EDM StrategyEuropean Equities

Return Date: 31/05/2012

Portfolio Date: 31/03/2012

Historical Performance vs. Benchmark

Time Period: 01/01/2000 to 31/05/2012

2000 2002 2004 2006 2008 2010 201228,0

37,0

46,0

55,0

64,0

73,0

82,0

91,0

100,0

109,0

118,0

127,0

EDM Strategy STOXX 50 EURO STOXX 50

Europe Large-Cap Growth Equity (Category)

Returns

Ret

urn

YTD 1 year 3 years 5 years 7 years 10 years 15 years-80,0

-60,0

-40,0

-20,0

0,0

20,0

40,0

60,0

80,0

100,0120,0

69,5

13,1

32,8

-5,2

28,7

-5,9

4,1

-4,7-14,2

6,2

-42,6

-23,1-32,8

0,6

-4,1

-38,1-31,1

-53,0

-13,6-26,0

-8,5

EDM Strategy STOXX 50 EURO STOXX 50

Statistical Risk

1 year 3 years 5 years 7 years 10 years 15 years 20 years

Alpha

Beta

Volatility

Correlation

Sharpe Ratio

Sortino Ratio

0,34

0,83

4,37

0,90

-0,27

-0,33

5,39

0,76

10,77

0,92

0,19

0,27

6,45

0,78

13,54

0,92

-0,17

-0,22

6,21

0,78

12,46

0,92

0,12

0,16

4,13

0,75

13,06

0,90

0,14

0,19

2,40

0,67

13,39

0,83

0,10

0,13

2,73

0,67

13,19

0,80

0,23

0,31

All EDM return data are expressed in euros and are stated net of expenses and fees. Each Set of comparisons takes into account: a) Retail class at fund level (the one with the highest charge). b) Price returns at Indice level (ex dividends)

5 Years Risk-Reward

Time Period: 01/06/2007 to 31/05/2012

Ret

urn

Std Dev0,0 4,0 8,0 12,0 16,0 20,0 24,0 28,0

-17,0

-14,0

-11,0

-8,0

-5,0

-2,0

1,0 EDM Strategy

STOXX 50

EURO STOXX 50

Europe Large-Cap Growth Equity (Category)

Fund´s Manager Comment

EDM Strategy is performing quite well in 2012, with a YTD return of +4.07% as opposed to -4.7% from the Stoxx 50. The

fund’s volatility levels remain very low, at just 11.2% over the last two years. Apart from the fund’s good relative

performance, we are also extremely satisfied with the high quality of earnings recorded by the fund companies, which have

maintained solid performances and have posted yet another quarter of highly satisfactory results. Danone figures were

surprisingly good, with organic revenue growth of +6.9% thanks to growth in volumes and higher prices/product mix. One

highlight was strong growth in the water division thanks to demand from both emerging and developed markets, as well as

the success of functional beverages. The dairy division recorded slower growth, hit by difficulties in European periphery

countries. In the USA, a new Greek yoghurt product is proving to be a success. The baby food division reported growth of +9%

thanks to demand for breast-milk substitutes. The company reiterated its targets for 2012: revenue growth of between +5%/

+7% and cash flows in excess of €2bn. Approximately 60% of Danone revenue comes from emerging markets. Roche posted

revenue growth of +3% CAGR thanks to the contribution from cancer medications, particularly Avastin. Despite prices coming

under pressure from European regulators, the company has shown satisfactory growth both in America and Asia. The market

continues to place much faith in Roche’s R&D, which had a further quarter of good results. The company has reiterated its

targets for the year: low single-digit revenue growth and high single-digit EPS growth.

Fund´s Data

Inception Date

NAV (Daily, €)

Fund Size (€)

Base Currency

ISIN

31/10/1990

259,92

70.407.881,00

Euro

LU0028445327

SnapshotName

Global Category

Custodian / Administrator

Auditor

Domicile

UCITS

EDM Intl Strategy

Europe Equity Large Cap

RBC Dexia Investor Services Bank S.A.

