CREDIT SUISSE INVESTMENT FOUNDATION

Transcription

1 CREDIT SUISSE INVESTMENT FOUNDATION CSA Mixta-BVG for Private Investors March 31, 2016

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3 Mixta-BVG Investment groups for Private Investors Product Philosophy Private investors have different risk abilities and, as a result, different requirements regarding the investment of their pension capital. The Credit Suisse Investment Foundation takes account of these needs and offers four different mixed funds: Equity component CSA Mixta-BVG Basic 0 CSA Mixta-BVG Defensiv average 25 CSA Mixta-BVG average 35 CSA Mixta-BVG Maxi average 45 The investor can be assured that the equity component will always adhere to the agreed range; for CSA Mixta-BVG, for example, the equity component is always between 25 and 45. The higher the equity component, the higher the price fluctuations and the higher the performance that can be expected in the long term. Investors who are prepared to accept only a small level of risk but still want a secure and value-maintaining investment with good potential for return have a good alternative in CSA Mixta- BVG Basic. This investment group does not contain any equities and invests in the money market, bonds, real estate and mortgage investment groups. CSA Mixta-BVG Index 45 Through the CSA Mixta-BVG Index 45 investment group, the Credit Suisse Investment Foundation was the first to launch an indexed pension solution for private investors. This mixed fund invests worldwide in fixed and variable-rate securities, equities, and Swiss real estate. The equity component ranges between 40 and 50. In addition to being broadly diversified, the investment group also distinguishes itself with its low administrative costs. CSA Mixta-BVG Index 25 CSA Mixta-BVG Index 35 The success of the CSA Mixta-BVG Index 45 introduced in Autumn 2009 has led the Credit Suisse Investment Foundation to launch two more indexed funds with different equity holdings (25 [CSA Mixta-BVG Index 25] and 35 [CSA Mixta-BVG Index 35] on average) for private individuals with vested benefits (2 nd pillar) or retirement capital (Pillar 3a) on September 29, Time-Tested Advantages of an Indexed Mixed Portfolio No issuing or redemption commissions No safekeeping account fees Publications Comprehensive product information on the CSA subfunds in which the Mixta BVG investment groups invest is available on the internet at on our Investment Services page. Price Information Available from your personal investment advisor or at: Neue Zürcher Zeitung Le Temps Finanz und Wirtschaft Time-Tested Advantages of an Active Mixed Portfolio No spread No issuing or redemption commissions No safekeeping account fees Investment Principle The Mixta-BVG subfunds invest mainly in units of the various CSA investment groups. The assets are structured in accordance Credit Suisse AG s investment strategy for mixed mandates. 3 / 16

4 Mixta-BVG Manager s Report updated quarterly 1. Review Macroeconomics and Markets The beginning of the fi rst quarter of 2016 saw heavy turbulence in the fi nancial markets. Doubts about the sustainability of global economic growth, pressure on European banks, low oil prices, and weak data from China triggered a sharp downtrend in both the equity markets and high-risk bonds. The markets staged a partial recovery in the course of the quarter when the most important central banks intimated that they would continue to keep growth performance under close observation. In the USA, despite solid economic and labor market data, the Federal Reserve decided against continuing the cycle of rate hikes on which it had embarked in December 2015 in the fi rst quarter of The main reason for this decision was that the 2 infl ation target had been missed. The European Central Bank (ECB) expanded its bond purchase program by an additional EUR 20 bn in March to EUR 80 bn a month, and it also pushed its interest rate on deposits further into negative territory. The Japanese and Swiss central banks also relaxed mone- Economic Growth and Switzerland Investments GDP Construction Investment Investments in Equipment Source: Datastream, Credit Suisse / SNB tary policy, though to a substantially lesser extent than the ECB. Equities, bonds, and commodities staged signifi cant recoveries from their lows for the year in the course of the quarter. But there is as yet no sign of any distinct acceleration in global economic growth. The euro zone reported economic growth of 1.6 on an annualized basis in the fourth quarter of 2015 (previous quarter: 1.5). By comparison, GDP in the USA grew at an annualized rate of 1.4 in the fourth quarter of 2015 (previous quarter: +1.0). In Switzerland, industrial output shrank at an annualized rate of 4.5 in the fourth quarter of 2015 (previous quarter: 2.8). The unemployment rate in March 2016 was 3.5, and GDP growth in the fourth quarter of 2015 stood at an annualized +0.4 (previous quarter: +0.8). Forex: USD and EUR On March 17, 2016, in the light of the relaxed monetary policies of the European Central Bank and the US Federal Reserve, the SNB decided to leave the interest rate on sight deposits unchanged at minus It also emphasized that it was prepared to intervene in the foreign exchange market to reduce pressure on the franc. This kept the rise of the Swiss franc in the fi rst quarter of 2016 within bounds (+3.7 vs. the USD, vs. the euro YTD). The SNB adjusted its infl ation forecasts for 2016 from minus 0.5 to minus 0.8. USD and EUR USD EUR Source: Datastream, Credit Suisse / IDC 4 / 16

