The Renaissance Advisor by renaissancemag

The Renaissance

Advisor

QUARTERLY FUND PROFILES / PRACTICE MANAGEMENT / OUTLOOK / OPINION

IT’S OFFICIAL.

Uncertainty is the new certainty. ™

Helping you succeed in the new market reality INVEST WELL

Optimal Portfolio Thinking for Inflation, Income and Global Opportunities BACK OF THE NAPKIN

The Power of Personal Discipline and Rituals

Q4 – DEC. 31, 2011

Uncertainty is the new certainty.

Know the score. Gain the advantage. Take advantage of the new certainty with the Renaissance Optimal Income Portfolio – an all-in-one income generation solution with proven 1st quartile performance in volatile markets. 1st Quartile Performance

1 yr.

2 yrs.

3 yrs.

Since Inception3

Renaissance Optimal Income Portfolio1 Quartile Ranking2

4.2% 1st

6.5% 1st

8.8% 1st

3.1% n/a

Go to www.renaissanceinvestments.ca/oip Performance as at December 31, 2011. 2Source: Morningstar, for the periods specified ending December 31, 2011 for Class A units of the Renaissance Optimal Income Portfolio. ©2011 Morningstar Research Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Quartile rankings are determined by Morningstar Research Inc., an independent research firm. Quartile rankings are comparisons of the performance of a fund to other funds in a particular category and are subject to change monthly. The quartile ranking reflects performance of Class A. The quartiles divide the data into four equal segments expressed in terms of rank (1, 2, 3 or 4). The top 25% of the funds in a category are in the first quartile and the next 25% are in the second quartile. This Fund is categorized as a Canadian Fixed Income Balanced fund. For each period, the quartile performance and the number of funds in this category are as follows: 1 year, 1st quartile, 197 funds; 2 years, 1st quartile, 176 funds; and 3 years, 1st quartile, 147 funds. For more details, see www.morningstar.ca. 3Inception date: November 13, 2007. Please read the Renaissance Investments family of funds Simplified Prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Renaissance Investments is offered by CIBC Asset Management Inc. TM Renaissance Investments and “invest well. live better.” are registered trademarks of CIBC Asset Management Inc. 1

www.renaissanceinvestments.ca

PAGE

In this issue

10 141

RENAISSANCE INVESTMENTS

Tax and Estate Inside Out: RRSPs and Asset Location

Economic Outlook 2012 – Where in the World are We?

Back of the Napkin A Return to Discipline in 2012

Invest Well Optimal Portfolio Thinking for Uncertain Times

Solution Highlight Optimal Investment Solutions for the New Market Reality

Thanks to Our Supporters Cash Flow Management Critical in Today’s Markets

Axiom Portfolios Profiles Portfolio Essentials Performance Essentials

14 32 33

Renaissance Investments Fund Profiles New Funds Money Market Funds Fixed Income Funds Balanced Funds Equity Income Funds Canadian Equity Funds U.S. Equity Funds Global Equity Funds Specialty Funds Fund Essentials Performance Essentials

34 36 44 52 66 70 78 84 92 124 138 140

Live Better Put Some Spring Back in Your Step

141

Brain Calisthenics

144

Letter from the National Sales Manager

Happy New Year! I hope that the holiday season was all that you could have asked for and that each of you was able to spend meaningful time with family and friends. “Uncertainty is the new certainty.”That is a theme that the marketing group at Renaissance Investments will be using for the near future as markets continue to be volatile and large movements up or down occur sometimes hourly based on the latest news. The phrase seems appropriate – it is catchy and current – and I believe a campaign that will resonate with you and your clients. It is a rallying cry that we can all take to heart to manage expectations and guide our investment choices. But does that tell the entire story? Well, I guess it would if we were speaking solely of investments and performance, perhaps that is even being too gentle. However, if we are referring to your relationship with your clients and efforts that you put forward, I don’t think that we could be further from the truth. During times of uncertain investment performance, your role is at its utmost importance. Your clients are increasingly concerned about their life savings and turn to you for guidance and reassurance. They behave irrationally and want to make emotional decisions that will severely impact their financial futures. That is where the seasoned professional earns their keep. It is much harder to make a client recommendation to stay invested when it seems all semblance of logic has disappeared and your client is panic-stricken, than to tell someone to take profit and reinvest in the next great idea when all markets are on a steep upward trajectory. Sometimes, we even have our own doubts and it takes all our discipline and logic to continue on the path that will best provide for our clients’ future. I could refer to any number of studies that confirm what I have just stated, but they don’t give any emotional support to us or our clients as we are steadfast in our resolve to keep our clients invested. That is entirely up to us and why we have such an important role. When the turnaround occurs and the next bull run takes place, it will be pronounced – we can’t let our clients miss out on that opportunity. So, “uncertainty is the new certainty” may apply to investment returns for the near term, but it has no bearing on the quality of interaction we will have with our clients now and forever. That is “certain and unwavering.” I want to thank you for your confidence in Renaissance Investments and renew my commitment to you that we will continue to earn your business and become your trusted business advisor. Please send any comments or ideas to me as I always welcome your feedback.

Dave Wahl National Sales Manager Renaissance Investments 416-943-6959

Inside Out: RRSPs and Asset Location Rethinking the Traditional Rule of Thumb

TAX AND ESTATE

Managing your investments involves two important decisions: asset allocation and asset location. For many investors, the primary one is how your investment portfolio should be diversified among the various asset classes such as stocks and bonds, which is often referred to as asset allocation. An equally important decision, asset location, is whether a particular asset should be held in your taxable non-registered account or your registered account. (See our report entitled “Just do it: The case for tax-free investing” issued in February 2011.) For Canadians who save for their retirement exclusively through registered plans such as the Registered Retirement Savings Plan (RRSP) or Tax-Free Savings Account (TFSA), the question of asset location is moot since both plans allow an investor to earn tax-free income. For investors who have maximized their RRSP and TFSA contributions and, therefore, must hold additional savings in a taxable non-registered account, the question of asset location between taxable and non-taxable accounts has taken on a new importance in our continuing low interest rate environment, especially in light of the traditional rule of thumb when it comes to fixed income investing. Traditional Rule of Thumb The traditional rule of thumb holds that fixed income assets such as bonds, GICs or money market mutual funds should always be held in RRSPs. This is because they generate interest income, which is the most highly taxed form of investment income and is fully taxable at the investor’s marginal tax rate when it is earned. The corollary, therefore, is that equities are best suited to non-registered accounts since they have their own inherent, unique tax advantages. Firstly, capital gains on the sale of equities can generally be deferred until the asset is sold. Secondly, when equities are sold for a profit, the resultant capital gain is only 50 percent taxable. Finally, if you hold dividend-paying Canadian equities, then the dividends received are taxed favourably due to the dividend tax credit that, in most provinces, means tax rates similar to capital gains.

But in this current low interest rate environment, does it still make sense to keep our fixed income investments inside our RRSP and our equities outside? Reconsidering the Traditional Rule The primary advantage of holding investments in an RRSP (or, for that matter, a TFSA) is that any income and/or gains accrue tax-free. Consider the case in which a portfolio that contains more than one asset, and there is a finite amount of RRSP funds that is insufficient to hold one’s entire retirement portfolio. It should follow that an investor would choose the asset with the highest potential rate of return to put inside the RRSP, which accumulates tax-free, rather than simply the asset with the highest potential tax rate associated with it. After all, if fixed income investments are paying a mere one percent, the potential tax savings of holding such an investment in an RRSP, even at a top marginal rate of 50 percent, is only 0.5 percent. Alternatively, if we assume that equities could generate, over similar terms, significantly higher rates of return, then it would appear that equities may be more suited to our non-taxable RRSP account than the low-rate fixed income alternative.

Jamie Golombek is Managing Director, Tax and Estate Planning with CIBC Private Wealth Management. He works closely with advisors to help them provide integrated financial planning solutions for their high-net-worth clients. Jamie is frequently quoted in the media as an expert on taxation. Follow @JamieGolombek www.advisor.ca/togo Podcast > Rethinking Asset Allocation www.renaissanceinvestments.ca/en/jamie_golombek/

RENAISSANCE INVESTMENTS 3

2012 –Where in the World are We? Current Uncertainty to Deliver Sub-Par Growth Through 2013

ECONOMIC OUTLOOK

The prediction that global economic growth will be muted in 2012 is already well communicated in the market, but what’s less well appreciated is that the following year won’t be a bright spot either. If the U.S. defers the first big bite of fiscal tightening by extending current tax provisions another year, it will be feeling an even tougher fiscal squeeze in 2013. Europe may be in a slightly better place by 2013, but expect growth in the eurozone to still be lacklustre. In that environment, the Bank of Canada’s targets for acceleration in growth by 2013 could prove to be too rosy, leaving the economy dependent on low rates at home even longer. Regarding Europe, the late economist Milton Friedman could be accused of having cried wolf, in warning that the eurozone would not likely survive its first recession. The common currency region emerged from the ’08-’09 ordeal in one battered and bruised piece, and it looks like eurozone leaders and the European Central Bank (ECB) are stepping up the fight to preserve the common currency area this time around. With economic reforms and European Union (EU) treaty amendment proposals yet to come to fruition, the ECB has been left to grudgingly put out the fires. Continued bond buying is on tap for the months ahead, and in the event of a more protracted economic downturn, a quantitative-easing-type move towards unsterilized bond purchases could be used by the central bank to stimulate activity further, once inflation starts to show signs of easing from its current three percent pace. While that could provide some offset to tepid growth, the economic pain of fiscal cuts is a necessary penance that some eurozone governments like Italy will have to endure to avert even more crippling sovereign funding conditions.

“That the lethargic Japanese economy will lead the pack further underscores the fact that Canada’s favourable international position is nothing to write home about.”

4 RENAISSANCE INVESTMENTS

Turning to the U.S., recent indicators suggest that the private sector is starting to turn a corner. The deleveraging process is in its ninth inning, and the market is starting to create jobs at a reasonable rate. This private sector involvement will be needed in 2013 since under the debt ceiling deal, new spending cuts will kick in, just as the Bush era tax cuts expire, along with any of the current tax relief if that is extended through 2012. Even if, as we expect, some of that tightening is then kicked further down the road, and home building shows its first flickers of light, it’s hard to see the U.S. economy generating much better than two percent growth in 2013. The result: a Federal Reserve that sticks with zero overnight rates until at least 2014. As for the Canadian Economy, like an average student in a class of underachievers, Canada, with its near two percent growth next year, will manage to outpace all but one of its G-7 peers. That the lethargic Japanese economy will lead the pack further underscores the fact that Canada’s favourable international position is nothing to write home about. With the housing market levelling off, and consumer spending softening due to a weakening labour market, business investment will continue to act as the real pioneer of the current economic cycle. Despite a soft performance in the third quarter, capital spending has emerged as the trailblazer of the current recovery. And while we expect that the pace of spending in 2012 will likely be slower than in 2011, the factors that support an elevated level of business investment are still there. The rate of return on capital employed is back to its mid-2008 level, and despite the surge in investment, corporate Canada’s cash position is at a record high. Access to cash is improving even further and for the first time in more than a decade, business credit is rising faster than household credit. The key here is credit to small and mid-size firms, which is now expanding at the fastest pace since 2003. This surge will more than offset the projected wind-down in federal stimulus programs, which should see government spending pull back mildly for the first time in more than a decade. Bottom line: Sub-par global growth will not be a huge surprise for global investors at this point, but risk aversion will remain until it’s clear that North America won’t follow Europe into recession.

Business Investment Overtakes the Consumer

“A resolution to Europe’s crisis and China’s achievement of a soft landing could give cyclicals a rebound later in 2012.”

Current Consumers’ contribution to GDP – half of pre-recession period 1.0

%-pts.

0.35

0.25

0.6

0.20

0.4

Assets benefiting from a low rate environment – including dividendpaying equities, REITs and safer corporate bonds – will gain interest from yield-hungry investors. In the near term, resource equities and earnings will not see the lift from commodity prices that they enjoyed in 2010 and early 2011. A resolution to Europe’s crisis and China’s achievement of a soft landing (against fears of something worse) could give such cyclicals a rebound later in 2012. The resource-linked Canadian dollar (like its sister, the Australian dollar) has room to slide further in the coming months, until the crisis fires in Europe are quenched. The Canadian dollar could slip to US$0.92 before the loonie gets support from diminishing global crisis fears.

0.15

0.2

0.10

Consumer Spending

10Q4

09Q4

0.00 08Q4

0.05

-0.2 07Q4

0.0

06Q4

North American sovereign bond yields won’t stay at today’s rock-bottom levels if governments steer their economies away from the shoals of global recession, but we could still have sub-three percent 10-year Canadian and U.S. rates through 2013.

%, unannualized (YTD)

0.30

0.8

The broader implications of that picture will touch all asset classes:

Average Contribution to Qtly Real GDP Growth

Business Investment

Source: Statistics Canada, CIBC

“With the housing market levelling off, and consumer spending softening due to a weakening labour market, business investment will continue to act as the real pioneer of the current economic cycle.”

Benjamin Tal is Deputy Chief Economist for CIBC. Described as one of Canada’s leading experts on the real estate market by the International Monetary Fund, he is responsible for analyzing economic developments and their implications for North American fixed income, equity, foreign exchange and commodities markets. www.advisor.ca/togo Podcast > The Big Shift www.renaissanceinvestments.ca/en/economy/

RENAISSANCE INVESTMENTS 5

A Return to Discipline in 2012 Focus on What You Can Control …and Make it a Ritual

BACK OF THE NAPKIN

Well, we made it through another year! And as we enter 2012, most of us would like nothing more than to put the global economic events of 2011 behind us. The past few years have been “interesting” to say the least and, although we enjoyed a brief respite from the challenges of 2008, we soon became victim to another round of international uncertainty and capital market chaos. Our clients are nervous, and justifiably so. But it doesn’t end there. If the well-publicized predictions of Nostradamus and ancient Mayan calendars are correct, then none of this will matter very much because we won’t be here a year from now to care. Although these apocalyptic visions and end-of-world scenarios make for spectacular Hollywood productions, history has taught us that it may turn out to be “business as usual” for a long time to come. Who remembers the overblown fears around Y2K? In contrast, the current economic picture brings a very real and present challenge to those engaged in the business of investing. As the churning threat of global crises continues to unfold, the advisor of 2012 will need to engineer a whole new level of discipline, in order to withstand the mounting pressures that will invariably come from both the capital markets and anxious clients.

“The advisor of 2012 will need to engineer a whole new level of discipline.”

Let’s take a closer look at each of the three pieces of the “PIE”… Step 1. Plan your Outcomes This is the starting point and where you will gain massive clarity on what you want to accomplish during 2012. Take quality time away from the office to develop a comprehensive Business Plan and Marketing Plan. Define your outcomes and objectives in clear and specific detail – leaving nothing open to interpretation. Your Business Plan should address each of the following, at minimum:

Your Marketing Plan should address each of the following, at minimum:

• Team Structure • Roles and Responsibilities • Mission Statement • Investment Philosophy • Value Proposition • Asset Targets • Revenue Targets • Activity Targets • Service Model • Personal Development Initiatives

• Target Markets • Target Plan • Centres of Influence • Cross-Referral Opportunities • Focus Products • Scripts for Messaging • Asset Gathering Modalities • Marketing Budget • Marketing Campaigns • Client Appreciation Strategies

Several years ago, I developed a very simple schematic to mechanize the structure of discipline in my own personal life. Since that time, I’ve shared it with countless investment professionals who have readily applied it to their advisory practices with great success. You will find the sequence to be especially powerful during extended periods of uncertainty, due to capital market unrest.

Business Planning is something that everyone knows about, but is perhaps the least understood and most neglected tool in an advisor’s arsenal. Avoid planning for the sake of planning. Rather, develop a powerful, living roadmap for your practice and continue to update the document as the weeks go by. Assign specific timelines and team member accountabilities at every step along the way. Consider the current economic environment during the planning process, and employ appropriate client-facing strategies designed to manage human nature and investor psychology.

PIE The Structure of Discipline:

> To receive your complimentary Business/Marketing Plan template, please contact your Renaissance sales representative.

Step 1 Plan Your Outcomes

6 RENAISSANCE INVESTMENTS

Step 2 Install Daily Rituals

Step 3 Evaluate the Results

PLAN YOUR OUTCOMES INSTALL DAILY RITUALS EVALUATE THE RESULTS

Some examples of new rituals are: • Introducing healthy lunches and snacks into your routine • Implementing a meeting-rotation strategy with your A & B clients • Scheduling regular team meetings for open communication and sharing • Making daily warm calls to the prospects in your database • Reviewing several client portfolios per day and making switch recommendations

It’s important to remember that, as a creature of habit, you will need to endorse these NEW rituals through active repetition until they become fully habituated and have replaced the old rituals.

RESULTS HE T TE

Insert your new empowering rituals into your template and prepare to install the new patterns – becoming the design engineer of your own habits!

INSTALL DA I L YR

YOUR OUTCOM AN ES L P

ALS ITU

PIE

THE STRUCTURE OF DISCIPLINE:

Step 3. Evaluate the Results There’s only one way to know if you’re on track to achieving your desired outcomes – and that’s through a strategic and disciplined evaluation process. In stark contrast to a typical “annual review” session, I strongly suggest implementing a much more dynamic, ongoing approach to analyzing your results.

E V A LU A

“Pre-schedule PIE Review Meetings at the end of each month to critically analyze where you stand.” Step 2. Install Daily Rituals As human beings, we are creatures of habit. We have a strong, innate tendency to fall into certain daily patterns of behaviour, which become habituated into our life’s routine. That process continues as we tacitly endorse those patterns through acceptance and repetition. These patterns may include ritual ways of thinking, speaking, eating, or behaving – some of them may serve us well, but some of them may not. In Step 1, we spent quality time clarifying and planning our outcomes, and now we can look toward installing the daily rituals that will get us there quickly and efficiently. Start off by printing a blank daily template from your calendar software. Work through each time segment, starting from first thing in the morning, and write down all of your routine daily patterns of behaviour. Once you’ve created an accurate snapshot of your typical day, decide on those rituals that may be classified as “toxic” in nature – these are the counter-productive (or destructive) habits that may have crept into your routine when you weren’t looking. Toxic rituals may simply include time-wasters, such as surfing the net, chatting with co-workers, going for extended lunches, or attending unnecessary meetings. Mindfully analyze your daily routine and highlight all the rituals you wish to delete from your life. Once you’ve accomplished that task, you’re now free to install new resourceful, empowering, productive rituals in their place.

In other words, pre-schedule “PIE Review Meetings” at the end of each month (or even weekly), to critically analyze where you stand in relation to your documented outcomes. Take the evaluation procedure even deeper by respectfully holding each team member accountable for their daily rituals. We have no control of what 2012 will bring our way, or how the capital markets will adjust to the looming crisis of global debt, but we do have control of how we position ourselves during this time. Consider today’s investment landscape as a clarion call to re-institute optimal structure and discipline in your advisory practice. This year will be a tremendous opportunity to deepen existing client relationships and gather new long-term assets. I wish you continued success and a record-breaking 2012.

Grant Shorten is Director of Strategic Insights at Renaissance Investments. He offers insights and approaches that will work with your clients and have an immediate impact on your practice. www.advisor.ca/togo Podcast > A Year for Discipline www.renaissanceinvestments.ca/en/practicemanagement/

RENAISSANCE INVESTMENTS 7

for uncertain times

If there is one thing thatâ&#x20AC;&#x2122;s certain in todayâ&#x20AC;&#x2122;s investing world, it is uncertainty. In these unpredictable and often perplexing times, it is little wonder your clients have more questions than ever about protecting wealth and their ability to reach retirement goals.

8 RENAISSANCE INVESTMENTS

invest well

Here’s our perspective on how both you and your clients can take advantage of the new certainty. More than ever, an all-in-one “optimal” approach is required to address key investment themes – including inflation, income and global opportunities.

Be Prepared for Inflation Over the course of 2011, economists and market watchers went from worrying about inflation to fearing the threat of deflation, to fretting once again about rising prices as the year drew to a close and 2012 began. It was a necessary reminder that even when inflation is not a short-term concern, it can spike with little notice, triggered by multiple sources and requiring investors to be prepared. At home, inflationary pressures have been historically low in recent years, but over the first 11 months of 2011, inflation averaged three percent, according to Statistics Canada. Average full-year inflation will likely surpass the two-decade high of 2.8 percent recorded in 2003 to become the fastest since Canada adopted inflation targets two decades ago. For investors who are unprepared, any inflation uptick can easily take a bite out of real return – particularly yields from the increasingly popular fixed income segment. Outside of Canada, in many emerging economy countries, inflation has averaged six percent over the past few years as global labour costs and resource prices have risen. In an ever more interconnected world, where more and more of what Canadians consume is made abroad, that foreign inflation can also be imported. Making matters more complicated, this so-called “imported inflation” is also affected by currency movements as the Canadian dollar fluctuates in value against the currencies of faster growing countries. Any weakening of the loonie translates into a further erosion of purchasing power. As the trend of money flowing out of the developed world and into developing countries continues, the latter’s currencies will likely strengthen as the former’s weaken. This makes currency management an increasingly important factor in devising an inflation strategy.

Even when inflation is not a short-term concern, it can spike with little notice. While traditional inflation protection involves investing in asset classes that have historically provided a hedge against rising prices, including real return bonds, precious metals, commodities, infrastructure and real estate, a truly

smart inflation strategy moves beyond protecting purchasing power. It takes advantage of the opportunities inflation creates and the fact that asset class performance varies significantly based on the inflationary environment and the level of economic activity. Over the next 12 to 24 months, CIBC Global Asset Management (CGAM) expects that the major advanced economies will experience low growth, stubbornly high unemployment and excess production capacity. “The result will be a benign core inflation environment in which a more defensive sector such as infrastructure should provide attractive returns with high dividends and lower price volatility,” says Luc de la Durantaye, CGAM First Vice President for Global Asset Allocation and Currency Management, and manager of the Renaissance Optimal Inflation Opportunities Portfolio. Meanwhile, many emerging market countries have experienced solid economic expansion, leading to levels of inflation that have just begun to peak. As a result, policy is expected to gradually shift towards preventing slower growth during 2012. “With ample flexibility to move further in that direction, we think emerging countries can preserve their relative economic resilience and provide attractive investment opportunities both on the fixed income and equity market side,” says de la Durantaye.

“The economic environment is shifting before our eyes.” Luc de la Durantaye “The bottom line is the economic environment is shifting before our eyes, and we are required to make tactical decisions to ensure that portfolios are prepared for inflation,” adds de la Durantaye. Most traditional mutual funds aren’t designed to provide maximum benefit in such a dynamic global inflationary environment. Today’s market requires solutions that have the ability to shift tactically to protect investors from rising inflation and currency movements at home, while capitalizing on changing inflation environments and opportunities around the world. The recently launched Renaissance Optimal Inflation Opportunities Portfolio is an all-in-one inflation solution designed for today’s investment environment. > Learn more on page 38.

RENAISSANCE INVESTMENTS 9

Take a Diversified Income Approach Uncertainty in the economy and the markets has prompted not only a flight to safety but also a search for steady, reliable income. Ever since 2008, investors have shown a distinct preference for income over equity funds.

Food inflation for thought

This income trend has pushed bond prices up and compressed yields, sending fixed income managers in search of better opportunities. “We’ve been neutral or long-duration, thinking that interest rates are going to stay low, if not fall,” says Patrick O’Toole, vice-president of global fixed income at CIBC Asset Management and manager of the corporate bond component of the Renaissance Optimal Income Portfolio. “We want to maintain overweights in corporate bonds as we think that strategy is going to pay off over the next few years.”

In the business headlines, the talk is more likely to be about deflation, but at the supermarket, it’s rising not falling prices that worry consumers. “I bought some crackers last week,” says David Winters, one of the managers of the Renaissance Optimal Global Equity Portfolio. “I thought I bought eight ounces, but there were really seven ounces in the box. That’s indicative of what’s going on.”

While corporate bonds are likely to see some short-term price fluctuations, over the medium and longer term, O’Toole says they are a better investment than sovereigns. “Since the tensions have increased in Euroland, there’s been pressure on corporate bonds. When we have geopolitical risks rising, you see investors getting nervous, you’ve seen the stock markets getting hit, and you see a phenomenon I call running home to Mama.”

“Investors are not focused on inflation, but I think it’s really something to be concerned about,” he stresses. Although neither the Bank of Canada nor the U.S. Federal Reserve has sounded alarm bells, and bond yields have clearly shown no fear of inflation ahead, CIBC chief economist Avery Shenfeld and deputy chief economist Benjamin Tal say rising food prices are cause for concern. “On the back of food and energy, Consumer Price Index (CPI) inflation has been pushed to a pace well in excess of average wages, a factor in downbeat trends in North American real consumption this year,” they wrote in a recent report. Reasons for food inflation range from feeding China’s masses to supply factors, such as little or no overhang of grain in storage to cushion the impact of demand swings on both baked goods and grain-fed meats. The CIBC economists are more optimistic about inflation than fund manager David Winters, however. They say signs point to a cooling this year even if “prices will not return to prior troughs, as an era of cheap food now gives way to secular price pressures.” Impact of 1% Increase in the Price of Global Food Commodity Prices on US Food CPI

“There’s usually a country that is performing very, very well, and a country that is performing very poorly.” Patrick Bradley

Source: BLS, IMF, CIBC

Given the likelihood that interest rates around the world will remain at low levels for the foreseeable future, investors have taken to heart the message that there’s nothing like dividends to ease the wait for capital appreciation. Add to this the fact that yields on dividend-paying global equities now outstrip traditional income options, and the result is strong demand for many dividend stocks. At this point in time, global dividend investing provides some very appealing fundamentals, including strong corporate balance sheets and high levels of cash, making it likely that income-oriented equities will outperform in the current low growth, low interest rate environment.

0.35 0.30 0.25 %

While Mama – aka national bonds previously thought of as “safe havens” – may not offer the comfort and yield she used to, this is not to say there aren’t opportunities on the global sovereign bond market where, in many cases, real returns are nearly negative. “There’s usually a country that is performing very, very well, and a country that is performing very poorly,” says Patrick Bradley, senior vice-president at Brandywine Global Investment Management, sub-advisor of the Renaissance Optimal Income Portfolio. “We try to invest in the countries that we think will do well.”

0.20 0.15 0.10 0.05 0.00 1990s

2000s

Raw food price cycles have always been much sharper than what is seen at the retail shelf. What’s surprising is that, despite a shift towards processed food consumption, retail food inflation has seen an increased correlation with global food commodity prices.

10 RENAISSANCE INVESTMENTS

In the Canadian market, volatility continues to present equity-buying opportunities. Earnings are expected to grow, although at a slower rate than in 2011, according to Domenic Monteferrante, who is first vice-president of Canadian equities at CIBC Global Asset Management and in charge of the dividend component of the

Renaissance Optimal Income Portfolio. He also says if the loosening of monetary policy in China continues (it began with a cut in the bank reserve ratio late last year, for the first time since December 2008), the possibility of stronger Canadian equity markets increases.

Europe is that it has provided a tremendous buying opportunity for investors all over the world.”

“The good news about Europe is that it has provided a tremendous buying opportunity for investors all over the world.”

With the effects of the ever more globalized economy making itself felt everywhere from Canadian dividend stocks to sovereign bond markets, putting together an income portfolio is far more challenging than it used to be. In this environment, the Renaissance Optimal Income Portfolio – an all-in-one investment that offers built-in diversification, as well as access to non-traditional asset classes such as infrastructure – makes an excellent investment solution for both you and your clients. > Find out more about its proven performance in volatile markets and uncertain times on page 68.

Seek Out Global Opportunities Uncertainty is discounting the price of global stocks, according to two of the fund managers for the Renaissance Optimal Global Equity Portfolio. Today’s investors fail to “factor in a bright future,” says David Winters, CEO of Wintergreen Advisers in New Jersey. “Basically, they think the world’s going to end.” Winters, on the other hand, believes that life’s getting better. Investors, he says, need to focus more on what’s going on outside the U.S. where “a couple of billion consumers have joined the party” at the same time that information technology is changing the way we live. “If you can find those businesses that are well positioned to capitalize on the tectonic economic shift, then you can make a lot of dough,” he adds. Winters, a finalist for the Morningstar International Stock Fund Manager of the Year for 2011, favours old standbys like Nestle, which is growing strongly in the developing world; Richemont, the owner of luxury brands such as Louis Vuitton; and Google, which he says is “becoming more global as it keeps innovating.” For Winters, gloom and doom plus volatility have created a market that makes him feel like “a kid in a candy store.” “What’s so unusual,” he adds, “is that the best is on sale, triple A is on sale.”

“The best is on sale, triple A is on sale.” David Winters

Peter Eichler

Eichler is predicting a “massive rally in global equity markets” when investors realize that there is not another great depression on its way. “The reason we’re such strong investors in the Cokes, the Cats, the IBMs, is because there won’t be another – these are like Rembrandts and Renoirs,” he says. “You’re able to buy some of these things that are irreplaceable at very low multiples of earnings.” The Renaissance Optimal Global Equity Portfolio provides access to the expertise of both Winters and Eichler. If you have clients who could benefit from global diversification, this all-in-one portfolio is an excellent choice in an uncertain environment that has become the new market reality. > Find out more on page 100.

ADVISOR ToGo Access to the experts when you need them

Listen to short podcasts from the experts quoted in this article.

www.advisor.ca/togo

David Winters – Wintergreen Advisers Podcast > The World is on Sale Luc de la Durantaye – CIBC Global Asset Management Podcast > Rebalancing Act Patrick Bradley – Brandywine Global Investment Management Podcast > Bargain Hunting Patrick O’Toole – CIBC Global Asset Management Podcast > Running Home to Mama

Echoing Winters’ optimism is Peter Eichler, chairman and CEO of Los Angelesbased Aletheia Research and Management, and another of the fund managers for the Renaissance Optimal Global Equity Portfolio. “Fears about what might occur in Europe have marked down substantially the value of equities all over the world, and especially in the United States,” says Eichler. “The good news about

Peter J. Eichler – Aletheia Research and Management Podcast > Some Corporations are True Masterpieces Powered by Renaissance Investments.

RENAISSANCE INVESTMENTS 11

Optimal Investment Solutions for the New Market Reality SOLUTION HIGHLIGHT

In the current climate of uncertainty, take advantage of optimal approaches to key investment themes – inflation, income and global opportunities.

TAC T I CA L

TI CA

Inflation-Linked Assets Real return bonds Range 0 – 50%

• Protects against inflation in Canada: Employs a mix of inflation hedging assets such as infrastructure, real estate and real return bonds.

Traditional Fixed Income & Equity Assets Nominal, high yield, emerging bonds & equities Range 0 – 70%

Renaissance Optimal Inflation Opportunities Portfolio An optimal, all-in-one approach to manage inflation and capitalize on growth opportunities

Real Assets Real estate & infrastructure Range 0 – 50%

Commodities & Related Assets Energy, precious metals & natural resources Range 0 – 50%

• Capitalizes on inflation opportunities around the world: Utilizes an active asset allocation strategy to capitalize on changing inflationary environments. • Complements a balanced portfolio: Enhances diversification through a blend of non-traditional and traditional asset classes.

PAGE 38

Renaissance Optimal Income Portfolio – Meeting clients’ needs for income-generation and capital preservation • Opportunity: Global asset classes typically used by pension funds provide unparalleled scope for long-term capital growth. • Income: A combination of diverse, income-generating asset classes. • Protection: Lower volatility through broad asset class and world-class investment manager diversification – tested in two major down markets.

PAGE 68

Renaissance Optimal Global Equity Portfolio – Offering diversification in global markets, while capitalizing on growth opportunities • Optimal mix: The optimal mix of Renaissance funds will provide investors with exposure to a complementary range of global asset classes. • Investment style diversification: The breadth of investment styles and philosophies better position the portfolio to deliver solid long-term performance while reducing risk exposure. • Access to global managers: The portfolio provides investors with exposure to world-renowned global investment managers.

PAGE 100

For more information, contact your Renaissance Investments representative at 1-888-888-FUND (3863) or visit www.renaissanceinvestments.ca

12 RENAISSANCE INVESTMENTS

Cash Flow Management Critical in Today’s Markets THANKS TO OUR SUPPORTERS

Without the support of advisors like you, Renaissance Investments would not enjoy the privilege of helping so many Canadians invest well and live better. Here is one of the outstanding professionals we are so very proud to work with. What I love about the business: I like to meet with people and help them achieve their financial goals. Each case is a new challenge and we always have something new to learn. There are so many products out there, and it’s important to really understand them. How I am communicating with clients in these uncertain economic times: I explain to them that their expectations for their portfolios’ performance need to match the reality of today’s markets. We look at the challenges involved in financial planning these days, and how proper management of their cash outflow is more important than ever. Their financial snapshot is an indispensable tool today. What I am doing differently, given the current economic climate: I tend to focus more on risk management, rather than investment potential, and I regularly review my clients’ goals. I also show them what can happen to their portfolios if they don’t tailor their budget (cash outflow, contributions) to current market conditions. These days, asset distribution that is fine-tuned to the investor’s profile is crucial.

Best tip for gaining new clients: A good network is important and developing a wide range of contacts in the various areas relating to finances is key. Plus, satisfied clients are more likely to refer new clients to us. What I offer to the local marketplace and to my clients: In terms of my contribution to the team, I specialize in growing our client base as well as in tax issues. Sébastien Racine is an analyst who works with me; he analyses markets, manages portfolios and tracks investment products. Together, we help clients define and achieve their financial goals, while helping them save money on their taxes. Favourite hobbies: I love camping; I get to enjoy summer and relax. In the winter, downhill skiing is my favourite sport; our area has a wide range of mountains with exceptional views.

Bertin Lachance Firm: National Bank Financial Years in Business: 12 Team Members: 3

An investment solution that offers solid protection against losses: Among others, we recommend the Renaissance Optimal Income Portfolio for individuals who are looking for retirement income. It offers good portfolio diversification and an opportunity to generate a stable income stream, coupled with low volatility and a hedge against inflation.

RENAISSANCE INVESTMENTS 13

Axiom Portfolios Axiom Portfolios provide the benefits and peace of mind of sophisticated portfolio management, while simplifying the administration, management and reporting of a portfolio.

With eight portfolios to choose from, investing in Axiom Portfolios provides: • Access to the accumulated knowledge and expertise of independent investment managers from across Canada and around the world • Risk management, through rigorous due diligence and built-in rebalancing • Multiple levels of diversification • T-Class options available on all Axiom Portfolios, offering tax-efficient cash flow

Axiom Portfolios offer even more value at higher balances through the following three classes: Class A

$25,000 minimum investment ($5,000 minimum investment for TFSA only)

Select Class

$250,000 minimum investment

Elite Class

$500,000 minimum investment

14 RENAISSANCE INVESTMENTS

Axiom Portfolio Managers – Axiom Portfolios have access to the accumulated knowledge and expertise of independent investment managers from across Canada and around the world.

Multiple Levels of Diversification Axiom Portfolios have been designed to manage risk and solidify the potential for returns by ensuring portfolios are broadly diversified across multiple levels. Each portfolio is diversified across asset classes, investment styles, geographic regions and market capitalizations. There are eight portfolios available designed to meet the needs of various types of investors.

RENAISSANCE INVESTMENTS 15

AXIOM PORTFOLIOS

Axiom Balanced Income Portfolio (Class A) Fund Category Canadian Fixed Income Balanced

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a diversified portfolio of investments across several asset classes. Investing primarily in mutual funds, the goal is to achieve a mix of high current income and some long-term capital growth by investing primarily in a diversified blend of income and bond mutual funds, along with equity mutual funds.

Growth of $25,000 38 Fund

30 28 25 23

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

17.5% 02-28-2009 to 02-28-2010

-12.4% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL976 ATL975 ATL977 ATL981 ATL952 ATL950 ATL951 ATL928 ATL926 ATL927

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

35 33

Volatility Analysis

Low

Benchmark A Blended Benchmark

March 15, 2005 Dynamically +/- 2.5% 2.09% Annually $25,000

888 888 FUND www.renaissanceinvestments.ca/axiom

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

11.1

47.5

85.1

84.3

116.5

154.4

171.8

— 3.8 1.2

— 0.3 -0.8

— 9.0 11.4

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

— 6.9 8.8

— 6.9 10.4

5.8 6.1 9.8

1.4 0.3 3.3

-9.8 -9.0 -8.6

11.5 14.0 12.8

7.8 6.7 9.2

0.0 2.9 3.6

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.2 0.9 0.8

2.1 2.3 3.1

-0.7 1.0 1.8

0.0 2.9 3.6

3.8 4.8 6.4

6.3 7.8 8.5

1.9 2.7 3.8

3.1 — —

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity 8.8 U.S. Equity 10.0 International Equity 6.0 Emerging Markets 3.0 Equity Canadian Monthly 12.2 Income Canadian Fixed 60.0 Income Top 5 Global Equity Sectors

Financials Energy Materials Consumer Discretionary Industrial

% Equity

21.4 18.5 12.2 9.2 8.5

Market Cap

Large Medium Small

75.6 19.2 5.2

Credit Quality

High Medium Low NR/NA

Top Holdings

78.1 16.1 1.4 4.4 % Assets

Frontiers Canadian Fixed Income Frontiers Canadian Monthly Income Frontiers U.S. Equity Frontiers Canadian Equity Frontiers International Equity

60.3 12.3 9.9 8.9 5.9

Frontiers Emerging Markets Equity

3.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

8 1,374 1,037 309

Investment Style

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Axiom Portfolios are offered by CIBC Asset Management Inc.™Axiom and Axiom Portfolios are registered trademarks of CIBC Asset Management Inc.

AXIOM PORTFOLIOS

Axiom Balanced Income Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

CIBC Asset Management Inc. is one of Canada's leading mutual fund providers and the country's largest purchaser of third-party investment management expertise. CIBC Asset Management Inc. is a whollyowned subsidiary of CIBC, one of North America's leading financial institutions. Manager Bios Management Team | 03-15-2005 McLean Budden Ltd.

Manager Bios

Management Team | 06-01-2008 Management Teamand | 03-15-2005 Aletheia Research Management, Inc. McLean Budden Ltd. Management Team | 03-15-2005 Management TeamManagement | 06-01-2008 Inc Acuity Investment Aletheia Research and Management, Inc. Management Team | 03-15-2005 Management Team Addenda Capital Inc.| 03-15-2005 Acuity Investment Management Inc Management Team | 07-01-2009 Management West Team Capital | 03-15-2005 Management LLC Metropolitan Addenda Capital Inc. Management Team | 03-15-2005 Management | 07-01-2009 Walter Scott &Team Partners Limited Metropolitan West Capital Management LLC Management Team | 07-01-2009 Management Team | 03-15-2005 Fiduciary Management, Inc. of Milwaukee Walter Scott & Partners Limited Management Team | 03-15-2005 Management TeamManagement | 07-01-2009 Inc CIBC Global Asset Fiduciary Management, Inc. of Milwaukee Management Team | 03-15-2005 Management Team | 03-15-2005 Manulife Asset Management Limited CIBC Global Asset Management Inc Management Team | 03-15-2005 Management Team |Management 03-15-2005 LLC INTECH Investment Manulife Asset Management Limited Management Team | 02-01-2006 Management TeamCounsel | 03-15-2005 Canso Investment Ltd. INTECH Investment Management LLC Management Team | 06-01-2006 Management Team |Management 02-01-2006 Pictet International Canso Investment Counsel Ltd. Management Team | 05-01-2011 Management | 06-01-2006 del Rey GlobalTeam Investors, LLC

Investment Management Approach About the Portfolio A balanced approach for comfort throughout market cycles. This portfolio is designed for the conservative investor looking for a balance of income and long-term capital growth, with a focus on income. Use this portfolio as a single balanced income investment solution and benefit from its sophisticated portfolio management built upon proven investment principles. Key Points on the Process Axiom Balanced Income Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance.

Pictet International Management Management Team | 05-01-2011 del Rey Global Investors, LLC

Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding too

heavy a reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Balanced Income Portfolio is ideal for a conservative investor looking for a balance of income and long-term capital growth, with a focus on income. Diversified with an approximate balance of 60% income assets for stability and 40% equity assets for growth, the portfolio is positioned to deliver lower volatility and potential for growth. This combination can provide protection from volatile markets while delivering the potential for long-term growth.

Manager Commentary Your portfolioâ&#x20AC;&#x2122;s broad diversification contributed to its strong gains. While positive U.S. economic data supported markets, persistent eurozone concerns continued to place pressure on equities and create volatility. The Bank of Canada held interest rates steady in the face of slowing global growth. Canadian fixed income was one of the strongest performing asset classes this quarter. Exposure to U.S. equity was also beneficial as this sector posted large gains. As at December 31, 2011

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 62% DEX Bond Universe Index / 19% S&P/TSX Composite Index / 10% S&P 500 Index / 6% MSCI EAFE Index / 3% MSCI Emerging Markets Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 17

AXIOM PORTFOLIOS

Axiom Diversified Monthly Income Portfolio (Class A) Fund Category Canadian Neutral Balanced

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

Growth of $25,000 38 Fund

30 28 25 23

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

24.4% 02-28-2009 to 02-28-2010

-18.5% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL985 ATL983 ATL984 ATL788 ATL955 ATL953 ATL954 ATL931 ATL929 ATL930

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

35 33

Volatility Analysis

Low

Benchmark A Blended Benchmark

March 15, 2005 Dynamically +/- 2.5% 2.22% Monthly $25,000

888 888 FUND www.renaissanceinvestments.ca/axiom

Performance Quartile (within category over calendar year)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

33.1

101.0

146.2

147.8

187.5

273.5

295.0

Fund Category Benchmark A

— -1.6 -2.4

— -5.8 -3.3

— 12.7 16.0

— 9.0 10.5

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.6 0.5 0.0

3.3 3.2 3.2

-2.5 -2.2 -0.8

-1.9 -0.7 0.5

4.4 4.2 6.2

8.6 7.9 10.4

2.2 1.6 3.9

3.5 — —

Total Assets ($mil) Calendar Year Returns %

Fund Category Benchmark A

— 12.9 14.6

5.0 9.4 11.0

3.8 2.3 6.0

-16.4 -15.9 -15.3

17.6 15.8 19.4

11.1 9.4 12.2

-1.9 -0.7 0.5

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity U.S. Equity Canadian Monthly Income Canadian Fixed Income

Top 5 Global Equity Sectors

Financials Energy Materials Telecommunications Services Consumer Discretionary

18.4 5.0 36.6

Market Cap

Large Medium Small

75.3 19.2 5.5

Credit Quality

High Medium Low NR/NA

72.3 19.4 1.4 6.9

40.0 Top Holdings

% Equity

28.6 23.0 13.8 8.3 7.8

% Assets

Frontiers Canadian Fixed Income Frontiers Canadian Monthly Income Frontiers Canadian Equity Frontiers U.S. Equity

39.8 37.0 18.3 4.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

6 1,003 668 309

Investment Style

AXIOM PORTFOLIOS

Axiom Diversified Monthly Income Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd.

Investment Management Approach

Management Team | 06-01-2008 Aletheia Research and Management, Inc. Management Team | 03-15-2005 Acuity Investment Management Inc Management Team | 03-15-2005 Addenda Capital Inc. Management Team | 07-01-2009

About the Portfolio A steady source of tax-efficient income. This portfolio is designed for the income investor who needs to generate income today and grow their investments over the long term. Use this portfolio as a single income investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Metropolitan West Capital Management LLC Management Team | 07-01-2009 Fiduciary Management, Inc. of Milwaukee Management Team | 03-15-2005 CIBC Global Asset Management Inc Management Team | 03-15-2005 Manulife Asset Management Limited Management Team | 03-15-2005 INTECH Investment Management LLC Management Team | 02-01-2006 Canso Investment Counsel Ltd.

Key Points on the Process Axiom Diversified Monthly Income Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding too

heavy a reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Diversified Monthly Income Portfolio is ideal for an investor seeking a reliable, tax-efficient source of income. The portfolio uses a diversified mix of income sources, including equities, fixed income and income trusts, providing an advantage over traditional dividend investments. The diversified income generation sources can provide protection from changing market conditions while delivering a reliable stream of income.

Manager Commentary Your portfolioâ&#x20AC;&#x2122;s diversification contributed to its strong gains. While positive U.S. economic data supported markets, persistent eurozone concerns continued to place pressure on equities and create volatility. The Bank of Canada held interest rates steady in the face of slowing global growth. The portfolio benefited from its large exposures to Canadian fixed income and Canadian equity. Results were further enhanced by its U.S. equity holdings, as this was the strongest performing asset class for the period. As at December 31, 2011

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 47% DEX Bond Universe Index / 48% S&P/TSX Composite Index / 5% S&P 500 Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 19

AXIOM PORTFOLIOS

Axiom Balanced Growth Portfolio (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a diversified portfolio of investments across several asset classes. Investing primarily in mutual funds, the goal is to achieve a balance of income and long-term capital growth by investing in a diversified mix of equity, income and bond mutual funds.

Growth of $25,000 35 Fund

28 25 23 20

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

25.6% 02-28-2009 to 02-28-2010

-22.7% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL988 ATL986 ATL987 ATL789 ATL958 ATL956 ATL957 ATL934 ATL932 ATL933

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

March 15, 2005 Dynamically +/- 2.5% 2.38% Annually $25,000

888 888 FUND www.renaissanceinvestments.ca/axiom

Investment Style

33 30

Volatility Analysis

Low

Benchmark A Blended Benchmark

Performance Quartile (within category over calendar year)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

56.7

221.0

408.3

359.3

462.7

520.7

467.7

Fund Category Benchmark A

— 0.5 -3.6

— -4.3 -5.8

— 13.3 14.9

— 10.1 10.1

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-0.8 0.4 0.0

2.2 3.1 3.3

-5.7 -3.3 -2.2

-6.1 -1.9 -0.9

1.6 3.4 4.9

6.7 10.2 9.2

-0.3 0.9 2.3

2.3 — —

Total Assets ($mil) Calendar Year Returns %

Fund Category Benchmark A

— 12.3 13.3

10.1 10.4 13.7

1.4 0.3 3.8

-20.0 -22.3 -17.1

17.4 25.2 18.4

10.1 9.1 11.0

-6.1 -1.9 -0.9

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity 32.0 U.S. Equity 12.0 International Equity 8.0 Emerging Markets 5.0 Equity Canadian Monthly 8.0 Income Canadian Fixed 30.0 Income Global Bond 5.0 Top 5 Global Equity Sectors

Financials Energy Materials Consumer Discretionary Industrial

Market Cap

Large Medium Small

76.4 17.6 6.0

Credit Quality

High Medium Low NR/NA

Top Holdings

76.3 20.2 1.5 2.0 % Assets

Frontiers Canadian Fixed Income Frontiers Canadian Equity Frontiers U.S. Equity Frontiers Canadian Monthly Income Frontiers International Equity

30.9 30.8 12.3 8.4 8.0

Frontiers Global Bond Frontiers Emerging Markets Equity

5.1 4.7

% Equity

22.6 21.2 15.1 8.7 8.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

9 1,413 1,037 347

AXIOM PORTFOLIOS

Axiom Balanced Growth Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd.

Investment Management Approach

About the Portfolio Growth balanced with income. This portfolio is designed for the investor looking for a balance of income and longterm capital growth, with a focus on stability. Use this portfolio as a single balanced growth investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Brandywine Global Investment Mgmt, LLC. Management Team | 07-01-2009 Metropolitan West Capital Management LLC Management Team | 03-15-2005 Walter Scott & Partners Limited Management Team | 07-01-2009 Fiduciary Management, Inc. of Milwaukee Management Team | 03-15-2005 CIBC Global Asset Management Inc Management Team | 03-15-2005 Manulife Asset Management Limited Management Team | 03-15-2005 INTECH Investment Management LLC Management Team | 02-01-2006 Canso Investment Counsel Ltd. Management Team | 06-01-2006 Pictet International Management

Key Points on the Process Axiom Balanced Growth Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding too

heavy a reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Balanced Growth Portfolio is ideal for a conservative investor seeking a balance of income and long-term capital growth. An approximate 55% weighting in equities provides for long-term capital appreciation, balanced by a 45% fixed income component. The balanced combination of equities and income sources can provide protection from volatile markets while delivering the potential for long-term growth.

Management Team | 05-01-2011 del Rey Global Investors, LLC

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 32% DEX Bond Universe Index / 38% S&P/TSX Composite Index / 12% S&P 500 Index / 8% MSCI EAFE Index / 5% MSCI Emerging Markets Index / 5% Citigroup World Government Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 21

AXIOM PORTFOLIOS

Axiom Long-Term Growth Portfolio (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a diversified portfolio of investments across several asset classes. Investing primarily in mutual funds, the goal is to achieve longterm capital growth by investing primarily in equity mutual funds for higher growth potential, with some exposure to fixed income securities for diversification.

