Sun Life Assurance Company of Canada

Transcription

1 SUN GIF SOLUTIONS MAY 2016 Life s brighter under the sun

2 What if I change my mind? You can change your mind about your investment in a fund within two business days of the earlier of the date you received confirmation or five business days after it is mailed. You can also change your mind about subsequent transactions you make under the contract within two business days of the earlier of the date you received confirmation or five business days after it is mailed. In this case the right to cancel only applies to the new transaction. You have to tell us in writing by , fax or letter that you want to cancel. The amount returned will be the lesser of the amount you invested or the value of the fund if it has gone down. The amount returned only applies to the specific transaction and will include a refund of any fees you paid. For more information This summary may not contain all the information you need. Please read the information folder and contract and guarantee series supplements. Contact Sun Life Financial or your advisor for additional information. Sun Life Financial 227 King Street South Waterloo, Ontario N2J 4C5 Toll Free: (1-844-SLF-GIFS) Facsimilie: [email protected] Website: sunlifegifs.c Page 2 of

3 Table of contents Fund availability in Investment Series & Estate Series 5 Fund name CI Cambridge Canadian Asset Allocation 7 CI Cambridge Canadian Equity 10 CI Cambridge Global Equity 13 CI Signature Diversified Yield II 16 CI Signature High Income 19 CI Signature Income & Growth 22 Daily Interest 25 Dollar Cost Average Daily Interest 27 Estate Settlement 30 Fidelity Floating Rate High Income 32 Fidelity Income Allocation 35 Fidelity Monthly Income 38 Fidelity NorthStar 41 Fidelity True North 44 Fiera Global Equity 47 Fiera US Equity 50 Franklin World Growth 53 PH&N Short Term Bond and Mortgage 56 RBC Global High Yield Bond 59 RBC North American Value 62 Strategic Income 65 Sun Life BlackRock Canadian Balanced 68 Sun Life BlackRock Canadian Composite Equity 71 Sun Life BlackRock Canadian Equity 74 Sun Life BlackRock Canadian Universe Bond 77 Sun Life Dynamic American Value 80 Sun Life Dynamic Equity Income 83 Sun Life Dynamic Strategic Yield 86 Sun Life Franklin Bissett Canadian Equity 89 Sun Life Granite Balanced 92 Sun Life Granite Balanced Growth 95 Sun Life Granite Conservative 98 Sun Life Granite Enhanced Income 101 Sun Life Granite Growth 104 Sun Life Granite Income 107 Sun Life Granite Moderate 110 Sun Life MFS Canadian Bond 113 Sun Life MFS Canadian Equity Growth 116 Sun Life MFS Canadian Equity Value 119 Sun Life MFS Dividend Income 122 Sun Life MFS Global Growth 125 Sun Life MFS Global Total Return 128 Sun Life MFS Global Value 131 Page 3 of 219

4 Table of contents (continued) Fund name Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark Additional information Information specific to F class funds Information specific to Private Client program O class Ratios & supplementary data management fees Ratios & supplementary data insurance fees Summary of the investment objectives of each fund Page 4 of 219

5 Fund availability in Investment Series & Estate Series Investment Series Eligible for FEL, LL, DSC Private F class Client O class FEL, LL, DSC F class Estate Series Eligible for Private Client O class CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income CI Signature Income & Growth Daily Interest Dollar Cost Average Daily Interest Estate Settlement Fidelity Floating Rate High Income Fidelity Income Allocation Fidelity Monthly Income Fidelity NorthStar Fidelity True North Fiera Global Equity Fiera US Equity Franklin World Growth PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Sun Life MFS Global Total Return Page 5 of 219

6 Fund availability in Investment Series & Estate Series (continued) Investment Series Eligible for FEL, LL, DSC Private F class Client O class FEL, LL, DSC F class Estate Series Eligible for Private Client O class Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark Page 6 of 219

7 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $5,171,126 Total value on: December 31, 2015 CI Cambridge Canadian Asset Allocation Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 84% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Cambridge Canadian Asset Allocation Corporate Class (the "underlying fund"). This fund's objective is to achieve a superior total investment return by investing, directly or indirectly, in a combination of primarily equity and fixed income securities of Canadian companies. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Walgreens Boots Alliance Inc 3.3% 2. Brookfield Infrastructure Partners LP 3.1% 3. U.S. Bancorp 2.6% 4. Anheuser-Busch Inbev SA ADR 2.5% 5. Tourmaline Oil Corp 2.3% 6. Franco-Nevada Corp 2.0% 7. Abertis Infraestructuras SA 1.9% 8. Brookfield Property Partners LP 1.8% 9. CGI Group Inc Class A 1.8% 10. George Weston Limited 1.7% Total percentage of top 10 investments 23.0% Total number of investments 31 Investment mix (December 31, 2015) Asset Mix 12.1% Canadian Equity 20.5% U.S. Equity 11.3% International Equity 21.1% Other 35.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 8 years. In the last 8 years the fund was up in value 7 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 0% 10% 20% % 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on December 1, 2007 now has $1,912. This works out to an annual compound return of 8.3% Page 7 of

8 CI Cambridge Canadian Asset Allocation How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to invest in a diversified portfolio of equity and fixed income securities Want active asset allocation among equity securities, fixed income securities and cash Are investing for the medium term Can tolerate low to medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 8 of

9 CI Cambridge Canadian Asset Allocation 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.80 Estate Series 3.24 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 9 of

10 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,277,839 Total value on: December 31, 2015 CI Cambridge Canadian Equity Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 71% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Cambridge Canadian Equity Corporate Class (the "underlying fund"). This fund s objective is to achieve long-term capital growth by investing, directly or indirectly, primarily in equity securities of Canadian companies. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Walgreens Boots Alliance Inc 5.0% 2. Tourmaline Oil Corp 4.6% 3. Brookfield Infrastructure Partners LP 4.2% 4. U.S. Bancorp 3.6% 5. CGI Group Inc Class A 3.5% 6. Alphabet Inc Class A 3.3% 7. George Weston Limited 3.3% 8. Anheuser-Busch Inbev SA ADR 3.2% 9. Restaurant Brands International Inc 3.1% 10. Franco-Nevada Corp 3.1% Total percentage of top 10 investments 36.9% Total number of investments 37 Investment mix (December 31, 2015) Asset Mix 30.9% Canadian Equity 39.9% U.S. Equity 10.3% International Equity 18.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 8 years. In the last 8 years the fund was up in value 7 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% % 10% 0% 10% 20% % 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on December 1, 2007 now has $2,275. This works out to an annual compound return of 10.7% Page 10 of

11 CI Cambridge Canadian Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want a core Canadian equity fund for your portfolio Are investing for the medium and/or long term Can tolerate medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 11 of

12 CI Cambridge Canadian Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.09 Estate Series 3.39 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 12 of

13 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,678,271 Total value on: December 31, 2015 CI Cambridge Global Equity Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 112% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Cambridge Global Equity Corporate Class (the "underlying fund"). This fund's objective is to achieve long-term capital growth by investing, directly or indirectly, primarily in equity securities of companies located anywhere in the world. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Abertis Infraestructuras SA 4.0% 2. Tourmaline Oil Corp 3.8% 3. Walgreens Boots Alliance Inc 3.7% 4. McKesson Corp 3.6% 5. ACE Ltd 3.4% 6. Alphabet Inc Class A 3.4% 7. Anheuser-Busch Inbev SA ADR 3.2% 8. Bank of America Corporation 2.7% 9. Restaurant Brands International Inc 2.7% 10. Lions Gate Entertainment Corp 2.6% Total percentage of top 10 investments 33.1% Total number of investments 50 Investment mix (December 31, 2015) Asset Mix 12.4% Canadian Equity 47.9% U.S. Equity 23.1% International Equity 16.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 8 years. In the last 8 years the fund was up in value 6 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 0% 10% 20% % 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on December 1, 2007 now has $2,084. This works out to an annual compound return of 9.5% Page 13 of

14 CI Cambridge Global Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want a core foreign equity fund for your portfolio Are investing for the medium and/or long term Can tolerate medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 14 of

15 CI Cambridge Global Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.05 Estate Series 3.62 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 15 of

16 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $2,848,931 Total value on: December 31, 2015 CI Signature Diversified Yield II Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 23% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Signature Diversified Yield II Fund (the "underlying fund"). The fundamental investment objective of Signature Diversified Yield II fund is to generate a high level of income through exposure to a portfolio of fixed income and high-yielding equity securities throughout the world. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Citigroup Inc 2.0% 2. Forest City Enterprises Inc Class A 1.7% 3. Colony Capital Inc 1.6% 4. Singapore Telecommunications Ltd 1.5% 5. VEREIT Inc Class A 1.4% 6. Rouse Properties Inc 1.4% 7. Transurban Group 1.2% 8. Pattern Energy Group Inc Class A 1.2% 9. Sydney Airport 1.1% 10. Weyerhaeuser 1.1% Total percentage of top 10 investments 14.2% Total number of investments 489 Investment mix (December 31, 2015) Asset Mix 3.7% Canadian Equity 7.0% Canadian Fixed Income 20.6% U.S. Equity 28.3% U.S. Fixed Income 16.5% International Equity 10.7% International Fixed Income 12.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% % 10% 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on February 1, 2011 now has $1,629. This works out to an annual compound return of 10.4% Page 16 of

17 CI Signature Diversified Yield II How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to receive income and the potential for modest capital appreciation Are investing for the medium and/or long term Can tolerate low to medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 17 of

18 CI Signature Diversified Yield II 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.65 Estate Series 3.03 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 18 of

19 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $6,240,286 Total value on: December 31, 2015 Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 31% CI Signature High Income Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Signature High Income Fund (the "underlying fund"). This fund's objective is to generate a high level of income and long-term capital growth. It invests primarily in high-yielding equity securities and Canadian corporate bonds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Citigroup Inc 2.3% 2. Singapore Telecommunications Ltd 2.0% 3. Transurban Group 1.8% 4. Algonquin Power & Utilities Corp 1.7% 5. VEREIT Inc Class A 1.7% 6. Brookfield Office Pptys Exchange (Unit) 1.4% 7. Canadian Real Estate Investment Trust 1.3% 8. Pattern Energy Group Inc Class A 1.2% 9. AltaGas Ltd 1.2% 10. AT&T Inc 1.1% Total percentage of top 10 investments 15.7% Total number of investments 495 Investment mix (December 31, 2015) Asset Mix 11.7% Canadian Equity 9.3% Canadian Fixed Income 15.3% U.S. Equity 29.2% U.S. Fixed Income 12.1% International Equity 10.1% International Fixed Income 12.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 9 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 8.4 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on December 1, 1996 now has $7,092. This works out to an annual compound return of 10.8% Page 19 of

20 CI Signature High Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to receive income Are investing for the medium term Can tolerate low to medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 20 of

21 CI Signature High Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.67 Estate Series 3.06 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 21 of

22 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $4,210,221 Total value on: December 31, 2015 CI Signature Income & Growth Underlying fund manager: CI Investments Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 34% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Signature Income & Growth Fund (the "underlying fund"). The fund seeks to provide a steady flow of current income while preserving capital by investing in a diversified portfolio of securities composed mainly of equity, equity-related and fixed income securities of Canadian issuers. The fund may also invest in foreign securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Bank of Nova Scotia 3.5% 2. Toronto-Dominion Bank 3.4% 3. Royal Bank Of Canada 3.3% 4. Alimentation Couche-Tard Inc 1.2% 5. Citigroup Inc 1.2% 6. AstraZeneca PLC 1.1% 7. Canadian National Railway Co 1.1% 8. Singapore Telecommunications Ltd 1.0% 9. Bristol-Myers Squibb 0.9% 10. Power Corporation Of Canada 0.9% Total percentage of top 10 investments 17.6% Total number of investments 737 Investment mix (December 31, 2015) Asset Mix 25.4% Canadian Equity 22.3% Canadian Fixed Income 16.3% U.S. Equity 10.0% U.S. Fixed Income 14.9% International Equity 4.4% International Fixed Income 6.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 8 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on November 1, 2000 now has $3,857. This works out to an annual compound return of 9.3% Page 22 of

23 CI Signature Income & Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are seeking a regular income Are investing for the medium term Can tolerate low to medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 23 of

24 CI Signature Income & Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.72 Estate Series 3.08 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 24 of

25 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $6,087,213 Total value on: December 31, 2015 Daily Interest Fund manager: Sun Life Assurance Company of Canada Fund sub-advisor: N/A Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The investment objective of the fund is to provide investors with interest income. The charts below give you a snapshot of the Fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 100.0% Total percentage of top 10 investments 100.0% Total number of investments 1 Investment mix (December 31, 2015) Asset Mix 100.0% Cash and Cash Equivalents How has the Fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as very low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Page 25 of

26 Who is this fund for? This fund is for investors who: Are conservative and income-oriented Have a shorter investment time horizon Are comfortable with low investment risk Do not invest in this fund if you have a longer term investment horizon, a higher risk tolerance or are seeking capital appreciation from your investment. Daily Interest Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0% of the purchase price of the units you buy. No deferred sales charge (DSC) or low load (LL) sales charge is applicable to premiums deposited to this fund. You may pay a DSC or LL sales charge based on the original purchase date of units fund switched into or out of this fund. For more information on the original purchase date, refer to the How it works section. No front end load (FEL) sales charge can be charged on this fund. You and your advisor negotiate the fee when you fund switch from this fund to units of other funds available under your contract. No sales charge applies to premiums deposited to this fund. A fund switch from units of this fund to units of another fund with a DSC or LL sales charge will result in the applicable DSC or LL schedule applying to those units acquired, and the date of the fund switch will be treated as the date of purchase of the units. If units of this fund are acquired as a result of a fund switch from units of another fund with a DSC or LL sales charge option, the DSC or LL schedule which previously applied to the units switched will continue to apply to the units of this fund acquired. That schedule will continue to apply if those units are switched to another fund in the future. buy units of this fund. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. Guarantee series MER (%) Investment Series 0.89 Estate Series 0.90 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.2% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 26 of

27 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $8,093,810 Total value on: December 31, 2015 Dollar Cost Average Daily Interest Fund manager: Sun Life Assurance Company of Canada Fund sub-advisor: N/A Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $5, $ , Estate Series $5, $ , What does the fund invest in? The investment objective of the fund is to provide investors with interest income. The charts below give you a snapshot of the Fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 100.0% Total percentage of top 10 investments 100.0% Total number of investments 1 Investment mix (December 31, 2015) Asset Mix 100.0% Cash and Cash Equivalents How has the Fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as very low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Page 27 of

28 Who is this fund for? This fund is for investors who: Are conservative and income-oriented Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Dollar Cost Average Daily Interest Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. Deferred sales charge (DSC) Low load (LL) sales charge Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Page 28 of

29 Dollar Cost Average Daily Interest 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. Guarantee series MER (%) Investment Series 0.91 Estate Series 0.97 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 29 of

30 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $3,342,568 Total value on: December 31, 2015 Estate Settlement Fund manager: Sun Life Assurance Company of Canada Fund sub-advisor: N/A Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series N/A 0.42 $ Estate Series N/A 0.92 $ Income Series N/A 0.91 $ What does the fund invest in? The investment objective of the fund is to provide investors with interest income. The charts below give you a snapshot of the fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 100.0% Total percentage of top 10 investments 100.0% Total number of investments 1 Investment mix (December 31, 2015) Asset Mix 100.0% Cash and Cash Equivalents How has the fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as very low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Page 30 of

