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French Mutual Fund (FCP)

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL

ANNUAL REPORT

as of 30 December 2011

Management Company: Edmond De Rothschild Asset Management

Custodian: La Compagnie Financière Edmond de Rothschild Banque

Statutory Auditor: Kling & Associés

Edmond De Rothschild Asset Management - 47 rue du Faubourg Saint-Honoré - 75008 - Paris

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CONTENTS

1. Investment policy 3

2. Changes affecting the UCITS 7

3. Management report 8

4. Statutory information 9

5. Certification by the statutory auditor 10

6. Annual financial statements 12

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1. INVESTMENT POLICY

LEGAL FORM French Mutual Fund (FCP). CLASSIFICATION Balanced.

ALLOCATION OF PROFIT AND LOSS Net gains/losses are attributed to the five classes of units in proportion to their share in total net assets. A, I and R units accumulate income, while D and ID units distribute income annually. UCITS of UCITS Up to 100% of net assets.

MANAGEMENT OBJECTIVE The Fund’s goal is to maximise performance over the duration of the recommended investment through discretionary and active management in terms of asset allocation: equities, bonds, sectors, countries, issuers, currencies. BENCHMARK INDEX The Fund has no benchmark index; its investment scope is not represented by existing indices. The mention of an indicator, even a composite index, could lead to misunderstanding on the part of the investor. INVESTMENT STRATEGY The management company uses a discretionary management style. The Fund’s assets will be invested mostly in coordinated French or European UCITS units or equities and in ETFs. Up to 50% of the Fund’s net assets will be exposed to equity risk, either directly or via UCITS funds or derivatives. Exposure to interest rate and monetary risk, either directly or via UCITS funds or derivatives, will move within a sensitivity range set between -10 and 10. These assets shall be selected in accordance with the strategy described hereinafter: - An allocation of assets to determine the weighting of equity and bond asset classes. This is determined according to: . macroeconomic context: anticipated economic growth, monetary policy in different areas, or currency parity prospects; . profit growth for companies (of all sizes) given the valuation levels of different markets and the evolution of liquidity; All these elements make it possible to define the anticipated performance of each of the major asset classes,

equities and bonds. Within each of the two asset classes - equities and bonds - the management company applies the following

procedures: . Share-based units: - Equity exposure will be limited to 50% of the Fund's net assets. The selection of equities and UCITS funds will give priority to investment policies focused on the search for stocks whose price growth projections exceed the market average.

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The geographical allocation will include international equity markets, including emerging markets, up to 20% of the net assets. In addition, certain specific themes relating to economic conclusions and company analyses will be chosen according to their potential for performance. Nevertheless, small-capitalisation companies may not represent more than 20% of the net assets. . Bond-based units: - With regard to investment in bond-type UCITS funds or equivalent and direct investment in debt securities, the manager determines allocation within the main bond markets (government bonds, “investment grade” credit market, high-yield credit market, emerging countries debt market, convertible bond markets and monetary assets) depending on analysis of the rate curve, issuer quality and equity sensitivity. The geographical allocation will focus primarily on equity markets in OECD countries. Exposure to emerging debt markets could nevertheless represent up to 20% of the Fund's net assets. Exposure to the high-yield bond market may not represent more than 40% of the Fund's net assets. The Fund’s overall exposure to emerging markets will be limited to 20% of its net assets. - A selection of funds determined as follows: - the funds may be managed by the management company or an affiliated company; - the choice of these UCITS funds follows the management company’s own process, using qualitative and

quantitative criteria. Moreover, the Fund may invest up to 10% of its net assets in units or shares of French alternative UCITS funds

approved by the AMF. The Fund may invest in forward financial derivative instruments traded on French and foreign regulated or over-the-counter markets: futures, options, and swaps. Each derivative instrument meets a specific hedging, arbitrage or exposure strategy seeking to: - provide general hedging of the portfolio or of certain asset classes held against equity, interest rate or currency risks; - synthetically reconstitute specific assets; or - change exposure to market risk with a view to achieving the management objectives. The use of derivatives is not intended to expose the Fund to interest rate risks beyond the sensitivity range, set

between -10 and 10, and to equity risks exceeding 50% of the net assets. RISK PROFILE Your money will be mainly invested in the financial instruments selected by the management company. These instruments will be subject to market trends and fluctuations. The risk factors described below are not exhaustive. It is the responsibility of each investor to analyse the risk associated with such an investment and to form his/her own opinion independent of the Edmond de Rothschild Group, and, if necessary, to consult advisors specialising in such matters in order to ensure that this investment is appropriate to his/her financial situation. Main risks: Capital risk: The UCITS does not guarantee or protect the capital invested, so investors may not recover the full amount of their initial capital invested, even if they retain their units for the recommended investment period. Discretionary management risk: The discretionary management style is based on anticipations of trends on the different markets (equities, bonds). However, the UCITS may not be invested in the best-performing markets at all times. Interest rate risk: Interest rate risk could result in a fall in the value of the Fund’s capital in the event of an upward movement in the yield curve. The bond markets’ direction is inverse to that of the interest rate markets. The Fund uses "sensitivity" criteria to measure the impact of a variation in interest rates. In effect, sensitivity measures the impact of variation in interest rates on the UCITS’s net asset value.