Growth of $25,000 35 Fund

28 25 23 20

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

30.9% 02-28-2009 to 02-28-2010

-28.1% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL994 ATL992 ATL993 ATL791 ATL961 ATL959 ATL960 ATL937 ATL935 ATL936

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

33 30

Volatility Analysis

Low

Benchmark A Blended Benchmark

March 15, 2005 Dynamically +/- 2.5% 2.64% Annually $25,000

888 888 FUND www.renaissanceinvestments.ca/axiom

Investment Style

Performance Quartile (within category over calendar year)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

29.4

123.6

218.3

192.7

235.2

256.7

209.2

Fund Category Benchmark A

— 0.5 -6.3

— -4.3 -8.3

— 13.3 18.1

— 10.1 11.4

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-1.1 0.4 -0.6

2.6 3.1 3.3

-8.3 -3.3 -4.7

-9.2 -1.9 -3.8

0.6 3.4 4.0

7.2 10.2 10.1

-1.2 0.9 1.6

2.1 — —

Total Assets ($mil) Calendar Year Returns %

Fund Category Benchmark A

— 12.3 16.3

11.5 10.4 15.9

2.3 0.3 5.3

-25.5 -22.3 -22.8

21.8 25.2 23.4

11.6 9.1 12.5

-9.2 -1.9 -3.8

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity U.S. Equity International Equity Emerging Markets Equity Canadian Monthly Income Canadian Fixed Income Global Bond Top 5 Global Equity Sectors

Financials Energy Materials Consumer Discretionary Industrial

40.0 10.0 8.0 7.0 15.0 15.0 5.0

Market Cap

Large Medium Small

77.0 17.1 5.9

Credit Quality

High Medium Low NR/NA

Top Holdings

64.3 22.9 1.4 11.3 % Assets

Frontiers Canadian Equity Frontiers Canadian Monthly Income Frontiers Canadian Fixed Income Frontiers U.S. Equity Frontiers International Equity

40.6 15.1 14.9 10.0 8.0

Frontiers Emerging Markets Equity Frontiers Global Bond

6.9 4.9

% Equity

24.3 22.3 15.6 8.3 7.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

9 1,413 1,037 347

Notes T-Class units are also available $5,000 TFSA minimum for Classes A & F ©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. Axiom Portfolios are offered by CIBC Asset Management Inc.™Axiom and Axiom Portfolios are registered trademarks of CIBC Asset Management Inc.

AXIOM PORTFOLIOS

Axiom Long-Term Growth Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd. Management Team | 06-01-2008

Investment Management Approach

Aletheia Research and Management, Inc. Management Team | 03-15-2005 Acuity Investment Management Inc Management Team | 03-15-2005 Addenda Capital Inc. Management Team | 11-01-2006 Brandywine Global Investment Mgmt, LLC. Management Team | 07-01-2009 Metropolitan West Capital Management LLC

About the Portfolio Diversified growth with a degree of stability for longterm gains. This Portfolio is designed for investors who can tolerate low-to-moderate investment risk and who are seeking the potential for long-term capital appreciation. Use this portfolio as a single growthoriented investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Management Team | 03-15-2005 Walter Scott & Partners Limited Management Team | 07-01-2009 Fiduciary Management, Inc. of Milwaukee

Key Points on the Process Axiom Long-Term Growth Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors.

Management Team | 03-15-2005 CIBC Global Asset Management Inc Management Team | 03-15-2005 Manulife Asset Management Limited Management Team | 03-15-2005 INTECH Investment Management LLC Management Team | 02-01-2006 Canso Investment Counsel Ltd. Management Team | 03-15-2005 Pictet International Management Management Team | 05-01-2011 del Rey Global Investors, LLC

Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding too

Monitoring Axiom relies on a team of investment professionals, CIBC’s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Long-Term Growth Portfolio is ideal for a higherrisk investor seeking long-term capital gains. The portfolio is strategically positioned to be effective over the long-term and provides long-term growth potential with stability, using an approximate 80% weighting in equities and a 20% weighting in income sources. The combination favouring equities yet including a measure of income provides the potential for long-term growth while offering a degree of protection from volatile markets.

Manager Commentary Your portfolio’s broad diversification contributed to its solid gains. While positive U.S. economic data was supportive for markets in general, persistent eurozone concerns continued to place pressure on equities and create volatility. The portfolio’s large exposure to Canadian equity had a positive impact, as did its exposure to Canadian fixed income, and U.S., international and emerging markets equity. U.S. equity was the strongest performing asset class for the period. As at December 31, 2011

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 18% DEX Bond Universe Index / 52% S&P/TSX Composite Index / 10% S&P 500 Index / 8% MSCI EAFE Index / 7% MSCI Emerging Markets Index / 5% Citigroup World Government Index

RENAISSANCE INVESTMENTS 23

AXIOM PORTFOLIOS

Axiom Canadian Growth Portfolio (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a focused portfolio of investments across its Canadian asset classes. Investing primarily in mutual funds, the goal is to pursue long-term capital growth by investing primarily in Canadian equity mutual funds for higher growth potential, with some exposure to Canadian fixed income securities for diversification.

Growth of $25,000 35

Volatility Analysis

Low

Fund

Benchmark A Blended Benchmark

33 30 28 25 23 20

Performance Quartile (within category over calendar year) Medium

Worst 1 Year Return

32.6% 02-28-2009 to 02-28-2010

-28.2% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL991 ATL989 ATL990 ATL790 ATL964 ATL962 ATL963 ATL940 ATL938 ATL939

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

March 15, 2005 Dynamically +/- 2.5% 2.58% Annually $25,000

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

9.9

23.7

39.1

42.8

59.7

69.2

56.6

Fund Category Benchmark A

— 0.5 -7.3

— -4.3 -7.3

— 13.3 21.5

— 10.1 12.7

— 12.3 19.6

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-0.5 0.4 -0.9

3.3 3.1 3.3

-8.6 -3.3 -4.9

-9.6 -1.9 -4.2

1.4 3.4 5.0

8.8 10.2 12.0

0.1 0.9 2.9

3.0 — —

Total Assets ($mil)

Best 1 Year Return

2001

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Calendar Year Returns %

Fund Category Benchmark A

9.4 10.4 13.9

5.6 0.3 8.4

-26.2 -22.3 -24.3

25.3 25.2 27.3

13.7 9.1 15.0

-9.6 -1.9 -4.2

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity Canadian Monthly Income Canadian Fixed Income

56.0 24.0

Market Cap

Large Medium Small

20.0

76.8 16.4 6.8

Credit Quality

High Medium Low NR/NA

Top Holdings

Top 5 Global Equity Sectors

Financials Energy Materials Consumer Discretionary Industrial

% Equity

29.1 26.6 18.2 7.3 6.6

74.3 21.7 1.4 2.6 % Assets

Frontiers Canadian Equity Frontiers Canadian Monthly Income Frontiers Canadian Fixed Income

56.5 24.1 19.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

5 536 203 309

888 888 FUND www.renaissanceinvestments.ca/axiom

Investment Style

AXIOM PORTFOLIOS

Axiom Canadian Growth Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd. Management Team | 03-15-2005

Investment Management Approach

Acuity Investment Management Inc Management Team | 03-15-2005 Addenda Capital Inc. Management Team | 03-15-2005 CIBC Global Asset Management Inc Management Team | 03-15-2005 Manulife Asset Management Limited Management Team | 02-01-2006

About the Portfolio Canadian-focused, yet well diversified for growth. This portfolio is suitable for investors who can tolerate lowto-moderate investment risk and who are seeking longterm capital appreciation. Use this portfolio as a single Canadian-focused, growth-oriented investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Canso Investment Counsel Ltd.

Key Points on the Process Axiom Canadian Growth Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding a heavy

reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Canadian Growth Portfolio is ideal for the investor seeking a diversified Canadian portfolio, with long-term capital growth. The portfolio is a fully diversified Canadian solution and is ideal as a core component for long-term growth potential. The combination favouring Canadian equities, at approximately 77%, and including a measure of income, at approximately 23%, provides the potential for long-term growth while offering a degree of protection from volatile markets.

Manager Commentary Your portfolioâ&#x20AC;&#x2122;s diversification contributed to its strong gains as both Canadian fixed income and Canadian equity performed well this quarter. While positive U.S. economic data was supportive for markets in general, persistent eurozone concerns continued to place pressure on equities and create volatility. The Bank of Canada held rates steady in the face of slowing global growth. As at December 31, 2011

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 25% DEX Bond Universe Index / 75% S&P/TSX Composite Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 25

AXIOM PORTFOLIOS

Axiom Global Growth Portfolio (Class A) Fund Category Global Equity Balanced

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

The portfolio will seek to create a diversified portfolio of investments across several asset classes, and will emphasize global investment exposure. Investing primarily in mutual funds, the goal is to provide exposure to countries in North America, Europe, the Far East and Asia, and emerging market countries for higher growth potential, with some exposure to global fixed income securities for diversification.

Growth of $25,000 33

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

26.3% 02-28-2009 to 02-28-2010

-27.2% 11-30-2007 to 11-30-2008

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL997 ATL995 ATL996 ATL792 ATL967 ATL965 ATL966 ATL943 ATL941 ATL942

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

30 28 25 23 20 18

Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A Blended Benchmark

March 15, 2005 Dynamically +/- 2.5% 2.80% No Set Frequency $25,000

888 888 FUND www.renaissanceinvestments.ca/axiom

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

8.3

62.5

128.8

90.9

95.3

87.2

68.0

— -10.4 -5.7

— -12.3 -10.8

— 12.3 12.2

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

— 7.2 8.8

— 8.4 10.2

12.5 12.9 17.4

-3.9 -2.8 -0.8

-23.6 -23.4 -19.7

14.2 17.6 15.3

8.6 8.6 8.7

-7.4 -5.8 -2.0

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-1.7 -0.7 0.0

2.1 3.3 3.8

-6.8 -6.5 -3.6

-7.4 -5.8 -2.0

0.3 1.1 3.2

4.7 6.4 7.1

-3.3 -2.2 -0.4

-0.2 — —

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity U.S. Equity International Equity Emerging Markets Equity Canadian Monthly Income Canadian Fixed Income Global Bond Top 5 Global Equity Sectors

Financials Energy Information Technology Materials Consumer Discretionary

16.0 29.0 21.0 10.0 4.0 10.0 10.0

Market Cap

Large Medium Small

76.0 18.9 5.1

Credit Quality

High Medium Low NR/NA

Top Holdings

60.1 26.0 1.5 12.4 % Assets

Frontiers U.S. Equity Frontiers International Equity Frontiers Canadian Equity Frontiers Canadian Fixed Income Frontiers Emerging Markets Equity

29.1 21.1 16.2 10.0 9.9

Frontiers Global Bond Frontiers Canadian Monthly Income

9.9 4.0

% Equity

16.7 15.9 12.0 11.5 10.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

9 1,413 1,037 347

Investment Style

AXIOM PORTFOLIOS

Axiom Global Growth Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd.

Investment Management Approach

About the Portfolio Global diversification, positioned for growth. This portfolio is designed for the investor seeking long-term growth and global diversification. Use this portfolio as a single globally diversified, growth-oriented investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced.

Key Points on the Process Axiom Global Growth Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio is broadly diversified at multiple levels, avoiding too heavy a reliance on any one individual security, fund, sector, geographical region, or management style.

Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Global Growth Portfolio is ideal for the investor seeking a globally diversified portfolio, with long-term capital growth. The portfolio is a globally diversified solution, investing in global, international and emerging market opportunities, making it ideal as a core component for long-term growth potential. The combination favouring equities, at approximately 80%, yet including a measure of income, at approximately 20%, has the ability to invest in different economic environments in a single global solution and provides the potential for long-term growth while offering a degree of protection from volatile markets.

Manager Commentary Your portfolioâ&#x20AC;&#x2122;s broad diversification contributed to its solid gains. While positive U.S. economic data was supportive for markets in general, persistent eurozone concerns continued to place pressure on equities and create volatility. All equity exposures generated positive returns, with U.S. equity turning in the best results for the period. Strong returns for Canadian fixed income offset negative returns for global fixed income. As at December 31, 2011

the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 11% DEX Bond Universe Index / 19% S&P/TSX Composite Index / 29% S&P 500 Index / 21% MSCI EAFE Index / 10% MSCI Emerging Markets Index / 10% Citigroup World Government Index T-Class units are also available

MER is annualized as at August 31, 2011. Please refer to

$5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 27

AXIOM PORTFOLIOS

Axiom Foreign Growth Portfolio (Class A) Fund Category Global Equity Balanced

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a diversified portfolio of investments across several asset classes. It will emphasize foreign investment exposure (which excludes Canada). Investing primarily in mutual funds, the goal is to achieve long-term capital growth by investing primarily in U.S. and international equity mutual funds that provide exposure to a number of industrialized countries outside of Canada. The overall fund objective can be considered aggressive.

Growth of $25,000 33

Volatility Analysis

Fund

Benchmark A Blended Benchmark

30 28 25 23 20 18

Performance Quartile (within category over calendar year)

Total Assets ($mil) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Worst 1 Year Return

24.5% 02-28-2009 to 02-28-2010

-29.1% 11-30-2007 to 11-30-2008

Portfolio Details Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL778 ATL998 ATL999 ATL794 ATL970 ATL968 ATL969 ATL946 ATL944 ATL945

Telephone Web Site

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

2.1

13.7

21.0

12.6

11.9

9.3

6.0

Fund Category Benchmark A

— -10.4 -6.9

— -12.3 -13.9

— 12.3 8.6

Fund Category Benchmark A

— 7.2 7.1

— 8.4 6.2

13.8 12.9 19.2

-8.4 -2.8 -5.4

-23.9 -23.4 -19.2

9.8 17.6 10.1

6.9 8.6 6.2

-6.4 -5.8 -1.6

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-2.2 -0.7 0.3

1.9 3.3 4.2

-6.1 -6.5 -3.6

-6.4 -5.8 -1.6

0.0 1.1 2.2

3.2 6.4 4.8

-5.2 -2.2 -2.5

-1.7 — —

Portfolio Analysis as of 12-31-2011

Class

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment

Calendar Year Returns %

Trailing Returns % Best 1 Year Return

March 15, 2005 Dynamically +/- 2.5% 2.75% Annually $25,000

Target Composition

% Assets

U.S. Equity International Equity Emerging Markets Equity Global Bond

43.0 33.0 10.0

Market Cap

Large Medium Small

75.3 20.1 4.5

Credit Quality

High Medium Low NR/NA

14.0 Top Holdings

Top 5 Global Equity Sectors

Information Technology Financials Energy Consumer Staples Industrial

48.1 37.6 1.7 12.7

% Equity

15.2 12.2 11.9 11.3 11.2

% Assets

Frontiers U.S. Equity Frontiers International Equity Frontiers Global Bond Frontiers Emerging Markets Equity

43.4 33.9 14.0 10.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

6 890 844 38

888 888 FUND www.renaissanceinvestments.ca/axiom

Investment Style

AXIOM PORTFOLIOS

Axiom Foreign Growth Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 06-01-2008 Aletheia Research and Management, Inc. Management Team | 11-17-2006

Investment Management Approach

About the Portfolio Foreign diversification, positioned for growth. This portfolio is designed for the aggressive investor seeking maximum long-term capital growth by investing in U.S. and international equities. Use this portfolio as a single internationally diversified, growth-oriented investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

INTECH Investment Management LLC Management Team | 06-01-2006 Pictet International Management Management Team | 05-01-2011 del Rey Global Investors, LLC

Key Points on the Process Foreign Growth Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio

is broadly diversified at multiple levels, avoiding too heavy a reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBC’s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom Foreign Growth Portfolio is ideal for investors seeking a diversified foreign portfolio, with strong growth potential and is a complement to a core Canadian strategy. The combination favouring foreign equities, at approximately 86%, yet including a measure of income, at approximately 14%, provides the potential for longterm growth while offering a degree of protection from volatile markets.

Manager Commentary Your portfolio’s diversification contributed to its solid gains. While positive U.S. economic data was supportive for markets in general, persistent eurozone concerns continued to place pressure on equities and create volatility. The portfolio’s large exposure to equity boosted returns this quarter, with U.S. equity outperforming all asset classes. The positive equity returns offset negative returns from the portfolio’s exposure to global fixed income, which experienced weakness during the quarter. As at December 31, 2011

MER is annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. Benchmark Blend: 43% S&P 500 Index / 33% MSCI EAFE Index / 10% MSCI Emerging Markets Index / 14% Citigroup World Government Bond Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

RENAISSANCE INVESTMENTS 29

AXIOM PORTFOLIOS

Axiom All Equity Portfolio (Class A) Fund Category Global Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

The Portfolio will seek to create a diversified portfolio focused on equity investments. Investing primarily in mutual funds, the goal is to achieve long-term capital growth by investing in a diversified mix of equity mutual funds for higher growth potential. The mutual funds may include some sector equity exposure, and the overall fund objective can be considered aggressive.

Growth of $25,000 45

Volatility Analysis

Low

Fund

Benchmark A Blended Benchmark

40 35 30 25 20 15

Performance Quartile (within category over calendar year) Medium

Worst 1 Year Return

32.8% 02-28-2009 to 02-28-2010

-34.8% 11-30-2007 to 11-30-2008

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL784 ATL782 ATL783 ATL796 ATL979 ATL971 ATL978 ATL949 ATL947 ATL948

Inception Date Rebalancing Frequency Rebalancing Threshold MER Distribution Frequency Minimum Investment Telephone Web Site

March 15, 2005 Dynamically +/- 2.5% 2.75% Annually $25,000

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

4.0

25.9

43.4

30.1

34.5

31.0

23.1

Fund Category Benchmark A

— -5.2 -8.1

— -17.4 -16.4

— 10.6 15.4

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-2.4 -1.2 -0.3

2.8 3.6 4.8

-10.0 -9.1 -6.7

-11.1 -7.6 -5.3

-1.3 -0.8 2.0

4.9 4.0 8.1

-5.3 -5.8 -2.2

-0.9 — —

Total Assets ($mil)

Best 1 Year Return

2001

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Calendar Year Returns %

Fund Category Benchmark A

— 6.4 9.9

— 5.8 13.7

16.2 18.0 21.4

-3.8 -6.6 -0.3

-31.5 -29.3 -29.0

18.6 14.3 21.5

9.5 6.5 9.9

-11.1 -7.6 -5.3

Portfolio Analysis as of 12-31-2011 Target Composition

% Assets

Canadian Equity U.S. Equity International Equity Emerging Markets Equity Canadian Monthly Income Top 5 Global Equity Sectors

Financials Energy Information Technology Materials Consumer Discretionary

16.0 38.0 24.0 18.0 4.0

% Equity

16.5 15.5 12.7 11.3 10.0

Market Cap

Large Medium Small

76.2 19.0 4.8

Top Holdings

% Assets

Frontiers U.S. Equity Frontiers International Equity Frontiers Emerging Markets Equity Frontiers Canadian Equity Frontiers Canadian Monthly Income

38.0 24.1 17.8 16.2 4.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

7 1,214 1,037 162

888 888 FUND www.renaissanceinvestments.ca/axiom

Investment Style

AXIOM PORTFOLIOS

Axiom All Equity Portfolio (Class A) Investment Management Overview Investment Management Brief

Investment Management Approach

Manager Bios Management Team | 03-15-2005 McLean Budden Ltd.

Investment Management Approach

Management Team | 06-01-2008 Aletheia Research and Management, Inc. Management Team | 03-15-2005 Acuity Investment Management Inc Management Team | 07-01-2009 Metropolitan West Capital Management LLC Management Team | 03-15-2005 Walter Scott & Partners Limited

About the Portfolio Diversified equity, positioned for maximum growth. This portfolio is designed for the aggressive investor who is looking to maximize long-term growth by focusing on equity investments. Use this portfolio as a single diversified, growth-oriented investment solution and benefit from its sophisticated portfolio management built upon proven investment principles.

Management Team | 07-01-2009 Fiduciary Management, Inc. of Milwaukee Management Team | 03-15-2005 CIBC Global Asset Management Inc Management Team | 03-15-2005 Manulife Asset Management Limited Management Team | 03-15-2005 INTECH Investment Management LLC Management Team | 06-01-2006 Pictet International Management Management Team | 05-01-2011 del Rey Global Investors, LLC

Key Points on the Process Axiom All Equity Portfolio follows the discipline of strategic asset allocation to ensure the right combination of investments is working for investors. Independent Investment Management Axiom provides investors with the confidence of knowing that independent investment managers from around the world are working for them. Each portfolio manager of the underlying investments is selected based on their ability to meet the high standards expected of their organization, investment process, investment philosophy, and performance. Diversification This Axiom portfolio has been designed to minimize risks and solidify returns. We do this by ensuring the portfolio

is broadly diversified at multiple levels, avoiding too heavy a reliance on any one individual security, fund, sector, geographical region, or management style. Built-in Rebalancing This Axiom portfolio is rebalanced on an ongoing basis to prevent over exposure to any one asset class. When the asset allocation weightings shift more than 2.50% from the strategic asset allocation, the portfolio is automatically rebalanced. Monitoring Axiom relies on a team of investment professionals, CIBCâ&#x20AC;&#x2122;s Consulting Group, who select and monitor portfolio managers of underlying investments. A Summary of the Portfolio Axiom All Equity Portfolio is ideal for the aggressive investor seeking a diversified equity portfolio, with maximum growth potential and is a complement to a fixed income strategy. The portfolio is a fully diversified all equity solution for long-term maximum growth potential. The portfolio is fully diversified to capture equity opportunities worldwide, and provides the potential for maximum capital appreciation.

Manager Commentary Your portfolioâ&#x20AC;&#x2122;s geographic diversification contributed to its solid gains. While positive U.S. economic data was supportive for markets in general, persistent eurozone concerns continued to place pressure on equities and create volatility. Exposure to U.S. equity was particularly beneficial, as this was the strongest performing asset class for the period. Canadian, international and emerging markets equity also generated positive returns. As at December 31, 2011

the Annual/Interim Management Reports of Fund Performance for further details. Custom Benchmark: 20% S&P/TSX Composite Index / 38% S&P 500 Index / 24% MSCI EAFE Index / 18% MSCI Emerging Markets Index T-Class units are also available $5,000 TFSA minimum for Classes A & F

MER is annualized as at August 31, 2011. Please refer to

RENAISSANCE INVESTMENTS 31

Axiom Portfolios

Portfolio Essentials Axiom Balanced Income Portfolio

Axiom Diversified Monthly Income Portfolio

Axiom Balanced Growth Portfolio

Axiom Long-Term Growth Portfolio

Axiom Canadian Growth Portfolio

Axiom Global Growth Portfolio

Axiom Foreign Growth Portfolio

Axiom All Equity Portfolio

Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load

ATL975 ATL976 ATL977 ATL926 ATL928 ATL927 ATL950 ATL952 ATL951 ATL981 ATL2601 ATL2603 ATL2602 ATL2604 ATL2606 ATL2605 ATL2607 ATL2609 ATL2608 ATL2610 ATL2612 ATL2611 ATL2616 ATL2618 ATL2617 ATL2622 ATL2624 ATL2623 ATL2613 ATL2615 ATL2614 ATL2619 ATL2621 ATL2620 ATL2625 ATL2627 ATL2626

ATL983 ATL985 ATL984 ATL929 ATL931 ATL930 ATL953 ATL955 ATL954 ATL788 n/a n/a n/a ATL072 ATL074 ATL073 ATL081 ATL083 ATL082 n/a n/a n/a ATL075 ATL077 ATL076 ATL084 ATL086 ATL085 n/a n/a n/a ATL078 ATL080 ATL079 ATL087 ATL089 ATL088

ATL986 ATL988 ATL987 ATL932 ATL934 ATL933 ATL956 ATL958 ATL957 ATL789 ATL2628 ATL2630 ATL2629 ATL2631 ATL2633 ATL2632 ATL2634 ATL2636 ATL2635 ATL2637 ATL2639 ATL2638 ATL2643 ATL2645 ATL2644 ATL2649 ATL2651 ATL2650 ATL2640 ATL2642 ATL2641 ATL2646 ATL2648 ATL2647 ATL2652 ATL2654 ATL2653

ATL992 ATL994 ATL993 ATL935 ATL937 ATL936 ATL959 ATL961 ATL960 ATL791 ATL2655 ATL2657 ATL2656 ATL2658 ATL2660 ATL2659 ATL2661 ATL2663 ATL2662 ATL2664 ATL2666 ATL2665 ATL2670 ATL2672 ATL2671 ATL2676 ATL2678 ATL2677 ATL2667 ATL2669 ATL2668 ATL2673 ATL2675 ATL2674 ATL2679 ATL2681 ATL2680

ATL989 ATL991 ATL990 ATL938 ATL940 ATL939 ATL962 ATL964 ATL963 ATL790 ATL2682 ATL2684 ATL2683 ATL2685 ATL2687 ATL2686 ATL2688 ATL2690 ATL2689 ATL2691 ATL2693 ATL2692 ATL2697 ATL2699 ATL2698 ATL2703 ATL2705 ATL2704 ATL2694 ATL2696 ATL2695 ATL2700 ATL2702 ATL2701 ATL2706 ATL2708 ATL2707

ATL995 ATL997 ATL996 ATL941 ATL943 ATL942 ATL965 ATL967 ATL966 ATL792 ATL2736 ATL2738 ATL2737 ATL2739 ATL2741 ATL2740 ATL2742 ATL2744 ATL2743 ATL2745 ATL2747 ATL2746 ATL2751 ATL2753 ATL2752 ATL2757 ATL2759 ATL2758 ATL2748 ATL2750 ATL2749 ATL2754 ATL2756 ATL2755 ATL2760 ATL2762 ATL2761

ATL998 ATL778 ATL999 ATL944 ATL946 ATL945 ATL968 ATL970 ATL969 ATL794 ATL2709 ATL2711 ATL2710 ATL2712 ATL2714 ATL2713 ATL2715 ATL2717 ATL2716 ATL2718 ATL2720 ATL2719 ATL2724 ATL2726 ATL2725 ATL2730 ATL2732 ATL2731 ATL2721 ATL2723 ATL2722 ATL2727 ATL2729 ATL2728 ATL2733 ATL2735 ATL2734

ATL782 ATL784 ATL783 ATL947 ATL949 ATL948 ATL971 ATL979 ATL978 ATL796 ATL2763 ATL2765 ATL2764 ATL2766 ATL2768 ATL2767 ATL2769 ATL2771 ATL2770 ATL2772 ATL2774 ATL2773 ATL2778 ATL2780 ATL2779 ATL2784 ATL2786 ATL2785 ATL2775 ATL2777 ATL2776 ATL2781 ATL2783 ATL2782 ATL2787 ATL2789 ATL2788

Class A Select Class Elite Class Class F Class T4 Class T6 Class T8 Select-T4 Class Select-T6 Class Select-T8 Class Elite-T4 Class Elite-T6 Class Elite-T8 Class

2.09 1.89 1.41 1.21 2.00 1.97 1.93 1.92 1.94 n/a n/a 1.46 n/a

2.22 1.99 1.46 0.99 n/a 2.10 2.11 n/a 2.04 2.03 n/a 1.49 1.46

2.38 2.16 1.54 1.02 2.31 2.27 2.28 2.21 2.191 2.21 n/a 1.57 n/a

2.64 2.36 1.67 1.23 2.43 2.551 2.63 n/a n/a n/a n/a 1.67 1.641

2.58 2.18 1.57 1.14 2.53 2.50 2.41 n/a n/a 2.28 n/a n/a n/a

2.80 2.35 1.65 1.36 2.801 2.82 2.811 n/a n/a n/a n/a n/a n/a

2.75 2.25 1.68 1.33 n/a n/a n/a n/a n/a n/a n/a n/a n/a

2.75 2.35 1.68 1.41 2.82 n/a 2.64 2.331 n/a n/a n/a n/a n/a

Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load

0-5 5.00 3.00 0-5 4.00 2.00 0-5 3.00 1.00

Front-End Load Back-End Load 1-6 years2 Back-End Load 7+ years2 Low Load 1-3 years Low Load Thereafter Front-End Load Back-End Load 1-6 years2 Back-End Load 7+ years2 Low Load 1-3 years Low Load Thereafter

1.00 0.50 1.00 0.50 1.00 0.70 0.40 0.70 0.40 0.70

1.10 0.50 1.10 0.50 1.10 0.80 0.40 0.80 0.40 0.80

1.25 0.50 1.25 0.50 1.25 0.90 0.40 0.90 0.40 0.90

ATL FUND CODES CLASS A

SELECT CLASS

ELITE CLASS

Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load Front-End Load Back-End Load Low Load

CLASS F CLASS T4

CLASS T6

CLASS T8

SELECT-T4 CLASS

SELECT-T6 CLASS

SELECT-T8 CLASS

ELITE-T4 CLASS

ELITE-T6 CLASS

ELITE-T8 CLASS MERs (%)

COMMISSIONS (%) CLASS A, T4, T6, T8

SELECT, SELECT-T4, SELECT-T6, SELECT-T8 CLASS ELITE, ELITE-T4, ELITE-T6, ELITE-T8 CLASS TRAILERS3 (%) CLASS A, T4, T6, T8 & SELECT, SELECT-T4, SELECT-T6, SELECT-T8 CLASS

ELITE, ELITE-T4, ELITE-T6, ELITE-T8 CLASS

32 RENAISSANCE INVESTMENTS

Axiom Portfolios

Performance Essentials As at December 31, 2011 Axiom Portfolios (Class A unless otherwise noted) Axiom Balanced Income Portfolio Axiom Balanced Income Portfolio - Select Class Axiom Balanced Income Portfolio - Elite Class Axiom Diversified Monthly Income Portfolio Axiom Diversified Monthly Income Portfolio - Select Class Axiom Diversified Monthly Income Portfolio - Elite Class Axiom Balanced Growth Portfolio Axiom Balanced Growth Portfolio - Select Class Axiom Balanced Growth Portfolio - Elite Class Axiom Long-Term Growth Portfolio Axiom Long-Term Growth Portfolio - Select Class Axiom Long-Term Growth Portfolio - Elite Class Axiom Canadian Growth Portfolio Axiom Canadian Growth Portfolio - Select Class Axiom Canadian Growth Portfolio - Elite Class Axiom Global Growth Portfolio Axiom Global Growth Portfolio - Select Class Axiom Global Growth Portfolio - Elite Class Axiom Foreign Growth Portfolio Axiom Foreign Growth Portfolio - Select Class Axiom Foreign Growth Portfolio - Elite Class Axiom All Equity Portfolio Axiom All Equity Portfolio - Select Class Axiom All Equity Portfolio - Elite Class Axiom Portfolios (T-Class unless otherwise noted) Axiom Balanced Income Portfolio - Class T4 Axiom Balanced Income Portfolio - Class T6 Axiom Balanced Income Portfolio - Class T8 Axiom Balanced Income Portfolio - Select-T4 Class Axiom Balanced Income Portfolio - Select-T6 Class Axiom Balanced Income Portfolio - Elite-T6 Class Axiom Diversified Monthly Income Portfolio - Class T6 Axiom Diversified Monthly Income Portfolio - Class T8 Axiom Diversified Monthly Income Portfolio - Select-T6 Class Axiom Diversified Monthly Income Portfolio - Select-T8 Class Axiom Diversified Monthly Income Portfolio - Elite-T6 Class Axiom Diversified Monthly Income Portfolio - Elite-T8 Class Axiom Balanced Growth Portfolio - Class T4 Axiom Balanced Growth Portfolio - Class T6 Axiom Balanced Growth Portfolio - Class T8 Axiom Balanced Growth Portfolio - Select-T4 Class Axiom Balanced Growth Portfolio - Select-T8 Class Axiom Balanced Growth Portfolio - Elite-T6 Class Axiom Long-Term Growth Portfolio - Class T4 Axiom Long-Term Growth Portfolio - Class T6 Axiom Long-Term Growth Portfolio - Class T8 Axiom Long-Term Growth Portfolio - Elite-T6 Class Axiom Long-Term Growth Portfolio - Elite-T8 Class Axiom Canadian Growth Portfolio - Class T4 Axiom Canadian Growth Portfolio - Class T6 Axiom Canadian Growth Portfolio - Class T8 Axiom Canadian Growth Portfolio - Select-T8 Class Axiom Global Growth Portfolio - Class T6 Axiom All Equity Portfolio - Class T4 Axiom All Equity Portfolio - Class T8 Axiom All Equity Portfolio - Elite-T8 Class

Assets ($ 000s) 171,821 – – 295,000 – – 467,675 – – 209,244 – – 56,606 – – 67,984 – – 5,982 – – 23,116 – –

NAV ($) 10.84 10.32 10.31 9.69 9.11 9.41 10.94 10.03 10.11 11.20 9.92 10.05 11.29 9.79 8.90 9.89 9.16 9.46 8.89 8.40 7.97 9.42 8.88 8.07

Distributions ($) 0.2504 0.2369 0.3191 0.0340 0.0320 0.0330 0.2219 0.2148 0.2406 0.0070 0.0253 0.0730 0.2364 0.2371 0.2478 – – – – – – – – –

1 Mo. (%) 0.2 0.3 0.3 0.6 0.7 0.7 (0.8) (0.7) (0.7) (1.1) (1.1) (1.0) (0.5) (0.4) (0.4) (1.7) (1.7) (1.7) (2.2) (2.2) (2.1) (2.4) (2.4) (2.3)

3 Mos. (%) 2.1 2.1 2.2 3.3 3.4 3.5 2.2 2.3 2.4 2.6 2.7 2.9 3.3 3.4 3.6 2.1 2.2 2.4 1.9 2.0 2.1 2.8 2.9 3.1

6 Mos. (%) (0.7) (0.6) (0.3) (2.5) (2.4) (2.1) (5.7) (5.6) (5.3) (8.3) (8.1) (7.8) (8.6) (8.4) (8.1) (6.8) (6.5) (6.2) (6.1) (5.8) (5.6) (10.0) (9.4) (9.6)

YTD (%) 0.0 0.2 0.7 (1.9) (1.7) (1.2) (6.1) (6.0) (5.4) (9.2) (9.0) (8.4) (9.6) (9.3) (8.7) (7.4) (7.0) (6.3) (6.4) (5.9) (5.4) (11.1) (10.3) (10.1)

1 Yr. (%) 0.0 0.2 0.7 (1.9) (1.7) (1.2) (6.1) (6.0) (5.4) (9.2) (9.0) (8.4) (9.6) (9.3) (8.7) (7.4) (7.0) (6.3) (6.4) (5.9) (5.4) (11.1) (10.3) (10.1)

3 Yrs. (%) 6.3 6.5 7.0 8.6 8.9 9.4 6.7 6.9 7.5 7.3 7.6 8.3 8.8 9.2 9.8 4.7 5.2 5.9 3.2 3.7 4.3 4.9 5.5 6.0

5 Yrs. (%) 1.9 2.2 2.6 2.2 2.4 2.9 (0.3) (0.1) 0.5 (1.2) (1.0) (0.3) 0.1 0.4 – (3.3) (2.9) (2.3) (5.2) (4.8) – (5.3) (4.8) –

Since Incep. (%) 3.1 2.8 3.0 3.6 2.7 3.3 2.3 1.3 1.8 2.1 0.6 1.2 3.0 1.6 0.6 (0.2) (1.7) (1.1) (1.7) (3.3) (4.6) (0.9) (2.2) (4.9)

Inception Date 03/15/05 09/19/06 10/19/06 03/15/05 09/19/06 10/09/06 03/15/05 09/22/06 09/19/06 03/15/05 10/03/06 09/20/06 03/15/05 09/22/06 02/19/07 03/15/05 11/03/06 10/31/06 03/15/05 10/18/06 02/19/07 03/15/05 09/22/06 09/26/07

– – – – – – – – – – – – – – – – – – – – – – – – – – – – – – –

10.20 9.42 9.16 9.80 9.52 9.61 8.47 7.76 8.62 9.16 8.68 8.35 10.17 9.52 9.19 9.59 8.66 9.38 9.48 8.55 8.64 9.07 8.64 9.32 9.41 8.91 8.79 9.00 9.23 8.68 10.06

0.0350 0.0500 0.0660 0.0340 0.0510 0.0510 0.0460 0.0570 0.0470 0.0680 0.0470 0.0610 0.0380 0.0540 0.0710 0.0350 0.0670 0.0530 0.0360 0.0500 0.0690 0.0530 0.0690 0.0360 0.0550 0.0710 0.0700 0.0520 0.0360 0.0710 –

0.2 0.2 0.2 0.3 0.3 0.3 0.7 0.6 0.7 0.7 0.7 0.7 (0.8) (0.8) (0.8) (0.8) (0.7) (0.7) (1.1) (1.1) (1.1) (1.0) (1.0) (0.5) (0.4) (0.4) (0.4) (1.8) (2.4) (2.4) 0.0

2.1 2.1 2.1 2.1 2.1 2.2 3.4 3.4 3.4 3.4 3.5 3.5 2.2 2.2 2.2 2.3 2.3 2.4 2.7 2.6 2.6 2.9 2.9 3.3 3.3 3.4 3.4 2.1 2.8 2.9 0.0

(0.7) (0.7) (0.6) (0.6) (0.6) (0.4) (2.4) (2.5) (2.4) (2.4) (2.1) (2.1) (5.7) (5.7) (5.7) (5.7) (5.6) (5.3) (8.2) (8.3) (8.3) (7.8) (7.8) (8.6) (8.5) (8.5) (8.5) (6.8) (10.1) (10.0) 0.0

0.1 0.1 0.2 0.2 0.2 0.6 (1.8) (1.9) (1.8) (1.8) (1.2) (1.2) (6.1) (6.0) (6.1) (6.1) (6.0) (5.4) (9.1) 0.0 (9.2) (8.4) (8.4) (9.6) (9.6) (9.5) (9.4) (7.4) (11.2) (11.0) 0.0

0.1 0.1 0.2 0.2 0.2 0.6 (1.8) (1.9) (1.8) (1.8) (1.2) (1.2) (6.1) (6.0) (6.1) (6.1) (6.0) (5.4) (9.1) 0.0 (9.2) (8.4) (8.4) (9.6) (9.6) (9.5) (9.4) (7.4) (11.2) 11.0 0.0

– – – – – – 8.7 8.7 8.9 – 9.4 9.4 – – – – – – – – – – – – – – – – – – –

– – – – – – – – – – – – – – – – – – – – – – – – – – – – – – –

6.2 4.9 5.8 3.6 5.4 4.6 2.2 2.2 2.2 9.2 2.3 4.7 5.2 4.6 5.2 1.8 2.2 2.9 1.9 (8.9) 1.4 0.9 (3.9) 0.3 4.3 3.9 3.1 0.5 (0.3) 2.6 0.0

06/23/09 08/14/09 07/29/09 03/16/10 08/06/09 02/17/10 11/15/07 11/15/07 04/18/08 04/16/09 05/13/08 07/03/08 06/16/09 07/27/09 07/17/09 03/04/10 10/20/09 02/17/10 09/28/09 01/21/11 12/18/09 03/15/10 11/03/10 03/08/10 11/02/09 11/04/09 12/04/09 03/12/10 03/02/10 08/17/09 12/15/10

All MERs as at August 31, 2011 1 Annualized MER for the period ending August 31, 2011 (as disclosed in each fund’s annual management report of fund performance). Renaissance Investments may have waived fees or absorbed expenses otherwise payable by a fund or portfolio, with the exception of any taxes or new fees introduced by regulators or governments. At the discretion of Renaissance Investments, this practice may continue indefinitely and can be terminated at any time. 2 All units held under the back-end load option on November 1, 2010 will maintain the trailing commission structure that was in place prior to November 1, 2010. Purchases of units under the back-end load option made after November 1, 2010 will be subject to the trailing commission structure detailed above. 3 Trailer fees may change at any time without prior notice. Select and Elite Class: There will be no automatic transfer into the Select Class (including Select-T4 Class, Select-T6 Class, or Select-T8 Class) or Elite Class (including Elite-T4 Class, Elite-T6 Class, or Elite-T8 Class) from other Axiom classes when the minimum investment of the Select classes or Elite classes has been reached. Conversions and switches into the Select classes or Elite classes will be subject to the minimum investment requirements governing each class. As a result, an investor must hold a minimum investment of $250,000 to convert or switch into the Select classes, and $500,000 to convert or switch into the Elite classes. Note: See the simplified prospectus for the tax treatment of conversions and switches. The information presented is accurate at the time of first printing, and is subject to change without notice. Management fees for Class A and Class F units are outlined in the Simplified Prospectus of the Portfolios. Management fees for the units of the Select classes and Elite classes will vary, but will not exceed the difference between the capped MER for that Class and the Portfolio’s operating expenses. No management fees are payable by the Portfolio that would duplicate a fee payable by the Underlying Pool(s) for the same service. RENAISSANCE INVESTMENTS 33

Renaissance Investments family of funds Renaissance Investments’ comprehensive line-up of mutual funds can provide your clients with exposure to equity and fixed-income securities from markets around the world. These funds are ideal to build a portfolio or to add greater diversification and performance potential to your clients’ existing portfolios.

Fund Profiles Table of Contents NEW FUNDS Renaissance Canadian All-Cap Equity Fund Renaissance Optimal Inflation Opportunities Portfolio Renaissance Short-Term Income Fund – Premium Class Renaissance Canadian Bond Fund – Premium Class

Page 36 38 40 42

MONEY MARKET FUNDS Renaissance Money Market Fund Renaissance Money Market Fund – Premium Class Renaissance Canadian T-Bill Fund Renaissance U.S. Money Market Fund

44 46 48 50

FIXED INCOME FUNDS Renaissance Short-Term Income Fund Renaissance Canadian Bond Fund Renaissance Real Return Bond Fund Renaissance Corporate Bond Capital Yield Fund Renaissance Corporate Bond Capital Yield Fund – Premium Class Renaissance High-Yield Bond Fund Renaissance Global Bond Fund

52 54 56 58 60 62 64

BALANCED FUNDS Renaissance Canadian Balanced Fund Renaissance Optimal Income Portfolio

66 68

EQUITY INCOME FUNDS Renaissance Canadian Dividend Fund Renaissance Canadian Monthly Income Fund Renaissance Diversified Income Fund Renaissance Millennium High Income Fund

70 72 74 76

CANADIAN EQUITY FUNDS Renaissance Canadian Core Value Fund Renaissance Canadian Growth Fund Renaissance Canadian Small-Cap Fund

78 80 82

34 RENAISSANCE INVESTMENTS

U.S. EQUITY FUNDS Renaissance U.S. Equity Value Fund Renaissance U.S. Equity Growth Fund Renaissance U.S. Equity Growth Currency Neutral Fund Renaissance U.S. Equity Fund

Page 84 86 88 90

GLOBAL EQUITY FUNDS Renaissance International Dividend Fund Renaissance International Equity Fund Renaissance International Equity Currency Neutral Fund Renaissance Global Markets Fund Renaissance Optimal Global Equity Portfolio Renaissance Optimal Global Equity Currency Neutral Portfolio Renaissance Global Value Fund Renaissance Global Growth Fund Renaissance Global Growth Currency Neutral Fund Renaissance Global Focus Fund Renaissance Global Focus Currency Neutral Fund Renaissance Global Small-Cap Fund Renaissance European Fund Renaissance Asian Fund Renaissance China Plus Fund Renaissance Emerging Markets Fund

92 94 96 98 100 102 104 106 108 110 112 114 116 118 120 122

SPECIALTY FUNDS Renaissance Global Infrastructure Fund Renaissance Global Infrastructure Currency Neutral Fund Renaissance Global Real Estate Fund Renaissance Global Real Estate Currency Neutral Fund Renaissance Global Health Care Fund Renaissance Global Resource Fund Renaissance Global Science & Technology Fund

124 126 128 130 132 134 136

Invest with Confidence

Universe of Investment Managers

Quantitative Filters

When your clients invest with Renaissance Investments, they’re in good hands. We search the world for independent investment managers and put them to work on their behalf. We begin with a universe of thousands of potential investment managers, and then apply in-depth quantitative and qualitative filters to identify those with a proven ability to successfully manage the mandates within our

Manager Candidates

Qualitative Six-Step Process

Managers Selected for Renaissance Investments

investment solutions. Our exacting approach to due diligence helps us optimize performance and manage risk for our clients. Once selected for Renaissance Investments, managers undergo continuous monitoring and assessment. In order to remain part of our clients’ portfolios, they must demonstrate consistency with their investment disciplines and the rigorous standards of our products.

Strength Behind Your Clients – Renaissance Investments’ family of funds has access to the accumulated knowledge and expertise of independent investment managers from across Canada and around the world.

RENAISSANCE INVESTMENTS 35

NEW FUNDS

Renaissance Canadian All-Cap Equity Fund (Class A) Fund Category Canadian Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To achieve long-term investment returns through capital growth, by investing primarily in equity securities of Canadian issuers.

Growth of $10,000 15 Fund

Benchmark A S&P/TSX Composite Index

14 13 12

Volatility Analysis

11 10 9 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

— —

Fund Category Benchmark A

Fund Details Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1123 ATL1023 ATL2123 ATL068

Fund Category Benchmark A

Telephone Web Site

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.7

— -5.9 -12.6

— -12.3 -12.4

— 22.3 26.7

— 13.4 14.5

— 21.6 24.1

— 16.4 17.3

— 8.4 9.8

— -32.7 -33.0

— 31.9 35.1

— 14.4 17.6

— -10.4 -8.7

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

2001

September 26, 2011 — $500

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

— -1.5 -1.7

— 3.3 3.6

— -10.1 -8.9

— -10.4 -8.7

— 1.3 3.6

— 10.6 13.2

— -0.3 1.3

— — —

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Past performance information is currently unavailable as the fund was recently established.

84.2 0.0 0.0 0.0 0.0 8.5 7.3

% Assets

Toronto-Dominion Bank CIBC Royal Bank of Canada Suncor Energy Inc Magna International A

4.8 4.5 4.1 3.5 3.0

ShawCor, Ltd. Class A Power Financial Bank of Montreal Genworth MI Canada, Inc. TELUS Corp

2.8 2.4 2.3 2.1 2.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

51 86 84 0

Market Cap

Large Medium Small

67.9 27.9 4.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada

% Equity

1.7 29.1 30.7 19.6 5.6 0.3 2.5 8.3 0.0 2.0 0.0 % Assets

100.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

NEW FUNDS

Renaissance Canadian All-Cap Equity Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Suzann Pennington | 09-26-2011 CIBC Global Asset Management Inc

Suzann Pennington is Head of Canadian Equities at CIBC Global Asset Management Inc. Prior to joining CGAM, she was Senior Vice-President, Investments and Team Lead of the Saxon Funds at Mackenzie Financial Corp. Suzann began her career at OMERS, then managed portfolios at Prudential Assurance, and was Director of Canadian Equities at Mutual Group Insurance Co. before helping to build Synergy Mutual Funds. At Sceptre Investment Counsel, Suzann was Vice-President, Equities and head of international research. Suzann is a CFA charterholder. Other Assets Managed

Since

CIBC Balanced CIBC Canadian Equity Renaissance Canadian Balanced Series A

07-11 07-11 08-11

The Fund benefits from the long-standing expertise and investment skill of Suzann Pennington, an all-cap Canadian equity manager with over 24 years of experience and an outstanding track record of analyzing and managing multi-cap equity and balanced portfolios. Suzann and her team employ a conservative, bottom-up value approach, which views risk on an absolute basis – an approach focusing on protecting the Fund from the risk of capital loss rather than the underperformance of an index. A well-defined process is geared to identifying holdings from all capitalization tranches. Suzann employs a fundamental approach to stock selection that results in an equity portfolio that is different from, and typically more diversified, on a sector basis than the benchmark index. The following are key elements of her investment process:

•Employs a variety of analytical tools to evaluate a wide range of companies for her desired value characteristics. •Focuses on portfolio construction by utilizing a diversified, conservative approach to avoid overconcentration, and excessive single company risk thereby creating a diversified portfolio aimed at delivering lower volatility. •Seeks to add value by picking good stocks and by structuring the portfolio for the long term instead of trying to time the market. The result is a diversified portfolio of value-oriented stocks which avoids overconcentration in any one sector, capitalization tranche or holding and targets strong long-term performance. This fund is an excellent core Canadian holding for an investor.

RENAISSANCE INVESTMENTS 37

NEW FUNDS

Renaissance Optimal Inflation Opportunities Portfolio (Class A) Fund Category Tactical Balanced

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long term capital appreciation by investing primarily in units of global and/or Canadian mutual funds and securities (including equity securities, fixed income securities, and permitted commodities), which are expected to benefit from or to provide a hedge against inflation.

