Transamerica CI Maximum Growth Portfolio - CI Investments

Transamerica CIMaximum Growth PortfolioPortfolio ReviewSecond Quarter 2013

Transamerica CI Maximum Growth PortfolioPortfolio Review – Second Quarter 2013 as at June 30, 2013Portfolio Managers’ Economic OverviewU.S. economic data remained mixed during the secondquarter, but improving jobs and housing numbers promptedthe Federal Reserve to indicate that it was considering plansto reduce its massive bond and mortgage-buying program.This surprised investors and led to a sell-off in the bondmarket, with yields on U.S. Treasuries rising to their highestlevels in more than a year. High-yield and investment-gradecorporate bonds and real estate investment trusts also pulledback during the quarter.Canadian equities as reflected by the S&P/TSX CompositeIndex stumbled early in the quarter on weak economicdata, made a strong recovery with other global marketsthrough May but dropped sharply again in June, finishingthe second quarter with a 4.1% loss. Signs of economicweakness overseas, particularly slower growth in China, ledto a drop in prices for commodities including oil, copperand particularly gold, which weighed on the resource-heavyCanadian market. Canadian equities were also draggeddown as nervous investors considered the consequences ofhigher interest rates in the U.S. Meanwhile, the U.S. equitymarket experienced a pullback through the month of Juneas companies reported weaker corporate earnings andinvestors mulled the implications of the U.S. Fed taperingits current quantitative easing program. Nevertheless, theS&P 500 Index finished the period with a 6.5% gain inCanadian dollar terms.In Europe, most stock markets finished the period with modestgains, benefiting from the expectation that the EuropeanCentral Bank would cut interest rates to spur the region’sstruggling economy. Japan’s Nikkei Index soared early in thequarter after the Bank of Japan announced a US$1.4 trillionstimulus plan designed to increase inflation. The Nikkeifinished the quarter up about 8%. Other Asian markets,including those in Hong Kong, South Korea and Singapore,declined in the face of stalling Chinese growth data.Underlying Fund AllocationsCambridge Canadian Equity Corporate Class 8.6%Signature Select Canadian Corporate Class 8.3%Cambridge Global Equity Corporate Class 7.7%CI American Value Corporate Class 7.5%Synergy Canadian Corporate Class 7.4%CI International Value Corporate Class 7.2%Signature International Corporate Class 6.7%CI American Managers Corporate Class 6.5%Cambridge American Equity Corporate Class 5.8%Harbour Voyageur Corporate Class 5.5%CI Can-Am Small Cap Corporate Class 5.5%CI Canadian Investment Corporate Class 5.4%Signature Emerging Markets Corporate Class 5.3%Harbour Corporate Class 5.3%CI American Small Companies Fund 3.7%Synergy American Corporate Class 3.5%Cash 0.1%Top Ten HoldingsToronto-Dominion Bank 1.0%Intact Financial Corp. 0.9%Canadian Imperial Bank of Commerce 0.8%Alimentation Couche-Tard 0.8%Roche 0.8%Canadian National Railway Company 0.8%Bank of Nova Scotia 0.8%Royal Bank of Canada 0.8%Canadian Natural Resources Ltd. 0.8%Microsoft Corp. 0.7%

