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City of Miami General
Employees & Sanitation Employees Retirement Trust Investment Review
Michael Brown President, North America
September 2013
Confidential Do not copy or circulate this document.
Barings
Independence Wharf
470 Atlantic Avenue
Boston MA 02210-2208
Tel 1 617 946 5200
Fax 1 617 946 5400
One Embarcadero Center
Suite 555
San Francisco, CA 94111
Tel 1 415 834 1500
Fax 1 415 834 1722
www.barings-us.com
Contents
Barings Overview
Performance, Positioning & Holdings
Current Investment Themes
Appendix
3 3
Section 1
Barings Overview
Baring Asset Management
An international investment management company with a history dating back to 1762
Operating in eleven countries with professionals from twenty five different nations
Owned by Massachusetts Mutual Life Insurance Company (MassMutual)
Current assets under management US$57.5bn
123 investment professionals
Winner of the Queens Award for Enterprise: International Trade 2010
June 30, 2013
London, Boston, Dubai, Frankfurt, Hong Kong, Paris,
San Francisco, Santiago, Seoul, Taipei, Tokyo, Toronto
4
What Sets Us Apart
A proven, research-driven process exploiting market inefficiencies
Significant global bottom-up research capability
spanning worlds equity markets
Strong platform of 40+ investment
professionals searching for
unrecognized growth
All Cap, universe and holdings Exploit market opportunities across an
unconstrained universe
Innovative process which combines both bottom-
up and top-down insight
Three-dimensional approach to identify active alpha
Dedicated sector and country analysis Multiple sources of idea generation
Capacity constrained strategies Promotes process integrity
5
Portfolio Management Structure Barings International Equity
International & World Equity Group
David Bertocchi 15 Jon Greenhill 18 Tom Mann 16 Susan OBrien 25 Nick Williams 23 Hayes Miller 33
# Number of Investment Professionals* # Yrs Investment Experience
July 2013
* Some analysts may sit on more than one sector team
Global Sector Teams
Technology 9 8
Consumer Discretionary 8 8
Consumer Staples 10 9
Energy 8 11
Telecoms 8 9
Materials 7 10
Utilities 7 11
Financials 12 13
Healthcare 9 11
Industrials 8 12
Strategic Policy Group
Percival Stanion 33
Andrew Cole 34
Hayes Miller 33
Marino Valensise 25
Khiem Do 36
David Bertocchi 15
Christopher Mahon 14
Alan Wilde 28
Investment Board
Marino Valensise 25 Tim Scholefield 25 Percival Stanion 33 Alan Wilde 28
Chief Investment Officer Head of Equities Head of Strategy Head of Fixed Income
6
7 7
Section 2
Performance, Positioning & Holdings
Performance
Morgan Stanley Capital International MSCI EAFE Net from July 2, 2012 prior MSCI EAFE Gross. Annualized returns in US dollars gross of fees.
8
Performance as of June 30, 2013
2Q 13 Y-T-D 1 Year
Since
Inception
(6/25/12)
City of Miami General
Employees & Sanitation Employees Retirement Trust
-0.5 1.9 10.9 15.1
MSCI EAFE Index -1.0 4.1 18.6 22.1
Relative 0.5 -2.2 -7.7 -7.0
Calendar Year Composite Performance
2012 2011 2010 2009 2008 2007 2006 2005 2004 2003
Barings Focused
International Plus
Equity Composite
11.7 -7.9 9.7 39.2 -43.7 24.3 34.0 18.4 25.0 39.3
MSCI EAFE Index* 17.8 -11.7 7.8 31.8 -43.4 11.2 26.9 14.0 20.7 39.2
Relative -6.1 3.8 1.9 7.4 -0.3 13.1 7.1 4.4 4.3 0.1
Barings Focused International Plus Equity Calendar Year Performance
* Morgan Stanley Capital International (MSCI) EAFE Index Net Dividends. Returns shown in US dollars gross of fees. Please note Gross of fee performance is
presented. See the final page for a description of the impact of fees upon returns. Please see the Appendix for net of fee and composite description. This
supplemental performance information complements the Focused International Plus Equity Composite presentation as provided in the Appendix. 9
Barings Focused International Plus Equity
Composite Performance
Composite Performance as of March 31, 2013
1Q 13 4Q 12 6 Months 1 Year 3 Years 5 Years
Barings Focused
International Plus Equity
Composite (gross of fees)
2.4 0.3 2.7 3.4 4.9 0.1
MSCI EAFE Index* 5.1 6.6 12.0 11.6 5.4 -0.4
Relative -2.7 -6.3 -9.3 -8.2 -0.5 0.5
*MSCI EAFE Index Gross Dividends to 30-Jun-12 then Net Dividends. Annualized returns in US dollars gross of fees. Please note Gross of fee performance is
presented. See the final page for a description of the impact of fees upon returns. Please see the Appendix for net of fee and composite description. This supplemental
performance information complements the Focused International Plus Equity Composite presentation as provided in the Appendix.