31 Who is this fund for? This fund is for investors who: Are conservative and income-oriented Have a shorter investment time horizon Are comfortable with low investment risk Do not invest in this fund if you have a longer term investment horizon, a higher risk tolerance or are seeking capital appreciation from your investment. Estate Settlement Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0% of the purchase price of the units you buy. No deferred sales charge (DSC) or low load (LL) sales charge is applicable to premiums deposited to this fund. You may pay a DSC or LL sales charge based on the original purchase date of units fund switched into or out of this fund. For more information on the original purchase date, refer to the How it works section. No front end load (FEL) sales charge can be charged on this fund. You and your advisor negotiate the fee when you fund switch from this fund to units of other funds available under your contract. No sales charge applies to premiums deposited to this fund. A fund switch from units of this fund to units of another fund with a DSC or LL sales charge will result in the applicable DSC or LL schedule applying to those units acquired, and the date of the fund switch will be treated as the date of purchase of the units. If units of this fund are acquired as a result of a fund switch from units of another fund with a DSC or LL sales charge option, the DSC or LL schedule which previously applied to the units switched will continue to apply to the units of this fund acquired. That schedule will continue to apply if those units are switched to another fund in the future. buy units of this fund. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. Guarantee series MER (%) Investment Series 0.42 Estate Series 0.92 Income Series 0.91 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.2% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 31 of

32 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $444,672 Total value on: December 31, 2015 Fidelity Floating Rate High Income Underlying fund manager: Fidelity Investments Canada ULC Underlying fund sub-advisor: N/A Portfolio turnover rate: 51% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Fidelity Floating Rate High Income Fund (the "underlying fund"). A high yield offering that aims to provide a steady flow of income. It primarily invests in the floating rate debt of non-investment-grade issuers located in the U.S. or whose debt is denominated in U.S. dollars The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. First Data Term B USD % 2. Caesars Growth Term 1ln 5/ % 3. Jc Penney Re Term B 05/22/ % 4. Dell Term B 04/29/ % 5. Albertsons Term B-4 08/25/ % 6. Laureate Edu Term B 06/16/ % 7. Altice Financing Trm B 6/24/ % 8. Community Health Trm D 1/27/ % 9. Transdigm Term C 2/28/ % 10. Coinmach Term B 11/14/ % Total percentage of top 10 investments 10.3% Total number of investments 267 Investment mix (December 31, 2015) Asset Mix 1.9% Canadian Fixed Income 78.9% U.S. Fixed Income 6.2% International Fixed Income 13.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 2 years. In the last 2 years the fund was up in value 2 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5.7 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on October 16, 2013 now has $1,387. This works out to an annual compound return of 16.0% Page 32 of

33 Fidelity Floating Rate High Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Plan to hold their investment for the long-term Want to gain exposure to floating rate securities Are seeking income from their investment Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 33 of

34 Fidelity Floating Rate High Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.33 Estate Series 2.68 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 34 of

35 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $4,492,696 Total value on: December 31, 2015 Fidelity Income Allocation Underlying fund manager: Fidelity Investments Canada ULC Underlying fund sub-advisor: N/A Portfolio turnover rate: 40% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Fidelity Income Allocation Fund (the "underlying fund"). Fidelity Income Allocation fund offers exposure to multiple fixed income asset classes and income-oriented equities and aims to provide investors with monthly yield and total return potential in a tactical asset allocation fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Govt 1.25% % 2. Canada Hsg Tr No 1 2% % 3. Ontario Prov Cda 2.85% % 4. Ontario Prov Cda 4.2% % 5. Ontario Prov Cda 2.6% % 6. Canada Govt 5.75% % 7. Toronto-Dominion Bank 1.1% 8. Rogers Communications Inc Class B 1.0% 9. Canada Govt 3.5% % 10. Precision Castparts Corp 0.9% Total percentage of top 10 investments 14.7% Total number of investments 2,324 Investment mix (December 31, 2015) Asset Mix 14.8% Canadian Equity 43.0% Canadian Fixed Income 6.8% U.S. Equity 10.6% U.S. Fixed Income 12.0% International Equity 5.7% International Fixed Income 7.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 9 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% % 10% 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on May 25, 2005 now has $2,928. This works out to an annual compound return of 10.7% Page 35 of

36 Fidelity Income Allocation How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Plan to hold their investment for the long-term Want to gain exposure to Canadian and foreign equity and fixed income securities Want the potential for both income and capital gains Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 36 of

37 Fidelity Income Allocation 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.80 Estate Series 3.13 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 37 of

38 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $3,692,251 Total value on: December 31, 2015 Fidelity Monthly Income Underlying fund manager: Fidelity Investments Canada ULC Underlying fund sub-advisor: N/A Portfolio turnover rate: 38% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Fidelity Monthly Income Fund (the "underlying fund"). Fidelity Monthly Income fund offers a unique combination of high yielding equity and fixed-income securities, actively managed to aim to deliver a balance of income and growth. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Precision Castparts Corp 1.7% 2. Toronto-Dominion Bank 1.6% 3. Rogers Communications Inc Class B 1.6% 4. Metro Inc 1.2% 5. Fairfax Financial Holdings Ltd 1.2% 6. Pepco Holdings Inc 1.1% 7. Silver Wheaton Corp 1.1% 8. CGI Group Inc Class A 1.0% 9. Biomed Realty Trust Inc 1.0% 10. Empire Co Ltd Class A 1.0% Total percentage of top 10 investments 12.5% Total number of investments 2,317 Investment mix (December 31, 2015) Asset Mix 23.4% Canadian Equity 31.6% Canadian Fixed Income 15.4% U.S. Fixed Income 15.8% International Equity 7.4% International Fixed Income 8.3% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 8 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% % 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on November 6, 2003 now has $2,692. This works out to an annual compound return of 8.5% Page 38 of

39 Fidelity Monthly Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Plan to hold their investment for the long-term Want to gain exposure to both equity and fixed income securities Want the potential for both income and capital gains Want the convenience of a diversified portfolio in a single fund Can handle the volatility of returns generally associated with equity investments Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 39 of

40 Fidelity Monthly Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.80 Estate Series 3.20 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 40 of

41 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,155,370 Total value on: December 31, 2015 Fidelity NorthStar Underlying fund manager: Fidelity Investments Canada ULC Underlying fund sub-advisor: N/A Portfolio turnover rate: 75% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Fidelity NorthStar Fund (the "underlying fund"). Fidelity NorthStar fund has an open mandate to seek the best ideas wherever they may lie, based on the convictions of veteran managers. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Ottogi Corp 4.7% 2. Anthem Inc 3.9% 3. Seria Co Ltd 2.3% 4. Wal-Mart Stores Inc 2.1% 5. Johnson & Johnson 1.9% 6. Hyundai Mobis Co Ltd 1.2% 7. International Business Machines Corp 1.2% 8. Pepco Holdings Inc 1.1% 9. NN Group NV 1.0% 10. Hon Hai Precision Ind Co Ltd 0.9% Total percentage of top 10 investments 20.3% Total number of investments 553 Investment mix (December 31, 2015) Asset Mix 0.2% Canadian Equity 36.2% U.S. Equity 21.6% International Equity 42.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 7 years, and down in value 3 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on October 31, 2002 now has $4,280. This works out to an annual compound return of 11.7% Page 41 of

42 Fidelity NorthStar How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Plan to hold their investment for the long-term Want to gain global equity exposure Can handle the volatility of returns generally associated with equity investments Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 42 of

43 Fidelity NorthStar 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.23 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 43 of

44 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,953,383 Total value on: December 31, 2015 Fidelity True North Underlying fund manager: Fidelity Investments Canada ULC Underlying fund sub-advisor: N/A Portfolio turnover rate: 29% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Fidelity True North Fund (the "underlying fund"). Fidelity True North fund delivers superior long-term growth potential through its freedom to pursue opportunities throughout the Canadian market. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Toronto-Dominion Bank 7.5% 2. Loblaw Companies Ltd 4.5% 3. Canadian National Railway Co 3.6% 4. Rogers Communications Inc Class B 3.5% 5. Manulife Financial Corp 3.2% 6. CGI Group Inc Class A 3.2% 7. Suncor Energy Inc 2.9% 8. Alimentation Couche-Tard Inc 2.7% 9. Gildan Activewear Inc 2.7% 10. Metro Inc 2.6% Total percentage of top 10 investments 36.4% Total number of investments 96 Investment mix (December 31, 2015) Asset Mix 78.0% Canadian Equity 0.1% Canadian Fixed Income 8.4% U.S. Equity 13.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 8 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 23, 1996 now has $5,263. This works out to an annual compound return of 9.0% Page 44 of

45 Fidelity True North How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Plan to hold their investment for the long-term Want to gain Canadian equity exposure Can handle the volatility of returns generally associated with equity investments Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 45 of

46 Fidelity True North 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.15 Estate Series 3.54 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 46 of

47 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $428,850 Total value on: December 31, 2015 Underlying fund manager: Fiera Capital Corporation Underlying fund sub-advisor: N/A Portfolio turnover rate: 28% Fiera Global Equity Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Fiera Global Equity Fund (the "underlying fund"). The objective of the fund is to achieve over the longer term the highest possible return that is consistent with a fundamental investment philosophy through investment primarily in foreign equity securities and to provide long-term capital appreciation through a portfolio of broadly diversified securities, by region and industry, invested primarily in the U.S. and International markets. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Moody's Corporation 4.6% 2. Becton Dickinson & Co 4.1% 3. Johnson & Johnson 3.6% 4. U.S. Bancorp 3.3% 5. Keyence Corp 3.2% 6. TJX Companies Inc 3.1% 7. InterContinental Hotels Group PLC 3.1% 8. Wells Fargo & Co 3.1% 9. Nestle SA 3.0% 10. MasterCard Inc Class A 2.8% Total percentage of top 10 investments 33.9% Total number of investments 41 Investment mix (December 31, 2015) Asset Mix 53.9% U.S. Equity 45.8% International Equity 0.3% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 6 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on October 1, 2009 now has $2,881. This works out to an annual compound return of 18.4% Page 47 of

48 Fiera Global Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are looking for a core global equity investment Have a medium to long term investment horizon Are comfortable with moderate investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 48 of

49 Fiera Global Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.17 Estate Series 3.68 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 49 of

50 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $39,380 Total value on: December 31, 2015 Underlying fund manager: Fiera Capital Corporation Underlying fund sub-advisor: N/A Portfolio turnover rate: 22% Fiera US Equity Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Fiera US Equity Fund (the "underlying fund"). The objective of the fund is to achieve over the longer term the highest possible return that is consistent with a fundamental investment philosophy through investment primarily in U.S. equity securities. To provide longterm capital appreciation through a portfolio of broadly diversified securities, by industry, invested primarily in the U.S. market. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Moody's Corporation 6.6% 2. Johnson & Johnson 6.0% 3. Wells Fargo & Co 5.0% 4. Becton Dickinson & Co 4.9% 5. U.S. Bancorp 4.4% 6. TJX Companies Inc 4.0% 7. MasterCard Inc Class A 3.7% 8. United Technologies Corp 3.7% 9. Autozone Inc 3.7% 10. 3M Co 3.6% Total percentage of top 10 investments 45.6% Total number of investments 30 Investment mix (December 31, 2015) Asset Mix 98.2% U.S. Equity 1.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 6 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 60% 45% 30% 15% % 15% 30% 45% 60% As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 1, 2009 now has $3,818. This works out to an annual compound return of 21.9% Page 50 of

51 Fiera US Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are looking for a core US equity investment Have a medium to long term investment horizon Are comfortable with moderate investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 51 of

52 Fiera US Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.21 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 52 of

53 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $40,781 Total value on: December 31, 2015 Franklin World Growth Underlying fund manager: Franklin Templeton Investments Corp. Underlying fund sub-advisor: N/A Portfolio turnover rate: 59% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Franklin World Growth Fund (the "underlying fund"). Long-term capital appreciation by investing primarily in equity securities of growth companies with any market size capitalization, which are located throughout the world. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Level 3 Communications Inc 3.7% 2. Infineon Technologies AG 3.5% 3. SGS Ltd 3.4% 4. Lazard Ltd 3.2% 5. KBC Groep NV 3.2% 6. Roche Holding AG Dividend Right Cert. 3.1% 7. Signature Bank 3.1% 8. Verisk Analytics Inc 3.0% 9. Cochlear Ltd 2.9% 10. AthenaHealth Inc 2.8% Total percentage of top 10 investments 31.9% Total number of investments 39 Investment mix (December 31, 2015) Asset Mix 53.4% U.S. Equity 43.7% International Equity 2.9% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on June 24, 2011 now has $1,674. This works out to an annual compound return of 12.1% Page 53 of

54 Franklin World Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seeking a growth fund investing in high-growth potential companies around the world Planning to hold their investment for the medium to long term Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 54 of

55 Franklin World Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.31 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 55 of

56 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,367,612 Total value on: December 31, 2015 PH&N Short Term Bond and Mortgage Underlying fund manager: RBC Global Asset Management Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 200% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Phillips, Hager & North Short Term Bond & Mortgage Fund (the "underlying fund"). To provide relatively high yields and stability of capital by investing primarily in a well-diversified portfolio of short-term fixed income securities issued by Canadian governments and corporations, and first mortgages on property located in Canada. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Govt 0.75% % 2. Ontario Prov Cda 2.1% % 3. Ontario Prov Cda 4.2% % 4. Canada Hsg Tr No 1 1.7% % 5. Canada Hsg Tr No % % 6. Ontario Prov Cda 4.4% % 7. Canada Hsg Tr No % % 8. Genesis Trust II 2.295% % 9. Bank of Montreal 2.960% % 10. Canada Govt 1.25% % Total percentage of top 10 investments 34.4% Total number of investments 423 Investment mix (December 31, 2015) Asset Mix 98.7% Canadian Fixed Income 1.3% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 7 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 6.9 5% 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on November 30, 2008 now has $1,224. This works out to an annual compound return of 2.9% Page 56 of

57 PH&N Short Term Bond and Mortgage How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are seeking higher levels of current interest income compared to money market fund investments Are planning to hold the investment for the short-to-medium term Do not invest in this fund if you have a longer term investment horizon, a higher risk tolerance or are seeking capital appreciation from your investment. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 57 of

58 PH&N Short Term Bond and Mortgage 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.18 Estate Series 2.33 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 58 of

59 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $312,033 Total value on: December 31, 2015 RBC Global High Yield Bond Underlying fund manager: RBC Global Asset Management Inc. Underlying fund sub-advisor: RBC Global Asset Management (UK) Limited Portfolio turnover rate: 42% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the RBC Global High Yield Bond Fund (the "underlying fund"). The fund seeks to provide above average total returns and achieve a yield advantage. To provide total returns comprised of interest income and capital growth. The fund invests primarily in higher yielding corporate or government debt securities from anywhere around the world. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. BlueBay Emerging Markets Corp Bond Fund 4.7% 2. Cash & Cash Equivalents 2.8% 3. Croatia Rep 6.75% % 4. Hungary Rep 6.25% % 5. Philippines Rep 7.75% % 6. US Treasury Note 2.5% % 7. Panama Rep 7.125% % 8. Government of Poland USD 5.125% % 9. Corp Nacl Del Cobre Chile 3.875% % 10. Russia Fedn Ministry Fin 4.875% % Total percentage of top 10 investments 15.7% Total number of investments 286 Investment mix (December 31, 2015) Asset Mix 2.7% Canadian Fixed Income 48.5% U.S. Fixed Income 46.0% International Fixed Income 2.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 7 years, and down in value 3 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 6.2 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on July 17, 2003 now has $2,052. This works out to an annual compound return of 5.9% Page 59 of