Growth of $10,000 15 Fund

Benchmark A

14 13 12 11 10 9

Volatility Analysis

Performance Quartile (within category over calendar year) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

— —

Fund Details Class

Load Structure

Currency

Fund Code

A A A F Elite Elite Elite Sel Sel Sel

Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL2454 ATL2452 ATL2453 ATL2455 ATL2471 ATL2469 ATL2470 ATL2468 ATL2466 ATL2467

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

September 26, 2011 — Annually $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.9

Fund Category Benchmark A

— -6.6 —

— -9.2 —

— 13.5 —

— 7.8 —

— 11.1 —

— 10.4 —

— 1.1 —

— -21.4 —

— 22.1 —

— 10.5 —

— -5.0 —

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

— 0.5 —

— 4.4 —

— -5.2 —

— -5.0 —

— 2.4 —

— 8.6 —

— 0.4 —

— — —

Total Assets ($mil) Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

4.5 5.1 15.3 35.1 2.2 33.3 4.5

% Assets

Market Vectors EM Local Curr Bond ETF Canada Hsg Tr No 1 2.75% 15-09-2014 Canada Hsg Tr No 1 3.15% 15-06-2015 Canada Govt 3.25% 01-06-2021 TELUS Corporation 4.95% 15-05-2014

5.1 4.8 2.7 1.4 1.1

Husky Engy 3.75% 12-03-2015 Thomson Reuters 5.2% 01-12-2014 NHA Mtge Backed Secs 4.5% 01-11-2014 Canada Hsg Tr No 1 2.7% 15-12-2013 Bell Canada MTN Cds- 4.85% 30-06-2014

1.1 1.1 1.0 1.0 1.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

9 251 158 78

Market Cap

Large Medium Small

49.0 41.9 9.1

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

Credit Quality

High Medium Low NR/NA

33.5 14.4 0.0 52.1 % Equity

35.8 9.1 10.3 20.4 3.1 0.4 3.2 16.4 0.1 0.7 0.5 % Fixed Income

20.5 27.9 0.0 1.0 50.2 0.3

Past performance information is currently unavailable as the fund was recently established.

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

NEW FUNDS

Renaissance Optimal Inflation Opportunities Portfolio (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Luc de la Durantaye | 09-26-2011 CIBC Global Asset Management Inc

Luc de la Durantaye joined CIBC Global Asset Management Inc. in December 2002. Mr. de la Durantaye is leader of the Global Asset Allocation team, operating from within the firm's Investment Management Platform. Other Assets Managed

Since

CIBC Global Equity Renaissance Canadian Balanced Series A CIBC Balanced

01-03 10-09 10-09

This portfolio benefits from the proven experience and extensive depth of CIBC Global Asset Management’s Global Tactical Asset Allocation and Currency Management team led by Luc de la Durantaye and comprised of 20 portfolio managers, analysts and traders. Based on an investment philosophy that capital markets can be inefficient, the team uses a tactical asset allocation strategy to take advantage of changing inflationary cycles around the world, actively adjusting the Portfolio's holdings to address inflation concerns and capitalize on opportunities.

-Deflationary Boom (strong productivity, solid economic growth but decelerating inflation). •Determine asset class valuation: Perform asset class evaluation to determine expected returns. •Assess qualitative factors: Consider unquantifiable information that may have considerable impact on the inflation and growth outlook. Rank and select asset classes.

The investment process uses a fundamental discretionary approach supported by a blend of quantitative and qualitative inputs to actively manage the Portfolio’s asset mix. The investment approach takes the following steps:

•Portfolio construction and risk management: Balance conviction of inflationary strategies with risk exposure. Review alignment of risk parameters to highest conviction strategies. Constant monitoring of risk exposure and adjust strategy based on anticipated change in environment.

•Evaluate Canadian and global economic environments: Map regions and countries based on the expected inflationary environment: -Inflationary Bust (high and rising inflation, high real interest rates and below average economic growth). -Inflationary Boom (relatively high inflation but above average economic growth). -Deflationary Bust (very weak economic activity, rapidly falling inflation and too high real interest rates).

The result is an all-in-one actively managed inflationhedging strategy which can leverage non-traditional assets such as Infrastructure, Real Estate, Real Return Bonds, Commodities and traditional asset classes, making it suitable for all inflationary environments. This Portfolio complements a traditional portfolio by providing an active asset allocation approach designed to capitalize on inflation-related opportunities around the world.

RENAISSANCE INVESTMENTS 39

NEW FUNDS

Renaissance Short-Term Income Fund - Premium Class Fund Category Canadian Short Term Fixed Income

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011 *

To obtain a high level of income consistent with security of capital through investments primarily in securities issued or guaranteed by the Government of Canada or one of the provinces thereof, municipal or school corporations in Canada and in first mortgages on properties situated in Canada, interest-bearing deposits of banks or trust companies, and high quality corporate bonds.

Growth of $10,000 15

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

— —

Fund Details Load Structure

Currency

Fund Code

Prem A A A F

Front End Charge Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD CAD

ATL1206 ATL1121 ATL1021 ATL2121 ATL1630

Telephone Web Site

13 12 11 10 9

Total Assets ($mil)

Fund Category Benchmark A Trailing Returns %

Distributions as of 12-2011 Distribution $

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

83.5

— 7.4 9.4

— 3.7 6.3

— 3.4 5.1

— 3.3 5.1

— 1.5 2.4

— 3.0 4.0

— 2.6 4.1

— 6.2 8.6

— 3.7 4.5

— 2.5 3.6

— 3.4 4.7

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.5 0.4 0.5

0.4 0.4 0.5

— 2.1 2.8

— 3.4 4.7

— 2.9 4.1

— 3.2 4.3

— 3.7 5.1

0.5 — —

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

—

Oct

Nov

Dec

— 0.0317 0.0116

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

September 26, 2011 — Annually $100,000

888 888 FUND www.renaissanceinvestments.ca

Investment Style

2001

Calendar Year Returns %

Fund Category Benchmark A

Class

Inception Date MER Distribution Frequency Minimum Investment

Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A DEX Short Term Bond Index

Top Ten Holdings

Canada Hsg Tr No 1 2.75% 15-09-2014 Canada Hsg Tr No 1 3.15% 15-06-2015 Canada Govt 3.25% 01-06-2021 TELUS Corporation 4.95% 15-05-2014 Husky Engy 3.75% 12-03-2015

0.0 0.0 0.0 89.0 5.4 5.1 0.5

% Assets

12.0 6.8 3.6 2.9 2.8

Thomson Reuters 5.2% 01-12-2014 NHA Mtge Backed Secs 4.5% 01-11-2014 Canada Hsg Tr No 1 2.7% 15-12-2013 Bell Canada MTN Cds- 4.85% 30-06-2014 Canada Hsg Tr No 1 2.75% 15-06-2016

2.8 2.6 2.6 2.5 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

86 86 0 78

Credit Quality

High Medium Low NR/NA

60.2 25.8 0.0 14.0

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

36.9 50.2 0.0 1.8 10.6 0.6

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

NEW FUNDS

Renaissance Short-Term Income Fund - Premium Class Investment Management Overview Manager Bios

Investment Management Approach

Jeffrey Waldman | 10-01-1999 CIBC Global Asset Management Inc

As First Vice-President, Fixed Income, CIBC Global Asset Management Inc., Jeffrey Waldman joined CIBC Global in 1998. Prior to that Mr. Waldman held position of Investment Planning Assistant and Fixed Income Consultant at Confederation Life Insurance from 1987 to 1993; fixed Income portfolio manager and Vice-President of Canadian bonds at ING Investment Management from 1993 to 1998. Other Assets Managed

Since

CIBC Short-Term Income CIBC Short-Term Income Premium Renaissance Corp Bd Capital Yld Prem Cls Renaissance Corp Bond Capital Yield

12-07 12-07 11-09 11-09

Steven Dubrovsky | 12-11-2007 CIBC Global Asset Management Inc

Steven Dubrovsky joined CIBC Global Asset Management in August 1992. Mr. Dubrovsky is a member of the Global Fixed Income team, operating from within the firm's Investment Management Platform. Other Assets Managed

Since

CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A Renaissance Money Market Premium Class Renaissance Money Market Renaissance Canadian T Bill Renaissance US Money Market U$

04-94 04-94 04-94 04-94 04-94 04-94 08-06 08-06 12-07 12-07

The Fund benefits from the investment expertise of CIBC Global Asset Management’s Steven Dubrovsky and Jeffrey Waldman along with the Fixed Income team. The team uses a bottom-up approach based on fundamental and quantitative analysis to deliver a high level of income with some potential for capital appreciation by investing primarily in shorter-term bonds of Canadian governments and companies. The team’s philosophy is that a core fixed income portfolio that combines multiple value added sources will lead to superior performance. The team combines four different strategies of producing added value from bonds – sector allocation, duration, term structure and security selection. The team begins with sector allocation by analyzing factors such as corporate profitability, fiscal balance of the provinces and municipalities and the historic spread relationship between the domestic sectors. The duration and term structure is determined through the team’s combined perspectives resulting from their technical and fundamental analysis. To do so, the team reviews

macroeconomic variables and uses technical interest rate analysis to draw conclusions about future economic growth and the direction of interest rates. For security selection, the team focuses on issuer-specific fundamentals, quantitative modeling of valuations and liquidity to determine securities for the portfolio. Once decisions are reached, the team implements a target price and execution strategy to build and maintain the portfolio. The Fund is continually subjected to management controls, monitoring and reviewing the portfolio characteristics on a daily basis. The result is a well-diversified conservative shorter-term bond portfolio with an average duration typically between three and five years, that is actively managed to deliver regular income and potential for capital growth. This Fund makes an excellent shorter-term bond portfolio for a more conservative investor or those with a shorter investment time horizon and can serve as a diversifying complement to an equity portfolio in order to manage risk.

Manager Commentary The Bank of Canada (BoC) released its Monetary Policy Report at the start of the quarter stating that it expects a brief recession in Europe and sees diminishing confidence and slowing growth in Canada. In the statement released following its final meeting of the year in December, the BoC expressed greater concern about the global economy and financial markets. Nevertheless, it kept its administered rate at one percent for the entire quarter. Looking ahead to 2012, the BoC noted that “a weaker external outlook is expected to dampen GDP growth in Canada” and that it expects inflation will “decline as a result of reduced pressures from food and energy prices and ongoing excess supply in the economy.” The European sovereign debt and banking sector problems intensified during the quarter. This prompted

more coordinated action by global central banks and numerous multi-national summits to propose new initiatives designed to relieve the funding and liquidity difficulties faced by many European countries and banks. As a result, yields in Canada declined to record lows across the curve. The manager maintained the duration of the fund longer than that of the benchmark because of the expectation of stable monetary policy, weak economic growth, and ongoing geopolitical risks. The fund has an overweight position in corporate bonds, which adds yield to the portfolio. The manager continues to favour Government of Canada guaranteed mortgagebacked securities and municipal bonds rather than provincial bonds due to their risk-reward profile. As at December 31, 2011

RENAISSANCE INVESTMENTS 41

NEW FUNDS

Renaissance Canadian Bond Fund - Premium Class Fund Category Canadian Fixed Income

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011 *

To obtain a high level of current income consistent with preservation of capital through investment primarily in bonds, debentures, notes, and other debt instruments of Canadian governments, financial institutions and corporations.

Growth of $10,000 15 Fund

14 13 12 11 10

Volatility Analysis

Low

Benchmark A DEX Universe Bond Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

294.1

— 6.2 8.1

— 7.0 8.7

— 6.2 6.7

— 6.0 7.1

— 5.4 6.5

— 2.6 4.1

— 1.9 3.7

— 2.7 6.4

— 7.5 5.4

— 6.0 6.7

— 7.5 9.7

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

— —

Fund Category Benchmark A Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.7 1.5 1.7

— 1.8 2.1

— 5.6 7.3

— 7.5 9.7

— 6.8 8.2

— 7.0 7.3

— 5.1 6.4

2.1 — —

Fund Details Class

Load Structure

Currency

Fund Code

Prem A A A F

Front End Charge Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD CAD

ATL1204 ATL1122 ATL1022 ATL2122 ATL1631

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

September 26, 2011 — Annually $100,000

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

—

Oct

Nov

Dec

— 0.0509 0.1035

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

0.0 0.0 0.0 94.2 0.0 5.8 0.0

% Assets

Canada Hsg Tr No 1 2.75% 15-06-2016 Canada Govt 2.75% 01-06-2022 Canada Hsg Tr No 1 1.85% 15-12-2016 Canada Hsg Tr No 1 1.85% 15-12-2016 Canada Govt 4% 01-06-2041

8.4 8.0 5.8 5.7 4.3

Canada Hsg Tr No 1 FRN 15-09-2014 Municipal Fin Authority 4.45% 01-06-2020 Canada Govt 5% 01-06-2037 BC (Prov Of) 4.7% 18-06-2037 New Brunswick F-M Proj 6.47% 30-11-2027

2.6 2.4 2.4 1.9 1.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

152 152 0 150

Credit Quality

High Medium Low NR/NA

59.3 23.8 7.6 9.3

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

47.0 46.4 0.0 0.9 5.8 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

NEW FUNDS

Renaissance Canadian Bond Fund - Premium Class Investment Management Overview Manager Bios

Investment Management Approach

John Braive | 08-01-2005 CIBC Global Asset Management Inc

John Braive joined CIBC Asset Management in January 1983. Responsible for the management of the firm's fixed income assets for 18 years, John is a member of the Global Fixed Income team, the Investment and Strategy committees, and the Board of Directors. Other Assets Managed

Since

CIBC Canadian Bond CIBC Canadian Bond Premium Class CIBC Short-Term Income Premium CIBC Short-Term Income Renaissance Real Return Bond

04-94 04-94 12-99 12-99 04-08

Patrick O'Toole | 12-11-2007 CIBC Global Asset Management Inc

Patrick O'Toole joined CIBC Asset Management in May 2004. He is a member of the Global Fixed Income team, operating from within the firm's Investment Management Platform. He holds a Diploma in Business Administration from Algonquin College (Ontario and is also a CFA charterholder and a Certified General Accountant. Other Assets Managed

Since

Renaissance Real Return Bond CIBC Canadian Bond Premium Class CIBC Canadian Bond Renaissance Corp Bd Capital Yld Prem Cls Renaissance Corp Bond Capital Yield

05-04 12-07 12-07 11-09 11-09

The Fund brings together the investment expertise of CIBC Global Asset Management’s John Braive and Patrick O'Toole, along with the Fixed Income team. The team uses a bottom-up approach based on fundamental and quantitative analysis to deliver a high level of income with some potential for capital appreciation by investing in bonds of Canadian governments and companies. The team’s philosophy is that a core fixed income portfolio that combines multiple value added sources will lead to superior performance. The team combines four different strategies of producing added value from bonds – sector allocation, duration, term structure and security selection. The team begins with sector allocation; analyzing factors such as corporate profitability, fiscal balance of the provinces and municipalities and historic spread relationship between the domestic sectors. The duration and term structure is determined through the team’s combined perspectives

resulting from their technical and fundamental analysis. To do so, the team reviews macroeconomic variables and uses technical interest rate analysis to draw conclusions about future economic growth and the direction of interest rates. For security selection, the team focuses on issuer-specific fundamentals, quantitative modeling of valuations and liquidity to determine securities for the portfolio. Once decisions are reached, the team implements a target price and execution strategy to build and maintain the portfolio. The Fund is continually subjected to management controls, monitoring and reviewing the portfolio characteristics on a daily basis. The result is a well-diversified conservative bond portfolio that is actively managed to deliver regular income and potential for capital growth. This Fund makes an excellent core bond portfolio for a conservative investor and can serve as a diversifying complement to an equity portfolio in order to manage risk.

Manager Commentary The final quarter of 2011 was dominated by headline risk related to sovereign debt concerns in Europe. Eurozone leaders were forced to respond to pressure from investors who began to shun the bonds of several member countries, driving their bond yields to levels considered unsustainable. North American bonds benefited from the fallout as investors sought safer havens for their capital. Long-term government bond yields in Canada made new record lows during the quarter. Corporate yields did not fall as sharply as government yields, resulting in increased credit spreads. Although the economy was on sounder footing, the Bank of Canada held its administered rate at one percent, citing increased uncertainty about the global economic outlook as justification for maintaining considerable monetary stimulus.

The manager maintained overweights to corporate investment-grade and high yield holdings, and an underweight to government bonds. The relative weights kept the yield greater than that of the benchmark to take advantage of the better prospective returns expected from corporate bonds over the longer term. The manager continues to expect growth to remain constrained as headwinds moderate the economy. Deleveraging – the reduction of debt – remains the dominant economic theme, and the manager expects it to result in lower economic growth. It should also result in central banks moving more slowly to raise interest rates when growth does improve. As at December 31, 2011

RENAISSANCE INVESTMENTS 43

MONEY MARKET FUNDS

Renaissance Money Market Fund (Class A) Benchmark A DEX 91-Day T-Bill Index

Fund Category Canadian Money Market

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To obtain a high level of income consistent with preservation of capital and liquidity by investing primarily in high quality, short- term debt securities issued or guaranteed by the Government of Canada or any Canadian provincial government obligations of Canadian banks, trust companies, and corporations.

Growth of $10,000 15 Fund

14 13 12 11 10 9

Volatility Analysis

Performance Quartile (within category over calendar year) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

13.0% 11-30-1989 to 11-30-1990

0.2% 06-30-2009 to 06-30-2010

Fund Details Class

Load Structure

Currency

Fund Code

A A A Prem

Back End Charge Front End Charge Low Load Charge Front End Charge

CAD CAD CAD CAD

ATL1125 ATL1025 ATL2125 ATL1200

Inception Date MER Current Yield Current Yield Date Distribution Frequency Minimum Investment Telephone Web Site

January 2, 1987 0.48% 0.65% 01-17-2012 Monthly $500

3 2007

2001

2002

2003

2004

2005

2006

231.2

271.7

232.6

182.9

137.6

703.6

Fund Category Benchmark A

3.61 3.70 4.72

1.61 1.79 2.52

2.04 2.16 2.91

1.37 1.54 2.30

1.67 1.89 2.58

2.98 3.23 3.98

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.05 0.05 0.08

0.17 0.15 0.22

0.35 0.31 0.48

0.75 0.64 1.00

0.56 0.47 0.77

0.50 0.49 0.72

1.52 1.62 1.97

1.73 1.87 2.41

Total Assets ($mil)

2008

2009

2010

2011

930.2 1257.7

526.3

313.1

236.8

0.37 0.53 0.63

0.38 0.31 0.54

0.75 0.64 1.00

Calendar Year Returns %

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

Jan

Feb

Mar

Apr

May

Jun

3.58 3.82 4.43

Jul

2.57 2.84 3.33

Aug

Sep

Oct

Nov

Dec

0.0067 0.0062 0.0067 0.0063 0.0070 0.0065 0.0059 0.0067 0.0059 0.0059 0.0054 0.0053

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Cash Breakdown

Corporate Cash Liquid Bonds Treasury Bills General Cash

0.0 0.0 0.0 0.0 11.5 88.5 0.0

Top Ten Holdings

% Assets

Cash & Cash Equivalents HSBC Finl Corp Ltd Mtn Cds- FRN (ST) Bank of Nova Scotia 20-04-2012 Bank of Montreal 01-02-2012

88.6 7.0 2.6 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

5 5 0 0

% Cash

0.0 11.5 0.0 88.5

Notes MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

ÂŠ2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. â&#x201E;˘Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Steven Dubrovsky | 08-21-2006 CIBC Global Asset Management Inc

Since

CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A Renaissance Short-Term Income Prm Cl Renaissance Canadian T Bill Renaissance US Money Market U$ Renaissance Short-Term Income

04-94 04-94 04-94 04-94 04-94 04-94 12-07 12-07 12-07 12-07

Stephanie Lessard | 04-09-2008 CIBC Global Asset Management Inc

Stéphanie Lessard joined CIBC Global Asset Management in April 2001. Ms. Lessard is a member of the Global Fixed Income team operating from within the firm's Investment Management Platform. Other Assets Managed

Since

Renaissance Canadian T Bill Renaissance US Money Market U$ CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A

10-04 10-04 12-07 12-07 12-07 12-07 12-07 12-07

The Fund benefits from the investment expertise of CIBC Global Asset Management’s Steven Dubrovsky and Stephanie Lessard along with the Global Fixed Income team. The team follows a fundamental analysis approach to deliver a high level of interest income while maintaining security of capital and liquidity, by investing primarily in high-quality debt. The team’s money market strategy follows a comprehensive investment process. The first two steps are to determine portfolio duration and sector allocation between Canadian, provincial and corporate notes. The team constructs and maintains the security buy list,

which plays a key role in the security selection process. The manager next determines the optimal term structure. The entire portfolio is continually subjected to management controls, monitoring and reviewing the portfolio characteristics on a daily basis. The result is a well-diversified portfolio of high quality securities including T-Bills, commercial papers and other short-term debt instruments. The Fund is an excellent conservative complement to diversify an equity portfolio, and can be used as a conservative short-term investment.

Manager Commentary The 3-month Canadian T-Bill rate declined modestly below the overnight rate of one percent. The manager believes the Bank of Canada (BoC) will maintain the current target for the overnight rate over the next quarter, but suspects that BoC Governor Mark Carney has a negative or easing bias built into his outlook. Furthermore, the possibility of a “financial accident” stemming from the European debt crisis has risen and a logical response by the BoC would be to cut rates if a full-blown credit crisis is experienced. The manager has been actively reducing exposure to corporate credit in an effort to make the portfolio more conservative, given the current elevated geopolitical risks. The commercial paper, bank-sponsored assetbacked commercial paper and Bankers’ Acceptance

market is functioning well with no reduction in liquidity. However, the manager feels it is prudent to reduce the risk in the portfolio until more evidence is seen that the eurozone is making headway in solving its current crisis. If yields on corporate paper rise, the manager may increase the fund’s exposure. The manager is maintaining the current neutral term-tomaturity strategy. The yield curve in Canada is flat with no pick up for extending term. A rate cut of 25 basis points is already built into the money market yield curve by summer 2012, and the manager does not feel that the fund is adequately compensated for increasing the termto-maturity in the portfolio at the current time. As at December 31, 2011

RENAISSANCE INVESTMENTS 45

MONEY MARKET FUNDS

Renaissance Money Market Fund (Class A)

MONEY MARKET FUNDS

Renaissance Money Market Fund - Premium Class Benchmark A DEX 91-Day T-Bill Index

Fund Category Canadian Money Market

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 15 Fund

14 13 12 11 10 9

Volatility Analysis

Performance Quartile (within category over calendar year) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

4.2% 03-31-2007 to 03-31-2008

0.2% 06-30-2009 to 06-30-2010

Fund Details Class

Load Structure

Currency

Fund Code

Prem A A A

Front End Charge Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD

ATL1200 ATL1125 ATL1025 ATL2125

Inception Date MER Current Yield Current Yield Date Distribution Frequency Minimum Investment Telephone Web Site

August 21, 2006 0.37% 0.78% 01-17-2012 Monthly $25,000

2001

2002

2003

2004

2005

2006

231.2

271.7

232.6

182.9

137.6

703.6

Fund Category Benchmark A

— 3.70 4.72

— 1.79 2.52

— 2.16 2.91

— 1.54 2.30

— 1.89 2.58

— 3.23 3.98

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.06 0.05 0.08

0.20 0.15 0.22

0.42 0.31 0.48

0.88 0.64 1.00

0.66 0.47 0.77

0.65 0.49 0.72

1.87 1.62 1.97

2.00 — —

Total Assets ($mil)

2007

1 2008

2009

2010

2011

930.2 1257.7

526.3

313.1

236.8

0.62 0.53 0.63

0.45 0.31 0.54

0.88 0.64 1.00

Calendar Year Returns %

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

Jan

Feb

Mar

Apr

May

Jun

4.09 3.82 4.43

Jul

3.37 2.84 3.33

Aug

Sep

Oct

Nov

Dec

0.0076 0.0072 0.0078 0.0073 0.0081 0.0076 0.0069 0.0078 0.0070 0.0070 0.0065 0.0063

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

0.0 0.0 0.0 0.0 11.5 88.5 0.0

Investment Style Cash Breakdown

Corporate Cash Liquid Bonds Treasury Bills General Cash

Top Ten Holdings

% Assets

Cash & Cash Equivalents HSBC Finl Corp Ltd Mtn Cds- FRN (ST) Bank of Nova Scotia 20-04-2012 Bank of Montreal 01-02-2012

88.6 7.0 2.6 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

5 5 0 0

% Cash

0.0 11.5 0.0 88.5

Notes MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Steven Dubrovsky | 08-21-2006 CIBC Global Asset Management Inc

Since

CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A Renaissance Short-Term Income Prm Cl Renaissance Canadian T Bill Renaissance US Money Market U$ Renaissance Short-Term Income

04-94 04-94 04-94 04-94 04-94 04-94 12-07 12-07 12-07 12-07

Stephanie Lessard | 04-09-2008 CIBC Global Asset Management Inc

Since

10-04 10-04 12-07 12-07 12-07 12-07 12-07 12-07

RENAISSANCE INVESTMENTS 47

MONEY MARKET FUNDS

Renaissance Money Market Fund - Premium Class

MONEY MARKET FUNDS

Renaissance Canadian T-Bill Fund (Class A) Benchmark A DEX 91-Day T-Bill Index

Fund Category Canadian Money Market

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To maintain security of capital and liquidity by investing primarily in Canadian government debt instruments that mature in one year or less.

Growth of $10,000 15 Fund

14 13 12

Volatility Analysis

11 10 9 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Worst 1 Year Return

12.3% 11-30-1989 to 11-30-1990

0.1% 04-30-2009 to 04-30-2010

Fund Details

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

116.1

97.1

83.5

65.9

65.1

73.4

39.3

30.2

28.9

Fund Category Benchmark A

3.10 3.70 4.72

1.27 1.79 2.52

1.65 2.16 2.91

1.03 1.54 2.30

1.37 1.89 2.58

2.64 3.23 3.98

3.06 3.82 4.43

1.70 2.84 3.33

0.19 0.53 0.63

0.31 0.31 0.54

0.57 0.64 1.00

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.04 0.05 0.08

0.13 0.15 0.22

0.27 0.31 0.48

0.57 0.64 1.00

0.44 0.47 0.77

0.36 0.49 0.72

1.16 1.62 1.97

1.37 1.87 2.41

Calendar Year Returns %

Load Structure

Currency

Fund Code

Trailing Returns %

Back End Charge Front End Charge Low Load Charge

CAD CAD CAD

ATL643 ATL922 ATL681

Fund Category Benchmark A

Telephone Web Site

149.5

A A A

August 21, 1987 0.43% 0.46% 01-17-2012 Monthly $500

2001

Class

Inception Date MER Current Yield Current Yield Date Distribution Frequency Minimum Investment

177.0

Total Assets ($mil) Best 1 Year Return

Distributions as of 12-2011 Distribution $

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

0.0051 0.0048 0.0053 0.0048 0.0054 0.0049 0.0046 0.0050 0.0045 0.0044 0.0041 0.0041

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Cash Breakdown

Corporate Cash Liquid Bonds Treasury Bills General Cash

0.0 0.0 0.0 1.5 1.5 96.9 0.1

Top Ten Holdings

Cash & Cash Equivalents Manitoba Prov Cda Mtn Cds- 15-03-2013 Alberta Cap Fin thority 09-10-2012

% Assets

96.9 1.5 1.5

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

% Cash

0.0 1.5 0.0 98.5

Notes MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

4 4 0 1

Investment Management Overview Manager Bios

Investment Management Approach

Stephanie Lessard | 10-01-2004 CIBC Global Asset Management Inc

Since

Renaissance US Money Market U$ CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ Renaissance Money Market Premium Class Renaissance Money Market

10-04 12-07 12-07 12-07 12-07 12-07 12-07 04-08 04-08

Steven Dubrovsky | 12-11-2007 CIBC Global Asset Management Inc

Since

04-94 04-94 04-94 04-94 04-94 04-94 08-06 08-06 12-07 12-07

The Fund benefits from the investment expertise of CIBC Global Asset Management’s Steven Dubrovsky and Stéphanie Lessard, along with the Global Fixed Income team. The team follows a fundamental analysis approach to deliver a high level of interest income while maintaining security of capital and liquidity, by investing primarily in Canadian government debt instruments that mature in one year or less. The team’s money market strategy follows a comprehensive investment process. The first step determines the portfolio duration based on CIBC Global’s viewpoint on expected interest rate movements. The

team may opportunistically invest in high quality commercial papers in order to increase the level of income. The manager next determines the optimal term structure. The entire portfolio is continually subjected to management controls, monitoring and reviewing the portfolio characteristics on a daily basis. The end result is a well-diversified portfolio of high quality securities invested primarily in T-Bills. This Fund is an excellent conservative complement to diversify an equity portfolio, and can also be used as a very conservative short-term investment.

Manager Commentary At its December policy meeting, the Bank of Canada (BoC) maintained the overnight rate at one percent. BoC Governor Mark Carney appeared more optimistic about the Canadian and U.S. economies, seeing stronger-thanexpected growth in the second half of 2011. Household spending and business investment were cited as the primary growth drivers. However, the BoC’s outlook for growth in 2012 appears more downbeat.

below the overnight rate of one percent. The manager believes the BoC will maintain the current target for the overnight rate over the next quarter, but suspects that Governor Carney has a negative or easing bias built into his outlook. Furthermore, the possibility of a “financial accident” stemming from the European debt crisis has risen and a logical response by the BoC would be to cut rates if a full-blown credit crisis is experienced.

The BoC sees the European sovereign debt crisis as an overhang on Canadian growth prospects through “financial, confidence and trade channels.” The European fiscal situation has deteriorated more quickly and more deeply than the BoC had expected and believes additional measures will be required. The likelihood of a European recession is now much higher.

The fund’s term-to-maturity is positioned in a neutral range as there are no immediate prospects for interest rate increases. At times, the fund held Canada T-Bills as well as provincial paper in order to provide some incremental yield in the current low interest rate environment.

The three-month Canadian T-Bill rate declined modestly

As at December 31, 2011

RENAISSANCE INVESTMENTS 49

MONEY MARKET FUNDS

Renaissance Canadian T-Bill Fund (Class A)

MONEY MARKET FUNDS

Renaissance U.S. Money Market Fund (Class A) Benchmark A Merrill Lynch 91-Day Treasury Bill Index

Fund Category US Money Market

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To obtain a high level of interest income denominated in U.S. dollars, while maintaining a high level of security of capital and liquidity.

Growth of $10,000 15 Fund

14 13 12

Volatility Analysis

11 10 9 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

8.1% 02-28-1989 to 02-28-1990

0.1% 05-31-2003 to 05-31-2004

Fund Details

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A

Back End Charge Front End Charge Low Load Charge

USD USD USD

ATL363 ATL974 ATL762

Fund Category Benchmark A

Telephone Web Site

March 30, 1987 0.16% 0.08% 01-17-2012 Monthly $500

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

57.6

75.4

36.6

34.6

24.6

20.3

27.8

21.9

20.1

30.7

38.4

0.83 0.18 0.78 0.20 0.73 -17.26

0.32 0.43 -6.05

2.29 2.38 0.48

4.09 4.21 4.43

4.48 4.59 -9.74

2.08 0.22 2.38 0.50 25.99 -14.90

0.13 0.10 -5.10

0.09 0.09 2.58

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.01 0.01 0.15

0.02 0.02 -2.28

0.03 0.04 5.53

0.09 0.09 2.58

0.11 0.09 -1.33

0.15 0.23 -6.08

1.39 1.52 -1.19

1.46 1.55 -2.53

Calendar Year Returns %

Class

Inception Date MER Current Yield Current Yield Date Distribution Frequency Minimum Investment

Distributions as of 12-2011 Distribution $

3.34 3.26 10.97

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

0.0011 0.0011 0.0013 0.0011 0.0009 0.0006 0.0005 0.0005 0.0004 0.0006 0.0006 0.0006

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity 0.0 U.S. Equity 0.0 International Equity 0.0 Fixed Income 0.0 Fixed Inc <1yr to mat 0.0 Cash 100.0 Other 0.0

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Cash Breakdown

% Cash

Corporate Cash Liquid Bonds Treasury Bills General Cash

0.0 0.0 0.0 100.0

Top Ten Holdings

Cash & Cash Equivalents

% Assets

100.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

Notes MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2 2 0 0

Investment Management Overview Manager Bios

Investment Management Approach

Stephanie Lessard | 10-01-2004 CIBC Global Asset Management Inc

Since

Renaissance Canadian T Bill CIBC Money Market Premium Class CIBC US Money Market Premium Class U$ CIBC Canadian T-Bill Class A CIBC Money Market CIBC Canadian T-Bill Premium Class CIBC US Money Market U$ Renaissance Money Market Premium Class Renaissance Money Market

10-04 12-07 12-07 12-07 12-07 12-07 12-07 04-08 04-08

Steven Dubrovsky | 12-11-2007 CIBC Global Asset Management Inc

Since

04-94 04-94 04-94 04-94 04-94 04-94 08-06 08-06 12-07 12-07

The Fund benefits from the investment expertise of CIBC Global Asset Management’s Steven Dubrovsky and Stephanie Lessard, along with the Global Fixed Income team. The team follows a fundamental analysis approach to deliver a high level of interest income while maintaining security of capital and liquidity, by investing primarily in high-quality debt issued in U.S. dollar denominated currency.

team constructs and maintains the security buy list, which plays a key role in the security selection process. The manager next determines the optimal term structure. The entire Fund is continually subjected to management controls, and the team monitor and review the portfolio characteristics on a daily basis. The result is a well-diversified Fund of high quality debt

The team’s money market strategy follows a comprehensive investment process. The first two steps determine portfolio duration and sector allocation. The

securities issued in U.S. dollar denominated currency. This fund is an excellent conservative short-term investment for U.S. currency.

Manager Commentary At its last meeting of 2011, the U.S. Federal Reserve (Fed) maintained its record low level of short-term interest rates and the policy of keeping the federal funds rate at current levels until at least mid-2013. The Fed has become more positive about the U.S. economy since its last announcement owing to a decrease in the unemployment rate and several positive economic indicators. The Fed noted that “significant downside risk” remains as a result of the sovereign debt crisis and de-leveraging in Europe and slowing growth in developed economies. “Operation Twist”, whereby the Fed is extending the maturity of its bond purchases, continues. The 3-month U.S. T-Bill rate hovered around zero with little volatility. The 6-month U.S. T-Bill yield declined to a low of one basis point.

The average term-to-maturity of the fund has declined slightly given little yield pick-up for extending into longer maturities. The manager has been actively reducing exposure to corporate credit in an effort to make the portfolio more conservative. The commercial paper, Canadian bank-sponsored asset-backed commercial paper and Bankers’ Acceptance market in U.S. dollars is functioning well with no reduction in liquidity. However, the manager feels it is prudent to reduce the fund’s exposure until more evidence is seen that the eurozone is making headway in solving its current crisis. If yields on corporate paper rise to better reflect the ongoing stress on the global financial system, the manager may increase the fund’s exposure. As at December 31, 2011

RENAISSANCE INVESTMENTS 51

MONEY MARKET FUNDS

Renaissance U.S. Money Market Fund (Class A)

FIXED INCOME FUNDS

Renaissance Short-Term Income Fund (Class A) Fund Category Canadian Short Term Fixed Income

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 15 14 13 12 11 10 9 Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A DEX Short Term Bond Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

17.8% 04-30-1990 to 04-30-1991

-3.8% 01-31-1994 to 01-31-1995

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

72.9

92.7

132.4

123.2

105.4

75.0

35.2

32.5

65.5

59.1

83.5

7.5 7.4 9.4

4.6 3.7 6.3

3.0 3.4 5.1

2.9 3.3 5.1

1.0 1.5 2.4

2.5 3.0 4.0

2.3 2.6 4.1

6.9 6.2 8.6

1.9 3.7 4.5

1.9 2.5 3.6

3.6 3.4 4.7

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.5 0.4 0.5

0.3 0.4 0.5

2.2 2.1 2.8

3.6 3.4 4.7

2.7 2.9 4.1

2.4 3.2 4.3

3.3 3.7 5.1

3.0 3.3 4.8

Fund Details Class

Load Structure

Currency

Fund Code

Distributions as of 12-2011

A A A F Prem

Back End Charge Front End Charge Low Load Charge No Sales or Redem Front End Charge

CAD CAD CAD CAD CAD

ATL1121 ATL1021 ATL2121 ATL1630 ATL1206

Distribution $

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

Jan

Feb

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca Top Ten Holdings

Notes Class F MER: 0.91% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Portfolio Analysis as of 12-31-2011

October 1, 1974 1.42% Monthly $500

Investment Style

Mar

0.0400 0.0252 0.0297 0.0271 0.0310 0.0266 0.0270 0.0301 0.0267 0.0210 0.0196 0.0107

Canada Hsg Tr No 1 2.75% 15-09-2014 Canada Hsg Tr No 1 3.15% 15-06-2015 Canada Govt 3.25% 01-06-2021 TELUS Corporation 4.95% 15-05-2014 Husky Engy 3.75% 12-03-2015

0.0 0.0 0.0 89.0 5.4 5.1 0.5

% Assets

12.0 6.8 3.6 2.9 2.8

Thomson Reuters 5.2% 01-12-2014 NHA Mtge Backed Secs 4.5% 01-11-2014 Canada Hsg Tr No 1 2.7% 15-12-2013 Bell Canada MTN Cds- 4.85% 30-06-2014 Canada Hsg Tr No 1 2.75% 15-06-2016

2.8 2.6 2.6 2.5 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

86 86 0 78

Credit Quality

High Medium Low NR/NA

60.2 25.8 0.0 14.0

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

36.9 50.2 0.0 1.8 10.6 0.6

Investment Management Overview Manager Bios

Investment Management Approach

Jeffrey Waldman | 10-01-1999 CIBC Global Asset Management Inc

Since

CIBC Short-Term Income CIBC Short-Term Income Premium Renaissance Corp Bd Capital Yld Prem Cls Renaissance Corp Bond Capital Yield

12-07 12-07 11-09 11-09

Steven Dubrovsky | 12-11-2007 CIBC Global Asset Management Inc

Since

04-94 04-94 04-94 04-94 04-94 04-94 08-06 08-06 12-07 12-07

RENAISSANCE INVESTMENTS 53

FIXED INCOME FUNDS

Renaissance Short-Term Income Fund (Class A)

FIXED INCOME FUNDS

Renaissance Canadian Bond Fund (Class A) Fund Category Canadian Fixed Income

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 20 Fund

18 16 14 12 10

Volatility Analysis

Low

Benchmark A DEX Universe Bond Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

103.7

98.1

95.1

81.8

77.2

65.5

97.8

98.1

125.6

201.8

294.1

6.3 6.2 8.1

6.3 7.0 8.7

4.8 6.2 6.7

4.7 6.0 7.1

3.9 5.4 6.5

2.9 2.6 4.1

1.7 1.9 3.7

1.2 2.7 6.4

8.0 7.5 5.4

6.6 6.0 6.7

8.0 7.5 9.7

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

21.0% 07-31-1991 to 07-31-1992

-8.0% 01-31-1994 to 01-31-1995

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F Prem

Back End Charge Front End Charge Low Load Charge No Sales or Redem Front End Charge

CAD CAD CAD CAD CAD

ATL1122 ATL1022 ATL2122 ATL1631 ATL1204

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

January 1, 1973 1.52% Monthly $500

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

1.6 1.5 1.7

1.8 1.8 2.1

6.0 5.6 7.3

8.0 7.5 9.7

7.3 6.8 8.2

7.5 7.0 7.3

5.1 5.1 6.4

4.8 5.3 6.5

Jan

Feb

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

Investment Style Top Ten Holdings

Class F MER: 0.71% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

Portfolio Analysis as of 12-31-2011

888 888 FUND www.renaissanceinvestments.ca

Notes

Mar

0.0408 0.0264 0.0312 0.0279 0.0318 0.0301 0.0280 0.0320 0.0292 0.0255 0.0288 0.0152

0.0 0.0 0.0 94.2 0.0 5.8 0.0

% Assets

Canada Hsg Tr No 1 2.75% 15-06-2016 Canada Govt 2.75% 01-06-2022 Canada Hsg Tr No 1 1.85% 15-12-2016 Canada Hsg Tr No 1 1.85% 15-12-2016 Canada Govt 4% 01-06-2041

8.4 8.0 5.8 5.7 4.3

Canada Hsg Tr No 1 FRN 15-09-2014 Municipal Fin Authority 4.45% 01-06-2020 Canada Govt 5% 01-06-2037 BC (Prov Of) 4.7% 18-06-2037 New Brunswick F-M Proj 6.47% 30-11-2027

2.6 2.4 2.4 1.9 1.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

152 152 0 150

Credit Quality

High Medium Low NR/NA

59.3 23.8 7.6 9.3

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

47.0 46.4 0.0 0.9 5.8 0.0

Investment Management Overview Manager Bios

Investment Management Approach

John Braive | 08-01-2005 CIBC Global Asset Management Inc

Since

CIBC Canadian Bond CIBC Canadian Bond Premium Class CIBC Short-Term Income Premium CIBC Short-Term Income Renaissance Real Return Bond

04-94 04-94 12-99 12-99 04-08

Patrick O'Toole | 12-11-2007 CIBC Global Asset Management Inc

Since

Renaissance Real Return Bond CIBC Canadian Bond Premium Class CIBC Canadian Bond Renaissance Corp Bd Capital Yld Prem Cls Renaissance Corp Bond Capital Yield

05-04 12-07 12-07 11-09 11-09

RENAISSANCE INVESTMENTS 55

FIXED INCOME FUNDS

Renaissance Canadian Bond Fund (Class A)

FIXED INCOME FUNDS

Renaissance Real Return Bond Fund (Class A) Fund Category Canadian Inflation Protected Fixed Income

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To generate a regular level of interest income that is hedged against inflation by investing primarily in government, government-guaranteed and corporate inflation-linked bonds from issuers located around the world.

Growth of $10,000 20 Fund

18 16 14 12 10

Volatility Analysis

Low

Benchmark A DEX Real Return Bond Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

4.7

21.5

60.1

87.9

58.5

60.8

122.0

182.2

218.4

Fund Category Benchmark A

— -1.1 0.6

— 12.9 15.2

— 10.3 13.3

10.2 14.0 17.5

11.1 11.0 15.2

-3.3 -3.5 -2.9

-0.1 0.7 1.6

-0.1 -1.1 0.4

10.3 13.0 14.5

7.9 8.4 11.2

13.9 14.9 18.3

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

2.2 3.0 3.5

4.9 6.3 7.7

9.8 10.9 13.1

13.9 14.9 18.3

10.9 11.6 14.7

10.7 12.0 14.7

6.3 7.0 9.0

6.1 — —

Total Assets ($mil) Calendar Year Returns %

Best 1 Year Return

Worst 1 Year Return

16.8% 11-30-2008 to 11-30-2009

-5.0% 08-31-2006 to 08-31-2007

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL291 ATL251 ATL267 ATL010

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

June 2, 2003 1.67% Quarterly $500

Jan —

—

% Assets

Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

Apr

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

Investment Style

Notes

Mar

— 0.0279

May

Jun

Jul

Aug

Sep

Oct

— 0.2104

—

Nov

Dec

— 0.1195

Portfolio Analysis as of 12-31-2011 Composition

888 888 FUND www.renaissanceinvestments.ca

Class F MER: 0.89%

Feb

0.0 0.0 0.0 88.4 0.0 11.3 0.3

% Assets

Canada Govt 4.25% 01-12-2021 Canada Govt 4.25% 01-12-2026 Canada Govt 3% 01-12-2036 Canada Govt 2% 01-12-2041 US Treasury Bond 2.5% 15-01-2029

26.5 13.1 10.3 9.1 8.7

Quebec Prov Cda 3.3% 01-12-2013 Canada Govt 1.5% 01-12-2044 US Treasury Bond 15-02-2041 Canada Govt 3.75% 01-06-2019 US Treasury Note 1.25% 15-07-2020

4.1 3.1 3.0 2.9 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

17 17 0 15

Credit Quality

High Medium Low NR/NA

86.6 1.7 0.0 11.7

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

86.6 2.1 0.0 0.0 11.3 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Patrick O'Toole | 05-01-2004 CIBC Global Asset Management Inc

Since

CIBC Canadian Bond Renaissance Canadian Bond CIBC Canadian Bond Premium Class Renaissance Canadian Bond Premium Class Renaissance Corp Bd Capital Yld Prem Cls Renaissance Corp Bond Capital Yield

12-07 12-07 12-07 12-07 11-09 11-09

John Braive | 04-09-2008

The Fund benefits from the expertise of John Braive and Patrick Oâ&#x20AC;&#x2122;Toole, along with the Real Return Bond Committee from CIBC Global Asset Management Inc., who follow a bottom-up approach to offer some protection for investors against the reduction in purchasing power caused by inflation. The team follows a bottom-up approach based on fundamental and quantitative analysis. The team begins with a fundamental valuation of the level of expected interest rates by focusing on the outlook for inflation, economic growth and fiscal and monetary policy. In addition, the team monitors technical indicators to determine the relative value of the market versus the expected outlook. To add further value to the expected performance of the real return bonds, the team analyzes the relative attractiveness of both the foreign inflation-

linked bond markets (particularly the U.S. market), and the provincial bond market versus the Government of Canada bond market. The Fundâ&#x20AC;&#x2122;s foreign currencies exposure, if any, is typically hedged to manage currency risk. As part of the portfolio management process, the team meets on a regular basis to re-assess the market outlook and to uncover strategies to help maximize performance. The result is a well-diversified portfolio of primarily real return bonds, which seeks to provide a regular level of interest income that offers some protection against inflation. This Fund is an excellent conservative income solution. The lower correlation of this asset class with other types of fixed income makes it an excellent diversifier while also offering protection of purchasing power against inflation.

CIBC Global Asset Management Inc

Since

CIBC Canadian Bond CIBC Canadian Bond Premium Class CIBC Short-Term Income CIBC Short-Term Income Premium Renaissance Canadian Bond Renaissance Canadian Bond Premium Class

04-94 04-94 12-99 12-99 08-05 08-05

Manager Commentary Yields on real return bonds (RRBs) made record lows during the final quarter of 2011, taking their cue from the direction of nominal bond yields. The quarter was dominated by headline risk related to sovereign debt concerns in Europe. Eurozone leaders were forced to respond to pressure from investors who began to shun the bonds of several member countries, driving their bond yields to levels considered unsustainable. North American bonds benefited from the fallout as investors sought safer havens for their capital. Although inflation is expected to move lower in the coming year, RRBs outperformed their nominal bond counterparts, as inflation remained elevated in Canada. The breakeven inflation rate, represented by the difference between nominal yields and real yields, increased marginally. Canadian RRBs outperformed U.S. Treasury Inflation Protected Securities (TIPS) during the period.

Although the economy was on sounder footing in the quarter, the Bank of Canada held its administered rate at one percent, citing increased uncertainty about the global economic outlook as justification for maintaining considerable monetary stimulus. The manager expects that inflation will move lower in coming quarters, reducing the appetite for inflationlinked bonds. However, nominal bond yields are expected to remain stable, allowing for similar behaviour from RRB yields. At quarter-end, the fund was overweight cash and nominal bonds, and underweight U.S. TIPS. The duration of the fund was maintained shorter than that of the benchmark. As at December 31, 2011

RENAISSANCE INVESTMENTS 57

FIXED INCOME FUNDS

Renaissance Real Return Bond Fund (Class A)

FIXED INCOME FUNDS

Renaissance Corporate Bond Capital Yield Fund (Class A) Fund Category Canadian Fixed Income

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

Seeks to generate tax-efficient returns, primarily through exposure to a corporate bond fund that will invest primarily in bonds, debentures, notes, and other debt instruments of Canadian issuers (the Reference Securities ). The Fund may, however, also invest directly in the Reference Securities where the Fund considers it would be beneficial to unitholders to do so.

