Portfolio Summary Sample - Vanguard Canada ? Hypothetical Portfolio ... Portfolio Summary Portfolio

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  • Hypothetical Portfolio Illustration: Sample

    12-08-2013 to 29-02-2016

    Portfolio Summary

    Portfolio Custom Benchmark Net Amount Invested

    0

    15

    30

    45

    60

    75

    90

    105

    120

    135

    $150k

    08-13 11-13 02-14 05-14 08-14 11-14 02-15 05-15 08-15 11-15

    Planning Assumptions

    Currency CAD

    Rebalance None

    Allocation UpdateFrequency

    None

    Performance

    Net Amount Invested $100,000

    Final Market Value $136,351

    Average Annualized Return 12.93%

    Cumulative Return 36.35%

    Cumulative Ret -Benchmark

    5.30%

    Portfolio-Level Performance Disclosure

    The portfolio-level performance shown is hypothetical and for illustrative purposes only. Investor returns will differ from the results shown.

    Investment DetailPeriod Beginning

    BalanceNew

    InvestmentDistribution/Withdrawal

    TotalReinvest

    Charges& Fees

    MarketValue

    TotalReturn %

    Totals 0 100,000 0 7,490 0 136,351 12.93

    August-December 2013 0 100,000 0 1,028 0 112,769 12.77January-December 2014 112,769 0 0 2,782 0 128,358 13.82January-December 2015 128,358 0 0 3,468 0 143,681 11.94January-February 2016 143,681 0 0 212 0 136,351 -5.10

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 1 of 9

    Sample

  • Hypothetical Portfolio Illustration Continued : Sample

    12-08-2013 to 29-02-2016

    Security Summary

    0

    15

    30

    45

    60

    75

    90

    105

    120

    135

    $150k

    08-13 11-13 02-14 05-14 08-14 11-14 02-15 05-15 08-15 11-15

    % of Total Market Value

    Start 12-08-2013

    End 29-02-2016

    Investment Assumptions

    Investment Name HoldingPeriod

    InitialInvestment

    SubsequentInvest/Withdwl

    ReinvestDistributions

    Liqui-date

    Re-balance

    Charges and Fees

    FrontLoad

    AnnualFee

    Deferred LoadAmount%

    PeriodYears

    MarketValue

    Start End Amount Amount Freq Income Cap Gains % End$

    iShares S&P/TSX 60 (CAD, XIU) 08-13 02-16 20,000 0 Y Y N 0.00% 0.00% 0.00-0.00 22,465

    SPDR S&P 500 ETF (USD, SPY) 08-13 02-16 35,000 0 Y Y N 0.00% 0.00% 0.00-0.00 55,503

    Vanguard FTSE Canada All Cap ETF(CAD, VCN)

    08-13 02-16 30,000 0 Y Y N 0.00% 0.00% 0.00-0.00 32,367

    Stock Name HoldingPeriod

    InitialInvestment

    SubsequentInvest/Withdwl

    ReinvestDistributions

    Liqui-date

    Re-balance

    Charges and Fees

    Purchase%

    Purchase AnnualFee

    MarketValue

    Start End Amount Amount Freq % End$

    General Electric Co (USD, GE) 08-13 02-16 15,000 0 Y N 0.00 0.00 0.00% 26,017

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 2 of 9

    Sample

  • Portfolio Snapshot Portfolio Value Benchmark

    Sample$100,000.00 Custom

    Analysis 29-02-2016

    Asset Allocation PortfolioNet %

    BmarkNet %

    Canadian Fixed Income 0.00 0.00Canadian Equity 49.96 49.73Cash 0.07 0.07Emerging Market Equity 0.02 0.03International Equity 0.22 0.53International Fixed Income 0.00 0.00Other/Not Classified 0.02 0.02US Equity 49.71 49.60US Fixed Income 0.00 0.00

