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1

CHINA EQUITIES

GROWTH IDEAS IN CHINAJASMINE KANG

YIELD INVESTMENTTAGEOCTOBER 2018

FOR PROFESSIONAL INVESTORS ONLY

2

INVESTMENT TEAMASIA PACIFIC EX JAPAN: AN EXPERIENCED AND STABLE TEAM

Updated as of Jun. 2018Years of experience: (Industry/Comgest)*Comgest India Advisors, independent company working exclusively for Comgest

AVERAGE INDUSTRY EXPERIENCE OF 16 YEARS

SINGAPORE

ADAM HAKKOU

Analyst / PM(5/4)

MANISH SHAH

Analyst / PM(24/13)

MUMBAI

KETANSHAH

Analyst(11/9)*

HONG KONG

JASMINEKANG

Analyst / PM(13/3)

GARYPINGE

Analyst / PM(19/3)

DAVIDRAPER

Analyst / PM(19/15)

BAIJINGYU

Analyst / PM(10/6)

JIMMY CHENAnalyst(9/1)

PARIS

CAROLINE MAES

Analyst / PM(14/5)

EMIL WOLTER

Analyst / PM(23/5)

SÉBASTIENTHÉVOUX-CHABUEL

ESG Analyst / PM(19/4)

CHANTANAWARD

Analyst / PM(19/19)

ERICVORAVONGESG Analyst

(29/1)

ESG

YANNGÉRAIN

ESG Analyst(13/6)

BHUVNESHSINGHAnalyst(19/1)

3

CUMULATIVE PERFORMANCE SINCE INCEPTION (%)

55

155

255

355

455

555

655

755

Apr-01 Apr-03 Apr-05 Apr-07 Apr-09 Apr-11 Apr-13 Apr-15 Apr-17

Inde

xed

Perfo

rman

ce

Fund Index

RO LLING PERFO RMANCE (%) Annua lise d

1 Mo nt h Q TD YTD 1 Ye a r 3 Ye a rs 5 Ye a rs 10 Ye a rs Inc e p t io n 11/ 0 4 / 20 0 1 Fund -3 .78 -4 .9 9 -4 .4 7 4 .4 0 14 .57 16 .70 10 .9 3 11.8 1 Ind e x -3 .25 -5 .8 7 -4 .8 8 0 .14 10 .9 1 11.4 0 9 .0 3 6 .27

COMGEST GROW TH CHINA EUR ACC PERFORMANCE (NET)

31/ 0 8 / 20 18

Curre nc y: EUR Ind e x: MSCI China - Ne t Re turn

So urce : Com g e st Asse t Manag e m ent In te rnat io nal Lim it ed / Fac tSe t financ ia l d at a and ana lyt ic s , unle ss o the rwise s ta te d

Pe rform ance d a ta exp re ssed in EUR

Ind e x: MSCI China - Ne t Re turn (chang ed fro m MSCI AC Go ld en Drag o n - Ne t Re turn o n 0 1.0 1.20 18). The ind e x is use d fo r com p ara t ive p urp o se s o nly and the fund d oe s no t seek to rep lica te the ind ex.

Past p e rform ance is no t a re liab le g u id e t o fu ture p e rfo rm ance . The ca lcu la t ion o f p e rfo rm ance d a ta is b ased on the ne t a sse t va lue (NAV) w hich d oe s no t inc lud e any sa le s cha rg es . If t aken into acco unt , sa le s charg e s wo uld have a neg a t ive im p ac t o n p e rform ance .

© 20 18 Mo rn ing s t a r, Inc. All rig h t s re se rve d . Ra t ing s and aw ard s m ent io ned in t h is d ocum ent can chang e a t any t im e and d o no t co ns t it ut e a b uy re co m m e nd a t ion .

4

ANNUAL RETURN (CALENDAR)

-60

-40

-20

0

20

40

60

80

+/- Index 43.33 18.61 -2.33 -4.55 1.19 4.92 3.50 -3.85 2.42 -6.33 -0.13 -0.25 11.00 11.04 1.35 2.81Index -31.94 23.48 5.77 26.59 24.39 24.13 -46.93 61.47 21.11 -15.95 20.31 2.27 22.66 3.12 8.56 26.30Fund 11.39 42.08 3.44 22.04 25.58 29.05 -43.43 57.62 23.53 -22.27 20.18 2.03 33.66 14.16 9.91 29.11

% 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017


31/ 0 8 / 20 18





Past p e rform ance is no t a re liab le g u id e t o fu ture p e rfo rm ance . The ca lcu la t ion o f p e rfo rm ance d a ta is b ased on the ne t a sse t va lue (NAV) w hich d oe s no t inc lud e any sa le s cha rg es . If t aken into acco unt , sa le s charg e s wo uld have a neg a t ive im p ac t o n p e rform ance .