5 Fixed-Rate Bonds: Yields from Ten-Year Government Bonds 2016 did not begin well for fi xed-income bonds, especially in the energy sector and the high-yield segment, but corporate bonds are back where they were at the start of the year. The rate cut by the European Central Bank (ECB) on March 10, 2016, and the announcement by the US Federal Reserve on March 16, 2016, that there would probably not be a rate hike until the second half of the year had a calming effect on the markets. Yields on US government bonds and dollardenominated corporate debt proved especially strong, while those on Swiss and German sovereign bonds were signifi cantly weaker. Ten-year US sovereign bonds yielded just under 1.8 at the end of the quarter, as against minus 0.3 for their Swiss counterparts. Yields on 10-Year Government Bonds USA EMU Switzerland Japan Source: Datastream, Credit Suisse / IDC Equities: SMI, Nikkei, S&P 500, and Euro Stoxx 50 in Local Currencies After a bumpy start to the fi rst quarter of 2016, most equity markets in the industrialized countries staged a recovery from mid-february. Three months into the year, equities are posting positive returns: +1.6 in the USA (MSCI US), +3.4 in Canada (MSCI Canada), +1.9 in the emerging markets (MSCI EM). Japanese and Australian equities ended the fi rst quarter of 2016 in negative territory, with falls of 15.5 (MSCI Japan) and 5.2 respectively. The SMI (down 12.3) was one of the biggest losers in the period compared with other industrialized nations. This negative return was due to its being relatively overweight in the globally negative sectors (MSCI Healthcare 7.4, MSCI World Financials 8.5). SMI, Nikkei, S&P 500, and Euro Stoxx 50 in Local Currencies End 2003 = SMI Nikkei S&P 500 Euro Stoxx 50 Source: Datastream, Credit Suisse / IDC 5 / 16

