fund facts - empire life · this fund facts booklet, which forms part of the information folder,...

INV-941-EN-05/16

FUND FACTS

Any part of the deposit or other amount that is allocated to a segregated fund is invested at the risk of the owner and may increase or decrease in value.

as at December 31, 2015

FOR EMPIRE LIFE GIF 75/75, 75/100, 100/100 AND CLASS PLUS 2.1 CONTRACTS

This fund facts booklet, which forms part of the information folder, contains individual fund facts for

the segregated funds. Not all funds are available under all plans. Refer to the Empire Life Guaranteed

Investment Funds 75/75 and 75/100, the Empire Life Guaranteed Investment Funds 100/100, and

the Class Plus 2.1 Information Folder for a list of the segregated funds available. You can choose to

invest in one or more of the funds available.

The individual fund facts describe the key features of each segregated fund including its risk level,

past performance, suitability, guarantees, and what fees and charges may apply.

The individual fund facts is not complete without the following description of your rescission rights

and our contact information.

What if I change my mind?You can change your mind about your investment within two business days of receiving your

confirmation notice.

You have to tell us in writing that you want to cancel the transaction. We will assume you have

received your confirmation notice five business days after it is mailed. The amount returned will

be the lesser of the amount you invested or the value of the fund if it has gone down. The amount

returned only applies to the specific transaction and will include a refund of any sales charges or

other fees you paid.

For more informationThis summary may not contain all of the information you need. Please read the information folder

and contract provisions for more details.

Contact Information

The Empire Life Insurance Company

259 King Street East

Kingston, Ontario K7L 3A8

Phone Number:

1 800 561-1268

Fax: 1 866 762-6163

Email: [email protected] (English) or [email protected] (French)

Introduction to Fund Facts Empire Life Guaranteed Investment Funds 75/75 (Fund Class K), 75/100 (Fund Class L), 100/100 (Fund Class M) and Class Plus 2.1 (Fund Class Q)

Table of Contents

Fund Facts

Empire Life Money Market GIFEmpire Life Bond GIFEmpire Life Income GIFEmpire Life Monthly Income GIFEmpire Life Balanced GIFEmpire Life Dividend Balanced GIFEmpire Life Elite Balanced GIFEmpire Life Global Balanced GIFEmpire Life Asset Allocation GIFEmpire Life Dividend Growth GIFEmpire Life Canadian Equity GIFEmpire Life Elite Equity GIFEmpire Life Small Cap Equity GIFEmpire Life American Value GIFEmpire Life Global Equity GIFEmpire Life International Equity GIFEmpire Life Emblem Diversified Income Portfolio GIFEmpire Life Emblem Conservative Portfolio GIFEmpire Life Emblem Balanced Portfolio GIFEmpire Life Emblem Moderate Growth Portfolio GIFEmpire Life Emblem Growth Portfolio GIFEmpire Life Emblem Aggressive Growth Portfolio GIF

468

10121416182022242628303234363840424446

4

Fund FactsEmpire Life Money Market GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Money Market Fund.

Quick FactsDate fund created: February 1989Managed by: Empire Life Investments Inc. Total Fund Value: $ 98.4 Million Fund Portfolio Turnover Rate: N/A

CLASS FUND CLASSCREATED

MINIMUM INVESTMENT MATURITY/DEATH BENEFITGUARANTEE (%)

MANAGEMENTEXPENSE RATIO

(MER)

NET ASSETVALUE PER UNIT

UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 1.06% $ 10.00 153,712L November 2014 $1,000 initial, $50 per fund 75/100 1.12% $ 10.00 1,053,219M November 2014 $1,000 initial, $50 per fund 100/100 1.13% $ 10.00 106,252Q November 2014 $10,000 initial, $100 per fund 75/75 1.13% $ 10.00 1,015,993

*The MER for class K has been annualized.

What does the fund invest in?This segregated fund primarily invests in short-term securities such as treasury bills and short-term debt issued by governments and Canadian corporations.

TOP 10 INVESTMENTS* %Toronto-Dominion Bank 0.700% March 2, 2016 6.1Province of Ontario 0.520% January 6, 2016 5.1Province of British Columbia 0.539% January 22, 2016 5.1Government of Canada 0.400% February 11, 2016 5.1Province of Ontario 0.540% February 24, 2016 5.1Hydro One Inc. 0.909% May 5, 2016 5.1Province of Ontario 0.550% August 17, 2016 5.1Laurentian Bank of Canada 0.861% May 26, 2016 5.1Shoppers Drug Mart Corporation 2.010% May 24, 2016 5.0Canadian Western Bank 0.900% April 21, 2016 5.0Total 51.8

Total Investments: 25 *Proportion of total fund value.

Investment Segmentation (%)

Short Term 65.7Canadian Bonds 34.1Other Net Assets (Liabilities) 0.2

How risky is it?

The value of your investments can go down. Refer to the Information Folder for more information.