    Morningstar Equity Style Box % Morningstar Fixed Income Style Box %

    Value Blend Growth

    LargeM

    idSm

    all

    25 39 23

    5 4 3

    1 0 0

    Total Stock Holdings735

    % Not Classified0

    0-10 10-25 25-50 >50

    Ltd Mod Ext

    HighM

    edLow

    Total Bond Holdings

    % Not Classified

    0-10 10-25 25-50 >50

    Stock Analysis 29-02-2016Stock Sectors

    Cyclical

    Defe

    nsive

    Sensitive

    BenchmarkPortfolio

    % of Stocks Portfolio % Bmark %h Cyclical 38.00 42.09

    r Basic Matls 6.08 7.01t Consumer Cycl 6.60 8.47y Financial Svs 22.28 22.71u Real Estate 3.04 3.90

    j Sensitive 46.76 38.38

    i Commun Svs 4.33 5.66o Energy 11.90 12.33p Industrials 22.71 9.61a Technology 7.82 10.78

    k Defensive 15.24 19.53

    s Consumer Def 6.49 8.02d Healthcare 6.61 8.66f Utilities 2.14 2.85

    Not Classified 0.00 0.00

    World Regions

    Greater Asia Americas Greater Europe

    75%

    % of Stocks Portfolio % Bmark %Americas 99.77 99.47

    Canada 50.02 49.79United States 49.73 49.65Latin America 0.02 0.03

    Greater Europe 0.20 0.41

    United Kingdom 0.08 0.15Europe-Developed 0.12 0.26Europe-Emerging 0.00 0.00Africa/Middle East 0.00 0.00

    Greater Asia 0.03 0.12

    Japan 0.00 0.05Australasia 0.00 0.01Asia-Developed 0.02 0.05Asia-Emerging 0.01 0.01

    Not Classified 0.00 0.00

    Performance 29-02-2016

    Investment Activity Graph Portfolio Initial Mkt Val: $74,926 Final Mkt Val: $100,000

    Benchmark

    09-13 12-13 03-14 06-14 09-14 12-14 03-15 06-15 09-15 12-1565

    75

    85

    95

    105

    $115k

    Trailing Returns 3 Mo 1 Yr 3 Yr 5 Yr 10 Yr

    Portfolio Return -3.62 -2.81 Benchmark Return -4.30 -5.66 +/- Benchmark Return 0.68 2.85

    Best/Worst TimePeriods

    Best % Worst %

    3 Months 11.89 ( Oct 2013-Dec 2013 ) -3.85 ( Jun 2015-Aug 2015 )1 Year 26.42 ( Sep 2013-Aug 2014 ) -2.81 ( Mar 2015-Feb 2016 )3 Years

    Portfolio Yield ( 29-02-2016 ) Yield %

    12-Month Yield 2.66

    Portfolio-Level Performance Disclosure

    The portfolio-level performance shown is hypothetical and for illustrative purposes only.Investor returns will differ from the results shown. The performance data reflects monthlyportfolio rebalancing.

    Holdings 29-02-2016

    Top 4 holdings out of 4 Symbol Type Holding Value $ % Assets

    SPDR S&P 500 ETF (USD) SPY ETF 35,000 35.00Vanguard FTSE Canada All Cap ETF (CAD) VCN ETF 30,000 30.00iShares S&P/TSX 60 (CAD) XIU ETF 20,000 20.00General Electric Co (USD) GE ST 15,000 15.00

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 3 of 9

    Sample

  • Portfolio Snapshot Portfolio Value Benchmark

    Sample$100,000.00 Custom

    Risk Analysis 29-02-2016

    Illustration periods less than 3 years cannot be graphed.

    Performance History Graph Portfolio Quarterly returns +/- Benchmark in %

    2013 2014 2015 2016-2.0

    Bmark

    2.0

    4.0

    6.0

    8.0

    10.0%

    Risk and Return Statistics 1 Yr 3 Yr 5 Yr 10 YrPortfolio Bmark Portfolio Bmark Portfolio Bmark Portfolio Bmark

    Standard Deviation 9.09 8.35 Mean -2.81 -5.66 Sharpe Ratio -0.32 -0.70

    MPT Statistics 1 YrPortfolio3 Yr

    Portfolio5 Yr

    Portfolio10 Yr

    Portfolio

    Alpha 3.41 Beta 1.06 R-Squared 95.00

    Portfolio-Level Performance Disclosure

    The portfolio-level performance shown is hypothetical and for illustrative purposes only. Investor returns will differ from the results shown. The performance data reflects monthlyportfolio rebalancing.