Growth of $10,000 15 14 13 12 11 10 9 Performance Quartile (within category over calendar year)

Volatility Analysis

Medium

Low

Fund

Benchmark A DEX Corporate Bond Index

High

Total Assets ($mil) Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

6.1% 12-31-2009 to 12-31-2010

3.0% 10-31-2010 to 10-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

A A A Prem F

Back End Charge Front End Charge Low Load Charge Front End Charge No Sales or Redem

CAD CAD CAD CAD CAD

ATL1102 ATL1002 ATL2102 ATL1202 ATL016

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

2 2001

2002

2003

2004

2005

2006

2007

2008

2009

—

68.9

— 6.2 9.3

— 7.0 8.6

— 6.2 8.5

— 6.0 7.3

— 5.4 6.0

— 2.6 4.4

— 1.9 1.8

— 2.7 0.2

— 7.5 16.3

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

6.1 6.0 7.3

5.4 7.5 8.2

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.2 1.5 1.4

1.5 1.8 1.6

3.3 5.6 5.4

5.4 7.5 8.2

5.7 6.8 7.8

— 7.0 10.5

— 5.1 6.6

4.9 — —

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.1734

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

0.0 0.0 0.0 93.9 2.1 3.6 0.4

Investment Style Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2011

Portfolio Analysis as of 12-31-2011

November 18, 2009 1.65% Monthly $500

Notes

2010

930.9 1465.9

Calendar Year Returns %

Composition

Class F MER: 0.77%

% Assets

Manulife Fin 7.405% 31-12-2108 Sun Life Finl FRN 01-06-2036 Sun Life Cap Tr Ii 5.863% 31-12-2108 Rogers Comms 4.7% 29-09-2020 Scotiabank Cap Tr 6.282% 30-06-2013

2.1 2.0 1.7 1.7 1.4

Loblaw Cos 7.1% 01-06-2016 Teranet Hldgs 4.807% 16-12-2020 BMO Cap Tr FRN 31-12-2014 NBC Asset Tr Ser '2', Vari Rate, Callab RBC Cap Tr Ii 5.812% 31-12-2053

1.4 1.3 1.3 1.3 1.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

201 201 0 194

Credit Quality

High Medium Low NR/NA

15.5 59.0 17.1 8.5

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

2.0 87.8 0.0 4.4 5.7 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Jeffrey Waldman | 11-20-2009 CIBC Global Asset Management Inc

Since

Renaissance Short-Term Income Renaissance Short-Term Income Prm Cl CIBC Short-Term Income Premium CIBC Short-Term Income

10-99 10-99 12-07 12-07

Patrick O'Toole | 11-20-2009 CIBC Global Asset Management Inc

Since

Renaissance Real Return Bond CIBC Canadian Bond Premium Class Renaissance Canadian Bond Premium Class CIBC Canadian Bond Renaissance Canadian Bond

05-04 12-07 12-07 12-07 12-07

The Renaissance Corporate Bond Capital Yield Fund provides exposure to a corporate bond fund, known as the Reference Fund. This Fund benefits from the research-driven approach of its highly experienced and stable portfolio management team. CIBC Global Asset Management’s Fixed Income Team starts with a focused universe of corporate bonds that have passed rigorous, internal credit analysis. The team then selects only the attractively priced, higher-yielding bonds which fit within their favourable-industry outlook. The fixed income team’s philosophy is to investigate before investing. In that light, a dedicated credit analysis team conducts rigorous research to identify suitable issuers for the buy list and the Credit Committee provides oversight to the proprietary risk measurement. The fixed income team combines four steps to delivering a high quality corporate bond portfolio: 1. Industry Analysis: An outlook is developed for the Canadian economy, global trends and industry sectors by exchanging macroeconomic perspectives with CGAM’s Asset Allocation and Quantitative team. The result is the identification of sectors that offer relative improvement for credit situations and the avoidance of sectors whose performance may deteriorate. 2. Company Analysis: The credit team actively manages a list of approved issuers by evaluating the

financial risk of each company and developing a deep understanding of each business and its competitive standing through in-depth analysis and face-to-face management meetings. Security Selection: From the credit team’s 3. approved issuer list, the fixed income team identifies value opportunities by analyzing factors including the option-adjusted spreads, comparable securities, similarly rated entities and historical valuations. Portfolio Construction: The team ensures sector, 4. issuer and credit quality diversification is applied, and measures holistic portfolio risk through a proprietary sector spread analysis. For further risk management, the Fund is continually subjected to management controls, monitoring and reviewing of the portfolio characteristics on a daily basis. The result is a diversified, high quality portfolio of corporate bonds that provide tax-efficient high yields while mitigating risk. The tax-efficient structure, which delivers distributions in the form of capital gains, the reliable distribution and the conservative approach to corporate bonds, makes this Fund an excellent diversifier to a fixed income or equity portfolio outside of a registered plan.

spreads to increase the weighting in the high yield sector back to a level that was neutral to the benchmark. The duration of the fund was shorter than that of the benchmark during the quarter in response to heightened global uncertainty. The manager chose to remain underweight federal bonds to take advantage of the better prospective returns from corporate bonds over the longer term.

The manager continues to believe that corporate bond spreads are attractive in the medium and longer term and will remain fully invested in corporate bonds, despite the opportunity for the fund to invest up to 20 percent in government bonds. The manager believes government bonds will be more susceptible to rising interest rates as the economy recovers.

The manager took advantage of the widening in credit

As at December 31, 2011

RENAISSANCE INVESTMENTS 59

FIXED INCOME FUNDS

Renaissance Corporate Bond Capital Yield Fund (Class A)

FIXED INCOME FUNDS

Renaissance Corporate Bond Capital Yield Fund - Premium Class Fund Category Canadian Fixed Income

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 15 14 13 12 11 10 9 Performance Quartile (within category over calendar year)

Volatility Analysis

Medium

Low

Fund

Benchmark A DEX Corporate Bond Index

High

Total Assets ($mil) Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

6.8% 05-31-2010 to 05-31-2011

3.8% 10-31-2010 to 10-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

Prem A A A F

Front End Charge Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD CAD

ATL1202 ATL1102 ATL1002 ATL2102 ATL016

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

1 2001

2002

2003

2004

2005

2006

2007

2008

2009

—

68.9

— 6.2 9.3

— 7.0 8.6

— 6.2 8.5

— 6.0 7.3

— 5.4 6.0

— 2.6 4.4

— 1.9 1.8

— 2.7 0.2

— 7.5 16.3

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

2011

6.7 6.0 7.3

6.2 7.5 8.2

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.2 1.5 1.4

1.7 1.8 1.6

3.7 5.6 5.4

6.2 7.5 8.2

6.5 6.8 7.8

— 7.0 10.5

— 5.1 6.6

5.6 — —

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.0250 0.2951

Portfolio Analysis as of 12-31-2011

November 18, 2009 0.91% Monthly $100,000

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

0.0 0.0 0.0 93.9 2.1 3.6 0.4

Investment Style Top Ten Holdings

Notes

2010

930.9 1465.9

Calendar Year Returns %

Composition

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Manulife Fin 7.405% 31-12-2108 Sun Life Finl FRN 01-06-2036 Sun Life Cap Tr Ii 5.863% 31-12-2108 Rogers Comms 4.7% 29-09-2020 Scotiabank Cap Tr 6.282% 30-06-2013

2.1 2.0 1.7 1.7 1.4

Loblaw Cos 7.1% 01-06-2016 Teranet Hldgs 4.807% 16-12-2020 BMO Cap Tr FRN 31-12-2014 NBC Asset Tr Ser '2', Vari Rate, Callab RBC Cap Tr Ii 5.812% 31-12-2053

1.4 1.3 1.3 1.3 1.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

201 201 0 194

Credit Quality

High Medium Low NR/NA

15.5 59.0 17.1 8.5

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

2.0 87.8 0.0 4.4 5.7 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Jeffrey Waldman | 11-20-2009 CIBC Global Asset Management Inc

Since

Renaissance Short-Term Income Renaissance Short-Term Income Prm Cl CIBC Short-Term Income Premium CIBC Short-Term Income

10-99 10-99 12-07 12-07

Patrick O'Toole | 11-20-2009 CIBC Global Asset Management Inc

Since

Renaissance Real Return Bond CIBC Canadian Bond Premium Class Renaissance Canadian Bond Premium Class CIBC Canadian Bond Renaissance Canadian Bond

05-04 12-07 12-07 12-07 12-07

The manager took advantage of the widening in credit

As at December 31, 2011

RENAISSANCE INVESTMENTS 61

FIXED INCOME FUNDS

Renaissance Corporate Bond Capital Yield Fund - Premium Class

FIXED INCOME FUNDS

Renaissance High-Yield Bond Fund (Class A) Fund Category High Yield Fixed Income

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To generate a high level of current income, primarily through investment in high-yield corporate bonds from issuers around the world and, where consistent with this objective, the Fund will also seek capital appreciation.

Growth of $10,000 20 Fund

Benchmark A DEX High Yield Index

18 16 14 12

Volatility Analysis

10 8

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

36.8% 01-31-2009 to 01-31-2010

-22.8% 01-31-2008 to 01-31-2009

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL823 ATL908 ATL667 ATL015

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

September 23, 1994 1.98% Monthly $500

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

113.7

121.3

124.7

108.5

115.0

199.9

150.0

309.9

397.5

428.9

2.2 4.9 7.3

3.7 3.3 12.8

18.3 13.1 14.8

10.6 7.6 9.6

-2.4 1.0 3.0

9.4 7.7 9.4

2.3 -1.3 5.1

-22.6 -21.3 4.2

31.9 33.3 11.4

9.5 10.6 15.1

1.5 3.0 -2.3

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

2.0 1.7 0.1

3.2 3.7 2.5

-1.0 -0.3 -6.0

1.5 3.0 -2.3

5.4 6.7 6.0

13.6 14.9 7.8

3.0 3.3 6.5

5.3 4.9 8.2

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

Nov

Dec

0.0558 0.0348 0.0478 0.0314 0.0496 0.0399 0.0333 0.0512 0.0518 0.0383 0.0555 0.0257

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

The MER quoted in the Fund Details section is for Class A units. Both MERs are as at August 31, 2011. These will be reviewed annually by the Manager.

133.5

Composition

Investment Style

Notes

Portfolio Analysis as of 12-31-2011

888 888 FUND www.renaissanceinvestments.ca

Class F MER: 1.11%

0.0 0.0 0.0 96.7 0.0 3.3 0.0

% Assets

Seven Seas Cruises 144A 9.125% 15-05-2019 Axcan Inter Hldgs 12.75% 01-03-2016 Mercer Intl 9.5% 01-12-2017 Roadhouse Financing 10.75% 15-10-2017 Cara Operations 9.125% 01-12-2015

2.8 2.5 2.4 2.4 2.3

Xinergy 144A 9.25% 15-05-2019 Bombardier 7.35% 22-12-2026 NA Engy Partners 9.125% 07-04-2017 CHC Helicopter 144A 9.25% 15-10-2020 Prospect Medical Hldgs 12.75% 15-07-2014

2.2 2.1 2.0 2.0 2.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

127 127 0 124

Credit Quality

High Medium Low NR/NA

0.0 2.9 87.3 9.8

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

0.0 96.7 0.0 0.0 3.3 0.0

Investment Management Overview Manager Bios Mark Kanar | 01-01-2003 CIBC Global Asset Management Inc

Mark Kanar joined CIBC Global Asset Management in 2002 and is leader of the High Yield Bond Team within the Global Fixed Income Group.

Investment Management Approach The Fund benefits from the expertise of Mark Kanar and Bryce Eng along with the High Yield Bond team from CIBC Global Asset Management, who focus their bottomup value investment style primarily towards Canadian, but also foreign, corporate bond issuers that have higher yield opportunities.

Bryce Eng | 12-13-2007 CIBC Global Asset Management Inc

Bryce Eng joined CIBC Global Asset Management in March 1997. Mr Eng is a member of the Global Fixed Income team, operating from within the firm's Investment Management Platform. Mr Eng has a Bachelor of Commerce from the University of Toronto (Toronto) and is also a CFA charterholder.

The High Yield Bond team’s approach follows a bottomup value philosophy, seeking to add value through all market cycles. Philosophically, the team embraces the high yield market’s inherent volatility due to the opportunity the volatility creates for their fundamental value style. The team makes an intensive fundamental evaluation of each company to assess its financial health and risk of default. Through this process, they identify the most attractive individual bonds with strong prospects for consistent income and growth, which can be purchased at a discount to their intrinsic value. The team’s fundamental value process is a combination of industry and bottom-up credit analysis to identify

securities that are undervalued, and those that should be sold to reinvest in better opportunities. The process includes an in-depth understanding of each company and its environment by analyzing 1) competitive threats; 2) terms and conditions of each bond; 3) pricing alternatives from companies within the same sector and from different industries with comparable credit ratings. With a thorough understanding of each bond, the manager moves opportunistically between bonds to capture the best scenario for delivering yield. Risk is managed through analysis of each security’s leverage, liquidity and interest coverage, and the Fund may hedge foreign exposure back to the Canadian dollar. The result is a well-diversified portfolio of higheryielding securities to deliver a higher level of current income with some potential for capital appreciation. This Fund is an excellent addition to a diversified portfolio seeking a higher level of income from its bond allocation.

Manager Commentary High yield bonds rebounded strongly in October after the large sell off in the third quarter. November ended in negative territory after a very volatile month, as fears of further European sovereign debt contagion spread to Italy, resulting in higher borrowing costs. High yield risk premiums continue to remain above the longer-term average and remain attractive as forecasts for 2012 defaults remain low at between two and three percent. Dealer outlooks for high yield returns in 2012 remain positive in a wide range from five to 11 percent, which implies continued volatility.

New issuance was largely closed down in October and re-opened with a flurry in November. New issuance for 2012 is expected to be robust in the range of $200 to$250 billion. During the quarter, the manager added a new holding in a container/plastic packaging manufacturer, Berry Plastics. As at December 31, 2011

RENAISSANCE INVESTMENTS 63

FIXED INCOME FUNDS

Renaissance High-Yield Bond Fund (Class A)

FIXED INCOME FUNDS

Renaissance Global Bond Fund (Class A) Fund Category Global Fixed Income

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To preserve capital and to provide income and long-term growth primarily through investment in debt securities denominated in foreign currencies issued by Canadian or non-Canadian governments, corporations, and financial institutions.

Growth of $10,000 15 Fund

14 13 12 11 10

Volatility Analysis

Low

Benchmark A Citigroup World Government Bond Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

72.7

88.9

76.2

79.1

30.6

19.0

14.4

11.7

20.8

46.3

76.8

7.1 4.5 5.2

18.5 13.9 18.3

-2.7 -2.4 -6.0

-2.1 1.6 2.3

-10.7 -6.5 -9.2

3.2 3.0 5.7

-7.6 -3.2 -5.9

9.9 17.3 38.7

0.5 -3.0 -12.9

4.6 2.7 -0.3

8.7 4.2 9.0

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

18.5% 12-31-2001 to 12-31-2002

-16.1% 04-30-2005 to 04-30-2006

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1872 ATL1028 ATL2872 ATL1646

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

October 21, 1992 2.02% Quarterly $500

Fund Category Benchmark A Distributions as of 12-2011 Distribution $

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.1 0.7 1.0

-2.3 -0.8 -2.4

7.8 3.3 7.9

8.7 4.2 9.0

6.6 3.4 4.2

4.5 1.3 -1.8

3.0 3.3 4.3

1.9 2.5 3.0

Jan —

Feb

Mar

Apr

— 0.0283

—

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

Investment Style

Top Ten Holdings

US Treasury Bond 4.25% 15-11-2040 United Kingdom (Govt Of) 4.5% 07-03-2013 United Mexican States 8.5% 31-05-2029 New Sth Wales Tsy 6% 01-04-2016 Poland(Rep Of) 5.75% 23-09-2022 Notes

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

Jun

Jul

— 0.0244

—

Aug

Sep

Oct

— 0.0265

—

Nov

Dec

— 0.0165

Portfolio Analysis as of 12-31-2011

888 888 FUND www.renaissanceinvestments.ca

Class F MER: 1.22%

May

0.0 0.0 0.0 77.9 0.0 22.1 0.0

% Assets

11.2 7.7 5.7 4.5 4.1

Norway(Kingdom Of) 6.5% 15-05-2013 Korea(Republic Of) 5.75% 10-09-2018 Sth Africa(Rep Of) 6.75% 31-03-2021 US Treasury Bond 3.875% 15-08-2040 New Sth Wales Tsy 6% 01-04-2019

3.2 2.6 2.4 2.0 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

64 64 0 60

Credit Quality

High Medium Low NR/NA

41.6 34.3 4.3 19.8

Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

% Fixed Income

61.7 15.6 0.0 0.6 22.1 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios Stephen S. Smith | 11-01-2006 Brandywine Global Investment Mgmt, LLC

Stephen Smith is Managing Director and co-lead Portfolio Manager for Brandywine’s Fixed Income and Balanced portfolios and contributes his extensive knowledge of global markets and currencies to support the research efforts for the International/Global Value Equity strategies. Prior to joining Brandywine in 1991, he was Managing Director of Taxable Fixed Income (1988-1991) at Mitchell Hutchins Asset Management, Inc.; Senior Vice President of Taxable Fixed Income (1984-1988) at Provident Capital Management, Inc. He holds a B.S. in Economics and Business Administration from Xavier University.

Investment Management Approach The Fund benefits from the global fixed income expertise of Brandywine Global Investment Management, who manage the Fund with a top-down, value approach with a focus on real yield, to preserve capital, generate principal growth and earn interest income. Since their founding in 1986, Brandywine Global has pursued a value approach to investing, with a belief that regardless of asset class or region, value investing can provide excellent returns over the long term. By applying a top-down, value-driven process, Brandywine Global invests in bonds offering the highest real (inflationadjusted) yields, while considering currency valuation, inflation, monetary trends, political risks, the business cycle and liquidity measures. Efficient duration

management and country rotation (driven primarily by currency considerations) add incremental value. Investments are typically concentrated in 8-16 countries deemed to have the best total return potential. Subsequently, risk is managed by investing in undervalued securities with the potential for higher returns. The result is a globally diversified portfolio of bonds including sovereign debt and currencies of countries from around the world. This Fund makes an excellent core global bond portfolio and can serve as a diversifying complement to an equity portfolio and/or a Canadian bond portfolio in order to manage risk.

David F. Hoffman | 11-01-2006 Brandywine Global Investment Mgmt, LLC

David Hoffman is a Managing Director and co-lead Portfolio Manager for Brandywine's Global Fixed Income and related strategies. He has been employed at Brandywine Global since 1995. Prior to joining the firm, David was President of Hoffman Capital, a global financial futures investment firm (1991-1995); Head of Fixed Income Investments at Columbus Circle Investors (1983-1990) and Senior Vice President and Portfolio Manager at INA Capital Management (1979-1982). David is a CFA charterholder and earned a B.A. in Art History from Williams College.

Manager Commentary While developed-market government bonds generally delivered negative returns in October, Poland and Mexico were among the few sovereigns that produced positive absolute returns. In November, performance varied markedly across the developed-market universe with all euro-denominated sovereign markets producing negative absolute returns, but all other markets producing positive absolute returns. Australian debt produced the best performance of any sovereign market in November. Commodity-linked currencies were the best performers in October, while the yen was down dramatically after Japanese authorities intervened in the foreign exchange market, although it partially recovered in November. The

euro spent most of the quarter in declining trend. Most emerging-market currencies weakened in November due to the systemic risks posed by a deteriorating outlook for Europe. Over the quarter, among others, the manager increased the fund’s exposure to South African bonds, and to the Chilean peso. U.S. investment-grade corporate bond spreads widened in November and these securities generally detracted from performance. Prices in non-agency MBS were stable. Overall, this sector did not meaningfully contribute or detract from the fund’s performance. As at December 31, 2011

RENAISSANCE INVESTMENTS 65

FIXED INCOME FUNDS

Renaissance Global Bond Fund (Class A)

BALANCED FUNDS

Renaissance Canadian Balanced Fund (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To achieve long-term investment return through a combination of income and capital growth by investing primarily in a diversified portfolio of Canadian equity securities, investment grade bonds, and money market instruments.

Growth of $10,000 20 Fund

18 16 14 12 10

Volatility Analysis

Low

Benchmark A Blended Benchmark

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

114.1

180.3

225.9

316.0

420.5

534.5

486.0

341.7

345.8

667.1

528.4

Fund Category Benchmark A

7.0 0.5 -6.1

1.4 -4.3 -8.0

13.0 13.3 17.1

8.1 10.1 10.8

13.0 12.3 15.3

7.6 10.4 13.9

-0.7 0.3 4.6

-15.8 -22.3 -20.7

14.2 25.2 21.1

10.4 9.1 12.3

-4.8 -1.9 -2.1

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-0.1 0.4 -0.3

3.7 3.1 3.5

-6.2 -3.3 -3.3

-4.8 -1.9 -2.1

2.5 3.4 4.8

6.3 10.2 10.0

0.0 0.9 2.0

4.2 4.4 5.6

Total Assets ($mil) Calendar Year Returns %

Best 1 Year Return

Worst 1 Year Return

21.5% 03-31-2003 to 03-31-2004

-18.5% 02-28-2008 to 02-28-2009

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL507 ATL508 ATL517 ATL019

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

March 10, 1999 2.31% Quarterly $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 0.91% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details. Benchmark Blend: 30% DEX Bond Universe Index / 50% S&P/TSX Composite Index / 20% MSCI World Index

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

50.6 6.9 13.5 21.4 0.0 6.3 1.3

% Assets

CIBC Royal Bank of Canada Toronto-Dominion Bank Suncor Energy Inc Canadian Natural Resources Ltd

3.1 2.8 2.7 2.3 2.1

BCE Inc Canada Hsg Tr No 1 2.75% 15-06-2016 Barrick Gold Corporation TELUS Corp Power Financial

1.9 1.7 1.7 1.7 1.6

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

260 1,164 978 150

Market Cap

Large Medium Small

84.4 15.6 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

Credit Quality

High Medium Low NR/NA

44.3 20.4 9.5 25.8 % Equity

1.9 21.2 27.7 13.8 6.4 5.7 6.1 7.3 4.9 4.9 0.0 % Fixed Income

32.5 43.6 0.0 1.2 22.7 0.0

BALANCED FUNDS

Renaissance Canadian Balanced Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Luc de la Durantaye | 10-27-2009 CIBC Global Asset Management Inc

Since

CIBC Global Equity CIBC Balanced Renaissance Optimal Infl Opps Port Cl A

01-03 10-09 09-11

Colum McKinley | 06-01-2010 CIBC Global Asset Management Inc

Colum McKinley joined CIBC Global Asset Management in May 2010, assuming a lead role as Portfolio Manager on the Investment Management Team. He holds a Bachelor of Arts in Economics from the University of Western Ontario (London); and is a CFA charterholder. Prior to joining CIBC Global Asset Management, he was a Portfolio Manager at Sionna Investment Managers, 2005 to 2010, and Vice President and Director, Portfolio Manager at TD Asset Management (Toronto), 1999 to 2005. Other Assets Managed

Since

Renaissance Canadian Core Value CIBC Canadian Equity Value CIBC Balanced

06-10 06-10 07-11

Suzann Pennington | 08-02-2011 CIBC Global Asset Management Inc

Since

CIBC Balanced CIBC Canadian Equity Renaissance Canadian All-Cap Equity Cl A

07-11 07-11 09-11

The Fund combines the investment skill of several distinguished investment management teams, who will provide their expertise in management of Canadian, U.S. and EAFE equity and Canadian fixed income. Luc de la Durantaye of CIBC Global Asset Management (CGAM) will determine the overall strategic asset allocation of the fund. For the Canadian equity component, Suzann Pennington and her team employ a conservative, bottom-up value approach, which views risk on an absolute basis – an approach focusing on protecting the Fund from the risk of capital loss rather than the underperformance of an index. A well-defined process is geared to identifying holdings from all capitalization tranches. The team’s approach results in a diversified portfolio of stocks which avoids over-concentration in any one sector, capitalization tranche or holding and targets strong long-

term performance. The Canadian fixed income team follows a bottom-up approach based on fundamental and quantitative analysis. The team focus combines four different sources of adding value to fixed income investing: duration strategy, term structure strategy, sector allocation strategy and individual security selection. The foreign equity component is managed by CGAM’s EAFE equity team employing a bottom-up stock selection approach. The result is a diversified, value-oriented balanced portfolio designed to protect existing capital and achieve long-term capital appreciation. This fund is an excellent option as a conservative, core holding for an investor.

Manager Commentary The final quarter of 2011 was dominated by headline risk related to sovereign debt concerns in Europe. Economic numbers generally surprised on the upside over the quarter and the global economy appeared to be stabilizing. Central banks in the emerging world have finally started to loosen credit conditions, a necessary ingredient to avoid a global recession. Eurozone leaders were forced to respond to pressure from investors who began to shun the bonds of several member countries, driving their bond yields to levels considered unsustainable. North American bonds benefited from the fallout as investors sought “safer havens” for their capital. Equity market volatility in North America and globally continued in the fourth quarter. The decline in stock prices has been very broad based, with high dividend-

yielding stocks providing small pockets of outperformance. Equity valuations appear attractive with many high-quality companies trading well below historic average valuations. Together, these elements, combined with a more forceful approach by European policymakers to address current sovereign concerns, have provided some relief to the bearish sentiment that has prevailed since the summer. Having said this, the world economy is still coping with a severe global confidence crisis and risks remain tilted to the downside. Volatility is expected to remain elevated as policymakers address the risk of recession and sovereign debt problems. Uncertainties about the timing and effectiveness of any intervention remain. As at December 31, 2011

RENAISSANCE INVESTMENTS 67

BALANCED FUNDS

Renaissance Optimal Income Portfolio Fund Category Canadian Fixed Income Balanced

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

To generate income with some potential for capital appreciation by investing primarily in units of Canadian and global mutual funds.

Growth of $10,000 14 Fund

Benchmark A Blended Benchmark

13 12 11

Volatility Analysis

10 9 8 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

17.8% 02-28-2009 to 02-28-2010

-14.2% 02-28-2008 to 02-28-2009

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A Elite Elite Elite F Sel Sel Sel

Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge No Sales or Redem Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL050 ATL048 ATL049 ATL2406 ATL2404 ATL2405 ATL051 ATL2403 ATL2401 ATL2402

Inception Date MER Minimum Investment Telephone Web Site

Investment Style

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

3.9

28.3

133.4

384.9

690.0

— 3.8 0.1

— 0.3 -1.3

— 9.0 12.0

— 6.9 9.0

— 6.9 10.9

— 6.1 9.7

— 0.3 3.6

-12.3 -9.0 -9.5

13.3 14.0 13.5

9.0 6.7 9.6

4.2 2.9 3.2

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.2 0.9 0.6

2.7 2.3 3.0

0.6 1.0 1.3

4.2 2.9 3.2

6.5 4.8 6.3

8.8 7.8 8.7

— 2.7 3.8

3.1 — —

Portfolio Analysis as of 12-31-2011 Actual Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

November 13, 2007 1.89% $500

888 888 FUND www.renaissanceinvestments.ca

Top 5 Global Equity Sectors

Utilities Financials Energy Industrial Materials

23.5 4.6 8.4 54.5 0.0 7.9 1.0

% Equity

25.1 23.2 17.6 15.0 7.8

Market Cap

Large Medium Small

63.9 34.8 1.3

Credit Quality

High Medium Low NR/NA

Top Holdings

Renaissance Canadian Bond Renaissance Canadian Dividend Renaissance Global Infrastructure Renaissance High-Yield Bond Renaissance Global Bond

41.7 17.6 25.1 15.6 % Assets

29.7 25.1 14.9 14.8 9.9

Renaissance Real Return Bond

4.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

8 483 115 333

Notes Class F MER: 0.88% T-Class units are also available. MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details. Benchmark Blend: 60% DEX Bond Universe Index / 25% S&P/TSX Composite Index / 15% MSCI World Index

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

BALANCED FUNDS

Renaissance Optimal Income Portfolio Investment Management Overview Investment Managers Management Team | 11-13-2007 Brandywine Global Investment Mgmt, LLC. Management Team | 11-13-2007 CIBC Global Asset Management Inc Management Team | 11-13-2007

Investment Management Approach This diversified Portfolio delivers an all-in-one income generation solution through a carefully aligned collection of asset classes and investment managers to capture the market’s best income opportunities, while carefully managing risk.

RARE Infrastructure Limited

This Portfolio optimizes the unique contributions from a group of carefully selected managers and asset classes to achieve the desired characteristics of an income generating investment product. A high degree of income generation is achieved primarily through a combination of CIBC Global Asset Management’s (CGAM) Canadian Bond and High Yield Bond approaches alongside RARE’s Global Infrastructure approach. The potential for capital growth is accomplished primarily through a combination of CGAMs Canadian Dividend Income approach with additional contributions from RARE’s Global

Infrastructure and Brandywine Global’s Global Bond approaches. Volatility is carefully managed to the lower end of the spectrum through the careful combination of each manager’s approach and asset class. A measure of inflation protection is attained primarily through a combination of RARE’s Global Infrastructure and CGAMs Real Return Bond approaches. The result is a diversified income generating portfolio that offers income generation, a measure of inflation protection and the opportunity for capital appreciation combined with capital preservation and low volatility. This portfolio makes an excellent all-in-one income solution because it offers investors the ability to tailor their cash flow needs through three stable monthly payout options and to potentially defer tax on return of capital distributions.

RENAISSANCE INVESTMENTS 69

EQUITY INCOME FUNDS

Renaissance Canadian Dividend Fund (Class A) Fund Category Canadian Dividend & Income Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To generate a high level of income and long-term capital growth by investing primarily in income producing securities including common shares, preferred shares, income trusts, and fixed income securities.

Growth of $10,000 20 Fund

Benchmark A S&P/TSX Composite Index

18 16 14 12

Volatility Analysis

10 8

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

28.5% 03-31-2003 to 03-31-2004

-29.9% 02-28-2008 to 02-28-2009

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL211 ATL294 ATL266 ATL014

Inception Date MER Minimum Investment Telephone Web Site

November 8, 2002 2.47% $500

Fund Category Benchmark A

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

15.4

67.3

113.1

178.7

236.5

226.3

132.1

159.6

300.4

340.0

— 1.7 -12.6

— -5.0 -12.4

21.0 20.8 26.7

16.1 14.0 14.5

18.2 17.4 24.1

8.2 13.6 17.3

4.6 1.3 9.8

-28.9 -28.4 -33.0

18.4 28.3 35.1

14.5 11.1 17.6

-3.9 -1.0 -8.7

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.7 1.1 -1.7

3.9 4.8 3.6

-7.1 -4.7 -8.9

-3.9 -1.0 -8.7

4.9 4.9 3.6

9.2 12.2 13.2

-0.6 0.5 1.3

6.5 — —

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

—

Investment Style

Notes

2001

888 888 FUND www.renaissanceinvestments.ca

Class F MER: 1.07%

89.3 0.0 0.0 0.0 0.0 8.5 2.2

% Assets

Toronto-Dominion Bank Royal Bank of Canada CIBC Bank of Nova Scotia Canadian National Railway Co

5.8 4.7 4.1 3.9 3.5

Canadian Natural Resources Ltd Bank of Montreal Enbridge, Inc. BCE Inc Suncor Energy Inc

3.2 3.1 2.8 2.6 2.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

104 104 73 0

Market Cap

Large Medium Small

78.5 21.5 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada

% Equity

2.0 23.4 37.8 12.7 4.5 3.5 6.8 7.9 0.9 0.6 0.0 % Assets

100.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Domenic Monteferrante | 10-27-2009 CIBC Global Asset Management Inc

Dominic joined CIBC Asset Management in February 1998. Domenic is a member of the Global Equity group operating from within the firm's Investment Management Platform, and is responsible for the Canadian equity product. Domenic is also responsible for the management of socially responsible and dividend portfolio mandates. Other Assets Managed

Since

CIBC Financial Companies CIBC Dividend Growth CIBC Dividend Income

11-04 12-07 10-09

The Fund benefits from the expertise of Domenic Monteferrante and the Canadian Equity team from CIBC Global Asset Management, who focus their investment expertise towards high income-generating equity securities. The Canadian Equity team focus their approach toward selecting income-generating equity securities that are mis-priced through fundamental analysis. The teamâ&#x20AC;&#x2122;s approach follows a rigorous process to select mis-priced securities, with the goal of achieving above-average, risk-adjusted returns over the long term. The initial screening is performed using proprietary internally generated buy-sell stock targets based on bottom-up analysis. This fundamental analysis includes a review of the business model, management assessment, and

evaluation of key ratios, which differ based on sector. A peer review is then conducted to scrutinize internal stock recommendations to focus on the best opportunities. The initial screening, combined with the deep fundamental analysis, leads to buy/hold/sell recommendations that are validated at the portfolio construction level through the guiding principals of the teamâ&#x20AC;&#x2122;s philosophy. The result is a conservative, diversified portfolio of primarily Canadian income-generating securities including higher dividend and increasing dividend-paying stocks, selected with a disciplined approach. This Fund is an excellent option for the equity-oriented incomegeneration portion of a portfolio.

Manager Commentary It is the managerâ&#x20AC;&#x2122;s view that structural challenges to economic growth in developed economies will persist. As a result, equity markets will likely remain volatile and fluctuate within a large trading band over the near term. The beginning of the end of monetary tightening in China has emerged with the recently announced cut in the bank reserve ratio, the first since December 2008. Should there be further loosening in China in 2012, the possibility of stronger Canadian equity markets increases. In the meantime, corporate balance sheets remain strong and earnings are expected to grow, but at a slower rate than seen in 2011. The manager views any sharp pullbacks in the equity markets as a potential opportunity to add to core positions, as stocks are currently viewed as more attractive than bonds over the long term. While the

equity portion of the fund will continue to have a bias towards lower volatility and high dividend yielding stocks, the manager will increase exposure to selected cyclical stocks should attractive valuations arise. The manager established a position in Canadian Apartment REIT and added to CIBC due to the defensive and high-dividend yielding characteristics. The manager also added to Suncor, Canadian Natural Resources and Quadra FNX Mining because of the attractive discount to estimated net asset value. The manager trimmed positions in Potash and Labrador Iron Ore on near-term commodity price concerns and also reduced the exposure to TransCanada due to the potential delay of its Keystone XL pipeline. As at December 31, 2011

RENAISSANCE INVESTMENTS 71

EQUITY INCOME FUNDS

Renaissance Canadian Dividend Fund (Class A)

EQUITY INCOME FUNDS

Renaissance Canadian Monthly Income Fund (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

To generate a high level of current cash flow by investing primarily in income producing securities including income trusts, preferred shares, common shares, and fixed income securities.

Growth of $10,000 30 Fund

Benchmark A Blended Benchmark

26 22 18 14

Volatility Analysis

10 6

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

49.5% 02-28-2000 to 02-28-2001

-24.2% 12-31-2007 to 12-31-2008

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL859 ATL910 ATL668 ATL155

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

October 30, 1997 1.92% Monthly $500

Benchmark Blend: 50% S&P/TSX Composite Index / 50% DEX Bond Universe Index

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

622.1

709.5

734.1

731.6

515.6

432.0

286.4

291.4

261.8

208.3

Fund Category Benchmark A

23.2 0.5 23.5

8.9 -4.3 13.5

25.0 13.3 38.3

23.0 10.1 28.2

23.5 12.3 29.4

0.3 10.4 -2.2

13.6 0.3 7.0

-24.2 -22.3 -27.1

17.0 25.2 43.7

11.4 9.1 24.3

-2.3 -1.9 0.4

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.6 0.4 0.0

4.3 3.1 2.9

-3.3 -3.3 -0.9

-2.3 -1.9 0.4

4.3 3.4 11.7

8.4 10.2 21.5

1.9 0.9 7.0

8.6 4.4 13.6

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2001

56.7 0.0 0.0 41.3 0.0 1.7 0.2

Investment Style

Notes

437.9

888 888 FUND www.renaissanceinvestments.ca

Class F MER: 0.98%

% Assets

Canada Hsg Tr No 1 2.75% 15-06-2016 Toronto-Dominion Bank Canada Hsg Tr No 1 1.85% 15-12-2016 Royal Bank of Canada BCE Inc

6.3 5.4 5.1 3.6 3.5

Suncor Energy Inc CIBC Canada Govt 2.75% 01-06-2022 TELUS Corp Canada Hsg Tr No 1 1.85% 15-12-2016

2.9 2.8 2.5 2.5 2.4

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

160 160 58 100

Market Cap

Large Medium Small

78.2 20.8 1.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

Credit Quality

High Medium Low NR/NA

75.7 18.7 0.0 5.6 % Equity

2.3 28.1 35.6 9.5 5.2 0.0 12.9 5.5 0.0 0.8 0.0 % Fixed Income

63.6 32.2 0.0 0.2 4.0 0.0

Investment Management Overview Manager Bios

Investment Management Approach

David Graham | 10-27-2009 CIBC Global Asset Management Inc

David Graham joined CIBC Global Asset Management in July 2002 and has over 35 years of financial industry and investment management experience. David is a member of the Global Equity group, operating from within the CIBC’s Investment Management Platform. David holds a Masters in Business Administration from York University (Toronto); Bachelor of Arts from the University of Western Ontario (London) and is also a CFA charterholder. Other Assets Managed

Since

CIBC Monthly Income CIBC Global Monthly Income Renaissance Diversified Income Renaissance Canadian Core Value CIBC Canadian Equity Value CIBC Canadian Equity

12-07 12-07 10-09 10-09 10-09 07-11

The Fund benefits from the expertise of David Graham and the Canadian Equity team from CIBC Global Asset Management, who focus their value investment style toward a diversified mix of income-generating securities. The manager opportunistically moves between different types of securities to take advantage of changing business cycles and market conditions to capture the best scenario for delivering conservative, high quality income and paying a fixed monthly distribution. The Canadian Equity team focus their approach toward income-generating securities. The team’s approach follows a rigorous process to select undervalued securities, with the goal of achieving above-average, risk-adjusted returns over the long term. The team uses a combination of quantitative and fundamental analysis, emphasizing primarily a bottom-up fundamental analysis, but combined with a top-down macro-economic perspective. The initial screening is performed using a

proprietary quantitative model to find the intrinsic value of a security. The stocks are then ranked in order of expected return and ‘value traps’ are avoided by further screening. The promising companies undergo qualitative analysis to evaluate financial risk and to fully understand the business and industry in which the company operates. The initial screening, combined with the deep fundamental analysis, leads to buy/hold/sell recommendations that are validated at the portfolio construction level through the guiding principals of the team’s value philosophy. The result is a conservative, diversified value portfolio of primarily Canadian income-generating securities including income trusts, higher-dividend stocks, and opportunistically including fixed income. This Fund is an excellent option for the income-generation portion of a portfolio.

Manager Commentary The fund remains focused on solid dividend-paying securities with predictable earnings and steady growth in the current volatile environment. The overweight position in the energy sector contributed positively to performance. The manager continues to invest both in large-cap producers like Suncor and Canadian Natural Resources due to their valuation, as well as higher-dividend paying former trusts like Arc Energy, Baytex Energy and Crescent Point Energy. The manager continues to add to positions that are relatively safe and can be considered fixed income substitutes. Canadian Apartment Properties REIT is expected to have modest operating income growth, but is quite stable and has approximately a five percent distribution yield. Capital Power is slightly more volatile but has a dividend yield around 5.5 percent. IGM

Financial earns much of its returns from recurring revenues and recently raised its dividend. In the materials sector, the balance of the PotashCorp position was sold, but the fund remains overweight Agrium. PotashCorp recently reduced its guidance for industry potash shipments in 2012 due to the economic uncertainty, while Agrium offers more stability due to its large retail footprint. Capital markets around the world, including Canada, remain exceedingly volatile amid continued global uncertainties and the rising threat of recession in Europe. The manager continues to focus on underlying fundamentals, avoiding impulsive sentiment reactions to rumours and headline news. As at December 31, 2011

RENAISSANCE INVESTMENTS 73

EQUITY INCOME FUNDS

Renaissance Canadian Monthly Income Fund (Class A)

EQUITY INCOME FUNDS

Renaissance Diversified Income Fund (Class A) Fund Category Canadian Equity Balanced

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To generate a high level of current cash flow by investing primarily in income producing securities, including income trusts, preferred shares, common shares, and fixed income securities.

Growth of $10,000 20 Fund

Benchmark A Blended Benchmark

18 16 14 12

Volatility Analysis

10 8

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

35.5% 07-31-2004 to 07-31-2005

-28.2% 12-31-2007 to 12-31-2008

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL271 ATL247 ATL204 ATL017

Inception Date MER Distribution Frequency Minimum Investment Telephone Web Site

February 4, 2003 2.50% Monthly $500

Benchmark Blend: 80% S&P/TSX Composite Index / 20% DEX Bond Universe Index

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

112.3

208.5

322.1

332.3

272.2

154.9

151.3

132.2

97.1

Fund Category Benchmark A

— 0.5 23.5

— -4.3 13.5

— 13.3 38.3

20.8 10.1 28.2

20.8 12.3 29.4

-0.1 10.4 -2.2

11.4 0.3 7.0

-28.2 -22.3 -27.1

21.0 25.2 43.7

11.8 9.1 24.3

-3.6 -1.9 -5.1

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.7 0.4 -1.0

5.6 3.1 3.3

-4.4 -3.3 -5.7

-3.6 -1.9 -5.1

3.8 3.4 8.6

9.2 10.2 19.2

0.8 0.9 5.8

7.0 — —

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

—

Investment Style

Class F MER: 1.26%

2001

888 888 FUND www.renaissanceinvestments.ca

Notes

79.1 0.0 0.0 19.8 0.0 1.1 0.0

% Assets

Toronto-Dominion Bank Royal Bank of Canada BCE Inc Suncor Energy Inc CIBC

7.3 5.5 4.3 4.3 4.3

Canada Hsg Tr No 1 2.75% 15-06-2016 TELUS Corp Canadian Natural Resources Ltd Crescent Point Energy Corporation AltaGas Ltd.

3.3 3.2 3.0 2.7 2.6

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

142 142 56 84

Market Cap

Large Medium Small

79.2 19.8 1.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Fixed Income Breakdown

Government Bonds Corporate Bonds Other Bonds Mortgage Backed Securities ST Investments (Cash & Other) Asset Backed Securities

Credit Quality

High Medium Low NR/NA

64.6 26.6 0.0 8.8 % Equity

2.0 28.7 36.5 10.1 5.1 0.0 11.4 5.1 0.0 1.0 0.0 % Fixed Income

49.2 44.9 0.0 0.6 5.3 0.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

David Graham | 10-27-2009 CIBC Global Asset Management Inc

Since

CIBC Monthly Income CIBC Global Monthly Income Renaissance Canadian Core Value Renaissance Canadian Monthly Income CIBC Canadian Equity Value CIBC Canadian Equity

12-07 12-07 10-09 10-09 10-09 07-11

The Fund benefits from the expertise of David Graham and the Canadian Equity team from CIBC Global Asset Management Inc., who focus their value investment style towards a diversified mix of income-generating securities. The manager opportunistically moves between different types of securities to take advantage of changing business cycles and market conditions to capture the best scenario for delivering conservative, high quality income and paying a fixed monthly distribution. The Canadian Equity team focus their approach toward income-generating securities. The team’s approach follows a rigorous process to select undervalued securities, with the goal of achieving above-average, risk-adjusted returns over the long term. The team uses a combination of quantitative and fundamental analysis, emphasizing primarily a bottom-up fundamental analysis, but combined with a top-down macro-economic perspective. The initial screening is performed using a

Manager Commentary The fund remains focused on solid dividend-paying securities with predictable earnings and steady growth in the current volatile environment. The overweight position in the energy sector contributed positively to performance. The manager continues to invest both in the large-cap energy producers like Suncor Energy Inc. and Canadian Natural Resources Ltd. due to their valuation, as well as higher dividend-paying former trusts like Arc Resources Ltd., Baytex Energy Corp. and Crescent Point Energy Corp. The manager continues to add to positions that are relatively safe and can be considered fixed income substitutes. Canadian Apartment Properties REIT is expected to have modest operating income growth but is quite stable and has around five percent distribution yield. Capital Power Corp. is slightly more volatile but has about five percent dividend yield. IGM Financial Inc.

earns much of its returns from recurring revenues and recently raised its dividend. In the materials sector, the balance of the PotashCorp position was sold, but the fund remains overweight Agrium Inc. PotashCorp recently reduced its guidance for industry potash shipments in 2012 due to the economic uncertainty, while Agrium offers more stability due to its large retail footprint. Capital markets around the world, including Canada, remain exceedingly volatile amid continued global uncertainties and the rising threat of recession in Europe. The manager continues to focus on underlying fundamentals, avoiding impulsive sentiment reactions to rumours and news headlines. As at December 31, 2011

RENAISSANCE INVESTMENTS 75

EQUITY INCOME FUNDS

Renaissance Diversified Income Fund (Class A)

EQUITY INCOME FUNDS

Renaissance Millennium High Income Fund (Class A) Fund Category Canadian Dividend & Income Equity

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

To achieve the highest possible return that is consistent with a conservative fundamental investment philosophy through investment primarily in a balanced and diversified portfolio of Canadian income securities.

Growth of $10,000 25 Fund

Benchmark A S&P/TSX Composite Index

22 19 16 13

Volatility Analysis

10 7

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

37.6% 02-28-2000 to 02-28-2001

-33.7% 02-28-2008 to 02-28-2009

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1880 ATL1879 ATL2880 ATL1650

Inception Date MER Minimum Investment Telephone Web Site

February 13, 1997 2.53% $500

Fund Category Benchmark A

2001

2002

61.3

275.4

19.4 1.7 -12.6

10.7 -5.0 -12.4

2006

2007

2008

2009

2010

2011

563.1

533.4

494.1

441.3

-31.5 -28.4 -33.0

21.9 28.3 35.1

16.5 11.1 17.6

7.6 -1.0 -8.7

16.6 14.0 14.5

2005

690.3 1095.6 1550.7 1534.7 1168.8

18.1 20.8 26.7

2004

24.6 17.4 24.1

2.9 13.6 17.3

5.3 1.3 9.8

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

3.0 1.1 -1.7

7.6 4.8 3.6

2.0 -4.7 -8.9

7.6 -1.0 -8.7

12.0 4.9 3.6

15.2 12.2 13.2

2.0 0.5 1.3

8.0 6.0 7.0

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2003

Portfolio Analysis as of 12-31-2011

Investment Style

Class F MER: 1.62%

1 Mth

Composition

888 888 FUND www.renaissanceinvestments.ca

Notes

94.7 0.0 0.0 0.0 0.0 1.6 3.8

% Assets

Northland Power Inc BDC Vermilion Energy, Inc. Dundee Real Estate Investment Trust Medical Facs Allied Ppty Real Est Investment Tr Unit

6.4 4.8 4.1 3.9 3.8

Pembina Pipeline Corp Parallel Energy Trust Units Calloway Real Estate Investment Trust Canadian Real Estate Investment Trust Morneau Shepell, Inc.

3.8 3.8 3.8 3.8 3.8

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

43 43 40 0

Market Cap

Large Medium Small

35.7 54.1 10.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada

% Equity

12.3 26.1 45.5 0.0 0.9 1.7 5.3 4.0 4.1 0.0 0.0 % Assets

100.0

Investment Management Overview Manager Bios Barry A. Morrison | 02-13-1997 Morrison Williams Investment Management

As Chairman and CEO, Barry A. Morrison founded Morrison Williams Investment Management in 1992. Prior to that, Mr. Morrison was the Senior Vice-President and Director at BGH Central Investment management from 1981 to 1991, a Portfolio manager at MICC Investments from 1973 to 1978 and a Portfolio manager, fixed Income and equity investments, at United Funds Management from 1971 to 1973. Between 1968 to 1971, Mr. Morrison was a Security Analyst at Dominion Life Assurance. Jeffrey Wong | 11-01-2003 Morrison Williams Investment Management

Jeffrey Wong joined Morrison Williams Investment Management in 2006. Primary responsibilities include management of equities for all portfolios, developing strategies, analyzing financial statements and stock valuation models that will contribute to the overall portfolio decision process. David Kunselman | 06-01-2006

Investment Management Approach The Fund benefits from the award winning investment expertise of Barry Morrison, Chairman and CEO of Morrison Williams Investment Management Ltd. Morrison and his team combine a top-down and bottomup disciplined investment approach to deliver a balanced and diversified portfolio of primarily Canadian incomegenerating securities. The Morrison Williams approach begins with determining the appropriate asset allocation for the portfolio as part of their three-stage disciplined investment process. First, the firm conducts a top-down, fundamental economic-cycle analysis to determine monetary, economic, social and geopolitical trends and risks, and to identify cyclical and secular trends that shape capital markets. Second, they use technical analysis as a collaborative tool to supplement the

The result is a flexible, diversified and balanced portfolio of income-generating securities designed to achieve the highest possible risk-adjusted returns consistent with the conservative fundamental investment philosophy of its portfolio manager. The Fund is an excellent solution for the income-generating component of a portfolio.

Manager Commentary The fund has been able to perform well against its benchmark due to its focus on high-quality securities that generate income and capital gains for investors.

