1A cooperation of Dow Jones Indexes, STOXX Ltd. and SAM Group

Sustainability Investing with theDow Jones Sustainability Indexes

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I. Sustainability Investing

II. Dow Jones Sustainability Indexes

Content

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• Boycotts and ethicalmotivation

• Exclusion of industrygroups

• Focus on a narrowselection of social andenvironmental criteria

EthicalInvestments

SustainabilityInvestments

• Adding shareholdervalue

• Future-driven• Best of class and

industry-specific

• Integrating economic,environmental andsocial criteria

Market Developments (I)From Ethical to Sustainability Investments

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Market Developments (II)Institutional Investors

5Source: Investments & Pensions Europe

Market Developments (III)Institutional Investors

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Market Developments (IV)Institutional Investors

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Market Developments (V)Brokerage Research

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Market Developments (VI)Media

„It pains me to say this, but I am becoming less cynical aboutcorporate social responsibility.“

Jane Fuller, Financial Editor, FTFT Fund Management, 21 July 2003

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I. Market Developments

II. Dow Jones Sustainability Indexes

Content

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DJSI – Partners

Creates and licenses indexes for use in investment products, calculates 3,000+ indexes in real time

Provides and services the Dow JonesSTOXXSM indexes, Europe's leading regional equity indexes.

Focuses exclusively on sustainability investments, offers indexes, research, asset management and private equity services

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• Integrated assessment of economic, social andenvironmental criteria with a strong focus on long-term shareholder value

• Consistent rule-based methodology, primaryresearch (direct contact to companies)

• Coverage of 60 industries world-wide using industry-specific assessment criteria

• Yearly review to reflect best-practices andcontinuous monitoring of companies

• Verification by PricewaterhouseCoopers

DJSI – Overview

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DJSI – Assets and LicensesSeptember 1999 – May 2004

0

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55

09/99 01/00 05/00 09/00 01/01 05/01 09/01 01/02 05/02 09/02 01/03 05/03 09/03 01/04 05/04

0

200

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600

800

1000

1200

1400

1600

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2000

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2400

2600

2800

3000

Assets based on D

JSI (in m

io EU

R)

Number of sold DJSI Licenses Assets based on DJSI (in mio EUR)

Num

ber

of s

old

DJS

I Li

cens

es

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Aegon (NL)Baloise Insurance (CH)BNL Gestioni (IT)CIC Asset Management (FR)Credit Suisse Asset Management (CH)Credit Union Central Alberta (CA)Credit Union Central of Ontario (CA)Danske Invest / BG Invest (DK)Dexia Asset Management (BE)Deutsche Postbank (DE)DWS (DE)DZ Bank (DE)Folksam Sak (SE)Fortis Investment Management (BE)Gerling Investment (DE)Gestnord (IT)HypoVereinsbank (DE)Invesco (DE)MEAG MUNICH ERGO (DE)Kepler Fonds KAG (AT)

Merrill Lynch (UK)Mandatum Asset Management (FI)Nikko Asset Management (JP)Oppenheim (DE)OP Fund Management Company (FI)Private Client Bank (CH)Raiffeisen (AT)Rabo Bank (UK)Rothschild & Cie Gestion (FR)Sagitta Wealth Management Limited (AU)SAM Sustainable Asset Management (CH)Sparinvest (DK)SPP (SE)State Street Global Advisors (US)Sustainable Performance Group (CH)Swiss Life Asset Management (CH)Synchrony Asset Management (CH)Theodoor Gilissen Bankiers (NL)UBS Global Asset Management (Japan) LtdUnion Investment (DE)WestLB (DE)VZ VermögensZentrum (CH)Zenit (IT)

DJSI – Licenseesas of May 31, 2004

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Transparency

Healthy living

Better livingstandards

Rich / poor gap

Equal rights

Fair trade

Social - Cultural Trends

Ecological risk awareness

Pollution and waste

Global Warming

Population growth

Scarcity of NaturalResources

Loss of bio-diversity

Environmental Trends

Technological Change & Innovation

Shorter Product life-cycles

Speed & Flexibility

Life-long learning

Intellectual capital

Virtual living and working

Economic Trends

DJSI – Sustainability Trends (I)

15Source: SAM & World Resources Institute

DJSI – Sustainability Trends (II)Projected EBIT impact of climate change policies on the ten biggestautomotive companies until 2015

-15%

-10%

-5%

0%

5%

10%

15%

Toyota Renault Nissan Honda DC VW PSA BMW GM Ford

16

%

Total IndustryCriteria

GeneralCriteria

SocialDimension

EnvironmentalDimension

EconomicDimension

40%33%

20%

100%

60%

33%

33%

DJSI – Criteria (I)Weightings

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...