    Fundamental Analysis 29-02-2016

    Market Maturity% of Stocks Portfolio Bmark

    Developed Markets 99.97 99.96Emerging Markets 0.03 0.04Not Available 0.00 0.00

    Geometric Avg Capitalization ($Mil)

    Portfolio 59,309.74Benchmark 42,685.26

    Valuation Multiples Portfolio Bmark

    Price/Earnings 18.57 16.37Price/Book 1.96 1.91Price/Sales 1.68 1.61Price/Cash Flow 9.50 9.23

    Profitability Portfolio Bmark

    % of Stocks 2016-02 2016-02

    Net Margin 9.56 11.75ROE 12.14 15.96ROA 3.53 4.72Debt/Capital 40.65 37.50

    Fund StatisticsPotential Cap Gains Exposure -14.33Management Expense Ratio 0.12Avg Gross Expense Ratio 0.13

    Credit Quality Breakdown % of Bonds

    AAA AA A BBB BB B Below B NR

    Interest Rate Risk FixedIncome

    % NotAvailable

    Avg Eff Maturity Avg Eff Duration Avg Credit Quality Avg Wtd Coupon

    Type Weightings% of Stocks Portfolio Bmark

    nHigh Yield 2.03 2.87

    bDistressed 0.36 0.50

    vHard Asset 2.77 3.81

    mCyclical 28.27 18.86

    xSlow Growth 7.80 11.19

    zClassic Growth 2.85 4.09

    lAggressive Growth 3.71 5.36

    cSpeculative Growth 0.64 0.94

    Not Available 51.57 52.380% 10 20 30 40 50 60 70 80 90 100

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 4 of 9

    Sample

  • Portfolio Snapshot Portfolio Value Benchmark

    Sample$100,000.00 Custom

    Standardized Returns

    Total 4 holdings as of 31-12-2015 Symbol Type HoldingsDate% of

    AssetsHoldingValue $

    7-dayYield

    1 YrRet %

    3 YrRet %

    5 YrRet %

    10 YrRet %

    SinceInception

    InceptionDate

    SPDR S&P 500 ETF (USD) SPY ETF 03-2016 35.00 35,000 1.34 15.01 12.45 7.22 8.98 Vanguard FTSE Canada All Cap ETF (CAD) VCN ETF 01-2016 30.00 30,000 -8.73 iShares S&P/TSX 60 (CAD) XIU ETF 02-2016 20.00 20,000 -7.91 5.26 2.69 4.48 6.22 General Electric Co (USD) GE ST 15.00 15,000

    NAV

    Total 4 holdings as of Symbol Type HoldingsDate% of

    AssetsHoldingValue $

    7-dayYield

    1 YrRet %

    3 YrRet %

    5 YrRet %

    10 YrRet %

    SinceInception

    InceptionDate

    SPDR S&P 500 ETF (USD) SPY ETF 03-2016 35.00 35,000 -6.23 10.64 10.02 6.35 8.67 Vanguard FTSE Canada All Cap ETF (CAD) VCN ETF 01-2016 30.00 30,000 -13.47 iShares S&P/TSX 60 (CAD) XIU ETF 02-2016 20.00 20,000 -12.62 3.67 1.34 3.99 6.10 General Electric Co (USD) GE ST 15.00 15,000

    Performance DisclosureThe performance data quoted represents past performance and does not guarantee future results. The investment return and principal value of an investment will fluctuate; thus aninvestor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than return data quoted herein. For performance datacurrent to the most recent month-end, please visit the fund companies' web sites.See Disclosure Page for Standardized Returns.

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 5 of 9

    Sample

  • Disclosure for Returns

    An annualized rate of return is a cumulative return for a longer period (13+ months), expressed as an equivalent annual compounded rate. Compounded rates ofreturn include the effects of interest-on-interest.