Who is this fund for?This fund may be right for a person seeking income, wanting to invest mostly in Canadian bonds and is willing to accept a very low level of risk.

How has the fund performed?While this fund has been in existence since February 1989, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.

The following information shows how fund class L of the fund has performed. However, this doesn’t tell you how the fund will perform in the future. Your actual return will depend on the fund class and on your personal tax situation.

Average ReturnA person who invested $1,000 on November 3, 2014 has $1,000 on December 31, 2015. This works out to an average of 0.02% a year.

Year-by-year returnsThis chart shows how the fund has performed in the past.

Are there any guarantees?This fund is being offered under an individual variable insurance contract. It comes with guarantees that may protect your investment if the markets go down. There is an insurance fee charged for the guarantees. Refer to the Information Folder for details about the guarantees and the insurance fee.

® Registered trademark of The Empire Life Insurance Company.Policies are issued by The Empire Life Insurance Company.

5

How much does it cost?The following table shows the fees and expenses you could pay to buy or sell units of the fund. The ongoing fees and expenses are different for each guarantee option.

1. Sales Charges

SALES CHARGE OPTION WHAT YOU PAY HOW IT WORKSFront End Load Up to 5.0% of the amount

you invest.You and your advisor decide on the %.The initial sales charge is deducted from the amount you invest.It is paid as a commission to your advisor.No withdrawal charges.You can transfer to other funds without paying any Front End Loads.

Back End Load If you sell within: % When you invest, Empire Life pays acommission of up to 5.0%.

The sales charge is deducted fromthe amount you sell.Deferred Sales Charge (DSC) 1 year of buying 5.5

2 years of buying 5.0 100% of your deposit is used to buyunits.

Depending on the plan, you can sellup to a certain percentage of yourunits each year without paying asales charge.

3 years of buying 5.04 years of buying 4.05 years of buying 4.0 You can transfer to other funds

without paying any sales charges.The sales charge schedule beginson the date you first invest in a fund.

6 years of buying 3.07 years of buying 2.0After 7 years 0.0


Any sales charge you pay goes to Empire Life.Low Load Sales Charge 1 year of buying 3.0

2 years of buying 2.5 100% of your deposit is used to buyunits.3 years of buying 2.0

After 3 years 0.0

2. Ongoing Fund ExpensesThe management expense ratio (MER) includes the management fee and operating expenses of the fund. You do not pay the MER directly. It affects you because it reduces the return you get on your investment. Refer to the Information Folder for details about the MER.

3. Trailer CommissionsEmpire Life pays a trailer commission of up to 1.25% of the value of your investments each year for as long as you hold units of the fund. The trailer commission is for the services and advice your advisor provides to you. The trailer commission is paid by Empire Life. The rate depends on the sales charge option you have chosen.

4. Other Fees

FEE WHAT YOU PAYInsurance Fee A charge to cover the maturity and death benefit guarantees on the

Empire Life Guaranteed Investment Funds 75/75, 75/100 and 100/100contracts. The fee is paid out of your contract to Empire Life monthly.Fund Class K (75/75) - 0.00%Fund Class L (75/100) - 0.10%Fund Class M (100/100) - 0.20%

Class Plus Fee A charge to cover the GWB guarantee on the Class Plus 2.1 contract. Thefee is paid out of your contract to Empire Life monthly.Fund Class Q (75/75) - 0.75%

Excessive Trading Fee Up to 2% of the value of units you sell, or transfer within 90 days of buyingthem. This fee is paid to the funds.

What if I change my mind?You can change your mind about your investment within two business days of receiving your confirmation notice. You have to tell us in writing that you want to cancel the transaction. We will assume you have received your confirmation notice five business days after it is mailed. The amount returned will be the lesser of the amount you invested or the value of the fund if it has gone down. The amount returned only applies to the specific transaction and will include a refund of any sales charges or other fees you paid.

For more information:This summary may not contain all of the information you need. Please read the information folder and contract provisions for more details. Contact information: The Empire Life Insurance Company Phone: 1-800-561-1268 Web: http://www.empire.ca 259 King Street East Fax: 1-866-762-6163 Email (English): [email protected] Kingston, Ontario, K7L 3A8 Email (French): [email protected]

6

Fund FactsEmpire Life Bond GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Bond Fund.

Quick FactsDate fund created: December 1987Managed by: Empire Life Investments Inc. Total Fund Value: $ 721.0 Million Fund Portfolio Turnover Rate: 141.60%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 1.92% $ 9.84 87,206L November 2014 $1,000 initial, $50 per fund 75/100 2.00% $ 10.35 643,276M November 2014 $1,000 initial, $50 per fund 100/100 1.94% $ 10.35 250,889Q November 2014 $10,000 initial, $100 per fund 75/75 1.98% $ 10.35 350,157


What does the fund invest in?This segregated fund primarily invests in government issued bonds as well as bonds, debentures and investment grade notes issued by corporations.

