[PPT] - TB Wise Multi-Asset Growth 1 OBJECTIVES AND POLICY 2 Investment PowerPoint Presentation

SLIDE 1

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TB Wise Multi-Asset Growth

SLIDE 2

OBJECTIVES AND POLICY

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SLIDE 3

Investment Objectives and Policy

Provide growth over the medium to long term in excess of the CBOE UK All Companies Index and in line with, or

better than, the rate of UK inflation (based on the Bank of England’s preferred measure of UK inflation, which is currently the Consumer Price Index (CPI)) → Aims to outperform equities while providing some downside protection

Multi-asset:

→ Equities, Bonds, Private Equity, Property, Infrastructure, Commodities

Fully flexible:

→ Sits in the IA Flexible sector with no restriction on allocations between asset classes or geographic regions

Investments through third party funds, open-ended and closed-ended (investment trusts):

→ Expertise in the investment trusts sector (>60% of assets since inception)

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SLIDE 4

Investment and Risk Characteristics

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Benchmark Style Bias Cap Bias Number of Holdings

36 Typically 30-40 holdings

Position Size

Min 1% (at inception) Max 10%

Yield

1.8% Yield not a target

Asset Allocation:

Outcome of macro view s, quality, valuations and liquidity

Instrument Type Direct Equities

0% Only invests through collectives

Investment Trusts

62% Historically > 60%

Open-ended Funds

36% Historically < 40%

Asset Classes Equities

65% Historically betw een 35-70%

Fixed Interest

2% Historically < 10%

Alternatives

30% Historically betw een 25-50%

Property

Historically < 10%

Cash

2% No hard limit

Countries

Fully flexible

Active Share

99.5% Historically > 95%

Beta

0.5 Beta an outcome of asset allocation

Tracking Error

6.3% Tracking error an outcome of asset allocation

Portfolio Volatility

6.5% Low er than benchmark's volatility (10.6%)

Portfolio Liquidity Profile Weighted Average Market Cap

£636m

Redeemable under a week

51%

20% pro-rata

7 days

50% pro-rata

17 days

100%

33 days

Source: Wise Funds Ltd, Factset 31 Jan 2020

Liquid profile w ith flexibility to look for

pportunities low er dow n the market cap

TB Wise Multi-Asset Growth

CBOE UK All Companies Value-biased Fully flexible Size an outcome of conviction and liquidity

Source: Wise Funds Ltd, Factset – 31st January 2020

SLIDE 5

TEAM

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SLIDE 6

Fund Manager Profiles

22 years average fund management experience

Vincent Ropers

Joined Wise Funds in 2017
Previously managing multi-asset strategies at Standard Life Investments and Fidelity Intl.
15 years of fund management experience

Tony Yarrow

Founded Wise Funds (formerly Wise Investment) in 1992
Previously a financial adviser
31 years of fund management experience

Philip Matthews

Joined Wise Funds in 2018
Previously managing UK equities funds at Schroders and Jupiter Asset Management
20 years of fund management experience

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SLIDE 7

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Wise Funds Org Chart

Portfolio Managers Tony Yarrow

Co-portfolio Manager

Philip Matthews

Co-portfolio Manager

Vincent Ropers

CEO & Co-portfolio Manager

Nicole Harrington

Compliance Manager

John Newton

Business Development Manager

Joanna Scavuzzo-Blake

Office Manager

Rick Ashworth

Analyst

SLIDE 8

PERFORMANCE

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SLIDE 9

Track Record

Keeping up with equities…

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Source: Factset – 31st January 2020

SLIDE 10

Track Record

…with consistently lower volatility…

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Source: Factset – 31st January 2020

SLIDE 11

Track Record

…and outperforming its peers

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Source: FE Analytics – 31st December 2019 Rolling 3-year performance versus the IA Flexible Sector

SLIDE 12

Source: FE Analytics – 31st January 2020

Strong Risk-Adjusted Returns

5-year risk/return profile

SLIDE 13

INVESTMENT PHILOSOPHY

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SLIDE 14

Investment Philosophy

We invest primarily in People: we only entrust our investors’ money with managers who take their fiduciary duties

with the greatest of care

Valuations are critical: overpaying for assets, no matter how good they are, is a recipe for disaster
We believe that the fewer investment constraints the better for our investors: we use the widest possible remit

and adopt a flexible approach

We believe that value can be added through both macro and bottom-up research: focusing only on one is missing
ut on opportunities and taking unnecessary risks
Similarly, it is important to pay attention to market technicals: we are long-term investors but price movements

cannot be ignored and represent an important part of the equation

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SLIDE 15

Valuations Matters

Average 1-year Relative Performance Based on Discount at Entry Point

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Performance relative to Factset United Kingdom index Sample of Investment Trusts without strict discount mechanisms and 10-year history Source: Factset, Wise Funds

