1. They’re Back….. Equitable Life’s RRSP and Investment Loan Programs

2. Loan Programs 2004 Are your clients’ financial goals playing hard to get? Equitable Life’s Investment and RRSP Loan Programs can help your clients get them sooner!

3. Help your clients get their goals sooner… From January 1, 2004 to January 31, 2004 both the RRSP and Investment loan interest rates are Prime* Minus 1% For loans up to and including $14,500 From February 1, 2004 to March 1, 2004 the loan interest rate will be Prime* MINUS 0.5% for Investment and RRSP Loans up to and including $14,500. * “Prime” is the prime rate in effect for the Royal Bank of Canada as of the effective date of the loan. *It is important to note if your client has previously defaulted on a loan from Equitable Life or been declined by us for an Investment Loan or an RRSP Loan in excess of $13,500 your client will not be eligible for a loan with Equitable Life. RRSP Loans in excess of $14,500 are subject to financial underwriting and approval by Equitable Life. All Investment loans are subject to underwriting.

4. RRSP & Investment Loan Interest Rates… Loan AmountLoan TermInterest Rate $14,500 or less 12 month maximumPrime minus 0.5% Feb. 1, 2004 - Mar. 1, 2004 >$14,500 - $20,000 12 month maximumPrime >$14,500  $20,000 > 12 months  24 months Prime plus 1% > $20,000 - $30,000 1 month - 36 monthsPrime plus 1% Prime is based on the Royal Bank of Canada’s Prime Rate at the effective date of the loan! $14,500 or less 12 month maximumPrime minus 1% Jan 1, 2004 – Jan 31, 2004

5. RRSP 2004 Once again, Equitable Life is fortunate to be able to provide you with our “unique” RRSP Loan Program!

6. RRSP Contribution Limits YearAnnual Limit (RPP Non Contributors) 1991The lesser of 18% earned income or $11,500 1992 & 1993The lesser of 18% earned income or $12,500 1994The lesser of 18% earned income or $13,500 1995The lesser of 18% earned income or $14,500 1996- 2002The lesser of 18% earned income or $13,500 2003The lesser of 18% earned income or $14,500 2004The lesser of 18% earned income or $15,500 2005The lesser of 18% earned income or $16,500 2006The lesser of 18% earned income or $18,000 2007 & beyondIndexed to average growth in wages

7. How much can your client contribute? On or before March 1, 2004 the maximum your client can contribute for a deduction on his or her 2003 income taxes is: Any unused RRSP contribution room carried forward, plus The lesser of 18% of the client’s 2002 income or $14,500, plus Any Pension Adjustment Reversal (PAR) arising from termination of RPP and/or DPSP membership, less Any pension adjustment and net past service adjustments due to membership in an RPP or DPSP

8. RRSP Loan Features Automatic Approval* on RRSP Loans up to and including $14,500 *It is important to note if your clients have previously defaulted on a loan from Equitable Life or been declined by us for an Investment Loan or an RRSP Loan in excess of $13,500 they are not eligible for a loan with Equitable Life. RRSP Loans in excess of $14,500 are subject to financial underwriting and approval by Equitable Life.

9. More RRSP Loan Features Equitable Life RRSP Loan interest rates are fixed for the term of the RRSP Loan  Interest is calculated monthly on the declining balance Your clients can borrow between $1,000 and $30,000* *It is important to note if your clients have previously defaulted on a loan from Equitable Life or been declined by us for an Investment Loan or an RRSP Loan in excess of $13,500 they are not eligible for a loan with Equitable Life. RRSP Loans in excess of $14,500 are subject to financial underwriting and approval by Equitable Life.

10. More RRSP Loan Features Lump Sum Repayments  Your client can make a lump sum partial repayment towards the RRSP loan at any time without penalty, and Can choose to have the monthly payment reduced; or Reduce the repayment period; or Pay off the loan in full at any time without penalty Spousal RRSPs  Equitable Life’s RRSP Loan program can be used to fund Spousal RRSPs Remember both your client and your client’s spouse or life partner personally guarantee and sign the promissory note.

11. More RRSP Loan Features “Overlapping loans”  If your client took an Equitable Life RRSP Loan last year, he or she may take a second loan provided: Your client has a successful repayment history Has only 1 or 2 loan payments left Has a combined total of $14,500 or less (remaining payments + new loan) 90 Day Payment Deferral  Giving your clients the opportunity to use their tax refunds (if applicable) towards their loans! Loan interest will accrue from the effective date of the loan and the deferral does not extend the loan term or repayment schedule.

12. Administration What’s Required for an RRSP Loan?  Loans up to and including $14,500 are Automatically* approved, loans in excess of $14,500 are subject to underwriting and approval by Equitable Life  Personal Guarantee of borrower (promissory note)  Restrictions on transfers/withdrawals until the entire loan and interest is repaid *It is important to note if your clients have previously defaulted on a loan from Equitable Life or been declined by us for an Investment Loan or an RRSP Loan in excess of $13,500 they are not eligible for a loan with Equitable Life. RRSP Loans in excess of $14,500 are subject to financial underwriting and approval by Equitable Life.

13. Important Date to Remember In order for your clients to receive a tax receipt for the 2003 income tax year, the contribution deadline is… Midnight, Monday March 1, 2004 Note: Contributions must be in your courier bag no later than March 3, 2004!

14. people performance progress people performance progress protection Investment Loan Program 2004

15. A Loan to top up your client’s savings… Many Canadians focus on saving for their retirement through RRSPs but neglect the importance of building a non-registered portfolio Having assets accumulate on a non- registered basis for retirement can help ease the reliance on RRSPs which are fully taxable upon withdrawal

16. Why suggest a top-up of savings with an Investment Loan … Only the growth on your clients’ investments is taxable when their funds are withdrawn Investments have the potential to generate tax- preferred income Interest payable on your client’s Investment Loan may be tax deductible (always consult a tax or legal professional for advice) Further diversify their investment assets Put time on their side. Use the power of compound growth and get a lump sum working for your clients today

17. Equitable Life Investment Loans… The loan rate is fixed. No need to worry about your clients’ monthly payments changing should interest rates increase No margin calls regardless of the value of your client’s investment Highly competitive loan interest rates Borrowing to invest in the Segregated Funds protects against downside investment risk due to maturity guarantees It is important to note that borrowing to invest in the Segregated Funds can magnify both potential gains and losses

18. When are these loans available… You can apply for an Investment Loan with Equitable Life ® at any time of the year!

19. Need Details on RRSP or Investment Loan Interest Rates? Visit our website: www.equitable.ca Call Equitable Life’s Rate Hot Line: 1-800-668-4095 Press “5”

20. Help your clients get their goals sooner… From January 1, 2004 to January 31, 2004 both the RRSP and Investment loan interest rates are Prime* Minus 1% For loans up to and including $14,500 From February 1, 2004 to March 1, 2004, the loan interest rate will be Prime* MINUS 0.5% for Investment and RRSP Loans up to and including $14,500. * “Prime” is the prime rate in effect for the Royal Bank of Canada as of the effective date of the loan. *It is important to note if your clients have previously defaulted on a loan from Equitable Life or been declined by us for an Investment Loan or an RRSP Loan in excess of $13,500 they are not eligible for a loan with Equitable Life. RRSP Loans in excess of $14,500 are subject to financial underwriting and approval by Equitable Life. All Investment loan are subject to underwriting.

21. people performance progress people performance progress protection BREAK (SEE YOU IN 15 MINUTES)