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Thus, for a 1% increase in rates, a sensitivity rating of +10 translates into a 10% decline in the UCITS’s net asset value. A downward rate curve might result in a decrease in the value of the Fund’s net asset value if the Fund’s sensitivity

is negative. Credit risk: The main risk is that of default by the issuer, involving either the non-payment of interest and/or the non-repayment of capital. Credit risk is also linked to the deterioration of an issuer. The attention of unitholders is drawn to the fact that the Fund’s net asset value is likely to fall if a total loss is recorded on a transaction following default by a counterparty. The inclusion of private corporate debt in the portfolio, whether directly or through UCITS, exposes the Fund to the effects of variations in credit quality. Currency risk: The Fund may hold, either directly or through UCITS, equities denominated in currencies other than the Fund’s account currency; as a result, exchange rate fluctuations may have a negative impact on the Fund’s net asset value. Currency risk can be hedged using derivative instruments. Equity risk: The manager seeks equities that may outperform the markets, in both bull and bear phases. In the event of a downturn in the equity markets, the net asset value of the Fund may fall. Considering that the Fund may also invest in small capitalisations, investors are reminded that small capitalisation markets are intended for companies that, due to their specific characteristics, may represent risks for investors. Risks associated with emerging markets: The Fund may invest in emerging markets. The risk associated with these investments is due, in particular, to the operating and supervision conditions of these markets, which may differ from the standards prevailing in the major international markets and may lead to stronger and faster market movements. Risk related to investment in high-yield instruments: The Fund may be exposed to a risk linked to investment in high-yield financial instruments, which present a higher default risk than investment-grade instruments. In case of default, the value of these instruments may decline sharply, with the resulting negative impact on the Fund’s net asset value. Risk associated with the use of derivative instruments: The use of forward financial instruments might entail the risk of a sharper, more abrupt drop in net asset value than

in markets where the FCP invests. Secondary risks: Risk associated with investment in certain alternative fund UCITS funds: The Fund may invest up to 10% of its net assets in alternative French UCITS units or shares. Alternative UCITS funds are not subject to the same rules as “all-investor” UCITS funds and can therefore involve a greater risk. In particular, they involve a liquidity risk linked to the difficulties the fund manager may encounter in selling the underlying UCIs. This liquidity risk can have a negative impact on the net asset value of alternative UCITS funds held by the Fund and on transparency with regard to the Fund’s value. TARGET SUBSCRIBERS AND TYPICAL INVESTOR PROFILE A and D units are intended for all investors. I, ID and R units are intended for legal entities with the capacity to make an initial subscription of EUR 500,000. Minimum initial subscription: - A and D units: one unit. - I, ID and R units: EUR 500,000.

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This Fund is especially intended for investors wishing to maximise performance over a 2-year horizon, regardless

of the market situation. The units of this UCITS are not and will not be registered in the United States under the US Securities Act of 1933 as amended ("Securities Act 1933") or under any other law of the United States. These units may not be offered, sold or transferred to the United States (including its territories and possessions) or benefit, directly or indirectly, any US Person (as defined by regulation S of the 1933 Securities Act). The appropriate amount to invest in this Fund depends on your personal situation. To determine their level of investment, investors are encouraged to seek professional advice in order to diversify their investments and determine the proportion of their financial portfolio or assets to be invested in this Fund relative more specifically to the recommended investment period and exposure to the aforementioned risks and their personal assets, their requirements and their own objectives. In any event, unitholders must diversify their portfolio sufficiently to avoid being solely exposed to the risks of this Fund. Minimum recommended investment period: 2 years.

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2. CHANGES AFFECTING THE UCITS

Change of the Fund name on 5 July 2011. Creation of D and ID units on 18 July 2011.

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3. MANAGEMENT REPORT

On an economic level, contrasting results were observed at different times of the year and in various regions, as the USA started the year badly only to end on a much more positive note, while the results recorded in Europe and the emerging countries declined over the course of the year. There were several reasons for this turnaround. In the USA, the highly flexible monetary policy limited the downward trend of the housing market and boosted the financial markets, despite fears about the budget and political consensus. In Europe, the debt situation seemed to be at risk during the summit on 21 July, when the heads of state and government were forced to save Greece. Since then, each “rescue plan” fuelled further fears and had a negative effect on the economy, and the year that had started on a positive note seemed to be teetering on the verge of recession after just a few months. In many emerging countries, especially China, India and Brazil, the central banks tightened their monetary conditions to combat inflation over the first six months before gradually focusing on less restrictive growth policies. The markets respected the revised economic data, as the USA significantly outperformed Europe and the emerging countries. In terms of the various sectors, the financial sector again suffered most due to its association with the risk of sovereign debt, previously long considered as risk free. The most cyclical sectors also declined. Bonds were used either as a safe haven (USA, UK, Germany) or had a negative effect (Greece, Italy, Spain). In this context, the main management decisions taken were as follows: Since the summer, fund managers have adopted greater prudence in relation to equities, fearing that government measures taken to appease the bond markets would dampen the potential for growth. This translated, in particular, through the setting up of a protection plan via derivatives. We have favoured emerging and European shares and, since the summer, Japan, to the detriment of American stocks, which rapidly seemed to become expensive. We took positions in emerging debt markets, convertible and high-yield bonds and the overall sensitivity of the

Fund was negative in terms of American and German interest rates. Over the period, performance was -7.09% for unit A. Over the period, performance was -6.62% for unit R. Since its creation on 15 July 2011, performance was -6.07% for unit (D). Over the period, performance was -6.20% for unit (I). Since its creation on 15 July 2011, performance was -5.61% for unit (ID). Past performance is not an indication of future performance.

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4. STATUTORY INFORMATION

SAVINGS TAX DIRECTIVE In accordance with decree 2005-132 transposing directive 2003/48/EC on the taxation of savings income, the

UCITS is invested up to 25% or less in debt securities and assimilated products. VOTING RIGHTS In accordance with the AMF General Regulations and the Fund’s voting policy, the management company endeavours to exercise voting rights attached to shares held in the portfolio at the general meetings of each company, subject to administrative difficulties resulting from the deadlines imposed, particularly when voting rights are exercised abroad. Voting rights are freely exercised, and voting decisions are made in the best interests of unitholders. The voting policy is available for consultation on EDRAM’s website: www.edram.fr POLICY ON SELECTION OF INTERMEDIARIES AND COUNTERPARTIES In accordance with Article 314-75 of the AMF General Regulations, the management company has set up a Best Selection/Best Execution policy for intermediaries and counterparties. The purpose of this policy is to select, according to various predetermined criteria, the brokers and intermediaries whose execution policy will achieve the best possible results when executing orders. EDRAM’s policy may be consulted on its website: www.edram.fr REPORT ON INTERMEDIATION FEES In accordance with article 314-82 of the AMF General Regulations, the management company has drawn up a document, "Report on intermediation fees", which is available for consultation on EDRAM’s website: www.edram.fr

http://www.edram.fr/



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5. CERTIFICATION BY THE STATUTORY AUDITOR

5. CERTIFICATION BY THE STATUTORY AUDITOR

Dear Unitholders,

In execution of the mission entrusted to us by the management board of the Management Company EDMOND DE

ROTHSCHILD ASSET MANAGEMENT, we hereby present our report for the financial year of one month ending on 30

December 2011 on:

The audit of the annual financial statements for the EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL Mutual Fund

(formerly LCF PATRIMOINE FLEXIBLE), expressed in euros and which are attached to this report,

the justification of our assessments,

the specific verifications and the information required by law.