SLIDE 16

Asset Allocation Matters

Historical GBP Total Returns

PROPERTY COMMODITIES UK US Europe ex-UK Japan Asia Pacific ex-Japan Latam UK US Europe ex-UK UK US Europe ex-UK Global Property Commodities 1990

9.7
19.3
46.8
1991

20.8 35.7

13.1
1992

20.5 33.4

3.5
23.7

1993 28.4 12.2

27.9
1.9

1994

5.8
3.8
14.9
5.8

1995 23.9 38.4

0.3
9.8

1996 16.7 11.4

23.8
6.1

1997 23.6 39.0

22.5
4.6

1998 13.8 28.3

5.4
31.3

1999 24.2 24.5

77.7
0.1
1.2
22.4

2000

5.9
1.1
23.4
9.9

17.9 7.1 8.9 20.4 8.2

34.0

2001

13.3
10.5
19.8
27.4
0.7

0.7 7.3 13.6 4.3 3.1 13.3 3.3

20.3

2002

22.7
29.8
26.7
18.0
16.0
29.4

9.0

0.8

15.1 9.4 2.5 16.5

12.0

2003 20.9 15.4 30.1 23.0 32.6 54.3 7.5

2.5

16.2 2.1

4.0

12.5

10.3

2004 12.8 3.6 14.1 7.9 15.2 34.5 6.6

2.0

8.4 6.3

1.5

8.1

0.4

2005 22.0 18.9 25.3 39.7 35.5 68.8 8.8 13.7 0.9 8.2 17.2 2.2

31.5

2006 16.8 1.5 20.3

7.4

17.2 26.7 0.8

8.6
1.6

0.5

8.2
2.4

26.1

14.7

2007 5.3 4.2 16.4

6.4

37.1 48.1 0.4 3.3 8.8 5.2 6.0 11.1

6.3

9.2 2008

29.9
12.5
25.9
1.1
33.0
32.0
9.9

32.8 26.4 12.4 44.1 43.7

29.4
12.2

2009 30.1 13.2 21.8

5.8

55.5 82.2 15.1 3.5 6.6

0.7
2.4
4.1

25.8 5.7 2010 14.5 18.8 6.6 19.0 23.9 19.5 8.7 12.1 1.0 7.6 10.9

2.4

23.8 20.3 2011

3.5

2.5

15.0
12.9
14.8
18.4

5.4 8.5

0.8

16.6 10.0 0.8

7.5
12.7

2012 12.3 11.2 17.4 3.3 17.5 4.0 15.6 5.4 10.3 2.9 7.2 7.8 24.1

5.5

2013 20.8 30.4 24.0 24.9 1.3

15.7

1.9

3.5

4.9

4.2
10.4

4.8 0.3

11.3

2014 1.2 20.3

1.4

2.7 10.0

7.2

12.3 13.8 1.0 14.7 19.4 5.4 21.9

11.9

2015 1.0 6.9 5.5 17.6

3.5
27.4

0.6 5.0

5.7

0.4 2.8

3.5

5.4

20.3

2016 16.8 33.4 21.2 22.7 28.7 57.0 11.8 26.0 21.3 10.5 24.3 19.6 24.8 32.9 2017 13.1 11.5 16.9 14.4 23.4 12.3 5.0

2.9

6.5 2.0

0.4

4.1 5.1

8.0

2018

9.5

1.4

9.1
7.6
8.5
0.4
2.2

3.6

0.2

0.6 4.2 2.1 0.3

7.6

2019 19.2 26.6 21.2 14.8 14.5 15.6 11.0 9.9 0.3 7.1 11.9 0.7 18.8 1.4 EQUITIES CREDIT SOVEREIGN 16

Source: Factset, Wise Funds – 31st December 2019

SLIDE 17

Active Management Still Has a Part To Play

Relative outperformance of top quartile fund vs its benchmark

PROPERTY UK US Europe ex-UK Japan Asia Pacific ex-Japan GEM UK UK Global Property 1990 8.0 1.6

