20 0% 0.0% 0% 57% 18% 25%

INTERNAL USE ONLY


36

Latest 12 Month Ranking by Gross Sales (Actual for FT)

Gross Sales: Top 50 Funds (as of 09/30/2014)

**Competitor data is available only on a Quarterly basis. NET SALES = Gross Sales – Redemptions +/- Net Exchanges Net exchanges into a fund can lead to a situation where Net sales are greater than Gross sales Source: FT Internal, IFIC (Investment Funds Institute of Canada), Investor Economics. As of September 30th, 2014. Competitor assets and sales include all Canadian-based, Long-Term, Open-End mutual funds sold through the Broker-Distributed channel. Excludes institutional mutual funds. PIMCO began providing sales data as of January 2013. PIMCO 2013 Gross Sales total includes only 9 months of data. Net Sales estimated for periods prior to Jan 2013.

Prior 12

Month

Rank

Current

12

Month

Rank

Fund Name Group Name

Assets

Sep-14

$M CAD

Gross

Sales

Prior

12mo

$M CAD

Gross

Sales

Curr

12mo

$M CAD

1 1 PIMCO Monthly Income Fund (Canada) PIMCO 6,087 2,521 2,590

2 2 Fidelity Monthly Income Fund Fidelity 12,479 2,290 2,173

5 3 Manulife Strategic Income Fund Manulife 3,742 933 1,218

3 4 Manulife Monthly High Income Fund Manulife 9,008 1,042 1,045

4 5 Sentry Canadian Income Fund Sentry 4,239 949 959

7 6 Fidelity Monthly Income Class Fidelity 2,396 659 751

6 7 Fidelity U.S. Monthly Income Fund Fidelity 2,249 819 693

22 8 Capital Group Global Equity Fund (Canada) Capital Group 2,739 355 685

20 9 Sentry Conservative Balanced Income Fund Sentry 1,460 368 659

16 10 Fidelity Canadian Large Cap Fund Fidelity 2,858 425 650

17 11 Fidelity Income Allocation Fund Fidelity 2,056 389 609

14 12 Mackenzie Ivy Foreign Equity Fund Mackenzie 3,314 433 598

56 13 Fidelity NorthStar Fund Fidelity 3,007 197 558

10 14 Templeton Global Bond Fund Franklin Templeton 1,625 503 542

8 15 Sentry U.S. Growth and Income Fund Sentry 1,832 649 538

9 16 Mawer International Equity Fund Mawer 2,742 629 505

29 17 Sentry Small Cap Income Fund Sentry 1,262 298 492

12 18 Franklin Quotential Diversified Income Franklin Templeton 2,480 464 446

21 19 Manulife Strategic Balanced Yield Fund Manulife 1,026 365 425

79 20 Mawer Global Equity Fund Mawer 718 149 415

40 21 Franklin Bissett Canadian Equity Fund Franklin Templeton 2,154 255 388

15 22 Manulife Floating Rate Income Fund Manulife 729 430 378

42 23 IA Clarington Strategic Income Fund IA Clarington 1,099 245 348

116 24 Fidelity Balanced Private Pool Fidelity 1,148 107 348

26 25 Fidelity Canadian Balanced Fund Fidelity 5,987 327 346

153 26 Fidelity Global Monthly Income Fund Fidelity 666 69 345

115 27 Mackenzie Floating Rate Income Fund Mackenzie 490 108 334

51 28 Manulife Yield Opportunities Fund Manulife 989 212 330

27 29 Fidelity Small Cap America Fund Fidelity 916 321 314

46 30 Sentry Growth and Income Fund Sentry 941 224 311

430 31 Mackenzie Canadian All Cap Value Fund Mackenzie 734 15 306

37 32 Mackenzie Strategic Income Fund Mackenzie 1,659 268 305

11 33 Harbour Fund C.I. Investments 3,854 483 299

25 34 IA Clarington Strategic Corporate Bond Fund IA Clarington 832 329 297

88 35 Symmetry Balanced Portfolio Mackenzie 910 135 279

80 36 Fidelity Balanced Income Private Pool Fidelity 983 149 278

41 37 Mackenzie Cundill Value Fund Mackenzie 4,266 251 277

108 38 Sentry Conservative Balanced Income Class Sentry 465 115 276

82 39 Symmetry Moderate Growth Portfolio Mackenzie 1,213 143 270

18 40 IA Clarington Sarbit U.S. Equity Fund IA Clarington 1,229 386 267

109 41 Mackenzie North American Corporate Bond Fund Mackenzie 482 114 266

36 42 Mackenzie U.S. Mid Cap Growth Class Mackenzie 1,047 270 262

28 43 Signature High Income Fund C.I. Investments 9,308 311 260

422 44 AGF U.S. AlphaSector Class AGF 377 15 256

74 45 Symmetry Conservative Portfolio Mackenzie 655 158 248

35 46 Mawer Balanced Fund Mawer 1,350 273 244

110 47 Fidelity Asset Allocation Private Pool Fidelity 630 114 240

45 48 Fidelity True North Fund Fidelity 4,399 233 235

89 49 Franklin Bissett Canadian Balanced Fund Franklin Templeton 1,148 134 233

75 50 IA Clarington Canadian Balanced Fund IA Clarington 907 158 228

INTERNAL USE ONLY


37

Latest 12 Month Ranking by Estimated Net Sales (Actual for FT)

Net Sales: Top 50 Funds (as of 09/30/2014)

**Competitor data is available only on a Quarterly basis. NET SALES = Gross Sales – Redemptions +/- Net Exchanges Net exchanges into a fund can lead to a situation where Net sales are greater than Gross sales Source: FT Internal, IFIC (Investment Funds Institute of Canada), Investor Economics. As of September 30th, 2014. Competitor assets and sales include all Canadian-based, Long-Term, Open-End mutual funds sold through the Broker-Distributed channel. Excludes institutional mutual funds. PIMCO began providing sales data as of January 2013. PIMCO 2013 Gross Sales total includes only 9 months of data. Net Sales estimated for periods prior to Jan 2013.

