Axa framlington

Dan Harlow - Fund Manager

AXA Framlington American Growth Fund

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September 2012

This communication is for professional advisers only and must not be reliedupon by retail clients. Circulation must be restricted accordingly.

US Investment Team

The Investment Team Global sector specialists

Stephen Kelly Lead Fund Manager 21 years’ experience managing US equities Joined AXA Framlington and started managing American

Growth Fund in March 1997 Previously on US Desk at Capel Cure Myers BSc (Hons) Economics from Exeter University

Consumers

Isabel Pajot24 yrs’ experience

Commodities

OlivierEugène13 yrs’experience

Industrials

MarkHargraves17 yrs’experience

Healthcare

Gemma Game11 yrs’experience

Technology

Jeremy Gleeson15 yrs’ experience

Auto/Telecom/Utilities

Bruno Grandsard11 yrs’experience

Financials

Susan SternglassNoble26 yrs’experience

Source: AXA IM as at 31/07/2012. Years relate to investment experience.

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Dan Harlow

Fund Manager Dan moved onto the US equity team in November 2011,

having previously co-managed the UK small and mid cap mandates upon joining AXA Framlington in February 2010

Previously with Montanaro Asset Management for nine years as Head of UK fund management

BA (Hons) History and MSc International Relations both from Southampton University

Anne Tolmunen, CFA

US Equity Analyst Joined US equity team in February 2010, as a dedicated

equity analyst Previously Strategic Auditor within Global Internal Audit

team of AXA IM, and later as Programme Manager on integration project at AXA Framlington

Masters from ESSEC (French Business School).

AXA Framlington is a fundamental, bottom-up equity specialist, based in London and Paris, managing over £27bn* of assets

A team of 56 investment experts with over 15 years’ industry experience on average covering different ranges of products: Global, Thematic, Emerging, Europe, UK, Japan and US

A disciplined approach to growth investing, a focus on pure, unit-driven growth companies, leaders in their field, with superior growth prospects

A team of experienced managers with deep knowledge of US companies and industries: Stephen Kelly has been managing the Fund for 15 years

A time-tested investment process based on active stock picking and a rigorous sell discipline

A proven track record in both bull and bear markets: +28.9% cumulative excess gross return over 10 years versus the Russell 1000 Growth Index**

1st quartile ranking versus the IMA North America peer group YTD, 3 and 5 years and 2nd quartile for 1 year

AXA Framlington

Our proposition

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Source: *AXA IM as at 31/03/2012. ** Lipper FactSet, Basis: Net income, total return, bid to bid, gross of fees, primary share class in GBP as at 31/08/2012. Performance of the AXA Framlington American Growth Fund (UK Unit Trust). Past performance is not a guide to future returns.

AXA Framlington American Growth Strategy

Economic perspectives

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Loan growth is recovering – US C&I loans have shown sustained improvement

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Banks tightening C&I loans to large firms (%) vs Real GDP (Y/Y) – lagged three quarters

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Source: Citi Research as at 10/08/2012

Housing market showing early signs of improvement

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Source: U.S. Census Bureau , Raymond James. As at April 2012.

US Household formation: 1994-2012

Household Debt Service Ratio (as a % of Disposable Personal Income)

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Source: U.S. Census Bureau , Raymond James. As at April 2012.

The Fiscal Cliff

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Source: Congressional Budget Office. As at April 2012.

Congressional Budget Office Deficit Projections Based on Current Law, FY 2009-2022

US set to be World’s number 1 producer?

Source: Left-hand chart, EIA, Citi Investment Research and Analysis; Right-hand chart, BP, Citi Investment Research and Analysis. As at April 2012.

1965 1985 1995 2005 20151975

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Monthly data on US crude production – million barrels / day

US production could overtake Saudi Arabia and Russia this decade

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M b/d

Multiplier effect - North Dakota shale oil example

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Source: North Dakota State Government, Reuters, CIRA. As at April 2012.19

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Booming North Dakota production is a case in point– As Bakken oil production has surged (up 153-k b/d

y-o-y to 510-k b/d in November 2011), economic activity in the state has burgeoned:• State GDP growth was 7.1% in 2010• State population grew 10,000 over 2011• As well as drilling and producing jobs, auxiliary

employment has also been stimulated (see table below)

• As of October, there were over 18,500 job vacancies, up 60% y-o-y

• State unemployment was at 2.9%, versus 8.6% nationwide

b/d

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Lower US oil imports contribute to a narrowing trade deficit

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Source: EIA, IEA, BEA, RJ estimates. As at April 2012.

Cheaper energy to assist a US manufacturing renaissance

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Source: BLS/Global Macro Monitor. As at May 2012.

US Employment in Manufacturing (thousands)

AXA Framlington American Growth Fund

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AXA Framlington American Growth Fund as at 31 July 2012

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Source: AXA IM as at 31/07/2012 in GBP. Comparative benchmark = Russell 1000 Growth Index.

Sector – Fund against comparative benchmarkTop ten holdings Fund %Comparative

Benchmark %

Apple Inc. 8.9 8.2

International Business Machines Corp. 3.9 3.1

Google Inc. Cl A 2.8 2.4

QUALCOMM Inc. 2.1 1.5

Panera Bread Co. Cl A 1.6 0.1

Amazon.com Inc. 1.6 1.2

Maxim Integrated Products Inc. 1.6 0.1

Kansas City Southern 1.6 0.1

SBA Communications Corp. 1.6 0.1

American Tower Corp 1.6 0.4

TOTAL 27.1 17.1

Fund size (£m) 520.5

Number of holdings 66

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Growth cycle

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Focus on open-ended secular growth stories Seeking proven businesses with proven management innovators in their sector Key requirement is top-line / unit volume growth of sales, not cost-cutting /restructuring

“Blue Sky” Emerging Mainstream

Potential opportunities

Companies executing on opportunity

MatureSales Growth

Time

Source: AXA IM for illustration purpose only .