Morrison Williams Investment Management

Mr. Kunselman has over 10 years of investment management experience and became a Portfolio Manager at EIC in July 2011. Prior to his appointment at EIC, Mr. Kunselman was a Vice President and Portfolio Manager at Morrison Williams Investment Management in Toronto. Mr. Kunselman holds a Bachelor of Business Administration degree in Finance and is a CFA Charterholder. Mr. Kunselman is also a member of the Toronto Society of Financial Analysts.

fundamental analysis. Quantitative measures are used to determine which asset classes and securities are likely to be the outperformers. Third, focusing on incomegenerating securities, they conduct a thorough security analysis to select a buy list that fits their criteria, which includes attributes such as stable, dependable businesses, good margins, good prospects for growth, strong balance sheets, clean accounting and seasoned, honest management.

The manager maintained the fundâ&#x20AC;&#x2122;s overweight positions in real estate, utilities, energy and telecommunication services stocks during the period. These are industries that are shielded to some extent from global turmoil. Some profits were taken in midstream energy stocks after they made good moves on the upside. The proceeds were then reinvested into oil and gas and real estate names. The manager maintained the fundâ&#x20AC;&#x2122;s underweight positions in industrials, materials and information technology.

Interest rates continue at low levels as fears of an ongoing slowdown in China and the potential of European Union members defaulting on sovereign debt obligations weigh on global growth expectations. Investors are looking to equity income securities to get a steady stream of income and capital gains. The income emphasis of the fund has enabled it to outperform the S&P/TSX Total Return Index by a substantial margin. The manager continues to feel that global uncertainties will keep interest rates at very low levels. This makes the fund an excellent source for income and capital gains for investorsâ&#x20AC;&#x2122; portfolios. As at December 31, 2011

RENAISSANCE INVESTMENTS 77

EQUITY INCOME FUNDS

Renaissance Millennium High Income Fund (Class A)

CANADIAN EQUITY FUNDS

Renaissance Canadian Core Value Fund (Class A) Fund Category Canadian Focused Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To achieve long-term investment returns through capital growth by investing in senior issuers that are primarily medium to large Canadian companies.

Growth of $10,000 20 Fund

Benchmark A S&P/TSX Composite Index

18 16 14

Volatility Analysis

12 10 8 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

60.4% 02-28-1999 to 02-29-2000

-28.0% 02-28-2008 to 02-28-2009

Fund Details

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL853 ATL901 ATL671 ATL020

Fund Category Benchmark A

Telephone Web Site

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

249.0

313.1

389.6

483.5

577.5

653.2

607.5

393.5

431.8

414.4

322.1

8.3 -2.1 -12.6

-0.5 -11.5 -12.4

19.2 17.9 26.7

10.5 11.9 14.5

18.0 16.4 24.1

9.3 14.9 17.3

0.7 1.6 9.8

-24.0 -32.6 -33.0

18.0 29.6 35.1

12.4 11.9 17.6

-10.6 -10.4 -8.7

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-0.9 -1.3 -1.7

5.0 4.2 3.6

-10.0 -10.1 -8.9

-10.6 -10.4 -8.7

0.2 0.2 3.6

5.8 9.1 13.2

-1.9 -2.3 1.3

4.4 3.3 7.0

Portfolio Analysis as of 12-31-2011 September 23, 1994 2.58% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.05% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

83.6 3.4 8.4 0.0 0.0 4.6 0.0

% Assets

Royal Bank of Canada Toronto-Dominion Bank Canadian Natural Resources Ltd Suncor Energy Inc CIBC

6.4 5.9 5.2 4.7 4.1

Barrick Gold Corporation BCE Inc Bank of Montreal TELUS Corp Manulife Financial Corporation

4.0 3.4 2.7 2.6 2.5

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

74 74 71 0

Market Cap

Large Medium Small

89.3 10.0 0.7

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada United States Switzerland United Kingdom Hong Kong

% Equity

0.1 24.9 31.4 15.6 7.8 5.2 6.3 6.4 0.0 2.3 0.0 % Assets

88.2 3.5 2.9 2.4 1.5

Investment Management Overview Manager Bios David Graham | 10-27-2009 CIBC Global Asset Management Inc

Investment Management Approach The Fund benefits from the investment expertise of David Graham, Colum McKinley and the Canadian Equity team of CIBC Global Asset Management who are responsible for the Canadian equity component and the overall strategic asset allocation of the Fund, while Wintergreen Advisers, LLC is responsible for the global equity component. The Canadian Equity team approach follows a rigorous process in selecting undervalued securities, with the goal of achieving above-average, risk-adjusted returns over the long term. The team uses a combination of quantitative and fundamental analysis, emphasizing primarily a bottom-up fundamental analysis, but combined with a top-down macro-economic perspective. The initial screening is performed using a proprietary quantitative model to find the intrinsic value of a security. The stocks are then ranked in order of expected return and ‘value traps’ are avoided by further screening. The promising companies undergo qualitative analysis to evaluate financial risk and to fully understand the business and industry in which the company operates. The initial screening, combined with the deep fundamental analysis, leads to buy/hold/sell

recommendations that are validated at the portfolio construction level through the guiding principals of the team’s value philosophy. For the global equity component, CIBC Global Asset Management will leverage the global deep-value expertise of Wintergreen Advisers to add diversification and value through investments in companies currently out of favour with the broader market; in particular, undervalued or distressed companies along with arbitrage opportunities that are showing signs for a significant return on investment. CIBC Global Asset Management will continue to determine the % of foreign content within the overall fund. The result is a lower-turnover, diversified portfolio of Canadian value companies and some exposure to global markets, which exhibit lower price-to-book and price-toearnings characteristics compared to their respective markets. This Fund is an excellent complement to a growth-oriented portfolio of Canadian or international equity holdings.

Manager Commentary

Wintergreen Advisers, LLC

David Winters is the managing member of Wintergreen Advisers. Prior to forming Wintergreen Advisers in May 2005, he held various positions with Franklin Mutual Advisers, LLC, including, president, chief executive officer and chief investment officer, and he was a research analyst for Heine Securities Corporation, the former investment manager for the Franklin Mutual Series Fund. Winters holds the Chartered Financial Analyst designation.

Equity market volatility continued in the fourth quarter, driven by reactions to global macro threats and ongoing negative headlines from Europe. Despite clear signs that the global economy has slowed, corporate profit levels and balance sheets remain resiliently strong. In addition, equity valuations appear attractive with many highquality companies trading well below average valuations. Reflecting a growing pessimistic view on global growth, energy stocks traded at prices similar to those seen during the U.S. credit crisis, despite current oil prices being $30 to $40 per barrel higher. During the quarter, the manager continued to add to the fund’s energy exposure, increasing the weight in Canadian Natural Resources, Talisman Energy, and Canadian Oil Sands and adding Penn West Petroleum. The manager exited the

position in Shoppers Drug Mart. While Shoppers remains a strong, well-run franchise in Canada, the stock has meaningfully outperformed the market and no longer trades significantly below its estimated fair value. In addition, the manager initiated a position in Finning International Inc. Finning is the world’s largest Caterpillar dealer with operations in Western Canada, South America, and the United Kingdom. Finning’s stock price declined following implementation problems with the company’s new enterprise resource planning system. Since the manager takes a long-term perspective on the earnings power of a business, it was able to look through this transitory issue and take advantage of the volatility to accumulate a position. As at December 31, 2011

RENAISSANCE INVESTMENTS 79

CANADIAN EQUITY FUNDS

Renaissance Canadian Core Value Fund (Class A)

CANADIAN EQUITY FUNDS

Renaissance Canadian Growth Fund (Class A) Fund Category Canadian Focused Equity

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

To achieve long-term investment returns through capital growth, primarily in equity securities of large to mediumsized Canadian issuers.

Growth of $10,000 18 Fund

Benchmark A S&P/TSX Composite Index

16 14 12

Volatility Analysis

10 8 6 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

47.4% 07-31-1996 to 07-31-1997

-38.6% 02-28-2008 to 02-28-2009

Fund Details

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

418.0

284.1

276.7

242.4

219.6

216.8

304.3

163.8

188.3

175.5

119.0

-9.4 -2.1 -12.6

-17.5 -11.5 -12.4

20.2 17.9 26.7

8.5 11.9 14.5

15.4 16.4 24.1

18.7 14.9 17.3

4.8 1.6 9.8

-35.7 -32.6 -33.0

28.4 29.6 35.1

9.6 11.9 17.6

-19.9 -10.4 -8.7

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL843 ATL902 ATL669 ATL022

Fund Category Benchmark A

Telephone Web Site

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-2.4 -1.3 -1.7

1.8 4.2 3.6

-17.3 -10.1 -8.9

-19.9 -10.4 -8.7

-6.3 0.2 3.6

4.1 9.1 13.2

-5.3 -2.3 1.3

1.1 3.3 7.0

Portfolio Analysis as of 12-31-2011 October 30, 1985 2.61% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.05% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

75.6 12.1 11.4 0.0 0.0 0.9 0.0

% Assets

Toronto-Dominion Bank Royal Bank of Canada Suncor Energy Inc Canadian Natural Resources Ltd Bank of Nova Scotia

6.0 5.5 4.8 4.8 3.5

Cenovus Energy, Inc. Talisman Energy Inc Teck Resources Ltd Class B Goldcorp, Inc. Bombardier Inc

3.4 3.0 2.9 2.7 2.6

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

141 141 139 0

Market Cap

Large Medium Small

89.3 10.0 0.7

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada United States United Kingdom Japan Germany

% Equity

0.9 25.0 23.1 18.2 10.1 3.7 2.6 9.1 3.2 4.1 0.0 % Assets

76.4 12.1 3.1 1.7 1.4

Investment Management Overview Manager Bios Alan Daxner | 06-01-2002 McLean Budden Limited.

Alan Daxner joined McLean Budden in 1998, specializing in portfolio management, marketing and client service. He is a voting member of the Canadian Equity Value team and a product specialist for the U.S. Equity team. His previous experience includes 3 years as a senior financial analyst for the Regional Municipality of Peel, 2 years as a financial analyst at SEI Financial Services and one year as a Vice President and Consultant at Ernst & Young Investment Advisors. Brad Hicks | 06-01-2002 McLean Budden Limited.

Bradley Hicks joined McLean Budden in 2003, specializing in marketing and client service. Currently, Bradley is a product specialist for the Canadian Equity Value and the Global Equity Value Team and a voting member of the Canadian Equity (Core) product. Prior to joining McLean Budden, Mr. Hicks spent two years at Edinburgh Fund Managers marketing global and international equity portfolios. Bradley has an Honours B. A., Richard Ivey School of Business, University of Western Ontario.

Investment Management Approach The Fund benefits from the distinguished and proven investment expertise of McLean Budden Limited, one of Canada’s oldest investment counselling firms. McLean Budden provides a conservative, team approach to growth investing, with a focus on delivering long-term investment returns through investment in large and medium-sized Canadian companies with some global equity exposure. McLean Budden’s growth team stresses fundamental research as the primary method of adding value. The research team is responsible for performing original research, evaluating external research, attending industry meetings and interviewing management. The key criteria for investment are earnings growth, management quality, financial strength, business potential, earnings stability and return on equity. Price targets are established for each of the approximately 125 Canadian companies closely followed, resulting in a rate

of return expectation for each stock, taking into account its current price. McLean Budden’s commitment to specific securities and industry sectors depends on the earnings potential of the particular companies they follow. In addition to each stock’s return potential, they also evaluate the likelihood of price appreciation as well as the security’s trading liquidity. In addition, the fund manager will typically seek opportunities to maximize foreign equity exposure to enhance shareholder value. McLean Budden’s foreign equity team, which employs a similar philosophy, selects the foreign equity component. The result is a diversified portfolio of Canadian growth companies with some exposure to global markets, selected through a team approach that emphasizes strong fundamental research and focus on delivering long-term results. This Fund is an excellent complement to a value-oriented portfolio of Canadian or international equity holdings.

Manager Commentary The Canadian equity market was no stranger to volatility during the last quarter. Investors seemingly shifted between a ‘risk-on’ and ‘risk-off’ mentality in reaction to a flood of news driven by fiscal policymakers’ decisions and indecisions. This served to take the focus away from strong corporate balance sheets and overshadowed stock fundamentals. Amid this background, large-cap stocks continued to be disadvantaged by the market’s volatility and the fund’s performance lagged the S&P/ TSX Composite Index. The single largest detractor to relative returns was clothing manufacturer Gildan Activewear, whose stock price retreated sharply following lower guidance for next year based on inventories and timing, not on structural issues with the company. Within the fund’s energy

holdings, weakness in Talisman Energy and Cameco Corporation more than offset strength in Canadian Natural Resources. The commodity boom slowed due to concerns about an economic slowdown in China. However, the manager’s stock selection within the materials sector added value as Teck Resources and Inmet Mining had robust quarters. As the potential for market volatility is expected to continue into 2012, portfolio activity was focused on diversification with the addition of Detour Gold, TransCanada Corporation and Barrick Gold in the fourth quarter. As at December 31, 2011

RENAISSANCE INVESTMENTS 81

CANADIAN EQUITY FUNDS

Renaissance Canadian Growth Fund (Class A)

CANADIAN EQUITY FUNDS

Renaissance Canadian Small-Cap Fund (Class A) Fund Category Canadian Small/Mid Cap Equity

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

To seek above-average, long-term growth of capital by investing primarily in a diversified portfolio of equity securities of small- to medium-sized Canadian issuers.

Growth of $10,000 60 Fund

Benchmark A BMO Nesbitt Burns Small Cap Index (Weighted)

50 40 30

Volatility Analysis

20 10 0 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Worst 1 Year Return

69.0% 02-28-2009 to 02-28-2010

-40.0% 10-31-2007 to 10-31-2008

Fund Details

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

85.8

88.2

88.5

101.9

122.3

266.2

141.9

200.9

354.5

303.6

Fund Category Benchmark A

20.5 -0.4 3.4

3.7 -7.0 -0.9

20.5 25.7 42.7

20.8 15.2 14.1

29.6 20.0 19.7

18.8 12.5 16.6

5.1 6.6 2.0

-36.9 -43.1 -46.6

54.0 54.8 75.1

36.1 26.3 38.5

-11.6 -10.2 -14.4

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.5 -0.9 -1.7

9.1 6.2 5.0

-8.5 -8.6 -10.6

-11.6 -10.2 -14.4

9.7 6.5 8.9

22.8 20.6 27.6

4.2 1.3 2.5

11.1 6.8 9.8

Calendar Year Returns %

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL852 ATL905 ATL670 ATL023

Fund Category Benchmark A

Telephone Web Site

91.1

Class

Inception Date MER Minimum Investment

2001

Total Assets ($mil) Best 1 Year Return

Portfolio Analysis as of 12-31-2011 October 25, 1996 2.57% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.07% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

91.2 0.0 4.0 0.0 0.0 4.0 0.7

% Assets

Glentel Inc. Cineplex Inc Empire Company Limited RuggedCom Incorporated Killam Properties Inc.

3.2 3.0 2.8 2.8 2.7

Canadian Energy Services & Tech Corp Canadian Western Bank Alacer Gold Corp Americas Petrogas, Inc. Cogeco Cable Sub Vtg

2.7 2.7 2.4 2.2 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

85 85 82 0

Market Cap

Large Medium Small

0.0 40.0 60.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada Australia

% Equity

2.6 22.8 15.5 25.7 13.4 3.0 0.0 7.7 1.0 8.2 0.1 % Assets

96.0 4.0

Investment Management Overview Manager Bios

Investment Management Approach

Jennifer Law | 11-12-2007 CIBC Global Asset Management Inc

Jennifer Law joined CIBC Global Asset Management Inc. in May 2003. Ms. Law is a member of the Global Equity group, operating from within the firms Investment Management Platform, and is responsible for the Canadian equity small cap growth product. She is also a CFA charterholder. Other Assets Managed

Since

CIBC Canadian Small-Cap

05-03

Shanthu David | 11-12-2007 CIBC Global Asset Management Inc

Shanthu David joined CIBC Asset Management in September 2007. Mr. David is a member of the Global Equity group, operating from within the firm's Investment Management Platform, and is a member of the Canadian equity small cap team. Mr. David has an MBA in Business Administration from the University of Western Ontario (London) and is also a CFA Charterholder. Other Assets Managed

Since

CIBC Canadian Small-Cap

08-09

The Fund benefits from the extensive experience of Shanthu David, Jennifer Law and the Canadian Equity Small Cap team at CIBC Global Asset Management, who take a growth-at-a-reasonable-price approach with a value tilt to selecting Canadian small-cap companies. The Canadian Equity Small Cap team’s investment philosophy is driven by the understanding that market inefficiencies create opportunities for investing in Canadian small caps because investors tend to linearly extrapolate recent earnings trends when the actual long run determinant of stock prices is earnings growth. Therefore, Mr. David and his team aim to identify companies with above-average growth prospects trading at attractive valuations. To do so, they take an analytical, bottom-up approach combining internal-driven quantitative and qualitative analysis. The quantitative analysis focuses on companies with strong free cash flow and predictable earnings growth, as well as a track

record of growth. The focus is placed on companies that have proven that they can grow consistently. To support the analysis, the team uses detailed forensic accounting reports and internally reproduces the income statements to enable the team to estimate key fundamentals such as free cash flow and various measures of earnings to arrive at an intrinsic valuation for each company. The team’s qualitative analysis places significant emphasis on each company’s management team, their track record, vision and strategy. The investment process is monitored on an ongoing basis to ensure consistency and to manage risk. The result is a diversified, lower-turnover portfolio of growing small to mid-sized Canadian companies, whose stock is purchased at a reasonable valuation. This Fund’s lower than average market capitalization makes it an excellent complement to an investor’s Canadian largecap equity portfolio.

Manager Commentary The manager remains cautious about equity markets as the European debt crisis continues to challenge market sentiment. The ongoing sovereign debt issue has refocused on Italy as most economists believe the country is too big to fail. This has continued to push yields up on Italian and Spanish debt due to increased market concern. Worries of a possible slowdown in China continue as third-quarter GDP growth was the lowest in two years. The Purchasing Managers Index (PMI) and housing data have been below expectations, putting pressure on base metal prices. In the U.S., the super committee failed to come to an agreement on deficit reduction, which continued to highlight the country’s grim fiscal outlook and the inability of politicians to come to a solution.

These macro concerns have moved many investors away from cyclical markets. Despite healthy copper prices and even robust oil prices, equities continue to trade at valuations which imply lower commodity prices going forward. The manager remains positive about oil and copper demand in developing countries over the longer term and a further sell off may represent an attractive buying opportunity. Demand for physical gold continues to be strong and supportive of a gold price at over US$1,700 per ounce. The manager sees attractive valuation for small-cap gold equities and expects better returns in 2012 as industry consolidation continues and/or as market sentiments improve. As at December 31, 2011

RENAISSANCE INVESTMENTS 83

CANADIAN EQUITY FUNDS

Renaissance Canadian Small-Cap Fund (Class A)

U.S. EQUITY FUNDS

Renaissance U.S. Equity Value Fund (Class A) Fund Category US Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth and to provide income by investing in a diversified portfolio consisting primarily of equity securities of issuers located in the United States and worldwide.

Growth of $10,000 16 Fund

Benchmark A S&P 500 Index

14 12 10 8

Volatility Analysis

6 4

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

29.9% 02-28-2003 to 02-29-2004

-37.3% 01-31-2008 to 01-31-2009

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F F A A A

Back End Charge Front End Charge Low Load Charge No Sales or Redem No Sales or Redem Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD USD USD USD USD

ATL501 ATL502 ATL515 ATL024 ATL025 ATL742 ATL743 ATL744

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

Investment Style

Notes Class F MER: 1.07% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

84.9

69.6

98.9

90.2

66.3

97.0

90.1

26.1

20.4

18.4

16.8

4.2 -10.5 -6.4

-20.1 -22.5 -22.7

7.7 6.4 5.2

1.0 2.5 3.3

-2.5 2.0 1.6

16.6 12.2 15.7

-16.8 -10.8 -10.5

-30.4 -28.5 -21.9

0.6 10.9 8.1

10.2 10.6 9.3

-2.0 -0.6 4.4

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.3 -0.2 0.8

6.1 8.0 9.5

-4.3 -4.0 1.6

-2.0 -0.6 4.4

3.9 4.9 6.9

2.8 6.8 7.3

-8.9 -4.9 -2.9

-4.7 -2.8 -1.6

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

December 17, 1998 2.73% $500

888 888 FUND www.renaissanceinvestments.ca

Top Ten Holdings

0.0 88.7 7.6 0.0 0.0 3.7 0.0

% Assets

Apple, Inc. Home Depot, Inc. Abbott Laboratories Hess Corp EMC Corporation

3.3 3.0 3.0 3.0 2.9

The Hershey Company NextEra Energy Inc Intuit, Inc. Diageo PLC ADR Time Warner Inc

2.9 2.9 2.9 2.9 2.8

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

45 45 43 0

Market Cap

Large Medium Small

80.6 18.4 1.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States United Kingdom Canada Netherlands

% Equity

4.9 6.8 13.0 2.0 11.1 12.9 2.5 13.3 11.4 22.2 0.0 % Assets

88.8 5.3 3.5 2.4

Investment Management Overview Manager Bios Gary W. Lisenbee | 07-01-2009 Metropolitan West Capital Management LLC

Gary Lisenbee is President and serves as portfolio manager at Metropolitan West Capital Management (MetWest). He co-founded MetWest in 1997. Mr. Lisenbee has been working in the investment management field since 1973. He holds a BA in Accounting and MA in Economics from California State University.

Investment Management Approach MWCM’s approach is driven by fundamental company research from a global perspective, utilizing a long-term focus that takes advantage of opportunities presented by short-term anomalies in high-quality businesses. What distinguishes MWCM’s approach to value investing is that it looks at quality first and valuation second. The investment team concentrates on selecting unique individual investments utilizing a low-risk, value-oriented methodology. The investment process consists of the following five steps: 1.Identifying quality companies: From an initial universe of companies with a market capitalization in excess of $1 billion USD, MWCM seeks companies that have exhibited financial strength, a capable, proven and motivated management team, attractive business fundamentals, as well as high and/or consistently improving market position, return on invested capital and operating margins. 2.Appraising value of businesses: After identifying quality, MWCM considers various valuation metrics to determine the company’s discount to its intrinsic value.

3.Identifying catalysts: MWCM then identifies one or more catalysts with high probabilities to unlock real value. Some catalysts may include productive use of free cash flow, change in management or control, innovative and/or competitively superior products, positive acquisitions or divestitures, amongst others. 4.Constructing and maintaining a diversified portfolio: While MWCM follows a bottom-up stock selection process, the team applies a risk management overlay, ensuring that the resulting portfolio is well-diversified along several lines including sectors and industries, as well as by exposure to economic factors such as cyclicality and interest rate sensitivity. The portfolio consists of approximately 40 high-quality and attractively-valued companies with identifiable catalysts that should lead to a higher stock price within a three- to five-year investment horizon. 5.Continually reviewing holdings and adhering to the sell discipline: The investment team devotes the majority of its time and resources to the on-going research and review of existing portfolio holdings. The investment team establishes a sell target when a security is purchased, based on the company’s intrinsic value.

Manager Commentary The manager’s investment process is driven by bottomup, company-focused research and stock selection. As a result of a few trades and stock price movements, the positioning of the fund relative to the S&P 500 Index shifted modestly during the quarter. The fund’s weight in the financials sector shifted from an overweight to a slight underweight as the manager sold Bank of America Corporation, East West Bancorp, Inc. and Banco Santander, S.A. and purchased Franklin Resources, Inc. A new investment in United Parcel Service, Inc. increased the fund’s overweight to industrials, while the energy sector underweight

lessened due to the purchase of Schlumberger N.V. and the sale of Weatherford International Ltd. The consumer staples sector moved from a slight underweight to a modest overweight as a result of stock price movements. All fund sector weights are the result of individual stock selection rather than tactical allocation decisions. The manager remains steadfast in the belief that wellreasoned decisions require careful deliberation of the alternatives and offer greater long-term rewards with lower downside risk. As at December 31, 2011

RENAISSANCE INVESTMENTS 85

U.S. EQUITY FUNDS

Renaissance U.S. Equity Value Fund (Class A)

U.S. EQUITY FUNDS

Renaissance U.S. Equity Growth Fund (Class A) Fund Category North American Equity

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 14 Fund

12 10 8 6 4

Volatility Analysis

Low

Benchmark A S&P 500 Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

57.8

35.2

27.7

18.8

13.4

10.8

8.4

5.6

6.6

9.7

32.1

-11.4 0.9 -6.4

-30.2 -16.9 -22.7

3.2 8.5 5.2

-3.0 5.4 3.3

2.0 7.4 1.6

2.3 9.7 15.7

-9.5 -3.7 -10.5

-37.8 -27.2 -21.9

10.1 18.9 8.1

13.9 11.0 9.3

-9.3 -6.1 4.4

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

45.3% 07-31-1996 to 07-31-1997

-41.3% 11-30-2007 to 11-30-2008

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F F A A A

Back End Charge Front End Charge Low Load Charge No Sales or Redem No Sales or Redem Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD USD USD USD USD

ATL833 ATL913 ATL661 ATL026 ATL027 ATL733 ATL973 ATL761

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

Investment Style

Notes Class F MER: 1.37% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-5.1 -0.5 0.8

5.6 4.8 9.5

-6.7 -6.1 1.6

-9.3 -6.1 4.4

1.7 2.1 6.9

4.4 7.4 7.3

-8.5 -2.8 -2.9

-7.3 -0.3 -1.6

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

October 30, 1985 2.74% $500

888 888 FUND www.renaissanceinvestments.ca

1 Mth

Top Ten Holdings

13.7 77.9 0.8 0.0 0.0 6.3 1.3

% Assets

International Business Machines Corp The Coca-Cola Co McDonald's Corporation Exxon Mobil Corporation Molycorp, Inc.

3.6 3.2 3.1 3.1 2.7

Barrick Gold Corporation Canadian Natural Resources Ltd Novagold Resources, Inc. Freeport-McMoRan Copper & Gold B The Boeing Co

2.7 2.7 2.6 2.5 2.5

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

70 70 66 0

Market Cap

Large Medium Small

71.0 13.1 15.8

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Canada United Kingdom

% Equity

0.0 20.8 3.8 19.3 12.3 9.4 1.5 9.0 8.2 15.6 0.0 % Assets

79.2 17.6 3.1

Investment Management Overview Manager Bios Peter J. Eichler Jr. | 06-19-2008 Aletheia Research and Management, Inc.

Peter J. Eichler Jr. is the Chairman and Chief Executive Officer of Aletheia Research and Management, Inc. which he founded in 1997. Prior to this, Mr. Eichler spent twelve years at Bear, Stearns & Co. as Managing Director. While at Bear Stearns, Mr. Eichler founded the Special Accounts Money Management Division and created the Bear Stearns Insiders Fund. Mr. Eichler has been managing money professionally since 1990. Mr. Eichler is a Registered Investment Advisor and a General Securities Principal. David Bunzel | 06-19-2008 Aletheia Research and Management, Inc.

Mr. Bunzel is Senior Managing Director and Co-Portfolio Manager. Mr. Bunzel is a founding investor in Aletheia and had been involved with the company since its inception in 1997 before joining Aletheia as a coportfolio manager in 2008. He has known and worked with Peter J. Eichler Jr. since Mr. Bunzel started in the business in 1986. He began his career with EF Hutton Asset Management as a portfolio manager and research analyst. Mr. Bunzel managed 3 different funds for the firm, including its flagship growth fund. Mark Scalzo | 06-19-2008

Investment Management Approach The fund delivers the time-tested investment methodologies of Aletheia Research and Management Inc. Aletheia, the classic Greek word for “truth and disclosure” signifies the importance the firm places on proprietary research, which has led to their recognition as one of the top growth managers in the United States. Aletheia takes a bottom-up growth approach to investing in the U.S. large cap equity market. Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully. 1. Aletheia will invest primarily in common stocks that represent diversified industry sectors and broad market capitalization. 2. The firm employs hard data – primarily insider and corporate actions – forensic analysis of balance sheets

and cash flows, and non-biased industry research to guide its investments. 3. Using a bottom-up approach, Aletheia’s research process identifies securities with significant growth in earnings and cash flow. This process also uncovers opportunities in securities that have declined significantly in price or that are misunderstood or mispriced by the market. 4. The investment team screens an initial universe consisting of all publicly traded companies, with a preference given to larger market cap. From this universe, stocks are screened by identifying companies that demonstrate aberrational insider buying by corporate officers and employees, focusing on consensus buying by insiders, absolute dollar amounts of buying by insiders, option exercise behaviour, and forward sales. The result is a diversified portfolio of large cap U.S. growth companies seeking to deliver superior long-term performance. This fund is an excellent addition to a Canadian or global portfolio that seeks exposure to large cap U.S. equities.

Manager Commentary

Aletheia Research and Management, Inc.

Mr. Scalzo is Senior Managing Director and Co-Portfolio Manager. Mr. Scalzo joined Aletheia Research and Management, Inc. in 2008 after working for Ken Fisher at Fisher Investments as a Group Vice President and Head of Mergers & Acquisitions. Prior to December 2006, Mr. Scalzo was a Regional Manager / Managing Director with Putnam Lovell NBF Securities where he spent over 15 years advising public and private companies on mergers & acquisitions in the financial services and real estate industries.

While markets have been extremely volatile throughout 2011 and dominated by macro events (especially those in Europe), consensus expectations for a global depression have indeed been proven wrong over the last several months. This has helped markets to move generally higher. More importantly, we have experienced what seems to be a renewed focus on company fundamentals even in the face of continued day-to-day volatility. Understandably, this benefited the fund during the quarter given the unmatched fundamental strength and

earnings power of the manager’s portfolio companies. The manager’s portfolio companies show outstanding results, whether it be: Caterpillar’s record-setting thirdquarter results, Boeing’s long-awaited first delivery of its 787 Dreamliner, Noble Energy’s potentially huge natural gas finds in the Mediterranean, McDonald’s outstanding 7.4 percent sales growth in November (marking 103 consecutive months of same-store sales growth) or NovaGold’s extremely positive organizational changes. As at December 31, 2011

RENAISSANCE INVESTMENTS 87

U.S. EQUITY FUNDS

Renaissance U.S. Equity Growth Fund (Class A)

U.S. EQUITY FUNDS

Renaissance U.S. Equity Growth Currency Neutral Fund (Class A) Fund Category North American Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To achieve long-term returns through capital growth by investing primarily in common stocks, or investments that can be converted into common stocks, of large companies listed on major U.S. exchanges and that are located in the United States. The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from non- Canadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 15 Fund

Benchmark A S&P 500 Index

14 13 12 11 10 9

Performance Quartile (within category over calendar year)

Volatility Analysis

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.4

10.8

Fund Category Benchmark A

— 0.9 -6.4

— -16.9 -22.7

— 8.5 5.2

— 5.4 3.3

— 7.4 1.6

— 9.7 15.7

— -3.7 -10.5

— -27.2 -21.9

— 18.9 8.1

— 11.0 9.3

-12.0 -6.1 4.4

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-5.0 -0.5 0.8

7.2 4.8 9.5

-12.3 -6.1 1.6

-12.0 -6.1 4.4

— 2.1 6.9

— 7.4 7.3

— -2.8 -2.9

-2.5 — —

Total Assets ($mil) Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

-1.1% 10-31-2010 to 10-31-2011

-12.0% 12-31-2010 to 12-31-2011

Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1252 ATL1250 ATL1251 ATL1253

Telephone Web Site

Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011

Fund Details

Inception Date MER Minimum Investment

Composition

October 20, 2010 2.73% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 1.33% MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

13.4 76.2 0.7 0.0 0.0 7.4 2.3

% Assets

International Business Machines Corp The Coca-Cola Co McDonald's Corporation Exxon Mobil Corporation Molycorp, Inc.

3.5 3.1 3.0 3.0 2.7

Barrick Gold Corporation Canadian Natural Resources Ltd Novagold Resources, Inc. Freeport-McMoRan Copper & Gold B The Boeing Co

2.6 2.6 2.5 2.5 2.4

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

3 70 66 0

Market Cap

Large Medium Small

71.0 13.1 15.8

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Canada United Kingdom

% Equity

0.0 20.8 3.8 19.3 12.3 9.4 1.5 9.0 8.2 15.6 0.0 % Assets

77.6 19.4 3.1

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios Peter J. Eichler Jr. | 10-20-2010 Aletheia Research and Management, Inc.

Investment Management Approach The Renaissance U.S. Equity Growth Currency Neutral Fund is managed by CIBC Global Asset Management Inc. Aletheia Research and Management Inc. is the investment manager of the underlying fund, the Renaissance U.S. Equity Growth Fund. The underlying fund delivers the time-tested investment methodologies of Aletheia Research and Management Inc. Aletheia, the classic Greek word for “truth and disclosure” signifies the importance the firm places on proprietary research, which has led to their recognition as one of the top growth managers in the United States. Aletheia takes a bottom-up growth approach to investing in the U.S. large cap equity market.

Aletheia Research and Management, Inc.

Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully.

Mark Scalzo | 10-20-2010

1. Aletheia will invest primarily in common stocks that

represent diversified industry sectors and broad market capitalization. 2. The firm employs hard data – primarily insider and corporate actions – forensic analysis of balance sheets and cash flows, and non-biased industry research to guide its investments. 3. Using a bottom-up approach, Aletheia’s research process identifies securities with significant growth in earnings and cash flow. This process also uncovers opportunities in securities that have declined significantly in price or that are misunderstood or mispriced by the market. 4. The investment team screens an initial universe consisting of all publicly traded companies, with a preference given to larger market cap. From this universe, stocks are screened by identifying companies that demonstrate aberrational insider buying by corporate officers and employees, focusing on consensus buying by insiders, absolute dollar amounts of buying by insiders, option exercise behaviour, and forward sales. The result is a diversified portfolio of large cap U.S. growth companies seeking to deliver superior long-term performance, while managing exchange rate fluctuations. This fund is an excellent addition to a Canadian or global portfolio that seeks exposure to large cap U.S. equities.

Aletheia Research and Management, Inc.

Manager Commentary Please note that the following commentary is written in consideration of the underlying fund. While markets have been extremely volatile throughout 2011 and dominated by macro events (especially those in Europe), consensus expectations for a global depression have indeed been proven wrong over the last several months. This has helped markets to move generally higher. More importantly, we have experienced what seems to be a renewed focus on company fundamentals even in the face of continued day-to-day volatility. Understandably, this benefited the fund during the

quarter given the unmatched fundamental strength and earnings power of the manager’s portfolio companies. The manager’s portfolio companies show outstanding results, whether it be: Caterpillar’s record-setting thirdquarter results, Boeing’s long-awaited first delivery of its 787 Dreamliner, Noble Energy’s potentially huge natural gas finds in the Mediterranean, McDonald’s outstanding 7.4 percent sales growth in November (marking 103 consecutive months of same-store sales growth) or NovaGold’s extremely positive organizational changes. As at December 31, 2011

RENAISSANCE INVESTMENTS 89

U.S. EQUITY FUNDS

Renaissance U.S. Equity Growth Currency Neutral Fund (Class A)

U.S. EQUITY FUNDS

Renaissance U.S. Equity Fund (Class A) Fund Category US Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth by investing primarily in equity securities of companies listed on major U.S. exchanges and/or domiciled primarily in the United States.

Growth of $10,000 16 Fund

Benchmark A S&P 500 Index

14 12 10 8

Volatility Analysis

6 4

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

43.1% 08-31-1998 to 08-31-1999

-33.5% 05-31-2008 to 05-31-2009

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F F A A A

Back End Charge Front End Charge Low Load Charge No Sales or Redem No Sales or Redem Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD USD USD USD USD

ATL855 ATL911 ATL662 ATL028 ATL097 ATL799 ATL797 ATL798

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

Investment Style

Notes Class F MER: 0.98% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

220.8

128.4

105.4

77.3

47.8

35.3

22.3

12.9

11.8

10.5

10.2

-14.3 -10.5 -6.4

-24.3 -22.5 -22.7

5.7 6.4 5.2

2.1 2.5 3.3

1.2 2.0 1.6

11.3 12.2 15.7

-11.5 -10.8 -10.5

-27.4 -28.5 -21.9

4.3 10.9 8.1

7.4 10.6 9.3

5.9 -0.6 4.4

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

0.2 -0.2 0.8

8.4 8.0 9.5

1.2 -4.0 1.6

5.9 -0.6 4.4

6.6 4.9 6.9

5.8 6.8 7.3

-5.3 -4.9 -2.9

-3.5 -2.8 -1.6

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

October 25, 1996 1.93% $500

888 888 FUND www.renaissanceinvestments.ca

Top Ten Holdings

0.0 99.9 0.0 0.0 0.0 0.1 0.0

% Assets

Apple, Inc. International Business Machines Corp Exxon Mobil Corporation Directv Google, Inc.

2.8 2.4 1.9 1.5 1.3

Caterpillar Inc TJX Companies Reynolds American Inc Cognizant Technology Solutions Cl A Starbucks Corporation

1.3 1.2 1.0 1.0 1.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

378 378 376 0

Market Cap

Large Medium Small

73.5 26.2 0.3

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States

% Equity

7.7 9.3 13.0 3.8 14.2 13.7 1.5 11.1 11.9 13.9 0.0 % Assets

100.0

Investment Management Overview Manager Bios

Investment Management Approach

E. Robert Fernholz | 12-01-2008 INTECH Investment Management LLC

E. Robert Fernholz, Ph.D., Co-Chief Investment Officer and Chairman of the Investment Committee, founded INTECH in 1987. In 1982, Dr. Fernholz published a paper titled “Stochastic Portfolio Theory and Stock Market Equilibrium,” which became the basis for the INTECH portfolio process. Dr. Fernholz received his Ph.D. in Mathematics from Columbia University and holds an A.B. in Mathematics from Princeton University. Other Assets Managed

Since

CIBC Disciplined International Equity CIBC Disciplined US Equity

09-06 10-06

Joseph Runnels | 12-01-2008 INTECH Investment Management LLC

Joseph Runnels, CFA, is Vice President, Portfolio Management of INTECH. Mr. Runnels joined INTECH in June of 1998 from QED Information Systems, a software development company providing portfolio management and investment accounting systems. Mr. Runnels spent six years prior to that in portfolio management for the Tennessee Consolidated Retirement System in their fixed income investment division. Mr. Runnels holds a B.S. in Business Administration from Murray State University and has earned the right to use the Chartered Financial Analyst designation. Adrian Banner | 12-01-2008 INTECH Investment Management LLC

Adrian Banner, Ph.D., joined INTECH in August of 2002 and since that time has been an integral part of the firm’s Princeton-based research team. Dr. Banner, who was appointed co-chief investment officer at INTECH in 2009, has extensive knowledge of INTECH’s trading systems, optimization programs and research initiatives, both on an operational and theoretical basis, and has held various roles as part of INTECH’s Princeton team prior to being named co-CIO.

This Fund benefits from the exceptional discipline and risk management of INTECH Investment Management, LLC (INTECH), who use a proprietary mathematical model to capitalize on the market’s volatility. INTECH’s quantitative strategy captures excess returns from the U. S. equity markets, while eliminating subjective or emotional investment decisions. INTECH employs a mathematical model to capitalize on equity market growth while carefully managing risk. Their strategy seeks to generate excess returns by using the natural volatility and correlation of stocks while carefully managing risk. For this Fund, INTECH invests primarily in common stocks from the S&P 500 Index, selected for their potential contribution to long-term growth of capital. The goal of this process is to build a portfolio of stocks in a more efficient version than the

index. The process seeks to capitalize on the natural volatility of the market by searching for stocks within the index that have high relative volatility (providing the potential for excess returns) but that essentially move in opposite directions or have low correlation to each other (providing the potential for lower relative risk). By constructing the portfolio in this manner and continually rebalancing the portfolio to maintain "efficient" weightings, the mathematical process seeks to create a portfolio that produces returns in excess of its respective benchmark with an equal or lesser amount of risk. The result is a Fund that allows investors to participate in the growth of U.S. equities, one of the world’s largest economies, while managing risk through a highly disciplined investment process. This Fund serves as an excellent U.S. core component of a diversified portfolio.

Manager Commentary The manager has not made any changes to its investment process. The manager offers equity investors highly disciplined, risk-managed mathematical investment strategies that attempt to achieve a longterm target return in excess of a benchmark, while reducing the risk of significant underperformance relative to the benchmark. The manager’s investment process does not involve predicting individual stock prices or stock alphas. Instead, INTECH uses the volatility and correlation characteristics of stocks to build portfolios with the potential to produce returns in excess of the benchmark at benchmark-like risk and with high information ratios over the long term. As such, the firm has no economic, market, or fundamental outlook.

The manager will continue building portfolios in a disciplined and deliberate manner, with risk management remaining the hallmark of the investment process. The firm’s highly disciplined investment process is focused on the long term and incorporates a level of risk management that allows for consistent management in varying environments. While the portfolio may experience short periods of underperformance, the manager expects to exceed the benchmark over a threeto five-year time horizon. As the firm’s ongoing research efforts yield modest improvements, the manager will continue implementing changes it believes are likely to improve the long-term results for clients. As at December 31, 2011

RENAISSANCE INVESTMENTS 91

U.S. EQUITY FUNDS

Renaissance U.S. Equity Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance International Dividend Fund (Class A) Fund Category International Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth and income generation by investing primarily in a diversified portfolio of equity securities of foreign companies located in Europe, the Far East and the Pacific Rim.

Growth of $10,000 16 Fund

Benchmark A MSCI EAFE Index

14 12 10 8

Volatility Analysis

6 4

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

39.5% 02-28-2003 to 02-29-2004

-39.4% 11-30-2007 to 11-30-2008

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL856 ATL914 ATL677 ATL032

Inception Date MER Minimum Investment Telephone Web Site

October 25, 1996 2.36% $500

Fund Category Benchmark A

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

79.5

73.0

57.7

41.4

36.7

27.5

14.7

13.6

10.7

7.1

-19.9 -15.7 -16.3

-18.7 -22.6 -16.5

14.0 12.4 13.8

7.0 9.5 11.9

7.3 11.3 11.2

26.0 23.1 26.4

-1.9 -6.6 -5.3

-32.0 -34.5 -28.8

7.1 13.2 12.5

-0.7 2.6 2.6

-11.1 -12.2 -9.5

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-2.2 -1.8 -0.8

0.7 1.6 1.0

-12.3 -13.4 -11.6

-11.1 -12.2 -9.5

-6.1 -5.1 -3.7

-1.9 0.6 1.4

-8.8 -9.0 -6.8

-1.7 -2.0 0.5

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2001

Investment Style

Class F MER: 1.27%

123.3

888 888 FUND www.renaissanceinvestments.ca

Notes

0.0 0.0 99.9 0.0 0.0 0.1 0.0

% Assets

British American Tobacco PLC Boliden AB Basf SE Eni SpA RSA Insurance Group PLC

4.3 3.3 2.9 2.9 2.9

Statoil ASA Orion Oyj Belgacom SA Novartis AG Delek Group Ltd.

2.4 2.1 2.1 2.0 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

121 121 119 0

Market Cap

Large Medium Small

70.9 28.3 0.8

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Japan United Kingdom Australia France Sweden

% Equity

5.3 9.2 23.0 10.9 8.1 10.8 6.7 12.6 9.8 3.6 0.0 % Assets

21.4 15.3 11.3 8.4 7.7

Investment Management Overview Manager Bios Tom Mermuys | 12-01-2008 Kleinwort Benson Investors Intl Ltd.

Tom Mermuys joined the Dublin office of Kleinwort Benson (formerly KBCAM) in September 2003, having worked as a portfolio manager at Kleinwort Benson (formerly KBCAM) in Brussels since 2002. He graduated in Business Economics from the VLEKHO School of Economics, Brussels in 1999 followed by a Degree in Portfolio Management at EHSAL School of Economics, Brussels in 2002. He has also completed the CEFA (Certified European Financial Analyst) qualification. David Hogarty | 12-01-2008 Kleinwort Benson Investors Intl Ltd.

David Hogarty joined UBIM (now KBCAM) in 1994 as a Client Servicing Manager, moved into Business Development in 1998 and took up his current role as Product Specialist following the launch of the Dividend Plus Strategy in 2003. He previously worked as a private client investment advisor in a private brokerage firm. Mr. Hogarty graduated from University College Dublin with a B.A. in Economics and Politics in 1989.

Investment Management Approach The Fund benefits from the structured, quantitative investment management expertise of Kleinwort Benson Investors to construct a well diversified portfolio of international stocks with high dividend characteristics. Kleinwort Benson Investors follow a highly disciplined quantitative investment strategy to select companies that have a commitment to high levels of income payments. Kleinwort Benson Investors' belief that high dividend yielding companies offer better performance with lower risk drives their investment philosophy. The firm's investment approach considers all stocks, irrespective or mark capitalization, to maximize the size of the opportunity. They primarily select companies that generate high levels of cash and have chosen to pay a

high proportion of it to their shareholders, while avoiding deep value stocks. They also check for dividend sustainability, to avoid stocks that are overpaying relative to their financial strength. Kleinwort Benson Investors invest on a regional and sector-neutral basis relative to the MSCI EAFE Index, allowing them to reduce the risks of industry and regional traps. The result is a well diversified international equity portfolio that provides capital appreciation as well as downside protection. This Fund is an excellent option for investors seeks a conservative approach to investing in international equity markets.

Manager Commentary Over recent months the dividend strategy employed by the manager has remained unchanged. During a period of heightened market volatility and nervous sentiment, the companies within the fund have continued to deliver in line with the managerâ&#x20AC;&#x2122;s expectations, offering aboveaverage profit surprises, increased dividend payouts, low volatility and aggressive use of balance sheets. The managerâ&#x20AC;&#x2122;s outlook is for market volatility to persist in the short term. The manager believes economic growth will be weak but importantly, positive. The firm does not share the exaggerated economic pessimism currently dominating financial markets, and would furthermore highlight the financial health of the

corporate sector which should provide strong support to current share price valuations. The fundâ&#x20AC;&#x2122;s dividend strategy strives to achieve lower volatility than the benchmark as well as strong diversity in stock, industry and regional exposures. The manager will continue to seek out high-quality companies with strong balance sheets, low levels of debt and that are cash rich. The fund should benefit from exposure to companies actively putting their cash to work through acquisition activity, increased dividend payments and share buyback programs. As at December 31, 2011

RENAISSANCE INVESTMENTS 93

GLOBAL EQUITY FUNDS

Renaissance International Dividend Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance International Equity Fund (Class A) Fund Category International Equity

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 16 Fund

Benchmark A MSCI EAFE Index

14 12 10 8

Volatility Analysis

6 4

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

37.6% 03-31-2003 to 03-31-2004

-35.4% 03-31-2002 to 03-31-2003

Fund Category Benchmark A

Fund Details Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1869 ATL1868 ATL2869 ATL1644

Telephone Web Site

January 2, 2001 2.81% $500

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

57.0

61.7

53.2

54.7

80.7

40.5

55.4

67.2

61.5

— -15.7 -16.3

-23.0 -22.6 -16.5

12.6 12.4 13.8

5.8 9.5 11.9

13.0 11.3 11.2

22.7 23.1 26.4

-2.4 -6.6 -5.3

-15.4 -34.5 -28.8

7.6 13.2 12.5

4.7 2.6 2.6

-9.3 -12.2 -9.5

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-3.0 -1.8 -0.8

-0.4 1.6 1.0

-9.4 -13.4 -11.6

-9.3 -12.2 -9.5

-2.5 -5.1 -3.7

0.7 0.6 1.4

-3.4 -9.0 -6.8

0.7 -2.0 0.5

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

53.1

Investment Style

Class F MER: 1.36%

69.9

888 888 FUND www.renaissanceinvestments.ca

Notes

2001

Trailing Returns %

Class

Inception Date MER Minimum Investment

0.0 0.0 98.5 0.0 0.0 1.4 0.1

% Assets

Novo Nordisk A/S BG Group PLC Fanuc Corp Adidas AG Novartis AG

3.2 2.7 2.6 2.4 2.4

China Mobile Ltd. CLP Holdings Limited Canon, Inc. Tesco PLC Reckitt Benckiser Group PLC

2.4 2.4 2.4 2.3 2.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

54 54 52 0

Market Cap

Large Medium Small

94.5 5.5 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Japan United Kingdom Switzerland France Australia

% Equity

5.7 14.4 11.3 2.3 12.1 16.3 2.4 8.1 16.7 10.7 0.0 % Assets

27.4 18.5 7.7 7.3 7.2

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Roy Leckie | 05-01-2004 Walter Scott & Partners Limited

Roy is a director of Walter Scott and, along with Charlie Macquaker, leads the investment management group. He began his career at Walter Scott joining the firm in 1995 and holds a BSc (hons) in Statistics from the University of Glasgow. Other Assets Managed

Since

Renaissance Global Growth Renaissance Glbl Growth Ccy Netrl Cl A Renaissance International Eq Ccy Netrl A

05-04 10-10 10-10

Charles Macquaker | 05-01-2004 Walter Scott & Partners Limited

Charlie is a director of Walter Scott and co-heads the investment management group. He is also currently head of the North American research team. Charlie began his investment career at the Walter Scott joining the firm in 1991. He holds a BSc (hons) in European Studies from Buckingham University. Other Assets Managed

Since

Renaissance Global Growth Renaissance Glbl Growth Ccy Netrl Cl A Renaissance International Eq Ccy Netrl A

05-04 10-10 10-10

The Fund benefits from the conservative and patient, bottom-up growth style of Walter Scott & Partners Limited, a firm that takes a fundamental, long-term investment approach to international equities. Walter Scott invests in high-quality companies with a high return on equity, in industries enjoying aboveaverage, sustainable growth. Their buy and hold approach is focused on stock selection based almost entirely on internal research because of their focus on long-term results. Walter Scott screens more than 3000 companies with proprietary financial analysis tools and narrows the field to approximately 300 companies on which they complete intensive analysis and their seven

proprietary qualitative screens. A stock is selected only after it has received unanimous support of the investment team and typically begins with a 2% weighting in the portfolio. The portfolioâ&#x20AC;&#x2122;s country allocation is determined as a result of the stock and sector decisions. The result is a buy and hold, lower volatility portfolio of conservative international growth stocks selected using an in-depth bottom-up approach. The Fund is an excellent complement to a domestic portfolio, and as a growth offset for a value-oriented portfolio.

