1. For professional use only - Not to be relied upon by retail clients Investment Update - Outlook for 2009 SWIP Multi-Manager March 2009

2. 1 Outlook – Battling the Equity Bear Corporate profits weak Economic outlook poor Limited liquidity Valuations cheap Markets looking for a base 1932 again?

3. 2 2009 like 1932? Source: Bloomberg, Dow Jones Industrial Index.

4. 3 Simon Wood Mark Harries Lyndon Gill Andrew Perham Natalie Burnard Highly rated team. Source: Citywire relating to the City Wire rating for the SWIP Multimanager Fund Managers as at 31 December 2009.

5. 4 Outstanding performance Consistently outperforming 4 of 34 managers 7 of 52 managers 31 of 83 managers Source: Citywire 31 January 2004 to 31 January 2009.

6. 5 SWIP Multi-Manager Diversity Fund Multi-Asset strategy Strategic asset allocation method Tactical overlay Multi-Manager approach Wealth preservation and real returns focus Targeting real returns

7. 6 Multi-asset strategy Source: Datastream and Morningstar (total return in Sterling) as at 06 January 2009. You cannot predict the future Rank/% Annual return 200020012002200320042005200620072008 1 Commodities 61.6% Property 7.1% Commodities 19.4% Emg Mkts 40.5% HY Bonds 21.2% Emg Mkts 50.5% Europe ex UK 20.1% Emg Mkts 37.4% Gilts 12.8% 2 Property 10.5% Corp Bonds 6.6% Property 10.5% HY Bonds 39.5% Property 18.9% Japan 41.0% Property 18.1% Pacific ex Japan 34.2% Cash 5.7% 3 Corp Bonds 10.2% Cash 5.1% Corp Bonds 9.8% Pacific ex Japan 32.7% Emg Mkts 17.4% Commodities 40.4% UK 16.8% Commodities 30.4% Japan 1.2% 4 Gilts 8.8% Gilts 3.1% Gilt 9.3% Europe ex UK 29.7% Pacific ex Japan 14.9% Pacific ex Japan 34.3% Emg Mkts 16.3% Europe ex UK 15.7% Corp Bonds -3.6% 5 Cash 6.0% Hedge 2.8% Cash 3.9% Japan 23.9% Europe ex UK 13.8% World ex UK 24.9% Pacific ex Japan 16.1% Hedge 10.3% US -13.2% 6 Hedge 4.1% Pacific ex Japan 1.6% Hedge 1.0% UK 20.9% UK 12.8% Europe ex UK 24.1% HY Bonds 11.8% World ex UK 9.7% World ex UK -17.1% 7 Europe ex UK 1.7% Emg Mkts 0.2% HY Bonds -11.% World ex UK 20.7% Commodities 9.4% UK 22.0% Hedge 10.3% Cash 6.2% Hedge -23.0% 8 HY Bonds -1.9% HY Bonds -1.6% Pacific ex Japan -14.6% US 15.3% Japan 8.6% Property 18.8% World ex UK 5.7% UK 5.3% Europe ex UK -24.0% 9 US -2.2% US -9.8% Emg Mkts -15.0% Hedge 11.6% World ex UK 7.8% US 16.9% Cash 4.8% Gilts 5.3% HY Bonds -25.0% 10 World ex UK -4.1% UK -13.3% Japan -18.8% Property 11.2% Corp Bonds 6.9% Corp Bonds 8.7% US 1.2% US 3.4% Commodities -25.9% 11 UK -5.9% World ex UK -14.0% UK -22.7% Commodities 8.6% Hedge 6.8% HY Bonds 5.3% Corp Bonds 0.8% Corp Bonds 1.9% Property -27.1% 12 Emg Mkts -25.1% Europe ex UK 20.1% Europe ex UK -27.0% Corp Bonds 5.9% Gilts 6.6% Gilts 7.9% Gilts 0.7% HY Bonds -0.9% UK -29.9% 13 Pacific ex Japan -25.3% Commodities -30.1% World ex UK -27.4% Cash 3.6% Cash 4.5% Hedge 7.4% Japan -10.5% Property -5.5% Pacific ex Japan -33.5% 14 Japan -29.6% Japan -31.6% US -29.9% Gilts 2.1% US 3.1% Cash 4.7% Commodities -25.5% Japan -6.8% Emg Mkts -35.2%

8. 7 -UK -International -Infrastructure Equities 34%Fixed Interest 33%Alternatives 33% -Global Bonds -Corporate Bonds -Government Bonds -Index-Linked Bonds -Strategic Bonds -High Yield Bonds -Absolute Return Bonds -Hedge -Commercial Property -Commodities Source: SWIP as at 31 December 2008. Strategic asset allocation Tried and trusted investment process

9. 8 Diversity current position Source: SWIP as at 30 January 2009.