10
Performance Attribution Second Quarter 2013
By Sector
%
Relative
Contribution Selection Allocation
Financials 1.14 1.16 UW -0.02
Cons. Staples 0.53 0.39 UW 0.14
Cons. Disc. 0.37 0.37 OW 0.01
Industrials 0.27 0.25 UW 0.03
Info. Tech. 0.12 0.08 OW 0.03
Health Care 0.03 -0.03 OW 0.06
Utilities -0.10 0.02 UW -0.11
Telecos -0.13 -0.01 UW -0.12
Energy -0.16 -0.14 OW -0.02
Materials -1.59 -1.51 OW -0.09
Total 0.50 0.59 -0.09
Morgan Stanley Capital International (MSCI) EAFE
By Country/Region
%
Relative
Contribution Selection Allocation
Japan 1.31 1.12 OW 0.19
Pacific x-Japan 0.37 -0.44 UW 0.81
Europe x-UK 0.36 0.52 UW -0.16
United Kingdom -0.32 -0.31 UW -0.02
Middle East -0.34 -0.22 OW -0.12
Global
Emerging -0.88 -0.31 OW -0.57
Total 0.50 0.37 0.13
11
1.3
0.4 0.4
-0.3
-0.9 Japan Pacific x-
JapanEurope x-UK Middle East Global
Emerging
1.1
0.5 0.4 0.3
-1.6
Financials Cons.Staples
Cons. Disc. Industrials Materials
Key Contributions Economic Sector Key Contributions - Geographic
Performance Attribution Second Quarter 2013
Top 10 Contributors
Relative
Contribution
Mitsubishi Electric Corp. 0.38
Hitachi Metals Ltd. 0.27
Deutsche Boerse AG 0.25
Tokyo Electron Ltd. 0.25
Rakuten Inc. 0.25
KDDI Corp. 0.23
Japan Tobacco Inc. 0.22
BHP Billiton 0.21
Tokio Marine Holdings Inc. 0.20
Toyota Motor Corp. 0.20
Bottom 10 Contributors
Relative
Contribution
Newcrest Mining Ltd. -0.69
Yamana Gold Inc. -0.60
Fresnillo PLC -0.51
ICL-Israel Chemicals Ltd. -0.36
Randgold Resources Ltd. -0.22
Takeda Pharmaceutical Co. Ltd. -0.22
Paladin Energy Ltd. -0.20
Tullow Oil PLC -0.18
Societe BIC -0.17
SoftBank Corp. -0.10
Morgan Stanley Capital International (MSCI) EAFE
12
City of Miami General Employees & Sanitation Employees Retirement Trust Portfolio Structure June 30, 2013
Portfolio
Weight
Index
Weight
6.4 0.0
26.5 22.6
21.8 21.7
37.6 42.9
5.2 12.8
Active Region Positions
6.4
3.9
0.1
-5.3
-7.6
Global Emerging
Japan
United Kingdom
Europe x-UK +
Dev. Middle East
Pacific x-Japan
Cash = 2.5%
Benchmark: Morgan Stanley Capital International MSCI EAFE. 13
City of Miami General Employees & Sanitation Employees Retirement Trust Portfolio Structure June 30, 2013
Portfolio
Weight
Index
Weight
13.8 10.5
6.3 4.6
9.1 8.0
12.0 11.7
7.2 7.0
25.0 25.0
3.4 5.2
9.6 11.8
9.8 12.5
1.1 3.8
Active Sector Positions
3.3
1.7
1.1
0.3
0.2
0.0
-1.8
-2.2
-2.7
-2.7
Health Care
Information Technology
Materials
Consumer Discretionary
Energy
Financials
Telecom Services
Consumer Staples
Industrials
Utilities
Cash = 2.5%
Benchmark: Morgan Stanley Capital International MSCI EAFE. 14
City of Miami General Employees & Sanitation Employees Retirement Trust Portfolio Holdings
As of June 30, 2013. Source: Factset 15
P o rtfo lio
Weight
Index
Weight