60 RBC Global High Yield Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want the potential for above average fixed-income returns by investing in lower-rated debt securities Want exposure to higher yield debt securities to diversify the fixedincome portion of their overall portfolio Are planning to hold their investment for the medium-to-long term Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 60 of

61 RBC Global High Yield Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.22 Estate Series 2.37 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 61 of

62 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $289,005 Total value on: December 31, 2015 RBC North American Value Underlying fund manager: RBC Global Asset Management Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 71% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the RBC North American Value Fund (the "underlying fund"). To provide long-term capital growth by investing primarily in equity securities of Canadian and/or U.S. companies priced below their true value and offering long-term opportunities for growth. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash & Cash Equivalents 6.7% 2. Toronto-Dominion Bank 3.5% 3. Royal Bank Of Canada 3.3% 4. Brookfield Asset Management Inc Class A 2.6% 5. Bank of Nova Scotia 2.5% 6. Suncor Energy Inc 2.2% 7. Alphabet Inc Class C Capital Stock 1.7% 8. BCE Inc 1.6% 9. Apple Inc 1.5% 10. Microsoft Corp 1.5% Total percentage of top 10 investments 27.1% Total number of investments 120 Investment mix (December 31, 2015) Asset Mix 49.0% Canadian Equity 44.3% U.S. Equity 6.7% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 7 years, and down in value 3 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 20, 1998 now has $3,492. This works out to an annual compound return of 7.3% Page 62 of

63 RBC North American Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want potential for long-term growth from their investment Are looking for a value component for the equity portion of their portfolio Are planning to hold their investment for the long term Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 63 of

64 RBC North American Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.84 Estate Series 3.50 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 64 of

65 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $27,626,226 Total value on: December 31, 2015 Strategic Income Fund manager: Sun Life Assurance Company of Canada Fund sub-advisor: N/A Portfolio turnover rate: 0% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Income Series $25, $ ,791, What does the fund invest in? This fund invests in underlying funds or directly in securities. The fund or underlying funds are primarily invested in government and corporate debt securities, although the fund or underlying funds may also hold equities and alternative investment class assets. This fund seeks to preserve capital and provide sustainable income. The charts below give you a snapshot of the fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. MFS Canadian Fixed Income Fund 50.1% Canada Hsg Tr No 1 1.7% Canada Govt 0.25% Ontario Prov Cda 4.7% Canada Hsg Tr No % Canada Hsg Tr No % Ontario Prov Cda 3.45% Quebec Prov Cda 5.0% Ontario Prov Cda 3.5% New Brunswick Prov Cda 3.65% Quebec Prov Cda 4.5% MFS Canadian Long Term Fixed Income 35.2% 3. RBC Global High Yield Bond Sr O 14.7% Total percentage of top 10 investments 100.0% Total number of investments 3 Investment mix (December 31, 2015) Asset Mix 85.7% Canadian Fixed Income 7.1% U.S. Fixed Income 6.8% International Fixed Income 0.4% Cash and Cash Equivalents How has the fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. Page 65 of

66 Strategic Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of income and potential for capital gains Are medium to long-term investors Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 66 of

67 Strategic Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Income Series 2.78 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 365 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 67 of

68 Sun Life BlackRock Canadian Balanced Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,517,014 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: BlackRock Asset Management Canada Limited; BlackRock Institutional Trust Company, N.A. Portfolio turnover rate: 8% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life BlackRock Canadian Balanced Fund (the "underlying fund"). The fund s investment objective is to seek a combination of income and growth by investing primarily in Canadian equity securities and Canadian debt instruments directly or indirectly through mutual funds and exchange-traded funds that invest in such securities. The fund may invest up to 45% in foreign securities directly or indirectly through mutual funds that invest in such securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life BlackRock Canadian Composite Equity Fund, 39.6% Series I 2. Sun Life BlackRock Canadian Universe Bond Fund, Series 23.9% I 3. ishares Core U.S. Aggregate Bond ETF 7.3% 4. ishares Global Tech ETF 5.5% 5. ishares International Treasury Bond ETF 4.8% 6. ishares Global Healthcare ETF 4.3% 7. ishares Global Consumer Staples ETF 3.5% 8. ishares Global Consumer Discretionary ETF 3.3% 9. ishares Global Industrials ETF 2.4% 10. ishares iboxx $ High Yield Corporate Bond ETF 2.0% Total percentage of top 10 investments 96.6% Total number of investments 13 Investment mix (December 31, 2015) Asset Mix 39.6% Canadian Equity 23.9% Canadian Fixed Income 20.1% International Equity 16.1% International Fixed Income 0.3% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 3 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0% 2% % 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 14, 2011 now has $1,172. This works out to an annual compound return of 3.4% Page 68 of

69 Sun Life BlackRock Canadian Balanced How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a Canadian focused balanced fund with broad diversification Seek a moderate degree of growth and income Are medium to long-term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 69 of

70 Sun Life BlackRock Canadian Balanced 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.43 Estate Series 2.76 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 70 of

71 Sun Life BlackRock Canadian Composite Equity Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $178,577 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: BlackRock Asset Management Canada Limited; BlackRock Institutional Trust Company, N.A. Portfolio turnover rate: 5% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life BlackRock Canadian Composite Equity Class (the "underlying fund"). The fund s investment objective is to seek longterm capital appreciation through exposure to primarily equity securities included in a broad and recognized Canadian equity market index that includes primarily large and mid-market capitalization companies the securities of which are considered to be the most liquid in Canadian equity markets by investing primarily in units of Sun Life BlackRock Canadian Composite Equity fund or its successor fund (the "underlying trust fund"). The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Royal Bank Of Canada 6.6% 2. Toronto-Dominion Bank 6.0% 3. Bank of Nova Scotia 4.0% 4. Canadian National Railway Co 3.7% 5. Suncor Energy Inc 3.1% 6. Bank of Montreal 3.0% 7. BCE Inc 2.8% 8. Valeant Pharmaceuticals International Inc 2.7% 9. Manulife Financial Corp 2.5% 10. Enbridge Inc 2.4% Total percentage of top 10 investments 36.8% Total number of investments 240 Investment mix (December 31, 2015) Asset Mix 98.2% Canadian Equity 1.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 3 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 0% 5% 10% 15% % As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 14, 2011 now has $1,082. This works out to an annual compound return of 1.7% Page 71 of

72 Sun Life BlackRock Canadian Composite Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to have exposure to a broad and recognized Canadian equity market index Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 72 of

73 Sun Life BlackRock Canadian Composite Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.33 Estate Series 2.84 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 73 of

74 Sun Life BlackRock Canadian Equity Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $256,882 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: BlackRock Asset Management Canada Limited; BlackRock Institutional Trust Company, N.A. Portfolio turnover rate: 3% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life BlackRock Canadian Equity Class (the "underlying fund"). The fund s investment objective is to seek capital appreciation through exposure to primarily Canadian equity securities by investing primarily in units of Sun Life BlackRock Canadian Equity fund or its successor fund (the "underlying trust fund"). The fund may invest up to 35% of the underlying trust fund's assets in foreign securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life BlackRock Canadian Composite Equity Fund, 69.7% Series I 2. ishares Global Tech ETF 8.7% 3. ishares Global Healthcare ETF 7.2% 4. ishares S&P Global Consumer Discretionary Index ETF 5.0% 5. ishares Global Consumer Staples ETF 4.9% 6. ishares S&P Global Industrials Index ETF 3.4% 7. ishares Global Utilities ETF 1.0% 8. Cash & Cash Equivalents 0.1% Total percentage of top 10 investments 100.0% Total number of investments 7 Investment mix (December 31, 2015) Asset Mix 77.5% Canadian Equity 22.3% U.S. Equity 0.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 3 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 0% 5% 10% % 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 14, 2011 now has $1,205. This works out to an annual compound return of 4.0% Page 74 of

75 Sun Life BlackRock Canadian Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a Canadian focused equity fund with broad sector diversification Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 75 of

76 Sun Life BlackRock Canadian Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.62 Estate Series 3.06 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 76 of

77 Sun Life BlackRock Canadian Universe Bond Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $463,949 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: BlackRock Asset Management Canada Limited; BlackRock Institutional Trust Company, N.A. Portfolio turnover rate: 44% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life BlackRock Universe Bond Fund (the "underlying fund"). The fund's investment objective is to provide income by replicating, to the extent possible, the performance, net of fees, of a broad and recognized Canadian bond market index (the "Index"). The fund invests directly in fixed income securities included in the Index and/or may achieve indirect exposure to some or all of the Index by investing in exchange-traded funds, mutual funds or derivatives that are correlated to the performance of the Index. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Govt 4% % 2. Canada Govt 3.75% % 3. Canada Govt 5% % 4. Canada Govt 5.75% % 5. Canada Govt 3.5% % 6. Canada Govt 1.25% % 7. Province Of Ontario 3.15% % 8. Province Of Ontario 3.45% % 9. Ontario Prov Cda 2.6% % 10. Canada Govt 3.5% % Total percentage of top 10 investments 11.2% Total number of investments 1,078 Investment mix (December 31, 2015) Asset Mix 99.1% Canadian Fixed Income 0.9% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 4 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 9.8 7% 5% 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on April 14, 2011 now has $1,265. This works out to an annual compound return of 5.1% Page 77 of

78 Sun Life BlackRock Canadian Universe Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to track the performance of a broad and recognized Canadian bond market index Are medium to long-term investors Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 78 of

79 Sun Life BlackRock Canadian Universe Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 1.90 Estate Series 2.07 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 79 of

80 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $193,815 Total value on: December 31, 2015 Sun Life Dynamic American Value Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: 1832 Asset Management L.P. Portfolio turnover rate: 3% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Sun Life Dynamic American Value Fund (the "underlying fund"). The fund s investment objective is to seek to achieve longterm capital appreciation primarily by investing directly in equity securities of United States based businesses deemed to be undervalued relative to their perceived worth or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Dynamic American Value Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Costco Wholesale Corp 6.2% 2. Raytheon Company 5.8% 3. Home Depot Inc 5.5% 4. MasterCard Inc Class A 5.5% 5. McDonald's Corp 5.5% 6. Alphabet Inc Class A 5.4% 7. Equifax Inc 5.2% 8. Microsoft Corp 5.2% 9. Reynolds American Inc 5.2% 10. First Republic Bank 5.1% Total percentage of top 10 investments 54.6% Total number of investments 23 Investment mix (December 31, 2015) Asset Mix 92.4% U.S. Equity 7.1% International Equity 0.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 1 year, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% % 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 30, 2015 now has $1,107. This works out to an annual compound return of 11.7% Page 80 of

81 Sun Life Dynamic American Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to add exposure to the capital growth potential of the equities of US based businesses Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 81 of

82 Sun Life Dynamic American Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.18 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 82 of

83 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $397,207 Total value on: December 31, 2015 Sun Life Dynamic Equity Income Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: 1832 Asset Management L.P. Portfolio turnover rate: 16% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Dynamic Equity Income Class (the "underlying fund"). The fund s investment objective is to seek to achieve income and long-term capital growth through exposure to primarily equity securities that pay a dividend or distribution by investing primarily in units of Sun Life Dynamic Equity Income fund or its successor fund (the "underlying trust fund"). The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Dynamic Equity Income Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 6.9% 2. Royal Bank Of Canada 4.5% 3. Bank of Nova Scotia 4.3% 4. Verizon Communications Inc 3.3% 5. TransCanada Corp 3.3% 6. McDonald's Corp 3.2% 7. Canadian Imperial Bank of Commerce 2.9% 8. Canadian National Railway Co 2.8% 9. Toronto-Dominion Bank 2.8% 10. TELUS Corp 2.6% Total percentage of top 10 investments 36.6% Total number of investments 50 Investment mix (December 31, 2015) Asset Mix 67.6% Canadian Equity 25.5% U.S. Equity 6.9% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 3 years. In the last 3 years the fund was up in value 3 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) % 7% 5% 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2013 now has $1,208. This works out to an annual compound return of 6.6% Page 83 of

84 Sun Life Dynamic Equity Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek income and capital appreciation primarily through equities that pay a dividend or distribution Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 84 of

85 Sun Life Dynamic Equity Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.84 Estate Series 3.28 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 85 of

86 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,268,304 Total value on: December 31, 2015 Sun Life Dynamic Strategic Yield Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: 1832 Asset Management L.P. Portfolio turnover rate: 116% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Dynamic Strategic Yield Class (the "underlying fund"). The fund s investment objective is to seek to achieve income and long-term capital growth through exposure to primarily a diversified portfolio of fixed income and income-oriented equity securities by investing primarily in units of Sun Life Dynamic Strategic Yield fund or its successor fund (the "underlying trust fund"). The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 21.9% 2. Dynamic Premium Yield Fund, Series O 5.5% 3. US Treasury Note 0.88% % 4. Dynamic Credit Spectrum Fund, Series O 2.3% 5. Dynamic High Yield Bond Fund, Series O 2.2% 6. Royal Bank Of Canada 2.1% 7. Wells Fargo & Co 2.1% 8. Manulife Financial Corp 1.7% 9. CVS Health Corp 1.5% 10. NextEra Energy Inc 1.5% Total percentage of top 10 investments 43.7% Total number of investments 196 Investment mix (December 31, 2015) Asset Mix 15.7% Canadian Equity 13.3% Canadian Fixed Income 28.0% U.S. Equity 12.0% U.S. Fixed Income 6.0% International Equity 1.1% International Fixed Income 23.9% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 3 years. In the last 3 years the fund was up in value 3 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 9.7 7% 5% 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2013 now has $1,217. This works out to an annual compound return of 6.9% Page 86 of

87 Sun Life Dynamic Strategic Yield How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek income and capital growth potential through investments in both equities and fixed income securities Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 87 of

88 Sun Life Dynamic Strategic Yield 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.57 Estate Series 3.00 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 88 of

89 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $327,569 Total value on: December 31, 2015 Sun Life Franklin Bissett Canadian Equity Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Franklin Bissett Investment Management, part of Franklin Templeton Investments Corp. Portfolio turnover rate: 2% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ What does the fund invest in? The fund invests in the Sun Life Franklin Bissett Canadian Equity Class (the "underlying fund"). The fund seeks to achieve long-term capital appreciation primarily by investing directly in a diversified portfolio of mid to large capitalization Canadian equities or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Franklin Bissett Canadian Equity Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Brookfield Asset Management Inc Class A 6.0% 2. Canadian National Railway Co 5.5% 3. Toronto-Dominion Bank 5.0% 4. Canadian Imperial Bank of Commerce 4.8% 5. Royal Bank Of Canada 4.5% 6. Bank of Montreal 4.4% 7. Restaurant Brands International Inc 4.1% 8. Bank of Nova Scotia 3.6% 9. Enbridge Inc 3.5% 10. Onex Corp 3.5% Total percentage of top 10 investments 44.9% Total number of investments 52 Investment mix (December 31, 2015) Asset Mix 97.4% Canadian Equity 2.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0% 2% 5% 7% 10% -9.8 As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 27, 2015 now has $924. This works out to an annual compound return of -9.8% Page 89 of

90 Sun Life Franklin Bissett Canadian Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to add exposure to a core Canadian equity fund Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 90 of

91 Sun Life Franklin Bissett Canadian Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.85 Estate Series 3.31 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 91 of