The annual financial statements have been prepared by the management board of the management company. Our responsibility

is to express an opinion on these annual financial statements based on our audit.

I. OPINION ON THE ANNUAL FINANCIAL STATEMENTS

We conducted our audit in accordance with professional auditing standards applicable in France, which require us to carry out

an audit in order to obtain reasonable assurance that the annual financial statements are free of material misstatement. An audit

involves examining, on a test basis or using other selection methods, the evidence supporting the amounts and disclosures

contained in the annual financial statements. It also includes assessing the accounting principles used and the significant

estimates made in preparing the annual financial statements, as well as evaluating their overall presentation. We believe that

the evidence gathered is sufficient and appropriate to justify our opinion.

We certify that the annual financial statements are, in conformity with French accounting rules and principles, accurate and

consistent, and give a true and fair view of the financial performance of the previous financial year as well as the financial

situation and assets of the UCITS at the end of the financial year.

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL (FORMERLY LCF PATRIMOINE FLEXIBLE)

Statutory auditor’s General Report

Annual financial statements – Financial year ended 30 December 2011

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II. JUSTIFICATION OF ASSESSMENTS

In accordance with the provisions of Article L.823-9 of the Commercial Code relating to the justification of our assessments,

we bring to your attention the following information:

Our assessments concerned in particular compliance with the accounting principles and methods applicable to UCITS, as

stipulated in Accounting Regulatory Committee (CRC) regulation No. 2003-02 of 2 October 2003, and the existence and

valuation of financial instruments held in the portfolio.

The assessments were made as part of our audit of the annual financial statements, taken as a whole, and therefore contributed

to the formation of the opinion expressed in the first part of this report.

III. SPECIFIC VERIFICATIONS AND INFORMATION

We have also performed the specific verifications as required by law in accordance with professional auditing standards in

France.

We have no observations to make concerning the accuracy and consistency with the annual financial statements of the

information provided in the annual report and in the documents provided to unitholders concerning the financial position and

annual financial statements.

Paris, 12 April 2012

Cabinet DIDIER KLING & ASSOCIÉS

Didier Kling

Statutory Auditor

Compagnie de Paris

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL (FORMERLY LCF PATRIMOINE FLEXIBLE)

Statutory auditor’s General Report

Annual financial statements – Financial year ended 30 December 2011

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6. ANNUAL FINANCIAL STATEMENTS • BALANCE SHEET (in EUR)

ASSETS

30/12/2011 31/12/2010

Net fixed assets

Deposits

Financial instruments 115,921,516.35 129,530,779.17

Equities and assimilated securities

Traded on a regulated or assimilated market

Not traded on a regulated or assimilated market

Bonds and assimilated securities 1,171,627.80

Traded on a regulated or assimilated market 1,171,627.80


Debt securities 8,965,026.77

Traded on a regulated or assimilated market 8,965,026.77

Transferable debt securities 8,965,026.77

Other debt securities


Undertakings for collective investment 104,561,675.10 129,040,315.58

General coordinated European and French UCITS 99,174,497.34 122,316,001.81 UCITS reserved for specific investors - FCPR (French venture capital funds) - FCIMT (French futures funds) 5,387,177.76 6,724,313.77 Listed investment funds and FCC (Fonds Commun de Créances – French debt securitisation funds) Unlisted investment funds and FCC (French debt securitisation funds)

Temporary transactions involving securities Receivables related to securities received under repurchase agreements

Receivables related to lent securities

Borrowed securities

Securities transferred under a repurchase agreement

Other temporary transactions

Forward financial instruments 1,223,186.68 490,463.59

Transactions on a regulated or assimilated market 1,223,186.68 490,463.59 Other transactions

Other financial instruments

Receivables 4,467,123.46 2,074,403.50 Forward currency transactions

Other 4,467,123.46 2,074,403.50

Financial accounts 2,101,729.87 2,742,274.60

Cash 2,101,729.87 2,742,274.60

Total assets 122,490,369.68 134,347,457.27

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LIABILITIES

30/12/2011 31/12/2010

Share capital

Capital 117,040,165.30 133,557,045.36

Balance carried forward

Net profit/loss -462,320.89 -1,482,413.62

Total share capital (= amount corresponding to net assets) 116,577,844.41 132,074,631.74

Financial instruments 1,588,392.79 455,801.02

Sale of financial instruments

Temporary transactions involving securities

Payables on securities transferred under repurchase agreements

Payables on borrowed securities

Other temporary transactions

Forward financial instruments 1,588,392.79 455,801.02

Transactions on a regulated or assimilated market 1,588,392.79 455,801.02

Other transactions

Payables 1,165,916.02 978,115.57

Forward currency transactions

Other 1,165,916.02 978,115.57

Financial accounts 3,158,216.46 838,908.94

Current bank borrowings 3,158,216.46 838,908.94

Loans

Total liabilities 122,490,369.68 134,347,457.27

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• OFF-BALANCE-SHEET ITEMS (in EUR)

