AIA Managed Portfolios - AIA Singapore

AIA Managed PortfoliosMay 2013Investment ObjectiveAIA Portfolio 30 seeks to achieve potential long term growth in capital and minimize short term capital risk by holding funds investing in equities,bonds and other fixed income securities in global markets, as well as investment in those types of assets. The allocation to equities and bonds isin the proportion of approximately 30:70.AIA Portfolio 50 seeks to achieve potential long term capital growth within moderate risk parameters through holding funds investing in equities,bonds and other fixed income securities in global markets, as well as investment in those types of assets. The allocation to equities and bonds isin the proportion of approximately 50:50.AIA Portfolio 70 seeks to achieve potential long term capital appreciation with reduced volatility by holding funds investing in equities, bonds andother fixed income securities in global markets, as well as investment in those types of assets. The allocation to equities and bonds is in theproportion of approximately 70:30.AIA Portfolio 100 seeks to maximize long term capital appreciation through investing in a globally diversified portfolio of equities. AIA Portfolio 100aims to achieve this objective by pursuing a strategic asset allocation of 100% in equities.Key Fund FactLaunch Date: 8 March 2002 Launch Price: S$ 1.000Sales Charge (For Cash and SRS): 5% (included in bid-offer spread) Sales Charge (For CPF OA or SA): 3%Pricing Frequency: DailyAIA Portfolio 30Manager of ILP Fund: Schroder Investment Management (Singapore) LtdName of Underlying Fund: Schroder Multi-Asset Revolution 30Manager of Underlying Fund: Schroder Investment Management (Singapore) LtdSubscription: Cash, CPF (OA & SA) and SRSManagement Fees: 1.25% p.a. of Net Asset ValueBid: S$ 1.344*Offer: S$ 1.415*Fund Size: S$ 15.4m*AIA Portfolio 50Manager of ILP Fund: Schroder Investment Management (Singapore) LtdName of Underlying Fund: Schroder Multi-Asset Revolution 70Manager of Underlying Fund: Schroder Investment Management (Singapore) LtdSubscription: Cash, CPF (OA & SA) and SRSManagement Fees: 1.50% p.a.of Net Asset ValueBid: S$ 1.194*Offer: S$ 1.257*Fund Size: S$ 29.7m** As of 31 March 2013AIA Portfolio 70Manager of ILP Fund: Schroder Investment Management (Singapore) LtdName of Underlying Fund: Schroder Multi-Asset Revolution 70Manager of Underlying Fund: Schroder Investment Management (Singapore) LtdSubscription: Cash, CPF(OA & SA) and SRSManagement Fees: 1.50% p.a. of Net Asset ValueBid: S$ 1.076*Offer: S$ 1.133*Fund Size: S$ 33.9m*AIA Portfolio 100Manager of ILP Fund: Allianz Global Investors Singapore LimitedName of Underlying Fund: Allianz Global Investors Premier Funds -RCM Global High Payout FundManager of Underlying Fund: Allianz Global Investors Singapore LimitedSubscription: Cash or CPF (OA) and SRSManagement Fees: 1.50% p.a. of Net Asset ValueBid: S$ 0.850*Offer: S$ 0.895*Fund Size: S$ 7.5m*aia.com.sg