    Annualized returns 31-12-2015

    Standardized Returns (%) 7-day YieldSubsidized

    7-day YieldUnsubsidized

    1Yr 5Yr 10Yr SinceInception

    Inception Date Max FrontLoad %

    Max BackLoad %

    Net ExpRatio %

    Mgmt ExpRatio %

    iShares S&P/TSX 60-NAV -7.91 2.69 4.48 6.22 28-09-1999 NA NA 0.18 0.18iShares S&P/TSX 60-Market -7.81 2.69 4.50 6.10 28-09-1999 NA NA 0.18 0.18SPDR S&P 500 ETF-NAV 1.34 12.45 7.22 8.98 22-01-1993 NA NA 0.09 1 0.11SPDR S&P 500 ETF-Market 1.25 12.43 7.23 8.94 22-01-1993 NA NA 0.09 1 0.11Vanguard FTSE Canada All Cap ETF-NAV -8.73 02-08-2013 NA NA 0.11 0.11

    Vanguard FTSE Canada All Cap ETF-Market -8.73 3.64 02-08-2013 NA NA 0.11 0.11

    Barclays US Agg Bond TR USD 0.55 3.25 4.51 CIBC WM 91 Day Treasury Bill CAD 0.64 0.88 1.65 31-12-1987FTSE Developed ex North America PRCAD

    16.50 7.70 2.38 22-09-2003

    FTSE Emerging PR CAD -1.23 -0.94 3.24 22-09-2003MSCI EAFE NR USD -0.81 3.60 3.03

    Russell 1000 TR USD 0.92 12.44 7.40 S&P 500 TR CAD 21.59 20.37 9.18 31-01-2002S&P 500 TR USD 1.38 12.57 7.31 S&P/TSX 60 TR CAD -7.76 2.88 4.67 S&P/TSX Composite TR -8.32 2.30 4.38 31-01-1956

    USTREAS T-Bill Auction Ave 3 Mon 0.05 0.06 1.18

    1. Contractual waiver; Expires 01-02-2017

    Return after Tax (%) On Distribution On Distribution and Sales of Shares

    1Yr 5Yr 10Yr Since Inception Inception Date 1Yr 5Yr 10Yr Since Inception

    SPDR S&P 500 ETF-NAV 0.44 11.54 6.60 8.35 22-01-1993 0.75 9.49 5.60 7.50Vanguard FTSE Canada All Cap ETF-NAV -9.64 02-08-2013 -9.64

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 6 of 9

    Sample

  • VanguardDisclosure Statement

    The Portfolio analytics tool is powered by Morningstar, Inc., an independent third party not related to Vanguard Investments Canada Inc. or any of its related bodiescorporate (collectively, The Vanguard Group).

    This information is solely for view by a financial advisor. This document (or any portion thereof) is for financial advisor use only, and may not be further distributedin any way. This material is for informational purposes only and has not been designed for, or intended for, use by potential investors. By receiving this document,the financial advisor agrees not to distribute it further.

    By receiving this document, the financial advisor further acknowledges that it remains his or her responsibility to make a suitability determination for his or herclients, and that the advisor should review carefully this information and any relevant product disclosure documents (i.e. a mutual funds prospectus) for morecomplete information regarding any fees, expenses, investment objectives and risks, and make their own determination as to the appropriateness of any security orinvestment strategy. There is no guarantee that any particular asset allocation or mix of funds will meet an investors investment objectives or provide him or herwith a given level of income. This information is not financial or investment advice and is not a recommendation to buy or sell any particular security or to adoptany particular investment strategy. Past performance is not an indication of future performance.

    Although this information, including any figures and charts, has been compiled from sources believed to be reliable, The Vanguard Group cannot guarantee theaccuracy, completeness, timeliness, reliability or suitability of this information. The Vanguard Group takes no responsibility for any errors and omissions containedin this information and accepts no liability whatsoever from any use of, or reliance on, this information.

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 7 of 9

    Sample

  • Hypothetical ReportDisclosure Statement

    GeneralThis is an illustration of a simulated investment and assumes the portfolioholding(s) were purchased on the first day of the period indicated. Salescharges, including those required in the event of transfers between assets, aretaken into account at the rates shown and may be higher or lower than what aninvestor would have actually paid had the investments been purchased then ornow. The performance data represents past performance and is not indicative offuture results. Principal value and investment returns will fluctuate, and aninvestor's shares/units when redeemed may be worth more or less than theoriginal investment. Funds and equity holdings and segregated fund productsare not CDIC-insured and are not guaranteed by a bank or any other financialinstitution.