5

BULL MARKET PERFORMANCE

(ANNUALISED SINCE INCEPTION)

23,522,6

0%

5%

10%

15%

20%

25%

Fund Index

Number of quarters of bull markets: 45

BEAR MARKET PERFORMANCE


-9,5

-13,0-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

Fund Index

Number of quarters of bear markets: 23

VOLATILITY


16,1 16,016,8

19,3 19,1

20,9

19,118,8

20,821,5

0%

5%

10%

15%

20%

25%

1 Year 3 Years 5 Years 10 Yea rs Since Inception

Fund Index


31/ 0 8 / 20 18





Past p e rfo rm ance is no t a re liab le g u id e t o fu tu re p e rfo rm ance . The ca lcu la t ion o f p e rfo rm ance d a ta is b a sed on the ne t a sse t va lue (NAV) w hich d oe s no t inc lud e any sa le s cha rg es . If t aken into acco unt , sa le s charg e s wo uld have a neg a t ive im p ac t o n p e rfo rm ance .

6

– Economic growth looks reasonable while it is shifting away from an export economy towards a self reliant consumer services economy

– Deleveraging appears to have reduced China’s macro and financial risks

– R&D investment become meaningful in relative and absolute scale

– Reforms should further open up the domestic market and improve long term RoIC

– We believe the growth prospects of the portfolio over 1 and 5 years are relatively promising while the valuations of our opportunity set remain reasonable

OUTLOOK

7

CHINA’S MOVE TO A CONSUMPTION DRIVEN ECONOMY LEADING TO SLOWER BUT HIGHER QUALITY GROWTH

Source: Emerging Advisors Group (EAG), 30-Jun-2018

REAL GROWTH(% y/y 3-qma)

CONTRIBUTION TO REAL GDP GROWTH(% y/y 3-quarter moving average (qma))

-10%

-5%

0%

5%

10%

15%

00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18

Consumption Inv estment

Net exports Overall GDP0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18

Primary

Secondary

Tert iary

8

CONCERNS REMAIN FOR THE MACRO ENVIRONMENTAN ATTEMPT TO MANAGE ISSUES… IN CREDIT

Source: Emerging Advisors Group (EAG) as of Jul-2018

EXTERNAL DEBT(weighted, % of GDP)

MONTHLY CREDIT IMPULSE (credit/GDP index 2005=100)

0

50

100

150

200

250

300

350

03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18

China Other Asia ex-HKSG Other EM ex-HKSG

9

CONCERNS REMAIN FOR THE MACRO ENVIRONMENT

AN ATTEMPT TO MANAGE ISSUES…IN HOUSING

Source: Emerging Advisors Group (EAG) as of Jul-2018

DEVELOPER RESIDENTIAL INVENTORIES

(months of sales)

HOUSING MARKET

(2005=100 3-mma seasonally adjusted)

0

50

100

150

200

250

300

350

400

03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18

Sales

Completions

Starts

0

4

8

12

16

20

24

0

5

10

15

20

25

30

35

40

07 08 09 10 11 12 13 14 15 16 17 18

IMF (LH scale)

Implied NBS nationwide inventories

35-city survey (RH scale)

10

INNOVATION AND R&D

R&D, PERCENTAGE OF GDP

Source: CEIC/IP 5 office (left) and OECD (right), UBS Equity Strategy Report on China as of 28-Sep-2017 “China Sparks: from smokestack to labtech; where is the Chinese innovation boom taking place?”.

*Compound Annual Growth Rate. Investors should be aware that these figures are provided for information purposes only and Comgest does not take responsibility for discrepancies which may occur between estimated forward figures and factual market data published over the

coming months/years. Estimates are inherently uncertain and actual results may differ materially.