30/12/2011 31/12/2010

Hedging transactions

Commitments on regulated or assimilated markets

Futures contracts

CBO CBOT UST 10 0312 16,666,506.18

CBO US UST 2A 0311 26,434,208.56

EUREX EUROBND 0312 22,941,600.00

GR SCHATZ 0311 40,658,865.00

GR SCHATZ 0312 23,171,400.00

LIF LIFF FTSE 1 0311 4,470,385.72

LIF LIFF FTSE 1 0312 2,319,645.64

LIFFE 3M CHF 0611 159,638,530.13

SOF SOFFEX SMI 0312 4,075,788.78

Options

CBOT US TRES NT 10A/0111/CALL/121 315,959.73

CBOT US TRES NT 10A/0111/CALL/121.5 249,724.55

CME EUR/USD/0111/PUT /1.375 1,749,726.99

DAX Xetra 01/2012 CALL 6000 127,168.43

DAX Xetra 01/2012 CALL 6150 29,255.82

DAX/0111/CALL/7250 64,716.82

DJ EURO STOXX 50 01/2012 CALL 2300 615,044.03



DJ EURO STOXX 50 01/2012 CALL 2,400 167,949.88

DJ EURO STOXX 50/0111/PUT /2700 298,273.18

EUREX EURO BUND 01/2012 CALL 139. 3,538,568.00

EUREX EURO BUND 01/2012 CALL 140. 2,732,136.00

EUREX EURO SCHATZ/0111/CALL/109 2,201,901.00

EUREX EURO SCHATZ/0111/CALL/109.1 1,805,122.80



FTSE 100 01/2012 CALL 5675 1,284,166.05

S&P 500 INDEX 01/2012 CALL 1255 951,954.70

S&P 500 INDEX 01/2012 CALL 1260 1,025,779.76

S&P 500 INDEX 01/2012 CALL 1270 334,398.37

SWISS MARKET INDEX 01/2012 CALL 5850 108,562.74

Over-the-counter commitments

Other commitments

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• OFF-BALANCE-SHEET ITEMS (in EUR)

30/12/2011 31/12/2010

Other transactions

Commitments on regulated or assimilated markets

Futures contracts

CBO CBOT UST 10 0311 2,334,147.07

CBO CBOT USTB 3 0311 2,275,819.02

CME CME CAD/USD 0311 898,423.47

CME CME CAD/USD 0312 6,279,266.65

CME CME EUR/JPY 0311 1,494,397.39

CME CME EUR/USD 0311 5,478,886.36

CME CME NOK/USD 0312 4,112,929.94

CME EUR/USD 0312 7,991,680.47

CME NIKEI 225 U 0312 6,190,598.16

EUR EUREX DAX I 0312 4,867,500.00

EUR EUREX DIVID 1212 508,500.00

EUR EUREX EUROB 0311 7,643,910.00

EUR EUREX EUROS 0311 6,845,300.00

EUR EUREX EUROS 0312 1,454,040.00

EUR STX 50 DIV 1214 4,411,800.00

EUREX DIVIDEN 1211 3,259,200.00

EUREX DIVIDEN 1213 1,697,600.00

S&P500 MINI 0311 4,389,773.02

S&P500 MINI 0312 2,894,734.81

Options

CBOT US TRES NT 10A 01/2012 PUT 129. 1,382,309.92

CBOT US TRES NT 10A 01/2012 PUT 129.5 1,761,599.20

CME EUR/USD/0111/PUT /1.34 1,281,647.16

DAX Xetra 01/2012 PUT 5500 296,834.46

DIVIDND FUTURE EUREX 12/2012 CALL 115. 995,148.00

DIVIDND FUTURE EUREX 12/2012 PUT 100. 862,677.00

DJ EURO STOXX 50 01/2012 CALL 2,425 81,658.39

EUREX EURO BUND 01/2012 PUT 134.5 1,212,428.80

EUREX EURO BUND 01/2012 PUT 135. 1,783,188.00

EUREX EURO BUND 01/2012 PUT 135.5 563,112.00

EUREX EURO BUND/0111/PUT /124.00 569,533.95

EUREX EURO SCHATZ 01/2012 PUT 110. 899,271.00

EUREX EURO SCHATZ/0111/PUT /108.8 3,520,861.50

SWISS MARKET INDEX 01/2012 CALL 6100 83,891.61

Over-the-counter commitments

Other commitments

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• INCOME STATEMENT (in EUR)

30/12/2011 31/12/2010

Income from financial transactions

Income from deposits and financial accounts 1,373.44 1.88

Income from equities and assimilated securities

Income from bonds and assimilated securities

Income from debt securities

Income from temporary purchases and sales of securities 158.53

Income from forward financial instruments

Other financial income

Total (1) 1,373.44 160.41

Payables on financial transactions

Payables on temporary purchases and sales of securities

Payables on forward financial instruments

Payables on financial debt 33,876.70 14,528.58

Other payables

Total (2) 33,876.70 14,528.58

Income resulting from financial transactions (1 - 2) -32,503.26 -14,368.17

Other income (3)

Management fees and depreciation allowance (4) 447,999.41 1,443,048.44

Net income for financial year (1 - 2 + 3 - 4) -480,502.67 -1,457,416.61

Income equalisation for financial year (5) 18,181.78 -24,997.01

Interim dividends paid over financial year (6)

Income (1 - 2 + 3 - 4 + 5 + 6) -462,320.89 -1,482,413.62

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NOTES TO THE FINANCIAL STATEMENTS

ACCOUNTING METHODS AND RULES The annual financial statements are established in accordance with the provisions set out in Accounting Regulatory