Prior 12

Month

Rank

Current 12

Month

Rank

Fund Name Group Name

Assets

Sep-14

$M CAD

Net Sales

Prior

12mo

$M CAD

Net Sales

Curr 12mo

$M CAD

1 1 PIMCO Monthly Income Fund (Canada) PIMCO 6,087 2,791 1,393

2 2 Fidelity Monthly Income Fund Fidelity 12,479 2,289 1,284

628 3 IA Clarington Dividend Growth Class IA Clarington 1,448 -1 1,273

687 4 C.I. Income Fund C.I. Investments 3,573 -3 907

392 5 Select Income Managed Corporate Class C.I. Investments 2,647 3 841

8 6 Manulife Strategic Income Fund Manulife 3,742 658 835

3 7 Fidelity U.S. Monthly Income Fund Fidelity 2,249 1,254 713

4 8 Fidelity Monthly Income Class Fidelity 2,396 803 627

20 9 Sentry Conservative Balanced Income Fund Sentry 1,460 327 577

6 10 Manulife Monthly High Income Fund Manulife 9,008 704 577

5 11 Sentry Canadian Income Fund Sentry 4,239 730 560

13 12 Fidelity Canadian Large Cap Fund Fidelity 2,858 400 521

14 13 Mawer International Equity Fund Mawer 2,742 394 505

25 14 Fidelity Income Allocation Fund Fidelity 2,056 279 472

87 15 Fidelity Global Monthly Income Fund Fidelity 666 115 464

75 16 Fidelity Balanced Private Pool Fidelity 1,148 140 460

9 17 Harbour Fund C.I. Investments 3,854 451 445

11 18 Manulife Strategic Balanced Yield Fund Manulife 1,026 429 415

57 19 Mawer Global Equity Fund Mawer 718 167 415

37 20 Mackenzie Ivy Foreign Equity Fund Mackenzie 3,314 230 394

36 21 Capital Group Global Equity Fund (Canada) Capital Group 2,739 231 386

7 22 Sentry U.S. Growth and Income Fund Sentry 1,832 672 384

956 23 Fidelity NorthStar Fund Fidelity 3,007 -125 377

30 24 IA Clarington Strategic Income Fund IA Clarington 1,099 260 368

32 25 Sentry Small Cap Income Fund Sentry 1,262 251 355

233 26 AGF U.S. AlphaSector Class AGF 377 21 320

62 27 Mackenzie Floating Rate Income Fund Mackenzie 490 152 320

49 28 Symmetry Balanced Portfolio Mackenzie 910 185 292

138 29 Franklin Bissett Canadian Equity Fund Franklin Templeton 2,154 57 289

84 30 Fidelity Balanced Income Private Pool Fidelity 983 120 281

59 31 Manulife Yield Opportunities Fund Manulife 989 160 277

77 32 Symmetry Moderate Growth Portfolio Mackenzie 1,213 135 275

89 33 Sentry Conservative Balanced Income Class Sentry 465 113 274

256 34 Fidelity NorthStar Class Fidelity 600 16 261

16 35 Mackenzie Strategic Income Fund Mackenzie 1,659 361 251

111 36 Manulife Global Equity Class Manulife 371 74 250

46 37 Fidelity Asset Allocation Private Pool Fidelity 630 186 244

35 38 Mawer Balanced Fund Mawer 1,350 233 243

507 39 Fidelity NorthStar Balanced Fund Fidelity 265 0 242

54 40 Symmetry Conservative Portfolio Mackenzie 655 173 238

918 41 Mackenzie Canadian All Cap Value Fund Mackenzie 734 -65 235

27 42 IA Clarington Strategic Corporate Bond Fund IA Clarington 832 271 226

95 43 Mackenzie North American Corporate Bond Fund Mackenzie 482 102 223

48 44 Trimark Diversified Yield Class Invesco Trimark 600 185 220

86 45 IA Clarington Canadian Balanced Fund IA Clarington 907 118 211

41 46 Mackenzie U.S. Mid Cap Growth Class Mackenzie 1,047 212 206

80 47 Fidelity Global Balanced Portfolio Fidelity 552 129 204

507 48 IA Clarington Floating Rate Income Fund IA Clarington 193 0 203

56 49 Sentry Growth and Income Fund Sentry 941 167 200

93 50 Manulife Monthly High Income Class Manulife Mutual Funds 396 102 178

INTERNAL USE ONLY


38

Morningstar Rating Changes - EQUITY

CIFSC Category Manager Name Inception Date Morningstar Rating

Overall

Rating Overall

2014-11 Change

Fund Size Base

Currency

$ Millions

Canada Asia Pacific ex-Japan Equity

Templeton Asian Growth Corp Cl Sr A Franklin Templeton 12/31/2010 2 1 1 3

RBC Asia Pacific ex-Japan Equity A RBC 3/10/2014 -- -- 1,062

Fidelity Far East Sr A Fidelity 9/17/1991 4 4 492

Investors Pacific International C Investors Group 9/11/1990 2 2 266

TD Asian Growth - I TD 1/4/1994 3 3 93