92 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $29,556,504 Total value on: December 31, 2015 Sun Life Granite Balanced Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 51% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ ,306, What does the fund invest in? The fund invests in the Sun Life Balanced Portfolio (the "underlying fund"). The fund s investment objective is to seek capital appreciation and income, with a small bias towards capital appreciation, by investing primarily in a mix of equity and fixed income mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life BlackRock Canadian Universe Bond Fund, Series 16.9% I 2. Sun Life MFS International Value Fund, Series I 13.1% 3. ishares Core S&P 500 ETF 10.3% 4. Sun Life MFS U.S. Growth Fund, Series I 6.6% 5. Sun Life Money Market Fund, Series I 6.6% 6. Sun Life Beutel Goodman Canadian Bond Fund, Series I 5.7% 7. Sun Life Sentry Infrastructure Fund, Series I 5.5% 8. Sun Life BlackRock Canadian Composite Equity Fund, 5.4% Series I 9. RBC Global High Yield Bond Fund, Series O 4.7% 10. Beutel Goodman Canadian Equity Fund, Class I 4.2% Total percentage of top 10 investments 79.0% Total number of investments 21 Investment mix (December 31, 2015) Asset Mix 14.5% Canadian Equity 22.5% Canadian Fixed Income 18.2% U.S. Equity 2.0% U.S. Fixed Income 28.3% International Equity 7.5% International Fixed Income 7.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5.6 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2012 now has $1,412. This works out to an annual compound return of 9.1% Page 92 of

93 Sun Life Granite Balanced How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek capital appreciation and income, with a small bias towards capital appreciation Seek diversification through a broad range of asset classes, geographies, and investment styles Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 93 of

94 Sun Life Granite Balanced 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.55 Estate Series 2.92 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 94 of

95 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $18,671,903 Total value on: December 31, 2015 Sun Life Granite Balanced Growth Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 59% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Balanced Growth Portfolio (the "underlying fund"). The fund's investment objective is to seek capital appreciation and income, with a bias towards capital appreciation, by investing primarily in equity mutual funds and, to a lesser extent, fixed income mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life MFS International Value Fund, Series I 15.0% 2. Sun Life BlackRock Canadian Universe Bond Fund, Series 13.6% I 3. ishares Core S&P 500 ETF 12.1% 4. Sun Life MFS U.S. Growth Fund, Series I 7.5% 5. Sun Life Sentry Infrastructure Fund, Series I 6.5% 6. Sun Life BlackRock Canadian Composite Equity Fund, 5.9% Series I 7. Sun Life Money Market Fund, Series I 4.8% 8. Beutel Goodman Canadian Equity Fund, Class I 4.6% 9. Sun Life Beutel Goodman Canadian Bond Fund, Series I 4.5% 10. Sun Life MFS International Growth Fund, Series I 4.3% Total percentage of top 10 investments 78.8% Total number of investments 21 Investment mix (December 31, 2015) Asset Mix 16.0% Canadian Equity 18.0% Canadian Fixed Income 21.2% U.S. Equity 1.5% U.S. Fixed Income 33.3% International Equity 5.0% International Fixed Income 5.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 6.4 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2012 now has $1,474. This works out to an annual compound return of 10.3% Page 95 of

96 Sun Life Granite Balanced Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek capital appreciation and income, with a bias towards capital appreciation Seek diversification through a broad range of asset classes, geographies, and investment styles Are medium to long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 96 of

97 Sun Life Granite Balanced Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.61 Estate Series 2.94 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 97 of

98 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $27,984,057 Total value on: December 31, 2015 Sun Life Granite Conservative Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 61% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ ,294, Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Conservative Portfolio (the "underlying fund"). The fund's investment objective is to seek income and capital appreciation, with a bias towards income, by investing primarily in fixed income mutual funds and, to a lesser extent, equity mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life BlackRock Canadian Universe Bond Fund, Series 31.3% I 2. Sun Life Money Market Fund, Series I 12.9% 3. Sun Life Beutel Goodman Canadian Bond Fund, Series I 9.7% 4. RBC Global High Yield Bond Fund, Series O 7.6% 5. Templeton Global Bond Fund, Series O 7.3% 6. Sun Life MFS International Value Fund, Series I 7.0% 7. ishares Core S&P 500 ETF 5.7% 8. Sun Life MFS U.S. Growth Fund, Series I 3.1% 9. Sun Life NWQ Flexible Income Fund, Series I 2.6% 10. Sun Life Sentry Infrastructure Fund, Series I 2.5% Total percentage of top 10 investments 89.7% Total number of investments 19 Investment mix (December 31, 2015) Asset Mix 6.5% Canadian Equity 41.0% Canadian Fixed Income 9.5% U.S. Equity 2.5% U.S. Fixed Income 12.5% International Equity 14.5% International Fixed Income 13.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2.5 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 30, 2012 now has $1,232. This works out to an annual compound return of 5.7% Page 98 of

99 Sun Life Granite Conservative How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek income and capital appreciation, with a bias towards income Seek diversification through a broad range of asset classes, geographies, and investment styles Are medium to long term investors Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 99 of

100 Sun Life Granite Conservative 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.40 Estate Series 2.78 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 100 of

101 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $6,394,304 Total value on: December 31, 2015 Sun Life Granite Enhanced Income Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 65% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Enhanced Income Portfolio (the "underlying fund"). The fund seeks to generate a consistent level of income by investing primarily in a mix of income-focused fixed income and equity mutual funds (including exchange-traded funds), with an emphasis towards higher yielding investments. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. RBC Global High Yield Bond Fund, Series O 17.5% 2. Guardian Global Dividend Growth Fund, Series I 14.5% 3. Sun Life Sentry Infrastructure Fund, Series I 12.4% 4. Sun Life MFS Canadian Bond Fund, Series I 11.3% 5. Sun Life NWQ Flexible Income Fund, Series I 10.0% 6. Sentry REIT Fund, Series I 7.5% 7. Sun Life BlackRock Canadian Universe Bond Fund, Series 6.7% I 8. Sun Life Sentry Value Fund, Series I 5.1% 9. Sun Life Dynamic Energy Fund, Series I 5.0% 10. Sun Life Money Market Fund, Series I 5.0% Total percentage of top 10 investments 95.0% Total number of investments 12 Investment mix (December 31, 2015) Asset Mix 15.0% Canadian Equity 18.0% Canadian Fixed Income 10.0% U.S. Fixed Income 34.5% International Equity 17.5% International Fixed Income 5.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 3 years. In the last 3 years the fund was up in value 2 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 6.1 5% 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2013 now has $1,160. This works out to an annual compound return of 5.1% Page 101 of

102 Sun Life Granite Enhanced Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek regular income through monthly distributions Seek diversified sources of income in a single fund Seek diversification through exposure to a broad range of asset classes and geographies Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 102 of

103 Sun Life Granite Enhanced Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.71 Estate Series 3.02 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 103 of

104 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $10,630,623 Total value on: December 31, 2015 Sun Life Granite Growth Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 51% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Growth Portfolio (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity mutual funds and, to a lesser extent, fixed income mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life MFS International Value Fund, Series I 16.2% 2. ishares Core S&P 500 ETF 12.9% 3. Sun Life BlackRock Canadian Universe Bond Fund, Series 8.7% I 4. Sun Life MFS U.S. Growth Fund, Series I 8.0% 5. Sun Life Sentry Infrastructure Fund, Series I 8.0% 6. Sun Life BlackRock Canadian Composite Equity Fund, 6.7% Series I 7. Beutel Goodman Canadian Equity Fund, Class I 5.2% 8. Invesco Global Real Estate Fund, Series I 5.1% 9. Sun Life MFS International Growth Fund, Series I 4.7% 10. Sun Life Money Market Fund, Series I 4.5% Total percentage of top 10 investments 80.0% Total number of investments 20 Investment mix (December 31, 2015) Asset Mix 18.0% Canadian Equity 11.5% Canadian Fixed Income 23.0% U.S. Equity 1.0% U.S. Fixed Income 39.0% International Equity 3.0% International Fixed Income 4.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 6.6 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2012 now has $1,525. This works out to an annual compound return of 11.2% Page 104 of

105 Sun Life Granite Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek capital appreciation Seek diversification through a broad range of asset classes, geographies, and investment styles Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 105 of

106 Sun Life Granite Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.64 Estate Series 3.00 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 106 of

107 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $7,567,394 Total value on: December 31, 2015 Sun Life Granite Income Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 50% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Income Portfolio (the "underlying fund"). The fund seeks to generate a consistent level of income by investing primarily in a mix of income-focused fixed income and equity mutual funds (including exchange-traded funds). The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life MFS Canadian Bond Fund, Series I 25.3% 2. Sun Life Sentry Infrastructure Fund, Series I 14.9% 3. Sun Life Money Market Fund, Series I 13.9% 4. Guardian Global Dividend Growth Fund, Series I 11.5% 5. RBC Global High Yield Bond Fund, Series O 10.5% 6. Sentry REIT Fund, Series I 7.4% 7. Sun Life NWQ Flexible Income Fund, Series I 5.2% 8. Sun Life Sentry Value Fund, Series I 5.2% 9. ishares iboxx $ Investment Grade Corporate Bond ETF 2.5% 10. Dynamic Equity Income Fund, Series O 2.4% Total percentage of top 10 investments 98.8% Total number of investments 11 Investment mix (December 31, 2015) Asset Mix 8.5% Canadian Equity 25.0% Canadian Fixed Income 7.5% U.S. Fixed Income 34.0% International Equity 10.0% International Fixed Income 15.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 3 years. In the last 3 years the fund was up in value 3 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 4.6 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2013 now has $1,163. This works out to an annual compound return of 5.2% Page 107 of

108 Sun Life Granite Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek regular income through monthly distributions Seek diversified sources of income in a single fund Seek diversification through exposure to a broad range of asset classes and geographies Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 108 of

109 Sun Life Granite Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.58 Estate Series 2.77 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 109 of

110 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $18,911,038 Total value on: December 31, 2015 Sun Life Granite Moderate Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 51% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Moderate Portfolio (the "underlying fund"). The fund's investment objective is to seek income and capital appreciation by investing primarily in a mix of fixed income and equity mutual funds. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life BlackRock Canadian Universe Bond Fund, Series 23.3% I 2. Sun Life MFS International Value Fund, Series I 10.9% 3. Sun Life Money Market Fund, Series I 8.7% 4. ishares Core S&P 500 ETF 7.9% 5. Sun Life Beutel Goodman Canadian Bond Fund, Series I 7.8% 6. RBC Global High Yield Bond Fund, Series O 6.1% 7. Sun Life MFS U.S. Growth Fund, Series I 5.0% 8. Sun Life BlackRock Canadian Composite Equity Fund, 4.4% Series I 9. Templeton Global Bond Fund, Series O 4.1% 10. Sun Life Sentry Infrastructure Fund, Series I 3.5% Total percentage of top 10 investments 81.7% Total number of investments 21 Investment mix (December 31, 2015) Asset Mix 11.4% Canadian Equity 31.0% Canadian Fixed Income 14.3% U.S. Equity 2.5% U.S. Fixed Income 21.8% International Equity 10.0% International Fixed Income 9.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 4 years. In the last 4 years the fund was up in value 4 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5.2 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2012 now has $1,356. This works out to an annual compound return of 8.0% Page 110 of

111 Sun Life Granite Moderate How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek income and capital appreciation Seek diversification through a broad range of asset classes, geographies, and investment styles Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 111 of

112 Sun Life Granite Moderate 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.48 Estate Series 2.74 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 112 of

113 Sun Life MFS Canadian Bond Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $710,850 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited; MFS Institutional Advisors, Inc. Portfolio turnover rate: 89% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Canadian Bond Fund (the "underlying fund"). The fund aims to provide investors with high investment returns primarily through income, with reasonable safety of capital. The fund may invest up to 30% of the fund's assets in foreign debt instruments. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Hsg Tr No % % 2. Ontario Prov Cda 4% % 3. Ontario Prov Cda 4.7% % 4. Canada T-Bill % 5. Province of Alberta, 4.00%, % 6. Quebec Prov Cda 4.5% % 7. Royal Bank Of Canada 4.93% % 8. Quebec Prov Cda 4.5% % 9. Toronto Dominion Bank 3.226% % 10. Ontario Prov Cda 4.3% % Total percentage of top 10 investments 33.2% Total number of investments 116 Investment mix (December 31, 2015) Asset Mix 74.5% Canadian Fixed Income 21.5% U.S. Fixed Income 4.1% International Fixed Income -0.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 6 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 3.7 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 31, 2009 now has $1,319. This works out to an annual compound return of 4.2% Page 113 of

114 Sun Life MFS Canadian Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of income and potential for capital gains Are medium to long-term investors Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 114 of

115 Sun Life MFS Canadian Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.06 Estate Series 2.26 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 115 of

116 Sun Life MFS Canadian Equity Growth Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $233,170 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited; MFS Institutional Advisors, Inc. Portfolio turnover rate: 85% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Canadian Equity Growth Fund (the "underlying fund"). The fund aims for long-term capital growth primarily by investing in Canadian growth equity securities. The fund may invest in global equity securities or other mutual funds. The fund may invest up to 40% of the fund's assets in non-canadian securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Toronto-Dominion Bank 5.7% 2. Royal Bank Of Canada 5.5% 3. Canadian National Railway Co 4.5% 4. Suncor Energy Inc 3.1% 5. Bank of Nova Scotia 3.0% 6. Manulife Financial Corp 2.7% 7. Enbridge Inc 2.6% 8. Valeant Pharmaceuticals International Inc 2.5% 9. Alimentation Couche-Tard Inc 2.3% 10. Canadian Natural Resources Ltd 2.0% Total percentage of top 10 investments 33.9% Total number of investments 222 Investment mix (December 31, 2015) Asset Mix 71.1% Canadian Equity 12.6% U.S. Equity 14.7% International Equity 1.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 6 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% % 20% 10% 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 31, 2009 now has $1,787. This works out to an annual compound return of 9.0% Page 116 of

117 Sun Life MFS Canadian Equity Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add exposure to Canadian equities with growth characteristics to their investment portfolio Are long-term investors Are comfortable with medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 117 of

118 Sun Life MFS Canadian Equity Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.57 Estate Series 3.20 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 118 of

119 Sun Life MFS Canadian Equity Value Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $631,024 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited; MFS Institutional Advisors, Inc. Portfolio turnover rate: 37% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Canadian Equity Value Fund (the "underlying fund"). The fund aims for long-term capital growth primarily by investing in Canadian equity securities deemed to be undervalued relative to their industries or the overall market. The fund may invest in global equity securities or other mutual funds. The fund may invest up to 40% of the fund's assets in non-canadian securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Sun Life MFS International Value Fund, Series I 14.6% 2. Sun Life MFS U.S. Value Fund, Series I 14.0% 3. Toronto-Dominion Bank 5.9% 4. Royal Bank Of Canada 5.0% 5. Suncor Energy Inc 4.0% 6. Canadian National Railway Co 3.4% 7. Bank of Nova Scotia 3.3% 8. Canadian Natural Resources Ltd 2.8% 9. Manulife Financial Corp 2.8% 10. Valeant Pharmaceuticals International Inc 2.6% Total percentage of top 10 investments 58.4% Total number of investments 54 Investment mix (December 31, 2015) Asset Mix 70.7% Canadian Equity 14.6% U.S. Equity 13.2% International Equity 1.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 6 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% % 10% 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 31, 2009 now has $1,925. This works out to an annual compound return of 10.2% Page 119 of

120 Sun Life MFS Canadian Equity Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to add exposure to Canadian equities with value characteristics Wish to contribute to the value component of a diversified portfolio Are long-term investors Are comfortable with medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 120 of

121 Sun Life MFS Canadian Equity Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.70 Estate Series 3.14 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 121 of