    The investment(s) returns do not reflect active trading and do not necessarilyreflect the results that might have been achieved by active management of theaccount. The investment returns of other clients of the adviser may differmaterially from the investment portrayed. The investment(s) returns do notnecessarily reflect the deduction of all investment advisory fees. Clientinvestment returns(s) may be reduced if additional fees are incurred.

    This illustration may reflect the results of systematic investments and/orwithdrawals. Systematic investment does not ensure a profit, nor does it protectthe investor against a loss in a declining market. Also, systematic investing willnot keep an investor from losing money if shares are sold when the market isdown.

    Investment Summary GraphThe investment summary graph plots the approximate market value of thesecurity or portfolio over the investing horizon. It may also include the totalinvestment assumed in the illustration and/or a benchmark. Total investmentincludes dollar inflows and outflows, including inflows representing noted taxesand wrap fees paid out of pocket.

    If a benchmark index is included on a graph, it assumes a similar pattern ofinvestment/withdrawal as for the security or portfolio. Taxes and transactioncosts are not applied to the benchmark index. Note that direct investment in anindex is not possible. Indexes are unmanaged portfolios representing differentasset classes, with varying levels of associated risk. The benchmark indexincluded in the graph may or may not represent an appropriate or accuratecomparison with the security or portfolio illustrated.

    Portfolio Snapshot ReportDisclosure Statement

    GeneralInvestment portfolios illustrated in this report have the user input the portfolioholdings, initial investment amount, start and end dates and amount for allsubsequent investments into and withdrawals from each holding, as well as taxrates, loads, and other factors that would have affected portfolio performance.

    The portfolios are theoretical and are for illustrative purposes only, and are notreflective of an investors actual experience. The performance data givenrepresents past performance and should not be considered indicative of futureresults. Principal value and investment return of stocks and mutual funds will

    fluctuate, and an investor's shares/units when redeemed will be worth more orless than the original investment. Stocks, mutual funds, and variableannuity/life products are not CDIC-insured, may lose value, and are notguaranteed by a bank or other financial institution. Portfolio statistics changeover time.

    When used as supplemental sales literature, the Portfolio Snapshot report mustbe preceded or accompanied by the fund/policy's current prospectus orequivalent. In all cases, this disclosure statement should accompany thePortfolio Snapshot report.

    The information in this report contains or is derived from the most recentinformation available to Morningstar from publicly available sources, the fund,third party providers and/or account information provided by your financialadvisor, and all such information may or may not be an accurate reflection ofcurrent data. There is no assurance that the information will remain the same.Morningstar cannot and does not verify any of the information and Morningstardoes not provide any warranty, express or implied, regarding or assume anyliability in respect of the correctness, completeness or accuracy of suchinformation.

    Investment Risks

    International/Emerging Market Equities: Investing in international securitiesinvolve special additional risks. These risks include, but are not limited to,currency risk, political risk, and risk associated with varying accountingstandards. Investing in emerging markets may accentuate these risks.

    Sector Strategies: Portfolios that invest exclusively in one sector or industryinvolve additional risks. The lack of industry diversification subjects the investorto increased industry-specific risks.

    Non-Diversified Strategies: Portfolios that invest a significant percentage ofassets in a single issuer involve additional risks, including share pricefluctuations, because of the increased concentration of investments.

    Small Cap Equities: Portfolios that invest in stocks of small companies involveadditional risks. Smaller companies typically have a higher risk of failure, andare not as well established as larger blue-chip companies. Historically, smaller-company stocks have experienced a greater degree of market volatility that theoverall market average.

    Bonds: Bonds are subject to interest rate risk. As the prevailing level of bondinterest rates rise, the value of bonds already held in a portfolio decline.Portfolios that hold bonds are subject to declines and increases in value due togeneral changes in interest rates.