TOP 10 INVESTMENTS* %Government of Canada 3.500% December 1, 2045 6.1Province of Ontario 2.900% December 2, 2046 5.2Province of Quebec 3.500% December 1, 2045 4.3Province of Ontario 2.600% June 2, 2025 3.5Government of Canada 2.250% June 1, 2025 3.0Government of Canada 0.750% September 1, 2020 2.8Imperial Oil Limited 0.791% January 4, 2016 2.6Province of New Brunswick 3.800% August 14, 2045 2.0Province of Manitoba 3.250% September 5, 2029 1.9Province of Quebec 3.500% December 1, 2022 1.9Total 33.3



Cash and Cash Equivalents 0.2Short Term 2.6Canadian Bonds 93.6Foreign Bonds 1.9Canadian Equities 1.1Other Net Assets (Liabilities) 0.6

How risky is it?


Who is this fund for?This fund may be right for a person seeking income, wanting to invest mostly in Canadian bonds and is willing to accept a low level of risk.

How has the fund performed?While this fund has been in existence since December 1987, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






7


1. Sales Charges













After 3 years 0.0



4. Other Fees







8

Fund FactsEmpire Life Income GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Income Fund.

Quick FactsDate fund created: January 2002Managed by: Empire Life Investments Inc. Total Fund Value: $ 454.8 Million Fund Portfolio Turnover Rate: 150.22%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in investment grade bonds, debentures and notes issued by corporations and the Government of Canada, Canadian provinces, territories and municipalities and foreign governments.

TOP 10 INVESTMENTS* %Empire Life American Value Fund - Class F 10.4Government of Canada 3.500% December 1, 2045 4.1CIBC 0.639% January 4, 2016 3.7SPDR S&P 500 ETF 2.9Province of Quebec 3.500% December 1, 2045 2.7Province of Ontario 2.900% December 2, 2046 2.7Province of Ontario 2.600% June 2, 2025 1.4Government of Canada 0.750% September 1, 2020 1.4Laurentian Bank of Canada 2.810% June 13, 2019 1.3Province of Manitoba 3.250% September 5, 2029 1.2Total 31.8



Cash and Cash Equivalents 0.2Short Term 3.7Canadian Bonds 60.2Foreign Bonds 1.5Canadian Equities 16.9U.S. Equities 2.9International Equities 3.9Segregated/Mutual Funds 10.4Other Net Assets (Liabilities) 0.3

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth and income, wanting to invest mostly in Canadian stocks and bonds and is willing to accept a low to moderate level of risk.

How has the fund performed?While this fund has been in existence since January 2002, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






9


1. Sales Charges













After 3 years 0.0



4. Other Fees







10

Fund FactsEmpire Life Monthly Income GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015

Quick FactsDate fund created: April 2015Managed by: Empire Life Investments Inc. Total Fund Value: $ 1.8 Million Fund Portfolio Turnover Rate: 12.15%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.36% $ 9.66 17,273L* April 2015 $1,000 initial, $50 per fund 75/100 2.25% $ 9.67 132,900M* April 2015 $1,000 initial, $50 per fund 100/100 2.25% $ 9.67 37,181Q* April 2015 $10,000 initial, $100 per fund 75/75 2.34% $ 9.66 2,407

*The MER for each class has been annualized.

What does the fund invest in?This segregated fund invests primarily in a balance of income oriented Canadian equity and fixed income securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Monthly Income Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Royal Bank of Canada 2.9Government of Canada 3.500% December 1, 2045 2.7Province of Ontario 2.900% December 2, 2046 2.2Canadian National Railway Company 2.0Toronto-Dominion Bank 2.0Province of Quebec 3.500% December 1, 2045 1.8BCE Inc. 1.7Province of Ontario 2.600% June 2, 2025 1.6CAE Inc. 1.6AGT Food & Ingredients Inc. 1.4Total 19.9

Total Investments: 213 *Proportion of secondary fund's total fund value.


Cash and Cash Equivalents 0.8Segregated/Mutual Funds 99.3Other Net Assets (Liabilities) (0.1)

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth and income with reduced volatility through investments in both equity and fixed income securities and is willing to accept a low to moderate level of risk.

How has the fund performed?Since the fund has not been in existence for more than one year, we cannot report its performance.

For information on how Series I units of the Empire Life Monthly Income Mutual Fund, the secondary fund in which the fund invests most of its assets, has performed in the past, please refer to its fund facts in the Products: Regulatory Documents page of the Empire Life Investments Inc, website at www.empirelifeinvestments.ca

However, this doesn’t tell you how the fund will perform in the future. Your actual return will depend on the fund class and on your personal tax situation.

Average ReturnThe performance will be reported once the fund has been in existence for more than one year.

Year-by-year returnsThe performance will be reported once the fund has been in existence for more than one year.