6 2. Performance of Actively Managed Mixed Assets* Mixta-BVG investment groups (excluding CSA Mixta-BVG Basic) fell by between 0.4 and 2.1 in the first quarter of Very high-quality fixed-income bonds and real estate investments rose, while Swiss and foreign equities made negative contributions. YTD performance overview Net Performance to March 31, 2016 CSA CSA Mixta-BVG Basic 0,8 CSA Mixta-BVG Defensiv 0,4 CSA Mixta-BVG 1,2 CSA Mixta-BVG Maxi 2,1 Tactical allocation We maintained a neutral equity quota in the first quarter of 2016, with a slightly shorter duration for fixed-income investments. We are overweight in Swiss real estate at the expense of Swiss bonds. Current performance of CSA Mixta- BVG Basic The CSA Mixta-BVG Basic investment group put on 0.8 in the first quarter of 2016, thanks to the positive contribution from real estate and the positive return on bonds due to falling interest rates. Strategic allocation of CSA Mixta- BVG Basic We remained overweight in Swiss real estate as compared with fixed-income bonds in the first quarter of Our weighting in prime Swiss mortgages is approximately neutral. * Historical performance indications and financial market scenarios are no guarantee for current or future performance. 3. Market Outlook Though January s losses have largely been made good, we do not expect the second quarter of 2016 to bring any signifi cant recovery in global markets. Question marks about the sustainability of Chinese growth could depress investor sentiment in the course of the year, prompting the Chinese authorities to adopt more relaxed fi scal and monetary policies. No spectacular growth spurts are thought probable in the other major economies either. In Europe, the markets will remain preoccupied in the second quarter by the British referendum on leaving the European Union. The ECB recently stressed that negative interest rates cannot be seen as a panacea for all ills, indicating that the scope for further rate cuts is limited. In the USA, it remains to be seen whether the fi rst quarter s solid economic and labor market data will be confi rmed. Although the US Federal Reserve continues to insist that it is pursuing a policy of gradually tightening monetary policy, how broadly and how quickly it will be able to do so must be regarded as questionable. Increased volatility in global markets could ultimately prevent it from achieving its current target of increasing key rates by 0.5. The commodity markets will show how sustainable the latest recoveries in share prices are. Although the supply of crude oil is beginning to adapt to slack demand, it will probably be some time before physical surpluses are eliminated and there can be no sustainable price recovery until they are. Demand is expected to increase in the second half of 2016, but the short-term risk remains high. We think the US dollar will remain weak against the euro in the short term, though we do not believe the euro exchange rate will exceed USD 1.15 in the medium term. The scope for further falls in US yields looks limited, and under our basic scenario euro interest rates will likely stay low. Because of the increased risk that the United Kingdom will leave the EU, there is a latent demand for safe investments. This could put the Swiss franc under renewed upward pressure. Whether intervention by the SNB in the foreign exchange market will be suffi - cient to stop it rising must be regarded as doubtful. Valuations in the emerging markets are attractive, but the risk is still high. Weak fundamental data and political imponderables (especially in Brazil) are likely to further depress sentiment, limiting the upside potential in the short to medium term. 6 / 16

7 March 31, 2016 CSA Mixta-BVG Basic Investment policy The investment objective of the investment group is to achieve revenues in Swiss francs that are appropriate to the risk structure. For this purpose the investment group invests via collective investments in fixed income and variable money market investments, bonds and debt obligations as well as in Swiss mortgages and real estate. The share of real estate and mortgages amounts to at least 45 of the investment group`s assets. Foreign currency investments are hedged as broadly as possible against the Swiss franc. Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Basic Yearly or year-to-date performance respectively (CSA) Source: Lipper, a Thomson Reuters company The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 1.14 Investment manager Christoph Christen, Roger Düggelin Investment manager since , Investment manager location Zurich, Zurich Currency Close of financial year 30. June Inception date All-In fee in 1.10 Total expense ratio TER KGAST (as of ) in p.a. 2) Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Basic Valor no ISIN CH Bloomberg ticker CSABVGB SW Reuters X.CHE TNA of the share class (in mln) Issue price 1' Redemption price 1' TNA value of the investment group (in mln) ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Net performance in 1) 1 month 3 months YTD 1 year 3 years 5 years 10 years CSA Benchmark Benchmark Allocation in SBI Domestic AAA-BBB (TR) SBI Domestic AAA-A 1-3Y (TR) KGAST Immo-Index (Schweiz) (TR) CGBI 3M Euro Dep Asset Types in Tactical Allocation (change vs previous) Fixed Income changes Others Bonds +1.7 Real Estate Switzerland-1, Hypotheken-0.7 Nominal values CSA Benchmark Compared with benchmark Cash/Cash Equivalents Mortgages Switzerland Bonds Bonds foreign countries Foreign-currency indexed bonds hedged in Inflation-indexed bonds Total nominal value Tangible assets CSA Benchmark Compared with benchmark Real Estate Switzerland Total tangible assets Duration and Yield Modified duration in years 4.30 Statistical figures 1 year 5 years 10 years Annualized volatility in Information ratio Tracking Error (Ex post) Maximum drawdown in Sharpe ratio Beta Alpha Recovery period (in months) ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 7 / 116 / 2