THE SECOND LARGEST R&D SPENDER GLOBALLYCHINA HAS BEEN INVESTING IN R&D FOR THE PAST DECADE

1,00

1,20

1,40

1,60

1,80

2,00

2,20

2,40

2,60

2,80

0

500

1.000

1.500

2.000

2.500

20

06

20

07

20

08

20

09

20

10

20

11

20

12

20

13

20

14

20

15

20

16

20

17

E

20

18

E

20

19

E

20

20

E

Total R&D sp ending (R MB b n) % of GDP - RHS

2006-16 CAGR*: +18%

*

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FINANCIAL MARKET REFORMOPENING OF DOMESTIC MARKET – OPPORTUNITIES FOR GLOBAL INVESTORS

Source: Bloomberg, UBS Quantitative Research as of 31-Aug-2018 (Left) and as of 3 May 2018 (Right). *Average Daily Volume Traded. *3m ADVT: the three-month Average Daily Volume Traded

CHINA DOMESTIC EQUITY IS A VAST…

– China represents 15% of global GDP and 7% of global market cap

– Shenzhen and Shanghai represent 22% of global stock market turnover in 2016

… AND LIQUID MARKET

70,766,4

25,1

11,48,2 6,8 5,8 5,4 5,4 4,3 4,3

0

10

20

30

40

50

60

70

80

Chi

na

US JP HK

UK

Kor

ea

Fran

ce

Ge

rman

y

Ind

ia

Taiw

an

Can

ada

3m A

DV

T* in

bn

USD

0

2

4

6

8

10

12

0

5

10

15

20

25

30

35

Jan-05

Jan-06

Jan-07

Jan-08

Jan-09

Jan-10

Jan-11

Jan-12

Jan-13

Jan-14

Jan-15

Jan-16

Jan-17

Jan-18

US (LHS) China (RHS) Hong Kong ( RHS)

Mkt

Cap

(in T

rilli

ons

USD

)

12

FINANCIAL MARKET REFORMOPENING OF DOMESTIC MARKET – OPPORTUNITIES FOR GLOBAL INVESTORS

Source: Citi Research, Strategy Asia/China, data as at October 2016 (chart and data). The material presented in this document is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. Figures may not total 100% due to rounding.

46%

19%

39%

24%

37%

15%

9%

29%

10%

16%

49%

47%

43%

22%27%

28%

1%

5%

1%

31%24%

32%

13%

33%

0%

20%

40%

60%

80%

100%

China A(1Q2016)

Japan(2014)

Taiwan(2013)

Korea(2012)

USA(2010)

EU(2012)

Foreigners

Government& Corporations

Inst itut ional Inv estors

Retail Investors

OUR ANALYSIS

SHAREHOLDER STRUCTURE - A-SHARES VS INTERNATIONAL MARKETS FACTS ON CHINA A-SHARES

– 90% of market capitalization is in the hands of government or private investors

– Only 10% of market participants are professional investors

– The Chinese domestic equity market is inefficient due to a lack of professional investors which improves alpha opportunities

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•Publishes corporate citizen reports to the best of their knowledge which were not in line with international standards

•Limited disclosure on environment issues •No participation to any internationally

recognized ESG initiative

Yili

(2014-2015)

•Introductory call with IR director regarding the importance of ESG to Comgest’s investments

•Follow up call with IR director to explain our list of ESG questions

•Further follow up call to explain the relevance of the sent question list and discuss how to interpret company’s reply

•Sent Nestle ESG report to educate and improve Yili’s understanding regarding international ESG practices

•Comgest ESG quality level 3

Comgest Engagement (2015)

•UN Global Compact Signatory participant

•Sustainability conference organized and hosted by CEO with attendances of UN experts and senior management

Yili (2017/2018)

RESPONSIBLE INVESTMENT IN CHINA

Source: company website and media communications. The material presented in this document is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. The security discussed herein may not be held in the portfolio at the time you receive this presentation. It should not be assumed that any of the investments discussed were or will be profitable, or that recommendations or decisions made in the future will be profitable.

ACTIVE ESG ENGAGEMENT CASE STUDY: INNER MONGOLIA YILI

14

SOLID GROWTH AT A REASONABLE PRICE

Source: Bloomberg. data as of 18-Sep-2018

0

5

10

15

20

25

30

01.2006 01.2007 01.2008 01.2009 01.2010 01.2011 01.2012 01.2013 01.2014 01.2015 01.2016 01.2017 01.2018

MSCI China PE FY1 1x Std Dev 2x Std Dev

INDEX P/E IS ON THE LOW END AGAIN

15

COMGEST CHINA PORTFOLIO

Source: Comgest / Factset (fund data)./Bloomberg Data as at 30-Jun-2018. *5-year EPS growth is a Comgest estimate and can differ from data in a graph which is based on the Factset consensus. Investors should be aware that these figures are provided for information purposes only and Comgest does not take any responsibility for discrepancies which may occur between estimated forward figures and factual market data published over the coming months.