Manager Commentary Political paralysis and procrastination across the eurozone were the stand-out features of 2011 and these issues outweighed many positive developments within companies held in the fund. With fears of an economic hard landing in China, a still fragile economic recovery in the U.S. and unresolved geopolitical issues, equity markets remain highly susceptible to bad macroeconomic news.

characteristics of equity markets in 2011, with such behaviour translating into even closer correlation between major indices as well as closer correlation within those indices. The result of this on valuations across the board may well present compelling opportunities to invest in world-leading companies excellently positioned for growth and thereby meaningful wealth creation over the long term.

The managerâ&#x20AC;&#x2122;s global approach allows regular dialogue with companies across geographies and sectors. The circumstances may differ but the themes are familiar with determined management teams of market leading, financially strong companies still resolutely pursuing growth opportunities. Volatility and uncertainty were

Over the period Coca-Cola Amatil was added to the portfolio while Esprit, Lend Lease and Nintendo were sold. The holding in Taiwan Semiconductor was increased and the holding in Synthes reduced. As at December 31, 2011

RENAISSANCE INVESTMENTS 95

GLOBAL EQUITY FUNDS

Renaissance International Equity Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance International Equity Currency Neutral Fund (Class A) Fund Category International Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To provide long-term capital growth through capital appreciation by investing primarily in a diversified portfolio of equity securities of foreign companies located in Europe, the Far East and the Pacific Rim.The Fund will attempt to reduce its currency exposure to nonCanadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from non- Canadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 14

Volatility Analysis

Fund

Benchmark A MSCI EAFE Index

13 12 11 10 9 8

Performance Quartile (within category over calendar year)

2 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.2

0.7

— -15.7 -16.3

— -22.6 -16.5

— 12.4 13.8

— 9.5 11.9

— 11.3 11.2

— 23.1 26.4

— -6.6 -5.3

— -34.5 -28.8

— 13.2 12.5

— 2.6 2.6

-11.7 -12.2 -9.5

Total Assets ($mil) Low

Medium

High Calendar Year Returns %

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

-6.4% 10-31-2010 to 10-31-2011

-11.7% 12-31-2010 to 12-31-2011

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-2.2 -1.8 -0.8

2.1 1.6 1.0

-11.4 -13.4 -11.6

-11.7 -12.2 -9.5

— -5.1 -3.7

— 0.6 1.4

— -9.0 -6.8

-7.6 — —

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1242 ATL1240 ATL1241 ATL1243

Inception Date MER Minimum Investment Telephone Web Site

Portfolio Analysis as of 12-31-2011 Composition

October 20, 2010 2.87% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 1.44% MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

0.0 0.0 97.2 0.0 0.0 1.4 1.4

% Assets

Novo Nordisk A/S BG Group PLC Fanuc Corp Adidas AG Novartis AG

3.2 2.7 2.6 2.4 2.4

China Mobile Ltd. CLP Holdings Limited Canon, Inc. Tesco PLC Reckitt Benckiser Group PLC

2.3 2.3 2.3 2.3 2.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

2 54 52 0

Market Cap

Large Medium Small

96.8 3.2 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Japan United Kingdom Switzerland France Australia

% Equity

5.7 14.4 11.3 2.3 12.1 16.3 2.4 8.1 16.7 10.7 0.0 % Assets

27.0 18.3 7.6 7.2 7.1

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Roy Leckie | 10-20-2010 Walter Scott & Partners Limited

Since

Renaissance Global Growth Renaissance International Equity Renaissance Glbl Growth Ccy Netrl Cl A

05-04 05-04 10-10

Charles Macquaker | 10-20-2010 Walter Scott & Partners Limited

Since

Renaissance Global Growth Renaissance International Equity Renaissance Glbl Growth Ccy Netrl Cl A

05-04 05-04 10-10

The Renaissance International Equity Currency Neutral Fund is managed by CIBC Global Asset Management Inc. Walter Scott & Partners Limited is the investment manager of the underlying fund, the Renaissance International Equity Fund. The underlying fund benefits from the conservative and patient, bottom-up growth style of Walter Scott & Partners Limited, a firm that takes a fundamental, longterm investment approach to international equities. Walter Scott invests in high-quality companies with a high return on equity, in industries enjoying aboveaverage, sustainable growth. Their buy and hold approach is focused on stock selection based almost entirely on internal research because of their focus on long-term results. Walter Scott screens more than 5000

companies with proprietary financial analysis tools and narrows the field to approximately 500 companies on which they complete intensive analysis and their seven proprietary qualitative screens. A stock is selected only after it has received unanimous support of the investment team and typically begins with a 2% weighting in the portfolio. The portfolioâ&#x20AC;&#x2122;s country and sector allocation is a result of those individual stock decisions. The result is a buy and hold strategy selecting portfolio of conservative international growth stocks through an in-depth bottom-up approach. This Fund is an excellent complement to a domestic portfolio, and as a growth offset for a value-oriented portfolio.

Manager Commentary Please note that the following commentary is written in consideration of the underlying fund. Political paralysis and procrastination across the eurozone were the stand-out features of 2011 and these issues outweighed many positive developments within companies held in the fund. With fears of an economic hard landing in China, a still fragile economic recovery in the U.S. and unresolved geopolitical issues, equity markets remain highly susceptible to bad macroeconomic news. The managerâ&#x20AC;&#x2122;s global approach allows regular dialogue with companies across geographies and sectors. The circumstances may differ but the themes are familiar with determined management teams of market leading, financially strong companies still resolutely pursuing

growth opportunities. Volatility and uncertainty were characteristics of equity markets in 2011, with such behaviour translating into even closer correlation between major indices as well as closer correlation within those indices. The result of this on valuations across the board may well present compelling opportunities to invest in world-leading companies excellently positioned for growth and thereby meaningful wealth creation over the long term. Over the period Coca-Cola Amatil was added to the portfolio while Esprit, Lend Lease and Nintendo were sold. The holding in Taiwan Semiconductor was increased and the holding in Synthes reduced. As at December 31, 2011

RENAISSANCE INVESTMENTS 97

GLOBAL EQUITY FUNDS

Renaissance International Equity Currency Neutral Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Markets Fund (Class A) Fund Category Global Equity

Morningstar Rating QQQQQ

Investment Objective

Performance as of 12-31-2011

To obtain long-term growth of capital and income by investing primarily in equity and debt securities on a worldwide basis.

Growth of $10,000 11 Fund

Benchmark A MSCI World Index

10 9 8

Volatility Analysis

7 6 5 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

33.9% 03-31-1997 to 03-31-1998

-40.0% 02-28-2008 to 02-28-2009

Fund Details

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1873 ATL1029 ATL2873 ATL1647

Fund Category Benchmark A

Telephone Web Site

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

153.6

95.1

78.8

58.0

37.4

44.7

231.0

172.9

186.1

196.9

202.2

-14.1 -5.2 -11.3

-20.8 -17.4 -20.4

6.9 10.6 9.4

2.3 6.4 6.9

4.3 5.8 7.3

14.5 18.0 20.2

5.9 -6.6 -7.1

-34.9 -29.3 -25.4

14.5 14.3 11.1

16.8 6.5 6.5

0.6 -7.6 -2.7

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-0.5 -1.2 0.1

7.7 3.6 5.3

-3.2 -9.1 -5.1

0.6 -7.6 -2.7

8.4 -0.8 1.8

10.4 4.0 4.8

-1.5 -5.8 -4.4

-0.4 -1.0 -0.4

Portfolio Analysis as of 10-31-2011 January 11, 1993 2.74% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.14% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

9.8 22.4 54.6 0.0 0.0 13.0 0.2

% Assets

Jardine Matheson Holdings Ltd. British American Tobacco PLC The Swatch Group AG Schindler Holding AG Imperial Tobacco Group PLC

9.3 5.6 5.3 5.1 5.0

Compagnie Financiere Richemont SA Genting Malaysia Bhd Birchcliff Energy Ltd. Nestle SA Genting Bhd

4.4 4.2 4.2 4.0 3.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

38 38 35 0

Market Cap

Large Medium Small

91.5 4.9 3.6

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Canada Switzerland United Kingdom Hong Kong

% Equity

0.0 8.9 14.4 4.1 23.0 27.9 0.0 17.6 0.0 4.2 0.0 % Assets

22.8 22.6 19.0 13.8 11.2

Investment Management Overview Manager Bios

Investment Management Approach

David J. Winters | 10-01-2006 Wintergreen Advisers, LLC

Since

Renaissance Optimal Global Equity Port Renaissance Optimal Glbl Eq Pt Elite T4 Renaissance Optimal Glbl Eq Pt Elite T6 Renaissance Optimal Glbl Eq Pt Elite T8 Renaissance Optimal Glbl Eq Pt Elite Cl Renaissance Optimal Glbl Eq Pt Sel T4 Cl Renaissance Optimal Glbl Eq Pt Sel T6 Cl Renaissance Optimal Glbl Eq Pt Sel T8 Cl Renaissance Optimal Glbl Eq Port Sel Cl Renaissance Optimal Glbl Eq Port T4 Cl

10-06 10-06 10-06 10-06 10-06 10-06 10-06 10-06 10-06 10-06

The Fund benefits from the highly successful, deep value investment approach to global equity of David J. Winters, exclusively available in Canada through Renaissance Investments. David J. Winters of Wintergreen Advisers employs a deep-value style to managing equities by investing in undervalued and distressed companies that are currently out of favour with the broader market, but whose solid prospects demonstrate signs for a significant return on investment. In picking stocks for the Fund, he favours a tight portfolio of companies where senior management often act like long-term owners of the business. Mr. Wintersâ&#x20AC;&#x2122; stock selection is based on the strength of his conviction, where he carefully follows companies waiting for their prices to fall to a level where he

believes they are seriously undervalued. In order to provide consistent returns over the long term, flexibility is key. As a result, Mr. Winters has the ability to invest in companies of any size, in any geographic region or sector. He may also take advantage of arbitrage opportunities and distressed securities in the global market. The result is a flexible, high conviction, go-anywhere deep value global portfolio that is less correlated to market returns than typical active managers, has low turnover and is focused on providing consistent returns over time. The Fundâ&#x20AC;&#x2122;s lower correlation with major markets makes it an excellent diversifying complement to a portfolio.

Manager Commentary Over the past few years, volatile stock markets have presented the manager with many opportunities to buy name-brand companies with growing global franchises at what it believes are very compelling prices. The manager continues to see well-run companies with meaningful exposure to the growing markets of Asia, South America, and Africa selling for attractive valuations. Many of these companies are based in Western countries with Western-style management and well-established rule of law and accounting standards,

but they derive a meaningful amount of business from the growing economies of the developing world. Buying companies with these qualities at rock-bottom prices in the panic of 2008 and 2009 led the fund to strong returns in the past two and a half years. Although the manager makes no guarantees, it believes that being a prudent buyer in the recent volatile market has the potential to reward shareholders in the coming years. As at December 31, 2011

RENAISSANCE INVESTMENTS 99

GLOBAL EQUITY FUNDS

Renaissance Global Markets Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Optimal Global Equity Portfolio (Class A) Fund Category Global Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To seek long-term capital appreciation by investing primarily in units of global and/or Canadian mutual funds.

Growth of $10,000 11 Fund

Benchmark A MSCI World Index

10 9 8

Volatility Analysis

7 6 5 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil) Best 1 Year Return

Worst 1 Year Return

36.9% 02-28-2003 to 02-29-2004

-37.8% 09-30-2000 to 09-30-2001

Portfolio Details

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A Sel Sel Sel Elite Elite Elite F

Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL1903 ATL1902 ATL2903 ATL2421 ATL2419 ATL2420 ATL2424 ATL2422 ATL2423 ATL1652

Fund Category Benchmark A

Telephone Web Site

Investment Style

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

80.1

53.4

50.8

39.4

100.1

80.2

52.6

31.8

30.7

27.3

22.3

-16.6 -5.2 -11.3

-28.6 -17.4 -20.4

14.1 10.6 9.4

2.4 6.4 6.9

5.1 5.8 7.3

14.1 18.0 20.2

-11.7 -6.6 -7.1

-21.1 -29.3 -25.4

14.8 14.3 11.1

10.5 6.5 6.5

-7.1 -7.6 -2.7

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-2.4 -1.2 0.1

4.2 3.6 5.3

-7.6 -9.1 -5.1

-7.1 -7.6 -2.7

1.3 -0.8 1.8

5.6 4.0 4.8

-3.9 -5.8 -4.4

-1.9 -1.0 -0.4

Portfolio Analysis as of 12-31-2011 Actual Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

February 16, 2000 2.73% $500

888 888 FUND www.renaissanceinvestments.ca

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

Top 5 Global Equity Sectors

Industrial Consumer Discretionary Financials Energy Utilities

10.7 32.8 49.8 0.1 0.0 5.7 0.8

% Equity

14.6 14.3 12.0 11.7 11.4

Market Cap

Large Medium Small

70.9 20.2 8.9

Top Holdings

% Assets

Renaissance Global Markets Fund, Class 'O' Renaissance Global Value Renaissance Global Focus Fund, Class 'O' Renaissance Global Infrastructure Fund, Class 'O' Renaissance Global Small Cap

25.1 24.9 24.9 15.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

7 544 530 0

10.0

Notes T-class units also available. Class F MER: 1.43% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

Investment Management Overview Investment Managers David J. Winters | 10-01-2006 Wintergreen Advisers, LLC Management Team | 06-01-2009 Aletheia Research and Management, Inc. Management Team | 05-01-2005 NWQ Investment Management Co LLC Management Team | 02-01-2000

Investment Management Approach The Fund combines the investment expertise of five world-class management teams to deliver a welldiversified, automatically rebalanced, multi manager approach to global equities. The strategic mix of some of Renaissance Investments’ top global funds creates the potential to generate higher returns in all types of economic cycles.

Wellington Management Company, LLP Management Team | 08-20-2007 RARE Infrastructure Limited

Aletheia Research & Management, Inc. manages 25% of the portfolio. Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully. NWQ Investment Management Company, LLC manages 25% of the portfolio using their fundamental, long-term approach to global equity. The firm employs a bottom-up value approach to stock selection, actively seeking out undervalued companies with catalysts to improve profitability or unlock value. In a market fuelled by emotion, NWQ strips away the subjectivity to search for objective value and has maintained an unwavering commitment to value investing since the firm’s founding in 1982. Discipline, collaboration and accountability remain the cornerstones of their culture. RARE Infrastructure Limited manages 15% of the portfolio bringing one of the world’s most experienced global infrastructure investment teams with more than

70 years combined expertise. The firm applies a combination of quantitative and qualitative assessments to select a concentrated portfolio of stocks from more than 40,000 global listed securities. For the 10% global small-cap component, the Fund draws upon Wellington Management, LLP. Wellington’s global small cap philosophy is based on their core belief that the small-cap market is inefficient. Using intensive fundamental research with a global perspective, they aim to exploit these inefficiencies. Wintergreen Advisers, LLC manages the final 25% of the fund utilizing the highly successful opportunistic investment approach to global equity of David J. Winters. Mr. Winters uses an opportunistic style to managing equities by investing in undervalued and distressed companies that are currently out of favour with the broader market, but whose solid prospects demonstrate signs for a significant return on investment. In picking stocks for the Fund, he favours a tight portfolio of companies where senior management often acts like long-term owners of the business. Mr. Winters’ stock selection is based on the strength of his conviction, where he carefully follows companies waiting for their prices to fall to a level where he believes they are seriously undervalued. The end result is an optimal mix of Renaissance funds which will provide investors with exposure to a broad range of investment managers, asset classes and regions designed to capture the best global market opportunities.

RENAISSANCE INVESTMENTS 101

GLOBAL EQUITY FUNDS

Renaissance Optimal Global Equity Portfolio (Class A)

GLOBAL EQUITY FUNDS

Renaissance Optimal Global Equity Currency Neutral Portfolio (Class A) Fund Category Global Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long-term capital appreciation by investing primarily in units of global and/or Canadian mutual funds. The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from non- Canadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 15

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

-2.6% 10-31-2010 to 10-31-2011

-9.1% 12-31-2010 to 12-31-2011

Portfolio Details Class

Load Structure

Currency

Fund Code

A A A Elite Elite Elite F Sel Sel Sel

Defer Sales Charge Front End Charge Low Load Charge Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem Defer Sales Charge Front End Charge Low Load Charge

CAD CAD CAD CAD CAD CAD CAD CAD CAD CAD

ATL1267 ATL1265 ATL1266 ATL1275 ATL1273 ATL1274 ATL1268 ATL1272 ATL1270 ATL1271

Inception Date MER Minimum Investment Telephone Web Site

14 13 12 11 10 9

Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A MSCI World Index

October 20, 2010 2.85% $500

888 888 FUND www.renaissanceinvestments.ca

Total Assets ($mil)

3 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.6

1.1

— -5.2 -11.3

— -17.4 -20.4

— 10.6 9.4

— 6.4 6.9

— 5.8 7.3

— 18.0 20.2

— -6.6 -7.1

— -29.3 -25.4

— 14.3 11.1

— 6.5 6.5

-9.1 -7.6 -2.7

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-1.9 -1.2 0.1

6.0 3.6 5.3

-10.1 -9.1 -5.1

-9.1 -7.6 -2.7

— -0.8 1.8

— 4.0 4.8

— -5.8 -4.4

-3.5 — —

Portfolio Analysis as of 12-31-2011 Actual Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top 5 Global Equity Sectors

Industrial Consumer Discretionary Financials Energy Utilities

10.7 32.7 49.5 0.1 0.0 5.6 1.5

% Equity

14.6 14.3 12.0 11.7 11.4

Market Cap

Large Medium Small

70.9 20.3 8.8

Top Holdings

% Assets

Renaissance Global Markets Fund, Class 'O' Renaissance Global Value Renaissance Global Focus Fund, Class 'O' Renaissance Global Infrastructure Renaissance Global Small Cap

25.0 24.9 24.6 15.0 10.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

6 544 530 0

Investment Style

Notes T-Class units also available. Class F MER: 1.44%. MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details. ©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Investment Managers David J. Winters | 10-20-2010 Wintergreen Advisers, LLC Management Team Aletheia Research and Management, Inc. Management Team NWQ Investment Management Co LLC Management Team Wellington Management Company, LLP

Investment Management Approach The Renaissance Optimal Global Equity Currency Neutral Portfolio is managed by CIBC Global Asset Management Inc. Aletheia Research and Management, Inc., NWQ Investment Management Company, LLC, RARE Infrastructure Limited, Wellington Management Company, LLP, Wintergreen Advisers, LLC are the investment managers of the funds within the underlying portfolio.

RARE Infrastructure Limited manages 15% of the portfolio bringing one of the world’s most experienced global infrastructure investment teams with more than 70 years combined expertise. The firm applies a combination of quantitative and qualitative assessments to select a concentrated portfolio of stocks from more than 40,000 global listed securities.

Management Team RARE Infrastructure Limited

The underlying portfolio combines the investment expertise of five world-class management teams to deliver a well-diversified, automatically rebalanced, multi manager approach to global equities. The strategic mix of some of Renaissance Investments’ top global funds creates the potential to generate higher returns in all types of economic cycles. Aletheia Research & Management, Inc. manages 25% of the portfolio. Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully. NWQ Investment Management Company, LLC manages 25% of the portfolio using their fundamental, long-term approach to global equity. The firm employs a bottom-up value approach to stock selection, actively seeking out undervalued companies with catalysts to improve profitability or unlock value. In a market fuelled by emotion, NWQ strips away the subjectivity to search for objective value and has maintained an unwavering commitment to value investing since the firm’s founding in 1982. Discipline, collaboration and accountability remain the cornerstones of their culture.

For the 10% global small-cap component, the Fund draws upon Wellington Management, LLP. Wellington’s global small cap philosophy is based on their core belief that the small-cap market is inefficient. Using intensive fundamental research with a global perspective, they aim to exploit these inefficiencies. Wintergreen Advisers, LLC manages the final 25% of the fund utilizing the highly successful opportunistic investment approach to global equity of David J. Winters. Mr. Winters uses an opportunistic style to managing equities by investing in undervalued and distressed companies that are currently out of favour with the broader market, but whose solid prospects demonstrate signs for a significant return on investment. In picking stocks for the Fund, he favours a tight portfolio of companies where senior management often acts like long-term owners of the business. Mr. Winters’ stock selection is based on the strength of his conviction, where he carefully follows companies waiting for their prices to fall to a level where he believes they are seriously undervalued. The end result is an optimal mix of Renaissance funds which will provide investors with exposure to a broad range of investment managers, asset classes and regions designed to capture the best global market opportunities, while managing exchange rate fluctuations.

RENAISSANCE INVESTMENTS 103

GLOBAL EQUITY FUNDS

Renaissance Optimal Global Equity Currency Neutral Portfolio (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Value Fund (Class A) Fund Category Global Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To seek long-term growth through capital appreciation consistent with preservation of capital through investment primarily in a diversified portfolio of common shares of larger, more established companies in developed markets around the world. The Fund may also invest in larger, more established companies in less developed markets around the world, and may invest in companies that are suppliers or clients of larger companies.

Growth of $10,000 11

Volatility Analysis

Fund

Benchmark A MSCI World Index

10 9 8 7 6 5

Performance Quartile (within category over calendar year)

Total Assets ($mil) Low

Medium

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

189.1

122.6

112.1

86.0

65.5

83.8

77.8

52.0

41.0

33.4

22.3

-6.3 -5.2 -11.3

-23.4 -17.4 -20.4

10.7 10.6 9.4

0.0 6.4 6.9

3.5 5.8 7.3

18.2 18.0 20.2

-11.7 -6.6 -7.1

-19.4 -29.3 -25.4

4.0 14.3 11.1

6.3 6.5 6.5

-12.2 -7.6 -2.7

High Calendar Year Returns %

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

32.9% 02-28-2003 to 02-29-2004

-33.5% 03-31-2002 to 03-31-2003

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-3.3 -1.2 0.1

0.3 3.6 5.3

-9.2 -9.1 -5.1

-12.2 -7.6 -2.7

-3.4 -0.8 1.8

-1.0 4.0 4.8

-7.1 -5.8 -4.4

-3.3 -1.0 -0.4

Fund Details

Portfolio Analysis as of 12-31-2011

Class

Load Structure

Currency

Fund Code

Composition

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1031 ATL1030 ATL2031 ATL1625

Inception Date MER Minimum Investment Telephone Web Site

May 1, 1998 2.80% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 1.40% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

6.9 42.4 48.2 0.0 0.0 2.5 0.0

% Assets

Pfizer Inc Nippon Telegraph and Telephone ADR CA, Inc. Sanofi AstraZeneca PLC

2.9 2.5 2.5 2.3 2.2

Barrick Gold Corporation Merck & Co Inc Newcrest Mining Limited Viacom, Inc. B Kinross Gold Corporation

2.2 2.2 2.1 2.0 2.0

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

73 73 71 0

Market Cap

Large Medium Small

83.6 15.4 1.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Japan Canada France South Korea

% Equity

3.8 11.0 14.3 13.0 10.3 8.1 8.0 11.3 9.8 10.2 0.0 % Assets

42.4 17.9 9.3 5.7 3.4

Investment Management Overview Manager Bios Peter L. Boardman | 05-01-2005 NWQ Investment Management Co LLC

Peter Boardman is a portfolio manager and a consumer durables analyst at Tradewinds. Prior to joining Tradewinds, Peter was an international equity analyst at Nuveen affiliate NWQ for three years. Before that time, he was a senior analyst with USAA Investment Management managing the Japan portion of the firm’s international fund while covering automobiles, pharmaceuticals, and semiconductors on a global sector basis. He spent eight years with UBS Warburg as a sellside analyst following the automobile and auto parts industries in North America, Japan, and Asia. Mark A. Morris | 05-01-2005 NWQ Investment Management Co LLC

Morris is a senior vice president with NWQ Investment Management, his employer since 2001. Prior to this, he was a director and portfolio manager with Merrill Lynch Investment Managers. Previously, Morris worked as a senior vice president and analyst at Trust Company of the West and as vice president and technology analyst at Hanifen Imhoff. Gregg S. Tenser | 05-01-2005 NWQ Investment Management Co LLC

Gregg S. Tenser joined NWQ as Vice President and Analyst in 2001, became Senior Vice President in 2003 and was named Managing Director in 2005. Mr. Tenser holds the Chartered Financial Analyst designation.

Investment Management Approach The Fund benefits from the bottom-up value investment expertise of NWQ Investment Management, a firm that takes a fundamental, long-term approach to global equity. Los Angeles-based NWQ employs a bottom-up value approach to stock selection, actively seeking out undervalued companies with catalysts to improve profitability or unlock value. In a market fuelled by emotion, NWQ strips away the subjectivity to search for objective value and has maintained an unwavering commitment to value investing since the firm’s founding in 1982. Discipline, collaboration and accountability remain the cornerstones of their culture. Based on three critical factors, NWQ’s investment process is disciplined, yet opportunistic. Firstly, they seek attractive valuation, applying a corporate finance perspective that

emphasizes absolute valuation in addition to cash flow and balance sheet analysis. Secondly, they seek favourable risk/reward and downside protection, as they believe the loss of capital should be limited. Lastly, but perhaps most critical, they seek inflection points, or catalysts that serve to improve profitability or unlock value before such changes become evident to other investors. The result is a globally diversified portfolio of undervalued companies with catalysts to improve profitability or unlock value. The Fund is an excellent complement to a domestic portfolio, and as a value offset for a growth-oriented portfolio.

Manager Commentary The manager continues to focus on bottom-up fundamental analysis when constructing its portfolios. Sector and regional weightings in the fund are a byproduct of the manager’s disciplined investment process. From a sector perspective, the fund retains an underweight to financials relative to its benchmark, with a focus on well-capitalized, insurance-related companies and global banking franchises. Telecommunication services remain one of the largest overweighed sectors in the fund. The manger continues to remain attracted to oligopolistic, strongly franchised telecom companies in markets with limited telecom penetration. The fund also maintains an overweight to the materials and processing sector with a concentrated exposure to gold-related holdings.

Over the last few years, the manager has invested in quality companies with strong market shares and solid balance sheets which happened to be domiciled in Japan. The fund continues to be overweight Japanese names and the manager believes that the risk/reward profile of these holdings remain attractive. The manager is managing its exposure to European companies, attempting to avoid low-priced businesses which it believes will likely only stagnate or continue to decline, while maintaining or building positions in firms where the manager finds long-term value. As at December 31, 2011

RENAISSANCE INVESTMENTS 105

GLOBAL EQUITY FUNDS

Renaissance Global Value Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Growth Fund (Class A) Fund Category Global Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth by investing in a diversified portfolio consisting primarily of equity securities of companies located anywhere in the world.

Growth of $10,000 10 Fund

Benchmark A MSCI World Index

9 8 7

Volatility Analysis

6 5 4 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Worst 1 Year Return

42.5% 02-28-1999 to 02-29-2000

-36.6% 03-31-2002 to 03-31-2003

Fund Details

Fund Category Benchmark A

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL503 ATL504 ATL516 ATL034

Fund Category Benchmark A

Telephone Web Site

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

60.8

34.2

16.4

13.2

19.0

50.9

50.7

45.9

55.2

68.0

114.0

-21.3 -5.2 -11.3

-29.8 -17.4 -20.4

9.6 10.6 9.4

1.5 6.4 6.9

14.3 5.8 7.3

12.5 18.0 20.2

-7.7 -6.6 -7.1

-14.2 -29.3 -25.4

10.3 14.3 11.1

3.5 6.5 6.5

-3.0 -7.6 -2.7

Calendar Year Returns %

Class

Inception Date MER Minimum Investment

2001

Total Assets ($mil) Best 1 Year Return

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-2.0 -1.2 0.1

3.7 3.6 5.3

-2.9 -9.1 -5.1

-3.0 -7.6 -2.7

0.2 -0.8 1.8

3.4 4.0 4.8

-2.6 -5.8 -4.4

-1.3 -1.0 -0.4

Portfolio Analysis as of 12-31-2011 December 17, 1998 2.82% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.50% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2.1 45.8 49.9 0.0 0.0 2.2 0.0

% Assets

TJX Companies Nike, Inc. B MasterCard Incorporated A Intel Corp Abbott Laboratories

2.4 2.3 2.2 2.2 2.2

Automatic Data Processing Colgate-Palmolive Company Google, Inc. Hennes & Mauritz AB Precision Castparts Corp.

2.2 2.1 2.1 2.1 2.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

57 57 55 0

Market Cap

Large Medium Small

95.4 4.6 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Japan United Kingdom Canada Australia

% Equity

2.1 15.4 7.6 4.0 13.2 13.1 1.0 9.0 10.5 24.2 0.0 % Assets

45.8 14.4 10.6 4.3 4.1

Investment Management Overview Manager Bios

Investment Management Approach

Roy Leckie | 05-01-2004 Walter Scott & Partners Limited

Since

Renaissance International Equity Renaissance Glbl Growth Ccy Netrl Cl A Renaissance International Eq Ccy Netrl A

05-04 10-10 10-10

Charles Macquaker | 05-01-2004

The Fund benefits from the conservative and patient, bottom-up growth style of Walter Scott & Partners Limited, a firm that takes a fundamental, long-term investment approach to international equities. Walter Scott invests in high-quality companies with a high return on equity, in industries enjoying aboveaverage, sustainable growth. Their buy and hold approach is focused on stock selection based almost entirely on internal research because of their focus on long-term results. Walter Scott screens more than 5000 companies with proprietary financial analysis tools and narrows the field to approximately 500 companies on

which they complete intensive analysis and their seven proprietary qualitative screens. A stock is selected only after it has received unanimous support of the investment team and typically begins with a 2% weighting in the portfolio. The portfolioâ&#x20AC;&#x2122;s country and sector allocation is a result of those individual stock decisions. The result is a buy and hold strategy selecting portfolio of conservative international growth stocks through an in-depth bottom-up approach. This Fund is an excellent complement to a domestic portfolio, and as a growth offset for a value-oriented portfolio.

Walter Scott & Partners Limited

Since

Renaissance International Equity Renaissance Glbl Growth Ccy Netrl Cl A Renaissance International Eq Ccy Netrl A

05-04 10-10 10-10

been characteristics of equity markets in 2011 with such behaviour translating into even closer correlation between major indices as well as closer correlation within those indices. The result of this on valuations across the board may well present compelling opportunities to invest in world-leading companies excellently positioned for growth and thereby meaningful wealth creation over the long term.

Over the period Praxair and Qualcomm were added to the fund and Gilead Sciences, while Nintendo and Walgreen Co. were sold. Additionally, the holding in Inditex was reduced. As at December 31, 2011

RENAISSANCE INVESTMENTS 107

GLOBAL EQUITY FUNDS

Renaissance Global Growth Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Growth Currency Neutral Fund - Class A Fund Category Global Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth by investing in a diversified portfolio consisting primarily of equity securities of companies located anywhere in the world. The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from non- Canadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 15

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

0.3% 11-30-2010 to 11-30-2011

-5.1% 12-31-2010 to 12-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1237 ATL1235 ATL1236 ATL1238

Inception Date MER Minimum Investment Telephone Web Site

14 13 12 11 10 9

Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A MSCI World Index

2 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.2

0.3

— -5.2 -11.3

— -17.4 -20.4

— 10.6 9.4

— 6.4 6.9

— 5.8 7.3

— 18.0 20.2

— -6.6 -7.1

— -29.3 -25.4

— 14.3 11.1

— 6.5 6.5

-5.1 -7.6 -2.7

Total Assets ($mil) Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-1.7 -1.2 0.1

5.7 3.6 5.3

-6.5 -9.1 -5.1

-5.1 -7.6 -2.7

— -0.8 1.8

— 4.0 4.8

— -5.8 -4.4

-1.3 — —

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

October 20, 2010 2.88% $500

888 888 FUND www.renaissanceinvestments.ca Top Ten Holdings

Investment Style

Notes Class F MER: 1.49% MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

2.1 45.6 49.7 0.0 0.0 2.2 0.4

% Assets

TJX Companies Nike, Inc. B MasterCard Incorporated A Intel Corp Abbott Laboratories

2.4 2.3 2.2 2.2 2.2

Automatic Data Processing Colgate-Palmolive Company Google, Inc. Hennes & Mauritz AB Precision Castparts Corp.

2.2 2.1 2.1 2.1 2.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

2 57 55 0

Market Cap

Large Medium Small

95.0 5.0 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Japan United Kingdom Canada Australia

% Equity

2.1 15.4 7.6 4.0 13.2 13.1 1.0 9.0 10.5 24.2 0.0 % Assets

45.6 14.3 10.6 4.7 4.1

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Roy Leckie | 10-20-2010 Walter Scott & Partners Limited

Since

Renaissance Global Growth Renaissance International Equity Renaissance International Eq Ccy Netrl A

05-04 05-04 10-10

Charles Macquaker | 10-20-2010 Walter Scott & Partners Limited

Since

Renaissance Global Growth Renaissance International Equity Renaissance International Eq Ccy Netrl A

05-04 05-04 10-10

The Renaissance Global Growth Currency Neutral Fund is managed by CIBC Global Asset Management Inc. Walter Scott & Partners Limited is the investment manager of the underlying fund, the Renaissance Global Growth Fund. The underlying fund benefits from the conservative and patient, bottom-up growth style of Walter Scott & Partners Limited, a firm that takes a fundamental, longterm investment approach to international equities. Walter Scott invests in high-quality companies with a high return on equity, in industries enjoying aboveaverage, sustainable growth. Their buy and hold approach is focused on stock selection based almost entirely on internal research because of their focus on long-term results. Walter Scott screens more than 5000

growth opportunities. Volatility and uncertainty have been characteristics of equity markets in 2011 with such behaviour translating into even closer correlation between major indices as well as closer correlation within those indices. The result of this on valuations across the board may well present compelling opportunities to invest in world-leading companies excellently positioned for growth and thereby meaningful wealth creation over the long term. Over the period Praxair and Qualcomm were added to the fund and Gilead Sciences, while Nintendo and Walgreen Co. were sold. Additionally, the holding in Inditex was reduced. As at December 31, 2011

RENAISSANCE INVESTMENTS 109

GLOBAL EQUITY FUNDS

Renaissance Global Growth Currency Neutral Fund - Class A

GLOBAL EQUITY FUNDS

Renaissance Global Focus Fund (Class A) Fund Category Global Equity

Morningstar Rating QQQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 16 Fund

14 12 10 8 6

Volatility Analysis

Low

Benchmark A MSCI World Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

46.1

24.2

73.2

16.9

47.7

40.9

53.2

49.6

62.0

60.4

57.2

-24.4 -5.2 -11.3

-27.1 -17.4 -20.4

21.1 10.6 9.4

10.3 6.4 6.9

14.7 5.8 7.3

14.2 18.0 20.2

16.3 -6.6 -7.1

-31.3 -29.3 -25.4

12.1 14.3 11.1

9.9 6.5 6.5

-14.2 -7.6 -2.7

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

41.3% 02-28-2003 to 02-29-2004

-43.4% 09-30-2000 to 09-30-2001

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL509 ATL510 ATL511 ATL036

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-6.0 -1.2 0.1

4.9 3.6 5.3

-11.9 -9.1 -5.1

-14.2 -7.6 -2.7

-2.9 -0.8 1.8

1.9 4.0 4.8

-3.3 -5.8 -4.4

0.7 -1.0 -0.4

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

September 6, 1999 2.88% $500

888 888 FUND www.renaissanceinvestments.ca

20.3 29.2 45.3 0.0 0.0 2.1 3.1

Investment Style Top Ten Holdings

Notes Class F MER: 1.49% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Natural Resources Ltd Barrick Gold Corporation Novagold Resources, Inc. LVMH Moet Hennessy Louis Vuitton SA ADR International Business Machines Corp

3.3 3.2 2.8 2.5 2.5

Golar LNG, Ltd. The Coca-Cola Co Suncor Energy Inc Caterpillar Inc Adidas AG ADR

2.5 2.4 2.2 2.2 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

81 171 166 0

Market Cap

Large Medium Small

81.1 12.7 6.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Canada United Kingdom Brazil China

% Equity

2.6 18.8 13.4 21.4 15.9 5.9 3.6 5.7 5.0 5.9 1.8 % Assets

31.0 22.3 9.7 8.2 5.1

Investment Management Overview Manager Bios Peter J. Eichler Jr. | 06-01-2009 Aletheia Research and Management, Inc.

Investment Management Approach The fund delivers the time-tested investment methodologies of Aletheia Research and Management Inc. Aletheia, the classic Greek word for “truth and disclosure” signifies the importance the firm places on proprietary research, which has led to their recognition as one of the top growth managers in the United States. Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully. 1. Aletheia will invest primarily in common stocks that represent diversified industry sectors and predominantly large market capitalization. 2. The firm employs hard data – primarily insider and corporate actions – forensic analysis of balance sheets and cash flows, and non-biased industry research to

guide its investments. 3. Using a bottom-up approach, Aletheia’s research process identifies securities with significant growth in earnings and cash flow. This process also uncovers opportunities in securities that have declined significantly in price or that are misunderstood or mispriced by the market. 4. The investment team screens an initial universe consisting of all publicly traded companies, with a preference given to larger market cap. From this universe, stocks are screened by identifying companies that demonstrate aberrational insider buying by corporate officers and employees, focusing on consensus buying by insiders, absolute dollar amounts of buying by insiders, option exercise behaviour, and forward sales. The result is a diversified portfolio of large cap international growth companies seeking to deliver superior long-term performance. This fund is an excellent addition to a diversified portfolio that seeks exposure to large cap global equities.

Manager Commentary

Aletheia Research and Management, Inc.

While markets were extremely volatile throughout 2011 and dominated by macro events (especially those in Europe), consensus expectations for a global depression have indeed been proven wrong over the last several months. This has helped markets to move generally higher. Importantly, the manager has experienced what it believes to be a renewed focus on company fundamentals even in the face of continued day-to-day volatility.

earnings power of the fund’s holdings. Some examples include of this include: the shortage of available liquefied natural gas vessels that is driving charter day rates rapidly higher for Golar, the continued explosive gaming growth in Asia for Melco Crown Entertainment, and the milestone that ARM Holdings reached during the third quarter of over one billion mobile chips based on ARM technology. The manager is encouraged by the results of the fund’s companies.

Understandably, this benefited the fund during the quarter given the unmatched fundamental strength and

As at December 31, 2011

RENAISSANCE INVESTMENTS 111

GLOBAL EQUITY FUNDS

Renaissance Global Focus Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Focus Currency Neutral Fund (Class A) Fund Category Global Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth by investing primarily in equity securities (including common shares, preferred shares, and warrants to acquire such securities) of companies throughout the world in the sector categories determined by the portfolio sub-advisor.The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from nonCanadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 14 Fund

Benchmark A MSCI World Index

13 12 11 10 9 8

Performance Quartile (within category over calendar year)

Volatility Analysis Total Assets ($mil) Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

-5.8% 11-30-2010 to 11-30-2011

-15.1% 12-31-2010 to 12-31-2011

Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1247 ATL1245 ATL1246 ATL1248

Telephone Web Site

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.3

4.6

— -5.2 -11.3

— -17.4 -20.4

— 10.6 9.4

— 6.4 6.9

— 5.8 7.3

— 18.0 20.2

— -6.6 -7.1

— -29.3 -25.4

— 14.3 11.1

— 6.5 6.5

-15.1 -7.6 -2.7

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-5.1 -1.2 0.1

7.4 3.6 5.3

-14.0 -9.1 -5.1

-15.1 -7.6 -2.7

— -0.8 1.8

— 4.0 4.8

— -5.8 -4.4

-7.1 — —

Portfolio Analysis as of 12-31-2011

Fund Details

Inception Date MER Minimum Investment

Composition

October 20, 2010 2.87% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 1.45% MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

20.0 28.7 44.6 0.0 0.0 1.3 5.5

% Assets

Canadian Natural Resources Ltd Barrick Gold Corporation Novagold Resources, Inc. LVMH Moet Hennessy Louis Vuitton SA ADR International Business Machines Corp

3.3 3.1 2.8 2.5 2.4

Golar LNG, Ltd. The Coca-Cola Co Suncor Energy Inc Caterpillar Inc Adidas AG ADR

2.4 2.3 2.2 2.2 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

3 171 166 0

Market Cap

Large Medium Small

81.9 13.9 4.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Canada United Kingdom Brazil China

% Equity

2.6 18.8 13.4 21.4 15.9 5.9 3.6 5.7 5.0 5.9 1.8 % Assets

30.5 23.6 9.6 8.1 5.0

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios Peter J. Eichler Jr. | 10-20-2010 Aletheia Research and Management, Inc.

Investment Management Approach The Renaissance Global Focus Currency Neutral Fund is managed by CIBC Global Asset Management Inc. Aletheia Research and Management, Inc. is the investment manager of the underlying fund, the Renaissance Global Focus Fund. The underlying fund delivers the time-tested investment methodologies of Aletheia Research and Management Inc. Aletheia, the classic Greek word for “truth and disclosure” signifies the importance the firm places on proprietary research, which has led to their recognition as one of the top growth managers in the United States. Aletheia employs exclusive, time-tested methodologies to anticipate investor perceptions rather than reacting to them, in order to discover unusually attractive opportunities in pursuit of exceptional returns. The firm pursues exclusive information channels that produce proprietary research, avoiding traditional channels of information, such as Wall Street research or mainstream media. A key strength of the company is its ability to profit from both good and bad news, identifying opportunities to buy and sell gainfully. 1. Aletheia will invest primarily in common stocks that represent diversified industry sectors and predominantly large market capitalization.

Aletheia Research and Management, Inc.

2. The firm employs hard data – primarily insider and corporate actions – forensic analysis of balance sheets and cash flows, and non-biased industry research to guide its investments. 3. Using a bottom-up approach, Aletheia’s research process identifies securities with significant growth in earnings and cash flow. This process also uncovers opportunities in securities that have declined significantly in price or that are misunderstood or mispriced by the market. 4. The investment team screens an initial universe consisting of all publicly traded companies, with a preference given to larger market cap. From this universe, stocks are screened by identifying companies that demonstrate aberrational insider buying by corporate officers and employees, focusing on consensus buying by insiders, absolute dollar amounts of buying by insiders, option exercise behaviour, and forward sales. The result is a diversified portfolio of large cap international growth companies seeking to deliver superior long-term performance while managing exchange rate fluctuations. This fund is an excellent addition to a diversified portfolio that seeks exposure to large cap global equities.

Manager Commentary Please note that the following commentary is written in consideration of the underlying fund. While markets were extremely volatile throughout 2011 and dominated by macro events (especially those in Europe), consensus expectations for a global depression have indeed been proven wrong over the last several months. This has helped markets to move generally higher. Importantly, the manager has experienced what it believes to be a renewed focus on company fundamentals even in the face of continued day-to-day volatility.

Understandably, this benefited the fund during the quarter given the unmatched fundamental strength and earnings power of the fund’s holdings. Some examples include of this include: the shortage of available liquefied natural gas vessels that is driving charter day rates rapidly higher for Golar, the continued explosive gaming growth in Asia for Melco Crown Entertainment, and the milestone that ARM Holdings reached during the third quarter of over one billion mobile chips based on ARM technology. The manager is encouraged by the results of the fund’s companies. As at December 31, 2011

RENAISSANCE INVESTMENTS 113

GLOBAL EQUITY FUNDS

Renaissance Global Focus Currency Neutral Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Global Small-Cap Fund (Class A) Fund Category Global Small/Mid Cap Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To seek long-term growth through capital appreciation consistent with preservation of capital though investment primarily in the common shares of smaller, less established companies in developed markets around the world. The Fund may also invest in smaller, less established companies in less developed markets around the world, and may invest in companies that are suppliers or clients of smaller companies.

Growth of $10,000 10 9 8 7 6 5 4 Performance Quartile (within category over calendar year)

Volatility Analysis

Low

Fund

Benchmark A

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

210.0% 02-28-1999 to 02-29-2000

-42.1% 09-30-2000 to 09-30-2001

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

131.7

86.2

88.4

81.0

59.9

52.9

35.4

15.1

12.0

10.5

8.0

-19.3 -22.8 7.6

-29.9 -22.7 -16.6

20.5 22.0 29.6

12.9 11.2 15.7

7.2 5.3 13.2

15.5 21.3 17.1

-12.7 -4.9 -14.2

-33.4 -40.8 -27.0

19.8 36.2 22.9

12.6 18.4 20.0

-10.7 -14.7 -6.4

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-0.4 -2.6 -0.6

4.1 0.9 5.8

-8.9 -14.3 -9.0

-10.7 -14.7 -6.4

0.2 0.5 5.9

6.4 11.2 11.3

-6.9 -5.0 -2.9

-1.9 0.4 3.7

Fund Details Class

A A A F

Load Structure

Currency

Fund Code

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1041 ATL1040 ATL2041 ATL1626

Inception Date MER Minimum Investment Telephone Web Site

Portfolio Analysis as of 12-31-2011 Composition

February 2, 1998 3.02% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 1.91% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

3.9 47.1 42.2 1.0 0.0 4.6 1.2

% Assets

C&J Energy Services Inc. Babcock International Group PLC NRW Holdings Limited MTU Aero Engines Holding AG Rentech Cv 4% 15-04-2013

1.1 1.1 0.9 0.8 0.8

Dufry AG Arezzo Industria E Comercio S.A. Wabash National Corporation Kongsberg Gruppen ASA Destination Maternity Corp

0.7 0.7 0.7 0.7 0.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

237 237 227 0

Market Cap

Large Medium Small

1.4 33.1 65.6

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Japan Canada United Kingdom Australia

% Equity

2.9 7.4 15.0 8.5 16.8 4.7 0.9 20.6 9.2 12.8 1.4 % Assets

48.8 14.9 8.9 7.2 3.2

Investment Management Overview Manager Bios Simon H. Thomas | 05-01-2003 Wellington Management Company, LLP

Simon H. Thomas, Senior Vice President and Equity Portfolio Manager of Wellington Management. He has worked in investment management since 2002; has managed investment portfolios for Wellington Management since 2006; and has managed a portion of the Fund since 2010. Education: B.A., M.A., University of Oxford; M.B.A., University of Chicago. Jamie A. Rome | 05-01-2003 Wellington Management Company, LLP

Rome, senior vice president and equity portfolio manager of Wellington Management, has served as portfolio manager of the portion of the Small Cap Fund's assets allocated to Wellington Management since 2002. Mr. Rome joined Wellington Management as an investment professional in 1994 Rome holds the Chartered Financial Analyst designation.