M arket C ap
$ bn
A ustralia 1.31 8.00 8.44
Newcrest M ining Limited 0.60 0.06 7.72
Paladin Energy Ltd 0.71 -- 0.72
C anada 1.26 -- 7.43
Yamana Gold Inc. 1.26 -- 7.43
C hina 1.25 0.10 11.99
China Pacific Insurance (Group) Co., Ltd. 1.25 -- 11.99
F rance 9.62 9.39 274.86
Sanofi 2.53 1.09 134.67
Scor SE 1.46 0.04 5.54
SES SA 1.70 0.08 10.67
Societe BIC SA 1.31 0.03 4.60
SUEZ Environnement Co. SA 1.14 0.03 6.12
Total SA 1.48 0.92 113.25
Germany 11.77 8.58 263.54
adidas AG 1.86 0.20 23.00
Bayer AG 1.87 0.78 89.33
Deutsche Boerse AG 2.43 0.11 12.74
Fresenius SE & Co. KGaA 2.39 0.14 20.94
M uenchener R-G 1.51 0.29 33.25
SAP AG 1.70 0.60 84.28
Israel 3.38 0.50 47.80
ICL-Israel Chemicals Ltd. 1.36 0.04 10.88
Teva Pharmaceutical Industries Limited 2.01 0.29 36.92
Japan 26.53 22.51 532.36
Denso Corp. 1.92 0.20 37.10
East Japan Railway Company 2.19 0.23 32.28
Hitachi M etals, Ltd. 1.58 0.02 3.88
Japan Tobacco Inc. 2.60 0.34 64.83
KDDI Corporation 2.20 0.25 40.33
Kyocera Corporation 1.90 0.15 19.73
M itsubishi Electric Corp. 1.94 0.16 22.51
Rakuten, Inc. 1.89 0.08 14.95
Sumitomo M itsui Trust Holdings, Inc. 2.42 0.14 18.70
Takeda Pharmaceutical Company Limited 2.08 0.32 37.19
Tokio M arine Holdings, Inc. 1.91 0.19 26.21
Tokyo Electron Ltd. 1.08 0.08 8.86
Toyota M otor Corp. 2.83 1.47 205.79
P o rtfo lio
Weight
Index
Weight
M arket C ap
$ bn
R ussia 2.32 -- 81.09
M obile TeleSystems OJSC 1.18 -- 17.79
Sberbank Russia OJSC 1.14 -- 63.30
Singapo re 3.89 1.60 49.84
DBS Group Holdings Ltd 0.56 0.19 29.71
Golden Agri-Resources LTD 1.58 0.03 5.38
Keppel Corporation Limited 1.75 0.10 14.75
Sweden 1.24 3.11 6.04
Elekta AB 1.24 0.05 6.04
Switzerland 11.55 9.08 193.02
Credit Suisse Group AG 2.49 0.35 40.88
Julius Baer Gruppe AG 2.14 0.08 8.92
Syngenta AG 2.41 0.32 38.03
UBS AG 2.03 0.55 65.69
Zurich Insurance Group AG 2.47 0.34 39.51
T aiwan 1.59 -- 95.71
Taiwan Semiconductor M anufacturing 1.59 -- 95.71
United Kingdo m 21.76 21.79 643.62
Admiral Group plc 1.90 0.03 5.22
BG Group plc 1.44 0.51 59.77
Experian PLC 1.09 0.16 18.04
Fresnillo PLC 1.18 0.02 9.19
GlaxoSmithKline plc 1.68 1.09 128.41
Imperial Tobacco Group PLC 1.12 0.30 33.42
Prudential plc 1.33 0.37 42.72
Randgold Resources Limited 0.74 0.05 5.96
Reckitt Benckiser Group plc 2.79 0.40 52.02
Rolls-Royce Holdings plc 1.55 0.29 33.96
Royal Dutch Shell P lc 2.60 1.83 144.14
SABM iller plc 1.52 0.41 72.28
Tullow Oil plc 0.97 0.12 15.19
WPP Plc 1.84 0.19 23.29
C ash 2.52 -- - -
16 16
Section 3
Current Investment Themes
Outlook
The economic data is improving for a number of regions but headwinds remain
The strength of the economic recovery is increasingly a political choice
Governments: Will we have austerity or stimulus? Answer depends on politics and the bond market.
