Introducing…Manulife’s FutureStep TM Group RRSP Offering a group savings program has never been easier for small business…

Agenda  Understanding of your needs  The Manulife FutureStep TM Group RRSP Product details Product options Service and support  Next steps

Unique Small Business Issues  Attracting talent Competing with large firms  When you lose a key person: you feel it Knowledge-based small businesses ‘Day one’ employees  How do you create effective retention strategies?

Important features  Low cost  Little time or effort to run  Easy to understand You’re an expert in your business… not group retirement savings  High employee value and impact

Employee attitudes influenced by a company retirement plan Question: I think of my employer more positively because of the retirement plan offered as part of my compensation 2009 n= n= n= n= th annual Benefits Canada Capital Accumulation Plan Member Survey

Employees reluctant to leave because of the company retirement plan Question: I would be reluctant to leave my employer because of the retirement plan offered as part of my compensation package 2009 n= n= n= n= th annual Benefits Canada Capital Accumulation Plan Member Survey

Manulife has a solution… The FutureStep Group RRSP

Manulife’s FutureStep Group RRSP  Works with your compensation approach Enhances employee appreciation and loyalty Helps you gain a competitive edge Tangibly conveys your concern for employees' life after work Contributes to employees’ financial security Creates a workplace in which your employees want to stay for the long term

Get started with as little as…  Two members  Contributions of $10,000 annually (cashflow) as a group  No cost to you, unless you choose to contribute on employees’ behalf

FutureStep Options  We work together during set up  You choose who contributes Company only Company + Employee Employee only

FutureStep Options  You may choose if you want different rules for different employees e.g. ‘management’ vs. ‘non management’  Either way, you will have One contribution file One set of online reports

FutureStep Options  You choose plan design(s) that suit you Eligibility Contribution formula Definition of earnings  Manulife issues contracts for review immediately

FutureStep Options  Employees may set up spousal RRSP accounts  Two types of withdrawal restrictions Not allowed while employed  Excludes Home Buyers’ Plan, Lifelong Learning Plan, and employee voluntary contributions, or Allowed while employed

FutureStep Fund line-up  Employees choose their investments  One fund line-up Managed by Manulife Monitored by i-Watch ® Covered by Certified Diversified ® Warranty Program  One very competitive fee Varies by fund

FutureStep Fund line-up  Range of choices for all types of investors No touch - Retirement Date Low touch - Asset Allocation High touch - selection of ‘build your own’ funds  Default Primary: Retirement Date Secondary (if date of birth is missing): Moderate Asset Allocation Fund

Target Date Manulife Retirement Date suite of funds (2010 – 2050) – 1.85% Asset Allocation Manulife Asset Allocation suite of funds (2001 – 2005) – 1.80% Fixed Income Manulife Daily High Interest (3191) – 1.40% MLI Canadian Money Market (3132)– 1.50% MLI PH&N Bond Fund (4271) – 1.75% MLI MFC Global Pooled Canadian Bond Index (4191) – 1.52% Balanced MLI Leith Wheeler Diversified Pooled (5301) – 1.80% MLI Fidelity Canadian Asset Allocation (5141) – 2.15% Canadian Large Cap Equity MLI Jarislowsky Fraser Canadian Equity (7241) – 1.75% MLI Scheer Rowlett Canadian Equity Fund (7601) – 1.85% MLI Greystone Canadian Equity Fund (7481) – 1.75% MLI MFC Global Pooled Canadian Index (7132) – 1.53% Canadian Small Cap Equity MLI MMF Growth Opportunities (7122) – 1.95% US Equity MLI U.S. Diversified Growth Equity (Wellington) (8196) – 2.00% MLI MFC Global Pooled US Equity Index (8131) – 1.53% International Equity MLI International Equity (Templeton) (8192) – 2.10% MLI BlackRock International Equity Index Fund (8321) – 1.65% Global Equity MLI Trimark Fund (8181) – 2.05% MLI McLean Budden Global Equity Fund (8161) – 1.80%

Other Investment Options  Group Investment Accounts 1, 3, 5 year terms  FutureStep GIA rate

Lower fees = High impact  A difference of over $23,000 after 25 years $205,490 $181,604 Assumptions: $25,000 initial investment, $3000 annual contributions (based on $50,000 annual salary with 3% employer contributions and 3% employee contributions), gross annual return of 6% (reduced by 1.75% for the Manulife Group Plan and 2.45% for the average Canadian Equity Fund. Note:Member Rewards Program reduction in fees have not been included in this example. Source: Globefund – Canadian Equity category as at February 28, 2010

Member Reward Program For any member whose balance in the plan is... $25,000 to $39, % $40,000 to $59, % $60,000 plus0.25% Their IMFs decrease or GIA increase by… Member with $60,000 could have Retirement Date fund at 1.60%

Impact of Member Reward Program  Your employees may wish to transfer in their personal savings A difference of over $54,000 after 25 years $320,038 $265,322 Assumptions: $60,000 initial investment, $3000 annual contributions (based on $50,000 annual salary with 3% employer contributions and 3% employee contributions), gross annual return of 6% (reduced by 1.50% for the Manulife Group Plan and 2.45% for the average Canadian Equity Fund. Note:Member Rewards Program reduction in fees has been included in this example. Source: Globefund – Canadian Equity category as at February 28, 2010

Support during FutureStep set up  National Service Consultant Dedicated, proactive support for small business employers Invited to a webcast to get you started Plan Administration Guide

Ongoing Support  National Service Consultant support continues  Plan Sponsor Call Centre  Secure sponsor website Make contributions, access statements online  Pre-authorized debit Newsletter and other resources

Launching to your Employees  Three options [your name here if you will do in person employee meetings] Online multi-media presentation Financial Education Specialists  Monday to Friday, 9 a.m. to 5 p.m. ET

Employee Enrolment Support  Enrolment package with booklet Award winning Easy to use Plain language Supports selecting investments

Ongoing Member Support  Annual electronic statement in December  Secure website Steps Retirement Program ® Online and phone transactions  Paper transactions not recommended  Member Call Centre Monday to Friday from 8 a.m. to 8 p.m. ET

Why the FutureStep Group RRSP? For you  A low cost, high value way to attract and retain employees  Quick to set up, easy to manage  One low fee associated with each fund  Top quality product, very competitive price for your employees For your employees  Low fees so retirement savings grow faster  First-class services and support  Access to financial advice [include if you will be providing this service]

Next steps  [fill in your next steps here]

Questions