Fidelity Far East Cl A Fidelity 9/26/2001 4 4 39

HSBC AsiaPacific Investor HSBC 11/22/1993 1 1 38

Investors Pacific International Class A Investors Group 10/24/2002 3 3 37

Manulife Asia Equity Class Series Adv Manulife 8/18/2011 3 4 -1 11

TD Asian Growth Class - A TD 9/7/2010 3 3 1

Canada Canadian Dividend & Income Equity

Franklin Bissett Cdn Dividend Cl A Franklin Templeton 12/22/2003 3 3 576

Franklin Bissett Cdn Dividend Corp Cl A Franklin Templeton 9/27/2010 2 2 60

RBC Canadian Dividend Sr A RBC 1/6/1993 4 3 1 17,076

TD Dividend Growth - I TD 9/4/1987 3 3 7,128

Scotia Canadian Dividend Scotia 11/30/1992 3 3 4,961

BMO Dividend BMO 10/3/1994 3 3 4,377

RBC Canadian Equity Income Adv RBC 8/28/2006 4 5 -1 3,946

PH&N Dividend Income Sr D RBC 6/30/1977 3 3 2,529

Fidelity Dividend Series A Fidelity 5/25/2005 3 3 1,874

BMO Monthly High Income II F BMO 10/10/2002 5 5 1,859

Dynamic Equity Income Dynamic Funds 6/29/2001 3 4 -1 1,813

RBC Private Canadian Dividend Pool Sr F RBC 11/3/2003 4 4 1,475

Canada Canadian Equity

Franklin Bissett Canadian Equity Class A Franklin Templeton 11/24/2000 5 5 2,758

Franklin Bissett All Cdn Focus A Franklin Templeton 9/20/2004 4 4 332

Franklin Bissett Cdn Equity Corp Class A Franklin Templeton 6/18/2001 4 4 109

Templeton Canadian Stock A Franklin Templeton 1/3/1989 1 1 74

Franklin Bissett All Cdn Focus Corp Cl A Franklin Templeton 9/20/2004 4 4 12

Templeton Canadian Stock Corporate Cl A Franklin Templeton 6/18/2001 1 1 2

Beutel Goodman Canadian Equity Class D Beutel Goodman 12/31/1990 5 5 5,612

Fidelity True North Sr A Fidelity 9/23/1996 4 4 5,076

TD Canadian Value - I TD 1/4/1994 1 1 2,708

RBC Canadian Equity Sr A RBC 4/17/1967 3 3 2,661

Fidelity Canadian Disciplined Eq Ser A Fidelity 9/30/1998 4 4 2,385

MDPIM Canadian Equity Pool MD group 8/28/2000 3 3 2,351

RBC Private Canadian Equity Pool Sr F RBC 11/3/2003 4 4 2,280

SEI Canadian Equity Class P SEI 3/31/2003 2 2 2,187

Mawer Canadian Equity A Mawer 6/3/1991 5 5 2,011

TD Canadian Blue Chip Equity - I TD 9/4/1987 2 2 1,670

Canada Canadian Small/Mid Cap Equity

Franklin Bissett Small Cap Class A Franklin Templeton 11/24/2000 3 3 764

Franklin Bissett Cdn High Dividend A Franklin Templeton 11/24/2000 3 3 759

Franklin Bissett Microcap Class A Franklin Templeton 11/24/2000 4 4 259

Franklin Bissett Cdn High Dividend CC A Franklin Templeton 6/25/2012 -- -- 48

Franklin Bissett Small Cap Corp Cl A Franklin Templeton 6/18/2001 3 3 11

Mawer New Canada A Mawer 1/8/1988 5 5 1,204

IA Clarington Canadian Small Cap A IA Clarington 3/20/1997 4 4 901

Fidelity Canadian Opportunities Sr A Fidelity 7/24/2000 3 3 767

Investors Canadian Small Cap C Investors Group 7/15/1996 2 2 722

Beutel Goodman Small Cap D Beutel Goodman 1/16/1995 4 4 619

TD Canadian Small Cap Equity - I TD 11/12/1986 3 3 573

Dynamic Small Business Dynamic Funds 6/6/1997 4 4 543

NEI Ethical Special Equity A NEI Investments 1/11/1995 4 4 535

Fiera Capital Equity Growth B Fiera Capital 12/31/1986 3 3 472

RBC O'Shaughnessy All Cdn Equity Adv RBC 1/22/2007 4 3 1 466

Canada Emerging Markets Equity

Templeton Emerging Markets A Franklin Templeton 9/20/1991 3 3 364

Templeton BRIC Corporate Class A Franklin Templeton 6/28/2004 1 1 127

Templeton Emerging Markets Corp Cl A Franklin Templeton 6/18/2001 3 2 1 38

Templeton Frontier Markets Corp Cl A Franklin Templeton 7/11/2011 5 5 17

RBC Emerging Markets Equity Adv RBC 12/23/2009 5 5 1,825

Mackenzie EmerMkt Cl A Mackenzie 8/9/2002 4 4 1,053

AGF Emerging Markets AGF 3/11/1994 4 4 820

Desjardins Emerging Markets Desjardins. 1/23/2007 5 5 546

Westwood Emerging Markets National Bank 9/21/2000 2 2 440

Desjardins Emerging Mark. Opp. Desjardins. 10/18/2013 -- -- 439

IG Mackenzie Emerging Markets Cl A Investors Group 10/24/2002 4 4 402

RBC Emerging Markets Dividend A RBC 8/12/2013 -- -- 281

