Emerging Markets Value Equity Third Quarter 2014 Strategy Overview Key Facts Team D. Kirk Henry, CFA, leads a team of investment professionals, who manage $4.0 billion in total assets. A team of Global Research analysts with emerging markets expertise supports their efforts. Assets Under Management $3.9 billion Benchmark MSCI EM Index Objective The Boston Company Asset Management, LLC, is committed to a value-oriented, researchdriven and risk-aware investment philosophy. Our Emerging Markets Value Equity strategy strives to consistently outperform the MSCI Emerging Markets Index with commensurate volatility through disciplined stock selection. Inception July 1995 Investment Vehicles Separate Account, Commingled Vehicles Strategy Highlights • Fundamental, bottom-up, relative value investment approach. Key Stats & Risk Management Typical Holdings 100-150 Turnover 35-70% 5 Year Beta 1.03 • Resource-rich, talented and well-tenured investment team has a long history of stability and consistency. • Disciplined portfolio management process seeks to identify undervalued and underappreciated securities capable of improving, which the market is overlooking. The team believes that securities with elements of low valuation, good fundamentals and the potential for business improvement have the best chance to outperform the market. Performance Review As of September 30, 2014 (%) 3 Yrs 5 Yrs 10 Yrs Annual Returns as of December 31 (%) 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 QTR YTD 1 Yr -3.7 6.5 9.5 7.6 3.2 10.4 -2.9 16.8 -22.9 17.7 79.5 -45.5 28.2 29.4 27.7 29.4 57.3 1.4 9.4 -19.0 77.7 -16.5 0.5 -4.0 5.6 8.3 6.5 2.1 9.2 -4.0 15.6 -23.7 16.4 77.6 -46.1 26.9 28.1 26.4 28.0 55.7 0.2 8.2 -19.9 75.9 -17.4 -0.6 17.9 -3.4 2.7 4.7 7.6 4.8 11.0 -2.3 18.6 -18.2 19.2 79.0 -53.2 39.8 32.6 34.5 26.0 56.3 -6.0 -2.4 -30.6 66.4 -25.3 -11.6 6.0 Composite (net-of-fees) Composite (gross-of-fees) 19.2 MSCI EM Index Returns greater than one year are annualized. Returns are shown in U.S. dollars. Quarterly Review Portfolio Characteristics* Sector Weights** (%) Portfolio Index 9.1x 1.0x 3.2% $35.5B 123 11.4x 1.5x 2.8% $42.1B 834 Price/Earnings Ratio Price/Book Value Ratio Dividend Yield Wtd. Avg. Market Cap Number of Holdings 40.0 20.0 0.0 8.9 8.8 71.1 Portfolio Index 60.0 40.0 10.0 9.0 16.2 18.6 2.7 8.9 0.0 Asia/Pacific 16.8 12.5 11.9 8.3 5.9 7.7 5.3 3.5 Financials Health Care Industrials Information Materials Technology Telecom Services Utilities 0.9 2.1 Energy 8.3 6.5 Index Top Five Active Weights* 63.4 20.0 4.3 11.510.2 8.5 Consumer Consumer Discretionary Staples Region Weights** (%) 80.0 Portfolio 30.6 27.5 Europe Latin America Middle East/Africa Holding Name KB Financial Group Inc. Petroleo Brasileiro SA Korea Electric Power Corp Shanghai Industrial Holdings Reliance Industries Limited Total Country South Korea Brazil South Korea China India Portfolio 2.6 3.6 1.9 1.5 2.0 11.7% Index 0.4 1.3 0.3 0.0 0.5 2.5% Representative Institutional Account. *Where applicable, excludes cash, futures, and ETFs utilized for cash management purposes. **Where applicable, excludes cash, futures, and ETFs utilized for cash management purposes. ETFs held for select investment purposes are allocated according to their constituent exposure. Data as of 9/30/14. Not an offer to sell, or a solicitation of an offer to purchase, any securities. Past performance is not a guarantee for future performance. No investment strategy or risk management technique can guarantee returns or eliminate risk in any market environment. Returns prior to 1/1/2000 are not GIPS compliant. Please refer to the back page for other important disclosures. CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute. Variation in totals due to rounding. Emerging Markets Value Equity Disclosure Definition of the Firm The Boston Company Asset Management, LLC (TBCAM) is a registered investment adviser established in 1970 and a subsidiary of The Bank of New York Mellon Corporation. Composite Description The Emerging Markets Value Equity strategy is an international strategy that invests in value companies from a minimum of 15 emerging market countries. Benchmark The MSCI Emerging Markets Index measures the performance of global emerging equity markets and is presented gross of withholding taxes. Other Information There may be material differences between the representative account and other accounts managed with the same strategy. Because of these differences, the information based on the representative account should not necessarily be relied upon. It should not be assumed that securities identified were or will be profitable or that decisions we make in the future will be profitable. Certain securities may not remain in the portfolio at the time that you receive this report. Where applicable, includes assets managed by investment personnel of The Boston Company Asset Management, LLC acting in their capacity as officers of affiliated entities. TBCAM claims compliance with the Global Investment Performance Standards (GIPS®). To receive a list of composite descriptions of TBCAM composites and / or a presentation that complies with the GIPS standards, contact [email protected]. Contact For more information about our strategies, please contact: Global Head of Distribution Daniel J. McCormack [email protected] (617) 722-7376 www.thebostoncompany.com 462