Investment Management Approach The Fund benefits from the extensive investment expertise of Wellington Management, who leverage their global and regional research teams to deliver a bottom-up focused approach to selecting both growth and special situation small-cap companies around the world. Wellington’s global small-cap philosophy is based on their core belief that the small-cap market is inefficient. Using intensive fundamental research with a global perspective, they aim to exploit these inefficiencies. Typically, they find that their greatest value added comes at the stock and industry level, and their research and contrarian investment style can discover great small-cap companies at reasonable prices. The focus is on using the best research techniques for small-company stocks around the world. As such, Wellington takes a “localregional” approach to research and stock selection. This approach is built off of their successful North America,

Europe, Japan and Asia Pacific ex-Japan research teams, with members of those teams recommending investment ideas for the small-cap portfolio. The global industry and regional analysts are each responsible for research and buy and sell recommendations on securities within their areas of coverage. Simon Thomas, Co-Portfolio Manager, is ultimately responsible for stock selection in the nonNorth America segment of the Portfolio, and works closely with Equity Research Analyst, Dan Maguire, to understand the risk and return expectations of their recommendations and the current holdings in the Portfolio. The North America component is run by CoPortfolio Manager, Jamie Rome. The result is a diversified global portfolio of great smallcap companies purchased at a reasonable price. The Fund is an excellent complement for a globally diversified, primarily large-cap portfolio.

Manager Commentary Global small-cap equities have declined in recent months, underperforming their larger-cap global peers, as the eurozone debt crisis continued to dominate headlines and drive sentiment. Volatility has remained high as pessimism about European contagion and its implications on the global economy peaked, while a more recent rally was triggered by new plans to address liquidity concerns, including coordinated action from central banks. Despite macroeconomic uncertainties, the manager continues to find a number of attractive opportunities across the broad investment universe. The fund’s holdings represent a diversified mixture of relatively inexpensive companies with above-average growth. The

manager is focused on companies that possess strong market positions, skilled management teams, and solid balance sheets. The manager believes these holdings are well positioned to perform across a number of different economic scenarios. At a sector level, the fund is overweight energy, industrials, and consumer discretionary and underweight financials and information technology. At a regional level, the fund has an overweight to emerging markets, through select positions in Brazil and China, and an underweight to Asia Pacific ex-Japan. As at December 31, 2011

RENAISSANCE INVESTMENTS 115

GLOBAL EQUITY FUNDS

Renaissance Global Small-Cap Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance European Fund (Class A) Fund Category European Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To achieve superior long-term investment returns through capital growth and, to a lesser extent, income through investments in securities primarily of issuers located in (or that conduct a significant amount of their business in) Europe.

Growth of $10,000 18 Fund

16 14 12 10 8

Volatility Analysis

Low

Benchmark A MSCI Europe Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

51.3

37.9

34.1

29.3

23.9

26.2

37.1

19.6

18.0

12.8

8.6

-12.7 -14.1 -14.6

-15.2 -19.2 -18.9

9.5 12.6 13.8

8.7 11.8 12.5

5.1 6.9 7.2

30.4 33.6 33.8

-5.5 -5.0 -3.0

-31.4 -35.1 -32.6

12.1 13.6 16.2

-5.4 -5.2 -1.0

-14.2 -11.4 -8.3

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

41.4% 05-31-1997 to 05-31-1998

-39.0% 02-28-2008 to 02-28-2009

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL163 ATL917 ATL673 ATL030

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-2.3 -1.9 -1.4

1.6 1.1 3.0

-18.9 -15.3 -13.8

-14.2 -11.4 -8.3

-9.9 -8.3 -4.7

-3.1 -1.5 1.8

-10.0 -10.1 -7.1

-2.0 -1.6 0.3

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

November 24, 1993 2.80% $500

888 888 FUND www.renaissanceinvestments.ca

0.0 0.0 98.6 0.0 0.0 1.4 0.0

Investment Style Top Ten Holdings

Notes MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Nestle SA Fresenius SE & Co KGaA Total SA Experian PLC Aryzta AG

3.4 3.4 3.3 3.1 3.0

Tesco PLC Linde AG Smith & Nephew PLC Kingfisher PLC Grifols SA

2.9 2.8 2.8 2.8 2.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

52 52 50 0

Market Cap

Large Medium Small

83.2 16.8 0.0

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

France United Kingdom Switzerland Germany Spain

% Equity

1.2 4.9 10.3 5.5 15.9 24.3 0.0 11.7 22.2 3.9 0.0 % Assets

27.6 25.5 17.2 11.5 4.2

Investment Management Overview Manager Bios

Investment Management Approach

Ian Scullion | 09-01-2011 CIBC Global Asset Management Inc

Joined CIBC Global Asset Management in September 2002. Ian is a member of the Global Equity group, operating from within the firm's Investment Management Platform, and is co-leader of the EAFE Equity team. Bachelor of Business Administration from Laval University (Quebec); Ian is also a CFA charterholder. Portfolio Manager, International Large Cap Equities at Jarislowsky Fraser Ltd. (Montreal) from 1999 to 2002; Director, International Portfolio Management at Cogesfonds (Quebec) from 1995 to 1999. Other Assets Managed

Since

CIBC European Equity CIBC Global Equity CIBC Asia Pacific

10-07 12-07 12-07

The Renaissance European Fund equity strategy follows an investment process based on a bottom-up approach to security selection.

investment criteria that guide the process: industry growth, barriers to entry, company management and fundamental valuation.

The initial filter process narrows the universe down to between 150 and 200 securities that will exhibit high stability, strong liquidity and a proven track record.

A consensus decision for all trades leads to an incremental buying and selling process where changes to any of the four investment criteria must be validated prior to selling a position. Holdings are analyzed on an ongoing basis for risk control and adherence to style.

The fundamental analysis that follows is based on four

Manager Commentary The fourth quarter of 2011 was a volatile period for equity markets, which was largely in response to macroeconomic developments relating to the European sovereign debt crisis (and generally the result of company fundamentals).

Mark Lin | 09-01-2011 CIBC Global Asset Management Inc

Joined CIBC Global Asset Management in September 2002. Mark is a member of the Global Equity group, operating from within the firm's Investment Management Platform and is part of the EAFE Equity team. Masters in Business Administration from McGill University (Montreal); Bachelor of Arts from York University (Toronto); Mark is also a CFA charterholder. Portfolio Manager at Jarislowsky Fraser Ltd. (Montreal) in 2002; Equity Analyst at Standard Life (Montreal) from 2000 to 2001; Associate Analyst at UBS Warburg (Montreal) from 1998 to 2000. Other Assets Managed

Since

CIBC Asia Pacific CIBC European Equity CIBC Global Technology Renaissance Global Science & Tech

01-02 04-08 10-09 10-09

During the quarter, the manager purchased a new position in bioMérieux S.A., which is active in the field of in vitro diagnostics for medical and industrial applications. The company specializes in the diagnostics of infectious diseases and pathologies, and is also active in the analysis of food, pharmaceuticals and environmental samples to determine their

microbiological quality. The manager’s strategy is to use volatile periods on equity markets to identify disconnects between a company’s operational performance and its stock price performance to increase and/or add new positions. During the period, the manager used volatiles periods to build the fund’s position in Netherlands-based QIAGEN N.V., the world leader in biological sample and assay technologies. As at December 31, 2011

RENAISSANCE INVESTMENTS 117

GLOBAL EQUITY FUNDS

Renaissance European Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Asian Fund (Class A) Fund Category Asia Pacific Equity

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

To seek long-term growth through capital appreciation by investing primarily in a diversified portfolio of equity securities or securities convertible to equity securities of companies in the Asian and Pacific regions.

Growth of $10,000 18 Fund

Benchmark A MSCI All Country Asia Pacific Index

16 14 12 10

Volatility Analysis

8 6

Low

Medium

High

Performance Quartile (within category over calendar year)

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Total Assets ($mil)

Best 1 Year Return

Worst 1 Year Return

Calendar Year Returns %

117.0% 12-31-1992 to 12-31-1993

-51.2% 10-31-2007 to 10-31-2008

Fund Category Benchmark A

Fund Details

Trailing Returns %

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1519 ATL1512 ATL2519 ATL1639

Inception Date MER Minimum Investment Telephone Web Site

January 2, 1990 3.35% $500

Fund Category Benchmark A

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

15.0

16.6

15.3

14.7

13.4

13.7

6.6

8.5

6.9

4.2

-12.6 -14.6 -15.8

-15.0 -13.4 -9.3

24.0 18.0 15.3

1.0 4.2 10.0

21.0 18.1 20.7

7.8 13.1 16.4

15.0 0.0 -2.8

-43.3 -29.7 -27.0

42.1 18.6 17.1

-1.9 12.2 11.1

-23.2 -16.2 -12.8

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-4.1 -2.7 0.5

-4.2 -1.3 -1.3

-21.8 -12.2 -9.7

-23.2 -16.2 -12.8

-13.2 -3.0 -1.6

2.3 3.7 4.3

-6.9 -4.8 -4.2

-0.3 1.1 2.7

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

21.3

Investment Style

Class F MER: 2.23%

2001

888 888 FUND www.renaissanceinvestments.ca

Notes

0.0 1.0 97.1 0.0 0.0 1.6 0.3

% Assets

Fanuc Corp Tamron Co., Ltd. Hon Hai Precision Ind. Co., Ltd. Bank Of China Ltd. Gree Inc.

4.4 4.1 3.4 3.0 2.8

Nhn Corp Seegene Inc Sinopharm Group Co., Ltd. China Life Insurance Co Ltd Sumitomo Realty & Development Co., Ltd.

2.5 2.3 2.2 2.1 2.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

60 60 58 0

Market Cap

Large Medium Small

58.0 33.8 8.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

China Japan Taiwan South Korea Thailand

% Equity

0.0 2.1 23.5 5.3 17.3 5.6 6.9 9.9 4.6 22.4 2.4 % Assets

28.1 22.4 13.3 13.2 8.7

Investment Management Overview Manager Bios

Investment Management Approach

Hugh Simon | 05-02-2007 Hamon Asset Management (Cayman) Limited

Hugh Simon established Hamon in 1989 and currently is the Chief Executive of Hamon. Formerly the Managing Director and President respectively of Lazard’s Hong Kong and Japan and a director of Lazard Investors in London, he was responsible for establishing Lazard’s offices in the Far East and in charge of overall investment and marketing for the Asian region. Prior to joining Lazards in 1984, he worked for Schroders in London, Australia and Hong Kong for five years. Other Assets Managed

Since

Renaissance China Plus

05-07

Eric Ritter | 05-17-2011 Hamon Asset Management Ltd

This Fund benefits from the specialized experience of Hamon Investment Group, an Asian-specific investment management company, which manages the Fund with a bottom-up core approach, leveraging Hamon’s on-theground fundamental research expertise. To determine where the Fund will invest, the team at Hamon analyzes many factors including economic and political trends in Asia, the current financial condition and future prospects of individual companies and sectors in the region and the valuation of one market or company relative to another. The team at Hamon focuses on opportunities in different industries across the Asian countries. Generally, the companies in which the Fund invests are leaders in their respective industries, with strong recognition. Hamon’s focus on bottom-up stock

selection generates added value by identifying companies in their early phase of earnings acceleration and for which they have identified a catalyst. The team’s valuation methodology is governed by assessing the long-term relationship between the price-to book ratio and return on equity. They do not constrain themselves to only growth or value styles or market capitalization, as they believe no single investment style consistently outperforms in Asia. The result is a high-conviction, diversified portfolio of companies that are principally traded in the Asian Pacific region. The lower correlation of this specialty product to other developed markets makes it an excellent diversifying component within a portfolio.

Manager Commentary

Raymond Chan | 05-17-2011 RCM Asia Pacific Limited

Raymond is Chief Investment Officer, Asia, reporting to the Global CIO in London. Raymond is responsible for all investment professionals in Asia ex-Japan and is the Chairman of the Hong Kong Balanced Investment Committee in Hong Kong. Raymond has overall responsibility for the investment process and performance and is a full member of the Global Equity Team. He is a Chartered Financial Analyst and holds an M.A. in Finance and Investment from the University of Exeter and a B.A. (Hons.) in Economics from the University of Durham, UK. Other Assets Managed

Since

Renaissance China Plus

05-11

Asian equity markets were volatile during the final quarter of 2011. Prospects of easing credit conditions bode well for interest rate and growth cyclical stocks in China, including industrials, commodities and consumer discretionary stocks. Japanese automation and Korean materials also contributed positively.

to increase exposure to Chinese banks, insurance and

The manager added ASEAN property developers in Indonesia and Thailand on falling interest rates, while easing credit conditions in China warranted the manager

gradually easing monetary policies.

brokerage companies. The impact of the worsening European debt crisis on the global economy still remains the biggest concerns for investors. The manager, however, remains positive towards Asian equities in 2012 due to the market’s attractive valuations and

As at December 31, 2011

RENAISSANCE INVESTMENTS 119

GLOBAL EQUITY FUNDS

Renaissance Asian Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance China Plus Fund (Class A) Fund Category Greater China Equity

Morningstar Rating QQ

Investment Objective

Performance as of 12-31-2011

To seek long-term growth through capital appreciation by investing primarily in equity securities of companies based in China and Taiwan. The Fund may also invest in companies not based in China or Taiwan, but that conduct a majority of their commercial activities in either one or all of these countries.

Growth of $10,000 30 Fund

Benchmark A MSCI Zhong Hua Index

26 22 18 14 10 6

Volatility Analysis

Performance Quartile (within category over calendar year) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

335.8% 03-31-1999 to 03-31-2000

-57.6% 10-31-2007 to 10-31-2008

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1051 ATL1050 ATL2051 ATL1627

Inception Date MER Minimum Investment Telephone Web Site

Total Assets ($mil)

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

Class F MER: 1.88% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

30.4

26.0

76.1

133.8

103.4

140.7

166.5

89.3

197.9

190.5

100.9

4.0 6.0 -15.2

-21.7 -17.9 -17.6

40.5 50.2 24.6

-5.0 -7.2 7.5

-3.2 2.9 10.0

51.8 62.6 53.4

28.6 30.0 31.7

-37.0 -41.1 -38.5

71.3 37.0 37.6

3.4 0.2 4.3

-37.8 -20.9 -15.5

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-6.1 -1.1 2.5

1.9 2.1 5.1

-28.6 -18.8 -13.3

-37.8 -20.9 -15.5

-19.8 -11.0 -6.1

3.3 2.8 6.6

-2.2 -3.6 -0.4

3.2 4.8 6.2

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Notes

Calendar Year Returns %

February 2, 1998 3.29% $500

Investment Style

Top Ten Holdings

0.0 0.0 97.3 0.0 0.0 2.7 0.0

% Assets

Ping An Insurance Group CITIC Securities Co., Ltd. China Minsheng Banking Corp Ltd. AviChina Industry & Technology Co., Ltd. Zijin Mining Group Co., Ltd.

5.4 4.6 4.5 4.1 4.1

China Unicom (Hong Kong) Ltd China Life Insurance Co Ltd China State Construction Intl Holdings Hunan Nonferrous Metals Corporation Ltd. Baidu, Inc. ADR

4.1 3.9 3.7 3.5 3.1

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

46 46 44 0

Market Cap

Large Medium Small

46.3 41.1 12.7

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

China Taiwan Netherlands Hong Kong Canada

% Equity

0.0 4.7 26.3 12.0 18.9 7.3 4.2 9.3 1.3 11.4 4.6 % Assets

80.9 5.9 4.4 4.2 2.6

Investment Management Overview Manager Bios

Investment Management Approach

Hugh Simon | 05-02-2007 Hamon Asset Management (Cayman) Limited

Since

Renaissance Asian

05-07

William Liu | 02-28-2011 Hamon Asset Management Ltd

William Liu is a Fund Manager at Hamon Investment Group focusing on management and research on the Chinese markets. William started his career in HK with UBS Investment Bank, handling the distribution of US treasurers, agency bonds and other structured products. He then joined CLSA and worked for 5 years, progressing to Head of China Research and was responsible to run a Greater China fund for an institutional client. Prior to joining Hamon, he was the Executive Director for BNP Paribas Securities Asia, heading research and strategy, and assisting BNP to develop China domestic QDII business.

The Fund benefits from the specialized experience of Hamon Investment Management, an Asian-specific investment management company, which manages the Fund with a bottom-up core approach, leveraging Hamon’s on-the-ground fundamental research expertise. To determine where the Fund will invest, the team at Hamon analyzes many factors including economic and political trends in Greater China, the current financial condition and future prospects of individual companies and sectors in the region, and the valuation of one market or company relative to another. The team at Hamon focuses on opportunities in different industries across Greater China. Hamon’s focus on bottom-up stock selection generates added value by identifying companies in their early phase of earnings acceleration

and for which they have identified a catalyst. The team’s valuation methodology is governed by assessing the long-term relationship between the price-to-book ratio and return on equity. They do not constrain themselves to only growth or value styles or market capitalization, as they believe no single investment style consistently outperforms in Asia. The result is a high-conviction, diversified portfolio of companies that are principally traded in China, Hong Kong or Taiwan (Greater China), and typically either derive a significant portion of their revenues from Greater China or hold a significant portion of their asset or assets in the region. The lower correlation of this specialty product to other developed markets makes it an excellent diversifying component within a portfolio.

Manager Commentary Chinese equity markets were volatile due to speculation of easing monetary policies. Interest rate and cyclical growth sectors were positive contributors towards the fund’s performance, including industrials, commodities and consumer discretionary stocks. Over the final quarter of the year, the manager increased the portfolio’s beta by adding financials, insurance and brokerage stocks, all of which are key beneficiaries of rising market liquidity. While eurozone debt concerns

continues to weigh on investor sentiment, the Chinese economy remains resilient given its continuing migration towards strengthening its domestic market. Inflation rates have already peaked; as a result, policymakers may continue to lower required reserve ratios early next year. This, in the manager’s view, will benefit the equity markets. As at December 31, 2011

Raymond Chan | 05-17-2011 RCM Asia Pacific Limited

Since

Renaissance Asian

05-11

RENAISSANCE INVESTMENTS 121

GLOBAL EQUITY FUNDS

Renaissance China Plus Fund (Class A)

GLOBAL EQUITY FUNDS

Renaissance Emerging Markets Fund (Class A) Fund Category Emerging Markets Equity

Morningstar Rating Q

Investment Objective

Performance as of 12-31-2011

To seek long-term capital appreciation by investing in securities, principally equities, of issuers in countries having smaller capital markets.

Growth of $10,000 30 Fund

Benchmark A MSCI Emerging Markets Index

26 22 18

Volatility Analysis

14 10 6 Medium

Low

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Worst 1 Year Return

84.5% 02-28-1999 to 02-29-2000

-47.3% 02-28-2008 to 02-28-2009

Fund Details

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

18.9

19.8

19.1

20.7

23.3

26.6

13.8

19.4

20.5

14.4

Fund Category Benchmark A

1.3 -3.5 3.8

-12.0 -8.8 -7.0

25.1 25.9 27.8

14.3 12.8 16.8

29.7 26.7 31.2

24.5 31.5 32.1

15.9 16.8 18.5

-44.7 -45.5 -41.4

46.2 54.1 52.0

9.6 13.2 13.0

-22.9 -19.5 -16.1

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-4.2 -3.5 -1.0

1.0 1.3 2.1

-19.6 -15.6 -14.5

-22.9 -19.5 -16.1

-8.1 -4.5 -2.7

7.3 12.0 12.9

-4.6 -2.2 0.0

4.8 6.8 9.2

Calendar Year Returns %

Load Structure

Currency

Fund Code

Trailing Returns %

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL858 ATL920 ATL675 ATL029

Fund Category Benchmark A

Telephone Web Site

26.1

Class

Inception Date MER Minimum Investment

2001

Total Assets ($mil) Best 1 Year Return

Portfolio Analysis as of 12-31-2011 October 25, 1996 3.05% $500

Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.66% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

0.0 0.8 98.3 0.0 0.0 0.8 0.1

% Assets

Samsung Electronics Co Ltd Vale S.A. Pfd Shs -AChina Mobile Ltd. Taiwan Semiconductor Manufacturing Industrial And Commercial Bk Of China

3.8 3.0 2.7 2.6 2.4

OAO Gazprom ADR Petroleo Brasileiro SA Petrobras ADR Hyundai Motor Co Ltd CNOOC, Ltd. Sasol, Ltd.

1.9 1.9 1.8 1.7 1.7

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

135 135 132 0

Market Cap

Large Medium Small

87.3 11.5 1.2

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

China Brazil South Korea Taiwan South Africa

% Equity

0.7 18.3 22.9 11.8 7.1 7.2 12.4 4.1 0.0 15.4 0.0 % Assets

18.5 16.8 15.7 8.8 7.3

Investment Management Overview Manager Bios Klaus Bockstaller | 11-01-2008 Pictet Asset Management Ltd

Klaus Bockstaller joined Pictet in 2009 following 5 years at Fleming Capital Management. Prior to joining FCM, Mr. Bockstaller was Head of Emerging Europe, Middle East, and Africa since September 2000 at Baring Asset Management. He managed the Baring Emerging Europe Trust and the Baring Eastern Europe Fund. Previously he was with UBS Brinson, where he was a portfolio manager for Eastern Europe funds and focused on all emerging markets within the European time-zone. He graduated in economics from the University of Freiburg in 1993. Nidhi Mahurkar | 11-01-2008 Pictet Asset Management Ltd

Nidhi Mahurkar is Co-Head of the Global Emerging Markets Equities team in charge of investment in Asian Emerging Markets and has responsibility for regional Asian mandates. She joined Pictet Asset Management in 2001 with five years of previous experience managing Asian equities at Lazard Asset Management, where she was industry leader for technology for Lazard’s global emerging markets product. Before joining Lazard, she worked with American Express in London. Nidhi holds a BA (Hons) in Economics and an MBA from the Indian Institute of Management in Bangalore.

Investment Management Approach The Fund benefits from the international investment expertise of Pictet Asset Management Limited (PAM), one of the premier asset managers in Europe, to deliver a disciplined approach to investing in the emerging equity markets. Investment Process: PAM’s investment strategy is based primarily on a • bottom-up approach with a value bias. • PAM defines value principally in terms of productive assets -- they believe that value can consistently be added by identifying and investing in companies selling at less than the replacement value of their productive assets. • Emerging markets are prone to exaggerated market cycles; market inefficiencies abound. PAM employs an active value-based methodology to identify and buy mispriced stocks. • The centre of this investment process is a

proprietary database which helps to identify these mispriced companies. For financials and intellectual property/service • companies, PAM employs a modified, value-based approach based on adjusted book value and implied growth respectively • Country and sector weights are driven by stock selection and subject only to a negative test. This focused process and execution is backed by • separate risk control overlay The result is a diversified portfolio of emerging market stocks. The low correlation of this asset class to domestic markets makes this Fund an excellent complement to an investors' portfolio seeking further diversification through exposure to emerging markets companies.

Manager Commentary Emerging markets suffered over the period as intensified eurozone sovereign concerns led to another spike in risk aversion. Performance in Latin America was positive with stock selection in Brazil contributing strongly. However, performance in Asia, Europe, the Middle East and Africa was disappointing. On a sector level telecoms, health care and energy names outperformed; consumer staples and utilities were notable underperformers. The manager has increased the overweight to the energy sector, where it finds a number of stocks offering outstanding value, coupled with a high degree of certainty regarding earnings growth. Changes were also made to holdings in the industrial sector where new stock ideas were implemented in China and Brazil. As has been the case over recent months, emerging stocks and currencies are likely to remain volatile until

there is more confidence in politicians’ efforts to deal with problems in the eurozone. Deep value can be found in a number of sectors, especially in the materials, energy and financial sectors, and the fund has a small overweight to these combined sectors. However, these are also traditionally high-beta segments of the market and the manager aims to balance these opportunities with an overweight to the telecoms sector which results in a broadly beta-neutral approach. Given the elevated risk of currency volatility in emerging assets, the manager is avoiding large country overweights and underweights at this time. Key overweights are currently in China, Russia, Thailand and Indonesia; Mexico, Chile, Poland and India are underweight. As at December 31, 2011

RENAISSANCE INVESTMENTS 123

GLOBAL EQUITY FUNDS

Renaissance Emerging Markets Fund (Class A)

S P E C I A LT Y F U N D S

Renaissance Global Infrastructure Fund (Class A) Fund Category Global Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 13 12 11 10 9 8 7 Performance Quartile (within category over calendar year)

Volatility Analysis

Medium

Low

Fund

Benchmark A S&P Global Infrastructure Index

Worst 1 Year Return

29.3% 05-31-2010 to 05-31-2011

-25.2% 04-30-2008 to 04-30-2009

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL061 ATL059 ATL060 ATL062

Inception Date MER Minimum Investment Telephone Web Site

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

9.0

72.9

163.9

220.8

413.8

Fund Category Benchmark A

— -5.2 —

— -17.4 —

— 10.6 10.5

— 6.4 15.9

— 5.8 7.1

— 18.0 34.5

— -6.6 1.6

-17.6 -29.3 -27.0

6.9 14.3 7.6

5.6 6.5 0.5

4.2 -7.6 1.8

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.1 -1.2 0.2

4.1 3.6 3.3

-4.6 -9.1 -3.2

4.2 -7.6 1.8

4.9 -0.8 1.2

5.6 4.0 3.3

— -5.8 -3.9

-0.5 — —

Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

Class F MER: 1.33% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Notes

2002

November 13, 2007 2.63% $500

Investment Style

—

Total Assets ($mil)

Best 1 Year Return

2001

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Top Ten Holdings

7.3 30.9 56.7 0.0 0.0 5.0 0.0

% Assets

TransCanada Corp Transurban Group Southern Co American Water Works Co Inc National Grid PLC

5.3 5.1 5.1 5.0 5.0

Sydney Airport Northeast Utilities Spark Infrastructure Group Severn Trent PLC SES SA

4.3 3.9 3.7 3.4 3.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

47 47 44 0

Market Cap

Large Medium Small

40.2 58.7 1.1

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Australia Canada United Kingdom Brazil

% Equity

61.8 8.4 0.0 0.0 3.5 0.0 0.0 26.3 0.0 0.0 0.0 % Assets

30.9 18.2 12.4 10.7 6.3

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

S P E C I A LT Y F U N D S

Renaissance Global Infrastructure Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Richard Elmslie | 11-13-2007 RARE Infrastructure Limited

Richard Elmslie co-founded RARE Infrastructure with Nick Langley in 2006. Mr. Elmslie has worked for numerous infrastructure companies in Australia, New Zealand, the U.K., U.S., Canada, Asia and Japan, in global infrastructure sectors, including gas, electricity, water, telecoms, communications and airports. Prior to founding RARE, he was the Head of Power and Joint Head of Infrastructure at UBS Investment Bank in Sydney (2000-2004), and Head of Power at BZW/ABN AMRO first in London, then Wellington, New Zealand and in Sydney (1990-1999). Other Assets Managed

Since

Renaissance Glbl Infras Ccy Netrl Cl A

10-10

Nick Langley | 11-13-2007 RARE Infrastructure Limited

Nick Langley co-founded RARE Infrastructure with Richard Elmslie in 2006. Mr. Langley has great experience in global infrastructure investment, across a range of global infrastructure sectors, including gas, electricity, telecoms, rail, airports, toll roads and social infrastructure such as hospitals. Mr. Langley has worked for some of the world’s leading financial institutions including AMP Capital, where he spent four years on the funds management team (2002-2006); UBS Investment Bank in New York (2000-2001) and BZW/ ABN AMRO in Sydney (1998-2000). Other Assets Managed

Since

Renaissance Glbl Infras Ccy Netrl Cl A

10-10

This Fund benefits from one of the world’s most experienced global infrastructure investment teams with more than 70 years combined expertise, Sydney-based RARE Infrastructure (Risk Adjusted Returns to Equity), whose combined quantitative and qualitative approach to this growing asset class delivers the potential for long-term consistent returns and attractive yields. RARE applies a combination of quantitative and qualitative assessments to select a concentrated portfolio of stocks from more than 40,000 global listed securities. 1. Screening Analysis: The initial screening process is a combination of automated and manual screens designed to reduce the global universe of stocks to a select Focus List. This includes, sector screens, market capitalization, financial, valuation and peer group assessments.

2. Individual Security Assessment: The Focus List is taken through research checks to ensure attributes of a security are aligned with the fund’s overall objectives. This research covers both quantitative and qualitative attributes. 3. Portfolio Construction Parameters: RARE’s portfolio construction is the result of security specific research and portfolio construction techniques that results in a balanced portfolio of attractive yielding infrastructure stocks. The result is a lower volatility portfolio of global infrastructure securities designed to provide investors with exposure to an asset class known to offer regular and predictable income. The defensive, inflation-hedged nature of this asset class, which has a lower correlation to traditional asset classes, makes it an ideal complement to any component of a portfolio.

Manager Commentary The economic picture in Europe is troublesome, and since July, the manager has been reducing exposure to the area. The fund has less than 20 percent of its assets invested in Europe and the United Kingdom. This strategic move is based on the belief that there is no easy solution to the eurozone debt crisis and that the front-ended austerity measures are highly likely to push Europe into negative growth in 2012.

in infrastructure to gain exposure to assets with strong predictable cash flows is reinforced by all the uncertainties that currently exist globally due to European debt concerns. The manager continues to invest in companies with strong balance sheets, solid cash flow and sustainable future dividends. In the difficult and uncertain market, the manager believes this strategy will reward investors.

The manager continues to believe the thesis of investing

As at December 31, 2011

RENAISSANCE INVESTMENTS 125

S P E C I A LT Y F U N D S

Renaissance Global Infrastructure Currency Neutral Fund (Class A) Fund Category Global Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth and income by investing primarily in equity securities (including common shares, preferred shares, and warrants to acquire such securities) of companies throughout the world that are involved in, or that indirectly benefit from, the development, maintenance, servicing, and management of infrastructures. The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from non- Canadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 15 Fund

Benchmark A S&P Global Infrastructure Index

14 13 12 11 10 9

Performance Quartile (within category over calendar year)

1 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

2.8

117.7

Fund Category Benchmark A

— -5.2 —

— -17.4 —

— 10.6 10.5

— 6.4 15.9

— 5.8 7.1

— 18.0 34.5

— -6.6 1.6

— -29.3 -27.0

— 14.3 7.6

— 6.5 0.5

0.5 -7.6 1.8

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.8 -1.2 0.2

5.1 3.6 3.3

-4.6 -9.1 -3.2

0.5 -7.6 1.8

— -0.8 1.2

— 4.0 3.3

— -5.8 -3.9

0.8 — —

Total Assets ($mil) Volatility Analysis Best 1 Year Return

Worst 1 Year Return

0.9% 11-30-2010 to 11-30-2011

-2.2% 10-31-2010 to 10-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1232 ATL1230 ATL1231 ATL1233

Inception Date MER Minimum Investment Telephone Web Site

October 20, 2010 2.60% $500

Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes Class F MER: 1.29% MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

7.3 30.7 56.5 0.0 0.0 4.5 1.0

% Assets

TransCanada Corp Transurban Group Southern Co American Water Works Co Inc National Grid PLC

5.3 5.0 5.0 5.0 4.9

Sydney Airport Northeast Utilities Spark Infrastructure Group Severn Trent PLC SES SA

4.3 3.9 3.7 3.4 3.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

5 49 44 0

Market Cap

Large Medium Small

40.2 58.7 1.1

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Australia Canada United Kingdom Brazil

% Equity

61.8 8.4 0.0 0.0 3.5 0.0 0.0 26.3 0.0 0.0 0.0 % Assets

30.7 18.0 12.8 10.6 6.2

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

Investment Management Overview Manager Bios

Investment Management Approach

Richard Elmslie | 10-20-2010 RARE Infrastructure Limited

Since

Renaissance Global Infrastructure

11-07

Nick Langley | 10-20-2010 RARE Infrastructure Limited

Since

Renaissance Global Infrastructure

11-07

The Renaissance Global Infrastructure Currency Neutral Fund is managed by CIBC Global Asset Management Inc. RARE Infrastructure Limited is the investment manager of the underlying fund, the Renaissance Global Infrastructure Fund. The underlying Fund benefits from one of the world’s most experienced global infrastructure investment teams with more than 70 years combined expertise, Sydneybased RARE Infrastructure (Risk Adjusted Returns to Equity), whose combined quantitative and qualitative approach to this growing asset class delivers the potential for long-term consistent returns and attractive yields. RARE applies a combination of quantitative and qualitative assessments to select a concentrated portfolio of stocks from more than 40,000 global listed securities. 1. Screening Analysis: The initial screening process is a combination of automated and manual screens designed to reduce the global universe of stocks to a select Focus

List. This includes, sector screens, market capitalization, financial, valuation and peer group assessments. 2. Individual Security Assessment: The Focus List is taken through research checks to ensure attributes of a security are aligned with the fund’s overall objectives. This research covers both quantitative and qualitative attributes. 3. Portfolio Construction Parameters: RARE’s portfolio construction is the result of security specific research and portfolio construction techniques that results in a balanced portfolio of attractive yielding infrastructure stocks. The result is a lower volatility portfolio of global infrastructure securities designed to provide investors with exposure to an asset class known to offer regular and predictable income, while managing exchange rate fluctuations. The defensive, inflation-hedged nature of this asset class, which has a lower correlation to traditional asset classes, makes it an ideal complement to any component of a portfolio.

Manager Commentary Please note that the following commentary is written in consideration of the underlying fund.

The manager continues to believe the thesis of investing in infrastructure to gain exposure to assets with strong predictable cash flows is reinforced by all the

The economic picture in Europe is troublesome, and since July, the manager has been reducing exposure to the area. The fund has less than 20 percent of its assets invested in Europe and the United Kingdom. This strategic move is based on the belief that there is no easy solution to the eurozone debt crisis and that the front-ended austerity measures are highly likely to push Europe into negative growth in 2012.

uncertainties that currently exist globally due to European debt concerns. The manager continues to invest in companies with strong balance sheets, solid cash flow and sustainable future dividends. In the difficult and uncertain market, the manager believes this strategy will reward investors. As at December 31, 2011

RENAISSANCE INVESTMENTS 127

S P E C I A LT Y F U N D S

Renaissance Global Infrastructure Currency Neutral Fund (Class A)

S P E C I A LT Y F U N D S

Renaissance Global Real Estate Fund (Class A) Fund Category Real Estate Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

Growth of $10,000 14 13 12 11 10 9 8 Performance Quartile (within category over calendar year)

Volatility Analysis

Medium

Low

Fund

Benchmark A FTSE EPRA/NAREIT Index

4 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

1.5

1.9

Fund Category Benchmark A

— 14.8 -2.1

— 1.1 -3.4

— 22.5 9.2

— 21.5 22.4

— 15.6 7.9

— 30.5 37.0

— -24.0 -23.7

— -35.3 -37.7

— 30.3 11.9

— 17.7 9.8

-8.3 12.9 -7.2

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

0.9 1.9 0.6

5.0 6.3 3.9

-9.1 3.1 -8.1

-8.3 12.9 -7.2

— 15.3 1.0

— 20.1 4.5

— -3.2 -11.5

-9.1 — —

High

Total Assets ($mil) Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

-6.6% 10-31-2010 to 10-31-2011

-8.3% 12-31-2010 to 12-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1257 ATL1255 ATL1256 ATL1258

Inception Date MER Minimum Investment Telephone Web Site

Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

October 20, 2010 2.70% $500

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other Top Ten Holdings

4.7 45.8 46.8 0.0 0.0 2.1 0.6

% Assets

Simon Property Group Inc Sun Hung Kai Properties, Ltd. Unibail-Rodamco SE Equity Residential HCP Inc

5.7 4.1 3.0 3.0 3.0

Westfield Group China Overseas Land & Investment Ltd. Westfield Retail Trust Host Hotels & Resorts Inc Hongkong Land Holdings Ltd.

2.4 2.1 2.1 2.0 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

90 90 87 0

Market Cap

Large Medium Small

56.2 30.2 13.6

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Australia Hong Kong Canada Japan

% Equity

0.0 0.0 98.9 0.0 1.1 0.0 0.0 0.0 0.0 0.0 0.0 % Assets

45.8 10.6 10.4 6.9 5.3

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

S P E C I A LT Y F U N D S

Renaissance Global Real Estate Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Joseph M. Harvey | 10-20-2010 Cohen & Steers

Joseph Harvey is a senior portfolio manager for real estate securities portfolios. Prior to joining the Cohen & Steers in 1992, Mr. Harvey was a vice president with Robert A. Stanger Co. for five years, where he was an analyst specializing in real estate and related securities for the firmâ&#x20AC;&#x2122;s research and consulting activities. Mr. Harvey has a BSE degree from Princeton University. Other Assets Managed

Since

Renaissance Glbl Real Estate Ccy Netrl A

10-10

Scott Crowe | 10-20-2010 Cohen & Steers Capital Management Inc.

Scott Crowe, senior vice president, is a global portfolio manager for real estate securities portfolios and oversees the global research process for real estate securities. He has 14 years of experience. Prior to joining the firm in 2007, Mr. Crowe was an executive director at UBS and served as global head of real estate. He also worked at UBS Warburg as a real estate analyst. Mr. Crowe has a Bachelor of Commerce degree from the University of New South Wales and graduated with honors with a finance degree from the University of Technology, Sydney. He is based in New York. Other Assets Managed

Since

Renaissance Glbl Real Estate Ccy Netrl A

10-10

Chip McKinley | 10-20-2010 Cohen & Steers

Chip McKinley is a portfolio manager for global real estate securities portfolios. Prior to joining Cohen & Steers in 2007, Mr. McKinley was a portfolio manager and REIT analyst at Franklin Templeton Real Estate Advisors. Previously, he was with Fidelity Investments and Cayuga Fund. Mr. McKinley has a BA degree from Southern Methodist University and an MBA degree from Cornell University. Other Assets Managed

Since

Renaissance Glbl Real Estate Ccy Netrl A

10-10

The Fund benefits from the expertise of Cohen & Steers, a leading investment manager of global real estate portfolios. Cohen & Steers employs a disciplined, valuation-driven approach that utilizes a team effort consisting of managers who are experts in their respective property sectors and countries. Collectively, they cover over 400 global companies.

valuation metrics include price-to-net asset value and multiple-to-growth ratio. The team then uses a proprietary valuation model to determine the optimal security weights to help construct the portfolio, and will take active positions against the benchmark. Risk is managed through the utilization of the valuation model to diversify the portfolio by region and property sector.

The research process involves both a top-down and bottom-up approach to build and maintain the portfolio. The top-down analysis focuses on key real estate themes that Cohen & Steers believe provide strong fundamental value creation opportunities. The top-down themes are supported with a bottom-up valuation discipline. The team analyzes specific property companies based on multiple factors, such as balance sheet, management, structure and real estate portfolio. Some of the primary

The result is a well diversified currency neutral portfolio, that is selected using a standardized, bottom-up approach to company research and valuation, along with a top-down view of the economy. With global real estate playing an increasingly important part of many pension portfolios, this Fund makes an excellent complement to a domestic portfolio and complements global infrastructure holdings.

Manager Commentary Global real estate securities continued to see heightened volatility in the fourth quarter amid concerns about Europe and slowing growth in China. However, the macro outlook has turned more positive, given the recent shift toward monetary easing in Asia Pacific and emerging markets, as well as U.S. economic data confirming slow but positive growth. In the U.S., thirdquarter earnings reports were generally positive, although increasing uncertainty about the global economy led to more conservative guidance for 2012. The manager continues to favour apartment companies, as well as retail and industrial owners with high-quality properties and strong balance sheets.

The fund remains overweight Asia Pacific (ex Japan), particularly among landlords that stand to benefit from relatively strong domestic consumption trends. Australia is becoming increasingly attractive, as lower interest rates and falling inflation should lead to lower cap rates and higher property values. The fund continues to be materially underweight Europe and Japan given the expectations for very challenging economic conditions. However, even in Europe, pockets of opportunities exist, including Londonâ&#x20AC;&#x2122;s prime office and retail markets, as well as Scandinavia and Germany, which should benefit from their relatively healthy economies. As at December 31, 2011

RENAISSANCE INVESTMENTS 129

S P E C I A LT Y F U N D S

Renaissance Global Real Estate Currency Neutral Fund (Class A) Fund Category Real Estate Equity

Morningstar Rating N/A

Investment Objective

Performance as of 12-31-2011

To seek long-term capital growth primarily through exposure to a global real estate fund that invests in equity securities of companies throughout the world that are involved in, or that indirectly benefit from, management companies, commercial, industrial, and residential properties, or other investment in the real estate sector (the Underlying Fund). The Fund will attempt to reduce its currency exposure to non-Canadian dollar currencies by implementing a currency hedging strategy that is aimed at protecting the Fund from nonCanadian dollar currency fluctuations in respect of units it owns in the Underlying Fund.

Growth of $10,000 14 Fund

Benchmark A FTSE EPRA/NAREIT Index

13 12 11 10 9 8

Performance Quartile (within category over calendar year)

4 2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

—

0.4

0.5

Fund Category Benchmark A

— 14.8 -2.1

— 1.1 -3.4

— 22.5 9.2

— 21.5 22.4

— 15.6 7.9

— 30.5 37.0

— -24.0 -23.7

— -35.3 -37.7

— 30.3 11.9

— 17.7 9.8

-10.7 12.9 -7.2

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

1.9 1.9 0.6

7.0 6.3 3.9

-12.9 3.1 -8.1

-10.7 12.9 -7.2

— 15.3 1.0

— 20.1 4.5

— -3.2 -11.5

-10.4 — —

Total Assets ($mil) Volatility Analysis Best 1 Year Return

Worst 1 Year Return

-7.8% 10-31-2010 to 10-31-2011

-10.7% 12-31-2010 to 12-31-2011

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Defer Sales Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1262 ATL1260 ATL1261 ATL1263

Inception Date MER Minimum Investment Telephone Web Site

October 20, 2010 2.70% $500

Calendar Year Returns %

Fund Category Benchmark A

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Top Ten Holdings

Notes MER annualized as at August 31, 2011. Please refer to the Annual/Interim Management Reports of Fund Performance for further details.

4.7 45.7 46.6 0.0 0.0 2.1 0.9

% Assets

Simon Property Group Inc Sun Hung Kai Properties, Ltd. Unibail-Rodamco SE Equity Residential HCP Inc

5.7 4.1 3.0 3.0 3.0

Westfield Group China Overseas Land & Investment Ltd. Westfield Retail Trust Host Hotels & Resorts Inc Hongkong Land Holdings Ltd.

2.4 2.1 2.1 1.9 1.9

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

2 90 87 0

Market Cap

Large Medium Small

59.5 28.0 12.5

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Australia Hong Kong Canada Japan

% Equity

0.0 0.0 98.9 0.0 1.1 0.0 0.0 0.0 0.0 0.0 0.0 % Assets

45.7 10.6 10.4 7.1 5.3

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

S P E C I A LT Y F U N D S

Renaissance Global Real Estate Currency Neutral Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Joseph M. Harvey | 10-20-2010 Cohen & Steers

Since

Renaissance Global Real Estate Cl A

10-10

Scott Crowe | 10-20-2010 Cohen & Steers Capital Management Inc.

Since

Renaissance Global Real Estate Cl A

10-10

Chip McKinley | 10-20-2010 Cohen & Steers

Since

Renaissance Global Real Estate Cl A

10-10

The Renaissance Real Estate Currency Neutral Fund is managed by CIBC Global Asset Management Inc. Cohen & Steers is the investment manager of the underlying fund, the Renaissance Real Estate Fund. The underlying fund benefits from the expertise of Cohen & Steers, a leading investment manager of global real estate portfolios. Cohen & Steers employs a disciplined, valuation-driven approach that utilizes a team effort consisting of managers who are experts in their respective property sectors and countries. Collectively, they cover over 400 global companies. The research process involves both a top-down and bottom-up approach to build and maintain the portfolio. The top-down analysis focuses on key real estate themes that Cohen & Steers believe provide strong fundamental value creation opportunities. The top-down themes are supported with a bottom-up valuation discipline. The

team analyzes specific property companies based on multiple factors, such as balance sheet, management, structure and real estate portfolio. Some of the primary valuation metrics include price-to-net asset value and multiple-to-growth ratio. The team then uses a proprietary valuation model to determine the optimal security weights to help construct the portfolio, and will take active positions against the benchmark. Risk is managed through the utilization of the valuation model to diversify the portfolio by region and property sector. The result is a well diversified portfolio that is selected using a standardized, bottom-up approach to company research and valuation, along with a top-down view of the economy. With global real estate playing an increasingly important part of many pension portfolios, this Fund makes an excellent complement to a domestic portfolio and complements global infrastructure holdings, while managing exchange rate fluctuations.

Manager Commentary Please note that the following commentary is written in consideration of the underlying fund. Global real estate securities continued to see heightened volatility in the fourth quarter amid concerns about Europe and slowing growth in China. However, the macro outlook has turned more positive, given the recent shift toward monetary easing in Asia Pacific and emerging markets, as well as U.S. economic data confirming slow but positive growth. In the U.S., thirdquarter earnings reports were generally positive, although increasing uncertainty about the global economy led to more conservative guidance for 2012. The manager continues to favour apartment companies, as well as retail and industrial owners with high-quality properties and strong balance sheets.

RENAISSANCE INVESTMENTS 131

S P E C I A LT Y F U N D S

Renaissance Global Health Care Fund (Class A) Fund Category Health Care Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To obtain long-term capital appreciation by investing primarily in U.S. companies and global companies with U.S. operations or exposure to U.S. markets or whose securities are traded on a U.S. exchange, which are engaged in the design, development, manufacturing, and distribution of products or services in the health care sectors. The Fund will invest in a diversified portfolio, which will mainly include securities in the medical technology, biotechnology, health care, and pharmaceutical sectors.

Growth of $10,000 14 Fund

Benchmark A MSCI World Health Care Index

13 12 11 10 9 8

Performance Quartile (within category over calendar year)

Volatility Analysis

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

116.3% 09-30-1999 to 09-30-2000

-27.6% 03-31-2002 to 03-31-2003

2003

2004

2005

2001

2002

721.8

834.3

Fund Category Benchmark A

8.8 -7.2 -7.5

-13.6 -28.7 -18.5

Trailing Returns %

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

1.7 0.8 3.4

3.4 3.8 5.6

-2.7 -3.3 2.4

7.4 5.9 12.9

3.3 4.2 5.0

2.9 5.0 3.9

-1.9 -1.1 -0.4

0.9 -1.3 -0.9

Total Assets ($mil) Low

2006

2007

2008

2009

2010

2011

942.5 1040.5 1057.8 1132.7

871.4

654.3

526.0

387.2

317.1

-12.9 -10.9 -11.5

-4.3 -8.1 -1.3

2.1 6.7 1.6

-0.7 2.5 -2.3

7.4 5.9 12.9

Calendar Year Returns %

Fund Category Benchmark A

8.9 8.4 -1.9

5.2 2.2 -1.4

9.2 6.5 6.7

11.5 9.5 10.5

Portfolio Analysis as of 12-31-2011 Fund Details

Composition

Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1162 ATL1161 ATL2162 ATL1635

Inception Date MER Minimum Investment Telephone Web Site

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

November 2, 1996 3.29% $500 Top Ten Holdings

888 888 FUND www.renaissanceinvestments.ca

Investment Style

Notes Class F MER: 2.02%

0.4 70.2 25.0 0.0 0.0 2.2 2.2

% Assets

Merck & Co Inc UnitedHealth Group Inc Shionogi & Co., Ltd. Cubist Pharmaceuticals, Inc. Amgen Inc

5.2 3.7 3.0 2.9 2.8

Forest Laboratories, Inc. Alkermes PLC Quest Diagnostics Inc Coventry Health Care, Inc. Medtronic, Inc.

2.6 2.5 2.5 2.4 2.3

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

97 97 95 0

Market Cap

Large Medium Small

53.6 33.5 12.9

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States Japan Canada Ireland Switzerland

% Equity

0.0 0.0 0.0 0.0 0.0 1.5 0.0 0.4 97.7 0.3 0.0 % Assets

70.2 10.5 4.8 3.5 2.1

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

S P E C I A LT Y F U N D S

Renaissance Global Health Care Fund (Class A) Investment Management Overview Manager Bios Edward P. Owens | 12-01-1996 Wellington Management Company, LLP

Mr. Owens is portfolio manager for the Health Care sector and analyst for Pharmaceuticals and Biotechnology sectors at Wellington Management Company, LLP. Jean M. Hynes | 12-01-1996 Wellington Management Company, LLP

Jean M. Hynes is a Senior Vice President of Wellington Management. She joined the firm in 1991 and has been an investment professional since 1993. Ms. Hynes holds the Chartered Financial Analyst designation.

Investment Management Approach The Fund benefits from the award-winning investment expertise of Edward P. Owens of Wellington Management, who employs a research-intensive, bottom-up approach that emphasizes finding value opportunities within the health care sector. Wellingtonâ&#x20AC;&#x2122;s research-oriented approach toward the health care sector is based on the view that scientific research and development is central to the fundamental performance of pharmaceutical and medical products companies, while the fortunes of service-oriented health care companies are largely the result of management skill. Key factors for their bottom-up security analysis are

company business prospects, strong existing product and new product outlook, corporate strategy and competitive position. These factors, as well a companyâ&#x20AC;&#x2122;s valuation relative to its peers, and the anticipation of aboveaverage earnings growth not yet reflected in the current price, influence both the buy and sell decisions. The result is a well-diversified, lower-turnover global portfolio of undervalued health care companies that operate within an industry benefiting from long-term demographic trends. This Fund is an excellent complement to a well-diversified portfolio for investors looking for specific exposure to the health care sector.