8 March 31, 2016 CSA Mixta-BVG Defensiv Investment policy This investment group's objective is to generate an appropriate return in Swiss francs by taking advantage of the possibilities for international diversification. It invests worldwide in fixed and variable-rate securities, equities, and indirect real estate investments. Equity investments comprise between 15 and 35 of the net assets. The unhedged portion of investments with foreign currency exposure may not exceed 30 of the net assets. The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 1.18 Investment manager Christoph Christen, Roger Düggelin Investment manager since , Investment manager location Zurich, Zurich Currency Close of financial year 30. June Inception date All-In fee in 1.15 Total expense ratio TER KGAST (as of ) in p.a. 2) Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Defensiv Valor no ISIN CH Bloomberg ticker CSABVGD SW Reuters X.CHE Issue price 1' Redemption price 1' TNA value of the investment group (in mln) ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 5 years 10 years Annualized volatility in Information ratio Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Alpha Recovery period (in months) Duration and Yield Modified duration in years 5.66 Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Defensiv Source: Lipper, a Thomson Reuters company Net performance in 1) Yearly or year-to-date performance respectively (CSA) 1 month 3 months YTD 1 year 3 years 5 years 10 years CSA Benchmark Benchmark Allocation in Swiss Bond Index Domestic AAA-BBB SPI (RI) MSCI World ex CH (NR) CGBI 3 Mth Euro Dep 9.00 KGAST Immo Schweiz Index 5.00 JPM WBGI traded 4.00 CB offene deutsche Immofonds 3.00 Asset Types in -0.4 Tactical Allocation (change vs previous) Money Market changes Equities CH+0.5, EU+0.5, USA-0.5, CAN-0.5, JAP-0.5, PAC-0.5 Nominal values CSA Benchmark Compared with benchmark Cash/Cash Equivalents Mortgages Switzerland Bonds Bonds foreign countries Bonds foreign countries FX Inflation-indexed bonds Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Real Estate foreign countries Total tangible assets Top Holdings Position as of assets CSA Fund Selection Eq CH 7.74 CSA Real Estate CH 7.56 CSA Obl Mid Yield 5.01 CSA Fund Selection Eq USA 4.48 CSA Money Market 4.23 CSA Hypotheken CH 4.11 CSA Eq. Switzerland 3.67 CS RE Fd Intl 3.09 CS 1a Immo PK 2.80 CSA International Bonds 2.22 Total ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 8 / 16 1 / 2

9 March 31, 2016 CSA Mixta-BVG Investment policy This investment group's objective is to generate an appropriate return in Swiss francs by taking advantage of the possibilities for international diversification. It invests worldwide in fixed and variable-rate securities, equities, and indirect real estate investments. Equity investments comprise between 25 and 45 of the net assets. The unhedged portion of investments with foreign currency exposure may not exceed 30 of the net assets. The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 1.36 Investment manager Christoph Christen, Roger Düggelin Investment manager since , Investment manager location Zurich, Zurich Currency Close of financial year 30. June Inception date All-In fee in 1.30 Total expense ratio TER KGAST (as of ) in p.a. 2) Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Valor no ISIN CH Bloomberg ticker CSAMBVG SW Reuters X.CHE TNA of the share class (in mln) 1' Issue price 1' Redemption price 1' TNA value of the investment group (in mln) 1' ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 5 years 10 years Annualized volatility in Information ratio Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Alpha Recovery period (in months) Duration and Yield Modified duration in years 6.30 Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Yearly or year-to-date performance respectively (CSA) Source: Lipper, a Thomson Reuters company Net performance in 1) 1 month 3 months YTD 1 year 3 years 5 years 10 years CSA Benchmark Benchmark Allocation in Swiss Bond Index Domestic AAA-BBB SPI (RI) MSCI World ex CH (NR) JPM WGBI traded 9.00 CGBI 3 Mth Euro Dep 5.00 KGAST Immo Schweiz Index 4.00 CB offene deutsche Immofonds 2.00 Asset Types in Tactical Allocation (change vs previous) Money Market changes Equities CH+0.5, EU+0.5, US-0.5, CAN-0.5, JAP-0.5, PAC-0.5 Nominal values CSA Benchmark Compared with benchmark Cash/Cash Equivalents Mortgages Switzerland Bonds Bonds foreign countries Bonds foreign countries FX Inflation-indexed bonds Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Real Estate foreign countries Total tangible assets Top Holdings Position as of assets CSA Fund Selection Eq CH 9.27 CSA Eq. Switzerland 7.92 CSA Real Estate CH 6.78 CSA Fund Selection Eq USA 5.58 CSA Obl Mid Yield 5.42 CSA International Bonds 4.66 CS RE Fd Intl 3.28 CSA Hypotheken CH 3.08 Credit Suisse 2.02 CS 1a Immo PK 1.81 Total ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 9 / 116 / 2