AIA Managed Portfolios 2Portfolio 30/50/70 Commentary Source : Schroder Investment ManagementRegional markets performance continued to diverge with the US and Japan outperforming Europe and emerging markets. The Cypriot showdownreminded investors that the Eurozone crisis is not over, while in the US, the stronger than expected PMI and housing data continued to surpriseon the upside. In China, additional measures by the central government to curb red-hot property prices as well as an attempt to slow the growth inshadow banking pulled Asian markets down. The expanded easing by the Bank of Japan helped push the stock market higher with the TOPIXreturning 6% in local terms. Over the month of March, the MSCI World delivered a positive return of 2.4% in USD terms while the MSCI AC Asiaex Japan was down by 2.0%.The Cypriot bailout sparked increased demand for safe-haven assets as we saw yields on core government bonds tighten with the German 10-yearrate down 17 basis points in March. Higher beta fixed income asset classes, including Emerging Market Debt and Corporate Credit, suffered smalllosses. Asian credit spreads also widened, though total returns including both capital and income yield were flat over the month. High yield, onthe other hand, continued to deliver positive returns.As a perceived safe-haven asset, the USD index continued its rally, up 1.3% in March. The Korean won lost 2.6% as the tension between the Northand the South heightened while the Singapore dollar depreciated against the USD slightly by 0.3%.Note: Market index performance in USD terms unless otherwise stated.Portfolio PerformanceThe SMART 30/50/70 achieved positive returns over the month. Key contributors to performance were the holdings in equities, with Japaneseequities in particular delivering strong returns as investors' sentiments were buoyed by BOJ's monetary easing measures. Bonds exposures wererelatively flat over the month.The portfolio underperformed the reference benchmark attributed mainly to the underperformance in Asian equities against the MSCI World index,which saw strong returns in March.Portfolio PositioningOur outlook for 2013 is continued volatile price action within essentially range bound markets as governments juggle between fiscal prudence andgrowth support, while businesses operate in a growth challenged environment. We remain cautious on growth assets, placing greater value onquality and yield as stable income will be an increasingly important component of total returns.Tail risks in the developed world have been mitigated with the ECB commitment on government bond purchases and the US fiscal cliff deal. Althoughsentiment is currently positive on steady US growth and BOJ stimulus, structural problems still need to be addressed and renewed flare-ups arevery real possibilities. Our cautious approach will continue until a concrete and workable resolution is within sight in the developed world. Withinthe developed markets, we maintain our positive tactical stance on Japanese equities as the anti-deflationary commitment in both the governmentand the Bank of Japan remains strong.Non-financial corporate balance sheet strength, particularly in the US, is strong with cash levels at extremes. This leads us to favour credit as weprefer the stable and visible cash flows of high quality corporate bonds. On the other hand, the balance sheets of developed market governmentscontinue to deteriorate so we remain underweight sovereign debt.Easing inflation in Asia provides policy makers with room to loosen monetary and fiscal conditions. Supportive policies and better fundamentalsshould see Asian assets outperform their Western counterparts.Portfolio 100 Commentary Source : Allianz Global InvestorsDespite renewed uncertainty, equity markets closed positively in March 2013.Cyprus announced it required a EUR 17 billion bail-out package coming from the Troika (EU, ECB and IMF). The country had to contribute up toEUR 6 billion from its own resources. A first proposal involved a bank levy of all deposits in Cyprus including those of up to EUR 100,000 whichwas rejected by the Cypriot parliament after a weekend of public outrage.The initial proposal would violate the European banking deposit insurance. After tense negotiations, a bail-in of depositors with more than EUR100,000 found a majority in parliament. The two main Cypriot banks were split to categories of good and bad banks.As a result of questioning bank deposits a new quality to European rescue measures was introduced. We learn that the sanctity in the “depositguarantee scheme” is not categorically excluded from governmental access.The incidents in Cyprus reignited, contagion fears with renewed market tensions, and heightened breakup risks in the euro zone - the fiscal debtcrisis in the European region finally returned. Even though Cyprus is small in size compared to its European peers economically, the poor crisismanagement of European leaders shows that renewed tension is hard to predict.China’s non-manufacturing business activity index rose in March and its new orders index also improved. At a geographic level, weaker readingsin the US, the European area, and Latin America more than offset the resilience in Asia. In the US, the Institute of Supply Management (ISM)Manufacturing index snapped a three-month winning streak of gains.

AIA Managed Portfolios 3Asset / Sector / Country Allocation As of 31 March 2013 (Excludes amount due from shareholders).Asset Allocation : PORTFOLIO 30^Alternatives 10%Cash 11%Global Equities 8%Emerging Market Equities 3%Asian Equities 9%Global Bonds 26%Emerging Market Bonds 7%Asian Bonds 26%Asset Allocation : PORTFOLIO 50^Global Bonds 20%Alternatives 13%Cash 2%Global Equities 14%Emerging Market Equities 5%Asian Equities 14%Asian Bonds 23%Emerging Market Bonds 9%Asset Allocation : PORTFOLIO 70^Alternatives 15%Cash 1%Global Bonds 16%Global Equities 22%Asian Bonds 10%Emerging Market Equities 8%Emerging Market Bonds 8%Asian Equities 20%