122 Sun Life MFS Dividend Income Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $2,236,148 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited; MFS Institutional Advisors, Inc. Portfolio turnover rate: 33% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Dividend Income Class (the "underlying fund"). The fund s investment objective is to seek income generation and capital appreciation through exposure to primarily dividend or income paying securities, including royalty trust units, real-estate investment trust units and limited partnership units and other exchange-listed participating securities, by investing primarily in units of Sun Life MFS Dividend Income fund or its successor fund (the "underlying trust fund"). The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Toronto-Dominion Bank 7.8% 2. Royal Bank Of Canada 7.7% 3. Suncor Energy Inc 4.7% 4. Bank of Nova Scotia 4.6% 5. Enbridge Inc 4.1% 6. Magna International Inc Class A 4.0% 7. Dream Office Real Estate Investment Trust 2.5% 8. Transcontinental Inc Class A 2.5% 9. Zurich Financial Services AG 2.2% 10. Marathon Petroleum Corp 2.0% Total percentage of top 10 investments 42.1% Total number of investments 71 Investment mix (December 31, 2015) Asset Mix 75.1% Canadian Equity 6.5% U.S. Equity 16.8% International Equity 1.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 6 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% % 20% 10% 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 31, 2009 now has $1,903. This works out to an annual compound return of 10.0% Page 122 of

123 Sun Life MFS Dividend Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of growth and income Are medium to long-term investors Are comfortable with medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 123 of

124 Sun Life MFS Dividend Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.73 Estate Series 3.17 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 124 of

125 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $2,192,606 Total value on: December 31, 2015 Sun Life MFS Global Growth Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 38% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Global Growth Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located anywhere in the world that are considered to have above-average earnings growth potential compared to other issuers. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Alphabet Inc Class A 3.6% 2. Accenture PLC Class A 3.2% 3. Thermo Fisher Scientific Inc 2.3% 4. Danone 2.2% 5. Taiwan Semiconductor Manufacturing Co Ltd ADR 2.2% 6. Nestle SA 2.2% 7. Visa Inc Class A 2.2% 8. LVMH Moet Hennessy Louis Vuitton SE 2.1% 9. Compass Group PLC 1.9% 10. Mead Johnson Nutrition Co 1.8% Total percentage of top 10 investments 23.7% Total number of investments 91 Investment mix (December 31, 2015) Asset Mix 0.4% Canadian Equity 51.4% U.S. Equity 47.3% International Equity 0.9% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 5 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 6.4 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $1,918. This works out to an annual compound return of 13.2% Page 125 of

126 Sun Life MFS Global Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add global equity diversification with growth characteristics to their investment portfolio Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 126 of

127 Sun Life MFS Global Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.85 Estate Series 3.57 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 127 of

128 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $18,066,016 Total value on: December 31, 2015 Sun Life MFS Global Total Return Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 62% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Global Total Return Fund (the "underlying fund"). The fund's investment objective is to seek total return by investing primarily in a mix of equity securities and debt instruments of issuers located anywhere in the world. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 8.3% 2. US Treasury Bond 1.13% % 3. Novartis AG 1.4% 4. Philip Morris International Inc 1.2% 5. KDDI Corp 1.1% 6. US Treasury Bond 3.50% % 7. Nestle SA 1.1% 8. Johnson & Johnson 1.0% 9. Japan(Govt Of) 2.2% % 10. Verizon Communications Inc 0.9% Total percentage of top 10 investments 18.9% Total number of investments 515 Investment mix (December 31, 2015) Asset Mix 1.4% Canadian Equity 0.9% Canadian Fixed Income 26.7% U.S. Equity 15.2% U.S. Fixed Income 31.0% International Equity 18.3% International Fixed Income 6.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 6 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $1,616. This works out to an annual compound return of 9.6%. 20% 15% 10% 5% 0% 5% 10% 15% 20% Page 128 of

129 Sun Life MFS Global Total Return How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of growth and income Want to add global diversification to their investment portfolio Are medium to long-term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 129 of

130 Sun Life MFS Global Total Return 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.58 Estate Series 2.99 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 130 of

131 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $4,573,606 Total value on: December 31, 2015 Sun Life MFS Global Value Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 10% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Global Value Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located anywhere in the world that are considered to be undervalued compared to their perceived worth. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. KDDI Corp 2.7% 2. Johnson & Johnson 2.4% 3. Nestle SA 2.3% 4. Cash 2.2% 5. Wells Fargo & Co 2.1% 6. 3M Co 2.1% 7. JPMorgan Chase & Co 2.1% 8. Accenture PLC Class A 1.9% 9. Philip Morris International Inc 1.9% 10. CVS Health Corp 1.9% Total percentage of top 10 investments 21.6% Total number of investments 114 Investment mix (December 31, 2015) Asset Mix 1.7% Canadian Equity 47.5% U.S. Equity 49.0% International Equity 1.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 6 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 3.9 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $2,145. This works out to an annual compound return of 15.6% Page 131 of

132 Sun Life MFS Global Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add global equity diversification with value characteristics to their investment portfolio Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 132 of

133 Sun Life MFS Global Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.79 Estate Series 3.35 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 133 of

134 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $280,385 Total value on: December 31, 2015 Sun Life MFS International Growth Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 24% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS International Growth Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers outside of Canada and the U.S. that are considered to have above-average earnings growth potential compared to other issuers. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Roche Holding AG Dividend Right Cert. 4.1% 2. Nestle SA 3.9% 3. Danone 3.3% 4. Accenture PLC Class A 3.2% 5. Novartis AG 3.0% 6. UBS Group AG 2.8% 7. Taiwan Semiconductor Manufacturing Co Ltd ADR 2.8% 8. AIA Group Ltd 2.7% 9. Compass Group PLC 2.6% 10. Pernod Ricard SA 2.5% Total percentage of top 10 investments 30.9% Total number of investments 83 Investment mix (December 31, 2015) Asset Mix 98.8% International Equity 1.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 5 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $1,533. This works out to an annual compound return of 8.5%. 20% 15% 10% 5% 0% 5% 10% 15% 20% Page 134 of

135 Sun Life MFS International Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek geographic equity diversification outside of Canada and the US (international equities) with growth characteristics Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 135 of

136 Sun Life MFS International Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.91 Estate Series 3.42 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 136 of

137 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $971,411 Total value on: December 31, 2015 Sun Life MFS International Value Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 29% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS International Value Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located outside of Canada and the U.S. that are considered to be undervalued compared to their perceived worth. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Nestle SA 4.5% 2. Danone 3.8% 3. Reckitt Benckiser Group PLC 3.5% 4. Cash 3.0% 5. KDDI Corp 3.0% 6. Brambles Ltd 2.9% 7. Kao Corp 2.5% 8. Colgate-Palmolive Co 2.4% 9. Henkel AG & Co KGaA 2.4% 10. Japan Tobacco Inc 2.2% Total percentage of top 10 investments 30.2% Total number of investments 101 Investment mix (December 31, 2015) Asset Mix 1.3% Canadian Equity 6.7% U.S. Equity 88.5% International Equity 3.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 5 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% 10% 3.1 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $2,041. This works out to an annual compound return of 14.5% Page 137 of 219

138 Sun Life MFS International Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek geographic equity diversification outside of Canada and the US (international equities) with value characteristics Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page 138 of 219

139 Sun Life MFS International Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.80 Estate Series 3.33 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page 139 of 219

140 Quick facts Date fund created: Date series available: Total value of the fund: $0 Total value on: Sun Life MFS Low Volatility Global Equity Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited MFS Institutional Advisors, Inc. Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio* (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ Estate Series $ $ *MERs are estimated in the first year What does the fund invest in? The fund invests in the Sun Life MFS Low Volatility Global Equity Fund (the "underlying fund"). The fund s investment objective is to achieve longterm capital appreciation with low volatility by investing primarily in a diversified portfolio of equity securities of issuers located anywhere in the world or indirectly by investing in mutual funds (including exchange-traded funds) that invest primarily in such securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) This information is not available as this is a new fund. How has the underlying fund performed? Investment mix (December 31, 2015) This information is not available as this is a new fund. This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: seek to add global geographic diversification with a focus towards lowering portfolio volatility are long term investors are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. Page of

141 Sun Life MFS Low Volatility Global Equity How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.75 Estate Series 3.25 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. Page of

142 Sun Life MFS Low Volatility Global Equity 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

143 Quick facts Date fund created: Date series available: Total value of the fund: $0 Total value on: Sun Life MFS Low Volatility International Equity Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited MFS Institutional Advisors, Inc. Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio* (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ Estate Series $ $ *MERs are estimated in the first year What does the fund invest in? The fund invests in the Sun Life MFS Low Volatility International Equity Fund (the "underlying fund"). The fund s investment objective is to seek long-term capital appreciation with low volatility by investing primarily in a diversified portfolio of equity securities of issuers outside Canada and the United States or indirectly by investing in mutual funds (including exchange-traded funds) that primarily invest in such securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) This information is not available as this is a new fund. How has the underlying fund performed? Investment mix (December 31, 2015) This information is not available as this is a new fund. This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) The year-by-year returns for this fund are not available as this is a new fund. Average returns (%) The average return for this fund is not available as this is a new fund. How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: seek to add international geographic diversification with a focus towards lowering portfolio volatility are long term investors are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. Page of

144 Sun Life MFS Low Volatility International Equity How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.75 Estate Series 3.25 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. Page of

145 Sun Life MFS Low Volatility International Equity 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

146 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $462,451 Total value on: December 31, 2015 Sun Life MFS Monthly Income Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited Portfolio turnover rate: 33% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS Monthly Income Fund (the "underlying fund"). The fund's investment objective is to seek to provide a consistent level of regular income with capital appreciation as a secondary objective over the long term, by investing primarily in income producing equity and debt securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Royal Bank Of Canada 4.3% 2. Toronto-Dominion Bank 4.2% 3. Bank of Nova Scotia 2.5% 4. Suncor Energy Inc 2.5% 5. Magna International Inc Class A 2.2% 6. Enbridge Inc 2.2% 7. Life Tech 5% % 8. Kroger 3.4% % 9. US Treasury Note 2% % 10. Wal-Mart Stores 6.5% % Total percentage of top 10 investments 25.2% Total number of investments 112 Investment mix (December 31, 2015) Asset Mix 40.6% Canadian Equity 0.6% Canadian Fixed Income 3.5% U.S. Equity 41.5% U.S. Fixed Income 9.1% International Equity 4.5% International Fixed Income 0.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 4 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 3.4 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on August 31, 2011 now has $1,232. This works out to an annual compound return of 4.9% Page of

147 Sun Life MFS Monthly Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of income and potential for capital gains Are medium to long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

148 Sun Life MFS Monthly Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.44 Estate Series 2.70 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

149 Sun Life MFS US Equity Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $992,255 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited; MFS Institutional Advisors, Inc. Portfolio turnover rate: 25% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS U.S. Equity Fund (the "underlying fund"). The fund aims for long-term capital growth by investing primarily in companies domiciled in the United States or whose primary stock exchange listing is in the United States. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Alphabet Inc Class A 4.3% 2. JPMorgan Chase & Co 3.3% 3. Danaher Corp 2.9% 4. Visa Inc Class A 2.8% 5. Thermo Fisher Scientific Inc 2.3% 6. Bank of America Corporation 2.1% 7. Johnson & Johnson 2.1% 8. Wells Fargo & Co 2.1% 9. American Tower Corp 1.9% 10. Accenture PLC Class A 1.9% Total percentage of top 10 investments 25.7% Total number of investments 84 Investment mix (December 31, 2015) Asset Mix 2.4% Canadian Equity 83.2% U.S. Equity 13.3% International Equity 1.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 7 years. In the last 7 years the fund was up in value 6 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 31, 2009 now has $2,575. This works out to an annual compound return of 15.0% Page of

150 Sun Life MFS US Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add a US equity fund to their portfolio Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

151 Sun Life MFS US Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.65 Estate Series 3.19 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

152 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,851,417 Total value on: December 31, 2015 Sun Life MFS US Growth Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 53% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS U.S. Growth Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located in the United States that are considered to have above-average earnings growth potential compared to other companies. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Visa Inc Class A 3.9% 2. Amazon.com Inc 3.8% 3. Alphabet Inc Class A 3.7% 4. Facebook Inc Class A 3.4% 5. Cash 3.1% 6. MasterCard Inc Class A 2.9% 7. Alphabet Inc Class C Capital Stock 2.8% 8. Danaher Corp 2.6% 9. Thermo Fisher Scientific Inc 2.6% 10. Adobe Systems Inc 2.3% Total percentage of top 10 investments 31.1% Total number of investments 89 Investment mix (December 31, 2015) Asset Mix 0.6% Canadian Equity 91.1% U.S. Equity 5.3% International Equity 3.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 5 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 60% 45% 30% 15% 8.2 0% 15% 30% 45% 60% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $2,489. This works out to an annual compound return of 18.9% Page of

153 Sun Life MFS US Growth How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add a US equity fund with growth characteristics to their investment portfolio Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

154 Sun Life MFS US Growth 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.75 Estate Series 3.52 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

155 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $3,149,396 Total value on: December 31, 2015 Sun Life MFS US Value Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Institutional Advisors, Inc. Portfolio turnover rate: 14% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life MFS U.S. Value Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of companies with large market capitalizations located in the United States that are considered to be undervalued compared to their perceived worth. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. JPMorgan Chase & Co 4.7% 2. Johnson & Johnson 3.6% 3. Philip Morris International Inc 3.4% 4. Wells Fargo & Co 3.3% 5. Accenture PLC Class A 2.6% 6. Pfizer Inc 2.5% 7. Travelers Companies Inc 2.1% 8. PPG Industries Inc 2.0% 9. Medtronic PLC 2.0% 10. Honeywell International Inc 2.0% Total percentage of top 10 investments 28.2% Total number of investments 93 Investment mix (December 31, 2015) Asset Mix 0.5% Canadian Equity 83.0% U.S. Equity 15.4% International Equity 1.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 5 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 60% 45% 30% 15% 4.9 0% 15% 30% 45% 60% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $2,250. This works out to an annual compound return of 16.7% Page of

156 Sun Life MFS US Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want to add a US equity fund with value characteristics to their investment portfolio Are long-term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

157 Sun Life MFS US Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.70 Estate Series 3.22 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

158 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $4,043,759 Total value on: December 31, 2015 Sun Life Money Market Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: MFS Investment Management Canada Limited Portfolio turnover rate: 0% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Money Market Fund (the "underlying fund"). The fund's investment objective is to achieve a high level of current income while seeking to protect capital and to maintain liquidity by investing primarily in Canadian dollar-denominated money market instruments. The fund may invest up to 10% of the fund's assets in Canadian dollar-denominated money market instruments of foreign issuers. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada T-Bill % 2. Canada T-Bill % 3. Canada T-Bill % 4. Canada T-Bill % 5. Bank of Nova Scotia 0.744% % 6. Royal Bank Of Canada 0.94% % 7. Ontario Prov Cda 0.531% % 8. Canada T-Bill % 9. CIBC 0.800% % 10. Quebec Prov Cda 0.622% % Total percentage of top 10 investments 47.1% Total number of investments 76 Investment mix (December 31, 2015) Asset Mix 19.3% Canadian Fixed Income 80.7% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 6 years. In the last 6 years the fund was up in value 6 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0.4 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 30, 2010 now has $1,019. This works out to an annual compound return of 0.4% Page of