Fidelity Emerging Markets Sr A Fidelity 12/9/1994 2 2 270

Brandes Emerging Markets Equity Brandes 7/2/2002 4 4 266

Brandes Emerging Markets Equity Brandes 7/2/2002 4 4 266

INTERNAL USE ONLY


Morningstar Rating Changes - EQUITY CIFSC Category Manager Name Inception Date

Morningstar Rating

Overall

Rating Overall

2014-11 Change

Fund Size Base Currency

$ Millions

Canada Global Equity

Templeton Growth A Franklin Templeton 11/29/1954 3 3 1,630

Franklin Mutual Global Discovery A Franklin Templeton 2/17/2003 4 4 1,331

Franklin Mutual Global Discovery CC A Franklin Templeton 2/17/2003 4 4 347

Franklin Quotential Div Eq Port A Franklin Templeton 6/9/2003 3 3 280

Franklin Mutual US Shares A Franklin Templeton 2/3/1997 2 1 1 240

Franklin World Growth Series A Franklin Templeton 6/24/2011 3 3 182

Franklin Quotential Div Eq CC Port A Franklin Templeton 6/28/2004 3 3 99

Franklin World Growth Corp Class A Franklin Templeton 6/18/2001 2 2 61

Templeton Growth Corporate Class A Franklin Templeton 6/18/2001 3 3 60

TD Global Low Volatility A TD 11/28/2011 3 -- 5,097

Mackenzie Cundill Value A Mackenzie 12/31/1974 2 3 -1 4,378

Mackenzie Ivy Fgn Eq A Mackenzie 10/16/1992 4 4 3,747

Epoch Global Equity - I Epoch 1/4/1994 3 3 3,147

Trimark Fund SC Invesco 9/1/1981 4 4 2,954

EdgePoint Global Portfolio Series A EdgePoint 11/17/2008 5 5 2,930

Capital Group Global Equity-Canada A Capital Group 11/1/2002 4 4 2,810

CI Cambridge Global Eq Corp Cl W CI Investments 12/27/2007 4 4 1,728

Investors Global C Investors Group 10/20/1986 2 2 1,552

RBC Global Dividend Growth Sr A RBC 12/29/2000 3 3 1,509

Canada Global Small/Mid Cap Equity

Templeton Global Smaller Companies A Franklin Templeton 1/3/1989 2 2 590

Templeton Global Smaller Comp CC A Franklin Templeton 6/18/2001 2 2 46

Franklin Global Small-Mid Cap-A Franklin Templeton 7/7/2014 -- -- 31

Fidelity NorthStar Sr A Fidelity 10/31/2002 3 4 -1 2,480

Mawer Global Small Cap A Mawer 10/2/2007 5 5 1,140

Mackenzie Cundill Recovery C Mackenzie 10/7/1998 1 1 864

Fidelity NorthStar Cl A Fidelity 10/31/2002 3 4 -1 668

Desjardins Global Small Cap Equity Desjardins. 1/12/2004 4 3 1 579

Manulife Global Small Cap Manulife 6/27/2008 5 5 459

IA Clarington Global Opportunities A IA Clarington 8/25/1998 2 3 -1 367

Counsel Global Small Cap Counsel 6/3/2005 3 3 259

Trimark Global Small Companies Class A Invesco 6/11/2007 4 4 211

Mackenzie Glbl Sm Cap Growth A Mackenzie 7/31/1981 4 4 179

Canada International Equity

Templeton International Stock A Franklin Templeton 1/3/1989 3 3 713

Templeton EAFE Developed Markets A Franklin Templeton 11/24/2000 2 2 300

Templeton International Stock Corp Cl A Franklin Templeton 6/18/2001 3 3 93

Mawer International Equity A Mawer 11/9/1987 5 5 3,166

TD International Growth - A TD 9/6/2006 2 2 935

PH&N Overseas Equity Sr D RBC 12/7/2000 3 2 1 804

Epoch International Equity - A Epoch 9/10/2013 -- -- 749

SEI EAFE Equity Class P SEI 3/31/2003 2 2 732

Desjardins Overseas Equity Value Desjardins. 10/26/1998 1 2 -1 701

Manulife World Investment Class Manulife 8/24/2006 4 4 665

CIBC International Equity CIBC 9/29/2006 4 4 661

CI Black Creek International Equity F CI Investments 9/24/2008 5 5 639

DFA International Core Equity A Dimensional 6/6/2005 2 2 617

Canada Natural Resources Equity

Franklin Bissett Energy Corp Cl A Franklin Templeton 6/18/2007 4 4 51

Mackenzie Cdn Resource A Mackenzie 1/31/1978 4 4 857

CI Signature Glb Resource A CI Investments 4/11/1997 4 4 369

Sprott Canadian Equity Series A Sprott 9/26/1997 2 2 321

Investors Canadian Natural Resource C Investors Group 7/15/1996 2 2 317

Front Street Special Opportunities Cl B Front Street Capital 8/2/1999 3 3 230

Trimark Resources Invesco 5/15/1998 4 4 179

BMO Resource BMO 8/3/1993 4 4 179

RBC Global Resources Sr A RBC 12/29/2000 4 4 176

