Neptune Investment Management

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Neptune Investment Management
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Delivering High Performance
John HusselbeeChief Executive, North Fund Manager
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What has changed about MultiManager ?

• Performance - top quartile performance objectives
• Conviction - high conviction investment approach
• Unconstrained - benchmark is peer group
  performance /cash
• Diversification extended to embrace full range
  of asset classes, investment products and funds

Source Neptune. As at 01/08/07
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What hasnt changed?

• A disciplined and robust investment process
• Reputation and experience
• Manager access
• Transparency
• Pricing
• Meeting client expectations

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Background to Neptune MultiManager

• Neptune has offered MultiManager for over 3 years
• Fund Manager with over 15 years MultiManager
  experience
• Combining Neptunes proven asset allocation
  policy with a robust proprietary investment
  process, developed over 15 years
• Two MultiManager funds offering Growth Income
• AUM of 80m
• Delivering top performance to investors

Source Neptune. As at 01/08/07
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Neptune building success from performance

• Launched in 2002, Neptune has built a strong
  reputation for delivering consistently high
  levels of performance across their fund range
• Neptunes consistent success driven by strong
  sector views, proprietary research and unique,
  proven global view
• Neptune currently responsible for over 1.5bn
  AUM
• Neptunes core principles of high conviction
  investing and top quartile performance objectives
  are the drivers that set the Neptune MultiManager
  funds apart from their peers

Source Neptune. As at 01/08/07
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How have the returns been delivered?

• Approach for these funds aligned to that of
  Neptune high conviction with top quartile
  performance objectives
• No longer benchmark driven
• Zero weighting in the US for the past 3 years
• Substantial underweight and overweight positions
• Regulatory changes have allowed inclusion of
  closed ended and open ended funds as well as a
  plethora of new investment products and vehicles

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Accessing a range of structures and products

• Open-ended investment funds
• Closed-ended investment funds
• Exchange Traded Funds (ETF)
• REITs
• Structured Products
• Direct Gilts
• Derivative instruments

Source Neptune. As at 01/08/07
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Additional Growth Opportunities
24.9
38.9
82
18.3
SourceLipper
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Award winning growth
Neptune MultiManager Growth

• John Husselbee appointed 01/07/04
• 10th pcl over 3 yrs. Growth of 79 vs sector
  average of 52
• Best in Sector 2006, awards from Lipper and
  Moneywise

Source Lipper. 01/07/04 01/07/07. Bid to bid.
Net income reinvested. Ranked 16/308 in Global
Growth Sector.
Source Lipper. 01/06/04-01/08/07. Bid to bid.
Net income reinvested. Sterling returns
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Top quartile performance objective
Neptune MultiManager Growth performance on a
discrete basis
01/07/06 01/07/07 01/07/06 01/07/07 01/07/05 01/07/06 01/07/05 01/07/06 01/07/04 01/07/05 01/07/04 01/07/05 01/07/03 01/07/04 01/07/03 01/07/04 01/07/02 01/07/03 01/07/02 01/07/03
Value Ptl Value Ptl Value Ptl Value Ptl Value Ptl
Neptune MM Growth 17 27 22 15 25 5 42 1 -23 100
IMA Global Growth 15 16 13 13 -10
Source Lipper. Bid to bid. Net income
reinvested. Shaded area denotes period prior to
Neptune taking ownership
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Risk and reward
Neptune MM Growth

• High performance
• High conviction
• Upper end of the risk spectrum, when compared to
  the sector average

Neptune MM Growth
Global Growth Sector Average
Source Lipper
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Top performer
Neptune MultiManager Income

• Neptune MM Income moved to Cautious Managed from
  Global Growth sector on 01/07/05
• Top performing fund over 3 year period

Sector change
Source Lipper. 01/07/04 1/07/07..Bid to bid.
Net income reinvested..Ranked 1/110 in Cautious
Managed Sector.
Source Lipper. 01/06/04-01/08/07. Bid to bid.
Net income reinvested. Sterling returns
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Exceeding expectations
Neptune MultiManager Income performance on a
discrete basis
01/07/06 01/07/07 01/07/06 01/07/07 01/07/05 01/07/06 01/07/05 01/07/06 01/07/04 01/07/05 01/07/04 01/07/05 01/07/03 01/07/04 01/07/03 01/07/04 01/07/02 01/07/03 01/07/02 01/07/03
Value Ptl Value Ptl Value Ptl Value Ptl Value Ptl
Neptune MM Income 13 5 14 4 21 1 40 1 -25 100
IMA Cautious Managed 8 8 12 7 0
Source Lipper. Bid to bid. Net income
reinvested. Shaded area denotes period prior to
Neptune taking ownership
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Risk and reward
Neptune MM Income

• High conviction approach
• At higher end of the risk spectrum relative to
  the peer group
• Target yield in excess of that offered by the
  MSCI World

Neptune MM Income
Cautious Managed Sector Average
Source Lipper
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Important Information
This document is issued by Neptune Investment
Management Limited (Neptune) which is
authorised and regulated by the Financial
Services Authority. Neptune Funds are available
to any persons that may be marketed to under the
Financial Services and Markets Act (Promotion of
Collective Investment Schemes) (Exemptions) Order
2001. Private customers should consult their
Independent Financial Adviser or other authorised
intermediary. Please check with your
professional financial adviser as to whether such
products are available in the country in which
you are resident. None of our products are
available to residents in the United States. The
information and statistical data herein have been
obtained from sources we believe to be reliable
but in no way are warranted by us as to accuracy
or completeness. We do not undertake to advise
you as to any change of our views. This is not a
solicitation or an offer to buy or sell. Neptune
Investment Management Limited has produced this
report for private circulation to professional
and institutional clients only. The material is
not intended for the use of private investors.
All information and advice is given in good faith
but without any warranty. Please remember that
past performance should not be seen as a guide of
future performance. The value of an investment
and any income from it can fall as well as rise
as a result of market and currency fluctuations
and you may not get back the amount originally
invested. Any past performance data that has not
been shown is due to the information not being
available. Neptune is not authorised to give
investment advice and only provides information
on Neptune products.
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Neptune Investment Management

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