11


1. Sales Charges













After 3 years 0.0



4. Other Fees







12

Fund FactsEmpire Life Balanced GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Balanced Fund.

Quick FactsDate fund created: February 1989Managed by: Empire Life Investments Inc. Total Fund Value: $ 589.2 Million Fund Portfolio Turnover Rate: 159.78%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in a diversified mix of primarily Canadian equity and fixed income securities.

TOP 10 INVESTMENTS* %Empire Life American Value Fund - Class F 17.3SPDR S&P 500 ETF 4.6Government of Canada 3.500% December 1, 2045 2.8Government of Canada 1.250% February 1, 2018 2.3Province of Ontario 2.900% December 2, 2046 2.3CIBC 0.639% January 4, 2016 2.0Royal Bank of Canada 2.0Province of Quebec 3.500% December 1, 2045 1.9Toronto-Dominion Bank 1.9Province of Ontario 2.600% June 2, 2025 1.7Total 38.8



Cash and Cash Equivalents 0.1Short Term 2.0Canadian Bonds 40.7Foreign Bonds 1.0Canadian Equities 27.8U.S. Equities 4.7International Equities 6.1Segregated/Mutual Funds 17.3Other Net Assets (Liabilities) 0.3

How risky is it?



How has the fund performed?While this fund has been in existence since February 1989, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






13


1. Sales Charges













After 3 years 0.0



4. Other Fees







14

Fund FactsEmpire Life Dividend Balanced GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Dividend Balanced Fund.

Quick FactsDate fund created: July 2010Managed by: Empire Life Investments Inc. Total Fund Value: $ 623.1 Million Fund Portfolio Turnover Rate: 4.42%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in units of other Empire Life segregated funds. The target asset mix of the fund is 80% Dividend Fund and 20% Bond Fund.

TOP 10 INVESTMENTS* %Empire Life Dividend Growth Fund - Class F 79.8Empire Life Bond Fund - Class F 19.3Imperial Oil Limited 0.791% January 4, 2016 1.0Total 100.1



Cash and Cash Equivalents 0.1Short Term 1.0Segregated/Mutual Funds 99.1Other Net Assets (Liabilities) (0.2)

How risky is it?



How has the fund performed?While this fund has been in existence since July 2010, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.


Average ReturnA person who invested $1,000 on November 3, 2014 has $989 on December 31, 2015. This works out to an average of -0.94% a year.




15


1. Sales Charges













After 3 years 0.0



4. Other Fees







16

Fund FactsEmpire Life Elite Balanced GIFClass Plus 2.1

As at December 31, 2015The fund legal name is Elite Balanced Fund.

Quick FactsDate fund created: July 2010Managed by: Empire Life Investments Inc. Total Fund Value: $ 332.9 Million Fund Portfolio Turnover Rate: N/A




(MER)


UNITSOUTSTANDING

Q November 2014 $10,000 initial, $100 per fund 75/75 2.43% $ 10.59 4,699,628

What does the fund invest in?This segregated fund primarily invests in units of other Empire Life segregated funds. The target asset mix of the fund is 80% Elite Equity Fund and 20% Bond Fund.

TOP 10 INVESTMENTS* %Empire Life Elite Equity Fund - Class F 81.1Empire Life Bond Fund - Class F 17.9CIBC 0.639% January 4, 2016 0.9Total 99.9



Cash and Cash Equivalents 0.3Short Term 0.9Segregated/Mutual Funds 99.0Other Net Assets (Liabilities) (0.2)

How risky is it?



How has the fund performed?While this fund has been in existence since July 2010, fund class Q has only been in existence for one year.

The following information shows how fund class Q of the fund has performed. However, this doesn’t tell you how the fund will perform in the future. Your actual return will depend on the fund class and on your personal tax situation.





17


1. Sales Charges













After 3 years 0.0



4. Other Fees

FEE WHAT YOU PAYClass Plus Fee A charge to cover the GWB guarantee on the Class Plus 2.1 contract. The

fee is paid out of your contract to Empire Life monthly.Fund Class Q (75/75) - 1.50%




18

Fund FactsEmpire Life Global Balanced GIFClass Plus 2.1

As at December 31, 2015The fund legal name is Global Balanced Fund.

Quick FactsDate fund created: June 2003Managed by: Empire Life Investments Inc. Total Fund Value: $ 185.5 Million Fund Portfolio Turnover Rate: 79.61%




(MER)


UNITSOUTSTANDING

Q November 2014 $10,000 initial, $100 per fund 75/75 2.50% $ 10.82 2,712,770

What does the fund invest in?This segregated fund primarily invests in a diversified mix of primarily global equity and fixed income securities.