Dynamic Resource Dynamic Funds 9/25/1998 3 3 157

CI Signature Global Resource Corp Cl A CI Investments 7/31/2001 4 4 120

Canada US Equity

Franklin US Rising Dividend A Franklin Templeton 11/24/2000 2 2 954

Franklin US Core Equity Series A Franklin Templeton 8/1/2007 3 2 1 428

Franklin Flex Cap Growth A Franklin Templeton 4/14/1997 2 2 372

Franklin US Rising Dividend Corp Cl A Franklin Templeton 1/4/2006 3 3 121

Franklin Bissett US Focus Corp Cl A Franklin Templeton 3/3/2008 4 4 49

Franklin Flex Cap Growth Corp Class A Franklin Templeton 6/18/2001 2 2 39

Franklin US Rising Div Hedged Corp Cl A Franklin Templeton 10/29/2012 -- -- 11

Franklin Mutual US Shares Corporate Cl A Franklin Templeton 6/18/2001 1 1 10

RBC US Equity Sr A RBC 7/29/1966 2 2 3,570

Investors US Large Cap Value C Investors Group 1/27/1962 2 2 3,375

Sentry US Growth and Income Ser A Sentry 5/31/2011 3 3 2,381

PH&N US Multi-Style All-Cap Equity Sr C RBC 6/25/2010 3 3 2,161

RBC O'Shaughnessy US Value Sr A RBC 11/4/1997 3 3 1,991

Mawer US Equity A Mawer 12/10/1992 4 4 1,930

TD US Blue Chip Equity - I TD 10/31/1996 4 4 1,850

Epoch US Large-Cap Value - A TD 11/12/2002 3 3 1,270

Investors US Dividend Growth A Investors Group 1/8/2007 3 4 -1 1,175

RBC US Dividend Adv RBC 10/29/2001 4 4 1,050

INTERNAL USE ONLY


40

Morningstar Rating Changes: BALANCED


CIFSC Category Manager Name Inception Date

Morningstar

Rating

Overall

Rating Overall

2014-11 Change

Fund Size

Base Currency

$ Millions

Canada Canadian Equity Balanced

Franklin Bissett Dividend Income Class A Franklin Templeton 11/24/2000 4 4 834

Franklin Bissett Dividend Income CC A Franklin Templeton 6/25/2012 -- -- 30

Investors Dividend C Investors Group 3/1/1962 3 3 17,766

TD Monthly Income - I TD 6/29/1998 4 4 8,778

Fidelity Canadian Asset Alloc Sr B Fidelity 12/30/1994 3 3 7,645

TD Dividend Income - I TD 10/31/1994 4 4 5,461

Beutel Goodman Balanced Class D Beutel Goodman 12/31/1990 4 4 3,548

Trimark Income Growth SC Invesco 9/1/1987 4 4 3,064

Investors Mutual C Investors Group 1/3/1950 1 1 2,151

Mackenzie Cundill Cdn Balanced C Mackenzie 10/7/1998 4 4 1,783

IG FI Canadian Allocation C Investors Group 11/27/2000 2 2 1,663

AGF Monthly High Income AGF 1/26/2005 2 3 -1 1,125

Canada Canadian Neutral Balanced

Franklin Bissett Cdn Balanced Class A Franklin Templeton 11/24/2000 4 4 1,129

Franklin Bissett Strategic Income A Franklin Templeton 12/29/2011 -- -- 126

Franklin Bissett Strategic Income CC A Franklin Templeton 12/29/2011 -- -- 66

Franklin Bissett Cdn Balanced Corp Cl A Franklin Templeton 12/18/2006 4 4 36

Franklin Bissett Can All Cap Bal A Franklin Templeton 1/12/2009 3 3 18

Franklin Bissett Can All Cp Bal CC A Franklin Templeton 1/12/2009 4 4 7

Fidelity Monthly Income Series A Fidelity 11/6/2003 4 5 -1 12,765

Manulife Monthly High Income Manulife 9/30/1997 5 5 9,471

RBC Monthly Income Sr A RBC 8/18/1997 3 3 9,189

Fidelity Canadian Balanced Sr A Fidelity 9/30/1998 4 4 7,186

RBC Balanced Sr A RBC 12/31/1987 2 2 6,697

CIBC Monthly Income CIBC 9/22/1998 2 2 5,727

BMO Monthly Income BMO 3/22/1999 4 3 1 3,473

PH&N Monthly Income Sr C RBC 12/29/2009 2 3 -1 3,332

Scotia Diversified Monthly Income Scotia 6/13/2005 3 3 2,786

Mackenzie Strategic Income A Mackenzie 12/19/2005 4 4 2,638

Canada Global Equity Balanced

Franklin Quotential Bal Growth Port A Franklin Templeton 8/19/2002 2 2 2,697

Franklin Quotential Bal Gr CC Port A Franklin Templeton 6/28/2004 2 2 600

Franklin Quotential Growth Pt A Franklin Templeton 8/19/2002 2 2 503

Franklin Quotential Growth CC Pt A Franklin Templeton 6/28/2004 2 2 119

RBC Select Growth Portfolio Sr A RBC 12/11/1986 3 3 5,089

CI Portfolio Series Balanced CI Investments 11/9/1988 4 4 3,219

Scotia Partners Growth Scotia 12/9/2002 4 4 2,918

TD Comfort Growth Portfolio - I TD 12/8/2008 3 3 2,350

