MitonOptimal Group Portfolio Management Presentation September 2017 - PowerPoint PPT Presentation

MitonOptimal Group June 2017 MitonOptimal Group Portfolio Management Presentation September 2017 Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 Welcome Presenters Greg Easton MitonOptimal Portfolio Management Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 Presentation Outline  Introduction to the MitonOptimal Group  What We Do & How We Do It  Investment Management Style and Process  Market Update  Current Positioning & Investment Ideas Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Who We Are – Key Team Members Scott Campbell B Comm Shaun McDade Founder, Group MD & CIO MD of MitonOptimal Portfolio Management (CI) Ltd (Guernsey) & Head of Portfolio Management (International) Joanne Baynham CA, CFA Simon Sharrott ACSI, BA Hons Director & Head of Investment Strategy Director & Portfolio Manager (Guernsey) Phil Penrose Alan Blythe International Sales Director (UK & Asia) MD (IOM) and Portfolio Manager James Sullivan Greg Easton IMC Director & Fund Manager (UK) Director (IOM) & International Business Development Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 What We Do  Discretionary Fund Management: Fully Tailored Portfolios  Model Portfolio Services: Risk-rated, Multi-currency & Low Cost  Unitised Solutions: Guernsey & Dublin Fund Ranges  Insourced Solutions: Regulatory Driven  Portfolio Reviews: Qualitative & Quantitative Analysis  Succession Planning: Using a Partnership Approach We are platform agnostic – Access us how you want to! Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Where We Are United Kingdom Channel Islands ( International Team ) ( International Team )   DFM & Advisory Services DFM & Advisory Services   Fund Management Fund Management Isle of Man ( International Team ) European Region  DFM & Advisory Services ( Growth Market )  Monaco, Switzerland, Malta Caribbean ( Growth Market ) Singapore  Barbados, Cayman & Bermuda - existing partners ( International Team )  Client Relationship Management for Group International Services Latam South Africa ( Growth Market )  Advisory Services   Fund Management Key Partners in Brazil  Asset Consulting Advisory Fund 6 Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Update – We’re Growing! MitonOptimal SA Coram Asset Portfolio Management Management UK Based Fund SA Bespoke Portfolio Manager Services MitonOptimal MitonOptimal MitonOptimal Consulting MitonOptimal Guernsey South Africa Advisory Implemented Portfolio Off-Shore SA Multi-Asset consulting, Employee Services Management (IoM) Multi-Asset Funds Funds Benefits & Umbrella SA Based Advisory Ltd Fund solution Services IoM Based IFA 2002 2004 2011 2012 2013 2016 2017 2003 2005 2010 2006 2007 2008 2009 2014 2015 MitonOptimal Further business Portfolio development Management activity? Guernsey Offshore Bespoke  Approx. $850,000 AUM and growing Portfolio Services MitonOptimal  Further Acquisitions in 2017 Single Asset Managers SA Single Strategy Funds Advisory Fund 7 Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 MitonOptimal Group - Introduction  Independent and Owner-managed: Focused on Partnerships  International Portfolio Manager: DFM, Model Portfolios & Funds  Founded in 2002 by Management: Active & Growing  Five Offices on 3 Continents: Global & Accessible  Experienced & Professional: 60+ Staff Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Our Key Strengths  High duty of care  Owner managed and independent  Self-invested  Transparency of business structure, processes and fees  Client centric in understanding an investor’s risk profile, investment objectives and their service needs  Service  Direct access to decision makers  Regular face-to-face meetings  Detailed reporting  Continuity of personnel  Pride in our company and our service quality  Performance  Risk aware at market and investor level  Innovation through research and investment product/services development  Proven track record over a long period of time  Adaptability to market events and trends  Strong reputation internationally Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Portfolio Guidelines & Objectives Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Group Investment Process Dynamic Strategic Asset Allocation (reviewed annually) Macro- Economic Research Across The Asset Classes Risk Assessment and Tactical Asset Allocation (weekly) Geographical and Sector Themes Implement Advisory Fund 11 Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Investment Management Team Fund Selection Dual approach to fund selection • Universe: • Regulated and quoted Quantitative screening Qualitative criteria Funds, ETFs & ETNs Track record Custody & valuation • Quantitative Analysis: (Cumulative & Discrete periods) • FE Analytics Risk adjusted returns Disciplined approach • Bloomberg • eVest Style & consistency Manager background & team stability • Qualitative Analysis: • Third party ratings Repeatability Specialisation & focus • Manager meetings Fund Size/Brand/LISP availability • Desktop due diligence to establish Watch List Recommended Buy List Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal Group June 2017 Fund Selection Decision Drivers D ANGERS A UTOMATIC R EJECTION E XIT T RIGGERS Falling in love Multiple roles performed Manager departure Unrealistic assumptions Lack of transparency Corporate distress Familiarity Unrealistic undertakings Corporate governance issues Complacency Questionable pricing policy Deteriorating liquidity profile Denial High fees Diminishing AUM Excessive trails offered Performance Fails 3 rd party checks Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 Market Updates Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 Black Swans? • Expecting the unexpected • 2017 has been a year of surprises VIX at 10.22 (Close 15 th Sept) • • Still suppressed • Importance of Active Management and Diversification (Globally and by Asset Class) Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 VIX Vs S&P 500 Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 US Debt Ceiling March 15 th $20Tn ceiling • crystalized • Temporary extension to December 15th • X date – now Q2/3 2018 • Possible Downgrade? United States national debt is approx. 20% of the entire world's combined economy GDP Kicking the can down the road, again! Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore

MitonOptimal MitonOptimal Group Group June 2017 June 2017 Trump Effect • Markets react to every tweet • Making America Great Again or International Villain who is Unfit for Office? Advisory Fund Services Management Guernsey | South Africa | United Kingdom | Isle of Man | Singapore