159 Sun Life Money Market How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are conservative and income-oriented Have a shorter investment time horizon Are comfortable with low investment risk Do not invest in this fund if you have a longer term investment horizon, a higher risk tolerance or are seeking capital appreciation from your investment. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0% of the purchase price of the units you buy. No deferred sales charge (DSC) or low load (LL) sales charge is applicable to premiums deposited to this fund. You may pay a DSC or LL sales charge based on the original purchase date of units fund switched into or out of this fund. For more information on the original purchase date, refer to the How it works section. No front end load (FEL) sales charge can be charged on this fund. You and your advisor negotiate the fee when you fund switch from this fund to units of other funds available under your contract. No sales charge applies to premiums deposited to this fund. A fund switch from units of this fund to units of another fund with a DSC or LL sales charge will result in the applicable DSC or LL schedule applying to those units acquired, and the date of the fund switch will be treated as the date of purchase of the units. If units of this fund are acquired as a result of a fund switch from units of another fund with a DSC or LL sales charge option, the DSC or LL schedule which previously applied to the units switched will continue to apply to the units of this fund acquired. That schedule will continue to apply if those units are switched to another fund in the future. buy units of this fund. Page of

160 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. Sun Life Money Market Guarantee series MER (%) Investment Series 1.10 Estate Series 1.18 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.2% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

161 Sun Life Multi-Strategy Bond Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $313,683 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Portfolio turnover rate: 119% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ What does the fund invest in? The fund invests in the Sun Life Multi-Strategy Bond Fund (the "underlying fund"). The fund's investment objective is to seek to earn a high rate of income by investing primarily in fixed-income securities of Canadian government and corporate issuers. The fund may from time to time invest up to 20% of the fund's portfolio in fixed-income securities of governments and companies outside Canada. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Hsg Tr No % % 2. Canada Hsg Tr No 1 1.7% % 3. Canada Hsg Tr No % % 4. Ontario Prov Cda 2.6% % 5. Province Of Ontario 3.15% % 6. Ontario Prov Cda 2.85% % 7. Ontario Prov Cda 4.2% % 8. Ontario Prov Cda 3.5% % 9. Canada Hsg Tr No % % 10. Province of British Columbia, 2.85% % Total percentage of top 10 investments 35.2% Total number of investments 189 Investment mix (December 31, 2015) Asset Mix 98.4% Canadian Fixed Income 1.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 4 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2.7 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on August 31, 2011 now has $1,059. This works out to an annual compound return of 1.3% Page of

162 Sun Life Multi-Strategy Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a moderate degree of income and potential for capital gains Are medium to long-term investors Are comfortable with low investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

163 Sun Life Multi-Strategy Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 1.93 Estate Series 2.10 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

164 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $783,667 Total value on: December 31, 2015 Sun Life NWQ Flexible Income Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: NWQ Investment Management Company, LLC Portfolio turnover rate: 222% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life NWQ Flexible Income Fund (the "underlying fund"). The fund seeks to achieve income and capital appreciation by investing primarily in a diversified portfolio of income producing securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 5.5% 2. Gilead Sciences Inc 2.5% 3. Cott Beverages 5.375% % 4. United States Cellular % 5. L Brands Inc., 6.95%, % 6. McDonald's Corp, 4.88%, % 7. Frontier Comms Cv 2.0% 8. Dish DBS 5.875% % 9. GCI 0.23% % 10. JPMorgan Chase & Co., 6.75%, % Total percentage of top 10 investments 24.1% Total number of investments 107 Investment mix (December 31, 2015) Asset Mix 49.0% U.S. Equity 36.5% U.S. Fixed Income 6.4% International Equity 1.1% International Fixed Income 7.0% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 2 years. In the last 2 years the fund was up in value 1 year, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 4.5 2% 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 31, 2014 now has $1,030. This works out to an annual compound return of 1.6% Page of

165 Sun Life NWQ Flexible Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek regular monthly income and capital appreciation Seek diversified sources of income in a single fund Are long-term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

166 Sun Life NWQ Flexible Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.17 Estate Series 2.30 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

167 Sun Life Schroder Emerging Markets Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $65,701 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Schroder Investment Management North America Inc.; Schroder Investment Management North America Limited Portfolio turnover rate: 73% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Sun Life Schroder Emerging Markets Fund (the "underlying fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of companies with a connection to emerging markets. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Tencent Holdings Ltd 5.1% 2. Samsung Electronics Co Ltd 4.7% 3. Taiwan Semiconductor Manufacturing Co Ltd 4.6% 4. Schroder International Selection Fund Frontier Markets 4.0% Equity Fund, Series I 5. China Construction Bank Corp H Shares 4.0% 6. Cash 3.8% 7. China Mobile Ltd 3.3% 8. HDFC Bank Ltd ADR 3.1% 9. AIA Group Ltd 2.8% 10. China Petroleum & Chemical Corp H Shares 2.4% Total percentage of top 10 investments 37.8% Total number of investments 101 Investment mix (December 31, 2015) Asset Mix 0.7% U.S. Equity 95.6% International Equity 3.7% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 5 years. In the last 5 years the fund was up in value 2 years, and down in value 3 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 0% 5% 10% 15% % As at December 31, 2015, a person who invested $1,000 in the underlying fund on August 31, 2011 now has $826. This works out to an annual compound return of -4.3% Page of

168 Sun Life Schroder Emerging Markets How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as high. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek global geographic diversification with exposure to emerging markets Wish to gain emerging markets exposure using a balanced approach of stock selection and country allocation Are long-term investors Are comfortable with high investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

169 Sun Life Schroder Emerging Markets 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.52 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

170 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $990,308 Total value on: December 31, 2015 Sun Life Sentry Conservative Balanced Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Sentry Investments Inc. Portfolio turnover rate: 52% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Sentry Conservative Balanced Fund (the "underlying fund"). The fund seeks to provide stable income and long-term capital appreciation, primarily by investing directly in a conservative diversified portfolio of Canadian fixed-income and income-oriented equity securities or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 9.7% 2. Canada Govt 1.5% % 3. Canada Govt 2.25% % 4. Canada Govt 3.5% % 5. Canada Govt 0.75% % 6. Ontario Prov Cda 2.6% % 7. AltaGas Ltd 2.6% 8. Riocan Real Estate Investment Trust 2.4% 9. Northland Power Inc 2.3% 10. Oracle Corp 2.2% Total percentage of top 10 investments 42.8% Total number of investments 56 Investment mix (December 31, 2015) Asset Mix 31.9% Canadian Equity 46.3% Canadian Fixed Income 8.6% U.S. Equity 1.5% U.S. Fixed Income 1.9% International Equity 9.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0% 2% 5% 7% % As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 30, 2015 now has $946. This works out to an annual compound return of -5.8% Page of

171 Sun Life Sentry Conservative Balanced How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a regular source of income and the potential for capital appreciation Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

172 Sun Life Sentry Conservative Balanced 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.60 Estate Series 2.93 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

173 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $57,598 Total value on: December 31, 2015 Sun Life Sentry Global Mid Cap Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Sentry Investments Inc. Portfolio turnover rate: 187% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Sun Life Sentry Global Mid Cap Fund (the "underlying fund"). The fund seeks to achieve long-term capital appreciation primarily by investing in a diversified portfolio of medium capitalization Global companies or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 7.0% 2. Aryzta AG 3.6% 3. Diploma PLC 3.2% 4. Temenos Group AG 3.2% 5. Indus Holding AG 3.1% 6. Cineworld Group PLC 3.1% 7. Crown Holdings Inc 3.1% 8. Cinemark Holdings Inc 3.1% 9. UOL Group Ltd 3.0% 10. London Stock Exchange Group PLC 2.8% Total percentage of top 10 investments 35.2% Total number of investments 40 Investment mix (December 31, 2015) Asset Mix 8.5% Canadian Equity 26.0% U.S. Equity 59.1% International Equity 6.4% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0% 2% % 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 30, 2015 now has $990. This works out to an annual compound return of -1.1% Page of

174 Sun Life Sentry Global Mid Cap How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium-to-high. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to add exposure to global mid cap equities Are long term investors Are comfortable with medium to high investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

175 Sun Life Sentry Global Mid Cap 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.95 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

176 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,953,602 Total value on: December 31, 2015 Sun Life Sentry Infrastructure Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Sentry Investments Inc. Portfolio turnover rate: 34% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Sentry Infrastructure Fund (the "underlying fund"). The fund seeks to provide regular current income primarily by investing directly in global companies with either direct or indirect exposure to infrastructure or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Sentry Infrastructure Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 8.9% 2. Macquarie Infrastructure Corp 4.4% 3. American Tower Corp 4.2% 4. Crown Castle International Corp 3.5% 5. Comcast Corp Class A 3.5% 6. Atlantia Spa 3.2% 7. SBA Communications Corp 3.2% 8. Ferrovial SA 3.0% 9. Vinci 3.0% 10. Societa Iniziative Autostradali e Servizi SpA (SIAS) 2.9% Total percentage of top 10 investments 39.8% Total number of investments 44 Investment mix (December 31, 2015) Asset Mix 21.2% Canadian Equity 43.9% U.S. Equity 26.7% International Equity 8.2% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0% 2% 5% 7% % As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 30, 2015 now has $937. This works out to an annual compound return of -6.8% Page of

177 Sun Life Sentry Infrastructure How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek a balance of current income and the potential for long-term capital appreciation Seek to add global hard asset diversification Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

178 Sun Life Sentry Infrastructure 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.95 Estate Series 3.49 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

179 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $2,605,286 Total value on: December 31, 2015 Sun Life Sentry Value Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Sentry Investments Inc. Portfolio turnover rate: 77% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Sentry Value Class (the "underlying fund"). The fund s investment objective is to seek to achieve long-term capital appreciation through exposure to primarily equity securities of Canadian and U.S. companies by investing primarily in units of Sun Life Sentry Value Fund or its successor fund (the "underlying trust fund"). The fund may invest in U.S. and other foreign securities in an amount not exceeding 49% of the assets of the underlying trust fund. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 12.6% 2. AltaGas Ltd 3.5% 3. Morneau Shepell Inc 3.4% 4. ShawCor Ltd Class A 3.3% 5. Oracle Corp 3.1% 6. EnerCare Inc 2.8% 7. Republic Services Inc Class A 2.8% 8. AGT Food and Ingredients Inc 2.7% 9. CVS Health Corp 2.6% 10. CI Financial Corp 2.5% Total percentage of top 10 investments 39.3% Total number of investments 63 Investment mix (December 31, 2015) Asset Mix 62.1% Canadian Equity 24.3% U.S. Equity 1.0% International Equity 12.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 3 years. In the last 3 years the fund was up in value 3 years, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% % 10% 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 16, 2013 now has $1,431. This works out to an annual compound return of 12.9% Page of

180 Sun Life Sentry Value How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek long term capital appreciation Are medium to long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

181 Sun Life Sentry Value 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.80 Estate Series 3.24 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

182 Sun Life Sionna Canadian Small Cap Equity Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $87,142 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Brandes Investment Partners & Co. (operating as Bridgehouse Asset Managers); Sionna Investment Managers Inc. Portfolio turnover rate: 2% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Sionna Canadian Small Cap Equity Class (the "underlying fund"). The fund seeks to achieve long-term capital appreciation through exposure to primarily equity securities of small to medium capitalization Canadian companies by tracking the performance of the Sionna Canadian Small Cap Equity Fund or its successor fund (the underlying trust fund ). In seeking to track the performance of the underlying trust fund, the portfolio manager may invest primarily in units of the underlying trust fund, or it may invest in securities, which may include securities of other mutual funds (including exchange-traded funds), identical or substantially similar to those in which the underlying trust fund invests. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the underlying trust fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Cash 6.7% 2. Winpak Ltd 5.3% 3. Whistler Blackcomb Holdings 4.4% 4. Pulse Seismic Inc 4.3% 5. Total Energy Services Inc 4.1% 6. Dream Unlimited 3.8% 7. AutoCanada Inc 3.5% 8. Granite Real Estate Inc 3.4% 9. The Westaim Corp 3.2% 10. Calian Technologies Ltd 3.2% Total percentage of top 10 investments 41.9% Total number of investments 43 Investment mix (December 31, 2015) Asset Mix 92.2% Canadian Equity 7.8% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 27, 2015 now has $876. This works out to an annual compound return of -15.9% Page of

183 Sun Life Sionna Canadian Small Cap Equity How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium-to-high. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek to add the capital appreciation potential of small to medium capitalization Canadian companies Are long term investors Are comfortable with medium to high investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

184 Sun Life Sionna Canadian Small Cap Equity 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.01 Estate Series 3.59 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

185 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $110,191 Total value on: December 31, 2015 Sun Life Templeton Global Bond Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Franklin Templeton Investments Corp.; Franklin Advisers, Inc. Portfolio turnover rate: 5% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Sun Life Templeton Global Bond Fund (the "underlying fund"). The fund seeks to achieve high current income and capital appreciation primarily by investing directly in fixed-income securities and preferred shares issued around the world or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Templeton Global Bond Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Government of Indonesia, Senior Bond, FR70, 8.375%, 2.0% Korea(Republic Of) 3% % 3. Government of Portugal, 3.875%, % 4. Government of Poland, Strip, % 5. Government of Indonesia, FR46, 9.50%, % 6. Nota Do Tesouro Nacl, Index Linked, 6.00%, % 7. Government of Serbia, 7.25%, % 8. Government of the Philippines, Senior Note, 1.625%, 1.3% Korea Monetary Stabilization Bond, 1.96%, % 10. Hungary Rep 5.375% % Total percentage of top 10 investments 15.3% Total number of investments 157 Investment mix (December 31, 2015) Asset Mix 57.9% International Fixed Income 42.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 1 year, and down in value 0 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 10% 7% 5% 2% 0.1 0% 2% 5% 7% 10% As at December 31, 2015, a person who invested $1,000 in the underlying fund on January 30, 2015 now has $1,001. This works out to an annual compound return of 0.1% Page of

186 Sun Life Templeton Global Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are mainly interested in current income from global issuers Are medium to long term investors Are comfortable with low to medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

187 Sun Life Templeton Global Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.38 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

188 Sun Life Trimark Canadian Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $406,750 Total value on: December 31, 2015 Underlying fund manager: Sun Life Global Investments (Canada) Inc. Underlying fund sub-advisor: Invesco Canada Ltd.; Invesco Advisers, Inc. (for cash portion of the Fund) Portfolio turnover rate: 1% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the Sun Life Trimark Canadian Class (the "underlying fund"). The fund seeks to achieve consistent long-term capital appreciation primarily by investing directly in common shares of Canadian companies or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The underlying fund information for the Top 10 investments, Investment mix and past performance sections below relate to the Trimark Canadian Fund. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Toronto-Dominion Bank 6.4% 2. MacDonald Dettwiler and Associates Ltd 5.6% 3. Toromont Industries Ltd 5.0% 4. Bank of Nova Scotia 4.5% 5. Crew Energy Inc 4.0% 6. Enerflex Ltd 3.5% 7. Shaw Communications Inc Class B 3.5% 8. Generac Holdings Inc 3.4% 9. Koninklijke DSM NV 3.2% 10. BRP Inc 3.1% Total percentage of top 10 investments 42.2% Total number of investments 50 Investment mix (December 31, 2015) Asset Mix 69.7% Canadian Equity 18.6% U.S. Equity 12.0% International Equity -0.3% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 1 year. In the last 1 year the fund was up in value 0 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on March 27, 2015 now has $837. This works out to an annual compound return of -20.8% Page of

189 Sun Life Trimark Canadian How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Seek long term capital appreciation Are long term investors Are comfortable with medium investment risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

190 Sun Life Trimark Canadian 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.05 Estate Series 3.51 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