Transamerica CI Maximum Growth PortfolioPortfolio Review – Second Quarter 2013 as at June 30, 2013Portfolio PerformanceTransamerica CI Portfolios are available as Guaranteed Investment Portfolios within select Transamerica segregated funds contractsand as Managed Portfolio Index Interest Options within select Transamerica Universal Life Products.Segregated Fund Net Returns below are for the Transamerica Guaranteed Investment Funds (TGIF) product. Please refer towww.transamerica.ca for the returns on other products.The performance of the five Transamerica CI GIPs reflects fees that were not collected from January 1, 2013 to April 26, 2013. Thesefees were collected on May 1, 2013, therefore the three and six-month net returns provided below are less than they would otherwisehave been.3 Months 6 Months 1 Year 3 Years Since Inception Inception Date †0.3% 9.0% 15.8% 7.5% 5.5% October 2009†On September 21, 2012, the Transamerica TOP GIPs began investing in a new portfolio managed by CI Investments. The TransamericaTOP GIPs are now referred to as Transamerica CI GIPs.Asset Allocation Overview and ActivityDifferent types of investments will respond differently to the markets, reinforcing the importance of a multi-level diversificationstrategy. A balanced asset mix ensures that investors are not dependent on any one asset class or security type to provide returns.This report is designed to provide you with an up-to-date portfolio overview of the Transamerica CI Maximum Growth Portfolio,including the allocations across asset class, geographic region, equity sector and market capitalization. The arrows indicate whetherthe allocation for each category has increased or decreased since the previous quarter-end.Asset ClassGeographic Regions38.1%25.7%13.9%9.4%5.4%5.4%2.1%0.0%0.0%— U.S. equity ▼— Canadian equity ▼— European equity ▲— Cash ▲— Emerging markets equity ▼— Asian equity ▼— Other equity ▲— Canadian bond ■— Foreign bond ■38.1%25.7%15.7%5.3%4.0%3.4%2.7%2.6%1.5%1.0%0 5 10 15 20 25 30 35 40— U.S. ▼— Canada ▼— Cash & Others ▲— Emerging markets ▼— Japan ▲— U.K. ▼— Switzerland ▼— Germany ▲— France ▲— Bermuda ▲0 5Equity Market Cap72.8% — Large-cap ▼21.4% — Mid-cap ▲5.8% — Small-cap ▲38,1 % — Actions américains ▼25,7 % — Actions canadiennes ▼13,9 % — Actions européennes ▲9,4 % — Trésorerie ▲5,4 % — Actions de marchés émergents ▼5,4 % — Actions asiatiques ▼2,1 % — Autres actions ▲Equity Industry Sector▲▼ 22.8%■ 12.7%12.4%11.0%— Financial services ▲— Energy ▼— Industrials ▲— Information technology ▼10.2% — Consumer staples ▲38,1 %États-Unis ▼10.1% — Health care ▲25,7 %Canada ▼10.1% — Consumer discretionary ▼15,7 %Trésorerie et autres ▲6.8% — Materials ▼5,3 %Marchés émergents ▼2.3% — Utilities ▼0 10 20 30 40 50 60 70 804,0 1.5% %3,4 0.1% %2,7 %2,6 %— Telecommunications Japon ▲ ▼— Other Royaume-Uni ▼ ▼— Suisse ▼— Allemagne ▲0

Transamerica CI Maximum Growth PortfolioPortfolio Review – Second Quarter 2013 as at June 30, 2013Portfolio CommentaryThe portfolio gained 0.3% during the quarter and itsbenchmark (40% S&P/TSX Composite Index, 60% MSCIWorld Index, C$) rose 1.0%.Our overweight allocation to the U.S. equity market and strongperformance from the Canadian equity managers made thelargest contribution to performance.During the quarter, the U.S. equity market continued tostrengthen, significantly outperforming Canada, which washeld back by weakness in the resource sectors. Gold pricessuffered a sharp decline after the metal lost some of its appealas a hedge against inflation and deteriorating currencies.International equity markets were boosted by strength inJapan, which started a large stimulus program earlier thisyear in an effort to end two decades of economic stagnation.Emerging markets suffered losses amid indications of slowingeconomic growth and due to a sell-off in China following asudden liquidity crunch. The U.S. dollar strengthened againstthe Canadian dollar due to improving economic fundamentalssouth of the border and a retreat in commodity prices afterindications of slowing economic growth in China.Strong performance from the Canadian equity managersmade the biggest contribution to performance. Our allocationto emerging markets detracted from performance, afterindications of slowing economic growth in China contributedto a sell-off.The sector allocation of the overall portfolio is morediversified than that of the Canadian economy and theS&P/TSX Composite Index, which has over 75% of itsvalue concentrated in three sectors: energy, materials andfinancials. We continue to focus on company fundamentalsand valuations to add value and avoid undue concentration inany one sector.From a regional perspective, the portfolio continued to havean overweight allocation to U.S. equities and an underweightposition in Canada, with a neutral position in internationalequities. U.S. equities are supported by a diverse economy, withlarge exposure to global markets and strong representation inall major industrial sectors, making it an attractive asset classon a risk-adjusted basis.In the Canadian equity portion, Cambridge Canadian EquityCorporate Class made the biggest contribution to performance,significantly outperforming the benchmark due to strong stockselection in the energy and information technology sectors,as well as an underweight position in materials. Overall,the Canadian equity section had underweight exposure toresources and financials, and overweight allocations toinformation technology, health care and the consumer sectors.Among our U.S. equity funds, CI American Value CorporateClass was the best performer, benefiting from strong stockselection in health care and information technology. Overall,the U.S. portion favoured areas of the market that are tiedto economic growth, such as the industrials sector, whileholding underweight positions in defensive sectors, such asconsumer staples and utilities.In the international equity portion, Signature InternationalCorporate Class was the largest detractor, due to stockselection in financials and industrials. The internationalequity component had overweight allocations to informationtechnology and energy, a significant cash holding,and underweight positions in financials and utilities.Geographically, it had an overweight position in emergingmarkets, mainly in Asia and Latin America, and underweightallocations to Australia, France, the U.K. and the peripheralcountries of Europe.