RESPECTABLE GROWTH RELATIVE TO INDEX WITH REASONABLE VALUATIONS AND HIGHER RETURNS

CG CHINAA-SHAREHOLDINGS

MSCI CHINA INDEX

EPS GROWTH EPS Growth 2018(e) 16.1% 13.4% 16.8%

EPS Growth 2019(e) 15.8% 11.4% 16.0%

EPS growth forecast 5Y CAGR* 13.9% 12.4% -

VALUATION PE 2018(e) 15.7x 13.5x 12.7x

PE 2019(e) 13.6x 12.1x 10.9x

RETURNS ROE NTM 14.9% 18.5% 13.7%

ROA NTM 2.0% 4.5% 0.7%

FCF Yield NTM 4.3% 7.6% 8.6%

Dividend yield NTM 2.6% 4.1% 2.4%

16

DIVERSIFIED SOURCES OF SECULAR GROWTH TRENDS

Source: Comgest, as of 30-Jun-2018. For each matrix category, the holdings shown represent the top one or two portfolio positions by following a one-year average portfolio weighting methodology, Past performance is no guarantee of future results. Investors should be aware that this figure is provided for information purposes only. This material presented in this document is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The referenced securities may not be held in the portfolio at the time you receive this presentation. Portfolio holdings are subject to change without notice.

VALUE-ADDED MANUFACTURING

DOMESTIC CONSUMPTION

DIGITALIZATION

ASIAN MILLENNIALS

17

INVESTMENT EXAMPLE

STOCK DESCRIPTION AND ANALYSIS KEY CHARACTERISTICS*

PRICE / EPS (Rebased at 100)

Source: Comgest, Factset, Company reports. Data updated as of 30-Jun-2018. *EPS growth 5 years is a Comgest estimate and can differ from data in the graph which are based on the Factset consensus. Market Cap is calculated as of end of last calendar quarter while ROE and

dividend yield are calculated as of end of last fiscal year. Past performance is not a reliable guide to future performance. Any forecast, projection or target where provided is indicative only and is not guaranteed in any way. The material presented in this document is for information

purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. The securities discussed herein may not be held in the portfolio at

the time you receive this presentation.

– The strongest insurance player in coastal China

– Excellent network of agents and the most advanced agent training programs within the

domestic life insurance market

– Within insurance the company is focused on life insurance sold through their exclusive

agent network

– Secondary businesses in peripheral financial services which they aim to sell to the

underserved domestic consumer, using traditional financial products and innovative

fintech

– Structurally the Chinese life insurance market has room to grow in the mid-teens for

many years to come as the market is significantly underinsured

– The company is executing on their cross-selling of products to their customer base and

building a strong position as a financial technology company

Sector: Financials

Market cap.: USD {164319.4}m

EPS growth 5 yrs (e)*: 15%

ROE : {20.6}%

Dividend yield: {1.5}%

PING AN INSURANCE (CHINA)

Price (lhs) Actual EPS (rhs) Estimated EPS (rhs)

http://factset.com/apw/btag.htmlhttp://factset.com/apw/etag.htmlhttp://factset.com/apw/btag.htmlhttp://factset.com/apw/etag.htmlhttp://factset.com/apw/btag.htmlhttp://factset.com/apw/etag.html

18

INVESTMENT EXAMPLE



Source: Comgest, Factset, SAIC Motor Annual Report 2014. Data updated as of 30-Jun-2018. *EPS growth 5 years is a Comgest estimate and can differ from data in the graph which are based on the Factset consensus. Market Cap is calculated as of end of last calendar quarter while

ROE and dividend yield are calculated as of end of last fiscal year. Past performance is not a reliable guide to future performance. Any forecast, projection or target where provided is indicative only and is not guaranteed in any way. The material presented in this document is for

information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. The securities discussed herein may not be held in the

portfolio at the time you receive this presentation.

