High potential earnings through global and diversified investment

PRULink Global Market Navigator Fund

PRULink Global Market Navigator Fund

From local to global

Global markets

Local markets
Confidential 6
PRULink Global Market Navigator Fund

Investment objective
What the fund aims to provide for an investor?
▪ Achieve positive absolute returns over
the medium- to long-term

How will the fund manager achieve the fund’s objective?

▪ Implement an actively managed investment strategy

▪ Invest in a diversified range of global assets that

include equities, bonds, currencies, and cash

Equity-like returns with lower volatility

Confidential 7
 PRULink Global Market Navigator Fund

Why invest?

Diversification Attractive returns Supported by Confidence in an

and growth global economic experienced
outlook fund manager

Confidential 8
PRULink Global Market Navigator Fund

Why invest in PRULink Global Market Navigator?

1 DIVERSIFICATION
▪ Allows you to invest in a wider range of assets (bonds, stocks, cash,
commodities, and alternatives) from different economies and
industries/sectors.

▪ Provides flexibility and less correlation because each asset class

behaves in different ways at various phases of the economic cycle.

▪ Offers a way to reduce volatility and lessen risks over the long-term
as compared with investing in a single asset or balanced fund.

Correlation is the degree to which two assets move in relation to the other. For
example, if a stock’s price increases while a bond’s price tends to decrease, the two
assets move in opposite direction or they have negative correlation.

Confidential 9
 Diversification

Allows wider asset allocation

It is an investment strategy that aims to balance risk and return by distributing a portfolio or fund’s
assets according to an individual’s goals, risk tolerance, and investment horizon.

What is the asset allocation strategy of our PRULink PHP funds?

Single asset Single asset Balanced Multi-asset

PRULink Bond Fund PRULink Equity Fund PRULink PRULink Global Market
Growth/Managed/ Navigator Fund
Proactive Fund

Confidential 10
Diversification

Investing through the economic cycle

Confidential 11
 Diversification

Investing through the economic cycle

EXPANSION CRISIS RECESSION RECOVERY

Buy bonds as rates peak Hold on to bonds, equities,

and real estate
Take long-term position in
stocks and real estate

Sell equities and real estate Sell bonds on early indication

as market overheats. of rising interest rates

Hold bonds Accumulate cash

Best performing asset class

COMMODITIES BONDS CASH EQUITIES

Confidential 12
 Diversification

Manages volatility through diversification

Lessens single asset

and single country risks
A fund that is invested in one asset
class tends to be more volatile than
with more assets in it.

Source: For illustration purposes only. Please note that there are limitations to the use of such indices as proxies for the past
performance in the respective asset classes/sector. The historical performance or forecast presented in this slide is not
indicative of and should not be construed as being indicative of or otherwise used as a proxy for the future or likely Confidential 14
performance of the Fund.
 Diversification

Manages volatility through diversification

Less correlation,
less volatility
A diversified multi-asset fund with low or
negative correlation reduces risks arising
from sudden upswing/downswing.

Source: For illustration purposes only. Please note that there are limitations to the use of such indices as proxies for the past
performance in the respective asset classes/sector. The historical performance or forecast presented in this slide is not
indicative of and should not be construed as being indicative of or otherwise used as a proxy for the future or likely Confidential 15
performance of the Fund.
 Diversification

Manages volatility through diversification

Equities Fixed Income Alternatives Currencies

Developed Government & Listed real estate Developed (G10)

More assets, Regions & Inflation-linked
Listed Private Emerging (liquid)
more markets, Countries
Investment grade Equity
more opportunities
A multi-asset fund allows investors to
Emerging Regions & high yield credit
Infrastructure
be invested in various types of each & Countries
asset class, both in advanced and
Developed regions
Absolute return
emerging economies. Large cap & small & countries
funds
cap
Emerging Debt
Convertible bonds
Sectors USD & local
currency Commodity
Factors
Indices
Duration & curve
Thematic baskets strategies Volatility

Implementation through derivatives, ETFs, Cash bonds, FX

Source: Eastspring Investments. For illustration purposes only. The information provided herein is subject to change at the discretion of the
Investment Manager without prior notice.

Confidential 16
 PRULink Global Market Navigator Fund

Diversification
Emerging Market Credit Fund%
Republic of Argentina 3.2% Alternatives Fund %
Princess PE Fund 1.0%
Harbourvest Global PE Fund 1.1%
High Yield Credit Fund % 3i Infrastructure Fund 1.1%
Global High Yield Portfolio 11.2% Total 3.1%

Asian High Yield Portfolio 6.4%

Total 17.6% Global Equities Fund %

Global Multi Factor Portfolio 20.6%
Treasuries & Sovereigns* Fund % US Multi Factor Portfolio 26.0%
S&P500 ETF 3.2%
US Treasuries 7.7%
iSHARES Core S&P ETF 4.1%
Bunds 2.5% MSCI China ETF 4.1%
Total 10.4% NASDAQ Future 4.1%
iSHARES MSCI USA 0.4%
MSCI EM Index 0.6%
Total 63.1%

