Signature Global Advisors

Global Investing from a

Canadian Perspective

Signature overview

Facts• Global investment team based in Canada• 33 person investment team – one of the largest in Canada• Core investment style, with diversified portfolios of large cap securities • Specialize in broad flexible mandates • $35 billion in AUM– ample scale to compete for talent, research and trading

1 As at June 30, 2010

*Cash & cash equivalents: commercial paper, floating rates, bonds

(in money market) and government (in money market)

Deep, specialized investment team

Shawna McIntee (7) Aldo Sunseri (26) Connie Lee (10)

Ryan Fitzgerald, CFA (7)

Stephane Champagne (16)

TRADING PROFESSIONALS

ERIC BUSHELL, CFA (18)

Sara Shahram, CFA (9)

Income Trusts/REITS

Health Care

Goshen Benzaquen (10)

Energy & MaterialsScott Vali, CFA (15)

CHIEF INVESTMENT OFFICER

Drummond Brodeur, CFA (22) Matthew Strauss, CFA (17)

GLOBAL INVESTMENT STRATEGISTS

Eric Bushell, CFA (18)

Rui Cardoso, CFA (14)

Joshua Varghese (1)

Aero, Auto, Defence, UtilitiesMassimo Bonansinga, M.B.A. (21)

Gorlen Zhou (2)

Consumer

Henry Kwok (11)

Hoa Hong, CFA (10)

Tech, Media, TelecomMalcolm White, CFA (16)Jeremy Yeung, CFA (10)

John Hadwen, CFA (18)

Financials

Industrials, TransportJoe D'Angelo, CFA (14)Yvonne Lau, CFA (9)

High YieldGeof Marshall, CFA (15)Kevin McSweeney, CFA (11)Brad Benson, M.A. (13)Carlton Ling, CFA (8)

Investment GradeJohn Shaw, CFA (21)Paul Simon, CFA (10)Leanne Ongaro, CFA (4)Jonathan Chew (1)

GLOBAL SECTOR/ ASSET CLASS SPECIALISTS

Derek Tucker, CFA (11)Shelly Ghai, M.B.A. (7)

Rates and Foreign Exchange

Matthew Strauss, CFA (17)

Eric Bushell, CFA (18)

Darren Arrowsmith, CFA (12)

Paul Simon, CFA (10)

PreferredsJohn Shaw, CFA (21)

Global Road Map

Will the private sector bite?

Deleveraging and the economy

Government

sector

balance

sheet

Household

sector

balance

sheet

Corporate

sector

balance

sheet

Deleveraging delayed

Deleveraging ending

Deleveraging completed

Bottom line: Private sector deleveraging began in 2008 and has been the

key reason why the U.S. recovery has been so weak over the past couple of years.

We are now approaching the end of the deleveraging cycle.

Banking

sector

balance

sheet

Deleveraging ending

Developed markets: Running out of policy bullets

- 1 .5

- 1 .0

- 0 .5

0 .0

0 .5

1 .0

1 .5

J a n -0 8 J a n -0 9 J a n -1 0 J a n -1 1 J a n -1 2

6 0 0

7 0 0

8 0 0

9 0 0

1 0 0 0

1 1 0 0

1 2 0 0

1 3 0 0

1 4 0 0

1 5 0 0

1 6 0 0

U S E c o n o m ic S u r p r is e In d e x ( A c tu a l v s E xp e c te d D a ta )

S & P 5 0 0

USFiscal

C.Bank QE1 TwistQE2 QE3

400 pt drop

in Fed funds

OMTLTROEurope

Fiscal

C.Bank

A non-deflationary deleveraging recipe

Add ingredients in equal measure

• Debt paydown

• Default

• Positive growth

• Inflation

Apply low interest rates to support asset prices. Ensure

banks and credit markets function. Stir for 7-10 years.

Financial repression

Financial repression

Bernanke

Do not ignore valuations

Source: TD Securities

Income trust redux

Financial repression:negative real rates

High payoutfinancial structures

Cost of capitaladvantage forhigh payout

model

Accretive acquisitions& earnings growth

Dilemma: convert or beleft behind

Capital flows

• Massive inflows?

• Sell-side justification of valuations?

• New products?

• Hard for fundamentals to get any better?

• Spread compression between ratings?

• Increased leverage and credit risk?

The progression of the yield trade – technical indicators

Income opportunities – caution

Income opportunities – caution

The progression on the yield trade – structural changes

Signature flexibility

• Continue to invest in good, risk-adjusted securities

• Continue to invest in securities and asset classes set to benefit from deleveraging

• Will not simply invest in higher-yielding, higher-risk securities that have not yet run up in price

• Seek maximum diversification and remain cautious of common themes that can creep into portfolios

• Take full advantage of fund flexibility to manage downside risk

Signature positioning

Cash & gold

• Cautionary holdings; overweight

Government bonds

• Negative real returns; underweight

Investment-grade bonds

• Specific opportunities; market weight

High-yield bonds

• Still finding value; overweight

Equities

• Strong, less economically sensitive, quality;slight underweight

Conclusion

• Policy actions will continue to dominate markets

• Real interest rates will be low or negative for some time

• Financial repression changes the rules for investors

• Canadian investors need to be positioned to take advantage of global trends

• Global yield story has legs

• Signature has the personnel, process, and solutions to gives investors a real advantage in uncertain market

Thank youAll charts and illustrations in this guide are for illustrative purposes only. They are not intended to predict or project investment results.

®CI Investments, the CI Investments design and Signature Global Advisors are registered trademarks of CI Investments Inc. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Unless otherwise indicated and except for returns for periods less than one year, the indicated rates of return are the historical annual compounded total returns including changes in security value. All performance data assume reinvestment of all distributions or dividends and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any securityholder that would have reduced returns. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.