1. Slide 1 Ingenious Asset Managementwww.ingeniousmedia.co.uk Discretionary Portfolio Management Economic Overview Philip Todd 9th October 2012

2. Slide 2 Ingenious Asset Managementwww.ingeniousmedia.co.uk UK Government Debt 2 Source: Debt Management Office - Updated as at 02/07/12 Gilt Market – Net Issuance with Projection

3. Slide 3 Ingenious Asset Managementwww.ingeniousmedia.co.uk US Gross National Debt as % of GDP 3 Source: Office Management and Budget updated 02/07/2012

4. Slide 4 Ingenious Asset Managementwww.ingeniousmedia.co.uk Norwegian Net “Debt” Norway, General Government Net Debt % of GDP Graph Source: Thompson Reuters Datastream, The Economist (*6 Year),

5. Slide 5 Ingenious Asset Managementwww.ingeniousmedia.co.uk UK Inflation 5 Source: Office of National Statistics

6. Slide 6 Ingenious Asset Managementwww.ingeniousmedia.co.uk GBP/USD - A Poor Store of Value 6 Source: Thomson Reuters Datastream, BOE Trade Weighted Indices updated 31/08/2012

7. Slide 7 Ingenious Asset Managementwww.ingeniousmedia.co.uk Gold versus Sterling Number of Gold Troy Ounces per £1000 Source: Thompson Reuters Datastream

8. Slide 8 Ingenious Asset Managementwww.ingeniousmedia.co.uk Bonds & Equities Expensive or Cheap?

9. Slide 9 Ingenious Asset Managementwww.ingeniousmedia.co.uk Source: Bloomberg *Source: The Economist UK & US Government Bond Yield 9 US bond yields last at these levels in 1947 – returned -1.6% PA next 30 years.*

10. Slide 10 Ingenious Asset Managementwww.ingeniousmedia.co.uk Source: Thompson Reuters Datastream UK Equities – Cheap? 10 FTSE All-Share PE Ratio

11. Slide 11 Ingenious Asset Managementwww.ingeniousmedia.co.uk UK Equities – Cheap? FTSE All-Share Dividend Yield Source: Thompson Reuters Datastream

12. Slide 12 Ingenious Asset Managementwww.ingeniousmedia.co.uk US Equities – Cheap? S&P 500 PE Ratio Source: Thompson Reuters Datastream

13. Slide 13 Ingenious Asset Managementwww.ingeniousmedia.co.uk US Equities – Cheap? S&P 500 Dividend Yield Source: Thompson Reuters Datastream

14. Slide 14 Ingenious Asset Managementwww.ingeniousmedia.co.uk US Equities – Cyclically adjusted P/E - Expensive? S&P CAPE Ratio Source: Robert Shiller 02/07/2012

15. Slide 15 Ingenious Asset Managementwww.ingeniousmedia.co.uk US Equities – Q (Replacement Cost) - Expensive? Q Ratio Source: United States Federal Reserve, Flow of Funds Accounts

16. Slide 16 Ingenious Asset Managementwww.ingeniousmedia.co.uk Economic Overview - Summary 16 Debt Mountains mean economic growth will remain anaemic in most of the developed world  Focus on quality – companies with sustainable dividend growth, overweight Asia Pacific Interest rates will stay low  Be aware of likely negative real returns on cash Inflation will remain high(er)  Ensure portfolio contains inflation protection but be aware US & UK Government Bonds are expensive Sterling and US$ will continue to be poor stores of value  Ensure some Gold exposure & Norwegian, Swedish & Singaporean Government debt

17. Slide 17 Ingenious Asset Managementwww.ingeniousmedia.co.uk Important Information This presentation relates to the various services (the Services) offered by Ingenious Asset Management Limited (Ingenious Asset Management) and is issued by Ingenious Asset Management, which is authorised and regulated in the UK by the Financial Services Authority under the Financial Services and Markets Act 2000 (FSMA). Nothing in this presentation constitutes investment, tax, legal or other advice by Ingenious Asset Management. If you have any doubts as to the content of this presentation and/or any action you should take, you are strongly recommended to seek independent financial advice from an independent financial adviser authorised under the FSMA with the requisite knowledge of the Services mentioned. Decisions to invest should be made on the basis of the relevant Terms and Conditions which are available from Ingenious Asset Management, and on the basis of any advice you may choose to receive from your independent financial advisor. No representation is made or warranty given as to the accuracy, completeness or achievability of any projections, views, statements or forecasts, which are illustrative. The projections, views, statements and forecasts herein are based upon various assumptions and estimates which involve elements of subjective judgment and analysis and which are subject to uncertainties and contingencies; actual results could differ materially from those set forth in such projections, views, statements and forecasts. Past performance is not a guide to future performance and may not be repeated. You may not get back the full amount you invest. This document may not be copied or communicated to any other person without the prior written consent of Ingenious Asset Management. Telephone calls may be recorded.