DJSI – Criteria (II)Examples of general criteria

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DJSI – Criteria (III)Examples of general criteria

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DJSI – Criteria (IV)Examples of industry-specific criteria

20Q ll SAM R h

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10

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80

Automobile s Bas icResources

Banks CyclicalGoods &S e rvice s

Chemica ls Construct. Energy Food &Be ve rage

Financ ia lS e rvices

He a lthcare

Marke t S e c to r

To

tal

Sco

re

2000 2001 2002 2003

Maximum score: 100

DJSI – Scores (I)Average of best five scores in the DJSI World

21Q ll SAM R h

0

10

20

30

40

50

60

70

80

Ind . Goods& S e rvic e s

In s u ra n c e Me d ia Non-cyclic a lGoods &S e rvice s

R e ta il Technology Te le c o m . Utilitie s Total

Marke t S e c to r

To

tal

Sco

re

2000 2001 2002 2003

Maximum score: 100

DJSI – Scores (II)Average of best five scores in the DJSI World

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Dow Jones Global Index2,500 largest companies60 DJSI Industry Groups

34 countries

Component SelectionTop 10% of companiesin terms of sustainability in each industry group

20% target market cap coveragein each industry group

DJSI World314 Components

60 DJSI industry groups22 countries

DJSI World – Selection 2003/2004

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DJSI World – Standard Range

! DJSI World(314 Components)

! DJSI World ex Alcohol(308 Components)

! DJSI World ex Tobacco(312 Components)

! DJSI World ex Gambling(303 Components)

! DJSI World ex Armaments & Firearms(305 Components)

! DJSI World ex Alcohol, Tobacco, Gambling,Armaments & Firearms(286 Components)

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DJSI World – Euro PerformanceMay 2001 – May 2004, Euro, Total Return Index

50

55

60

65

70

75

80

85

90

95

100

105

May-01

Aug-01

Nov-01

Feb-02

May-02

Aug-02

Nov-02

Feb-03

May-03

Aug-03

Nov-03

Feb-04

May-04

DJSI World (TR in E ro) MSCI World (TR in E ro)

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Dow Jones STOXXSM 600600 Companies

50 DJSI industry clusters17 countries

Component SelectionTop 20% leading

sustainability companies in eachindustry cluster

45% target market cap coveragein each market sector

DJSI STOXX 2003/2004175 Components

50 DJSI industry clusters13 countries

DJSI STOXX – Selection

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DJSI STOXX – Subsets

! DJSI STOXX (175 Components)

! DJSI STOXX ex Alcohol, Tobacco, Gambling,Armaments & Firearms(158 Components)

! DJSI EURO STOXX(73 Components)

! DJSI EURO STOXX ex Alcohol, Tobacco, Gambling,Armaments & Firearms(69 Components)

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DJSI STOXX – PerformanceDJSI STOXX / DJ STOXX 600 / DJ STOXX 50 (TR, in EUR, since inception)

50.00

60.00

70.00

80.00

90.00

100.00

110.00

120.00

10/01 01/02 04/02 07/02 10/02 01/03 04/03 07/03 10/03 01/04 04/04

DJSI STOXXDJ STOXX 600DJ STOXX 50

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Result of Regression Multi-Factor Model(OLS-Valuations, t-Values in Brackets, Alpha denotes Monthly Outperformance)

Previous Results Total Time Period (incl.

backtracking)

Since Launch of Index

Since peak of investment

bubble

(01/99 - 10/02) (01/99 - 08/03) (10/01 - 08/03) (03/00 - 08/03)

Alpha 0.1706* 0.2572*** 0.2521** 0.3156***(1.736) (2.989) (2.507) (2.817)

Market-Beta 1.0248 1.0361 1.0464 1.0404(68.925) (80.781) (85.275) (72.615)

Size-Beta -0.2436 -0.2299 -0.1543 -0.2423(-8.707) (-9.023) (-3.862) (-7.833)

Value/Growth-Beta 0.1020 0.0968 -0.0178 0.0661(5.594) (5.488) (-0.509) (2.050)

*=10%-Level, **=5%-Level, ***=1%-Level Source: WestLB Equity Markets

DJSI STOXX – PerformanceDJSI STOXX / DJ STOXX 600

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SAM IndexesPhone +41 1 395 2829alex@sustainability-indexes.comwww.sustainability-indexes.com