Applying our definition of growth to our stock universe

Source: FactSet as at 31/07/2012.

Technology

Salesforce - Salesforce is a software company specialising in Customer Relationship Management products

- $21.8bn market cap

- 5 year revenue growth +355%

Consumer

Chipotle Mexican Grill owns and operates quick serve Mexican restaurants

- $13bn market cap

- 5 year revenue growth of +192%

Healthcare

Alexion Pharmaceuticals is the developer and distributor of a drug used in treating two ultra-rare disorders, and is also involved in other research initiatives. Sells several drugs in the oncology area

- $17.2bn market cap

- 5 year revenue growth of +48,837%

Johnson & Johnson manufactures a very broad range of medical devices, pharmaceutical and consumer packaged goods, owning numerous household brands

- $179bn market cap- 5 year revenue growth of +22%

Microsoft - Microsoft is a multinational providing computing services, developing prominent software suites and manufacturing consumer electronics

- $267.1bn market cap- 5 year revenue growth of +58%

McDonald's operates fast food restaurants

- $99bn market cap- 5 year revenue growth of +21%

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AXA Framlington American Growth S&P 500 Russell 1000 Growth

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AXA Framlington American Growth Russell 1000 Growth

A strategy that does what it says…. no style drift

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Revenue Growth characteristic strongly defined (and constant)

Mid Cap tends to be richest hunting ground (large cap index constituents of the future)

Breakdown by market capitalisation (in GBP)

Source: AXA IM as at 31/07/2012.

AXA Framlington American Growth Fund performance

Source: Graph – AXA IM, Lipper as at 31/08/2012, performance calculated net of fees, bid to bid, in GBP. Table: AXA IM, Lipper as at 31/08/2012, performance calculated net of fees, bid to bid, in GBP. NB: Past performance is not a guide to future returns. Fund launched 31/12/1992.

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Dec-92 Dec-93 Dec-94 Dec-95 Dec-96 Dec-97 Dec-98 Dec-99 Dec-00 Dec-01 Dec-02 Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11

AXA Framl ington American Growth, Net

Russel l 1000 Growth

IMA North America

Cumulative performance (net) YTD 1Yr 3Yrs 5Yrs 10Yrs

AXA Framlington American Growth 12.5 18.9 59.4 47.2 91.8

Russell 1000 Growth TR 12.1 20.3 58.5 52.2 92.0

Excess over comparative benchmark 0.4 -1.4 1.0 -5.0 -0.1

IMA North America 8.5 16.7 38.3 25.9 57.8

Excess over peer group 4.0 2.2 21.2 21.4 34.1

Quartile (vs IMA North America) 1 2 1 1 1

Appendix

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Kansas City Southern – Cross border trade driving growth opportunities

The Company• Rail Road operator with 3,500 route miles serving central & south central U.S.

• Operates 3,100 miles of track in Mexico

• 2012 forecast: Sales growth 7% to $2.2bn,EBITA up 14% to $882m

• Market Capitalisation: $8.5bn

Growth Drivers• Increased emphasis on ‘near sourcing’ for U.S. markets

• Mexican automobile production forecast to increase 41% by 2015

• Heightened awareness of economic and logistical benefits of rail vs. truck for cross border trade

• U.S. energy revolution driving increased movement of oil and frac sands

• Gulf of Mexico to see huge investment in chemical sector

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Source: Kansas City Southern as at 31/07/12

EOG Resources - On-shore shale oil production leader

• One of America’s largest indepdendent crude oil and natural gas companies

• First mover in US large unconventional horizontal oil plays including Bakken and Eagleford

• 2011 delivered production split 72% liquids (natural gas liquids and crude)/ 28% gas

• Forecasting 33% growth in liquids production in 2012

• Multi-year inventory of horizontal oil/liquids plays

• 647,000 net acres in prolific Eagleford basin. Estimated potential reserves of 1.6bn boe with 75% yet to be booked. Over 3,000 wells to drill.

• Opportunity to expand recovery rate from 6% to 10% over time

• Cost structure benefiting from self-sourcing materials and completion equipment ($5.5m/well vs $6m summer 2011)

Source Forbes Magazine, September 2011 Factset as at 31/05/2011

May-02 May-03 May-04 May-05 May-06 May-07 May-08 May-09 May-10 May-11 May-12

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Important notice

AXA Framlington is an expertise of AXA Investment Managers UK Limited. Issued by AXA Investment Managers UK Limited. Registered in England and Wales No: 01431068. Registered Office: 7 Newgate Street, London, EC1A 7NX. Authorised and regulated by the Financial Services Authority. A member of the Investment Management Association.

This document does not constitute an offer to sell or buy any units in the Fund. Information relating to investments is based on research and analysis undertaken or procured by AXA Investment Managers UK Limited for its own purposes and may have been made available to other members of the AXA Group of Companies which, in turn, may have acted on it. Whilst every care is taken over these comments, no responsibility is accepted for errors and omissions that may be contained therein. It is therefore not to be taken as a recommendation to enter into any investment transactions.

The price of units and the income from them can go down as well as up and investors may not get back the amount originally invested. An initial charge is usually made when you purchase units. Your investment should be for the medium-to-long-term i.e. typically 5-10 years. Past performance is not a guide to future performance. Changes in exchange rates will affect the value of trust investments overseas.

This presentation is for professional advisers only and must not be relied upon by retail clients. Circulation must be restricted accordingly.

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