TOP 10 INVESTMENTS* %Imperial Oil Limited 0.791% January 4, 2016 2.7Toronto-Dominion Bank 1.9Province of Ontario 2.450% June 29, 2022 1.9Province of Quebec 4.750% April 29, 2018 1.8Government of Canada 2.250% June 1, 2025 1.7Province of Ontario 4.000% December 3, 2019 1.7CIBC 0.639% January 4, 2016 1.6Province of British Columbia 0.875% October 8, 2025 1.6Province of Ontario 3.150% December 15, 2017 1.5Royal Bank of Canada 1.5Total 17.9



Cash and Cash Equivalents 2.0Short Term 4.3Canadian Bonds 21.8Foreign Bonds 5.0Canadian Equities 18.7U.S. Equities 25.3International Equities 22.8Other Net Assets (Liabilities) 0.1

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth and income, wanting to invest mostly in global stocks and bonds and is willing to accept a low to moderate level of risk.

How has the fund performed?While this fund has been in existence since June 2003, fund class Q has only been in existence for one year.

The following information shows how fund class Q of the fund has performed. However, this doesn’t tell you how the fund will perform in the future. Your actual return will depend on the fund class and on your personal tax situation.





19


1. Sales Charges













After 3 years 0.0



4. Other Fees

FEE WHAT YOU PAYClass Plus Fee A charge to cover the GWB guarantee on the Class Plus 2.1 contract. The

fee is paid out of your contract to Empire Life monthly.Fund Class Q (75/75) - 1.50%




20

Fund FactsEmpire Life Asset Allocation GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015The fund legal name is Asset Allocation Fund.

Quick FactsDate fund created: May 1994Managed by: Empire Life Investments Inc. Total Fund Value: $ 857.6 Million Fund Portfolio Turnover Rate: 68.29%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.46% $ 10.21 259,432L November 2014 $1,000 initial, $50 per fund 75/100 2.41% $ 11.15 5,557,738M November 2014 $1,000 initial, $50 per fund 100/100 2.38% $ 11.15 1,465,963Q November 2014 $10,000 initial, $100 per fund 75/75 2.44% $ 11.14 6,686,945


What does the fund invest in?This segregated fund primarily invests in a diversified mix of Canadian equity and fixed income securities.

TOP 10 INVESTMENTS* %CIBC 0.639% January 4, 2016 5.8Export Development Corporation 0.365% January 26, 2016 4.7Farm Credit Corporation 0.188% January 4, 2016 4.2Becton, Dickinson and Company 2.0Assa Abloy AB 'B' 2.0Altria Group Inc. 2.0Johnson & Johnson 2.0The TJX Companies Inc. 2.0Starbucks Corporation 1.8Danaher Corporation 1.8Total 28.3



Cash and Cash Equivalents 0.5Short Term 14.7Canadian Bonds 16.1Foreign Bonds 0.3Canadian Equities 31.0U.S. Equities 25.8International Equities 11.9Other Net Assets (Liabilities) (0.3)

How risky is it?



How has the fund performed?While this fund has been in existence since May 1994, fund classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






21


1. Sales Charges













After 3 years 0.0



4. Other Fees







22

Fund FactsEmpire Life Dividend Growth GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is Dividend Growth Fund.

Quick FactsDate fund created: January 1998Managed by: Empire Life Investments Inc. Total Fund Value: $ 1,580.6 Million Fund Portfolio Turnover Rate: 176.77%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.43% $ 9.43 178,962L November 2014 $1,000 initial, $50 per fund 75/100 2.47% $ 9.79 3,154,627M November 2014 $1,000 initial, $50 per fund 100/100 2.47% $ 9.79 1,757,646


What does the fund invest in?This segregated fund primarily invests in dividend paying Canadian mid to large market capitalization stocks. Equity investments include common stocks, preferred stocks, convertible preferred stocks and convertible debentures.

TOP 10 INVESTMENTS* %Toronto-Dominion Bank 7.0Royal Bank of Canada 5.5Bank of Montreal 4.5TransCanada Corporation 3.2Suncor Energy Inc. 3.0Microsoft Corporation 2.9JPMorgan Chase & Company 2.8Wells Fargo & Company 2.7Bank of Nova Scotia 2.5Manulife Financial Corporation 2.4Total 36.5



Cash and Cash Equivalents 0.1Short Term 1.1Canadian Bonds 0.5Canadian Equities 63.7U.S. Equities 29.1International Equities 5.3Other Net Assets (Liabilities) 0.2

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest in Canadian stocks and is willing to accept a moderate level of risk.

How has the fund performed?While this fund has been in existence since January 1998, fund classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






23


1. Sales Charges













After 3 years 0.0



4. Other Fees






24

Fund FactsEmpire Life Canadian Equity GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is Canadian Equity Fund.

Quick FactsDate fund created: October 2005Managed by: Empire Life Investments Inc. Total Fund Value: $ 294.4 Million Fund Portfolio Turnover Rate: 33.32%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.53% $ 9.35 27,993L November 2014 $1,000 initial, $50 per fund 75/100 2.48% $ 10.11 402,986M November 2014 $1,000 initial, $50 per fund 100/100 2.49% $ 10.11 156,225


What does the fund invest in?This segregated fund primarily invests in Canadian mid to large market capitalization stocks.