– One of the largest auto makers with 23% market share, around 7000 car distributors and

5.6 million car sales per year

– We expect auto demand to grow at around 8%-10% in the coming years, driven by

relatively low penetration

– Highly efficient at managing manufacturing and distribution, together with its joint venture partners VW and GM

– Management team proactively develops proprietary technology for electric vehicles,

SUVs, internet connected cars and car hailing platforms

– Consistent dividend payout policies

SAIC (CHINA)


Sector: Consumer Discretionary


EPS growth 5 yrs (e): 11%

ROE: {16.5}%



19

INVESTMENT EXAMPLE







– 3SBio is a leading Chinese biosimilar company founded by a Chinese scientist who

worked in the US

– China has been the world’s #2 pharmaceutical market since 2012, driven by increasing

investment from the government, rising awareness of commercial healthcare insurance,

rising income and an ageing population.

– 3SBio, via ongoing R&D, maintains dominant positions in the EPO and TPO market,

while expanding into new areas such as rheumatoid arthritis and diabetes. Oncology

and diabetes both are under-treated in China

– Strong sales team, comprising 2,000 sales people focusing on biosimilars

Sector: Health Care


EPS growth 5 yrs (e)*: 22%

ROE : {13.4}%


3SBIO (CHINA)



20

INVESTMENT EXAMPLE



Source: Comgest, Factset, Company reports. Updated as of 30-Jun-2018. *EPS growth 5 years is a Comgest estimate and can differ from data in the graph which are based on the Factset consensus. Market Cap is calculated as of end of last calendar quarter while ROE and dividend

yield are calculated as of end of last fiscal year. Past performance is not a reliable guide to future performance. Any forecast, projection or target where provided is indicative only and is not guaranteed in any way. The material presented in this document is for information purposes

only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. The securities discussed herein may not be held in the portfolio at the time

you receive this presentation.

– China’s largest search engine operator with a dominant 80%+ market share in PC web

traffic and a fast-growing position in mobile search

– Market leader in search product development and innovation leading to increasing

monetization and Internet user stickiness

– Its monopolistic search position coupled with the largest advertising union network

creates significant network effect on customer acquisition

– Defensive nature of search makes its earnings resilient during macro downturns (40%

revenue and earnings growth in 2009)

BAIDU (CHINA)


Sector: Info. Technology



ROE: {17.5}%

Dividend yield: {0}%


21

INVESTMENT EXAMPLE







– YuTong’s has increased market share from 13% to 32.3% over the past ten years and it

should continue to gain market share from small regional players

– Rising average selling price (ASP): the whole society is paying more attention to bus

safety, hence a growing willingness to pay a higher price per fare

– Export potential: its ASP is around RMB 450k, 70% cheaper than global peers such as

Volvo and Mercedes

– Electric buses should continue to grow in China after doubling growth every year since

2012. The Chinese government aims to have 68% of its urban transport in electric

vehicles by 2020, up from single digits in 2012 to 30% in 2015

Sector: Industrials



ROE: {22.3}%


ZHENGZHOU YUTONG BUS (CHINA)



22

INVESTMENT EXAMPLE



Source: Comgest, Factset, Company reports. Data updated as of 30-Jun-2018. *EPS growth 5 years is a Comgest estimate and can differ from data in the graph which are based on the Factset consensus. Market Cap is calculated as of end of last calendar quarter while ROE and dividend yield are calculated as of end of last fiscal year. Past performance is not a reliable guide to future performance. Any forecast, projection or target where provided is indicative only and is not guaranteed in any way. The material presented in this document is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in relation to any potential investment. The securities discussed herein may not be held in the portfolio at the time you receive this presentation.

– Hikvision is the world’s largest supplier of video surveillance products and solutions, with a more than 15% market share

– Demand for better surveillance equipment is forecast to rise in China, and globally, amid unpredictable terrorism threats

– The industry upgrade cycle could continue due to transitions from analog to digital cameras, digital cameras to internet-linked digital systems, and services that automatically provide data analysis, alerts and statistical reports

– There is big market potential in household solutions, logistic robots, and ADAS solutions.