AIA Managed Portfolios 4Sector Allocation : PORTFOLIO 100*Liquidity 7.8%Others -1.1%Utilities 3.6%Materials 3.9%Telecom Services 9.3%Financials 17.2%Industrials 8.2%Healthcare 7.7%Cons. Staples 8.1%Cons. Disc. 10.3%IT 9.7%Energy 15.0%Country Allocation : PORTFOLIO 100*Liquidity 7.8%Others 15.1%Canada 3.5%South Africa 2.2%Norway 2.6%Japan 4.8%Netherlands 2.7%Germany 3.5%China 4.8%France 3.7%United Kingdom 8.7%United States 40.5%^ Source : Schroder Investment Management (Singapore) Ltd* Source : Allianz Global Investors Singapore Limited

AIA Managed Portfolios 5Performance Indicator Bid-to-bid, net dividends reinvested, SGD, from Inception to 31 March 2013. Source: AIA SingaporeAIA Portfolio 30Period 1 Month 3 Months 6 Months 1 Year 3 Year^ 5 Year^ 10 Year^ SinceInception^Fund (bid-to-bid) 0.22% 1.51% 2.91% 4.35% 3.53% 2.65% 3.83% 3.21%Benchmark 0.71% 1.89% 0.99% 1.74% 3.56% 2.50% 3.82% 3.57%^ Annualised returns# Current benchmark (w.e.f 1 July 2011): 30% MSCI World & 70% CitigroupWorld Govt Bond.Previous benchmark: 25% MSCI AC World Free Index & 75% JP MorganSing Bond Index (The combined benchmark is reflective of the fund’sinvestment focus).155150145140135130125120Price Indexed115110105100959085Apr-02Aug-02Dec-02Apr-03Aug-03Dec-03Apr-04Aug-04Dec-04Apr-05Aug-05Dec-05Apr-06Aug-06Dec-06Apr-07Aug-07Dec-07Apr-08Aug-08Dec-08Apr-09Aug-09Dec-09Apr-10Aug-10Dec-10Apr-11Aug-11Dec-11Apr-12Aug-12Dec-12AIA Portfolio 30 --- Benchmark #AIA Portfolio 50Period 1 Month 3 Months 6 Months 1 Year 3 Year^ 5 Year^ 10 Year^ SinceInception^Fund (bid-to-bid) 0.42% 2.49% 4.55% 5.66% 2.52% 1.38% 3.34% 2.10%Benchmark 1.25% 4.01% 3.96% 4.22% 3.49% 1.88% 4.37% 3.40%^ Annualised returns# Current benchmark (w.e.f 1 July 2011): 50% MSCI World & 50% CitigroupWorld Govt Bond.Previous benchmark: 45% MSCI AC World Free Index & 40% JP MorganSing Bond Index & 15% Salomon World Govt Bond Index (The combinedbenchmark is reflective of the fund’s investment focus).Price Indexed14514013513012512011511010510095908580Apr-02Aug-02Dec-02Apr-03Aug-03Dec-03Apr-04Aug-04Dec-04Apr-05Aug-05Dec-05Apr-06Aug-06Dec-06Apr-07Aug-07Dec-07Apr-08Aug-08Dec-08Apr-09Aug-09Dec-09Apr-10Aug-10Dec-10Apr-11Aug-11Dec-11Apr-12Aug-12Dec-12AIA Portfolio 50 --- Benchmark #