Central banks: Will we have QE or tapering? Answer depends on who is the Fed Chairman, the strength of the recovery and the bond market
Governments and central banks are in control until the bond market or electorate revolt
But for some countries the choice is not their own
Peripheral Europe is dependent on the EC (and German politics)
EM countries with current account deficits are dependent on the US
We are focusing on stocks where controllable factors are driving returns
Self-help situations, Communication revolution, Asian/Emerging financials, Health Care, Internet, New Media
17
18 18
Appendix
Sub-trend Economic Growth to Continue
In many western economies a deleveraging process is underway and will likely run for years
A muddle through recovery is the goal and best case scenario
Economic growth is likely to be weaker than we came to expect in the post World War II era.
Source: Hoisington Investment Management, Q2 2012 & Q4 2012 Barings
U.S. Debt as a % of GDP (Annual)
19
Sources: Bureau of Economic Analysis, Federal Reserve, Census Bureau: Historical Statistics of
the United States Colonial Times to 1970. Through Q1 2012.
Real GDP 1790-2009 (Decade Average Growth)
Sources: Bureau of Economic Analysis, Congressional Budget Office, Office of Management and Budget, N.S.
Balke & R.J. Gordon, C.D. Romer. Through 2009.
Depression
Normal recovery
Recession
Muddle Through
Baring Focused International Equity Fund
Brokerage Report
Trading Q2 2013
Broker Tot comms comms % Gross cons G cons % Trades
INSTINET 63,174 35.75% 57,096,423 32.09% 28
HSBC SECURITIES 30,437 17.23% 18,448,001 10.37% 15
J.P. MORGAN 21,167 11.98% 20,111,799 11.30% 10
UBS AG 20,835 11.79% 44,646,375 25.09% 27
ROYAL BANK OF CANADA 7,651 4.33% 7,126,265 4.01% 8
BARCLAYS 5,071 2.87% 5,070,815 2.85% 3
MORGAN STANLEY & CO INC 4,658 2.64% 3,336,474 1.88% 2
CLSA 4,647 2.63% 4,224,702 2.37% 2
GOLDMAN SACHS INTERNATIONAL 3,372 1.91% 5,795,951 3.26% 3
CARNEGIE INTERNATIONAL 3,186 1.80% 2,123,826 1.19% 1
BoA MERRILL LYNCH 3,087 1.75% 1,714,875 0.96% 1
MIRABAUD SECURITIES LLP 1,835 1.04% 1,223,152 0.69% 1
LIBERUM CAPITAL LIMITED 1,787 1.01% 1,191,090 0.67% 1
CITIGROUP GLOBAL MARKETS 1,473 0.83% 1,473,310 0.83% 1
CANTOR FITZGERALD 1,265 0.72% 1,581,155 0.89% 1
TUDOR PICKERING HOLT & CO 1,137 0.64% 1,621,036 0.91% 2
DEUTSCHE BANK 958 0.54% 478,765 0.27% 1
MACQUARIE BANK LIMITED 539 0.31% 269,558 0.15% 1
CREDIT SUISSE 390 0.22% 354,482 0.20% 1
ITG (inc Alpha centre) 34 0.02% 30,609 0.02% 1
Grand Total 176,700 100.00% 177,918,664 100.00% 110
Performance Update
Morgan Stanley Capital International MSCI EAFE Net from July 2, 2012 prior MSCI EAFE Gross. Annualized returns in US dollars gross of fees.