10 March 31, 2016 CSA Mixta-BVG Maxi Investment policy This investment group`s objective is to generate an appropriate return in Swiss francs by taking advantage of the possibilities for international diversification. It invests worldwide in fixed and variable-rate securities, equities, and indirect real estate investments. Equity investments comprise between 30 and 50 of the net assets. The unhedged portion of investments with foreign currency exposure may not exceed 30 of the net assets. The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 1.47 Investment manager Christoph Christen, Roger Düggelin Investment manager since , Investment manager location Zurich, Zurich Currency Close of financial year 30. June Inception date All-In fee in 1.40 Total expense ratio TER KGAST (as of ) in p.a. 2) Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Maxi Valor no ISIN CH Bloomberg ticker CSABVGM SW Reuters X.CHE Issue price 1' Redemption price 1' TNA value of the investment group (in mln) 1' ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 5 years 10 years Annualized volatility in Information ratio Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Alpha Recovery period (in months) Duration and Yield Modified duration in years 6.00 Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Maxi Yearly or year-to-date performance respectively (CSA) Source: Lipper, a Thomson Reuters company Net performance in 1) month 3 months YTD 1 year 3 years 5 years 10 years CSA Benchmark Benchmark Allocation in Swiss Bond Index Domestic AAA-BBB SPI (RI) MSCI World ex CH (NR) CGBI 3 Mth Euro Dep 5.00 JPM WGBI traded 5.00 KGAST Immo Schweiz Index 3.00 CB offene deutsche Immofonds 1.00 Asset Types in Tactical Allocation (change vs previous) Money Market changes Equities +1 CH+0.5, EU+0.5, US-0.5, CAN-0.5, JAP-0.5, PAC-0.5 Nominal values CSA Benchmark Compared with benchmark Cash/Cash Equivalents Mortgages Switzerland Bonds Bonds foreign countries Bonds foreign countries FX Inflation-indexed bonds Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Real Estate foreign countries Total tangible assets Top Holdings Position Coupon as of assets CSA Eq. Switzerland CSA Fund Selection Eq CH CSA Real Estate CH CSA Fund Selection Eq USA CSA Obl Mid Yield CSA Hypotheken CH CSA International Bonds CS RE Fd Intl Credit Suisse CS 1a Immo PK Total ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 10 / 16 1 / 2

11 March 31, 2016 CSA Mixta-BVG Index 25 Investment policy The CSA Mixta-BVG Index 25 investment group makes indirect investments globally in fixed- and variable-rate securities (some of which are inflation-protected) via indexed funds, as well as investing in equities and Swiss real estate. It invests in six different asset classes in line with the benchmark. Equity investments comprise between 20 and 30. At least 82 of its foreign currency exposure is hedged. In addition to being broadly diversified with investments in more than 3,500 securities across a range of asset classes the investment group is characterized by low administration costs (e.g. research costs and transaction fees). The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 0.90 Investment manager Stephan Elmenhorst Investment manager since Investment manager location Zurich Currency Close of financial year 30. June Inception date All-In fee in 0.78 Total expense ratio TER KGAST (as of ) in p.a. 2) Issue fee (remains in fund) in 0.34 Redemption fee (remains in fund) in 0.04 Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Index 25 Valor no ISIN CH Bloomberg ticker CSABI25 SW Reuters X.CHE Issue price 1' Redemption price 1' TNA value of the investment group (in mln) ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 3 years 5 years Annualized volatility in Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Recovery period (in months) Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Index 25 Source: Lipper, a Thomson Reuters company Net performance in * 1) 8.9 Yearly or year-to-date performance respectively (CSA) month 3 months YTD 1 year 3 years 5 years Since inception CSA Benchmark *The portfolio manager aims to achieve a target return of the benchmark performance minus costs for the management Benchmark Allocation in SBI AAA-BBB (TR) Barclays World Govt Inflation-linked ex Japan ex Italy (TR) hedged MSCI AC World ex CH IMI (NR) SPI (RI) CGBI World ex CH (TR) hedged SXI Real Estate Funds (RI) 5.00 Asset Types in Top Holdings Position Coupon Maturity as of assets Nestlé 1.97 Novartis 1.51 Roche 1.43 UBS Swiss Mixed 0.94 Sima Swiss Government Swiss Government Swiss Government Swiss Government Swiss Government Swiss Government Total 9.51 Nominal values CSA Benchmark Compared with benchmark Bonds Foreign-currency indexed bonds hedged in Inflation-indexed bonds hedged in Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Total tangible assets ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 11 / 116 / 2