191 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $1,630,354 Total value on: December 31, 2015 TD Canadian Bond Underlying fund manager: TD Asset Management Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 14% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the TD Canadian Bond Fund (the "underlying fund"). The fund seeks to earn a high rate of interest income primarily by investing directly in high-quality bonds and debentures issued principally by Canadian borrowers in Canadian dollars The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Canada Govt 5% % 2. Canada Govt 4% % 3. Bank of Montreal 0.45% % 4. Ontario Prov Cda 5.6% % 5. Province of Ontario Residual 2.81% % 6. Toronto Dominion Bank Cds 4.779% % 7. Province of British Columbia 4.30% % 8. Canada Govt 5.75% % 9. Canada Govt 3.5% % 10. Canada Govt 3.5% % Total percentage of top 10 investments 21.1% Total number of investments 228 Investment mix (December 31, 2015) Asset Mix 98.3% Canadian Fixed Income 1.1% International Fixed Income 0.6% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 9 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 3.6 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on May 20, 2005 now has $1,750. This works out to an annual compound return of 5.4% Page of

192 TD Canadian Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are investing for the medium to long term Want a high quality income investment Can handle small changes in the value of their investment Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

193 TD Canadian Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.14 Estate Series 2.31 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

194 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $2,402,779 Total value on: December 31, 2015 TD Dividend Income Underlying fund manager: TD Asset Management Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 6% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the TD Dividend Income Fund (the "underlying fund"). The fund seeks to provide income and to a lesser extent capital appreciation, primarily by investing directly in income producing securities The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Royal Bank Of Canada 7.3% 2. Toronto-Dominion Bank 7.0% 3. Bank of Montreal 6.5% 4. Canadian Imperial Bank of Commerce 6.1% 5. Bank of Nova Scotia 5.8% 6. Enbridge Inc 3.5% 7. Brookfield Asset Management Inc Class A 3.4% 8. Canadian National Railway Co 2.9% 9. Manulife Financial Corp 2.5% 10. BCE Inc 2.5% Total percentage of top 10 investments 47.5% Total number of investments 345 Investment mix (December 31, 2015) Asset Mix 75.5% Canadian Equity 19.9% Canadian Fixed Income 2.2% U.S. Equity 2.2% U.S. Fixed Income 0.1% International Fixed Income 0.1% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 8 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% 20% % 0% 10% 20% 30% 40% As at December 31, 2015, a person who invested $1,000 in the underlying fund on December 12, 2005 now has $1,859. This works out to an annual compound return of 6.4% Page of

195 TD Dividend Income How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are investing for the medium to long term Are more interested in income than growth Can handle changes in the value of their investment Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

196 TD Dividend Income 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.69 Estate Series 2.99 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

197 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $348,402 Total value on: December 31, 2015 TD Real Return Bond Underlying fund manager: TD Asset Management Inc. Underlying fund sub-advisor: N/A Portfolio turnover rate: 21% Guarantee series Minimum investment Management expense ratio (MER) (%) Net asset value per unit Number of units outstanding Investment Series $ $ , Estate Series $ $ , What does the fund invest in? The fund invests in the TD Real Return Bond Fund (the "underlying fund"). The fundamental investment objective is to provide a regular level of interest income that is hedged against inflation, by investing primarily in Canadian government guaranteed real return bonds, as well as those issued by the governments of foreign countries. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Province Of Manitoba Real R % 2. Government Of Canada Real R % 3. Government Of Canada Real R % 4. Government Of Canada Real R % 5. Government of Canada Real R % 6. Province Of Quebec Real Ret % 7. Government Of Canada Real R % 8. Province Of Ontario Real Re % 9. Government Of Canada Real R % 10. Canada Hsg Tr No % % Total percentage of top 10 investments 96.0% Total number of investments 15 Investment mix (December 31, 2015) Asset Mix 100.0% Canadian Fixed Income How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 9 years. In the last 9 years the fund was up in value 8 years, and down in value 1 year. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 20% 15% 10% 5% 2.4 0% 5% 10% 15% 20% As at December 31, 2015, a person who invested $1,000 in the underlying fund on September 6, 2006 now has $1,577. This works out to an annual compound return of 5.0% Page of

198 TD Real Return Bond How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as low-to-medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Are investing for the medium to long term Are concerned about the long term effects of inflation Want a high quality income investment Can handle changes in the value of their investment Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

199 TD Real Return Bond 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 2.17 Estate Series 2.47 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 0.5% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

200 Quick facts Date fund created: May 4, 2015 Date series available: May 4, 2015 Total value of the fund: $644,341 Total value on: December 31, 2015 Trimark Underlying fund manager: Invesco Canada Ltd. Underlying fund sub-advisor: Invesco Advisers, Inc. (for cash portion of the Fund) Portfolio turnover rate: 20% Management expense Net asset value per Number of units Guarantee series Minimum investment ratio (MER) (%) unit outstanding Investment Series $ $ , What does the fund invest in? The fund invests in the Trimark Fund (the "underlying fund"). Trimark Fund seeks to achieve strong capital growth with a high degree of reliability over the long term. The Fund invests primarily in equities of companies anywhere in the world. The charts below give you a snapshot of the underlying fund's investments on December 31, The fund s investments will change. Top 10 investments (December 31, 2015) 1. Express Scripts Holding Co 4.1% 2. Microsoft Corp 3.5% 3. Wells Fargo & Co 3.4% 4. Walt Disney Co 3.3% 5. Anheuser-Busch Inbev SA ADR 3.3% 6. Becton Dickinson & Co 3.2% 7. Nestle SA 3.2% 8. Experian PLC 3.1% 9. Honeywell International Inc 3.1% 10. Northern Trust Corp 2.9% Total percentage of top 10 investments 33.1% Total number of investments 41 Investment mix (December 31, 2015) Asset Mix 51.4% U.S. Equity 44.1% International Equity 4.5% Cash and Cash Equivalents How has the underlying fund performed? This section tells you how the fund has performed over the past 10 years for an investor who chooses the basic guarantee. Returns are after the MER has been deducted. It's important to note that this doesn't tell you how the fund will perform in the future. Also, your actual return will depend on the guarantee option you choose and on your personal tax situation. Year-by-year returns (%) This chart shows how units of the underlying fund have performed in the past 10 years. In the last 10 years the fund was up in value 8 years, and down in value 2 years. The range of returns and change from year to year can help you assess how risky the fund has been in the past. It does not tell you how the fund will perform in the future. Average return (%) 40% 30% % 10% 0% 10% % 30% % As at December 31, 2015, a person who invested $1,000 in the underlying fund on October 22, 1999 now has $1,612. This works out to an annual compound return of 3.0% Page of

201 Trimark How risky is it? The value of the fund can go down as well as up. You could lose money. One way to gauge risk is to look at how much a fund s returns change over time. This is called volatility. In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money. Risk rating Sun Life has rated the volatility of this fund as medium. This rating is based on how much the fund s returns have changed from year to year. It doesn t tell you how volatile the fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money. Very low Low Low to medium Medium Medium to high High For more information about the risk rating and specific risks that can affect the fund s returns, see the potential risks of investing section of the information folder. Who is this fund for? This fund is for investors who: Want strong capital growth over the long term Own, or plan to own, other types of investments to diversify their holdings Want a diversified global equity investment Are comfortable with medium risk Do not invest in this fund unless you are willing to accept the potential loss of a portion of your investment or if you have a short-term investment horizon. Are there any guarantees? This fund is being offered under an insurance contract. It comes with guarantees that may protect your investments if the markets go down. The MER includes a separate insurance fee that is charged for the guarantee. For details, please refer to the information folder and contract. How much does it cost? The following tables show the fees and expenses you could pay to buy, own and sell units of the fund. The fees and expenses including any commissions can vary among series of a fund and among funds. Higher commissions can influence advisors to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost. Page of

202 Trimark 1. Sales charges Sales charge option What you pay How it works Front-end load (FEL) sales charge Deferred sales charge (DSC) Low load (LL) sales charge 0.0% to 5.0% of the purchase price of the units you buy. Year 1 5.5% Year 2 5.0% Year 3 5.0% Year 4 4.0% Year 5 4.0% Year 6 3.0% Year 7 2.0% After year 7 Nil Year 1 3.0% Year 2 2.5% Year 3 2.0% After year 3 Nil You and your advisor negotiate the fee, which may be up to 5% of the cost of the units and you pay this fee to the distributor when you buy the units. and purchase deferred sales charge commission of 5%. Any deferred sales charge you pay goes to Sun Life. purchase deferred sales charge units. However, if you redeem units within seven years of making a premium payment and purchasing deferred sales charge units, you will pay a redemption fee that starts at up to 5.5% of the original cost of the units and declines over time. and purchase low-load sales charge commission of 2.5%. Any deferred sales charge you pay goes to Sun Life. purchase low load sales charge units. However, if you redeem units within three years of making a premium payment and purchasing low load sales charge units, you will pay a redemption fee that starts at up to 3% of the original cost of the units and declines over time. 2. Ongoing fund expenses The MER includes the management fee and operating expenses of the fund. The MER includes the insurance cost of the guarantee. You do not pay the MER directly. It affects you because it reduces the return you get. For details about how the guarantees work, see the information folder and contract. This sales charge is a set rate. It is deducted from the amount you redeem. Each year you can redeem up to 10% (20% for RRIF contracts) of the units you held on December 31 of the previous year plus 10% of the units you bought during the current year, with no deferred sales charge. You can switch to units of other funds under the insurance contract at any time without paying a deferred sales charge as long as you do not change your sales charge option. The deferred sales charge schedule will be based on the date you bought your first fund. Guarantee series MER (%) Investment Series 3.14 Trailing commission The trailing commission is an ongoing commission. It is paid for as long as you own the fund. It is for the services and advice that your advisor and distributor provide to you. Sun Life pays the trailing commission of up to 1% to your distributor. It is paid from the fund's management fee and is based on the value of your investment. The rate depends on the sales option you choose. 3. Other fees You may have to pay other fees when you purchase, switch and transition units of the fund. Early withdrawal fee 2% of the value of the units you withdraw within 30 days of buying them. What if I change my mind? You can change your mind about investing in this fund but you may have as little as two days to do so. Please see page 2 of this book for details. This page also contains details on how to get more information. This Fund Facts is not complete without page 2. Page of

203 Information specific to F class funds F class funds This section shows the funds available in fee-based accounts. For additional fund information, please see the corresponding page in this fund facts booklet. Investment Series Fund name MER (%)* Net asset value per unit ($) Units outstanding CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income CI Signature Income & Growth Daily Interest , Dollar Cost Average Daily Interest , Estate Settlement , Fidelity Floating Rate High Income Fidelity Income Allocation Fidelity Monthly Income Fidelity NorthStar Fidelity True North Fiera Global Equity Fiera US Equity Franklin World Growth PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth , Sun Life Granite Conservative Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Page 203 of 219

204 Information specific to F class funds (continued) Investment Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Sun Life MFS Global Total Return Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark *MERs are estimated in the first year Estate Series Fund name MER (%)* Net asset value per unit ($) Units outstanding CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income , CI Signature Income & Growth Daily Interest Dollar Cost Average Daily Interest Estate Settlement Fidelity Floating Rate High Income Fidelity Income Allocation , Fidelity Monthly Income , Fidelity True North , Page 204 of 219

205 Information specific to F class funds (continued) Estate Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Fiera Global Equity PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value , Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative , Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Sun Life MFS Global Total Return Sun Life MFS Global Value , Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth , Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Sentry Conservative Balanced Sun Life Sentry Infrastructure , Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income Page 205 of 219

206 Information specific to F class funds (continued) TD Real Return Bond *MERs are estimated in the first year Income Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Estate Settlement Strategic Income , *MERs are estimated in the first year Page 206 of 219

207 Information specific to Private Client program O class Private Client O class This section shows the funds available in the Private Client program. For additional fund information, please see the corresponding page in this fund facts booklet. Fee What you pay Advisor service fee: When you purchase O class units you agree to pay your distributor an advisor service fee. We collect this fee plus applicable taxes on your distributor s behalf by redeeming O class units from your contract monthly proportionately from each fund. The redemption of units to pay the fee does not affect your guarantees. You may negotiate the advisor service fee with your insurance advisor. It must not be more than 1.00% annually, plus applicable taxes. Management fees: O class management fees shown on pages 2 and 2 are the maximum annual management fees that may be charged to you. These fees may be reduced by the management fee reduction based on the daily total market value of Private Client eligible units in your contract. O class management fees plus applicable taxes are collected by redeeming your O class units and do not include the advisor service fee. These fees are in addition to the MER of the fund. For more information refer to Section 10 Private Client program of the Information Folder. Investment Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative , Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income , Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Sun Life MFS Global Total Return , Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Page 207 of 219

208 Information specific to O class funds (continued) Investment Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Sun Life MFS US Value Sun Life Money Market , Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian *MERs are estimated in the first year. Estate Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield , Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth , Sun Life Granite Conservative , Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income , Sun Life Granite Moderate , Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income , Sun Life MFS Global Growth Sun Life MFS Global Total Return , Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Page 208 of 219

209 Information specific to O class funds (continued) Estate Series Fund name MER (%)* Net asset value per unit ($) Units outstanding Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income , Sun Life Sentry Conservative Balanced Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Trimark Canadian *MERs are estimated in the first year. Page 209 of 219

210 Ratios & supplementary data management fees Fund name FEL/LL/DSC (%) F class (%) O class (%) CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income CI Signature Income & Growth Daily Interest Dollar Cost Average Daily Interest Estate Settlement Fidelity Floating Rate High Income Fidelity Income Allocation Fidelity Monthly Income Fidelity NorthStar Fidelity True North Fiera Global Equity Fiera US Equity Franklin World Growth PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value Strategic Income Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Sun Life MFS Global Total Return Sun Life MFS Global Value Sun Life MFS International Growth Page 210 of 219

211 Ratios & supplementary data management fees (continued) Fund name FEL/LL/DSC (%) F class (%) O class (%) Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark FEL, F class and O class management fees shown here are the maximum annual management fees that may be charged to you. These fees may be reduced by a management fee reduction based on the daily total market value of Private Client eligible units in your contract. Page 211 of 219

212 Ratios & supplementary data insurance fees Fund name Investment Series (%) Estate Series (%) CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income CI Signature Income & Growth Daily Interest Dollar Cost Average Daily Interest Estate Settlement Fidelity Floating Rate High Income Fidelity Income Allocation Fidelity Monthly Income Fidelity NorthStar 0.30 Fidelity True North Fiera Global Equity Fiera US Equity 0.30 Franklin World Growth 0.30 PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value 0.30 Sun Life Dynamic Equity Income Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth Sun Life MFS Global Total Return Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Page 212 of 219

213 Ratios & supplementary data insurance fees (continued) Fund name Investment Series (%) Estate Series (%) Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets 0.30 Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap 0.30 Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond 0.15 Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark 0.30 Fund name Income Series (%) Estate Settlement 0.10 Strategic Income 0.75 Page 213 of 219