Dynamic Value Balanced Dynamic Funds 2/28/1992 4 4 1,893

CI Portfolio Series Bal Growth Cl F CI Investments 12/17/2001 5 5 1,789

TD Mgd Aggressive Growth Port I TD 11/12/1998 3 3 1,719

EdgePoint Global Growth & Inc Port Sr A EdgePoint 11/17/2008 5 5 1,466

Scotia INNOVA Growth Portfolio Scotia 1/19/2009 3 3 1,438

CI Signature Dividend CI Investments 10/29/1996 5 4 1 1,415

INTERNAL USE ONLY


41

Morningstar Rating Changes: BALANCED


CIFSC Category Manager Name Inception Date Morningstar

Rating Overall

Rating Overall

2014-11 Change

Fund Size Base

Currency

$ Millions

Canada Global Fixed Income Balanced

Franklin Quotential Div Inc Port T A Franklin Templeton 2/17/2003 3 3 1,447

Franklin Quotential Divers Inc CC Pt Franklin Templeton 6/28/2004 3 3 1,131

CI Income Class A CI Investments 10/5/2010 2 2 4,992

BMO SelectClass Income Portfolio Adv BMO 11/3/2008 2 2 4,301

CI Select Income Managed Corp Class A CI Investments 7/14/2010 2 2 3,050

TD Target Return Conservative I TD 9/7/2011 1 1 2,128

CI Portfolio Series Income CI Investments 11/28/1997 4 4 1,869

Desjardins Melodia Cnsrv Inc Port Desjardins. 5/10/2013 -- -- 1,349

Manulife Yield Opportunities Advisor Ser Manulife 12/23/2009 5 4 1 1,150

RBC US Monthly Income A RBC 5/24/2005 5 5 1,095

Symmetry Cnsrv Port A Mackenzie 11/24/2008 3 3 699

BMO SelectTrust Conservative Port F BMO 7/17/2006 4 4 694

Canada Global Neutral Balanced

Franklin Quotential Bal Income Port A Franklin Templeton 8/19/2002 2 2 1,226

Franklin Quotential Bal Inc CC Pt A Franklin Templeton 6/28/2004 2 2 447

Franklin Income Series A Franklin Templeton 6/28/2013 -- -- 105

Franklin Income Corporate Class A Franklin Templeton 6/28/2013 -- -- 51

Franklin Income Hedged Corporate Class A Franklin Templeton 6/28/2013 -- -- 7

RBC Select Conservative Portfolio Sr A RBC 12/11/1986 3 3 16,428

RBC Select Balanced Portfolio Sr A RBC 12/11/1986 3 3 14,502

CI Signature High Income CI Investments 12/31/1996 5 5 9,844

CI Signature Income & Growth CI Investments 11/13/2000 5 5 5,914

Dynamic Strategic Yield Sr A Dynamic Funds 2/27/2009 3 3 5,706

TD Comfort Balanced Port - I TD 12/8/2008 3 3 5,506

TD Comfort Balanced Growth Portfolio - I TD 12/8/2008 3 3 4,788

TD Mgd Inc & Mod Growth Port I TD 11/12/1998 2 2 4,058

BMO SelCls Balanced Port Sr H BMO 11/3/2008 3 3 3,643

TD Mgd Balanced Growth Port I TD 11/12/1998 3 3 3,481

Canada Tactical Balanced

Templeton Global Balanced Fd A Franklin Templeton 6/23/2008 4 4 252

Templeton Canadian Balanced A Franklin Templeton 10/17/1994 2 2 75

CI Harbour Growth & Income CI Investments 6/27/1997 3 3 5,512

CI Cambridge Cdn Asset Alloc Corp Cl W CI Investments 12/27/2007 -- -- 2,254

TD Tactical Monthly Income A TD 9/12/2012 -- -- 2,111

CI Signature Diversified Yield ll Fund A CI Investments 2/11/2011 5 4 1 1,967

IA Clarington Tactical Income Series T6 IA Clarington 5/15/2003 3 3 1,354

Scotia Balanced Opportunities Scotia 4/30/1989 4 4 808

TD Tactical Monthly Income Class A TD 9/12/2012 -- -- 502

TD Target Return Balanced I TD 9/7/2011 1 2 -1 463

NEI Northwest Tactical Yield A NEI Investments 9/1/2010 4 4 350

CI Harbour Growth & Income Corp Cl CI Investments 8/1/2006 2 2 280

INTERNAL USE ONLY


42

Morningstar Rating Changes – Fixed Income

CIFSC Category Manager Name Inception Date Morningstar

Rating Overall

Rating Overall

2014-11 Change

Fund Size Base

Currency

$ Millions

Canada Canadian Fixed Income

Franklin Bissett Bond Class A Franklin Templeton 11/24/2000 3 3 2,613

Franklin Bissett Corporate Bond Series A Franklin Templeton 12/18/2006 3 3 199

RBC Bond Sr A RBC 7/29/1966 4 4 13,282

TD Canadian Bond - I TD 6/29/1988 4 4 10,699

TD Canadian Core Plus Bond - A TD 9/4/2007 4 4 8,958

Fidelity Canadian Bond Sr A Fidelity 2/1/1988 3 3 8,908

PH&N Bond Sr D RBC 12/31/1970 5 4 1 8,668

PH&N Total Return Bond Sr D RBC 7/31/2000 5 4 1 5,926