TOP 10 INVESTMENTS* %Royal Bank of Canada 6.2Toronto-Dominion Bank 5.8Canadian National Railway Company 4.5CGI Group Inc. 'A' 4.3Constellation Software Inc. 4.0Bank of Montreal 3.8Bank of Nova Scotia 3.6Metro Inc. 3.3Brookfield Asset Management Inc. 'A' 3.3Intact Financial Corporation 3.1Total 41.9



Cash and Cash Equivalents 0.1Short Term 1.3Canadian Equities 89.2U.S. Equities 7.4International Equities 1.8Other Net Assets (Liabilities) 0.2

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in Canadian stocks and is willing to accept a moderate level of risk.

How has the fund performed?While this fund has been in existence since October 2005, fund classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






25


1. Sales Charges













After 3 years 0.0



4. Other Fees






26

Fund FactsEmpire Life Elite Equity GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is Elite Equity Fund.

Quick FactsDate fund created: December 1969Managed by: Empire Life Investments Inc. Total Fund Value: $ 922.4 Million Fund Portfolio Turnover Rate: 34.90%




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.58% $ 9.75 196,297L November 2014 $1,000 initial, $50 per fund 75/100 2.56% $ 10.68 2,455,144M November 2014 $1,000 initial, $50 per fund 100/100 2.54% $ 10.65 701,446


What does the fund invest in?This segregated fund primarily invests in Canadian large market capitalization stocks, with some exposure to foreign securities.

TOP 10 INVESTMENTS* %Empire Life American Value Fund - Class F 28.4SPDR S&P 500 ETF 7.5Royal Bank of Canada 3.6Toronto-Dominion Bank 3.4Canadian National Railway Company 2.5Constellation Software Inc. 2.3CGI Group Inc. 'A' 2.2Imperial Oil Limited 0.791% January 4, 2016 2.2Bank of Nova Scotia 2.2Bank of Montreal 2.1Total 56.4



Cash and Cash Equivalents 0.1Short Term 2.4Canadian Equities 50.2U.S. Equities 7.6International Equities 11.3Segregated/Mutual Funds 28.4

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in Canadian stocks and is willing to accept a moderate level of risk.

How has the fund performed?While this fund has been in existence since December 1969, fund classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






27


1. Sales Charges













After 3 years 0.0



4. Other Fees






28

Fund FactsEmpire Life Small Cap Equity GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is Small Cap Equity Fund.





(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in Canadian small to mid market capitalization stocks.

TOP 10 INVESTMENTS* %CIBC 0.639% January 4, 2016 4.1The Descartes Systems Group Inc. 3.2Winpak Limited 3.0Intact Financial Corporation 3.0FirstService Corporation 3.0CAE Inc. 3.0AGT Food & Ingredients Inc. 3.0CCL Industries Inc. 'B' 2.9Interfor Corporation 2.9Sandvine Corporation 2.9Total 31.0



Cash and Cash Equivalents 0.1Short Term 6.9Canadian Equities 85.3U.S. Equities 7.6Other Net Assets (Liabilities) 0.1

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in Canadian stocks of smaller companies and is willing to accept a moderate to high level of risk.







29


1. Sales Charges













After 3 years 0.0



4. Other Fees






30

Fund FactsEmpire Life American Value GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is American Value Fund.





(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in U.S. mid to large market capitalization stocks.

TOP 10 INVESTMENTS* %SPDR S&P 500 ETF 4.1Apple Inc. 3.8Bank of Nova Scotia 0.385% January 21, 2016 3.3Pfizer Inc. 3.1Johnson & Johnson 3.0General Dynamics Corporation 2.7AT&T Inc. 2.6The Kroger Company 2.4Altria Group Inc. 2.4Microsoft Corporation 2.3Total 29.7



Cash and Cash Equivalents 0.9Short Term 4.6U.S. Equities 80.6International Equities 8.1Other Net Assets (Liabilities) 5.8

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in U.S. stocks and is willing to accept a moderate level of risk.







31


1. Sales Charges













After 3 years 0.0



4. Other Fees






32

Fund FactsEmpire Life Global Equity GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is Global Equity Fund.

Quick FactsDate fund created: February 1989Managed by: Empire Life Investments Inc. Total Fund Value: $ 97.6 Million Fund Portfolio Turnover Rate: 102.85%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in developed markets such as North America, Europe and Asia, but may also invest in emerging markets.

TOP 10 INVESTMENTS* %CIBC 0.639% January 4, 2016 4.1SPDR S&P 500 ETF 3.1Imperial Tobacco Group PLC 3.0DB X-Trackes-DAX UCITS ETF 2.8Pfizer Inc. 2.6Apple Inc. 2.6General Dynamics Corporation 2.5AT&T Inc. 2.3SunTrust Banks Inc. 2.2BP PLC 2.2Total 27.4



Cash and Cash Equivalents 1.1Short Term 4.1Canadian Equities 1.9U.S. Equities 58.1International Equities 31.9Other Net Assets (Liabilities) 2.9

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in global stocks and is willing to accept a moderate level of risk.