Source: Eastspring Investments (Singapore) Limited, as at 30 April 2019. Positions may not total
to 100% because of rounding. The information provided herein is subject to change at
the discretion of the Investment Manager without prior notice. For illustration purposes only.
Positions may not total to 100% because of rounding. “PE” = Private Equity.
*Excludes futures used for duration management. Confidential 17
 PRULink Global Market Navigator Fund

Diversification
GOVERNMENT BONDS EQUITIES

CORPORATE BONDS

FUNDS

iShares ETF

Asian High Yield

Bond Fund Global Private Equity Ltd.
Source: Eastspring Investments (Singapore) Limited. Asset allocation based on fund fact sheet as at 31 March 2019 while
featured securities based on Eastspring Annual Report 2018. Select securities only. Does not constitute entire fund holdings.
Confidential 18
The information provided herein is subject to change at the discretion of the Investment Manager without prior notice. Logos
used are for illustration purposes only and should not be interpreted as an investment advise or recommendation.
PRULink Global Market Navigator Fund

Why invest in PRULink Global Market Navigator?

2 ATTRACTIVE RETURNS AND GROWTH

▪ Offers better return potential by being invested in different asset
classes that collectively generate income, growth, and defense
against market volatility.

Correlation is the degree to which two assets move in relation to the other. For
example, if a stock’s price increases while a bond’s price tends to decrease, the two
assets move in opposite direction or they have negative correlation.

Confidential 19
 Attractive returns and growth

Employs active portfolio management

There are two main strategies how fund managers achieve investment objectives:

PASSIVE vs. ACTIVE

portfolio management portfolio management
To track returns of a benchmark or OBJECTIVE To outperform a benchmark or particular
particular market index as close as possible market index as much as possible
(e.g. Exchange Traded Funds, Index Funds) (e.g. PRULink funds)

Invests in securities of the index Invests in securities based on research,

STRATEGY
and apply same weighting allocation market forecast, and
economic/non-economic factors
Less risky than active but risk rating Riskier than passive and risk rating
depends on the index the fund follows
RISK-
may be moderate to aggressive
RETURN
Index fund management Hands-on fund management

Confidential 20
PRULink Global Market Navigator Fund

Attractive returns and growth

Income Generating Growth Generating Market Hedge

Assets Assets

Global Equities ✓ ✓
Emerging Markets Credit ✓ ✓

Global High Yield Bonds ✓ ✓

US Treasuries &
Sovereign Bonds ✓
Alternatives ✓ ✓

Confidential 21
PRULink Global Market Navigator Fund

Attractive returns and growth

Earns like
equities…
Eastspring
Investments
Global Market
Navigator Fund

MSCI Philippines
Index (equities)

Source: Eastspring Investments (Singapore) Ltd. For illustration purposes only. Please note that there are limitations to the
use of such indices as proxies for the past performance in the respective asset classes/sector. The historical performance or
forecast presented in this slide is not indicative of and should not be construed as being indicative of or otherwise used as a Confidential 22
proxy for the future or likely performance of the Fund.
PRULink Global Market Navigator Fund

Attractive returns and growth

…but less
volatile

MSCI Philippines
Index (equities)

Eastspring
Investments
Global Market
Navigator Fund

Source: Eastspring Investments (Singapore) Ltd. For illustration purposes only. Please note that there are limitations to the
use of such indices as proxies for the past performance in the respective asset classes/sector. The historical performance or
forecast presented in this slide is not indicative of and should not be construed as being indicative of or otherwise used as a Confidential 23
proxy for the future or likely performance of the Fund.
PRULink Global Market Navigator Fund

Risk controls and management

Critical risks/risk that the policyholder may be exposed to how the Fund Manager
implements controls to effectively manage risks.

▪ Market risk

▪ Credit and interest rate risks

▪ Liquidity risk

▪ Currency risk

Confidential 24
PRULink Global Market Navigator Fund

Why invest in PRULink Global Market Navigator?

3 SUPPORTED BY GLOBAL ECONOMIC OUTLOOK

▪ Global growth is set to moderate in the near term,

then pick up modestly.

▪ Emerging markets and developing economies are expected

drive growth while advanced economies will remain afloat on
positive.
Source: World Economic Outlook Update, International Monetary Fund.
Confidential 25
Forecast for 2019-2020. April 9, 2019.
PRULink Global Market Navigator Fund

Why invest in PRULink Global Market Navigator?

4 CONFIDENCE IN AN EXPERIENCED
FUND MANAGER

▪ High quality professional fund management

expertise of Eastspring Investments
(Singapore), Ltd., one of Asia’s largest asset
manager.

▪ With presence in 11 markets in Asia.

▪ Manages USD 193 billion of assets as of

December 31, 2018.

Source: World Economic Outlook Update, International Monetary Fund.

Forecast for 2019-2020. April 9, 2019.
Confidential 26
Fund manager of Pru Life UK’S PRULink Funds

Confidence in an experienced fund manager

EXCELLENCE
BEYOND
PERFORMANCE
Pru Life UK’s fund manager,
Eastspring Investments, has been named
Asia Fund House of the Year at the
AsianInvestor Awards –
for the third time in four years.