Renaissance Corporate Bond Cl A CIBC 11/18/2009 4 4 3,790

Desjardins Canadian Bond Desjardins 11/12/1959 2 2 3,336

Investors Canadian Bond C Investors Group 5/9/1994 2 2 3,189

Desjardins Enhanced Bond Desjardins. 1/12/2004 3 3 3,062

Canada Canadian Short Term Fixed Income

Franklin Bissett Cdn Short Term Bd Cl A Franklin Templeton 12/22/2003 3 3 407

RBC Canadian Short Term Income Sr A RBC 1/27/1992 3 3 5,213

PH&N Short Term Bond & Mortgage Sr D RBC 12/31/1993 4 4 4,672

Investors Mortgage & Short Term Income Investors Group 8/3/1973 3 2 1 4,624

TD Short Term Bond - I TD 1/23/1989 4 4 4,215

HSBC Mortgage Investor HSBC 12/9/1992 3 3 2,444

CIBC Canadian Short-Term Bond Index CIBC 9/28/1993 3 3 1,851

Desjardins Short-Term Income Desjardins. 6/15/1965 2 2 1,298

RBC Private Short-Term Income Pool Sr F RBC 11/3/2003 5 5 1,077

Fidelity Canadian Short-Term Bond Sr A Fidelity 1/30/1995 3 3 933

National Bank Floating Rate Income A National Bank 1/8/2014 -- -- 594

Canada Global Fixed Income

Templeton Global Bond A Franklin Templeton 7/15/1988 4 4 2,292

Templeton Global Bond Hedged A Franklin Templeton 8/19/2013 -- -- 71

PIMCO Monthly Income A PIMCO 1/20/2011 5 5 6,464

RBC Global Bond Sr A RBC 7/5/1991 4 4 3,961

RBC Global Corporate Bond Adv RBC 8/23/2004 4 4 3,319

Fidelity Global Bond Series A Fidelity 4/13/2007 2 2 1,185

Canso Corporate Value Class C Canso 12/28/2001 5 5 917

CI Signature Global Bond Class A CI Investments 8/31/1992 3 3 851

Lysander Corporate Value Bond Class A Canso 12/23/2011 -- -- 820

DFA Five-Year Global Fixed Income Cl F Dimensional 10/24/2003 3 3 796

National Bank Global Tactical Bond A National Bank 1/8/2014 -- -- 705

Russell Global Unconstrained Bond Pool A Russell 10/30/2007 3 3 569

Canada High Yield Fixed Income

Franklin Strategic Income A Franklin Templeton 2/17/2003 2 2 462

Franklin High Income A Franklin Templeton 2/17/2003 3 3 54

Manulife Strategic Income Manulife 11/25/2005 3 2 1 4,312

PH&N High Yield Bond Sr D RBC 7/6/2000 4 4 3,525

Fidelity American High Yield Sr A Fidelity 2/7/1994 4 4 3,059

CI Signature Corporate Bond CI Investments 12/17/2001 3 3 2,743

RBC Global High Yield Bond Adv RBC 10/29/2001 4 4 1,984

TD High Yield Bond - I TD 6/29/1998 3 3 1,796

Investors Canadian High Yield Income C Investors Group 7/15/1996 3 3 1,607

Mackenzie Corp Bond A Mackenzie 10/29/1999 4 4 1,529

RBC High Yield Bond Adv RBC 10/12/2010 3 3 1,318

BlueBay Global Monthly Income Bond Adv RBC 7/11/2011 3 2 1 1,192

INTERNAL USE ONLY


43

Morningstar Ratings & Rankings (as of 12/31/2014)

Franklin Templeton Retail Mutual Funds in Broker-Distributed Top 10 Gross-Selling CIFSC CategoriesCIFSC Categories ranked by 12-Month Gross Sales through November 2014 5 Star, 1st Quartile

Source: FT Internal and IFIC as of 11/30/2014. Category Sales figures as of November 2014. Morningstar Direct as of December 31, 2014. 4 Star, 2nd Quartile

**Morningstar performance figures, quartile ranks and star rating are based on the main series or Series A. 3 Star, 3rd Quartile

Actual (internal) figures used for Franklin Templeton 1 or 2 Star, 4th Quartile

All sales and assets figures in $CAD Millions

Curr

BD

Rank

CIFSC Category Brok-Dist FTI Mkt Shr Brok-Dist FTICurrent

12-months

Prior

12-months

M'star

Rating1 Yr 3 Yr 5 Yr 10 Yr

1 Canadian Neutral Balanced 46,551 1,356 6,853 252 3.7% 2.9%

Franklin Bissett Canadian Balanced Fund 1,165 2.5% 225 3.3% 2.1% 4 5.19 10.23 7.81 4.90

Franklin Bissett Strategic Income Fund 191 0.4% 27 0.4% 0.9% 1 -7.91 2.91 -- --

2 Global Neutral Balanced 48,759 1,779 5,503 174 3.2% 2.5%

Franklin Quotential Balanced Income Portfolio 1,673 3.4% 125 2.3% 2.0% 3 6.86 7.54 5.90 4.30

Franklin U.S. Monthly Income Fund 106 0.2% 49 0.9% 0.6% -- -- -- -- --

Franklin U.S. Monthly Income Hedged Corporate Class -- -- -- -- -- -- -- -- -- --