Sector: Information TechnologyMarket cap.: USD {51712.2}mEPS growth 5 yrs (e): 21%ROE : {34.4}%Dividend yield: {1.0}%

HANGZHOU HIKVISION (CHINA)



2323

CONTACTS

24

GABRIELLA BERGLUNDIR Manager

Southern Europe,Nordic countries

INVESTOR RELATIONS TEAM

PARIS

Global

PHILIPPE LEBEAUGlobal Head

of Marketing & IR

FRÉDÉRIC BUSTINIR Manager

SÉBASTIEN DE FROUVILLE, CFA®IR Manager

France, French-speaking Switzerland and Luxembourg, Monaco

JANE RUSSELLConsultant Relations

& IR Manager

Global consultants, UK

WOLFGANG FICKUS, CFA®IR Manager, Member of the

Investment Committee

German-speaking Switzerland

Asia ex Japan Japan

ROBERT JAMESHead of Sales

Managing Director CFE

YOSUKE TAKAHASHIIR Manager

Managing DirectorCAMJ

KEI WATANABEMarketing

& IR Manager

Benelux

LODEWIJK VAN DER KROFTIR Manager

Managing Director Comgest Benelux

AMSTERDAM

TOKYOHONG KONG

ROB DENEKEIR Manager

Managing Director Comgest Benelux

USA

JAMES DUPONTIR Manager

KEVIN ROBERTSON, CFA®IR Manager

BOSTON

UK

IAIN MACPHERSONIR Manager

LONDON DÜSSELDORF

OLIVER HAUSEMANNIR Manager

ANDREAS FRANZIR Manager

THORBEN POLLITARASManaging Director

Comgest Deutschland

Germany

DIETER WIMMERIR Manager

Austria

25

CONTACTS FOR AUSTRIA

COMGEST DEUTSCHLANDGMBH

Sky OfficeKennedydamm 24 40476 Düsseldorf

Tel. +49 (0)211 44 03 87-0

[email protected]

Dieter WimmerTel. +49 (0)8131 33 78 715Mobile +49 (0)151 23 04 14 72

Christoph RüttingTel. +49 (0)211 44 03 87-14

Head of Sales [email protected]

Business Support / [email protected]

26

COMGEST S.A. COMGEST FAR EAST LIMITED COMGEST ASSET MANAGEMENT INTERNATIONAL LIMITED

17 square Edouard VII, 75009 Paris, FranceTel: (+33) 1 44 94 19 [email protected]

Level 10, 28 Hennessy Road,Hong KongTel: (+852) 3972 [email protected]

Dublin Office 46 St. Stephen’s Green, Dublin 2, IrelandTel: (+353) 1 631 [email protected]

UK Representative Office43 Brook Street, Mayfair, London, W1K 4HJ, UKTel: (+44) 20 3871 [email protected]

COMGEST ASSETMANAGEMENT JAPAN LTD.

9F Tekko Building, 8-2, Marunouchi 1-chome, Chiyoda-ku, Tokyo 100-0005 JapanTel: (+81) 3 4588 [email protected]

COMGEST SINGAPORE PTE. LTD.

Comgest Singapore Pte. Ltd, 8 Temasek Boulevard, #20-01A Suntec Tower Three, Singapore 038988Tel: (+65) 6672 [email protected]

COMGEST DEUTSCHLAND GMBH

Sky OfficeKennedydamm 2440476 Düsseldorf, GermanyTel: (+49) 211 44 03 [email protected]

COMGEST US LLC

101 Arch Street, 8th floorBoston, MA 02110, USATel: (+1) 857 304 [email protected]

COMGEST BENELUX B.V.

Gustav Mahlerplein 3-1151082 MS, Amsterdam,The NetherlandsTel: (+31) 6 229 20 [email protected]

CONTACTS

27

LEGAL INFORMATION FOR INVESTORS IN GERMANY AND AUSTRIAThese presentation documents are intended exclusively for professional investors and are only meaningful together with the oral explanations. The spoken word shall prevail.

The contents of this document should not be regarded as advice regarding any potential investment, but are rather provided for the sole purpose of describing the product. The information has been obtained from

sources which Comgest believes to be reliable, but its accuracy cannot be guaranteed. Prior to making an investment decision, the latest sales prospectus and key investor information which contain detailed

indications of individual risks associated with the investment should be consulted. The abovementioned documents are available free of charge in German as printed documents from the respective paying and

information agents: Marcard, Stein & Co AG, Ballindamm 36, D-20095 Hamburg (Germany) and Erste Bank der österreichischen Sparkassen AG, Am Belvedere 1, 1100 Vienna (Austria) . They are also available to

download on the website www.comgest.com. This product information does not constitute an offer or advice regarding the purchase or sale of a financial asset. The securities discussed herein may not be held in

the portfolio at the time you receive this presentation. The estimates and opinions expressed herein are subject to change. There is no certainty that the forecasts contained herein will actually materialise.