    Hedge Funds: The investor should note that hedge fund investing involvesspecialized risks that are dependent upon the type of strategies undertaken bythe manager. This can include distressed or event-driven strategies, long/shortstrategies, using arbitrage (exploiting price inefficiencies), internationalinvesting, and use of leverage, options and/or derivatives. Although the goal ofhedge fund managers may be to reduce volatility and produce positive absolutereturn under a variety of market conditions, hedge funds may involve a highdegree of risk and are suitable only for investors of substantial financial meanswho could bear the entire loss of their investment.

    Short Positions: When a short position moves in an unfavorable way, the lossesare theoretically unlimited. The broker may demand more collateral and amanager might have to close out a short position at an inopportune time to limit

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

    Page 8 of 9

    Sample

  • further losses.

    Long-Short: Due to the strategies used by long-short funds, which may includebut are not limited to leverage, short selling, short-term trading, and investing inderivatives, these funds may have greater risk, volatility, and expenses thanthose focusing on traditional investment strategies.

    Benchmark Disclosure

    Custom BenchmarkSample Allocation % Type

    S&P/TSX Composite TR 49.97 IDXCIBC WM 91 Day Treasury Bill CAD 0.07 IDXFTSE Emerging PR CAD 0.02 IDXFTSE Developed ex North America PR CAD 0.22 IDXS&P 500 TR CAD 49.72 IDX

    Barclays US Agg Bond TR USDThis index is composed of the BarCap Government/Credit Index, the Mortgage-Backed Securities Index, and the Asset-Backed Securities Index. The returns wepublish for the index are total returns, which includes the daily reinvestment ofdividends.

    CIBC WM 91 Day Treasury Bill CADDescription unavailable.

    FTSE Developed ex North America PR CADDescription unavailable.

    FTSE Emerging PR CADDescription unavailable.

    MSCI EAFE NR USDThis Europe, Australasia, and Far East index is a market-capitalization-weightedindex of 21 non-U.S., industrialized country indexes.

    This disclosure applies to all MSCI indices: Certain information included hereinis derived by Morningstar in part from MSCIs Index Constituents (the IndexData). However, MSCI has not reviewed any information contained herein anddoes not endorse or express any opinion such information or analysis. MSCIdoes not make any express or implied warranties, representations or guaranteesconcerning the Index Data or any information or data derived therefrom, and inno event will MSCI have any liability for any direct, indirect, special, punitive,consequential or any other damages (including lost profits) relating to any use ofthis information.

    Russell 1000 TR USDConsists of the 1000 largest companies within the Russell 3000 index, whichrepresents approximately 98% of the investable US equity market. Also knownas the Market-Oriented Index, because it represents the group of stocks fromwhich most active money managers choose.

    S&P 500 TR CADDescription unavailable.

    S&P 500 TR USDA market capitalization-weighted index composed of the 500 most widely heldstocks whose assets and/or revenues are based in the US; it's often used as aproxy for the stock market. TR (Total Return) indexes include daily reinvestmentof dividends.

    S&P/TSX 60 TR CADDescription unavailable.

    S&P/TSX Composite TRDescription unavailable.

    USTREAS T-Bill Auction Ave 3 MonThree-month T-bills are government-backed, short-term investments consideredto be risk-free and as good as cash because the maturity is only three months.Morningstar collects yields on the T-bill on a weekly basis from the Wall StreetJournal.

    Release date 29-02-2016

    2016 Morningstar. All Rights Reserved. The information, data, analyses and opinions contained herein (1) include the confidential and proprietary information of Morningstar, (2) may include, or be derived from, accountinformation provided by your financial advisor which cannot be verified by Morningstar, (3) may not be copied or redistributed, (4) do not constitute investment advice offered by Morningstar, (5) are provided solely forinformational purposes and therefore are not an offer to buy or sell a security, and (6) are not warranted to be correct, complete or accurate. Except as otherwise required by law, Morningstar shall not be responsible for anytrading decisions, damages or other losses resulting from, or related to, this information, data, analyses or opinions or their use. This report is supplemental sales literature. If applicable it must be preceded or accompaniedby a prospectus, or equivalent, and disclosure statement.

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