214 Summary of the investment objectives of each fund: Fund name Objective CI Cambridge Canadian Asset Allocation CI Cambridge Canadian Equity CI Cambridge Global Equity CI Signature Diversified Yield II CI Signature High Income CI Signature Income & Growth Daily Interest Dollar Cost Average Daily Interest Estate Settlement Fidelity Floating Rate High Income Fidelity Income Allocation Fidelity Monthly Income Fidelity NorthStar Fidelity True North Fiera Global Equity This fund's objective is to achieve a superior total investment return by investing, directly or indirectly, in a combination of primarily equity and fixed income securities of Canadian companies. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. This fund's objective is to achieve long-term capital growth by investing, directly or indirectly, primarily in equity securities of Canadian companies. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. This fund's objective is to achieve long-term capital growth by investing, directly or indirectly, primarily in equity securities of companies located anywhere in the world. Indirect investments may include convertible securities, derivatives, equity-related securities and securities of other mutual funds. The fundamental investment objective of Signature Diversified Yield II Fund is to generate a high level of income through exposure to a portfolio of fixed income and high-yielding equity securities throughout the world. This fund's objective is to generate a high level of income and long-term capital growth. It invests primarily in high-yielding equity securities and Canadian corporate bonds. The fund seeks to provide a steady flow of current income while preserving capital by investing in a diversified portfolio of securities composed mainly of equity, equity-related and fixed income securities of Canadian issuers. The fund may also invest in foreign securities. The investment objective of the fund is to provide investors with interest income. The investment objective of the fund is to provide investors with interest income. The investment objective of the fund is to provide investors with interest income. A high yield offering that aims to provide a steady flow of income. It primarily invests in the floating rate debt of non-investment-grade issuers located in the U.S. or whose debt is denominated in U.S. dollars Fidelity Income Allocation fund offers exposure to multiple fixed income asset classes and incomeoriented equities and aims to provide investors with monthly yield and total return potential in a tactical asset allocation fund. Fidelity Monthly Income fund offers a unique combination of high yielding equity and fixedincome securities, actively managed to aim to deliver a balance of income and growth. Fidelity NorthStar fund has an open mandate to seek the best ideas wherever they may lie, based on the convictions of veteran managers. Fidelity True North fund delivers superior long-term growth potential through its freedom to pursue opportunities throughout the Canadian market. The objective of the fund is to achieve over the longer term the highest possible return that is consistent with a fundamental investment philosophy through investment primarily in foreign equity securities and to provide long-term capital appreciation through a portfolio of broadly diversified securities, by region and industry, invested primarily in the U.S. and International markets. Page 214 of 219

215 Summary of the investment objectives of each fund: Fund name Objective Fiera US Equity Franklin World Growth PH&N Short Term Bond and Mortgage RBC Global High Yield Bond RBC North American Value Strategic Income Sun Life BlackRock Canadian Balanced Sun Life BlackRock Canadian Composite Equity Sun Life BlackRock Canadian Equity Sun Life BlackRock Canadian Universe Bond Sun Life Dynamic American Value Sun Life Dynamic Equity Income The objective of the fund is to achieve over the longer term the highest possible return that is consistent with a fundamental investment philosophy through investment primarily in U.S. equity securities. To provide long-term capital appreciation through a portfolio of broadly diversified securities, by industry, invested primarily in the U.S. market. Long-term capital appreciation by investing primarily in equity securities of growth companies with any market size capitalization, which are located throughout the world. To provide relatively high yields and stability of capital by investing primarily in a well-diversified portfolio of short-term fixed income securities issued by Canadian governments and corporations, and first mortgages on property located in Canada. The fund seeks to provide above average total returns and achieve a yield advantage. To provide total returns comprised of interest income and capital growth. The fund invests primarily in higher yielding corporate or government debt securities from anywhere around the world. To provide long-term capital growth by investing primarily in equity securities of Canadian and/or U.S. companies priced below their true value and offering long-term opportunities for growth. This fund invests in underlying funds or directly in securities. The fund or underlying funds are primarily invested in government and corporate debt securities, although the fund or underlying funds may also hold equities and alternative investment class assets. This fund seeks to preserve capital and provide sustainable income. The fund s investment objective is to seek a combination of income and growth by investing primarily in Canadian equity securities and Canadian debt instruments directly or indirectly through mutual funds and exchange-traded funds that invest in such securities. The fund may invest up to 45% in foreign securities directly or indirectly through mutual funds that invest in such securities. The fund s investment objective is to seek long-term capital appreciation through exposure to primarily equity securities included in a broad and recognized Canadian equity market index that includes primarily large and mid-market capitalization companies the securities of which are considered to be the most liquid in Canadian equity markets by investing primarily in units of Sun Life BlackRock Canadian Composite Equity fund or its successor fund (the "underlying trust fund"). The fund s investment objective is to seek capital appreciation through exposure to primarily Canadian equity securities by investing primarily in units of Sun Life BlackRock Canadian Equity fund or its successor fund (the "underlying trust fund"). The fund may invest up to 35% of the underlying trust fund's assets in foreign securities. The fund's investment objective is to provide income by replicating, to the extent possible, the performance, net of fees, of a broad and recognized Canadian bond market index (the "Index"). The fund invests directly in fixed income securities included in the Index and/or may achieve indirect exposure to some or all of the Index by investing in exchange-traded funds, mutual funds or derivatives that are correlated to the performance of the Index. The fund s investment objective is to seek to achieve long-term capital appreciation primarily by investing directly in equity securities of United States based businesses deemed to be undervalued relative to their perceived worth or indirectly by investing in mutual funds (including exchangetraded funds) that invest in such securities. The fund s investment objective is to seek to achieve income and long-term capital growth through exposure to primarily equity securities that pay a dividend or distribution by investing primarily in units of Sun Life Dynamic Equity Income fund or its successor fund (the "underlying trust fund"). Page 215 of 219

216 Summary of the investment objectives of each fund: Fund name Objective Sun Life Dynamic Strategic Yield Sun Life Franklin Bissett Canadian Equity Sun Life Granite Balanced Sun Life Granite Balanced Growth Sun Life Granite Conservative Sun Life Granite Enhanced Income Sun Life Granite Growth Sun Life Granite Income Sun Life Granite Moderate Sun Life MFS Canadian Bond Sun Life MFS Canadian Equity Growth Sun Life MFS Canadian Equity Value Sun Life MFS Dividend Income Sun Life MFS Global Growth The fund s investment objective is to seek to achieve income and long-term capital growth through exposure to primarily a diversified portfolio of fixed income and income-oriented equity securities by investing primarily in units of Sun Life Dynamic Strategic Yield fund or its successor fund (the "underlying trust fund"). The fund seeks to achieve long-term capital appreciation primarily by investing directly in a diversified portfolio of mid to large capitalization Canadian equities or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund s investment objective is to seek capital appreciation and income, with a small bias towards capital appreciation, by investing primarily in a mix of equity and fixed income mutual funds. The fund's investment objective is to seek capital appreciation and income, with a bias towards capital appreciation, by investing primarily in equity mutual funds and, to a lesser extent, fixed income mutual funds. The fund's investment objective is to seek income and capital appreciation, with a bias towards income, by investing primarily in fixed income mutual funds and, to a lesser extent, equity mutual funds. The fund seeks to generate a consistent level of income by investing primarily in a mix of incomefocused fixed income and equity mutual funds (including exchange-traded funds), with an emphasis towards higher yielding investments. The fund's investment objective is to seek capital appreciation by investing primarily in equity mutual funds and, to a lesser extent, fixed income mutual funds. The fund seeks to generate a consistent level of income by investing primarily in a mix of incomefocused fixed income and equity mutual funds (including exchange-traded funds). The fund's investment objective is to seek income and capital appreciation by investing primarily in a mix of fixed income and equity mutual funds. The fund aims to provide investors with high investment returns primarily through income, with reasonable safety of capital. The fund may invest up to 30% of the fund's assets in foreign debt instruments. The fund aims for long-term capital growth primarily by investing in Canadian growth equity securities. The fund may invest in global equity securities or other mutual funds. The fund may invest up to 40% of the fund's assets in non-canadian securities. The fund aims for long-term capital growth primarily by investing in Canadian equity securities deemed to be undervalued relative to their industries or the overall market. The fund may invest in global equity securities or other mutual funds. The fund may invest up to 40% of the fund's assets in non-canadian securities. The fund s investment objective is to seek income generation and capital appreciation through exposure to primarily dividend or income paying securities, including royalty trust units, real-estate investment trust units and limited partnership units and other exchange-listed participating securities, by investing primarily in units of Sun Life MFS Dividend Income fund or its successor fund (the "underlying trust fund"). The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located anywhere in the world that are considered to have above-average earnings growth potential compared to other issuers. Page 216 of 219

217 Summary of the investment objectives of each fund: Fund name Objective Sun Life MFS Global Total Return Sun Life MFS Global Value Sun Life MFS International Growth Sun Life MFS International Value Sun Life MFS Low Volatility Global Equity Sun Life MFS Low Volatility International Equity Sun Life MFS Monthly Income Sun Life MFS US Equity The fund's investment objective is to seek total return by investing primarily in a mix of equity securities and debt instruments of issuers located anywhere in the world. The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located anywhere in the world that are considered to be undervalued compared to their perceived worth. The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers outside of Canada and the U.S. that are considered to have above-average earnings growth potential compared to other issuers. The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located outside of Canada and the U.S. that are considered to be undervalued compared to their perceived worth. The fund s investment objective is to achieve long-term capital appreciation with low volatility by investing primarily in a diversified portfolio of equity securities of issuers located anywhere in the world or indirectly by investing in mutual funds (including exchange-traded funds) that invest primarily in such securities. The fund s investment objective is to seek long-term capital appreciation with low volatility by investing primarily in a diversified portfolio of equity securities of issuers outside Canada and the United States or indirectly by investing in mutual funds (including exchange-traded funds) that primarily invest in such securities. The fund's investment objective is to seek to provide a consistent level of regular income with capital appreciation as a secondary objective over the long term, by investing primarily in income producing equity and debt securities. The fund aims for long-term capital growth by investing primarily in companies domiciled in the United States or whose primary stock exchange listing is in the United States. Sun Life MFS US Growth Sun Life MFS US Value Sun Life Money Market Sun Life Multi-Strategy Bond Sun Life NWQ Flexible Income Sun Life Schroder Emerging Markets The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of issuers located in the United States that are considered to have above-average earnings growth potential compared to other companies. The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of companies with large market capitalizations located in the United States that are considered to be undervalued compared to their perceived worth. The fund's investment objective is to achieve a high level of current income while seeking to protect capital and to maintain liquidity by investing primarily in Canadian dollar-denominated money market instruments. The fund may invest up to 10% of the fund's assets in Canadian dollardenominated money market instruments of foreign issuers. The fund's investment objective is to seek to earn a high rate of income by investing primarily in fixed-income securities of Canadian government and corporate issuers. The fund may from time to time invest up to 20% of the fund's portfolio in fixed-income securities of governments and companies outside Canada. The fund seeks to achieve income and capital appreciation by investing primarily in a diversified portfolio of income producing securities. The fund's investment objective is to seek capital appreciation by investing primarily in equity securities of companies with a connection to emerging markets. Page 217 of 219

218 Summary of the investment objectives of each fund: Fund name Objective Sun Life Sentry Conservative Balanced Sun Life Sentry Global Mid Cap Sun Life Sentry Infrastructure Sun Life Sentry Value Sun Life Sionna Canadian Small Cap Equity Sun Life Templeton Global Bond Sun Life Trimark Canadian TD Canadian Bond TD Dividend Income TD Real Return Bond Trimark The fund seeks to provide stable income and long-term capital appreciation, primarily by investing directly in a conservative diversified portfolio of Canadian fixed-income and income-oriented equity securities or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund seeks to achieve long-term capital appreciation primarily by investing in a diversified portfolio of medium capitalization Global companies or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund seeks to provide regular current income primarily by investing directly in global companies with either direct or indirect exposure to infrastructure or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund s investment objective is to seek to achieve long-term capital appreciation through exposure to primarily equity securities of Canadian and U.S. companies by investing primarily in units of Sun Life Sentry Value Fund or its successor fund (the "underlying trust fund"). The fund may invest in U.S. and other foreign securities in an amount not exceeding 49% of the assets of the underlying trust fund. The fund seeks to achieve long-term capital appreciation through exposure to primarily equity securities of small to medium capitalization Canadian companies by tracking the performance of the Sionna Canadian Small Cap Equity Fund or its successor fund (the underlying trust fund ). In seeking to track the performance of the underlying trust fund, the portfolio manager may invest primarily in units of the underlying trust fund, or it may invest in securities, which may include securities of other mutual funds (including exchange-traded funds), identical or substantially similar to those in which the underlying trust fund invests. The fund seeks to achieve high current income and capital appreciation primarily by investing directly in fixed-income securities and preferred shares issued around the world or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund seeks to achieve consistent long-term capital appreciation primarily by investing directly in common shares of Canadian companies or indirectly by investing in mutual funds (including exchange-traded funds) that invest in such securities. The fund seeks to earn a high rate of interest income primarily by investing directly in high-quality bonds and debentures issued principally by Canadian borrowers in Canadian dollars The fund seeks to provide income and to a lesser extent capital appreciation, primarily by investing directly in income producing securities The fundamental investment objective is to provide a regular level of interest income that is hedged against inflation, by investing primarily in Canadian government guaranteed real return bonds, as well as those issued by the governments of foreign countries. Trimark Fund seeks to achieve strong capital growth with a high degree of reliability over the long term. The Fund invests primarily in equities of companies anywhere in the world. The fundamental investment objective of an Underlying Fund cannot be changed unless approved by the unitholders of the Underlying Fund. If a change to the investment objectives of an Underlying Fund is approved by the unitholders of such Underlying Fund, we will give you notice of such change and approval. We reserve the right to change any Underlying Fund. Page 218 of 219

219 About the underlying mutual fund companies All the information about the Underlying Funds, including their investment objectives and strategies, is based on information provided by the mutual fund companies. Mutual Fund Company: Sun Life Global Investments (Canada) Inc. 150 King Street West, Suite 1400 Toronto, Ontario M5H 1J9 CI Investments Inc. 2 Queen Street East, Twentieth Floor Toronto, Ontario M5C 3G7 Fidelity Investments Canada ULC 483 Bay Street, Suite 200 Toronto, Ontario M5G 2H7 TD Asset Management Inc. Toronto-Dominion Bank Tower, P.O. Box 100 Toronto, Ontario M5K 1G8 Phillips, Hager & North Investment Management Ltd. 155 Wellington Street West, 21st Floor Toronto, Ontario M5V 3K7 Franklin Templeton Investments 5000 Yonge Street, Suite 900 Toronto, Ontario M2N 0A7 Fiera Capital Corporation 1501 McGill College Avenue, Suite 800 Montreal, Quebec H3A 3M8 Invesco 5140 Yonge Street, Suite 800 Toronto, Ontario M2N 6X7 RBC Global Asset Management P.O. Box 7500, Station A Toronto, Ontario M5W 1P9 Page 219 of 219

220 About Sun Life Financial Founded in 1865, Sun Life Financial has helped Canadians manage and grow their assets for over 150 years. FINANCIAL STRENGTH, DISCIPLINED RISK MANAGEMENT International financial services provider with total assets under management of $891 billion* One of Canada s oldest, most trusted financial institutions, recognized for sustainability and proven, disciplined risk management INVESTMENT MANAGEMENT EXPERTISE Investment funds from leading global portfolio managers Focus is on risk management through experience, insight and innovation LEADING PRODUCTS AND SERVICE Full suite of leading insurance and investment products for individuals and corporate customers Strong commitment to service excellence * As of December 31, 2015 for the Sun Life Financial group of companies. CONTACT INFORMATION: Toll free English: (1-844-SLF-GIFS) Toll free French: (1-844-FPG-1FSL) [email protected] Website: sunlifegifs.com Sun Life Assurance Company of Canada ( Sun Life ) is the issuer of the Sun Guaranteed Investment Fund (GIF) Solutions insurance contract and the guarantor of the guarantee provisions. Life s brighter under the sun Sun Life Assurance Company of Canada is a member of the Sun Life Financial group of companies. Sun Life Assurance Company of Canada,