Committee (CRC) regulation no. 2003-02, as amended, relating to accounting guidelines applicable to UCITS. The general principles of accounting apply: - a true and fair view, comparability and operational continuity; - lawfulness and fairness; - prudence; - consistency in accounting methods from one financial year to the next. Income from fixed income securities is recorded on the basis of interest received. Purchases and sales of securities are recorded exclusive of costs. The base currency of the portfolio is the euro. The financial year’s duration is 12 months. Asset valuation rules Financial instruments are recorded in the financial statements according to the historical cost method and on the balance sheet at their current value as determined by the last-known market value or, where a market does not exist, by any external means, or by the use of financial models. Differences between current values used to calculate net asset value and the historical costs of transferable securities when these were first included in the portfolio are recorded in the "valuation differentials" account. Securities not denominated in the same currency as the portfolio are valued in accordance with the methods described below; the valuation is then converted into the currency of the portfolio based on the prevailing exchange rate on the valuation date. Deposits: Deposits with a residual maturity of less than or equal to three months are valued according to the straight-line

method. Equities, bonds and other securities traded on a regulated or assimilated market: For the calculation of the net asset value, equities and other securities traded on a regulated or assimilated market

are valued according to the last market price of the day. Bonds and other assimilated securities are valued at the closing price supplied by various financial service

providers. Interest accrued on bonds and assimilated securities is calculated up to the net asset value calculation

date. Equities, bonds and other securities not traded on a regulated or assimilated market: Securities that are not traded on a regulated market are valued by the management company using methods based

on market value and yield, while taking into account prices observed for recent significant transactions. Transferable debt securities: Negotiable debt securities and assimilated securities that are not traded in large volumes are valued on the basis of an actuarial method using a reference rate defined below, which is increased, where applicable, by a differential that is representative of the intrinsic characteristics of the issuer: Negotiable debt securities with a maturity of less than or equal to one year: interbank rate in euro (Euribor);

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Transferable debt securities with a maturity exceeding one year: rates for French treasury bills (BTAN and OAT)

with similar maturity dates for the longer durations. Transferable debt securities with a residual maturity of less than or equal to three months may be valued according

to the straight-line method. French treasury bills are valued on the basis of market prices, as published daily by the Bank of France. UCITS held: Units or shares of UCITS will be valued based on their last known net asset value. Temporary securities transactions: Securities received under repurchase agreements are recorded as assets under the "Receivables related to

securities received under repurchase agreements" heading at the contracted amount, plus any accrued interest

receivable. Securities transferred under a repurchase agreement are recorded as securities purchased at their current value.

Payables related to securities transferred under a repurchase agreement are recorded as securities sold at the

contracted value, plus any accrued interest payable. Lent securities are valued at their current value and are recorded as assets under the "Receivables related to lent

securities" heading at their current value, plus any accrued interest receivable. Borrowed securities are recorded as assets under the "Borrowed securities" heading at the contracted amount and

as a liability under the "Payables on securities borrowed" heading at the contracted amount, plus any accrued

interest payable. Forward financial instruments: Forward financial instruments traded on a regulated or assimilated market: Forward financial instruments traded on regulated markets are valued at the settlement price of that day. Forward financial instruments not traded on a regulated or assimilated market: Swaps: Interest rate and/or currency swaps are valued at their market value by discounting future interest payments at the

prevailing interest rate and/or currency exchange rate on the market. This price is adjusted to take into account risk

related to the issuer. Index swaps are valued by means of an actuarial method based on a reference rate provided by the counterparty. Other swaps are valued at their market value or at a value estimated according to terms and conditions determined

by the management company. Off-balance-sheet commitments: Futures contracts are recorded as off-balance-sheet commitments at their market value on the basis of the price used in the portfolio. Conditional forward options are converted into the underlying equivalent. Swap commitments are recorded at their nominal value or, where there is no nominal value, at an equivalent

amount.

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Management fees Management fees are calculated on each valuation date on the basis of net assets. These fees are recorded in the income statement of the UCITS. Management fees are paid in full to the management company responsible for all of the operating costs of the UCITS. Management fees do not include transaction costs. The rate applicable to the net assets is 1.40% including taxes for Units A and D, and 0.70% including taxes for Units I and ID. The outperformance fee applied to net assets is 15% of performance beyond a performance equal to 7% net per annum. Variable management fees are payable to the management company in accordance with the following procedure: - The Fund’s performance is compared to a fixed 7% rate expressed on a pro rata temporis basis. - The outperformance fee is calculated by comparing the Fund's performance to the benchmark threshold. - When the Fund outperforms the fixed 7% rate expressed on a pro rata temporis basis, a 15% provision net of tax shall be applied to the outperformance. - The reference periods shall end with the last NAV for the month of June. - Outperformance fees will be subject to a provision each time NAV is calculated. - This outperformance fee is payable annually after calculating the last reference net asset value. No outperformance fees will be charged when the Fund’s performance is lower than the fixed 7% rate expressed

on a pro rata temporis basis during the calculation period. In the event of underperformance, the outperformance fee provision will be reduced by reversing the provision. The

reversal cannot be more than the provision. When units are redeemed, the management company receives the proportion of the outperformance fee

corresponding to the units redeemed. A refund of management fees receivable is taken into consideration each time that net asset value is calculated.

The amount set aside as a provision is equal to the share of refund acquired over the observed period. Allocation of income Net profit/loss for the financial year is equal to the amount of interest, arrears, dividends, premiums and lots, plus

income generated by temporary cash holdings. Management fees and payables related to financial transactions are

deducted from this income. Realised or unrealised gains or losses, as well as subscription and redemption fees, do

not constitute income. Distributable income is equal to net income for the financial year plus retained earnings, plus or minus the balance

of the income equalisation accounts for the last financial year. In accordance with the provisions indicated in the prospectus, net gains/losses are attributed to the different

classes of units or shares in proportion to their share in the total net assets. The portion of distributable income corresponding to D units or shares shall be distributed, while the portion

corresponding to C units or shares shall be accumulated.

