1. INVESTMENT STRATEGIES – 14h15

3. Who We Are And What We Do
We are a fiercely independent consultancy business
We are adviser focussed and client-centric
We provide in-depth qualitative investment research for regulated businesses
This capability is used to provide our clients with a range of bespoke investment services to meet the needs of their business and their clients
Our highly experienced team is drawn from all areas of the industry
Our senior management team are all client facing
We are a regulated business

4. An Experienced Executive Team
Richard Romer-Lee
Managing Director
David Pickles
Director of Operations
Jason Broomer
Head of Investment
Mark James
Director of Client Relationships
Victoria Hasler
Head of Research
Jamie Farquhar
Director of Business Development

5. The Research And Investment Team By Sector
BONDS & CASH/MONEY MARKET / CONVERTIBLES
UK, US & GLOBAL EQUITIES
EMERGING MARKETS & JAPAN EQUITIES
ABSOLUTE RETURN
Victoria Hasler CFA CAIA
Head of Research
Alex Farlow
Head of Risk Based Solutions Research
Lynn Hunter
Research analyst
Tom Poulter CFA
Research Analyst
Daniel Pereira
Research Assistant
Paul Angell
John Monaghan MSCI
Senior Investment Research Analyst
Andrew Johnston CFA
Amaya Assan
EUROPEAN EQUITIES
ASIAN EQUITIES
PROPERTY
CONVERTIBLES
MULTI ASSET
TECH & SPECIALIST
RISK RATED
Daniel Pereira – Quantitative analysis across sectors

6. 1 2 3 What We Stand For Investment outcomes.
We are entirely focused on providing outcome driven solutions for clients, based on investor needs 1
Independence
In thought, process and ownership, with no conflict of interest 2
Specialisation
In qualitative research across multiple asset classes delivered with integrity by an experienced team of professionals 3

7. A Focus On Outcomes OUTCOME SUITABILITY
In our research we focus on the expected outcome of a fund and how likely it is to continue to meet that outcome. We apply the same process to our Model Portfolio Service
OUTCOME
SUITABILITY
Capital accumulation
For investors who are building up their savings.
Income provision
For investors who are predominantly seeking income.
Capital preservation
For investors seeking to preserve their capital
Inflation protection
For investors seeking to maintain the real value of their capital and income

8. Our Services RESEARCH INVESTMENT SOLUTIONS CONSULTANCY
The Academy of Funds service offered free to advisers and wholesalers based on in-depth qualitative research.
Covers a wide range funds across asset classes from an experienced team of professionals.
INVESTMENT SOLUTIONS
The insourcing of our investment expertise for sample portfolios, discretionary model portfolios and fund mandates.
A sub-advisory service provided to authorised Investment Managers.
CONSULTANCY
The creation and maintenance of recommended fund panels, guided architecture, investment governance and oversight.
Leadership to aid proposition development.

9. 1 2 3 Sample and Model Portfolios
Investment Solutions 1
Sample and Model Portfolios 2
The Verbatim Offering From Square Mile 3
Fund Selection & Portfolio Construction

10. Advisory Vs Discretionary
Sample Portfolios
Model Portfolios
Invests in underlying funds
Operational resource
Discretionary mandate
Portfolio drift
Drift is minimal
Fixed fee
BPS charge 1 2 3 4

11. The Verbatim Square Mile Model Portfolio Service
THE SERVICE COMPRISES
Outcome oriented portfolios managed to agreed mandates
Risk mapped to DT
Strategic and tactical asset allocation (3% absolute / 15% relative)
Actively managed portfolios of rated funds
Typically 15 to 20 holdings

12. The Verbatim Square Mile Model Portfolio Service
Initially available on:-

13. The Verbatim Square Mile Model Portfolio Service
THE SERVICE COMPRISES
Capital Accumulation Risk DT Grades 3 - 7
Capital Preservation - targeting a 2.5% return over three year rolling
Inflation Protection - targeting UK CPI plus 2%
3 Income Portfolios - targeting 3.5%, 4% and 4.5% after charges
Cost - 25bps (+VAT)

14. Our Investment Approach
The Square Mile approach is based on the following beliefs:
We never lose sight of the investors’ requirements
Our value add is in the blending process drawn from the qualitative research
Macro economic issues should influence fund choices
Tactical asset allocation has a material impact on a managed portfolio’s performance
Outcomes are key