The funds mentioned are aimed at investors with a long-term investment horizon. Past performance or volatility is not a reliable indicator of future performance or volatility. Changes on capital markets may cause the share value to fall below the amount originally invested. Investments denominated in foreign currencies may be subject to currency fluctuations, thereby having a positive or negative impact on the rate of return. Investing in emerging markets involves high political, economic and currency risks. The listed ratings and awards issued by different companies are subject to change at any time.

Golden Bull for the Fund Boutique of the Year in 2015, 2016, 2017 and 2018 awarded by Finanzen Verlag in January 2015, 2016, 2017 and 2018. Comgest rated as a Top Investment Company (5 Stars) in the Capital Fonds-Kompass 2017, issue 03/2017. Comgest presented with Best Asset Manager 2018 award by Scope in November 2017. Morningstar Awards 2018 ©. Morningstar, Inc. All rights reserved. Comgest garners award for “Best Fund House: Equity”, Germany and Austria.

Indices are specified independently of any retrospective comparison.

MSCI data is intended for internal use only and may not be circulated or used as a basis for or in connection with the creation or offering of other securities, financial products or indices. Neither MSCI nor any other

third party involved in or related to the compiling, computing or creation of MSCI data (the MSCI parties) offer any express or implied warranties or representations with regard to the data (or the results to be

obtained by the use thereof). The parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or suitability for a particular purpose with respect to this data. Without

limiting any of the foregoing, under no circumstances shall MSCI or companies and third parties associated with MSCI involved in the compiling, computing or creation of the data bear any liability for any direct,

indirect, special, consequential or any other damages (including lost profits) or compensation, even if they have been notified of the possibility of such damages. Calculation basis for performance (unless otherwise

stated): Net asset value excluding front-end load; Dividends reinvested. Individual costs such as fees, commissions and other charges are not included. These and the front-end load would have a negative impact on

performance if taken into consideration. TER: Operating and administrative expenses, including VAT (including all expenses except transaction and installation costs).

The investment professionals specified in this document are either employed by Comgest S.A., Comgest Asset Management International Limited, Comgest Far East Limited, Comgest Asset Management Japan Ltd.,

Comgest US L.L.C. or Comgest Singapore Pte. Ltd.

Asset management firms of the Comgest Group include: Comgest S.A., regulated by the Autorité des Marchés Financiers (AMF); Comgest Far East Limited, regulated by the Hong Kong Securities and Futures

Commission; Comgest Asset Management International Limited, regulated by the Central Bank of Ireland and the U.S. Securities and Exchange Commission; Comgest Asset Management Japan Ltd., regulated by the

Financial Service Agency of Japan (registered with the Local Finance Bureau Kanto (No. Kinsho 1696)); Comgest Singapore Pte. Ltd., a licensed fund management company and exempt financial advisor (for

institutional and accredited investors) regulated by the Monetary Authority of Singapore (MAS) and Comgest US L.L.C, regulated by the U.S. Securities and Exchange Commission.

28

IMPORTANT INFORMATION (1/2)

This document has been prepared for professional investors only and may only be used by these investors. It is incomplete without the oral briefing provided by Comgest representatives.

This material is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The contents of this document should not be treated as advice in

relation to any potential investment.

The information and any opinions have been obtained from or are based on information from sources believed to be reliable, but accuracy cannot be guaranteed. No liability is accepted by Comgest in relation to

the accuracy or completeness of the information contained in this document. The information in this document is not comprehensive and is presented for informational purposes only. All opinions and estimates

constitute our judgment as of the date of this presentation and are subject to change without notice. Forward looking statements, data or forecasts may be not be realised.

The securities discussed herein may not be held in the portfolio at the time you receive this document. Performance figures are provided net of all fees unless otherwise stated and are calculated on a time-

weighted, total return basis.

Past investment results are not necessarily indicative of future investment results. The value of all investments and the income derived therefrom can decrease as well as increase. This may be partly due to

exchange rate fluctuations in investments that have an exposure to currencies other than the base currency of the Fund. Funds which specialise in a particular region or market sector may entail higher risks than

those which hold a very broad spread of investments. Reference to market indices or other measures of relative market performance over a specified period of time are provided for your information only.

Reference to an index does not imply that the portfolio will achieve returns, volatility or other results similar to the index. The composition of the index will not reflect the manner in which a portfolio is constructed.

