Group Retirement Savings Plan for the Employees of

2 Setting Sail for the Future

4 Define your Retirement Objectives Age 55 Age 55 Age 60 Age 65 At what age?  Projects  Dreams  _______

5 The Ideal Age for Canadians Source : Actuariel assumptions calculated by Desjardins Financial Security … 58 years of age ! …and what is your ideal age ? Source : Desjardins Financial Security Retirement Survey

6 How much will you need for a comfortable retirement? The 70 % rule Example :Mr. Martin's situation Current salary$ The 70% rulex 70% Income at retirement (in today's dollars) = $ A detailed budget or

8 8 Explore the various sources of income at retirement Income before retirement (IBR) Income at retirement (70% of IBR)

9 Plan Highlights Type of Plan: Group RRSP Plan Objective: Save for retirement Eligibility to plan: 1 year of employment Participation:Voluntary Spousal account authorized

10 Contributions : Employees:1% to 17% of salary Employer: 100% on the 1st 1% of employee contribution (maximum of $ 300) Transfers from other plans: allowed Plan Highlights

11 Benefits upon termination: Destination RRSP, RRIF, Cash Benefits upon death: Cashable by the beneficiary, Transferable to the surviving spouse Withdrawals while employed: Allowed for employee contributions only Plan Highlights

12 Advantages of your Pension Plan  The company contributes on your behalf  Payroll deductions reduce your taxable income  Wide selection of funds to choose from  No minimum or maximum investment per fund  Easy member access to information and assistance

13 Start Early and Accumulate More ! Contribution of $2 000 annually or $5.50 per day Time is on your side…

14 Time is on your Side! * Estimated annual return of 6.5% 126% more in savings !  Investment of $20 x 52 weeks x 40 years  Investment of $40 x 52 weeks x 20 years Accumulated value at retirement Accumulation period

16 A Three-Step Approach 1.Fill out the questionnaire 2.Determine your investor profile 3.Choose your investments

17 Determine your Investor Profile * * Questionnaire available on our Participant Services Web site or in your Enrolment kit Identify your risk tolerance Balanced Growth Energetic Speculative Secure Moderate

18 Choose your Investments * Select a lifecycle path 3 lifecycle paths available  Adapted to your age and risk tolerance Select your funds 6 multi-management funds or guaranteed fund Based on your investor profile… * Refer to the "My Investment Funds" document to know the options applicable to your plan or

19 Select a Lifecycle Path Your investor profileYourage Your path towards retirement Secure Path Automatic evolution of investments Quarterly rebalancing

20 Pre-determined asset allocation Multi-management 20/80 Fund Multi-management 35/65 Fund Multi-management 100 Fund Multi-management 80/20 Fund Multi-management 65/35 Fund Multi-management 50/50 Fund Select your Funds

21 Guaranteed Fund  Guaranteed return  Term of 5 years  Redeemable at any time Select your Funds

22 For your retirement, focus on long term returns The damage created by a market downturn is temporary if you stay invested! Returns: Short Term vs. Long Term

24 Setting Sail for the Future Education Centre Guidance & support in planning your retirement Setting Sail for the Future Phone line Transactional services Changes to your plan Assistance on choice of investments  Human touch services  Specialized agents

25 Participant Services Web site  Complete array of dynamic tools to help you plan your retirement Simple and complete transactional services Information on your account Changes to your plan Setting Sail for the Future Education Centre Guidance & support in planning your retirement

26  Enrolment kit  Setting Sail for the Future newsletter  Statement  Investment Info bulletin Setting Sail for the Future Education Centre Guidance & support in planning your retirement Communication tools for participants Targeted Integrated User-friendly

28 Participant Statement  Account summary  Asset allocation  Investment directions  Personalized rate of return

29 Review your Action Plan Life stages:  Joining the labour force  Career and family  Mid-life Life events:  Career/job changes  Marriage  Birth  Death

30 Thank you!