21
Performance as of August 31, 2013
Fiscal Year-to-Date
10/1/12 8/31/13
City of Miami General
Employees & Sanitation Employees Retirement Trust
4.2
MSCI EAFE Index 15.3
MSCI Emerging Markets Index -4.9
Relative -11.1
Representing Barings
22
Michael Brown
President, North America
Location: Boston Investment Experience: 18 Years
Michael is the President of Barings North America. He is responsible for developing, implementing and overseeing the firm's North American business strategy. Michael
also leads our client service team for US and Canadian based clients and serves as the primary relationship manager for a number of accounts. Michael joined the firm
in 1998 and served as General Counsel until being appointed to his present role in 2002. Previously he practiced as an attorney with Skadden, Arps, Slate, Meager &
Flom in Boston where he concentrated in the financial services industry and focused on investment products, mergers and acquisitions, and regulatory matters. He is a
Phi Kappa Phi graduate of West Point and served as an infantry officer in the 82nd Airborne Division. Michael holds a J.D. (Hons.) from the Columbia University School of
Law and a M.B.A. (Hons.) from the Columbia University School of Business and is FINRA Series 7, 24, 63 and 99 registered.
Barings Focused International Plus Equity Broad Composite Performance as of 12/31/12
Past performance is not a guide to future performance. Please use this report in conjunction with the attached disclosures.
*The highest, lowest and median Gross of Fees annual return of all portfolios that were included in the composite for the entire year are presented as a measure of dispersion. If Dispersion displays N/A, no single constituent in the
composite for full calendar year.
** If 3 year annualized ex post Standard Deviation is not shown, there are not 36 monthly Composite or Benchmark returns available since the inception of the Composite, inception of the Benchmark, or the inception of the firm. Standard
Deviation is calculated using Gross of Fee returns. Returns for periods of less than one year are not annualized.
FIRM DEFINITION
For the purpose of GIPS compliance, the Firm is defined as the investment firm Baring Asset Management Limited (and its relevant subsidiaries which are registered with the appropriate regulatory authorities to undertake investment business in those jurisdictions in which they operate). Baring Asset Management Korea Limited, a wholly owned subsidiary of Baring Asset Management (Asia) Limited, which is in turn wholly owned indirect subsidiary of Baring Asset
Management Limited, is excluded from the Firm definition.
CHANGES TO FIRM DEFINITION
Prior to 20th December 2012, Baring Asset Management LLC was also included within the definition of the GIPS Firm. It was removed with effect from 20th December 2012, the reason being at that date it deregistered from the United
States SEC, having assigned all of its clients to Baring International Investment Limited, a wholly owned subsidiary of Baring Asset Management Limited. At 31st December 2010, Baring Asset Management Inc. changed its Corporate
Structure and became Baring Asset Management LLC, conducting the same business as Baring Asset Management Inc., which had been included in the GIPS Firm prior to 31st December 2010. On 28th March 2013, Baring Asset
Management (Asia) Limited acquired SEI Asset Korea Co., Ltd, a Korean Investment Management Company, which was renamed Baring Asset Management Korea Limited. Baring Asset Management Korea Limited is excluded from the
definition of the "Firm" which has previously included all direct and indirect subsidiaries of Baring Asset Management Limited. Baring Asset Management Korea Limited claims compliance with the GIPS standards.