Comgest does not provide tax or legal advice to its clients and all investors are strongly urged to consult their own tax or legal advisors concerning any potential investment. Before making any investment decision,

investors are advised to check the investment horizon and category of the Fund in relation to any objectives or constraints they may have. Investors must read the latest Fund prospectus and the Key Investor

Information Document (“KIID”), available at our offices and on our website www.comgest.com

Investors shall undertake to respect the legal, regulatory and deontological measures relative to the fight against money laundering, as well as the texts that govern their application and, if modified, investors shall

ensure compliance with the applicable texts.

This material is in no case an offer for people living in a specific jurisdiction which does not authorise the distribution of the Funds mentioned herein.

The Comgest Growth funds mentioned herein are UCITS V compliant sub-funds of Comgest Growth plc, an open-ended umbrella-type investment company with variable capital and segregated liability between

sub-funds incorporated in Ireland. CG Plc is regulated by the Central Bank of Ireland.

The investment professionals listed in this document are employed either by Comgest S.A., Comgest Asset Management International Limited, Comgest Far East Limited, Comgest Asset Management Japan Ltd.,

Comgest US L.L.C. and Comgest Singapore Pte. Ltd.

Asset management firms of the Comgest Group include: Comgest S.A., regulated by the Autorité des Marchés Financiers (AMF); Comgest Far East Limited, regulated by the Hong Kong Securities and Futures

Commission; Comgest Asset Management International Limited, regulated by the Central Bank of Ireland and registered as an Investment Adviser with the U.S. Securities Exchange Commission; Comgest Asset

Management Japan Limited, regulated by the Financial Service Agency of Japan (registered with Kanto Local Finance Bureau (No. Kinsho 1696)); Comgest Singapore Pte Ltd, a Licensed Fund Management Company

& Exempt Financial Advisor (for Institutional and Accredited Investors) regulated by the Monetary Authority of Singapore; and Comgest US LLC, registered as an Investment Adviser with the U.S. Securities Exchange

Commission.

29

IMPORTANT INFORMATION (2/2)

Ratings and awards mentioned in this document can change at any time and do not constitute a buy recommendation.

Insofar as any information is included in this publication that constitutes the intellectual property rights of Morningstar, please note the following. Copyright © 2018 Morningstar, Inc. All rights reserved. Suchinformation, data and opinions expressed (“Information”) and contained herein: (1) are proprietary to Morningstar and are not intended to represent investment advice or a recommendation to buy or sell anysecurity; (2) may not be copied or distributed without express license to do so; and (3) are not warranted to be accurate, complete or timely. Morningstar reserves it rights to charge for access to its Ratings and orRatings reports. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of its Rankings, Ratings, Ratings Reports or Information.

The MSCI data is for internal use only and may not be redistributed or used in connection with creating or offering any securities, financial products or indices. Neither MSCI nor any other third party involved in orrelated to compiling, computing or creating the MSCI data (the “MSCI Parties”) makes any express or implied warranties or representations with respect to such data (or the results to be obtained by the usethereof), and the MSCI Parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular purpose with respect to such data. Without limiting any of theforegoing, in no event shall any of the MSCI Parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of suchdamages.

The S&P 500 Index ("S&P 500" or "the Index") is a registered trademark of Standard & Poor’s Financial Services LLC and is licensed to S&P Dow Jones Indices LLC. Redistribution or reproduction in whole or in part isprohibited without written permission of the rights owners. In no event shall S&P Dow Jones Indices and its third-party data providers and licensors be liable to any party for any direct, indirect, incidental,exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any useof the Index even if advised of the possibility of such damages.The STOXX® Europe 600 Index is derived from the STOXX Europe Total Market Index (TMI) and is a subset of the STOXX Global 1800 Index. With a fixed number of 600 components, the STOXX Europe 600 Indexrepresents large, mid and small capitalization companies across 17 countries of the European region: Austria, Belgium, Czech Republic, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, theNetherlands, Norway, Portugal, Spain, Sweden, Switzerland and the United Kingdom.

The TOPIX Index Value and the TOPIX Marks are subject to the proprietary rights owned by the Tokyo Stock Exchange, Inc. and the Tokyo Stock Exchange, Inc. owns all rights and know-how relating to the TOPIXsuch as calculation, publication and use of the TOPIX Index Value and relating to the TOPIX Marks. No Product is in any way sponsored, endorsed or promoted by the Tokyo Stock Exchange, Inc.

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