15. Model Portfolios – Investment Process Overview
1. Client Outcome
A mandate defined by client need. Models are managed at all times to volatility risk.
6. Ongoing Monitoring
With reference to the original mandate
2. Strategic Asset Allocation
Determined
by ATR Tool output
5. Portfolio Construction
The blending of funds in to the portfolio based upon sector, style bias, market cap and volatility
3. Tactical Asset Allocation
Shorter term tilts on the strategic asset allocation defined by Square Mile
4. Fund Selection
Square Mile
Academy of Funds
Active and Passive

16. Strategic And Tactical Asset Allocation
TACTICAL TILT
STRATEGIC ASSET ALLOCATION
TACTICAL TILT
Asset Class
Max Underweight
Underweight
Neutral
(DT Output)
Overweight
Max Overweight
Equities Outlook  UK US
EUROPE (EX UK)
JAPAN
ASIA PACIFIC (EX JAPAN)
GLOBAL EMERGING MARKETS
Fixed Income Outlook
DURATION
INVESTMENT GRADE
HIGH YIELD
INTERNATIONAL DEVELOPED
INTERNATIONAL DEVELOPING
PROPERTY

17. The Fund Research Process
Establish desired client outcome
1. Idea Generation
Our knowledge and experience. Trends.
Referrals/Contacts.
Quant screens.
6. Reassessment Against Original Outcome
Manager change. Corporate activity. Downgrades/upgrades. Persistent under performance that we cannot explain. Liquidity concerns.
2. Analyst Research
Fund Objective, The people and their environment, Philosophy, Process, Portfolio construction, Risk management, Cost and value for money.
In depth independent qualitative research
5. Monitoring
Quarterly reviews.
Performance assessment.
4. Analyst Meetings
Lead analysts present three possible outcomes:
i) Agree a rating
ii) Go back with further questions
iii) Wait
3. Qualitative Assessment
Face-to-face meetings.
Validation of findings.

18. Portfolio Construction
Square Mile adds value in four key ways: 1
Blending investment strategies with complementary attributes
- investment philosophy, process, style, market cap 2
A strategy must also complement at both sub-sector and portfolio level
- e.g. contribution to overall volatility, beta and correlation with other assets 3
We prefer our core holdings to err on the defensive side
- with sensible satellite strategies adding risk where desired
Tactical Asset Allocation interacts with fund selection by allocating to managers investing in identified trends
- e.g. domestic growth, small and mid caps, country specific 4

19. Ongoing Monitoring & Reporting
Internal Investment Monitoring:
Monitored on a daily basis
Weekly analyst meetings
Quarterly investment oversight committee
Six monthly analyst ‘challenge’ session
Independent investment book of record
Quarterly Client Reporting:
Verbatim branded
Outcome specific
Plain English – clear, concise and relevant
Statutory reporting from your platform of choice

20. Portfolio Factsheets – In Plain English

21. Sample Vs Model

22. Sample Vs Model

23. Discretionary Managed Non Discretionary Managed
Sample Vs Model
Discretionary Managed
Non Discretionary Managed
BC ISA
TC ISA
Value %
Cum %
Date
£195,286.90
28/09/15
£233,807.06
£201,341.08
3.10%
08/12/15
£239,989.18
2.64%
£198,929.55
-1.20%
1.90%
08/01/16
£237,036.39
-1.23%
1.41%
£197,964.41
-0.49%
1.42%
01/02/16
£235,910.69
-0.47%
0.94%
£199,226.18
0.64%
2.05%
29/02/16
£237,257.04
0.57%
1.51%
£201,706.26
1.24%
3.30%
22/03/16
£240,097.01
1.20%
2.71%
£202,771.66
0.53%
3.83%
28/04/16
£241,321.60
0.51%
3.22%
£199,839.24
-1.45%
2.38%
23/05/16
£238,317.50
-1.24%
1.97%
£204,380.91
2.27%
4.65%
13/06/16
£243,555.73
2.20%
4.17%
£203,445.95
-0.46%
4.20%
29/06/16
£241,338.98
-0.91%
3.26%
*All values and % in this table are net of charges
** Both portfolios are invested in Square Mile Portfolio D
Source:- Wetheralls Financial Planning / Aviva Wrap

24. Sample Vs Model Sample Portfolios Discretionary Model Portfolios
Unregulated
Regulated
Updated quarterly/annually
Monitored daily
Advisory service –client contact required
No client contact required to effect changes
Portfolio ‘drift’
Drift is minimised
Client reaction times
Tight adherence to client objectives
Annual Fixed Fee
25 Bps + VAT

25. Key Selling Points Verbatim Portfolios From Square Mile Independence
Depth of research
Outcome oriented portfolios
Integration of asset allocation and fund selection
Daily management
The OBSR heritage
Regulated
Affable, approachable and available senior management.

26. Questions

28. REFRESHMENT BREAK: 14h50 – 15h05