Source: Eastspring Investments (Singapore), Ltd.

Confidential 27
PRULink Global Market Navigator Fund

Marketing strategy
Marketing strategy

Product suitability

New and existing policyholders of the following

PHP-denominated insuravest products may avail of the
PRULink global market navigator fund:

▪ PRULink assurance account plus

▪ PRULink exact protector series
▪ PRULink elite protector series
▪ PRULink investor account plus
▪ PRUMillionaire

Confidential 29
Marketing strategy

Suitable investment psychological behavior

of policyholder
Who is an aggressive investor?
▪ Policyholders seeking to grow their money in medium- to long-term with a goal of
capital appreciation.

▪ With knowledge and/or experience in investing in local and foreign investments.

▪ Understands and accepts that to realize significant potential return in capital,

he/she accepts high level of investment volatility and high risk of possible capital
loss.
▪ Comfortable with greater amount of volatility and higher level of risks associated
with investing in global equities, bonds, alternative assets, and currencies.

Confidential 30
Marketing strategy

Potential target market segment/profile

(non exhaustive)

INVESTMENT PROFILE SHOULD BE AGGRESSIVE

▪ Individuals with excess investible funds

High net worth individuals
seeking additional, alternative, and/or and corporations
broader financial solutions

▪ Individuals with knowledge and Active investors or traders

experience in the local and global Entrepreneurs
financial markets Middle and top management
employees

Confidential 31
Marketing strategy

Potential target market segment/profile

(non exhaustive)

INVESTMENT PROFILE SHOULD BE AGGRESSIVE

▪ Individuals with excess liquidity/cash seeking Empty nesters

capital appreciation Retirees

▪ Individuals seeking to grow their money Young and middle-age

through cost averaging in the medium- to professionals
long-term

Confidential 32
PRULink Global Market Navigator Fund

Risk profile
Importance of risk profiling

1. It builds a strong relationship with your prospect/client.

2. It helps manage client expectations and lessens possibility of

customer dissatisfaction.

3. It strengthens and broadens your capacity to reach more

Filipinos to access insuravest.

Confidential 33
 PRULink Global Market Navigator Fund

Fund summary
Multi-asset
September 16, 2019

Equities

Bonds

Cash and
non-traditional assets
(i.e., currencies,
alternative assets)

Confidential 34
PRULink Global Market Navigator Fund

Fund updates
eQuotes and Acceptance of Application

October 7, 2019

Confidential 35
PRULink Global Market Navigator Fund

Fund updates
eQuotes and Acceptance of Application

Confidential 36
PRULink Global Market Navigator Fund

Fund updates

Inception date
September 16, 2019

▪ Normal valuation of the fund

will likewise commence on
this date.

▪ eQuotes enhancements
(PRISM v12.0.19.06)

Confidential 39
 PRULink Global Market Navigator Fund

Message

“You can never cross the

ocean unless you have
the courage to lose sight
of the shore.”

Christopher Columbus
October 31, 1451 – May 20, 1506
Italian explorer, navigator, and colonist

Source: Awaken the Greatness Within website

(https://www.awakenthegreatnesswithin.com/20-inspirational- Confidential 50
christopher-columbus-quotes-on-success/)
PRULink Global Market Navigator

Disclaimer
This document was reproduced by Pru Life Insurance Corporation of U.K. (Pru Life UK) with permission from Eastspring Investments (Singapore)
Limited and is intended for general circulation and for information purposes only. This information is not an offer or solicitation by anyone in any
jurisdiction in which such offer or solicitation is not lawful or in which the person making such offer or solicitation is not qualified to do so or to
anyone to whom it is unlawful to make such an offer or solicitation. It should not be construed as an offer, solicitation of an offer, or a
recommendation to transact in any securities mentioned herein. The information does not take into account the specific investment
objectives, financial situation or particular needs of any person. Advice should be sought from a financial adviser regarding the
suitability of the investment product before making a commitment to purchase the investment product. Past performance is not
necessarily indicative of future performance. Any prediction, projection, or forecast on the economy, securities markets or the economic trends of
the markets is not necessarily indicative of the future performance of Eastspring Investments (Singapore) Limited or any funds managed by
Eastspring Investments (Singapore) Limited. The value and any income accruing to the investments, if any, may fall or rise. An investment is
subject to investment risks, including the possible loss of the principal amount invested. Whilst we have taken all reasonable care to ensure that
the information contained in this document is not untrue or misleading at the time of publication, we cannot guarantee its accuracy or
completeness. Any opinion or estimate contained in this document is subject to change without notice. Eastspring Investments (Singapore)
Limited is an ultimately wholly-owned subsidiary of Prudential plc of the United Kingdom. Eastspring Investments (Singapore) Limited and
Prudential plc are not affiliated in any manner with Prudential Financial, Inc., a company whose principal place of business is in the United States
of America.

Confidential 51