20

• CHANGE IN NET ASSETS (in EUR)

30/12/2011 31/12/2010

Net assets at the beginning of the financial year 132,074,631.74 124,995,469.65

Subscriptions (including subscription fees paid to the UCITS) 19,249,679.50 21,051,190.98

Redemptions (excluding redemption fees paid to the UCITS) -25,740,619.38 -18,013,713.07

Realised gains on deposits and financial instruments 3,177,088.10 8,286,699.95

Realised losses on deposits and financial instruments -4,285,538.81 -1,486,438.91

Realised gains on forward financial instruments 16,320,992.87 12,715,166.81

Realised losses on forward financial instruments -16,838,036.30 -13,039,049.54

Transaction costs -456,088.08 -211,128.20

Currency differences -81,231.59 158,683.52

Changes in valuation differential on deposits and financial instruments -5,458,260.73 -829,248.48

Valuation differential for financial year N -2,129,656.39 3,328,604.34

Valuation differential for financial year N-1 -3,328,604.34 -4,157,852.82

Changes in valuation differential on forward financial instruments -904,270.24 -95,584.36

Valuation differential for financial year N -814,009.72 90,260.52

Valuation differential for financial year N-1 -90,260.52 -185,844.88

Dividends paid in the previous financial year

Net profit/loss for the financial year prior to income equalisation account -480,502.67 -1,457,416.61

Interim dividends paid over the financial year

Other items

Net assets at end of financial year 116,577,844.41 132,074,631.74

21

BREAKDOWN OF FINANCIAL INSTRUMENTS BY LEGAL OR ECONOMIC STRUCTURE

Amount %

Assets

Bonds and assimilated securities

Fixed rate bonds traded on a regulated or assimilated market 1,171,627.80 1.01


TOTAL Bonds and assimilated securities 1,171,627.80 1.01

Debt securities

Treasury bills 8,965,026.77 7.69

Debt securities

TOTAL Debt securities 8,965,026.77 7.69

Liabilities



TOTAL sale of financial instruments

Off-balance-sheet items

Hedging transactions

Equities 12,427,906.79 10.66

Interest rates 69,050,210.18 59.23

TOTAL hedging transactions 81,478,116.97 69.89

Other transactions

Equities 22,138,882.43 18.99

Currency 18,383,877.06 15.77

Interest rates 7,601,908.92 6.52

TOTAL other transactions 48,124,668.41 41.28

BREAKDOWN BY INTEREST RATES OF ASSET, LIABILITY AND OFF-BALANCE-SHEET ITEMS

Fixed rate % Variable rate % Adjustable rate % Other %

Assets

Deposits Bonds and assimilated securities 1,171,627.80 1.01

Debt securities 8,965,026.77 7.69 Temporary transactions involving securities

Financial accounts 2,101,729.87 1.80

Liabilities Temporary transactions involving securities



Hedging transactions 69,050,210.18 59.23

Other transactions 7,601,908.92 6.52

22

BREAKDOWN BY RESIDUAL MATURITY OF ASSET, LIABILITY AND OFF-BALANCE-SHEET ITEMS

< 3 months % 3 months-1 year % 1 - 3 years % 3-5 years % > 5 years %

Assets

Deposits Bonds and assimilated securities 1,171,627.80 1.01 Debt securities 8,965,026.77 7.69 Temporary transactions involving securities


Liabilities Temporary transactions involving securities



Hedging transactions 23,171,400.00 19.88 45,878,810.18 39.35 Other transactions 899,271.00 0.77 6,702,637.92 5.75

Positions in interest rate futures are shown according to the maturity of the underlying instrument.

BREAKDOWN BY LISTING CURRENCY OR VALUATION CURRENCY OF ASSET, LIABILITY AND OFF-BALANCE-SHEET ITEMS

USD CHF GBP Other currencies

Amount % Amount % Amount % Amount %

Assets

Deposits



Debt securities UCI 9,269,816.74 7.95


Receivables 1,546,718.71 1.33 419,430.14 0.36

Financial accounts 225,978.35 0.19 173,239.51 0.15

Liabilities



Financial accounts 2,263,489.06 1.94 894,727.40 0.77


Hedging transactions 18,978,639.01 16.28 4,184,351.52 3.59 3,603,811.69 3.09

Other transactions 30,613,119.15 26.26 83,891.61 0.07

23

• RECEIVABLES AND PAYABLES: BREAKDOWN BY TYPE

Type of debit/credit 30/12/2011

Receivables Subscriptions receivable 6,638.16 Trailer fees 35,311.69 Guarantee deposits in cash 4,425,173.61 Total Receivables 4,467,123.46

Payables Purchases with deferred settlement 915,292.00 Redemptions payable 119,863.00 Management fees 130,727.58 Outperformance fees 33.44 Total Payables 1,165,916.02

24

• NUMBER OF UNITS ISSUED OR REDEEMED

In units Amount

A units Units subscribed during financial year 84,493.9108 15,613,256.10 Units redeemed during financial year -118,328.5133 -21,482,921.82 Net balance of subscriptions/redemptions -33,834.6025 -5,869,665.72 I units Units subscribed during financial year 34,088 3,636,223.40 Units redeemed during financial year -42,857 -4,257,697.56 Net balance of subscriptions/redemptions -8,769 -621,474.16 D units

Units subscribed during financial year 1 100.00 Units redeemed during financial year

Net balance of subscriptions/redemptions 1 100.00 ID units Units subscribed during financial year 1 100.00 Units redeemed during financial year

Net balance of subscriptions/redemptions 1 100.00

• SUBSCRIPTION AND/OR REDEMPTION FEES

Amount

A units

Redemption fees received

Subscription fees received

Total fees received

I units Redemption fees received


Total fees received

D units



Total fees received

ID units



Total fees received

• MANAGEMENT FEES

30/12/2011

A units

Warranty fees

Fixed management fees 1,655,748.73 Percentage of fixed management fees 1.40 Outperformance fees -576,166.14 Trailer fees 629,048.23

25

30/12/2011

I units

Warranty fees

Fixed management fees 68,768.04

Percentage of fixed management fees 0.70

Outperformance fees -18,741.36

Trailer fees 52,562.06

D units

Warranty fees

Fixed management fees 0.24


Outperformance fees

Trailer fees 0.02

ID units

Warranty fees

Fixed management fees 0.23


Outperformance fees

Trailer fees 0.02

COMMITMENTS RECEIVED AND GIVEN Guarantees received by the UCITS None. Other commitments received and/or given None.