AIA Managed Portfolios 6AIA Portfolio 70Period 1 Month 3 Months 6 Months 1 Year 3 Year^ 5 Year^ 10 Year^ SinceInception^Fund (bid-to-bid) 0.56% 3.96% 6.75% 6.85% 2.03% 0.24% 3.12% 1.14%Benchmark 1.78% 6.15% 6.99% 6.68% 3.77% 1.40% 4.96% 3.15%^ Annualised returns# Current benchmark (w.e.f 1 July 2011): 70% MSCI World & 30% CitigroupWorld Govt Bond.Previous benchmark: 65% MSCI AC World Free Index & 20% JP MorganSing Bond Index & 15% Salomon World Govt Bond Index (The combinedbenchmark is reflective of the fund’s investment focus).Price Indexed16015014013012011010090807060Apr-02Aug-02Dec-02Apr-03Aug-03Dec-03Apr-04Aug-04Dec-04Apr-05Aug-05Dec-05Apr-06Aug-06Dec-06Apr-07Aug-07Dec-07Apr-08Aug-08Dec-08Apr-09Aug-09Dec-09Apr-10Aug-10Dec-10Apr-11Aug-11Dec-11Apr-12Aug-12Dec-12AIA Portfolio 70 --- Benchmark #AIA Portfolio 100Period 1 Month 3 Months 6 Months 1 Year 3 Year^ 5 Year^ 10 Year^ SinceInception^Fund (bid-to-bid) 0.71% 3.53% 6.65% 5.33% 0.16% -2.75% 2.23% -1.01%Benchmark 1.73% 6.52% 7.96% 6.90% 3.89% 0.13% 5.69% 2.30%^ Annualised returns# Current benchmark (w.e.f 1 July 2011): 60% MSCI World & 40% Dividendyield (MSCI World).Previous benchmark: MSCI AC World Free Index.Price Indexed160150140130120110100908070605040Apr-02Aug-02Dec-02Apr-03Aug-03Dec-03Apr-04Aug-04Dec-04Apr-05Aug-05Dec-05Apr-06Aug-06Dec-06Apr-07Aug-07Dec-07Apr-08Aug-08Dec-08Apr-09Aug-09Dec-09Apr-10Aug-10Dec-10Apr-11Aug-11Dec-11Apr-12Aug-12Dec-12AIA Portfolio 100 --- Benchmark #Note: Performance of the funds are in SGD without taking into consideration the fees and charges payable through deduction of premium or cancellationof units and with net dividends reinvested.

AIA Managed Portfolios 7The Underlying Investments *Information as of 31 March 2013.Schroder Multi-Asset Revolution 30Investment Manager: Schroder Investment Management (Singapore) LtdTop Five Holdings*Holding (%)Schroder ISF Global Bond 17Schroder Singapore Fixed Income 12Schroder Asian Investment Grade Credit 10Schroder ISF Emerging Markets Debt Absolute Return 7Schroder ISF Global Corporate Bond 6____________________________________________________________Total 52%Schroder Multi-Asset Revolution 50Investment Manager: Schroder Investment Management (Singapore) LtdTop Five Holdings*Holding (%)Schroder Asian Investment Grade Credit 10Schroder ISF Global Bond 10Schroder ISF Global Equity Alpha 9Schroder ISF Emerging Markets Debt Absolute Return 9Schroder ISF Global Property Securities 8____________________________________________________________Total 46%Schroder Multi-Asset Revolution 70Investment Manager: Schroder Investment Management (Singapore) LtdTop Five Holdings*Holding (%)Schroder ISF Global Equity Alpha 14Schroder ISF Global Property Securities 10Schroder ISF Emerging Markets 8Schroder ISF Global Smaller Companies 8Schroder ISF Asian Opportunities 8____________________________________________________________Total 48%Allianz Global High Payout FundInvestment Manager: Allianz Global Investors Singapore LimitedTop Five Holdings*Holding (%)TIME WARNER INC (US) 1.6JOHNSON & JOHNSON (US) 1.6VODAFONE GROUP PLC (GB) 1.5APPLE INC (US) 1.5WAL-MART STORES INC (US) 1.5____________________________________________________________Total 7.7%AIA Managed Portfolios are investment-linked policy (ILP) funds offered by AIA Singapore Private Limited (“AIA Singapore”) and are only available underAIA Investment-Linked Policies. AIA Singapore is the product provider. This fact sheet is prepared by AIA Singapore and the information presented is forinformational use only. Investments are subject to investment risks including the possible loss of the principal amount invested. Past performance, as wellas the prediction, projection or forecast on the economy, securities markets or the economic trends of the markets are not necessarily indicative of the futureor likely performance of the ILP funds. The performance of the ILP funds are not guaranteed and the value of the units in the ILP funds and the incomeaccruing to the units, if any, may fall or rise. A product summary relating to the ILP funds is available and may be obtained from your AIA Financial ServicesConsultant. A potential investor should read the product summary before deciding whether to subscribe for units in the ILP funds. AIA Singapore does notwarrant or make any representations regarding the use or the results of the use of the figures generated in terms of their correctness, accuracy, reliability,or otherwise.E. & O. E.AIA Singapore Private Limited (Reg No.201106386R)1 Robinson Road, AIA Tower, Singapore 048542 Monday - Friday: 8.45am - 5.30pm AIA Customer Care Hotline: 1800 248 8000 aia.com.sg