12 March 31, 2016 CSA Mixta-BVG Index 35 Investment policy The CSA Mixta-BVG Index 35 investment group makes indirect investments globally in fixed- and variable-rate securities (some of which are inflation-protected) via indexed funds, as well as investing in equities and Swiss real estate. It invests in six different asset classes in line with the benchmark. Equity investments comprise between 30 and 40. At least 76 of its foreign currency exposure is hedged. In addition to being broadly diversified with investments in more than 3,500 securities across a range of asset classes the investment group is characterized by low administration costs (e.g. research costs and transaction fees). The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 0.90 Investment manager Stephan Elmenhorst Investment manager since Investment manager location Zurich Currency Close of financial year 30. June Inception date All-In fee in 0.78 Total expense ratio TER KGAST (as of ) in p.a. 2) Issue fee (remains in fund) in 0.28 Redemption fee (remains in fund) in 0.04 Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Index 35 Valor no ISIN CH Bloomberg ticker CSABI35 SW Reuters X.CHE Issue price 1' Redemption price 1' TNA value of the investment group (in mln) ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 3 years 5 years Annualized volatility in Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Recovery period (in months) Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Index 35 Source: Lipper, a Thomson Reuters company Net performance in * 1) 9.8 Yearly or year-to-date performance respectively (CSA) month 3 months YTD 1 year 3 years 5 years Since inception CSA Benchmark *The portfolio manager aims to achieve a target return of the benchmark performance minus costs for the management Benchmark Allocation in SBI AAA-BBB (TR) MSCI AC World ex CH IMI (NR) Barclays World Govt Inflation-linked ex Japan ex Italy (TR) hedged SPI (RI) CGBI World ex CH (TR) hedged SXI Real Estate Funds (RI) 5.00 Asset Types in Top Holdings Position Coupon Maturity as of assets Nestlé 2.74 Novartis 2.10 Roche 1.99 UBS Swiss Mixed 0.94 Sima UBS Group AG 0.67 Swiss Government Swiss Government ABB 0.46 Syngenta AG 0.44 Swiss Government Total Nominal values CSA Benchmark Compared with benchmark Bonds Foreign-currency indexed bonds hedged in Inflation-indexed bonds hedged in Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Total tangible assets ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 12 / 16 1 / 2