Deloitte S.A.

Luxembourg

Yes

EDM Asset Management www.edm.es/en -1- Tel. +34914110398 +34934160143 edm@edm.es

EDM StrategyEuropean Equities

Return Date: 31/05/2012

Portfolio Date: 31/03/2012

Holdings-Based Style

Mic

roSm

all

Mid

Larg

eG

iant

Deep-Val Core-Val Core Core-Grth High-Grth

EDM Strategy 31/03/2012

STOXX 50 31/05/2012

EURO STOXX 50 31/05/2012

Europe Large-Cap Growth Equity (Category) 30/04/2012

Style Box

2,5 16,6 34,8

2,6 9,0 26,8

5,3 0,0 2,3

LargeM

idSm

all

Value Blend Growth

Market Cap %

Market Cap Giant 41,7

Market Cap Large 12,2

Market Cap Mid 38,5

Market Cap Small 7,6

Market Cap Micro 0,0

Equity Sectors vs benchmarks

Portfolio Date: 31/03/2012

Strategy Stoxx 50Euro

Stoxx

Basic Materials

Consumer Cyclical

Financial Services

Real Estate

Consumer Defensive

Healthcare

Utilities

Communication Services

Energy

Industrials

Technology

5,09

4,89

3,51

0,00

17,58

27,37

0,00

5,14

0,00

23,27

13,15

7,84

3,94

19,17

0,00

17,59

17,26

3,49

7,75

15,15

5,03

2,78

6,88

10,24

23,44

0,95

10,04

7,99

7,80

7,37

10,11

7,94

7,26

Equity Country Exposure

%

Denmark 7,6

France 23,7

Germany 14,8

Spain 15,5

Switzerland 13,9

United Kingdom 24,5

Equity Sectors%

Basic Materials 5,1

Consumer Cyclical 4,9

Financial Services 3,5

Real Estate 0,0

Consumer Defensive 17,6

Healthcare 27,4

Utilities 0,0

Communication Services 5,1

Energy 0,0

Industrials 23,3

Technology 13,2

Portfolio Holdings

Portfolio Date: 31/03/2012

%

Roche Holding AG 6,6

Tesco PLC 6,5

Capita PLC 6,5

Sap AG 6,4

Danone 6,4

Grifols SA 5,7

Brenntag AG 5,1

Eutelsat Communications 4,4

Coloplast 4,2

Essilor International SA 4,1

Air Liquide SA 3,8

Bolsas y Mercados Espanoles 3,5

Novo Nordisk A/S 3,5

Industria De Diseno Textil SA 3,4

Wincor Nixdorf Aktiengesellschaft 3,3

Aggreko PLC 3,1

Other 23,6

Total 100,0

Portfolio construction

• Long-only traditional investment style (bottom-up)

• Stock picking. No benchmarking (low overlapping against its benchmark)

• Long-term investment horizon (5 years on average)

• Low turnover (15% average for the last 6 years)

• High liquidity (92% of the portfolio can be sold within one trading day)

• Restricted investment universe: only 100 companies globally

• Concentrated portfolio, maximum 30 companies

• Always fully equity invested (competition among stocks)

• 100% currency hedged (we do not predict currency fluctuations)

Stock picking methodology

•Focus on understandable and predictable businesses at reasonable prices

• Management quality & integrity are crucial for us

• Demanding criteria: High quality of the business (ROE = 31%)

• Sustainable EPS growth (11%)

• Low debt balance-sheet (Net Debt/EBITDA = 0,9)

• Recurrent and solid cash-flows

• Companies focused on emerging markets to generate growth (1/3 Sales)

• Following certain long-term Macro-trends

• Lack of sectors whose profits are not easily foreseen

EDM Asset Management www.edm.es/en -2- Tel. +34914110398 +34934160143 edm@edm.es