Transamerica CI Maximum Growth PortfolioPortfolio Review – Second Quarter 2013 as at June 30, 2013Our long-term outlook remains favourable for emergingmarkets, particularly China, where we expect to see businessescontinuing to benefit from rising personal wealth and domesticconsumption. Historically, emerging market equities haveoffered higher returns at the expense of additional volatility.While we expect this trade-off to continue, we believe thelong-term rewards justify the risks.Alfred Lam, CFA, Vice-President and Portfolio ManagerYoonjai Shin, CFA, DirectorMarchello Holditch, Senior AnalystLewis Harkes, CFA, Senior AnalystAndrew Ashworth, Analyst

Transamerica CI PortfoliosPortfolio Review – Second Quarter 2013 as at June 30, 2013Portfolio Management TeamsAegon Capital Management (ACM) oversees more than $8 billion in institutional, third party and asset liabilitymatching investments. ACM is backed by the strength of Aegon Asset Management which manages more thanUS$300 billion in assets. ACM’s focus is to provide exceptional income and capital preservation solutions forour clients.Altrinsic Global Advisors, LLC follows a fundamental value approach in which the team seeks out high-qualityundervalued companies worldwide. Founded by John Hock and associates, Altrinsic is based in Greenwich,Connecticut, and manages over US$13 billion in assets.Cambridge Global Asset Management manages over $7 billion in assets and is led by Chief Investment OfficerAlan Radlo and Portfolio Managers Robert Swanson and Brandon Snow. Combined, they have over 65 years ofinvestment experience and have managed a number of multi-billion-dollar mutual fund portfolios. CambridgeGlobal Asset Management is a division of CI Investments and has offices in Boston and Toronto.Epoch Investment Partners, Inc. is a New York-based investment management firm founded by Wall Streetveteran William Priest and associates. Epoch uses a unique value-based approach that focuses on companieswith superior shareholder yield. It manages over US$24 billion.Harbour Advisors, a division of CI Investments, is led by Portfolio Managers Gerry Coleman and StephenJenkins. Harbour’s approach entails buying high-quality businesses at a sensible price, and following apatient, long-term outlook. Mr. Coleman’s expertise has been recognized by his selection as Fund Manager ofthe Year in 2008 and 2001. Harbour manages over $13 billion.Signature Global Asset Management advantage is its approach in which asset class and sector specialistscombine their research to develop a comprehensive picture of a company and its securities. The team of 32investment professionals is led by Chief Investment Officer Eric Bushell, who was named Morningstar FundManager of the Decade in 2010. Signature manages over $40 billion.Picton Mahoney Asset Management is a portfolio management firm led by David Picton and Michael Mahoney.The use of quantitative analysis is the foundation of their approach. Picton Mahoney maintains a disciplinedfocus on fundamental change, coupled with strong risk controls and portfolio construction techniques. Thefirm manages about $7 billion.Tetrem Capital Management is an employee-owned investment management firm founded by Chief InvestmentOfficer Daniel Bubis. It is based in Winnipeg and has an office in Boston. Tetrem uses a disciplined investmentapproach to invest in undervalued Canadian and U.S. companies. The firm manages about $5 billion.