11.6
1991
1.4

11.6

0.1
1992

0.7 9.9

3.8
1993

12.8 9.4

3.6
1994

10.4 3.3

5.9
16.5
1995
0.6
3.5
2.5
12.3
1996

3.2 4.5

7.9
9.0
1997

0.5

10.8
6.8
27.4
1998

5.1 4.1

2.1
3.4
1999

7.3 20.2

40.3
1.7

2.6 1.7

2000

13.7 13.2

4.3
23.2
1.9
1.5
2001

6.0 0.3 3.4

3.2
0.7
9.5
0.6

0.2

2002

5.3 2.0 5.6

3.8

5.5 8.3

2.3
3.9
2003
1.0
9.7
12.3
4.2
8.3
2.7

1.6 2.0

2004

4.8 1.2 4.7 3.8

1.8

3.4 2.8 1.4

2005

3.2 4.7 3.5 8.0 1.3 5.5

0.2
0.1
2006

6.8 1.4 3.5 6.6 6.8 7.7 1.5 1.2 10.9 2007 3.2 5.7 0.8 1.8 6.6 3.5 0.1

1.8

2.8 2008 4.8 2.3 8.5

0.9

6.8 8.1 8.0 1.5 7.3 2009 8.1 18.7 17.0 19.7 18.3 15.8 5.6 4.8 15.2 2010 8.0 4.2 6.6 4.4 6.9 8.0 0.2

3.6

2.8 2011 6.4 4.3 10.2 10.3 6.9 6.7 1.2

1.5

7.8 2012 7.8 1.5 4.6 2.6 0.8 1.8 1.5 0.2

0.5

2013 10.4

0.3

6.4 10.6 3.7 8.6 0.9

0.2

8.4 2014 4.2

0.7

3.7 1.3 0.3

3.4
1.9
2.3
2.7

2015 7.9

0.1

3.3

2.5

1.6 1.8 1.3 1.6 3.2 2016

3.4
2.7
1.4

1.5 0.6

4.9
2.3
1.8
2.3

2017 5.3 5.5 6.9 9.1 6.7 7.2 2.3 1.6 8.7 2018 3.8 0.7

0.2

0.0 4.3 1.9 2.2 1.4 1.3 2019

0.3
12.4
5.9
6.7
1.3
1.0
0.8

1.3

2.6

EQUITIES CREDIT SOVEREIGN 17

Source: Factset, IA sectors, Wise Funds – 31st December 2019

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FUND CHARACTERISTICS

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SLIDE 19

A Genuinely Active Multi-Asset Portfolio

Broad historical asset allocation

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Source: Factset, Wise Funds – 31st January 2020

SLIDE 20

Harnessing The Diversity of Investment Trusts

Historical allocation to open-ended funds and investment trusts

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Source: Factset, Wise Funds – 31st January 2020

10 20 30 40 50 60 70 80 90 100 Dec 07 Dec 08 Dec 09 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Dec 17 Dec 18 Dec 19 Investment Trusts Open-Ended Funds [Cash]

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Offering Diversification to UK Investors

Historical revenue exposure of the fund by region

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Source: Factset, Wise Funds – 31st January 2020

10 20 30 40 50 60 70 80 90 100 Dec 07 Dec 08 Dec 09 Dec 10 Dec 11 Dec 12 Dec 13 Dec 14 Dec 15 Dec 16 Dec 17 Dec 18 Dec 19

ASIA PACIFIC EX-JAPAN EMERGING MARKETS EUROPE EUROPE EX-UK INTERNATIONAL JAPAN NORTH AMERICA UK [Cash]

SLIDE 22

INVESTMENT PROCESS

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SLIDE 23

Investment Process

The valuation filter

Fund

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SLIDE 24

Investment Process

AVI Global Trust: Global value equity investment trust (£860m market cap)

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Investors still scarred from the GFC and continue to look for safe assets
Cautious sentiment funnelled flows into quality/growth equities

→ Most extreme divergence between the performance of growth vs. value styles ever

Less than 10% of global equity managers adopt a value style
Have known the AVI Global Trust for more than 15 years
Value and event-driven stock selection

→ Simple, repeatable, disciplined process focused on its own niche (small-cap/holding companies)

ETFs, MiFID, concentration of assets into larger firms create opportunities in small-caps
Investment trusts universe not well understood by the market

→ Opportunities to find attractive investments at discounted prices

Underlying portfolio trading at 33% discount, while the trust trades at 10% discount, offering

a double discount of 40%

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Investment Process

Baker Steel Resources: Specialist natural resources trust (£63m market cap)

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Resources supply remains constrained due a lack of investments over the past few years
Demand is robust and diversified thanks to new drivers (e.g.: electrical vehicles, renewable

energy, etc…) → Healthy environment, far from excesses of previous years

Team of highly experienced specialists in the sector (over 130 years of combined experience)
Niche investments in small, early stage opportunities which require specific expertise and

aren’t readily available to non-specialists → Hard to replicate investment strategy with attractive returns

ETFs, MiFID, concentration of assets in larger firms create opportunities in small-caps
Investment trusts universe not well understood by the market
Patchy liquidity in the trust which benefits specialists