13 March 31, 2016 CSA Mixta-BVG Index 45 Investment policy The CSA Mixta-BVG Index 45 investment group makes indirect investments globally in fixed- and variable-rate securities (some of which are inflation-protected) via indexed funds, as well as investing in equities and Swiss real estate. It invests in six different asset classes in line with the benchmark. Equity investments comprise between 40 and 50. At least 70 of its foreign currency exposure is hedged. In addition to being broadly diversified with investments in more than 3,500 securities across a range of asset classes the investment group is characterized by low administration costs (e.g. research costs and transaction fees). The investment group meets the investment regulations under the Ordinance on Occupational Retirement, Survivors` and Disability Pension Plans (BVV 2) and the Ordinance on Investment Foundations (OFP) insofar as these are applicable. Key Figures 0.90 Investment manager Stephan Elmenhorst Investment manager since Investment manager location Zurich Currency Close of financial year 30. June Inception date All-In fee in 0.78 Total expense ratio TER KGAST (as of ) in p.a. 2) Issue fee (remains in fund) in 0.22 Redemption fee (remains in fund) in 0.05 Subscription / Redemption Daily Benchmark (BM) CB CSA Mixta-BVG Index 45 Valor no ISIN CH Bloomberg ticker CSAMI45 SW Reuters X.CHE TNA of the share class (in mln) Issue price 1' Redemption price 1' TNA value of the investment group (in mln) ) Total expense ratio TER KGAST: This is the total expense ratio (TER KGAST) for the most recently completed fiscal year; it provides no guarantee of future level. Statistical figures 1 year 3 years 5 years Annualized volatility in Tracking Error (Ex post) Tracking Error (Ex ante) Maximum drawdown in Sharpe ratio Beta Recovery period (in months) Net performance in (rebased to 100) and yearly performance 1) CSA Mixta-BVG Index 45 Source: Lipper, a Thomson Reuters company Net performance in * 1) 10.5 Yearly or year-to-date performance respectively (CSA) month 3 months YTD 1 year 3 years 5 years Since inception CSA Benchmark *The portfolio manager aims to achieve a target return of the benchmark performance minus costs for the management Benchmark Allocation in MSCI AC World ex CH IMI (NR) SBI AAA-BBB (TR) SPI (RI) Barclays World Govt Inflation-linked ex Japan ex Italy (TR) hedged CGBI World ex CH (TR) hedged SXI Real Estate Funds (RI) 5.00 Asset Types in Top Holdings Position Coupon Maturity as of assets Nestlé 3.52 Novartis 2.70 Roche 2.56 UBS Swiss Mixed 0.94 Sima UBS Group AG 0.86 ABB 0.59 Syngenta AG 0.57 Zurich Insurance 0.52 Compagnie 0.51 Financiere Swiss Re 0.46 Total Nominal values CSA Benchmark Compared with benchmark Bonds Foreign-currency indexed bonds hedged in Inflation-indexed bonds hedged in Total nominal value Tangible assets CSA Benchmark Compared with benchmark Equities Switzerland Equities Europe Equities USA Equities Canada Equities Japan Equities Pacific ex Japan Equities Emerging Markets Real Estate Switzerland Total tangible assets ) Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. The disclaimer mentioned at the end of this document also applies to this page. 13 / 116 / 2

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16 This document was produced by Credit Suisse AG and/or its affiliates (hereafter CS ) with the greatest of care and to the best of its knowledge and belief. However, CS provides no guarantee with regard to its content and completeness and does not accept any liability for losses which might arise from making use of this information. The opinions expressed in this document are those of CS at the time of writing and are subject to change at any time without notice. If nothing is indicated to the contrary, all figures are unaudited. This document is provided for information purposes only and is for the exclusive use of the recipient. It does not constitute an offer or a recommendation to buy or sell financial instruments or banking services and does not release the recipient from exercising his/her own judgment. The recipient is in particular recommended to check that the information provided is in line with his/her own circumstances with regard to any legal, regulatory, tax or other consequences, if necessary with the help of a professional advisor. This document may not be reproduced either in part or in full without the written permission of CS. It is expressly not intended for persons who, due to their nationality or place of residence, are not permitted access to such information under local law. Neither this document nor any copy thereof may be sent, taken into or distributed in the United States or to any U. S. person (within the meaning of Regulation S under the US Securities Act of 1933, as amended). Every investment involves risk, especially with regard to fluctuations in value and return. Investments in foreign currencies involve the additional risk that the foreign currency might lose value against the investor s reference currency. Historical performance indications and financial market scenarios are no guarantee for current or future performance. Performance indications do not consider commissions levied at subscription and/or redemption. Furthermore, no guarantee can be given that the performance of the benchmark will be reached or outperformed. Credit Suisse Investment Foundation, Zurich, is the issuer and manager of CSA products. Credit Suisse AG, Zurich, is the custodian bank. The articles of incorporation, regulations and investment guidelines, as well as the most up-to-date annual report and fact sheets, may be obtained free of charge from the Credit Suisse Investment Foundation. Only pension funds domiciled in Switzerland that are not subject to tax are permitted as direct investors. Copyright 2014 Credit Suisse Group AG and/or its affiliates. All rights reserved. CREDIT SUISSE INVESTMENT FOUNDATION P. O. Box 800 CH-8070 Zurich Switzerland