Strength and experienceThe Transmerica CI Portfolios are managed by CI Investments Inc. on behalf of Transamerica Life Canada.Transamerica Life Canada is a leading life insurance companyin Canada. Through a number of distribution channels, resultingin a national network of thousands of independent advisors,Transamerica provides a full spectrum of individual life insuranceand protection products, designed to help Canadians takeresponsibility for their financial future. Transamerica Life Canadais an Aegon company.CI Investments has been managing money for over four decadesand today is one of Canada’s largest investment fund companies.CI manages approximately $80 billion on behalf of two millionCanadian investors. CI provides the industry’s widest selectionof investment funds and leading portfolio managers on a varietyof platforms, including mutual and segregated funds, managedsolutions and alternative investments.Aegon Capital Management (ACM) oversees more than $8 billionin institutional, third party and asset liability matching investments.ACM is backed by the strength of Aegon Asset Management whichCI is a subsidiary of CI Financial Corp. (TSX: CIX), an independent,Canadian-owned wealth management firm with approximately$106 billion in assets as at June 30, 2013.manages more than US$300 billion in assets. ACM’s focus is toprovide exceptional income and capital preservation solutions forits clients.

For more information on Transamerica CI Portfolios,please contact your advisor or visit www.transamericaciportfolios.com.All commentaries are published by CI Investments Inc., CI Investments Inc. is the Manager of all the funds described herein, other than AegonCapital Management Canadian Bond Pool which is managed by Aegon Capital Management. The commentaries are provided as a generalsource of information and should not be considered personal investment advice or an offer or solicitation to buy or sell securities. Every efforthas been made to ensure that the material contained in the commentaries is accurate at the time of publication. However, CI Investments Inc.cannot guarantee their accuracy or completeness and accepts no responsibility for any loss arising from any use of or reliance on the informationcontained herein.SUBJECT TO ANY APPLICABLE DEATH AND MATURITY GUARANTEE, ANY PART OF THE PREMIUM OR OTHER AMOUNT THAT ISALLOCATED TO A SEGREGATED FUND IS INVESTED AT THE RISK OF THE CONTRACT HOLDERS AND MAY INCREASE OR DECREASE INVALUE ACCORDING TO FLUCTUATIONS IN THE MARKET VALUE OF THE ASSETS OF THE SEGREGATED FUND. If you wish to obtain a copyof the simplified prospectus and/or financial statements of any of the underlying funds, please contact the appropriate mutual fund company.Transamerica Life Canada is the issuer and guarantor of the Transamerica CI Guaranteed Investment Portfolio contract.®CI Investments, the CI Investments design, Synergy Mutual Funds, Harbour Advisors, Harbour Funds, Cambridge and American Managers areregistered trademarks of CI Investments Inc. Signature Funds and Signature Global Asset Managements are trademarks of CI Investments Inc.Cambridge Global Asset Management is the business name of CI Global Invesments Inc. Certain portfolio managers of Cambridge Global AssetManagement are registered with CI Investments Inc.®Aegon and the Aegon logo are registered trademarks of Aegon N.V. Canada ULC and its affiliated companies are licensed to use such marks.®Transamerica and the pyramid design are registered trademarks of Transamerica Corporation. Transamerica Life Canada is licensed to use suchmarks. First published July 2013.2 Queen Street East, Twentieth Floor, Toronto, Ontario M5C 3G7 I www.ci.comHead Office / Toronto416-364-11451-800-268-9374Calgary403-205-43961-800-776-9027Montreal514-875-00901-800-268-1602Vancouver604-681-33461-800-665-6994Client ServicesEnglish: 1-800-563-5181French: 1-800-668-35281307-1198_E (07/13)