→Opportunities in the large price and discount swings

Value uplifts expected on some of the key holdings once they hit milestones
Trust trading at 20% discount

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Investment Process

Merian Gold & Silver: Precious metals open-ended fund (£460m AUM)

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Synchronised global economic slowdown favours defensive assets
Sharp drop in bond yields makes gold an attractive asset class relative to other safe assets
If fiscal stimulus takes over from monetary stimulus, gold offers a hedge against inflation

→ Attractive macro backdrop for the asset class

Manager actively exploiting opportunities between gold vs. silver and metals vs. miners
Gold miners have restored their balance sheets after a period of excess
Wave of consolidation in the sector is taking place

→ Bottom-up factors reinforcing the top-down investment case

Precious metals under-owned by institutional and retail investors
Gold ETFs present an inefficient way to gain exposure to the asset class
Market typically driven by sentiment and flows: when it shifts, it tends to be dramatic

→Market technicals in support of the timing for the position

Mining equities offer strong cash-flows and attractive valuations relative to market
Silver (~50% of exposure in the fund) at 25-year low relative to gold

SLIDE 27

CURRENT POSITIONING

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SLIDE 28

Current Positioning

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Data as of 31st January 2020 Source: Wise Funds, Factset

49 21 8 6 6 4 2 20 40 60 International UK Asia Pacific ex Japan Emerging Markets Europe ex UK Japan America

Geographical allocation

62 31 2 3 20 40 60 80 Equities Alternatives Fixed Interest Cash

Asset allocation

Full Holdings as at 31st January 2020

1

AVI Global Trust Plc 6.91%

2

Caledonia Investments Plc 6.05%

3

JOHCM UK Equity Inc A Acc 4.68%

4

Blackrock World Mining Plc 4.26%

5

Merian Gold&Silver U1 Acc 4.16%

6

TR European Growth Trust 4.10%

7

Aberdeen Std Asia Focus 4.01%

8

TB Amati UK Smlr Co B Acc 3.64%

9

AVI Japan Opp Trust Plc 3.53%

10

Schroder Glob Ry Z Acc 3.45%

11

Man GLG Undrvdassts C Acc 3.10%

12

LF Ruffer Eq & Gen I Acc 2.97%

13

Fidelity Asian Values Plc 2.84%

14

Ecofin Gbl Utils&Inf Ord 2.72%

15

Baker Steel Res. Tr. Ltd 2.71%

16

Polar Cap UK ValOps I Acc 2.54%

17

Mobius Investment Tr. Plc 2.52%

18

Aberforth Smlr Co Tst Plc 2.50%

19

Henderson Eurotrust Plc 2.42%

20

Templeton Emerging Mrkts 2.40%

SLIDE 29

APPENDIX

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SLIDE 30

Fund Summary

Fund Name TB Wise Multi-Asset Growth Fund Legal Structure OEIC (UCITS) Domicile United Kingdom Inception Date 1st April 2004 Comparative Index Cboe UK All Companies Sector IA Flexible Objective Aims to provide long term capital growth ahead of the Cboe UK All Companies index and inflation. Our unwavering focus on value leads us to avoid fashionable and consensual markets and sectors. The fund holds a blend of open-ended and closed-ended funds. Base Currency GBP Currencies available GBP Asset Manager Wise Funds Limited Co-Portfolio Managers Vincent Ropers, Tony Yarrow, Philip Matthews Authorised Corporate Director (ACD)

T. Bailey

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Retail Shares A Institutional Shares B Institutional Shares W Share class launch date 1st April 2004 1st April 2004 1st April 2004 SEDOL 3427242 3427253 BD386X6 ISIN GB0034272426 GB0034272533 GB00BD386X65 AMC 1.40% 0.75% 0.50% Minimum investment £1,000 £1,000 £100,000,000 Registered for sale in GB GB GB

SLIDE 31

Disclaimer

Full details of the TB Wise Funds, including risk warnings, are published in the TB Wise Funds Prospectus, the TB Wise Supplementary Information Document (SID) and the TB Wise Key Investor Information Documents (KIIDs) which are available on request and at www.wiseinvestment.co.uk. The TB Wise Funds are subject to normal stock market fluctuations and other risks inherent in such investments. The value of your investment and the income derived from it can go down as well as up, and you may not get back the money you invested. Capital appreciation in the early years will be adversely affected by the impact of initial charges and you should therefore regard your investment as medium- to-long term. Every effort is taken to ensure the accuracy of the data used in this document but no warranties are

given. Wise Funds Limited is authorised and regulated by the Financial Conduct Authority, No. 768269. T. Bailey Fund

Services Limited is authorised and regulated by the Financial Conduct Authority, No. 190293.

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