How has the fund performed?While this fund has been in existence since February 1989, fund classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






33


1. Sales Charges













After 3 years 0.0



4. Other Fees






34

Fund FactsEmpire Life International Equity GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015The fund legal name is International Equity Fund.

Quick FactsDate fund created: June 2003Managed by: Empire Life Investments Inc. Total Fund Value: $ 150.4 Million Fund Portfolio Turnover Rate: 52.34%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund primarily invests in developed markets such as Europe and Asia, but may also invest in North America and in emerging markets.

TOP 10 INVESTMENTS* %Seven & i Holdings Company Limited 2.4CSL Limited 2.3Japan Airlines Company Limited 2.3Prudential PLC 2.3Unicharm Corporation 2.3Danske Bank AS 2.3Novo Nordisk AS 'B' 2.3Vodafone Group PLC 2.2Shimano Inc. 2.2Assa Abloy AB 'B' 2.2Total 22.8



Cash and Cash Equivalents 0.2U.S. Equities 1.2International Equities 98.6

How risky is it?


Who is this fund for?This fund may be right for a person seeking growth, wanting to invest mostly in global stocks and is willing to accept a moderate level of risk.

How has the fund performed?While this fund has been in existence since June 2003, fund classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






35


1. Sales Charges













After 3 years 0.0



4. Other Fees






36

Fund FactsEmpire Life Emblem Diversified Income Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015

Quick FactsDate fund created: November 2014Managed by: Empire Life Investments Inc. Total Fund Value: $ 18.5 Million Fund Portfolio Turnover Rate: N/A




(MER)


UNITSOUTSTANDING

K* April 2015 $1,000 initial, $50 per fund 75/75 2.30% $ 9.83 150,870L November 2014 $1,000 initial, $50 per fund 75/100 2.28% $ 10.37 817,175M November 2014 $1,000 initial, $50 per fund 100/100 2.35% $ 10.36 210,855Q November 2014 $10,000 initial, $100 per fund 75/75 2.27% $ 10.36 617,451


What does the fund invest in?This segregated fund invests in a mix of fixed income and equity securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Diversified Income Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Bank of Montreal 2.100% October 6, 2020 3.4Province of Ontario 2.900% December 2, 2046 3.3Government of Canada 1.250% February 1, 2018 3.2Province of Ontario 2.600% June 2, 2025 2.6Province of Quebec 3.500% December 1, 2045 2.6Government of Canada 0.750% September 1, 2020 2.4Government of Canada 3.500% December 1, 2045 2.3Great-West Lifeco Inc. Floating Rate 7.127% June 26, 2068 1.8CI Financial Corporation 2.645% December 7, 2020 1.4CIBC Capital Trust Floating Rate 9.976% June 30, 2108 1.3Total 24.3

*Total Investments: 277 *Proportion of secondary fund's total fund value.



How risky is it?


Who is this fund for?This fund may be right for a person seeking current income and some long-term capital growth with reduced volatility through a diversified portfolio of fixed income and equity securities and is willing to accept a low level of risk.

How has the fund performed?Fund Classes L, M and Q have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






37


1. Sales Charges













After 3 years 0.0



4. Other Fees







38

Fund FactsEmpire Life Emblem Conservative Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015





(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund invests in a mix of Canadian fixed income and equity securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Conservative Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Government of Canada 1.250% February 1, 2018 5.9Government of Canada 0.750% September 1, 2020 4.2Government of Canada 3.500% December 1, 2045 3.0Canada Housing Trust 1.850% December 15, 2016 2.4Province of Ontario 2.900% December 2, 2046 2.4Province of Ontario 2.600% June 2, 2025 2.4Government of Canada 2.250% June 1, 2025 2.1SPDR S&P 500 ETF 1.9Province of Quebec 3.500% December 1, 2045 1.9iShares S&P/TSX 60 Index ETF 1.6Total 27.8




How risky is it?


Who is this fund for?This fund may be right for a person seeking long-term capital growth with income with reduced volatility through a diversified portfolio of fixed income and equity securities and is willing to accept a low to moderate level of risk.







39


1. Sales Charges













After 3 years 0.0



4. Other Fees







40

Fund FactsEmpire Life Emblem Balanced Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015

Quick FactsDate fund created: November 2014Managed by: Empire Life Investments Inc. Total Fund Value: $ 73.4 Million Fund Portfolio Turnover Rate: 3.64%




(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund invests in a mix of Canadian fixed income and equity securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Balanced Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Government of Canada 3.500% December 1, 2045 3.3Government of Canada 1.250% February 1, 2018 3.0Government of Canada 0.750% September 1, 2020 2.4iShares S&P/TSX 60 Index ETF 2.1Toronto-Dominion Bank 2.1Royal Bank of Canada 1.9SPDR S&P 500 ETF 1.9Province of Ontario 2.900% December 2, 2046 1.9Province of Ontario 2.600% June 2, 2025 1.8Government of Canada 2.250% June 1, 2025 1.6Total 22.0




How risky is it?