26

MARKET VALUE OF SECURITIES SUBJECT TO A TEMPORARY PURCHASE TRANSACTION

30/12/2011

Securities subject to repurchase agreements

Borrowed securities

CURRENT VALUE OF SECURITIES REPRESENTING GUARANTEE DEPOSITS

30/12/2011

Financial instruments used as a guarantee and maintained in their original entry

Financial instruments received as a guarantee and not recorded on the balance sheet

GROUP FINANCIAL INSTRUMENTS HELD IN PORTFOLIO

ISIN code Denomination 30/12/2011

Equities

Bonds

Transferable debt securities

UCITS 68,387,793.12 FR0010704965 Edmond de Rothschild Asia R 2,368,711.74 FR0010705095 Edmond de Rothschild China R unit 2,116,067.65 FR0010537340 Edmond de Rothschild Chinabsolute A 4,199,374.09 FR0010338145 EDMOND DE ROTHSCHILD CHINAGORA UNIT 1,187,803.67 FR0010777425 Edmond de Rothschild Europe Convertibles Unit 4,016,789.00 FR0010878959 Edmond de Rothschild Europe Flexible R unit 11,747,829.75 FR0010782417 Edmond de Rothschild Global Convertibles R 1,769,018.50 FR0010849786 Edmond de Rothschild Global Emerging R unit 1,766,592.70 FR0010849729 Edmond de Rothschild GOLDSPHERE R unit 1,725,193.50 FR0010702944 Edmond de Rothschild Investissement Prudent 2,451,158.42 FR0010471136 Edmond de Rothschild Quadrim 4 I 6,726,799.40 FR0010827568 Edmond de Rothschild Quadrim 8 I 3,579,523.22 FR0010399782 Edmond de Rothschild Sécurité R 15,136,207.08 FR0010850362 Edmond de Rothschild Selective Europe R 4,855,381.20 FR0010789354 Edmond de Rothschild Signatures Euro High Yield 4,741,343.20

Forward financial instruments Total group securities 68,387,793.12

27

• INCOME ALLOCATION TABLE FOR THE FINANCIAL YEAR

30/12/2011 31/12/2010

Amounts to be allocated

Balance carried forward

Net profit/loss -462,320.89 -1,482,413.62 Total -462,320.89 -1,482,413.62

30/12/2011 31/12/2010

A units

Allocation

Distribution

Balance carried forward for financial year

Accumulation -462,427.67 -1,395,301.25

Total -462,427.67 -1,395,301.25

30/12/2011 31/12/2010

I units

Allocation

Distribution


Accumulation 107.23 -87,112.37

Total 107.23 -87,112.37

30/12/2011 31/12/2010

D units

Allocation

Distribution


Accumulation -0.23

Total -0.23

30/12/2011 31/12/2010

ID units

Allocation

Distribution


Accumulation -0.22

Total -0.22

28

• TABLE OF RESULTS AND OTHER SIGNIFICANT ITEMS OVER LAST FIVE FINANCIAL YEARS

31/12/2007 31/12/2008 31/12/2009 31/12/2010 30/12/2011

Total net assets in EUR 25,248,312.55 11,610,805.95 124,995,469.65 132,074,631.74 116,577,844.41

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL A

Net assets 25,248,312.55 11,610,805.95 120,834,560.31 122,635,549.26 108,588,494.19

Number of units 138,875.9938 67,035.7644 664,175.8449 652,763.8336 618,929.2311

Net asset value per unit 181.80 173.20 181.93 187.87 175.44

Accumulation per unit 3.75 4.52 -2.39 -2.13 -0.74

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL I

Net assets 4,160,909.34 9,439,082.48 7,989,161.90

Number of units 41,001 89,767.774 80,998.774

Net asset value per unit 101.48 105.15 98.63

Accumulation per unit -0.54 -0.97

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL D

Net assets 93.93

Number of units 1

Net asset value per unit 93.93

Accumulation per unit -0.23

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL ID

Net assets 94.39

Number of units 1

Net asset value per unit 94.39

Accumulation per unit -0.22

29

• PORTFOLIO BREAKDOWN (in EUR)

Security name Currency Quantity or nominal amount Current value % Net

assets


Bonds & assimilated securities traded on a regulated market JERSEY

LYXOR GBS 0%04-PERP INDX EUR 9,940 1,171,627.80 1.01

TOTAL JERSEY 1,171,627.80 1.01 TOTAL Bonds and assimilated securities traded on regulated or assimilated markets 1,171,627.80 1.01

TOTAL Bonds and assimilated securities 1,171,627.80 1.01

Debt securities

Debt securities traded on a regulated or assimilated market SPAIN

SPAIN 17/02/12 EUR 5,000,000 4,965,937.65 4.26

TOTAL SPAIN 4,965,937.65 4.26

FRANCE FRANCE 22/03/12 EUR 4,000,000 3,999,089.12 3.43

TOTAL FRANCE 3,999,089.12 3.43 TOTAL Debt securities traded on regulated or assimilated markets 8,965,026.77 7.69

TOTAL Debt securities 8,965,026.77 7.69

Undertakings for collective investment

Standard French UCITS FRANCE

Edmond de Rothschild Asia R EUR 15,680.602 2,368,711.74 2.03

Edmond de Rothschild China R unit EUR 17,872.193 2,116,067.65 1.82

Edmond de Rothschild Europe Convertibles R Unit EUR 40,900 4,016,789.00 3.45

Edmond de Rothschild Europe Flexible R unit EUR 119,376.382 11,747,829.75 10.08

Edmond de Rothschild Global Convertibles R EUR 15,850 1,769,018.50 1.52

Edmond de Rothschild Global Emerging R unit EUR 17,410 1,766,592.70 1.52

Edmond de Rothschild GOLDSPHERE R unit EUR 14,550 1,725,193.50 1.48

Edmond de Rothschild Investissement Prudent Unit IC EUR 26,413.345 2,451,158.42 2.10