SIGNIFICANT EVENT
At 27th May 2011 the Private Client Business, comprising both Onshore and Offshore private clients was sold to SG Hambros. As of this date all Private Client portfolios were excluded From the "Firm" as defined herein. This is disclosed
as a significant event for the purposes of the GIPS standards.
CLAIM OF COMPLIANCE
The firm as defined herein claims compliance with the Global Investment Performance Standards (GIPS) and has prepared and presented this report in compliance with the GIPS standards. The firm as defined herein has been
independently verified for the periods from 1st July 1999 to 31st December 2012. The verification reports are available upon request. Verification assesses whether (1) the firm has complied with all the composite construction requirements
of the GIPS standards on a firm wide basis and (2) the firm's policies and procedures are designed to calculate and present performance in compliance with the GIPS standards. Verification does not ensure the accuracy of any specific
composite presentation. Policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request. Inception of the Firm is 1st July 1999. A complete list and description of all composites is
available on request by sending an e-mail to gips@barings.com.
Name Description
Benchmark 1 MSCI EAFE Index Gross Dividends to 30-Jun-12 then Net Dividends MSCI EAFE Total Return Index with Gross dividends reinvested until 30-Jun-12. Then from 01-Jul-12 MSCI
EAFE Total Return Index with Net dividends reinvested. (Benchmark changed to reflect the treatment
of dividends reinvested In the underlying accounts).
Year
Composite
Gross
Composite
NetBenchmark High Median Low Composite Benchmark
2012 11.65 10.88 17.79 8 1,416.32 12.33 11.77 11.49 51,968.02 2.73% 18.06 19.45
2011 -7.92 -8.66 -11.73 9 1,508.05 -7.66 -8.04 -8.29 44,694.55 3.37% 19.23 22.38
2010 9.70 8.82 8.21 8 1,557.57 10.51 9.81 9.54 50,391.63 3.09% 26.02 26.96
2009 39.23 38.06 32.46 4 1,028.62 40.14 39.39 37.71 46,523.90 2.21% 25.54 24.45
2008 -43.70 -44.13 -43.06 3 634.69 -43.39 -43.48 -43.91 32,415.15 1.96% 24.35 20.40
2007 24.31 23.40 11.63 3 915.76 25.27 25.27 25.27 54,835.47 1.67% 13.45 9.31
2006 34.01 32.94 26.86 1 72.46 34.01 34.01 34.01 41,723.93 0.17% 11.76 9.18
2005 18.42 17.53 14.02 1 5.96 N/A N/A N/A 34,887.91 0.02% 11.52 11.17
2004 25.01 24.65 20.70 1 336.49 25.01 25.01 25.01 34,636.99 0.97% 14.28 15.54
2003 39.27 38.87 39.16 1 355.58 39.27 39.27 39.27 35,230.76 1.01% 17.88 18.02
'Firm' Assets
(Millions)
Dispersion*3 Year Standard Deviation
(Ann.)**Composite
Accounts (at
year end)
% of 'Firm'
Assets
Composite Assets
(Millions)
Returns
Composite Focused International Plus Equity Broad Composite Inception 30-Jun-00
Returns Gross Performance Composite Creation Jan-08
Reporting Currency USD Composite Mnemonic SUP31
Date 31-Dec-12
Primary Benchmark MSCI EAFE Index Gross Dividends to 30-Jun-12 then Net Dividends
23
Barings Focused International Plus Equity Broad Composite Performance as of 12/31/12
Composite Focused International Plus Equity Broad
The "Firm" as defined herein is the international business operating under the brand name "Barings", Baring Asset Management Korea Limited, the Korean Domestic business, is a
separate firm for GIPS purposes.
Performance results are total, time-weighted and calculated monthly. Gross-of-fee performance results are presented before management and custody fees but after transaction costs
and non-reclaimable foreign withholding taxes. Net-of-fee performance results are presented after management fees, transaction costs and non-reclaimable foreign withholding taxes
but before custody fees. The actual returns will be reduced by the investment management (advisory) fees and other expenses.