Manager Commentary Global equities rose slightly in recent months as corporate earnings were generally strong, while the eurozone debt crisis continued to drive investor sentiment. Global health care stocks remain ahead of broader market indices due to modifications to the Patient Protection and Affordable Care Act (PPACA), but gave back some of their recent gains due to the deficit reduction plan. Given the magnitude of the health care cost problem in the U.S., combined with the managerâ&#x20AC;&#x2122;s view that the PPACA does little to address the issue, the manager continues to believe that health care stocks will be subject to escalating reimbursement pressure in years to come. Despite this pressure, the manager believes there will always be demand for innovative health care products and services and that returns will accrue to companies that demonstrate the superiority of their products and services.

The fund remains fairly balanced across pharmaceuticals, health care services, medical technology, and biotechnology. Within health care services, the manager continues to believe managed care companies offer meaningful upside. The manager also favours drug distributors and drug stores, which are poised to benefit from the conversion of approximately $100 billion of branded pharmaceuticals to generics over the next several years. Within medical technology, the manager continues to seek companies with underappreciated franchises or promising research and development projects. The manager also sees catalysts ahead for pharmaceutical and biotech stocks, including cost-cutting measures and emerging markets growth. As at December 31, 2011

RENAISSANCE INVESTMENTS 133

S P E C I A LT Y F U N D S

Renaissance Global Resource Fund (Class A) Fund Category Natural Resources Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To seek long-term growth through capital appreciation consistent with preservation of capital by investing primarily in a diversified portfolio of equity securities or securities convertible to equity securities of companies around the world involved in or indirectly dependent on the resource industry.

Growth of $10,000 60 Fund

Benchmark A S&P/TSX Composite Index

50 40 30 20 10 0

Volatility Analysis

Performance Quartile (within category over calendar year) Low

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky. Best 1 Year Return

Worst 1 Year Return

76.5% 02-28-2009 to 02-28-2010

-52.1% 10-31-2007 to 10-31-2008

Fund Details Class

Load Structure

Currency

Fund Code

A A A F

Back End Charge Front End Charge Low Load Charge No Sales or Redem

CAD CAD CAD CAD

ATL1861 ATL1860 ATL2861 ATL1666

Inception Date MER Minimum Investment Telephone Web Site

Total Assets ($mil)

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

5.5

6.8

8.6

18.1

20.1

27.0

14.1

29.4

50.9

40.0

— 4.7 -12.6

— 16.3 -12.4

28.2 31.9 26.7

10.5 23.2 14.5

51.3 37.8 24.1

16.0 16.8 17.3

18.8 13.1 9.8

-46.0 -44.9 -33.0

65.5 53.4 35.1

50.4 31.5 17.6

-30.5 -18.6 -8.7

Calendar Year Returns %

Fund Category Benchmark A Trailing Returns %

Fund Category Benchmark A

1 Mth

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

Since Inception

-4.6 -5.3 -1.7

5.0 4.5 3.6

-18.0 -13.7 -8.9

-30.5 -18.6 -8.7

2.2 3.5 3.6

20.0 18.0 13.2

2.1 0.5 1.3

12.2 — —

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

58.0 10.6 26.8 0.4 0.6 2.7 1.0

Investment Style Top Ten Holdings

MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

—

888 888 FUND www.renaissanceinvestments.ca

Notes

2001

August 2, 2002 3.34% $500

Class F MER: 1.89%

% Assets

Athabasca Oil Sands Corp Arcan Resources, Ltd. Antrim Energy, Inc. Randgold Resources, Ltd. ADR Tiger Resources Limited

3.2 3.2 2.9 2.8 2.6

Coastal Energy Company Talison Lithium Limited Newmont Mining Corporation Precision Drilling Corp Rio Tinto PLC ADR

2.4 2.4 2.3 2.3 2.2

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

88 88 83 0

Market Cap

Large Medium Small

19.8 24.6 55.6

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

Canada Australia United States Mali Thailand

% Equity

0.0 40.5 0.0 56.4 0.0 0.0 0.0 1.8 0.0 0.0 1.4 % Assets

62.6 12.0 10.6 2.8 2.4

©2012. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. ™Renaissance Investments is offered by and is a registered trademark of CIBC Asset Management Inc. All fund performance is reported net of fees, benchmark data is reported gross of fees. This may impact a direct comparison between the fund and its benchmark.

S P E C I A LT Y F U N D S

Renaissance Global Resource Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Craig Porter | 08-01-2005 Front Street Capital

Craig Porter has been a Portfolio Manager and resource specialist at Front Street since 2005. Prior to joining he was Portfolio Manager at Natcan Investment Management from 1992 to 2005. He has 17 years' investment experience and had managed Altamira mutual funds since 1992. Other Assets Managed

Since

CIBC Energy CIBC Canadian Resources CIBC Precious Metals

06-01 11-05 10-06

The Fund benefits from the investment expertise of Front Street Capital, one of the most successful resource sector investment managers in Canadian history. Front Street uses a mix of top-down industry analysis and bottom-up stock selection to structure a natural resources equity portfolio. Front Street uses a unique combination of expertise and experience to invest in global stocks within the materials and energy sectors that can be expected to outperform over the short and long-term period. Their primary focus is given to the oil and gas, paper and forest products, metals and minerals, and precious metals and minerals industries. From a top-down perspective, the team

assesses industry fundamentals such as commodity supply and demand levels to determine where the greatest opportunity lies. At the security level, the process centres on accessing the underlying value of the assets, the strength of management and the firmâ&#x20AC;&#x2122;s future growth prospects. The Fund may invest in small, medium and large-capitalization companies. The result is a well-diversified, higher-turnover global portfolio of resource companies that operate in a sector that should benefit from global commodity demand. The Fund is an excellent complement to a well-diversified portfolio for investors looking for specific exposure to the global resource sector.

Manager Commentary The supply/demand equation for oil remains fairly balanced at this time. Although many countries are seeing a global economic slowdown, overall demand for oil continues to increase. In North America, oil traded most of the quarter above $90 a barrel, while the rest of the globe saw prices $10 to $15 per barrel higher. At its most recent meeting, OPEC decided to raise its production quotas to 30 million barrels a day. This was more of a symbolic move, as it was more to reflect where its current production levels stood. In reality, if prices were to jump sharply OPEC countries have very little spare capacity to bring on to suppress prices. The price of gold bounced between US$1,600 to $1,800 per ounce for most of the quarter, but overall showed no

real gain. The primary driver for the metal was the European debt crisis. On negative news investors would flock to the metal as a safe haven, given the uncertainties of a European Union collapse. Gold also received support from continuing political unrest globally and ongoing U.S. deficit concerns. Base metal prices were weaker in the quarter on fears of an economic slowdown in China, the worldâ&#x20AC;&#x2122;s largest consumer. The Chinese government has been running a fairly tight monetary and fiscal policy in an effort to combat excessive inflation, which it appears to have tamed. As at December 31, 2011

RENAISSANCE INVESTMENTS 135

S P E C I A LT Y F U N D S

Renaissance Global Science & Technology Fund (Class A) Fund Category Global Equity

Morningstar Rating QQQ

Investment Objective

Performance as of 12-31-2011

To obtain long-term capital appreciation by investing in a diversified portfolio of global companies involved mainly in telecommunications, biotechnology, computer hardware and software, and medical services and other scientific and technology based companies.

Growth of $10,000 12 Fund

10 8 6 4 2

Volatility Analysis

Low

Benchmark A NASDAQ 100 Index

Medium

High

Volatility (low-high): The lower the volatility ranking, the lower the risk of the fund. Funds with a volatility ranking of high are the most risky.

Performance Quartile (within category over calendar year)

Total Assets ($mil)

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

198.3

102.8

116.1

78.8

52.8

42.2

28.1

16.3

12.5

11.3

9.4

-51.3 -5.2 -28.5

-49.4 -17.4 -38.1

21.2 10.6 22.0

-5.4 6.4 2.8

2.1 5.8 -1.7

6.6 18.0 6.7

-9.9 -6.6 0.6

-28.0 -29.3 -28.0

36.3 14.3 31.2

7.8 6.5 13.3

-4.7 -7.6 5.0

Calendar Year Returns % Best 1 Year Return

Worst 1 Year Return

258.8% 02-28-1999 to 02-29-2000

-77.8% 09-30-2000 to 09-30-2001

Fund Category Benchmark A Trailing Returns %

Fund Details Class

Load Structure

Currency

Fund Code

A A A F F A A A

Back End Charge Front End Charge Low Load Charge No Sales or Redem No Sales or Redem Back End Charge Front End Charge Low Load Charge

CAD CAD CAD CAD USD USD USD USD

ATL1871 ATL1027 ATL2871 ATL1645 ATL1637 ATL1371 ATL1227 ATL2371

Inception Date MER Minimum Investment Telephone Web Site

Fund Category Benchmark A

Investment Style

Notes Class F MER: 1.97% MER as at August 31, 2011. Please refer to the Annual/ Interim Management Reports of Fund Performance for further details.

3 Mth

6 Mth

1Yr

2Yr

3Yr

5Yr

10Yr

-0.7 -1.2 -1.0

2.7 3.6 4.2

-4.7 -9.1 3.3

-4.7 -7.6 5.0

1.4 -0.8 9.1

11.9 4.0 16.0

-1.9 -5.8 2.5

-5.4 -1.0 -0.8

Portfolio Analysis as of 12-31-2011 Composition

% Assets

Canadian Equity U.S. Equity International Equity Fixed Income Fixed Inc <1yr to mat Cash Other

October 28, 1996 3.00% $500

888 888 FUND www.renaissanceinvestments.ca

1 Mth

Top Ten Holdings

4.9 65.9 26.7 0.0 0.0 1.3 1.2

% Assets

Apple, Inc. Visa, Inc. Priceline.com, Inc. Varian Medical Systems, Inc. Cognizant Technology Solutions Cl A

9.2 6.3 6.3 5.7 5.5

Check Point Software Technologies, Ltd. eBay Inc Google, Inc. Radialpoint Inc Cl B MasterCard Incorporated A

5.4 5.1 5.1 4.9 4.8

Total Number of Portfolio Holdings Total Number of Underlying Holdings Total Number of Stock Holdings Total Number of Bond Holdings

30 30 24 0

Market Cap

Large Medium Small

81.3 16.0 2.8

Global Equity Sectors

Utilities Energy Financials Materials Consumer Discretionary Consumer Staples Telecommunication Services Industrials Health Care Information Technology Unclassified Top 5 Countries

United States China Canada Israel Denmark

% Equity

0.0 0.0 0.0 0.0 6.5 0.0 0.0 0.0 14.1 74.4 5.0 % Assets

65.9 11.8 7.4 5.4 4.1

S P E C I A LT Y F U N D S

Renaissance Global Science & Technology Fund (Class A) Investment Management Overview Manager Bios

Investment Management Approach

Mark Lin | 10-01-2009 CIBC Global Asset Management Inc

Since

CIBC Asia Pacific CIBC European Equity CIBC Global Technology Renaissance European

01-02 04-08 10-09 09-11

The Fund benefits from the investment expertise of Mark Lin and his team from CIBC Global Asset Management, who use a bottom-up growth approach to investing in a diversified portfolio of global scientific and technology based companies. The team seek to capture long-term capital appreciation by buying into the growth of the technology and sciencebased industries. Analysis is carried out on a bottom-up basis with a focus on identifying growth potential. The ability to generate above-average rates of growth is based on: 1) superior product features, extraordinary distribution capability; 2) a unique business model, or other sustainable competitive advantages. Typical

criteria that enter into the decision making process are the following: strong management, unique/marketable technology, access to capital, and participation in high growth areas of these sectors. This results in a well-diversified, higher turnover global portfolio of companies involved mainly in telecommunications, biotechnology, computer hardware and software, and medical services and other scientific and technology based companies. The Fund is an excellent complement to a well div portfolio for investors looking for specific exposure to the science and technology sector.

Manager Commentary Investors turned their attention to the European sovereign crisis in the fourth quarter of 2011 and the brinksmanship exhibited so far by top European politicians has eroded investorsâ&#x20AC;&#x2122; confidence in capital markets. In addition, signs of slowing economic growth in China, Europe and the U.S. prompted investors to take a cautious stance on their investments and equity markets continue to experience weakness as a result. The manager has taken profit on Priceline and Cognizant due to their large weight in the portfolio and trimmed

Fiserv to raise cash. No new positions were added to the portfolio. The weight of Visa was increased as the company continues to deliver consistent growth and the shares are attractively valued. The managerâ&#x20AC;&#x2122;s strategy stays unchanged: continue to hold companies with consistently profitable growth profiles in the highly profitable software and fastgrowing Internet sectors. As at December 31, 2011

RENAISSANCE INVESTMENTS 137

Renaissance Investments

Fund Essentials ATL FUND CODES INVESTMENT MANAGERS

Front-End Load

Back-End Load

Low Load

Class F

MERs (%) COMMISSIONS (%)

TRAILERS4 (%)

Class A

Front-End Load

Back-End Back-End Load Load 1-6 years2 7+ years2

Front-End Load

Back-End Load

Low Load

Low Load 1-3 years3

Low Load 4+ years3

MONEY MARKET FUNDS Renaissance Money Market Fund

CIBC Global Asset Management Inc.

ATL1025

ATL1125

ATL2125

n/a

0.48

0-5

5.00

3.00

0.10

Renaissance Money Market Fund - Premium Class

CIBC Global Asset Management Inc.

ATL1200

n/a

0.37

0-5

n/a

0.15

n/a

Renaissance Canadian T-Bill Fund

CIBC Global Asset Management Inc.

ATL922

ATL643

ATL681

n/a

0.43

0-5

5.00

3.00

0.10

Renaissance U.S. Money Market Fund (US$)

CIBC Global Asset Management Inc.

ATL974

ATL363

ATL762

n/a

0.16

0-5

5.00

3.00

0.05

Renaissance Short-Term Income Fund

CIBC Global Asset Management Inc.

ATL1021

ATL1121

ATL2121

ATL1630

1.42

0-5

5.00

3.00

0.50

0.25

0.50

0.25

0.50

Renaissance Short-Term Income Fund - Premium Class

CIBC Global Asset Management Inc.

ATL1206

n/a

0.805

0-5

n/a

0.50

n/a

FIXED INCOME FUNDS

Renaissance Canadian Bond Fund

CIBC Global Asset Management Inc.

ATL1022

ATL1122

ATL2122

ATL1631

1.52

0-5

5.00

3.00

0.50

0.25

0.50

0.25

0.50

Renaissance Canadian Bond Fund - Premium Class

CIBC Global Asset Management Inc.

ATL1204

n/a

0.805

0-5

n/a

0.50

n/a

Renaissance Real Return Bond Fund

CIBC Global Asset Management Inc.

ATL251

ATL291

ATL267

ATL010

1.67

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance Corporate Bond Capital Yield Fund

CIBC Global Asset Management Inc.

ATL1002

ATL1102

ATL2102

ATL016

1.651

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance Corporate Bond Capital Yield Fund - Premium Class CIBC Global Asset Management Inc.

ATL1202

n/a

0.91

0-5

n/a

0.50

n/a

Renaissance High-Yield Bond Fund

CIBC Global Asset Management Inc.

ATL908

ATL823

ATL667

ATL015

1.98

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance Global Bond Fund

Brandywine Global Investment Management, LLC

ATL1028

ATL1872

ATL2872

ATL1646

2.02

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

BALANCED FUNDS Renaissance Canadian Balanced Fund

ATL508

ATL507

ATL517

ATL019

2.31

0-5

5.00

3.00

1.10

0.50

1.10

0.50

1.10

Renaissance Optimal Income Portfolio

ATL048

ATL050

ATL049

ATL051

1.89

0-5

5.00

3.00

1.00

0.50

1.00

0.35

1.00

Renaissance Optimal Income Portfolio - Select Class

ATL2401

ATL2403

ATL2402

n/a

1.65

0-5

4.00

2.00

1.00

0.50

1.00

0.35

1.00

Renaissance Optimal Income Portfolio - Elite Class

ATL2404

ATL2406

ATL2405

n/a

1.31

0-5

3.00

1.00

0.75

0.25

0.75

0.25

0.75

ATL053

ATL055

ATL054

n/a

1.92

0-5

5.00

3.00

1.00

0.50

1.00

0.35

1.00

ATL2407

ATL2409

ATL2408

n/a

1.63

0-5

4.00

2.00

1.00

0.50

1.00

0.35

1.00

ATL2410

ATL2412

ATL2411

n/a

1.25

0-5

3.00

1.00

0.75

0.25

0.75

0.25

0.75

Renaissance Optimal Income Portfolio - Class T8

ATL056

ATL058

ATL057

n/a

1.94

0-5

5.00

3.00

1.00

0.50

1.00

0.35

1.00

Renaissance Optimal Income Portfolio - Select-T8 Class

ATL2413

ATL2415

ATL2414

n/a

1.62

0-5

4.00

2.00

1.00

0.50

1.00

0.35

1.00

Renaissance Optimal Income Portfolio - Elite-T8 Class

ATL2416

ATL2418

ATL2417

n/a

0-5

3.00

1.00

0.75

0.25

0.75

0.25

0.75

Renaissance Optimal Income Portfolio - Class T6 Renaissance Optimal Income Portfolio - Select-T6 Class Renaissance Optimal Income Portfolio - Elite-T6 Class

CIBC Global Asset Management Inc.

Brandywine Global Investment Management, LLC, CIBC Global Asset Management Inc., RARE Infrastructure Limited

EQUITY INCOME FUNDS Renaissance Canadian Dividend Fund

CIBC Global Asset Management Inc.

ATL294

ATL211

ATL266

ATL014

2.47

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Canadian Monthly Income Fund

CIBC Global Asset Management Inc.

ATL910

ATL859

ATL668

ATL155

1.92

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance Diversified Income Fund

CIBC Global Asset Management Inc.

ATL247

ATL271

ATL204

ATL017

2.50

0-5

5.00

3.00

1.10

0.35

1.10

0.35

1.10

Renaissance Millennium High Income Fund

Morrison Williams Investment Management Ltd.

ATL1879

ATL1880

ATL2880

ATL1650

2.53

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance Canadian Core Value Fund

CIBC Global Asset Management Inc., Wintergreen Advisers, LLC

ATL901

ATL853

ATL671

ATL020

2.58

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Canadian Growth Fund

McLean Budden Limited

ATL902

ATL843

ATL669

ATL022

2.61

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Canadian All-Cap Equity Fund

CIBC Global Asset Management Inc.

ATL1023

ATL1123

ATL2123

ATL068

n/a6

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Canadian Small-Cap Fund

CIBC Global Asset Management Inc.

ATL905

ATL852

ATL670

ATL023

2.57

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

CANADIAN EQUITY FUNDS

U.S. EQUITY FUNDS Renaissance U.S. Equity Value Fund

Metropolitan West Capital Management, LLC

ATL502

ATL501

ATL515

ATL024

2.73

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance U.S. Equity Value Fund (US$)

Metropolitan West Capital Management, LLC

ATL743

ATL742

ATL744

ATL025

2.73

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance U.S. Equity Growth Fund

Aletheia Research and Management, Inc.

ATL913

ATL833

ATL661

ATL026

2.74

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance U.S. Equity Growth Fund (US$)

Aletheia Research and Management, Inc.

ATL973

ATL733

ATL761

ATL027

2.74

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance U.S. Equity Growth Currency Neutral Fund

CIBC Global Asset Management Inc. (Aletheia Research and Management, Inc. is the investment manager of the underlying fund)

ATL1250

ATL1252

ATL1251

ATL1253

2.731

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance U.S. Equity Fund

INTECH Investment Management LLC

ATL911

ATL855

ATL662

ATL028

1.93

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance U.S. Equity Fund (US$)

INTECH Investment Management LLC

ATL797

ATL799

ATL798

ATL097

1.93

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance International Dividend Fund

Kleinwort Benson Investors

ATL914

ATL856

ATL677

ATL032

2.36

0-5

5.00

3.00

0.75

0.25

0.75

0.25

0.75

Renaissance International Equity Fund

Walter Scott & Partners Limited

ATL1868

ATL1869

ATL2869

ATL1644

2.81

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance International Equity Currency Neutral Fund

CIBC Global Asset Management Inc. (Walter Scott & Partners Limited is the investment manager of the underlying fund)

ATL1240

ATL1242

ATL1241

ATL1243

2.871

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Markets Fund

Wintergreen Advisers, LLC

GLOBAL EQUITY FUNDS

ATL1029

ATL1873

ATL2873

ATL1647

2.74

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio

ATL1902

ATL1903

ATL2903

ATL1652

2.73

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio - Select Class

ATL2419

ATL2421

ATL2420

n/a

2.341

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio - Elite Class

ATL2422

ATL2424

ATL2423

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

ATL2425

ATL2427

ATL2426

n/a

2.82

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

ATL2434

ATL2436

ATL2435

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

ATL2437

ATL2439

ATL2438

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90 1.25

Renaissance Optimal Global Equity Portfolio - Class T4 Renaissance Optimal Global Equity Portfolio - Select-T4 Class Renaissance Optimal Global Equity Portfolio - Elite-T4 Class Renaissance Optimal Global Equity Portfolio - Class T6

Aletheia Research and Management, Inc., NWQ Investment Management Company, LLC, RARE Infrastructure Limited, Wellington Management Company, Wintergreen Advisers, LLC

ATL2428

ATL2430

ATL2429

n/a

0-5

5.00

3.00

1.25

0.50

1.25

0.50

Renaissance Optimal Global Equity Portfolio - Select-T6 Class

ATL2440

ATL2442

ATL2441

n/a

2.311

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio - Elite-T6 Class

ATL2443

ATL2445

ATL2444

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

Renaissance Optimal Global Equity Portfolio - Class T8

ATL2431

ATL2433

ATL2432

n/a

2.521

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio - Select-T8 Class

ATL2446

ATL2448

ATL2447

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Portfolio - Elite-T8 Class

ATL2449

ATL2451

ATL2450

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

138 RENAISSANCE INVESTMENTS

Renaissance Investments

Fund Essentials ATL FUND CODES

MERs (%) COMMISSIONS (%)

TRAILERS4 (%)

Front-End Load

Back-End Load

Low Load

Class F

Class A

Front-End Load

Back-End Load

Low Load

Front-End Load

Back-End Back-End Load Load 1-6 years2 7+ years2

Low Load 1-3 years3

Low Load 4+ years3

Renaissance Optimal Global Equity Currency Neutral Portfolio

ATL1265

ATL1267

ATL1266

ATL1268

2.851

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Currency Neutral Portfolio - Select Class

ATL1270

ATL1272

ATL1271

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Currency Neutral Portfolio - Elite Class

ATL1273

ATL1275

ATL1274

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

Renaissance Optimal Global Equity Currency Neutral Portfolio - Class T4

ATL1276

ATL1278

ATL1277

n/a

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

ATL1285

ATL1287

ATL1286

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

ATL1294

ATL1296

ATL1295

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

ATL1279

ATL1281

ATL1280

n/a

2.841

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

ATL1288

ATL1290

ATL1289

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Currency Neutral Portfolio - Elite-T6 Class

ATL1297

ATL1299

ATL1298

n/a

2.041

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

Renaissance Optimal Global Equity Currency Neutral Portfolio - Class T8

ATL1282

ATL1284

ATL1283

n/a

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Currency Neutral Portfolio - Select-T8 Class

ATL1291

ATL1293

ATL1292

n/a

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Global Equity Currency Neutral Portfolio - Elite-T8 Class

ATL1300

ATL1302

ATL1301

n/a

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

INVESTMENT MANAGERS GLOBAL EQUITY FUNDS (continued)

Renaissance Optimal Global Equity Currency Neutral Portfolio - Select-T4 Class Renaissance Optimal Global Equity Currency Neutral Portfolio - Elite-T4 Class Renaissance Optimal Global Equity Currency Neutral Portfolio - Class T6 Renaissance Optimal Global Equity Currency Neutral Portfolio - Select-T6 Class

CIBC Global Asset Management Inc. (Aletheia Research and Management, Inc., NWQ Investment Management Company, LLC, RARE Infrastructure Limited, Wellington Management Company, Wintergreen Advisers, LLC are the investment managers of the underlying funds)

Renaissance Global Value Fund

NWQ Investment Management Company, LLC

ATL1030

ATL1031

ATL2031

ATL1625

2.80

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Growth Fund

Walter Scott & Partners Limited

ATL504

ATL503

ATL516

ATL034

2.82

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Growth Currency Neutral Fund

CIBC Global Asset Management Inc. (Walter Scott & Partners Limited is the investment manager of the underlying fund)

ATL1235

ATL1237

ATL1236

ATL1238

2.881

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Focus Fund

Aletheia Research and Management, Inc.

ATL510

ATL509

ATL511

ATL036

2.88

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Focus Currency Neutral Fund

CIBC Global Asset Management Inc. (Aletheia Research and Management, Inc. is the investment manager of the underlying fund)

ATL1245

ATL1247

ATL1246

ATL1248

2.871

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Small-Cap Fund

Wellington Management Company, LLP

ATL1040

ATL1041

ATL2041

ATL1626

3.02

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance European Fund

CIBC Global Asset Management Inc.

ATL917

ATL163

ATL673

ATL030

2.80

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Asian Fund

Hamon Investment Management Limited

ATL1512

ATL1519

ATL2519

ATL1639

3.35

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance China Plus Fund

Hamon Investment Management Limited

ATL1050

ATL1051

ATL2051

ATL1627

3.29

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Emerging Markets Fund

Pictet Asset Management Limited

ATL920

ATL858

ATL675

ATL029

3.05

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Inflation Opportunities Portfolio

CIBC Global Asset Management Inc.

ATL2452

ATL2454

ATL2453

ATL2455

n/a6

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Inflation Opportunities Portfolio - Select Class

CIBC Global Asset Management Inc.

ATL2466

ATL2468

ATL2467

n/a

n/a6

0-5

4.00

2.00

1.25

0.50

1.25

0.50

1.25

Renaissance Optimal Inflation Opportunities Portfolio - Elite Class

CIBC Global Asset Management Inc.

ATL2469

ATL2471

ATL2470

n/a

n/a6

0-5

3.00

1.00

0.90

0.40

0.90

0.40

0.90

Renaissance Global Infrastructure Fund

RARE Infrastructure Limited

ATL059

ATL061

ATL060

ATL062

2.63

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Infrastructure Currency Neutral Fund

CIBC Global Asset Management Inc. (RARE Infrastructure Limited is the investment manager of the underlying fund)

ATL1230

ATL1232

ATL1231

ATL1233

2.60

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

SPECIALTY FUNDS

Renaissance Global Real Estate Fund

Cohen & Steers, Inc.

ATL1255

ATL1257

ATL1256

ATL1258

2.701

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Real Estate Currency Neutral Fund

CIBC Global Asset Management Inc. (Cohen & Steers, Inc. is the investment manager of the underlying fund)

ATL1260

ATL1262

ATL1261

ATL1263

2.701

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Health Care Fund

Wellington Management Company, LLP

ATL1161

ATL1162

ATL2162

ATL1635

3.29

0-5

5.00

3.00

1.00

0.50

1.00

0.50

1.00

Renaissance Global Resource Fund

Front Street Investment Management Inc.

ATL1860

ATL1861

ATL2861

ATL1666

3.34

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Science & Technology Fund

CIBC Global Asset Management Inc.

ATL1027

ATL1871

ATL2871

ATL1645

3.00

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

Renaissance Global Science & Technology Fund (US$)

CIBC Global Asset Management Inc.

ATL1227

ATL1371

ATL2371

ATL1637

3.00

0-5

5.00

3.00

1.25

0.50

1.25

0.50

1.25

All MERs as at August 31, 2011. 1 Annualized MER for the period ending August 31, 2011 (as disclosed in each fundâ&#x20AC;&#x2122;s annual management report of fund performance). Renaissance Investments may have waived fees or absorbed expenses otherwise payable by a fund or portfolio, with the exception of any taxes or new fees introduced by regulators or governments. At the discretion of Renaissance Investments, this practice may continue indefinitely and can be terminated at any time. 2 All units held under the back-end load option on November 1, 2010 will maintain the trailing commission structure that was in place prior to November 1, 2010. Purchases of units under the back-end load option made after November 1, 2010 will be subject to the trailing commission structure detailed above. 3 All units held under the low load option on December 1, 2009 will maintain the trailing commission structure that was in place prior to December 1, 2009. Purchases of units under the low load option made after December 1, 2009 will be subject to the trailing commission structure detailed above. 4 Trailer fees may change at any time without prior notice. 5 Target MER. While Renaissance Investments intends to meet the stated target MER and will waive management fees or absorb certain expenses to do so, we may discontinue this practice at any time. 6 Fund/Class launched September 26, 2011. Select and Elite Class: There will be no automatic transfer into the Select Class (including Select-T6 Class or Select-T8 Class within the Renaissance Optimal Income Portfolio or Select-T4 Class, Select-T6 or Select-T8 Class within the Renaissance Optimal Global Equity Portfolio) or Elite Class (including Elite-T6 Class or Elite-T8 Class within the Renaissance Optimal Income Portfolio or Elite-T4 Class, Elite-T6 or Select-T8 Class within the Renaissance Optimal Global Equity Portfolio) from other Renaissance classes when the minimum investment of the Select classes or Elite classes has been reached. Conversions and switches into the Select classes or Elite classes will be subject to the minimum investment requirements governing each class. As a result, an investor must hold a minimum investment of $250,000 to convert or switch into the Select classes, and $500,000 to convert or switch into the Elite classes. Note: See the Renaissance Investments family of funds Simplified Prospectus for the tax treatment of conversions and switches. RENAISSANCE INVESTMENTS 139

Renaissance Investments

Performance Essentials As at December 31, 2011 Renaissance Investments family of funds (Class A unless otherwise noted)

Assets ($ 000s)

NAV ($)

Distributions ($)

1 Mo. (%)

3 Mos. (%)

6 Mos. (%)

YTD (%)

1 Yr. (%)

3 Yrs. (%)

5 Yrs. (%)

10 Yrs. (%)

Since Incep. (%)

Inception Date

236,780

10.00

0.0053

0.05

0.17

0.35

0.75

0.50

1.52

1.73

4.56

01/02/87

–

10.00

0.0063

0.06

0.20

0.42

0.88

0.65

1.87

–

2.00

08/21/06

Renaissance Canadian T-Bill Fund – Current Yield: 0.49%†

28,930

10.00

0.0041

0.04

0.13

0.27

0.57

0.36

1.16

1.37

3.92

08/21/87

Renaissance U.S. Money Market Fund (US$) – Current Yield: 0.07%†

38,363

10.00

0.0006

0.01

0.02

0.03

0.09

0.15

1.39

1.46

3.42

03/30/87

83,539

11.77

0.0107

0.5

0.3

2.2

3.6

2.4

3.3

3.1

7.5

10/01/74

–

10.01

0.0116

0.6

0.4

–

0.0

–

0.5

09/29/11

MONEY MARKET FUNDS Renaissance Money Market Fund – Current Yield: 0.64%† Renaissance Money Market Fund - Premium Class – Current Yield: 0.77%†

FIXED INCOME FUNDS Renaissance Short-Term Income Fund Renaissance Short-Term Income Fund - Premium Class* Renaissance Canadian Bond Fund Renaissance Canadian Bond Fund - Premium Class* Renaissance Real Return Bond Fund Renaissance Corporate Bond Capital Yield Fund Renaissance Corporate Bond Capital Yield Fund - Premium Class

294,135

13.15

0.0152

1.6

1.8

6.0

8.0

7.5

5.1

4.8

8.3

01/01/73

–

10.05

0.1035

1.7

–

0.0

–

2.1

10/05/11

218,356

13.28

0.1195

2.2

4.9

9.8

13.9

10.7

6.3

–

6.1

06/02/03

1,465,888

10.24

0.1734

1.2

1.5

3.3

5.4

–

5.0

11/18/09

–

10.27

0.2951

1.2

1.7

3.7

6.2

–

5.6

11/18/09

Renaissance High-Yield Bond Fund

428,896

7.30

0.0257

2.0

3.2

(1.0)

1.5

13.6

3.0

5.3

5.5

09/23/94

Renaissance Global Bond Fund

76,841

4.45

0.0165

0.1

(2.3)

7.8

8.7

4.5

3.0

1.9

3.8

10/21/92

Renaissance Canadian Balanced Fund

528,432

14.43

0.6218

(0.1)

3.7

(6.2)

(4.8)

6.3

0.1

4.2

5.3

03/10/99

Renaissance Optimal Income Portfolio

689,967

9.47

0.0320

1.2

2.7

0.6

4.2

8.8

–

3.1

11/13/07

Renaissance Optimal Income Portfolio - T6 Class

–

8.70

0.0440

1.2

2.7

0.5

4.1

8.8

–

3.1

11/15/07

Renaissance Optimal Income Portfolio - T8 Class

–

7.98

0.0550

1.2

2.7

0.5

4.1

8.8

–

3.1

11/15/07

Renaissance Canadian Dividend Fund

340,049

12.66

0.0330

0.7

3.9

(7.1)

(3.9)

9.2

(0.6)

–

6.5

11/08/02

Renaissance Canadian Monthly Income Portfolio

208,291

7.04

0.0400

0.6

4.4

(3.3)

(2.4)

8.4

1.9

8.6

7.7

10/30/97

BALANCED FUNDS

EQUITY INCOME FUNDS

Renaissance Diversified Income Fund

97,058

10.42

0.0600

0.7

5.6

(4.4)

(3.7)

9.2

0.8

–

7.0

02/04/03

Renaissance Millennium High Income Fund

441,275

10.98

0.0600

3.0

7.6

2.0

7.6

15.2

2.0

8.0

8.4

02/13/97

CANADIAN EQUITY FUNDS Renaissance Canadian Core Value Fund

322,102

28.93

0.7952

(0.9)

5.0

(10.0)

(10.6)

5.8

(1.9)

4.4

7.3

09/23/94

Renaissance Canadian Growth Fund

118,998

24.73

–

(2.4)

1.8

(17.3)

(19.9)

4.1

(5.3)

1.2

4.8

10/30/85

Renaissance Canadian All-Cap Equity Fund Renaissance Canadian Small-Cap Fund

730

10.39

–

09/26/11

303,619

23.03

1.1013

0.5

9.1

(8.5)

(11.6)

22.8

4.2

11.1

8.7

10/25/96

16,795

6.33

–

0.3

6.1

(4.3)

(2.0)

2.8

(8.9)

(4.7)

(2.1)

12/17/98

–

6.22

–

0.4

9.0

(9.3)

(4.0)

9.6

(6.4)

(0.3)

0.1

12/01/00

32,089

17.17

–

(5.1)

5.6

(6.8)

(9.3)

4.4

(8.5)

(7.3)

2.4

10/30/85

U.S. EQUITY FUNDS Renaissance U.S. Equity Value Fund Renaissance U.S. Equity Value Fund (USD) Renaissance U.S. Equity Growth Fund Renaissance U.S. Equity Growth Fund (USD)

–

16.87

–

(4.9)

8.5

(11.6)

(11.2)

11.4

(6.0)

(3.1)

1.2

11/01/95

Renaissance U.S. Equity Growth Currency Neutral Fund

10,777

9.70

–

(5.0)

7.2

(12.3)

(12.0)

–

(2.5)

10/20/10

Renaissance U.S. Equity Fund

10,151

7.09

–

0.2

8.5

1.3

5.9

5.8

(5.3)

(3.5)

0.6

10/25/96

–

6.97

–

0.4

11.4

(4.1)

3.7

–

16.6

04/13/09

Renaissance International Dividend Fund

7,141

7.92

–

(2.3)

0.7

(12.3)

(11.1)

(1.9)

(8.8)

(1.7)

0.8

10/25/96

Renaissance International Equity Fund

61,537

4.51

–

(3.0)

(0.4)

(9.4)

(9.3)

0.7

(3.4)

0.7

(0.9)

01/02/01 10/20/10

Renaissance U.S. Equity Fund (USD) GLOBAL EQUITY FUNDS

Renaissance International Equity Currency Neutral Fund

736

9.10

–

(2.2)

2.1

(11.4)

(11.7)

–

(7.6)

Renaissance Global Markets Fund

202,164

4.88

–

(0.5)

7.7

(3.2)

0.6

10.4

(1.5)

(0.4)

2.9

01/11/93

Renaissance Optimal Global Equity Portfolio

22,280

6.36

–

(2.4)

4.2

(7.7)

(7.1)

5.6

(3.9)

(1.9)

(3.7)

02/16/00

Renaissance Optimal Global Equity Currency Neutral Portfolio

1,074

9.59

–

(1.9)

6.0

(10.1)

(9.1)

–

(3.5)

10/20/10

Renaissance Global Value Fund

22,332

3.36

0.0421

(3.3)

0.3

(9.2)

(12.2)

(1.0)

(7.1)

(3.3)

(2.7)

05/01/98

Renaissance Global Growth Fund

114,013

7.97

–

(2.0)

3.7

(2.9)

(3.0)

3.4

(2.6)

(1.3)

(1.6)

12/17/98

318

9.85

–

(1.7)

5.7

(6.5)

(5.1)

–

(1.3)

10/20/10

Renaissance Global Focus Fund

57,218

9.37

–

(6.0)

4.9

(11.9)

(14.2)

1.9

(3.3)

0.7

(0.4)

09/06/99

Renaissance Global Focus Currency Neutral Fund

4,603

9.16

–

(5.1)

7.4

(14.0)

(15.1)

–

(7.1)

10/20/10

Renaissance Global Small-Cap Fund

7,996

9.02

–

(0.4)

4.1

(8.9)

(10.8)

6.4

(6.9)

(1.9)

4.6

02/02/98

Renaissance European Fund

8,568

13.33

0.1910

(2.3)

1.6

(18.9)

(14.2)

(3.1)

(10.0)

(2.0)

3.1

11/24/93

Renaissance Asian Fund

4,220

13.75

–

(4.1)

(4.2)

(21.9)

(23.2)

2.3

(6.9)

(0.3)

1.6

01/02/90

Renaissance China Plus Fund

100,930

12.81

–

(6.1)

1.9

(28.6)

(37.8)

3.3

(2.2)

3.2

9.1

02/02/98

Renaissance Emerging Markets Fund

14,364

12.72

–

(4.2)

1.0

(19.6)

(22.9)

7.3

(4.6)

4.9

5.4

10/25/96 09/29/11

Renaissance Global Growth Currency Neutral Fund

SPECIALTY FUNDS Renaissance Optimal Inflation Opportunities Portfolio

889

10.11

0.0207

–

Renaissance Global Infrastructure Fund

413,804

9.22

–

1.1

4.1

(4.6)

4.2

5.6

–

(0.5)

11/13/07

Renaissance Global Infrastructure Currency Neutral Fund

117,739

9.98

–

1.8

5.1

(4.6)

0.5

–

0.8

10/20/10

Renaissance Global Real Estate Fund

1,910

8.89

–

0.9

5.0

(9.1)

(8.3)

–

(9.1)

10/20/10

485

8.74

–

1.9

7.0

(12.9)

(10.7)

–

(10.4)

10/20/10

Renaissance Global Health Care Fund

317,095

16.86

–

1.7

3.4

(2.7)

7.4

2.9

(1.9)

0.9

10.6

11/02/96

Renaissance Global Resource Fund

40,046

14.75

–

(4.6)

5.0

(18.0)

(30.6)

20.0

2.1

–

12.2

08/02/02

Renaissance Global Science & Technology Fund

9,444

22.69

–

(0.7)

2.7

(4.7)

11.9

(1.9)

(5.4)

2.3

10/28/96

–

22.30

–

(0.5)

5.5

(9.7)

(6.7)

19.4

0.8

(1.1)

4.2

10/28/96

Renaissance Global Real Estate Currency Neutral Fund

Renaissance Global Science & Technology Fund (USD) † Current

yield is an annualized historical yield based on the seven-day period ended on December 31, 2011 and does not represent an actual one-year return. *Annual and historical rates of return shown are hypothetical performance which is based on the Class A units of the same fund. Hypothetical rates of return are for illustrative purposes only and are not intended to portray actual results. Actual rates of return will vary over time and be available one year following the inception date. Past results are not predictive of results in future periods.

140 RENAISSANCE INVESTMENTS

live better

â&#x20AC;&#x153;spr ngâ&#x20AC;? Put some

back in your step

Brush aside uncertainty and refresh body and soul with these five ideas.

With the end of RRSP season and winter both in sight, you may be looking for ideas to help you recover from the busiest, coldest time of the year. Uncertainty may be the new certainty in the financial markets, but spring is guaranteed to follow winter. Here are our suggestions to get you in the spirit and put some spring back in your step.

RENAISSANCE INVESTMENTS 141

Put some “spring” back in your step

Find an online deal for your

European

adventure

No, it’s not warm enough to swim and sunbathe in Spain and Italy, but on the plus side, it’s not tourist season either, and chances are the weather’s better than at home. If you want to find a deal, start with www.luxurylink.com, which hosts the largest selection of hand-selected luxury hotels, resorts, cruises and tours on the web. There are auctions and discount travel packages offering up to 65 percent off. And if you’re up for it, there are even mystery auctions.

At the time of publication, the best deals in Europe were for London and Barcelona hotels. For example, a five-day stay at The Rubens at the Palace luxury boutique hotel, next to Buckingham Palace – including full English breakfast for two each morning, one traditional afternoon tea, one three-course candlelight dinner for two with wine and lots of other nice perks – started at $1,346 for two with all taxes included. If nothing on Luxury Link appeals or fits your schedule, there’s always www.expedia.com, which remains a user-friendly, reliable resource with a variety of deals and easy-to-book extras. Finally, before you click and pay – even if it is for the Four Seasons – check out the reviews on www.tripadvisor.com. This web site can save you from making a big mistake, or give you the final nudge you need to get away for a few days and decompress.

Read some business books – the funny ones 2

In the aftermath of the 2008 financial crisis, journalist Michael Lewis turned from writing sports books like Moneyball and The Blind Side to once again chronicling the investment industry, the beat where he made his well-deserved reputation. If you haven’t read The Big Short and Boomerang, you’ve probably had colleagues recommend them to you. Take their advice. A bond salesman turned journalist, Lewis deals hilariously with complicated issues. His first book, Liar’s Poker, which tells the story of his career at Salomon Brothers during the eighties, is a classic Wall Street tale and contender for the title of funniest business book ever. It’s guaranteed to make you laugh no matter where the market’s headed.

142 RENAISSANCE INVESTMENTS

Drink some spring wines with seasonal foods

To accompany the first local asparagus, try an Ontario Sauvignon Blanc from Vineland Estates. If it’s shellfish on the table, match it with L’Acadie Blanc, a Nova Scotia Riesling. Burgers on the barbecue? Henry of Pelham Family Estates makes a nice light Gamay to wean you from heavy winter reds. And finally, if you haven’t jumped on the rosé bandwagon yet, keep your eyes open for the release of some of Canada’s best pink wines, including Malivoire Ladybug from the Niagara region and Joie Farm from the Okanagan Valley.

get in shape 5

Did your new year’s resolution to get in shape go missing some time in January? Don’t give up on 2012. The new year’s rush at the gym is over and there’s still enough time left that you’ll be able to see the results before your first tee time or cottage season. Just do it. If you don’t like gyms and are out of shape, you can stay home and try Jillian Michaels’ 30 Day Shred for quick results. If you’re already in shape and just want to get better, try the deservedly popular P90X: Tony Horton's 90-Day Extreme Home Fitness Workout DVD Program. Or, if you want to fast forward the whole ultra fitness process, there’s INSANITY: 60-Day Total Body Conditioning Workout DVD Program.

Escape with a TV series on DVD

There’s nothing like recovering from a tough week at the office by watching the entire season of a fantastic TV show in one sitting.

Downton Abbey (Season 1) The first season of Downton Abbey, the show that’s taken Britain by storm, is 368 minutes in total. Start at six p.m., call for pizza and be in bed by one. Alternatively, do it Downton style. Begin at noon. Break for tea and scones. Finish the season. And then head out for a very posh dinner at eight. Entourage (Seasons 1-7) A typical season of this hit comedy about a Hollywood movie star and his entourage run about five to six hours. With seven seasons available on disc, that’s a lot of relaxation bang for your buck. Even better, the final eighth season hasn’t yet been released on disc, so you’ll still have something to look forward to. Sherlock In 2010, the BBC released a new version of Sherlock Holmes set in present-day London. Both Holmes and Watson V. 2.0 are adorable with their constantly pinging cell phones and modern relationships issues. The initial three episodes are serious fun and, of course, puzzling mysteries abound.

Alternatively, join a mob. In 2011, a Montreal entrepreneur and his partners started something known as Training Mobs. Modelling themselves on the flash mob, likeminded and social workout seekers come together through www.trainingmobs.com to participate in fitness activities ranging from an outdoor run to a studio yoga session. Training Mobs is active in several Canadian cities and is free to join. Check out their Facebook page and Twitter feed. Who knows? Even if you don’t find a mega-mob, you might meet your dream running partner. Lose some weight If you’re looking to shed some pounds (and who isn’t?), science journalist Gary Taubes’ 2010 book, Why We Get Fat: And What to Do About It, will almost certainly convince you to go low carb and high protein. Taubes debunks a lot of the conventional nutritional wisdom. Even scientists who remain skeptical about his conclusion respect his work. To understand why nutritional experts might have been as wrong about calories and weight loss as Taubes says they were, Daniel Kahneman’s Thinking, Fast and Slow will help. As a psychologist who won the Nobel prize for economics, Kahneman’s main point is that it is very easy (and even likely) for humans to not behave rationally. Apparently, our hard-wired biases often lead us to make bad or unreasonable choices. This can explain everything from why so many supposedly expert sportswriters underestimated Tim Tebow to what the investment industry gets wrong. Many critics called this the best book of 2011.

RENAISSANCE INVESTMENTS 143

brain calisthenics Word scramble – Unscramble the following letters to spell words from the Invest Well article on page 8:

1. tmpalio

Sudoku – Complete the Sudoku puzzle so that each and every row, column and 3x3 box contains the numbers one through nine only once.

9 6

2. niantceru

5 4

3. odeniatlf 4. frarctsirutuen 5. ssnmtcooei

3 4 6

5 3

6. sinorevts

7. suieercrcn

8. ocrmrnpfeae 9. roiooltfsp

9 8

10. nailtyfoarin

8 1

2 3 Source: 4puz.com

Spot the difference – Can you spot the five differences between the pictures below?

Check your answers at www.renaissanceinvestments.ca/magazine/answers

144 RENAISSANCE INVESTMENTS

To learn more about how Renaissance Investments can help you and your clients invest well and live better, visit www.renaissanceinvestments.ca or call 1-888-888-FUND (3863).

FOR DEALER USE ONLY Renaissance Investments and the Axiom Portfolios are offered by CIBC Asset Management Inc. This material was prepared for investment professionals only and is not for public distribution. It is for informational purposes only and is not intended to convey investment, legal or tax advice. The material and/or its contents may not be reproduced or distributed without the express written consent of CIBC Asset Management Inc. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. The indicated rates of return are the historical annual compounded total returns for the class A units unless otherwise noted, including changes in unit value and reinvestment of all distributions, but do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns. For money market funds, the performance data provided assumes reinvestment of distributions only but does not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns. Mutual fund securities are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer, nor are they guaranteed. There can be no assurance that a money market fund will be able to maintain its net asset value per unit at a constant amount or that the full amount of your investment will be returned to you. The values of many mutual funds change frequently. Past performance may not be repeated. †Current yield is an annualized historical yield based on the seven-day period ended on December 31, 2011 and does not represent an actual one-year return. ™ Axiom, Axiom Portfolios, Renaissance Investments and “invest well. live better.” are registered trademarks of CIBC Asset Management Inc.

When the choice is optimal

Renaissance Optimal Inflation Opportunities Portfolio • Protects against inflation in Canada • Capitalizes on global inflation opportunities • Complements a balanced portfolio

Go to www.renaissanceinvestments.ca/oiop This material was prepared for investment professionals only and is not for public distribution. It is for informational purposes only and is not intended to convey investment, legal, or tax advice. Renaissance Investments is offered by CIBC Asset Management Inc. TMRenaissance Investments and “invest well. live better.” are registered trademarks of CIBC Asset Management Inc. 02001E(201201)