Who is this fund for?This fund may be right for a person seeking long-term capital growth with reduced volatility through a diversified portfolio of equity and fixed income securities and is willing to accept a low to moderate level of risk.







41


1. Sales Charges













After 3 years 0.0



4. Other Fees







42

Fund FactsEmpire Life Emblem Moderate Growth Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015





(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund invests in a mix of Canadian equity and fixed income securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Moderate Growth Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Toronto-Dominion Bank 2.8SPDR S&P 500 ETF 2.7Royal Bank of Canada 2.6Government of Canada 3.500% December 1, 2045 2.2Government of Canada 0.750% September 1, 2020 1.9iShares S&P/TSX 60 Index ETF 1.8Bank of Montreal 1.8Government of Canada 1.250% February 1, 2018 1.7Province of Ontario 2.600% June 2, 2025 1.5Canadian National Railway Company 1.5Total 20.5




How risky is it?









43


1. Sales Charges













After 3 years 0.0



4. Other Fees







44

Fund FactsEmpire Life Emblem Growth Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100,100/100, and Class Plus 2.1As at December 31, 2015





(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund invests in a mix of Canadian equity and fixed income securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Growth Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %iShares S&P/TSX 60 Index ETF 4.7Toronto-Dominion Bank 3.6Royal Bank of Canada 3.6Bank of Montreal 2.3Canadian National Railway Company 2.2Bank of Nova Scotia 2.1Suncor Energy Inc. 1.6CGI Group Inc. 1.6Constellation Software Inc. 1.5SPDR S&P 500 ETF 1.5Total 24.7




How risky is it?









45


1. Sales Charges













After 3 years 0.0



4. Other Fees







46

Fund FactsEmpire Life Emblem Aggressive Growth Portfolio GIFEmpire Life Guaranteed Investment Funds 75/75, 75/100and 100/100As at December 31, 2015



MINIMUM INVESTMENT MATURITY/DEATH BEENEFITGUARANTEE (%)


(MER)


UNITSOUTSTANDING



What does the fund invest in?This segregated fund invests primarily in Canadian equity securities. The fund invests either directly or through one or more secondary funds. The fund currently invests most of its assets in units of the Empire Life Emblem Aggressive Growth Portfolio Mutual Fund.

TOP 10 INVESTMENTS OF THE SECONDARY FUND* %Toronto-Dominion Bank 4.6Royal Bank of Canada 4.3Bank of Montreal 3.0Canadian National Railway Company 2.5Bank of Nova Scotia 2.4Suncor Energy Inc. 2.1iShares S&P/TSX 60 Index ETF 1.9Brookfield Asset Management Inc. 1.8CGI Group Inc. 1.6Constellation Software Inc. 1.5Total 25.7



Cash and Cash Equivalents 1.2Segregated/Mutual Funds 98.7Other Net Assets (Liabilities) 0.1

How risky is it?


Who is this fund for?This fund may be right for a person seeking long-term capital growth with reduced volatility through a diversified portfolio of equity securities and is willing to accept a moderate level of risk.

How has the fund performed?Fund Classes L and M have only been in existence for one year and fund class K for less than one year. The performance for fund class K will be reported once that fund class has been in existence for more than one year.






47


1. Sales Charges













After 3 years 0.0



4. Other Fees






Insurance & Investments – Simple. Fast. Easy.™

www.empire.ca [email protected]

INV-941-EN-05/16

The Empire Life Insurance Company (Empire Life) is a proud Canadian

company that has been in business since 1923. We offer individual and group

life and health insurance, investment and retirement products, including mutual

funds through our wholly-owned subsidiary Empire Life Investments Inc.

Empire Life is among the top 10 life insurance companies in Canada1 and is

rated A (Excellent) by A.M. Best Company2. Our mission is to make it simple,

fast and easy for Canadians to build wealth, generate income, and get the

insurance and group benefits coverage they need.

Follow Empire Life on Twitter @EmpireLife or visit our website,

www.empire.ca for more information.1 The Globe and Mail Report on Business Magazine, June 2015, based on revenue2 As at May 19, 2015

The information in this document is for general information purposes only and is not to be construed as providing legal, tax, financial or professional advice. The Empire Life Insurance Company assumes no responsibility for any reliance made on or misuse or omissions of the information contained in this document. Please seek professional advice before making any decision.® Registered trademark of The Empire Life Insurance Company. ™ Trademark of The Empire Life Insurance Company. Policies are issued by The Empire Life Insurance Company.