The Baring Asset Management pricing policy (or the relevant Fund Administrator pricing policy) is applied to funds in this Composite. These policies include provision that where
markets are closed due to holidays or political events, the prices of securities in that market may be adjusted. This may on occasion cause differences to the valuation sources used by
the benchmark, and to other funds in the Composite.
From 1st October 2012 the minimum portfolio size for inclusion in any Composite is set as 1,000,000. For Private Client Portfolios the minimum portfolio size for inclusion in any
Composite was 250,000 prior to 27th May 2011.
The Composite is comprised of accounts which invest in a concentrated portfolio of developed equities, principally within countries of the MSCI EAFE Index. The agreements in place
allow for up to 20% to be invested opportunistically in emerging market equities. The composite includes those portfolios impacted by custody restrictions. The Composite also includes
portfolios benchmarked against the MSCI Eafe plus Emerging Index, which allows a greater degree of investment in Emerging Market equities. Some accounts within the composite are
run within an ex-ante tracking error ranges of 6 - 9 and 4 - 10.
To be included in the composite, each account must be managed with a similar mandate for at least one full month.
Net-of-fee performance for the Firm is calculated at the constituent account level and deducted monthly using actual client fee schedules. Where the actual fee is not appropriate for the
recipients of this presentation, Investment Trusts, Mutual Funds, other Common Investment Funds apply a "Model Fee". For UK based Onshore and Offshore Funds, prior to 1st
January 2012 this comprised the equivalent standard institutional Fee Scale, which was the maximum fee scale that Institutional clients would be charged for this product. Rebates apply
to any Institutional clients invested in Common Investment Funds; therefore after rebates were applied this was the maximum fee scale payable by segregated Institutional Clients
investing in this Composite Strategy. From 1st January 2012 this changed to the Institutional Share Class flat fee rate, to which rebates also apply, therefore this was the maximum fee
payable by Institutional Investors in the fund. For North American commingled funds the fee applied was the maximum payable by participants in the fund prior to 1st January 2012, and
a fee weighted by the rate paid by each participant in the fund from 1st January 2012. Composite net-of-fee performance reflects the weighted average of constituent account net-of-fee
returns.
Based on the above and taking into account individual fee arrangements the fee deducted over the last 12 months to the stated reporting date for the composite was 0.70%.
As at the reporting date all portfolios in the Composite reinvest capital gains and income (including dividends and other earnings).
Benchmark Source: MSCI
24
Institutional Regulatory Disclosure
This document is issued in the local or regional jurisdictions by the appropriate Baring Asset Management company or companies whose name(s) and
contact details are specified herein. This document has been produced for, and is intended for receipt by, professional investors/advisers and must not
be relied on by any other category of recipient.
This document may include forward-looking statements, which are based upon our current opinions, expectations and projections. We undertake no
obligation to update or revise any forward-looking statements. Actual results could differ materially from those anticipated in the forward-looking
statements.
Calculation of Gross Returns. Returns are gross of advisory fees, net of transaction costs, and include the reinvestment of dividends. If the expenses
were reflected, the performance shown would be lower. Actual fees are described in Part 2A of [Adviser]s Form ADV and will vary depending on, among other things, the applicable fee schedule and account size. For example, if $100,000 were invested and experienced a 10% annual return
compounded monthly for 10 years, its ending value, without giving effect to the deduction of advisory fees, would be $270,704 with annualized
compounded return of 10.47%. If an advisory fee of 0.95% of the average market value of the account were deducted monthly for the 10-year period, the
annualized compounded return would be 9.43% and the ending dollar value would be $246,355.
Except where otherwise indicated performance numbers are sourced from Baring Asset Management.
All opinions expressed herein are those of Baring Asset Management, unless otherwise stated.
Past performance is no guarantee of future results.
Confidentiality Notice
This document is strictly confidential and is being supplied on the understanding that it will be held confidentially and not disclosed to third parties without
the prior written consent of Barings. Do not recirculate, republish, repost or redistribute this document in any form (including both in part or in whole) in
any format (including physical or electronic) by any means.
25