Kronos

ING Private Banking's solution for demanding investors

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2 | Private Banking 2015

You want to entrust the management of your capital to experts and at the same time to be informed of their

decisions. You would like your capital to yield a return but to minimise risk taking.

With a view to meeting your expectations, ING Private Banking can offer you a strong solution in the

form of a dynamic investment process combined with close monitoring.

I use Home'Bank and the ING Smart Banking app to keep track of the performances of my Kronos portfolio on a daily basis. Easy, clear and transparent .

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Discretionary management, the counterpart of advisory management

The aim of Kronos? To attain a high-performance,

long-term investment return profile and at

the same time pay special attention to risk

management, as well as your investor profile and

investment horizon.

For your convenience, you entrust the exclusive

management of your capital to ING Private

Banking through a discretionary management

mandate.

As a client, you therefore rely entirely on the

expertise of ING Group portfolio managers who

select and weight the assets to be included in

your portfolio. This type of management is the

counterpart of advisory management, where

you decide on the composition of your portfolio,

in line with your investor profile and your risk

tolerance.

What are the main characteristics of Kronos?

Five asset classes

The main aim of portfolio managers is to optimise

the risk/return ratio of your portfolio. To attain

this aim they maximise portfolio diversification

by investing in five different asset classes: bonds,

equities, real estate, commodities and cash

according to your risk profile.

Through such diversification you can also invest

in assets which are often difficult for private

individuals to access (e.g. commodities). This

diversification is also found in the geographical

allocation of your portfolio.

Seven investment profiles

Your ING Private Banker will advise you on all your

investment decisions. Initially, he or she will overview

your personal situation, your preferences and your

appetite for risk.

For that purpose, you will be asked about your

investment objectives and horizon. Furthermore, he

or she will check whether you want to hedge your

portfolio against exchange rate risks.

On the basis of this information and your investment

profile, your ING Private Banker will offer you one of

the following seven risk profiles:

• Kronos Pure Bond

• Kronos Defensive

• Kronos Moderated

• Kronos Balanced

• Kronos Active

• Kronos Dynamic

• Kronos Pure Equity

Discretionary management by ING Private Banking

Kronos is a discretionary management contract that offers several advantages.

4 | Private Banking 2015

Total transparency

You entrust the management of your wealth to us.

What do we offer you in exchange?

Total transparency!

On a daily basis, you can monitor the performance

of your Kronos portfolio through Home'Bank and

our ING Smart Banking application.

You will also receive a quarterly personal

management report.

Moreover, your ING Private Banker is continuously

informed of developments in your portfolio and

will regularly update you regarding the economic

context, the portfolio managers' vision of it and the

resulting investment decisions.

Performance

Kronos' performance

As financial markets are becoming ever more

unpredictable, the risks of loss are rising.

However, by authorising ING’s managers to make

strategic decisions concerning fund selection

and portfolio structuring on your behalf, you put

yourself in a position where you can take full

advantage of the different opportunities available

on the financial markets.

The ability to rapidly anticipate changes in stock

market performance is of critical importance in

enjoying both good returns and asset security.

Controlled risk

It is impossible to maintain a decent long-term

return without permanent and structured risk

management.

This is why an internal risk model has been

developed for all asset classes and for each type

of financial instrument.

Transparent and attractive charges

Kronos's charges are particularly clear and competitive.

Charges

Annual Kronos contract management commission:

0.242% (incl. VAT) of the value of the assets under

management. Funds managed by ING Group are

excluded from the calculation of this remuneration.

Would you like to know more about Kronos?

Your ING Private Banker is available to clearly explain

the different characteristics.

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Kronos : a powerful concept

Kronos is a discretionary management solution exclusively for the clients of ING

Private Banking who wish to invest a minimum amount of €250,000 and to entrust

the management of this capital to seasoned professionals.

Risks

• Market risk: the value of the underlying assets is

exposed to market fluctuations.

• Exchange risk: the contract provides the option

to hedge the exchange risk. If you do not hedge it,

the value of your assets is subject to exchange rate

fluctuations.

• No capital guarantee: the capital invested is not

guaranteed. This risk is nonetheless limited through

diversification and the professional risk management

provided by ING Private Banking.

This discretionary management approach follows ING Belgium's overall investment strategy. From

the selection of investment profiles available, you choose the one that is the best match for your risk

tolerance level. In this context, you must take into account the following risks:

I prefer to entrust the management of my portfolio to experts. At ING Private Banking I know that my money is in good hands.

Would you like to find out how to make your capital yield a return while minimising your risk? Do not hesitate to contact your ING Private Banker.

ING Belgium SA/nv – Bank – Registered office: avenue Marnix 24, B-1000 Brussels – Brussels RPM/RPR – VAT: BE 0403.200.393 – BIC: BBRUBEBB – IBAN: BE45 3109 1560 2789. Publisher: Inge Ampe – Cours Saint-Michel 60, B-1040 Brussels © Editing Team & Graphic Studio – Marketing ING Belgium – 707487E – 06/15

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I N G P R I V A T E B A N K I N G

Important informationThese documents are commercial documents, compiled and distributed by ING Private Banking, a commercial department of ING Belgium. They have been compiled for the purpose of information and do not contain any investment advice within the meaning of the Royal Decree of 5 March 2006. The contents are based on information provided by the customer (ING is not required to verify such information) and, where appropriate, on information sources deemed to be reliable. Neither ING Belgium, nor any company of the ING Group, gives any express or implicit guarantee, assurance or assertion with regard to the correctness, appropriateness or comprehensiveness of the information provided. The information communicated herein may be changed without prior notice. Neither ING Belgium, nor any company of the ING Group, nor any of its executives, directors or staff accepts any obligation - and in particular an obligation of results - or liability for the information provided. The recommendations communicated by ING have been established in good faith, with ING using all reasonable means to this effect. The value of the financial instruments and the amount of income they yield may rise or fall; it is not guaranteed. The actual results, performance and events can substantially deviate from what is indicated in this publication. Any differences can be explained by a number of factors including (i) the general economic climate in the markets where ING mainly operates; (ii) the overall performance of financial markets, including emerging markets; (iii) interest rate levels and fluctuations in such rates; (iv) exchange rates; (v) general factors of competition; (vi) changes to legislation, in particular in the area of tax, and regulations as well as (vii) any changes likely to occur in the policies of government and/or regulatory authorities. All investors should be aware that each of the products and financial instruments mentioned is subject to specific terms and conditions. Past results in no way guarantee future performance. All rights reserved. No part of this publication may be reproduced, stored in a data extraction system or transmitted in whatever form or by whatever means (mechanical, photocopying, recording or other) without the prior consent of the copyright holder. The aforementioned provisions do not exempt ING Belgium or its executives, managers or staff from liability in the event of "gross negligence".

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