10. 9 Multi-Manager approach Source: SWIP as at 31 December 2008. 21 Funds 300 Analysts 19 Fund Management Houses M&G Harris Alternatives POLAR CAPITAL PERMAL INVESTMENT MANAGEMENT SERVICES LIMITED Julius Baer

11. 10 Wealth preservation Sources: Citywire, DataStream as at 31 December 2008, (please note that prior to December 2007 the fund referred to is the Cazenove MM Diversity Fund). SWIP Multi manager Diversity Fund FTSE All Share Index

12. 11 Real returns focus Source: Citywire and Morningstar, The figures show the fund performance achieved by the management team/manager between: 31/01/2006 to 31/01/2009 whilst managing the Cazenove MM Diversity Fund until December 2007 and the SWIP Multi Manager Diversity fund thereafter.

13. 12 Equities Equity yields> Bond yields Valuations Cheap Bonds US Corporate Bond Spreads widest since 1932 Interest rates lower for longer? Index-linked Bonds: no inflation? Hedge Hedge Funds at 31% discounts to NAV DFM & Continuation Votes Cash Secure but low yield Commercial Property Returns to Fall Further Rising Defaults Tenant demand subdued Falling Rents Commodities Secular Bull Case - Future inflation, weak $, rise of Asia, supply side Opportunities in 2009

14. 13 Diversity Fund Highly rated team Outstanding fund managers Tried and tested investment process Wealth preservation and real returns focus Summary Potential investors Investors wary of stock market volatility Ideal for clients particularly interested in capital preservation Clients that want steady returns over an investment cycle Diversity is a ‘core holding’

15. 14 Third party links Freedom of choice Plus most major platforms and offshore providers

16. 15 This is for professional financial advisers only and should not be distributed to or relied on by retail clients. Until November 2007, the Cazenove Fund was managed by the individuals now forming SWIP's Multi Manager team. Performance figures shown for that fund demonstrate the capabilities of the new SWIP Multi Manager team, although there is no guarantee similar performance will be replicated at SWIP. The value of your investment is not guaranteed and can go down as well as up depending on investment performance. You may not get back the amount you invested. Past performance is not a guide to future performance. Funds may have holdings which are denominated in different currencies and may be affected by movements in exchange rates. Consequently, the value of your investment may rise or fall in line with exchange rates. Tax rules relating to OEICs may change. Multi-manager funds can invest in a wide range of asset classes, including collective investment schemes, which they themselves invest in a range of other assets. These underlying assets are likely to vary from time to time but each category of asset (which may include, but shall not be limited to, hedge funds or property) has individual risks associated with them. Multi-manager funds and the Manager may not have control over the activities of any collective investment scheme or company invested in by Multi-manager funds. Managers of collective investment schemes and companies in which the Multi manager funds may invest may take undesirable tax positions, employ excessive leverage, or otherwise manage the collective investment schemes in a manner not anticipated by the Manager. Further details of the risks relating to the SWIP Multi-Manager Funds can be found in the Key Features Document which must be read before taking any investment decision. This is available at our website www.swip.com. SWIP Multi-Manager Funds Limited, Company No. 5582499. Registered Office in the United Kingdom at 10 Fleet Place, London, EC4M 7RH. Tel 020 7203 3000. SWIP Multi-Manager Funds Limited is authorised and regulated by the Financial Services Authority and is entered on their register under number 455821 (www.fsa.gov.uk/register). Scottish Widows Investment Partnership Limited, Company No. 794936. Registered Office in the United Kingdom at 10 Fleet Place, London, EC4M 7RH. Tel: 0131655 8500. Scottish Widows Investment Partnership Limited is authorised and regulated by the Financial Services Authority and is entered on their register under number 193707 (www.fsa.gov.uk/register). Regulatory information and risk warnings