Edmond de Rothschild Quadrim 4 I EUR 1,220 6,726,799.40 5.77

Edmond de Rothschild Quadrim 8 I EUR 7 3,579,523.22 3.07

Edmond de Rothschild Sécurité R EUR 138 15,136,207.08 12.98

Edmond de Rothschild Selective Europe R EUR 43,090 4,855,381.20 4.16

Edmond de Rothschild Signatures Euro High Yield I EUR 440 4,741,343.20 4.07

LBPAM TRESORERIE I FCP 5DEC EUR 2,137 23,198,609.53 19.89

LFP OAS.OB.2013 3D EUR 3,534.435 4,185,619.30 3.59

TOTAL FRANCE 90,384,844.19 77.53

TOTAL General French UCITS 90,384,844.19 77.53

30


assets

Coordinated and assimilated European UCITS IRELAND

SKANDIA EMERGING MARKET DEBT FUND A3 H EUR 264,710 3,544,705.14 3.04

TOTAL IRELAND 3,544,705.14 3.04

LUXEMBOURG BGF LOC.A2 USD C2D USD 203,399.83 3,882,638.98 3.33

EAST CAPIT.RUSSIAN FD A C.3DEC EUR 19,250 1,362,309.03 1.17

TOTAL LUXEMBOURG 5,244,948.01 4.50

TOTAL Coordinated and assimilated European UCITS 8,789,653.15 7.54

UCITS with simplified registration procedures FRANCE

Edmond de Rothschild Chinabsolute A USD 46,513.801 4,199,374.09 3.60

EDMOND DE ROTHSCHILD CHINAGORA UNIT –A- USD 10,045.914 1,187,803.67 1.02

TOTAL FRANCE 5,387,177.76 4.62

TOTAL UCITS with simplified registration procedures 5,387,177.76 4.62

TOTAL Undertakings for collective investment 104,561,675.10 89.69

Forward financial instruments

Firm forward commitments

Firm forward commitments on regulated or assimilated markets

CBO CBOT UST 10 0312 USD -165 -208,530.56 -0.18

CME CME CAD/USD 0312 USD 83 97,823.83 0.08

CME CME NOK/USD 0312 USD 16 15,529.79 0.01

CME EUR/USD 0312 USD 64 -55,463.54 -0.05

CME NIKEI 225 U 0312 USD 191 -180,237.26 -0.15

EUR EUREX DAX I 0312 EUR 33 79,122.22 0.07

EUR EUREX EUROS 0312 EUR 63 46,560.00 0.04

EUR STX 50 DIV 1214 EUR 513 57,770.00 0.05

EUREX EUROBND 0312 EUR -165 -454,100.00 -0.39

GR SCHATZ 0312 EUR -210 -39,550.00 -0.03

LIF LIFF FTSE 1 0312 GBP -35 -15,814.68 -0.01

SOF SOFFEX SMI 0312 CHF -84 -149,587.52 -0.13

S&P500 MINI 0312 USD 60 -808.84

TOTAL firm forward commitments on a regulated market -807,286.56 -0.69

TOTAL firm forward commitments -807,286.56 -0.69

Conditional forward commitments Conditional forward commitments on regulated or assimilated markets

CBOT US TRES NT 10A 01/2012 PUT 129. USD -85 -12,277.09 -0.01

CBOT US TRES NT 10A 01/2012 PUT 129.5 USD -80 -16,369.76 -0.01

DAX Xetra 01/2012 CALL 6000 EUR -55 -29,150.00 -0.03

DAX Xetra 01/2012 CALL 6150 EUR -20 -5,350.00

DAX Xetra 01/2012 PUT 5500 EUR -275 -64,487.50 -0.06

31


assets

DIVIDND FUTURE EUREX 12/2012 CALL 115. EUR 300 72,300.00 0.07

DIVIDND FUTURE EUREX 12/2012 PUT 100. EUR -300 -78,000.00 -0.06

DJ EURO STOXX 50 01/2012 CALL 2300 EUR -50 -35,650.00 -0.03



DJ EURO STOXX 50 01/2012 CALL 2,400 EUR -25 -6,850.00 -0.01

DJ EURO STOXX 50 01/2012 CALL 2,425 EUR 15 3,060.00

EUREX EURO BUND 01/2012 CALL 139. EUR -50 -25,500.00 -0.02

EUREX EURO BUND 01/2012 CALL 140. EUR -50 -1,500.00

EUREX EURO BUND 01/2012 PUT 134.5 EUR -80 29,900.00 0.03

EUREX EURO BUND 01/2012 PUT 135. EUR -95 49,300.00 0.04

EUREX EURO BUND 01/2012 PUT 135.5 EUR -25 8,750.00 0.01

EUREX EURO SCHATZ 01/2012 PUT 110. EUR -50 3,500.00

FTSE 100 01/2012 CALL 5675 GBP -55 -35,556.09 -0.03

S&P 500 INDEX 01/2012 CALL 1255 USD -35 -30,668.64 -0.03

S&P 500 INDEX 01/2012 CALL 1260 USD -40 -30,813.08 -0.03

S&P 500 INDEX 01/2012 CALL 1270 USD -15 -8,810.62 -0.01

SWISS MARKET INDEX 01/2012 CALL 5850 CHF -25 -32,292.61 -0.03

SWISS MARKET INDEX 01/2012 CALL 6100 CHF 73 16,537.61 0.01 TOTAL conditional forward commitments on a regulated market -300,952.78 -0.26

TOTAL conditional forward commitments -300,952.78 -0.26

TOTAL Forward financial instruments -1,108,239.34 -0.95

Margin calls

LCFR Banque margin call USD 430,798.2 331,855.48 0.29

Rothschild margin calls in EUR EUR 245,775.56 245,775.56 0.21

Rothschild margin calls in GBP GBP 13,210 15,814.67 0.01

MARROCHF CHF 181,584.3 149,587.52 0.13

TOTAL Margin calls 743,033.23 0.64

Receivables 4,467,123.46 3.83

Payables -1,165,916.02 -1.00

Financial accounts -1,056,486.59 -0.91

Net assets 116,577,844.41 100.00

EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL D EUR 1 93.93 EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL A EUR 618,929.2311 175.44 EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL ID EUR 1 94.39 EDMOND DE ROTHSCHILD PATRIMOINE GLOBAL I EUR 80,998.774 98.63

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