Portfolio Management Mandate Domestic Switzerland. Your individual solution with a focus on Switzerland

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1 Portfolio Management Mandate Domestic Switzerland Your individual solution with a focus on Switzerland

2 LGT Domestic Switzerland Mandate a clear and simple investment solution The world of investment opportunities is becoming ever more complex. We would like to inform you about a clear and simple investment solution, specifically developed for Swiss private clients, which is tailored to your needs. As with all LGT portfolio management mandates, with the Domestic Switzerland Mandate you benefit at all times from complete transparency regarding your investments, while simultaneously profiting from sound knowledge and our experts many years of experience. The Domestic Switzerland Mandate from LGT is a unique portfolio management solution. It allows you to concentrate most of your investments in the stable Swiss domestic market. Your assets are diversified worldwide, however, because we invest most of the equity component directly in Swiss (blue chip) companies operating globally. As far as bonds are concerned, we focus on high-quality securities issued in Swiss francs. The Domestic Switzerland Mandate can be tailored to suit various client needs. You and your relationship manager will therefore get together at the outset to work out a personal investment profile. This will reflect your individual preferences and your personal appetite for and tolerance of risk. We also take your personal investment restrictions into account. As your assets are primarily invested in Swiss francs, exchange rate fluctuations are kept to a minimum. This does away with cumbersome currency hedging. The concept Asset allocation Bonds Equities Alternative investments (optional) Currencies n Clear and transparent portfolio structure n Broad diversification across many different asset classes n Focus on direct investments in Swiss francs n No high-risk investments n Emphasis on first-rate Swiss companies n Foreign investments (via collective investments) made on a best-in-class basis n Inclusion of alternative investments to ensure diversification n Proportion of alternative investments increases with appetite for risk n Around 75 percent of all investments made in Swiss francs

3 Invest locally participate globally Participating in the global economic performance Although the equity investments are focused on the Swiss market, you profit all the same from the performance of the global economy. Breakdown of turnover for companies invested in Switzerland (9%) Emerging markets (7%) US (31%) The majority of companies in the portfolio operate at an international level. This is reflected in the fact that less than ten percent of the companies turnover is generated in Switzerland. The remaining 90 percent plus is achieved around the world, predominantly in Europe and the US. Asia/Japan (19%) Europe (34%) A three-stage, well-founded investment process With the Domestic Switzerland Mandate from LGT, you select a competent and reliable partner. Our investment specialists look after your assets in a professional manner and consistently monitor all investments made. In a three-stage investment process, we firstly analyze global and regional developments, then assess the individual markets, securities and sectors, before finally optimizing your portfolio. At the core of our work is optimal risk diversification. Long-term market expectation Periodic reassessment and adjustment to suit market conditions Strategic asset allocation Optimization of the long-term risk/return profile Tactical asset allocation Permanent adjustment of the portfolio in order to take advantage of shortand medium-term market fluctuations Active portfolio management Selection of the most promising individual securities and funds for the client portfolio best in class Continuous risk control Features of an LGT Domestic Switzerland Mandate n Successful investment and strategy process pursued over many years by LGT n Wishes of the individual client taken into account n Portfolio management team with considerable experience n Open structure best-in-class approach n Focus on the domestic market and Swiss franc n High liquidity: any cash funds required are available at any time n High transparency: all positions can be viewed at any time n Broad diversification across many different asset classes and securities n Permanent, systematic monitoring

4 A portfolio for your individual needs Five risk profiles From the five investment strategies available, you can choose the best option to suit your individual risk profile. Each strategy has set bandwidths for the individual asset classes. Within these bandwidths, we adjust on an ongoing basis the current proportions relating to bonds, equities and as required alternative investments (hedge funds, commodities and real estate) in line with market expectations. Your relationship manager will be happy to help you find the optimal risk profile for you. Product specifications Recommended investment horizon: 3-5 years Reference currency: CHF Minimum investment: CHF 1 million Restrictions: possible Bringing transparency to complex requirements We place a great deal of emphasis on transparency when implementing the risk profile selected. This is why we tend to invest in Swiss equities and bonds, primarily via direct investments. To ensure sufficient diversification, we also use collective investments, such as those with a specific theme or in emerging markets. These are selected by specialists on a bestin-class basis, whereby we search worldwide on your behalf for the best investment specialists for the relevant investment theme. The restrictions you define serve as guidelines and ensure your portfolio matches your individual needs at all times. No retrocessions should ever result from arranging the Domestic Switzerland Mandate. Should this happen, however, you will be reimbursed accordingly. Five investment strategies Equities High long-term capital gains Growth Main focus on capital gains by investing in equities and including selected bonds Return Balanced Capital appreciation with a balanced risk/return ratio Conservative Income from interest and inclusion of equity investments Income Focus on preservation of capital and interest income Risk Bonds and the money market Equities Alternative investments

5 Your advantages as a client of LGT Security thanks to a long-term perspective For over eighty years, LGT has been owned by the Princely House of Liechtenstein. As an unlisted family company, we are independent and take a long-term view. The resulting stability is also reflected in the very good ratings we receive from independent rating agencies for our financial security. Outstanding investment expertise Our investment expertise encompasses asset allocation, manager and security selection. Since no portfolio manager can be successful in all areas at all times, we carefully outsource the management of investments in niche and specialty areas. Our investment approach is based on the best-in-class concept: only asset managers who generate proven added value may work for us and our clients. And even our own fund managers must prove themselves in competition with external specialists. Our investment expertise is regularly recognized with awards from external bodies, including Lipper Analytical Services. You and your investments can also benefit from this comprehensive expert knowledge. Personal care Your relationship manager is your personal partner, who will take care of all your investment needs. Taking into consideration your requirements and investment objectives, your relationship manager will establish an individual investment strategy with you to serve as a basis for your investment decisions. Thanks to our detailed performance reports, an overview of your assets and investments are available to you at all times. Risk note/disclaimer This publication is for your information only and is not intended as an offer, solicitation of an offer, public advertisement or recommendation to buy or sell any investment or other specific product. The information in this publication does not constitute an aid for decision-making in relation to financial, legal, tax, or other consulting matters, nor should any investment or other decisions be made on the basis of this information alone. It is recommended that advice be obtained from a qualified expert. Investors should be aware that the value of investments can fall as well as rise. Positive performance in the past is therefore no guarantee of positive performance in the future. The risk of price and foreign currency losses and of fluctuations in return as a result of unfavorable exchange rate movements cannot be ruled out. There is a possibility that investors will not recover the full amount they initially invested.

6 Josef Höger, Detail from View from the Rettenbach Alp towards the Totes Gebirge, ca 1836 LIECHTENSTEIN. The Princely Collections, Vaduz Vienna LGT Bank (Switzerland) Ltd. Lange Gasse 15 CH-4002 Basel Phone LGT Bank Ltd. Herrengasse 12 FL-9490 Vaduz Phone LGT is represented at more than 20 locations in Europe, Asia and the Middle East. A complete address list can be found at en T BVD