3 Global Equity 37,797 3,314 4,793 231 4.8% 5.6%

Franklin Mutual Global Discovery Fund 1,220 3.2% 164 3.4% 4.2% 4 5.96 15.14 9.70 6.31

Templeton Growth Fund Ltd. 1,630 4.3% 40 0.8% 0.9% 3 8.96 19.14 10.54 4.31

Franklin Quotential Diversified Equity Portfolio 380 1.0% 20 0.4% 0.4% 3 7.67 15.00 8.40 4.32

Franklin World Growth Fund 83 0.2% 7 0.1% 0.1% 3 11.55 17.70 -- --

Templeton Growth Fund (Hedged) -- -- -- -- -- -- 5.73 -- -- --

4 Global Fixed Income 10,190 1,555 3,933 563 14.3% 13.4%

Templeton Global Bond Fund 1,555 15.3% 563 14.3% 13.4% 4 3.16 4.49 4.43 4.58

Templeton Global Bond Fund (Hedged) -- -- -- -- -- -- -4.87 -- -- --

5 High Yield Fixed Income 16,313 122 3,849 19 0.5% 0.9%

Franklin Strategic Income Fund 68 0.4% 11 0.3% 0.5% 2 0.96 4.93 5.25 2.91

Franklin High Income Fund 54 0.3% 7 0.2% 0.4% 3 -0.86 6.63 6.70 3.41

6 Canadian Focused Equity 44,945 3,626 0.0% 0.0%

7 U.S. Equity 16,372 779 2,664 73 2.8% 3.3%

Franklin U.S. Rising Dividends Fund 518 3.2% 45 1.7% 3.0% 2 16.78 18.82 14.48 4.16

Franklin Bissett U.S. Focus Corporate Class 89 0.5% 21 0.8% 0.0% 4 30.19 23.57 16.33 --

Franklin Mutual U.S. Shares Fund 80 0.5% 3 0.1% 0.2% 1 11.79 18.20 11.50 3.23

Franklin U.S. Core Equity Fund 21 0.1% 3 0.1% 0.0% 2 25.08 22.96 13.78 --

Franklin Flex Cap Growth Fund 70 0.4% 2 0.1% 0.0% 2 13.92 19.58 12.10 4.39

Franklin U.S. Rising Dividends Hedged Corporate Class -- -- -- -- -- -- 7.87 -- -- --

8 Global Equity Balanced 23,357 3,919 2,310 226 9.8% 10.0%

Franklin Quotential Balanced Growth Portfolio 3,297 14.1% 176 7.6% 8.3% 2 7.38 9.47 6.56 4.54

Franklin Quotential Growth Portfolio 622 2.7% 50 2.2% 1.7% 2 7.63 11.43 7.01 4.13

9 Global Fixed Income Balanced 16,967 2,580 2,000 463 23.1% 29.6%

Franklin Quotential Diversified Income Portfolio 2,580 15.2% 463 23.1% 29.6% 3 5.48 6.04 6.01 --

10 Canadian Fixed Income Balanced 7,120 0 1,758 0 0.0% 0.0%

**Sales and assets include both corporate class (hedged cc) and trust.

Hedged funds/series are shown for performance only.

As of December 2014

Average Annual Total Returns (%)

Gross Sales

Market Share

Current 12-months

Gross SalesAssets as of November 30, 2014

INTERNAL USE ONLY


44

INVESTMENT TERM GLOSSARY

Alpha: A measure of the difference between a portfolio’s actual returns and its expected performance, given its

level of risk as measured by beta. A positive Alpha figure indicates the portfolio has performed better than its

beta would predict. In contrast, a negative Alpha indicates the portfolio has underperformed, given the

expectations established by beta.

Beta: Beta is a measure of systematic risk with respect to a benchmark. Systematic risk is the tendency of the

value of the fund and the value of benchmark to move together.

Standard Deviation: This depicts how widely the returns varied over a certain period of time. The standard

deviation of historical performance is used to try to predict the range of returns that are most likely for a given

fund.

Up Capture: Upside Capture Ratio measures a manager's performance in up markets relative to the market

(benchmark) itself.

Down Capture: Downside Capture Ratio measures manager's performance in down markets. A down-market is

defined as those periods (months or quarters) in which market return is less than 0. In essence, it tells you what

percentage of the down-market was captured by the manager.

Sharpe Ratio: A risk-adjusted measure. It is calculated by using standard deviation and excess return to

determine reward per unit of risk. The higher the Sharpe Ratio, the better the fund's historical risk-adjusted

performance.

Downside Deviation: This measures only deviations below a specified benchmark.

TTM Yield: Measure of the fund's income distributions, as a percentage of the fund price. It is calculated by

summing the income distributions over the trailing 12 months and dividing that by the sum of the last month's

ending NAV plus any capital gains distributed over the 12-month period. Morningstar adds back capital gains to

estimate what the fund's ending price would have been had it not distributed these gains; this makes the result

more comparable to a stock yield because stocks do not distribute gains but rather simply increase in price.

YTM: The Yield to maturity (YTM) of a bond is the internal rate of return (IRR, overall interest rate) earned by an

investor who buys the bond today at the market price, assuming that the bond will be held until maturity, and that

all coupon and principal payments will be made on schedule.

Monthly Competitive Book...Popularity of Exchange Traded Funds (ETFs) in the Canadian market • 2014 has been the best year on record for the ETF market in Canada, with $10.3B in

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